Winter Fuel Allowance

 

Please Do Not

Undermine

The Layman

 

16 Nov. 24

 

Hon. Rachel Reeves

Chancellor
of the Exchequer

 

Honourable
Rachel Reeves

 

RE – WINTER FUEL PAYMENT ALLOWANCE

 

Summary of the Representations as below

 

Hon. R Reeves! As per news:

The UK chancellor revealed plans in July to introduce a means test for the winter fuel payment, where only those on pensions credit would qualify, as part of a push to plug what she said was a £22bn black hole in the public finances left by the previous Conservative administration.

Hon. R Reeves! The Govt., turned Deaf Ear: Age UK Plan

Asked if ministers would consider adopting Age UK’s plan and perform a partial U-turn, a government spokesman said: “We are absolutely committed to supporting pensioners and giving them the dignity and security they deserve in retirement. That’s why, through our commitment to protect the triple lock, over 12 million pensioners will see their state
pensions increase by almost £1,000 over the next five years.

Hon. R Reeves! With due respect, you defended your Axe on pensioners:

The decision to withdraw the Winter Fuel Payments from over 10 million pensioners not claiming Pension Credits was defended today by the Chancellor Rachel Reeves. In her keynote speech to the Labour Party conference in Liverpool, Rachel Reeves said

“It was made clear to me that failure to act quickly would undermine the UK`s financial position with implications for public debt, mortgages, and price, so I took action to
make in-year savings necessary….to target the Winter Fuel Payment to those most in need, with the triple-lock ensuring the State Pension will rise by an estimated £1,700 over
the course of this Parliament”.

Hon. R Reeves! CSPA
protest that you announced the Axe on more nearly 13 million pensioners without
warning.

[Children’s Single Point of Access (C-SPA)

If you are a child or young person being abused or neglected, or an adult who is concerned about a child or young person’s safety and wellbeing] CSPA has been campaigning against

the Chancellor`s decision, announced without warning on 29 July, to withdraw the Winter Fuel Payment to most of the 12.8 million pensioners  not  claiming pension credits.

Hon. R Reeves! You defended:

Faced with that £22 billion black hole that the Conservatives left this year and with the triple lock ensuring that the state pension will rise by an estimated £1,700 over the course of this Parliament, I judged it the right decision in the circumstances we inherited.

Hon. R Reeves! With due respect you turned “Blind Eye” to the protest by the Pensioners:

Source: Website: You Tube

Subject: Labour’s Winter
Fuel Payment Cuts

Backfire in Shocking Twist

Published

75,438
views Nov 26, 2024

 

Hon. R Reeves! Please
watch the Video Clip on
website: You Tube. Members of Parliaments and House
of Lord must also watch the Video Clip:

Extreme scene! Seafood factory & seafood                                 restaurant /
mackerel, eel, octopus, sushi

Hon. R
Reeves! It is the Pensioners who Work
Hard all their
lives when they are young. When they retire and like to have some comforts in their lives, they are the one, Chosen to bridge the Gap of governments Fiscal Policy i.e. to cut their entitlement.

Observation

Representations
to Restore Cost of Living Allowance

 

Madam!  In
short, savings made based upon Means
Tested ought to be distributed
among Pensioners on Pension Credit, Universal Credit and otherwise as Cost
of Living Allowance.

 

Blind
Eye to De – Regulation

 

Hon. R Reeves! With due respect, you have
highlighted Triple Lock, Inflation Rate and Consumer Price
Index which provide enough pensioners to have comfortable life. However, this
is theoretical consolation. But you have turned a “Blind
Eye” to the                      De –
Regulation of all
industries who increase prices of the consumer’s daily
needs and “Energy” giving no consideration to the poor
and middle class. As below the increase in tariffs of Octopus Energy:

 

INCREASE
IN PRICES

 

Prices
Until Sep 2021

 

Electricity Price per unit                         14.04 Pence

 

Standing Charge per day                       14.07 Pence

 

Gas Price per unit                                 02.54 Pence

 

Gas Standing charge per day                 17.00 Pence

 

Prices
Until Sep 2022

 

Electricity
Price per unit                         18.72
Pence

 

Standing
Charge per day                       23.22
Pence

 

Gas
Price per unit                                 4.27
Pence

 

Gas
Standing charge per day                 25.32 Pence

 

Prices
since Sep 2023

 

Electricity
Price per unit                         26.68
Pence

 

Standing
Charge per day                       47.40
Pence

 

Gas
Price per unit                                 6.71
Pence

 

Gas
Standing charge per day                 26.16
Pence

 

PERCENTAGE
INCREASE

 

From
Oct 2021

 

Electricity usage                                    42.52 percent

Electricity Standing Charge                    104.04 percent

 

Gas Usage                                            68.11 percent

Gas Standing Charge                            48.94 Percent

 

From
Oct 2022

 

Electricity
usage                                    33.33
percent

Electricity
Standing Charge                    33.04
percent

 

Gas
Usage                                            68.11
percent

Gas
Standing Charge                            48.94
percent

 

From
Oct 2023

 

Electricity
usage                                    104.03
percent

Electricity
Standing Charge                    33.04
percent

 

Gas
Usage                                            93.29
Percent

Gas
Standing Charge                            03.31
Percent

 

Hon. R Reeves! As below is an example of Gross
Profit Margin of ASDA
Super Store:

 

Hon. R Reeves! Few months back there was a special
offer:

 

                    Bird’s Eye 2 Fish Fillets                £2.50 each pack

                   

                    Special offer                               Buy 4 packs for £5.00

                   

                    Price of                                       4 packs
@£2.50 = £10.00

                   

                    Less Discount                                                           5.00

                                                                                                    ——–

                    Reduction in Profit                                                     5.00

                                                                                                    =====

Hon.
R Reeves! There is still
Gross Profit by selling £10.00
worth of Fish pack for £5.00.
Let us assume the coat of 4 packs is £2.50. So
ASDA Super Store is making Gross Profit of
£7.50 by selling 4 packs of Bird Eye 2 fillet Fish. In
other words £2.50, is the cost of 2 fish fillet
from sea to the ASDA super store. May be after one month the special offer was
withdrawn and one pack was sold at £2.50 each. The other day (27 Nov 2024) the
special offer is Buy 4 Birds Eye Pack for £6.00.

 

Hon. R Reeves! There does not appear an economic
reason that
the price should have been increased. The Fuel prices have been down for more than a year but the Cost
of Living is going
up and up.

                                                 

Why there
is No Lock on De – Regulations?

 

Hon. R Reeves! With due respect, you did not mention about De –
Regulation in your
speech when you defended the withdrawal Winter Fuel Allowance from all the pensioner other than Pension
Credit.

 

REPRESENTATIONS – WINTER FUEL ALLOWANCE

 

Hon.
R Reeves! Please read the
representations as below and give considerations. Moreover, please reply
to the representations. These representations are on behalf the pensioners
what they going through, but they have not spoken
about it or if they did speak, Deaf Eear had
turned.

 

Hon. R Reeves! Deborah
Mattinson composed book in the year 2011. The title
of the book reads:

 

Talking to a Brick Wall

 

How New labour Stopped Listening to the

Voter and why we need a new Politics?

 

 

Madam!  At the back cover of the book,
following remarks are written:

 

“WE PAY FOR THEIR HOUSES. THEIR WIVES’ AND KIDS’, EVEN THEIR HAIRDRESSERS AND THEIR MEALS OUT. IT’S A COMPLETE JOKE.”

 

***********************

“THEY ARE ALL AS BAD AS EACH OTHER – ALL IN THE SAME DEAL NO ONE WILL EVER SORT IT OUT – WHY WOULD THEY?”

 

“IT’S ALL RIGHT FOR THEM, THEY DON’T KNOW WHAT A LOAF OF BREAD OR PINT OF MILK COSTS. BECAUSE THEY DON’T HAVE TO BUT I DO.”

 

***********************

THEY
ONLY EVER THINK ABOUT THEMSELVES, NOT
THE LIKES OF US.”

 

*****************************

 

Hon. R Reeves! In the year 2002 project: Call for Peace composed book: The Public Authorities: Servants or Masters? Copies were sent to the political parties: New Labour, Conservatives and Liberal Social Democrats, Lord Chancellor and other members of the House of Lords. But there was no acknowledgment other than one only. Lord
Nazir Ahmed returned the book after 9 months when he was advised that legal action will be taken if he did not pay the invoice i.e. price of the book. In short, the book was in his library for, more or less, 9 months. Whether he had read the book or not, this will remain a question.

 

Hon.
R Reeves! As below is the statement of the, then, Prime
Minister Tony Blair,
either in an interview or in a speech:

 

We
are the Party
of individuals.

 

We
are not the
Masters.
People are the Masters.

 

We
are the Servants.
We listen
to the people.

 

Hon. R Reeves! This extract was mentioned in the book: The Public Authorities: Servants or Master?

 

Hon. R Reeves! As matter of fact, every member of the House of Commons and House of Lords should have read the
book to find out where they are going wrong, where one of the subjects of the United Kingdom had to compose the book: The Public Authorities: Servants or Master?

 

Hon. R Reeves! At back of the title of the book following messages were given for Public Authorities and to whole mankind:

 

Call for Peace

Our Duty to Look for Peace

 

We should follow the
Guidance of Allah (SWT) in every respect of our lives

 

******************

 

We
should keep our

‘Morals’

 at the Optimum level

 

********************

 

We
should perform our ‘Duties and Responsibilities’ amicably,
what we owe to the

Mankind

 

***********************

 

We should respect ‘Elders’ and ‘affectionate’ to the

Youngsters

 

**********************

 

We
should bear in mind that ‘Peace of Mind’ in
this world and life hereafter lies in keeping our

‘Morals’

High

 

***********************

Do not turn ‘Blind
Eye’ to the
representations of the

‘Public
and the Workforce’

 

****************************

 

Be
faithful to
the

‘Authorities’

 

************************

Be
Faithful’
to the

‘Mankind’.

 

***************************

 

Messages

To Look

For

Hon. R Reeves! As the Members of Parliament did not take any notice of the book: The Public Authorities:
Servants or Masters, Deborah Mattinson’s title of the book: Talking to the Brick Wall applies to
the book: Public Authorities: Servants or Master?

 

Hon. R Reeves! With due respect, none of the members of Parliament and House of Lords, media and otherwise
returned the book or paid price of the book. They kept the book in their library. They even did not take
any notice that if the book is not returned or invoice is paid, legal action will be taken. Lord Nazir Ahmed took the notice of legal action and returned the book after, more or less, 9 months.

 

Hon. R Reeves! While searching Google to know about the profile of Deborah Mattinson,
it revealed that she has composed another book in the year 2020:

 

Hon. R Reeves! Beside the title of the book is a note that reads:

 

Beyond
the Red Wall:

Why
Labour Lost?

 

The
very word Labour has lost its potency.

Until
Labour discovers their True vocation,

they
will continue to fail

Hon. R Reeves! As below is the extract written beside the title of the book:

 

With brand-new research, including expansive interviews with Red Wall constituents, Mattinson guides us through the lives of the left-behind, finally giving them the opportunity to speak for themselves. Written at one of the most turbulent periods in modern memory, this is a timely, far-reaching analysis of how we got to this point and where we can go next. One thing is certain: the Red Wallers have the power to change history.

 

SUBJECT MATTER: AXE ON 10 MILLION PENSIONERS

 

Hon. R Reeves! As below is the extract from Google Network in respect of Winter Fuel Payment:

The Winter Fuel Payment is a state benefit paid once per year in England and Wales to some people old enough to have been born before a specific date. It is intended to cover the additional costs of heating over the winter months. First introduced in 1997 as a universal benefit for pensioners, in 2024 it was changed so that it is only offered to pensioners who receive means tested benefits such as pension credit.

Observation

Hon. R Reeves! With due respect, you could only find the pensioners to reduce Budget Deficit and Public Debt and not the Rich People where there will not be a Hole in their net income if the 45 per cent rate would have increased more than 50 per cent.

Chancellor’s Salary

Hon. R Reeves! As below is the extract from Mirror newspaper uploaded on Google Network:

Before she came into power, she was reportedly earning £86,000 a year and said she ‘winced’ at her bank balance after forking out for her mortgage, gas, electricity and food bills. “What makes me wince is when I look at my bank statement and I find that the money coming in is increasingly short of the money going out,” she told GB News.

“Whether it’s the mortgage, or the gas and electricity bills, the weekly shop, or all of the money we all spend over Christmas, it is putting a huge toll on family finances and I think very few people are not feeling the effects of that today.”

Observation

Hon. R Reeves! With due respect, you were on monthly salary of £86,000 and could not make the ends meet:

“What makes me wince is when I look at my bank statement and I find that the money coming in is increasingly short of the money going out,” she told GB News.

Hon. R Reeves! Please advise on what grounds you Axed the pensioners of Winter Fuel Allowance, and Cost of Living allowance which was paid for years 2022/23 and 2023/24 in three instalments over the year in the sum of £900.00 was already withdrawn for 2024/25. Moreover, pensioners born before the year 1958 were paid additional £300.00 as Winter Fuel Payment that is also withdrawn.

Madam!  Withdrawing the benefit means, the Net Incoming of the pensioners is reduced. In other words it is Tax on their incomings.

Triple Lock and Increase in Pension of 5 years

Hon. R Reeves! As below is the extract of your speech to defend the Axe on over 10 million Pensioners:

The decision to withdraw the Winter Fuel Payments from over 10 million pensioners not claiming Pension Credits was defended today by the Chancellor Rachel Reeves.

In her keynote speech to the Labour Party conference in Liverpool, Rachel Reeves said

“It was made clear to me that failure to act quickly would undermine the UK`s financial position with implications for public debt, mortgages, and price, so I took action to make in-year savings necessary….to target the Winter Fuel Payment to those most in need, with the triple-lock ensuring the State Pension will rise by an estimated £1,700 over the course of this Parliament”.

The Chancellor went on to accuse the previous Government of leaving a £22 Billion `black hole` in the public finances in unfunded commitments”.

Observation

Hon. R Reeves! The essence of the above extract is to the effect that it was not your decision to Axe over 10 million pensioners depriving them the Winter Fuel Allowance and Winer Fuel Payments. It was:

“It was made clear to me that failure to act quickly would undermine the UK`s financial position with implications for public debt, mortgages, and price.

Hon. R Reeves! In short, to overcome the UK’s Financial Crises to cut ‘Spending’. Why to cut spending, because in New Labours manifesto, it was promised that there shall be No Increase in any type of taxes. As pensioners do have Occupational Pension and are employed and self-employed and may have investment income i.e. interest on savings and dividend on equity and preference shares, so you took action to Axe over 10 million pensioners other than who were on Pension Credit.:

so I took action to make in-year savings necessary….to target the Winter Fuel Payment to those most in need,

Hon. R Reeves! To compensate from withdrawal of Winter Fuel Allowance and Winter Fuel payment, you tried to console them:

with the triple-lock ensuring the State Pension will rise by an estimated £1,700 over the course of this Parliament”.

Hon. R Reeves! Increase in pension shall be, on average, £340.00 for each year. Pensioners, who are on just state pension and no other income are already suffering from the higher Cost of Living. How £340.00 increase in pension will help them to survive?

The chancellor, Rachel Reeves, is under fresh pressure this weekend over controversial plans to limit winter fuel allowance to the poorest pensioners, Hon. R Reeves! By law State Pension is taxable. It appears that for the Fiscal Year 2025/26 Pensioners state pension over the frozen Personal Allowance of £12,570.00 will have to start paying income tax.

How?

Basic Rate Pension

State Pension 2024/25                £218.15 per week    11,343.80

Increase from 6 April 2025           £227.25 per Week   11,817.00

New Pension Scheme

State Pension 2024/25                £221.20 per week    11,502.40

Increase from 6 April 2025           £230.30 per Week   11976.60

Frozen Persoanl Alloances                 £12570

Hon. R Reeves! In next three years the basic rate pension and New Scheme pension will exceed the personal Allowance and any increase in pension may be eaten away by income tax and professional charges i.e. Professional Accountant fee. Most of the pensioners after the age of 65 may not know how to fill Income Tax return. So they will have to avail the services of a professional accountant.

Hon. R Reeves! However, as per news 60 per cent of the pensioner’s income is already above the Frozen Personal Allowances.

Hon. R Reeves! To help pensioners not to pay income tax it will be a Good Gesture that Basic Pension and New Scheme Pension ought to be Exempt i.e. no income tax is payable, just like other benefits which are not regarded as income e.g. Pension Credit.

Means Tested

Hon. R Reeves! As below are the Extracts from google network:

The UK chancellor revealed plans in July to introduce a means test for the winter fuel payment, where only those on pensions credit would qualify, as part of a push to plug what she said was a £22bn black hole in the public finances left by the previous Conservative administration.

OBSERVATIONS

 

How Means Tested basis should have been applied

 

Hon. R Reeves! Means tested basis should have been based on the following basis:

 

Employed and Self Employed

 

Hon. R Reeves! Yes! It is acceptable that some of the pensioners over the age of 65 years were either working full time or part time or self-employed.  Winter Fuel Allowance of £200.00 and Winter Allowance Payment of £300.00 should have been withdrawn from such employees and self-employed people. However, if they do not earn enough they can look for another benefits e.g. Family Credit.                  

 

Occupational Pension

 

Hon. R Reeves! Pensioners who receive Occupational Pension, should have been withdrawn receiving Winter Fuel Allowance of £200.00 and Winter Fuel Payment of £300.00. Normally people who are on high salaries or large profits can invest in Occupational Pension before they are 65 years old. People on high salaries and businessmen have saving and investments where they receive interest or dividend. So it will be fair to withdraw Winter Fuel Allowance and Winter Fuel Payment.

 

How to find out Pensioners who are Employed and self Employed and receive Occupational Pension

 

Hon. R Reeves! It is age of Information Technology. Simply ask the HMR&C to provide you the names and addresses of the pensioners who are employed and self-employed and receive Occupational Pension which is taxable income. When you receive the list, you can inform the relevant pensioners by letter that they are not qualified to receive Winter Fuel Allowance of £200.00 and/or Winter Allowance Payment £300.00. Or publish a news to this effect where relevant pensioners become aware of. Moreover, it should also be published on Google Network.

 

COMPLAINTS

 

But many Labour MPs have reported being bombarded with complaints from constituents furious at the plan, which was not in Labour’s election manifesto.

Observations

 

Hon. R Reeves! It is natural phenomenon that when an Axe falls all of a sudden it affects heart and mind and has long term effect and impact on the lives of the pensioners who have no other income other than the state pension and/or pension credit.

 

IRON CHANCELLOR

She adds: “I know these are tough choices, especially on winter fuel. They were not the choices I wanted to make or expected to make, but they were the right choices to put our country on a firmer footing. Because by taking the tough decisions now to protect the public finances we can begin the process of change.”

Observation

Hon. R Reeves! It appears that, with due respect, you are trying to follow the footsteps of Gordon Brown who have been Chancellor of the Exchequer whenever Labour Party in power. However, he also served as Prime Minister until year 2010 when Conservative party came into power.

Hon. R Reeves! Project: Call for Peace is not aware of Gordon Brown’s the base of Monetary and Fiscal Policies. In short, his latest Fiscal Policy was that instead of creating the outlets to reduce unemployment his policy increased unemployment. For Example:

·       closure of Post offices which were run by Local Shops

 

·       merger of inland revenue and HM Custom and Excise

 

·       privatising Bank of England

Hon. R Reeves! In Radcliffe, Lancashire the post office in a local shop was closed and that eventually led to close the shop altogether.

Hon. R Reeves! Why there were no protests because Gordon Brown had always been in the Cabinet of the Labour government.

Hon. R Reeves! To reduce the budget deficit and public debt you also decided to adopt Tough Choices and it was and is the Pensioners, majority of them have limited income.

AGE UK PLAN

In a letter to Reeves, Age UK has put forward a detailed plan suggesting that, rather than limiting winter fuel payments to those on pension credit, the allowance should also be paid to two million more pensioners – those on a range of other benefits including housing benefit, council tax support, attendance allowance and carers’ allowance.

Observations

Hon. R Reeves! Age UK plan appears to be reasonable.

NO U – TURN

Asked if ministers would consider adopting Age UK’s plan and perform a partial U-turn?

A government spokesman said: “We are absolutely committed to supporting pensioners and giving them the dignity and security they deserve in retirement.

Observations

Hon. R Reeves! With due respect, the government spokesman denied to answer directly that there will not be U Turn to Age UK Plan. But justified not to take U Turn by saying

“We are absolutely committed to supporting pensioners and giving them the dignity and security they deserve in retirement.

Triple Lock

That’s why, through our commitment to protect the triple lock, over 12 million pensioners will see their state pensions increase by almost £1,000 over the next five years.

Observations

Hon. R Reeves! With due respect, the absolute commitment is supported by protection of Triple Lock and increase in pension of £1,000,00 over five years i.e. £200.00 for each year, £.3.84 per week.

OVERALL OBSERVATIONS

Hon. R Reeves! In short, there is no difference between the New Labour and Conservative policies. To boost the economy it is the poor and middle class has to suffer either by paying more taxes or cutting the benefits. Cutting the benefits is equivalent to raise taxes as there is low net income in their pockets.

Hon. R Reeves! New Labour under Prime Minister Tony Blair privatised remaining nationalised industries, introduced Tuition Fee and otherwise. Working and Blue Collar Workers did not see the day light which they expected,

 

Hon. R Reeves! In short, Winter Fuel Payments were introduced in the year 1997 by New Labour under the Premiership of Tony Blair:

 

The Winter Fuel Payment is a state benefit paid once per year in England and Wales to some people old enough to have been born before a specific date. It is intended to cover the additional costs of heating over the winter months. First introduced in 1997 as a universal benefit for pensioners, in 2024 it was changed so that it is only offered to pensioners who receive means tested benefits such as pension credit.

 

Madam! In the year 1997 the cost of living was not high. So the Winter Allowance Payment was not burden on the Budget. If we look at the real value of £22 billion it is not more than the real values of £xxx in the year 1997. Why? Inflation, deficits, saying Good Bye to Gold Standard, introduction of Credit Cards by banks and super stores and otherwise, where the circulation of money was and is increased, where the Cost of living is increased. Higher cost of living does not affect, the people earning high salaries or higher profits if they are businessmen.

 

State Pension Rates

 

Hon. R Reeves! The State Pension rates in the year 1997 were as follows:

 

The full basic state pension rate in the UK in April 1997 was £62.45 per week for a single person and £99.80 per week for a married couple: 

Status	Rate
Single person	£62.45 per week
Married couple	£99.80 per week

 

Hon. R Reeves! The State Pension rates for the year 2024/25 for single person are:

 

Date effective	a week	a year*
April 2024	£221.20	£11,502.40

 

Hon. R Reeves! The state Pension rates for Married couple are as follows:

 

In the 2024–2025 tax year, the full new state pension for a married couple in the UK is £442.40 per week, or £23,004.80 per year.

 

Hon. R Reeves! The increase in State Pension since year 1997 till 2024 is:

 

·       Single person          £221.20 less £62.45 =                 £158.75

 

·       Married couple        £442.40 less £99.80 =                 £342.60

 

 

Hon. R Reeves! Winter Fuel Allowance was introduced by New Labour under the premiership of Tony Blair based upon Universal credit and other benefits.

 

Hon. R Reeves! In the year 1997 the married couple was receiving State Pension only £37.35 (££99.80 Less £62.45= £37.35) more than the Single person, which is around 24 per cent higher than single person. While in 2024/25 married couple was receiving State Pension £221.20 (£442.40 Less £221.20= £221.20) i.e. 100 per cent more than the single person.

 

Hon. R Reeves! In the year 1997 the Cost of Living was much lower than in 2024/25.

 

De – Regulation

 

Hon. R Reeves! One of the reasons that cost of living is getting higher and higher due to pravastating of the nationalised industries and De – Regulating those industries. De – Regulation of industries meant that they can increase prices of goods and services as much higher as they wish.

 

Sanctions against Russia

 

Hon. R Reeves! As below are extracts from google Network in respect of invasion by Russia on Ukraine:

 

On 24 February 2022, Russia invaded Ukraine in a major escalation of the Russo-Ukrainian War, which started in 2014.

 

After 24 February 2022, in response to Russia’s military aggression against Ukraine, the EU massively expanded sanctions against Russia with the aim of significantly weakening Russia’s economic base, depriving it of critical technologies and markets, and significantly curtailing its ability to wage war.

 

Before the invasion of Ukraine, the world’s biggest recipients of Russian oil exports were the European Union, the US and China. Since then, the UK, US and EU have banned the import of crude oil or refined products from Russia.

 

The sanctions against buying Russian oil products took effect on 5 February 2023, introduced as part of the sixth package of restrictions, they were designed to complement the sanctions and price cap on Russian crude oil which were introduced in December 2022.

 

Hon. R Reeves! In short, sanction on importing the crude oil and otherwise increased the prices of fuel. Increase in the prices of the fuel had a “Gearing Effect” and prices of every consumer goods were increased including electricity and gas. To compensate for the increase in energy prices the UK government paid or given rebate in Council Tax to each household £150.00 and a loan of £400.00 which will be repayable when the energy prices will be reduced.

 

Hon. R Reeves! Moreover, Cost of Living Allowance was paid to Pensioners in three instalment for 2022/23 and 2023/24 of £900.00. When New Labour came in power, there were video clips in website: You Tube which speculated that    New Labour will leave the Cost of Living Allowance as pensioners have been suffering due to Higher Cost of Living. But the irony is New Labour, let alone, looking after the pensioners, they hit the pensioners with a heavy Axe and declared the Winter Fuel Allowance of £200.00 will only be given to people who are on Pension Credit. Furthermore, New Labour Axed the pensioners who were born before 1958 and were qualified for another £300.00 Winter Allowance Payment. 

 

Hon. R Reeves! There were protests against the withdrawal of Winter Fuel Allowance of £200.00 and Winter Allowance Payments of £300.00 by the Pensioners, Conservative and Liberal Party.

 

[Children’s Single Point of Access (C-SPA)

If you are a child or young person being abused or neglected, or an adult who is concerned about a child or young person’s safety and wellbeing]

CSPA has been campaigning against the Chancellor`s decision, announced without warning on 29 July, to withdraw the Winter Fuel Payment to most of the 12.8 million pensioners  not  claiming pension credits.

Hon. R Reeves! You defended:

Faced with that £22 billion black hole that the Conservatives left this year and with the triple lock ensuring that the state pension will rise by an estimated £1,700 over the course of this Parliament, I judged it the right decision in the circumstances we inherited.

The Observer has learned that the country’s leading charity for older people, Age UK, has written to Reeves with a specific proposal it believes will be fairer and that would prevent around two million pensioners being deprived of a payment it says they badly need.

In a letter to Reeves, Age UK has put forward a detailed plan suggesting that, rather than limiting winter fuel payments to those on pension credit, the allowance should also be paid to two million more pensioners – those on a range of other benefits including housing benefit, council tax support, attendance allowance and carers’ allowance.

“We think that, if the policy is to be introduced at all, then it shouldn’t happen so quickly, and if it is to happen in the future, the pool of pensioners entitled to winter fuel payment needs to be made far wider. There are different options for how to achieve this, but there’s no time to do any of them – or to make a big difference to pension credit take-up either – in the few months left this year.

“It’s important to understand that by aligning the means-testing of the payment with pension credit, the government is removing it from all pensioners whose annual incomes are above about £11,500 if they are single and £17,500 if they are a couple.

Asked if ministers would consider adopting Age UK’s plan and perform a partial U-turn, a government spokesman said: “We are absolutely committed to supporting pensioners and giving them the dignity and security they deserve in retirement. That’s why, through our commitment to protect the triple lock, over 12 million pensioners will see their state pensions increase by almost £1,000 over the next five years.

“We accept that the state of the public finances means that people of all ages who can afford to contribute more should be asked to do so, but surely no one can reasonably suggest that a widow living on her state pension and a tiny occupational pension, taking her income to a meagre £13,000 a year, is someone who ought to be in that category. And yet this is the result of the government’s decision. They need to think again.”

But many Labour MPs have reported being bombarded with complaints from constituents furious at the plan, which was not in Labour’s election manifesto. Last week, on a visit to Scotland, Reeves was told by a group of anxious Labour backbenchers that they did not believe the plans were fair.

She says she took difficult decisions, including cancelling road projects, reviewing the new hospitals programme and asking government departments to find savings, as well as limiting winter payments to all but the poorest pensioners.

She adds: “I know these are tough choices, especially on winter fuel. They were not the choices I wanted to make or expected to make, but they were the right choices to put our country on a firmer footing. Because by taking the tough decisions now to protect the public finances we can begin the process of change.”

“But given the dire state of the public finances we have inherited, it’s right that we target support to those who need it most while we take the difficult decisions needed to fix the foundations of our economy.

“Over a million pensioners will continue to receive the winter fuel payment and eligible pensioners will also be able to benefit from the £150 warm home discount scheme from October to help with their energy bills over winter.

 

Base of Axe on Pensioners

 

Hon. R Reeves! It is assumed that £22 billion ‘Black Hole’ left by Conservative govt., as per your statement, is payment to Pensioners of Winter Fuel Allowance and Winter Fuel Payments. The basic pension and new scheme pension is paid to the pensioners other than the £22 billion ‘Black Hole’.

 

Hon. R Reeves! You mentioned in your keynote speech to the Labour party Conference:

In her keynote speech to the Labour Party conference in Liverpool, Rachel Reeves said “It was made clear to me that failure to act quickly would undermine the UK`s financial position with implications for public debt, mortgages, and price,

Hon. R Reeves! With due respect, you forgot to tell who your advisors were. Was it the Prime Minister or otherwise. When you were advised did you or your advisors foresee the consequences of your move will have, especially, upon the pensioners?

Hon. R Reeves! In the New Labour Manifesto it was propagated that there will be no increase in NIC, tax rates and otherwise but it was not mentioned that Winter Fuel Allowance and Winter Allowance Payments will be axed other than the pensioners on Pension Credit.

During the build up to the election, Labour promised not to raise taxes for ordinary people, with the party’s manifesto stating: “We will not increase National Insurance, the basic, higher or additional rates of Income Tax, or VAT”.

Hon. R Reeves! No doubt you foresaw the consequences and you did not mention in the manifesto that winter fuel allowance and winter fuel payments will be Axed other than on Pension Credit.  Had Labour Party mentioned this in their manifesto, most likely, Labour Party would not have won the election? However, you and cabinet members of the Labour Party were aware of the consequences and were prepared to fight and defence.

 

Hon. R Reeves! So the Axe was dropped on more than 10 million pensioners all of a Sudden. Do you not think that the Psychological and Psychiatrical effect and impact upon the pensioners who had no income other than the state pension and Winter Fuel Allowance? For aged pensioners, who have some type of diseases, could have Heart Attack.

Hon. R Reeves! However, upon the advice of your advisors you thought of Axing more than 10 million pensioners:

so I took action to make in-year savings necessary….to target the Winter Fuel Payment to those most in need, with the triple-lock ensuring the State Pension will rise by an estimated £1,700 over the course of this Parliament”.

Madam! To justify your action to drop Axe on more than 10 million pensioners, appear to console them that there will be increase in state pension of £1700.00 over five years which will compensate more than 10 million pensioners.

 

Hon. R Reeves! Increase in pension of £1,700.00 over five years means that average increase will be £340.00 per annum that will eat the Winter Fuel Allowance. And what about the increase in Cost of Living?  Even now, since the sanctions on Russian crude oil and petroleum goods from Russia, the cost of living is going up and up due to the De – Regulation of all industries.

 

Hon. R Reeves! The diesel and petrol prices have been reduced to the level prior to the sanction on Russian Crude oil and petroleum goods but the energy companies, rather than reducing tariffs they are keep on increasing tariffs. As below is the example of Octopus Energy:

 

INCREASE IN PRICES

 

Prices Until Sep 2021

 

Electricity Price per unit                         14.04 Pence

 

Standing Charge per day                       14.07 Pence

 

Gas Price per unit                                 02.54 Pence

 

Gas Standing charge per day                 17.00 Pence

 

Prices Until Sep 2022

 

Electricity Price per unit                         18.72 Pence

 

Standing Charge per day                       23.22 Pence

 

Gas Price per unit                                 4.27 Pence

 

Gas Standing charge per day                 25.32 Pence

 

Prices since Sep 2023

 

Electricity Price per unit                         26.68 Pence

 

Standing Charge per day                       47.40 Pence

 

Gas Price per unit                                 6.71 Pence

 

Gas Standing charge per day                 26.16 Pence

 

Percentage Increase

 

From Oct 2021

 

Electricity usage                                    42.52 percent

Electricity Standing Charge                    104.04 percent

 

Gas Usage                                            68.11 percent

Gas Standing Charge                            48.94 Percent

 

From Oct 2022

 

Electricity usage                                    33.33 percent

Electricity Standing Charge                    33.04 percent

 

Gas Usage                                            68.11 percent

Gas Standing Charge                            48.94 percent

 

From Oct 2023

 

Electricity usage                                    104.03 percent

Electricity Standing Charge                    33.04 percent

 

Gas Usage                                            93.29 Percent

Gas Standing Charge                            03.31 Percent

 

Madam! The Super Stores increase the prices of consumer goods more than one way.

 

How?

 

No 1: Direct Inrease in Prices

 

Hon. R Reeves! Where the item is such where weight and quantity cannot be reduced the price is increased, say from £1.00 to £1.29 e.g. yogurt, milk, juices etc.

 

No 2: Decrease  in Quantity and/or Weight but Price remain the same

 

Hon. R Reeves! The quantity or weight of the item is reduced but price remain the same. For example:

 

·       Dough nut were priced 6 for £1.00. But to increase the price per unit those are priced 5 for £1.00. Customer just looks at the price. But when he goes home there are only 5 Dough Nuts.

 

·       Vegetable and Cheese Role used to be 10 for £2.00. To increase the price priced 9 for £2.00.

 

Hon. R Reeves! People with high Salaries and high profits can afford the rise in the prices of consumer goods. But the pensioners on mere state pension, how they can afford                       increase in cost of living.

 

Hon. R Reeves! To keep body and soul together they have to reduce the consumption of energy and/or cut down on food and drinks, holidays and outings to refresh themselves.. If the outgoings are more than incoming then they have to use credit cards, bank overdraft, payday loans at very high interest rates.

 

How Balance Left out of £22 Billion could be used?

 

Hon. R Reeves! Once the pensioners who do not qualify for Winter Fuel Allowance are eliminated and pensioners on Pension Credit are paid the Winter Fuel Allowance, the balance will be left out of £22 billion ‘Black Hole’ which will reduced the Budget Deficit.

 

Madam! Instead of reducing the Budget Deficit, the saving should be distributed to pensioners who are mere on state pension and do not have any other source of income. This distribution can be termed as ‘Cost of Living Allowance’.

 

Winter Fuel Allowance has been Part of the Budget, presumably since year 1997

Hon. R Reeves! Winter Fuel allowance has been part of the budget since 1997 introduced by the New Labour under the premiership of Tony Blair.

Hon. R Reeves! Yes! Pensioners with occupational pension, employed, self-employed, income from savings e.g. interest, dividends and otherwise do not qualify for Winter Fuel Allowance. But why not the savings used should be distributed among the pensioners who are merely on state pension and no other income, as Cost of Living Allowance.

Cost of Living Allowance

Hon. R Reeves! Pensioners were paid Cost of Living Allowance in three instalments £900.00 per annum for 2022/2023 and 2023/24. But withdrawn in 2024/25.

Cost of Living Payments

Hon. R Reeves! As below is the extract from Google Network:

For the winters 2022/2023 and 2023/2024, households received an additional Pensioner Cost of Living Payment worth £300 along with their Winter Fuel Payment. These payments are not being repeated for winter 2024/2025.

Hon. R Reeves! Presumably, additional Cost of Living of £900.00 were for pensioners who were born before the year 1958. But you eliminated in 2024/2025. Madam! On What grounds. Pensioners on just basic pension, who have no other source of income, Cost Living Allowance has been withdrawn?

Is this not INJUSTICE?

Observation

Hon. R Reeves! The cost of living in 2022/23 and 2023/24 were lower than 2024/25. On what grounds the pensioners are penalised when the cost of living in 2024/25 is high and keep getting higher

Package of Measures Announced by the Labour government

Hon. R Reeves! As below is the first clause of your Executive Summary:

On 8 July, the Chancellor of the Exchequer announced that she had instructed Treasury officials to undertake a rapid audit of public spending. This document sets out the outcome of the audit, the immediate action the government is taking in response, and the long-term measures being introduced to restore public spending control.

Observation

Hon. R Reeves! With due respect, why you did not ask the Treasury Official to undertake audit of the Pensioners i.e.

·       Pensioners receiving Occupational Pension

·       Pensioners employed

·       Pensioners self-employed

·       Pensioners unearned income e.g. interest on savings, dividend on investments

·       Pensioners employed born before the year 1958

·       Pensioners self – employed born before 1958

·       Pensioners had no income other than State Pension

·       Pensioners trade in securities on Stock Exchange Market

·       etc. etc.

Hon. R Reeves! Treasury could obtain the information directly from HMR&C.

Madam! However, with due respect, you thought the pensioners are easy target and you Axed them that no pensioner other than Pensioners on Pension Credit qualify for Winter Fuel Allowance. There were protest From Age UK and other charity organisation but you turned “Deaf Ear” to them, simply saying that they will be compensated by increase in their pension of £1,700.00 over five year.

Cutting Spending is not Solution to reduce or eliminate Deficit and Public Debt

Hon. R Reeves! For example: Business profits cannot be increased by reducing expenditure. Business profits can be increased or losses can be eliminated by increasing the prices of the good and services. For example: where household expenses are more than the income then either head of the house has to work more than one job e.g. in the evening or over the week end and/or woman of the house also have to work.

Hon. R Reeves! High salaried people and high profit entrepreneur should be taxed at higher rates. They can easily pay higher rates taxes because excess of net income after household expenses is just like “Hoarding”. Please read article: Message to Rich Men.

Hon. R Reeves! The 45 percent tax rate should have been increased by 5 per cent. In the early 70s when there was Labour government there was Surtax as well.

Hon. R Reeves! Government has no source of incoming other than income tax, VAT, Capital gains tax, inheritance tax, wealth tax, excise duty and otherwise. So when the Public Spending is worked out the tax rates ought to be bringing the revenue, at least, equivalent to the Public Spending, if not more than the Public Spending.

Hon. R Reeves! There has been no increase in Income Tax Rates. As below is the table:

INCOME TAX

 

Hon. R Reeves! Main personal allowances and reliefs: 25/26  and 24/25

 

·       Personal allowance* £12,570 £12,570

 

·       non-dividend, non-savings income 25/26 24/25

 

·       20% basic rate on taxable income up to £37,700 £37,700

 

·       40% higher rate on next slice of income over £37,700 £37,700

 

·       45% additional rate on income over £125,140 £125,140

Best Way to Reduce Deficit and Public Debt

Hon. R Reeves! Labour Party assumed power after 14 years for 5 years. What the Labour Govt., should have done was to let the Public Spending go on as it was under the Conservative Party governments. In the first year Labour Government should have Audit the Public Spending and tax payers evading income tax and other various taxes. For example:

Evasion of Taxes

·                 It normal course that every business: from corner shop to super store does not disclose their full sales in order to evade VAT and income tax and various other taxes. Investigation should be done and double the amount of tax evaded should be charged as Penalty. The simple way to find out the under declared sales is that when the Professional Accountant submits the accounts he must disclose the “Cash Difference” and if the OUT VAT is provided in the accounts as current liability and how much. HMR&C ought to compare the yearly sales as per financial Trading account with the output declared on four quarterly VAT Returns. If there is a difference then compare the difference which the professional accountant has exposed in the financial accounts.

 

·                 Moreover, local shops and otherwise buy stolen goods in cash and obviously there is no invoice. So the shopkeeper is bound to under declare his sales.

 

·                 Investigate if the full time salaried worker in not working part time in the evening or otherwise and is paid in cash and he does not disclose his other income.

 

·                 Moreover, Super stores and multinational companies also do not disclose full sales whereby either show lower profit or loss. There are videos uploaded on website: You Tube that the Billionaires i.e. the owners of the big stores and multinational companies use Dark Money by buying   expensive properties in foreign countries and also transfer money in foreign banks. They also use the Dark Money to enjoy luxurious life. How do they book the holidays in hotels where the rent for one night id thousands of sterling pound?  

Enron

Hon. R Reeves! For example: take the case of Enron an American energy company. As below are the extract from Google Network;

The Enron scandal was an accounting scandal sparked by American energy company Enron Corporation filing for bankruptcy after news of widespread internal fraud became public in October 2001

Many executives at Enron were indicted for a variety of charges and some were later sentenced to prison, including former CEO Jeffrey Skilling. Then CEO and Chairman Kenneth Lay was indicted and convicted, but died before being sentenced.

Arthur Andersen LLC was found guilty of illegally destroying documents relevant to the SEC investigation, which voided its license to audit public companies and effectively closed the firm.

By the time the ruling was overturned at the Supreme Court, Arthur Andersen had lost the majority of its customers and had ceased operating. Enron employees and shareholders received limited returns in lawsuits, and lost billions in pensions and stock prices.

 

 

Hon. R Reeves! Energy is such an invisible commodity that no household and commercial organisation can survive without the use of energy. So they have to pay the bills. However, the energy company may lose if the house hold or commercial organisation goes bankrupt or administration. The directors of the energy companies become well of at the cost of the suppliers of the energy. How? They receive the money from their customers but do not pay the suppliers.

 

Hon. R Reeves! I should go after big business tycoons and not the Old Age Pensioners who worked hard all their lives.

 

Palmer & Harvey

 

Hon. R Reeves! As below is the article published in the Google Network in respect of Palmer and Harvey that went into administration in the year 2017:

 

Palmer & Harvey collapsed with debts of more than £700m

This article is more than 6 years old

The wholesaler, which supplied retailers included Tesco and Sainsbury’s, called in administrators in November

Sarah Butler

Tue 23 Jan 2018 18.28 GMT

Groceries wholesaler Palmer & Harvey had debts of more than £700m when it collapsed in November, according to an administrators’ report published on Tuesday.

The group, which delivered goods to 90,000 grocery and convenience stores, including Tesco, Sainsbury’s and the Costcutter chain, called in administrators in November, resulting in nearly 3,000 redundancies.

At the time of its collapse, the company owed £453m to suppliers, £66m to tobacco companies Imperial Brands and Japan Tobacco and £187m to banks led by Barclays, according to an update from administrators PricewaterhouseCoopers.

The report reveals that Palmer & Harvey faced “cash flow pressures” in the early part of last year after losses more than doubled to £63.8m in the 53 weeks to 8 April, from £28.5m the year before.

PwC added that P&H had planned to restate accounts for prior years after a review found omissions and misstatements. These included incorrect recognition of supplier income from a particular supplier, incorrect accounting for royalty payments to customers and incorrect accounting for stock valuation for one particular category of stock.

The latest revelation comes after the Guardian revealed that P&H directors, former directors and other shareholders had received more than £70m in cash from the grocery wholesaler over the past nine years despite ongoing losses. The company also paid out more than £80m in bank interest charges from 2008 when it was taken over in a deal – a £345m management buyout largely funded by debt.

Sign up to the daily Business Today email or follow Guardian Business on Twitter at @BusinessDesk

Frank Field MP, the chairman of the work and pensions select committee, is investigating events at P&H and preparing a report for parliament after it emerged that the company’s pension deficit had ballooned to as much as £80m while shareholders continued to take dividends.

As part of his investigation, Field wrote to former P&H chairman Chris Etherington, who received a £5.9m loan to buy shares in the company from an employee benefit trust in 2006 and was entitled, along with his wife, to about £2.5m in dividends from 2009.

Etherington told Field that he repaid £2.5m of the loan. The former executive also said he had acted to reduce payments to shareholders and reduce the pension deficit while he was in charge of P&H before standing down in 2016.

FORENSIC ANALYSIS OF THE FOLLOWING EXTRACTS OF P&H INVESTIGATION

 

Hon. R Reeves! Following extracts of the investigation reveal that how the Chairman Chris Etherington appears to have abused his power to take a loan, from the Employee Benefit Trust of the company, of £5.9 million to buy shares the P&H and he and his wife received dividend of around £2.5million from the year 2009. Moreover, the loan of £5.9million appears to be unsecured and no interest payable. If the chairman Chris Etherington wanted to buy the shares in P&H he could have borrowed from a source other than P&H, for example a bank. But the bank would need security and also interest to be payable along with the capital every month.

 

Frank Field MP, the chairman of the work and pensions select committee, is investigating events at P&H and preparing a report for parliament after it emerged that the company’s pension deficit had ballooned to as much as £80m while shareholders continued to take dividends.

As part of his investigation, Field wrote to former P&H chairman Chris Etherington, who received a £5.9m loan to buy shares in the company from an employee benefit trust in 2006 and was entitled, along with his wife, to about £2.5m in dividends from 2009.

Hon. R Reeves! Alhamdu’lillah! I started the Clerk of Articleship with a firm of Chartered Accountants at London in England and rendered my services to the firm for 13 years. While preparing and auditing accounts of the limited companies, never came across that Director’s current Account is in Debit. If there was Directors Current Account in the company Accounts in the Balance Sheet, it would have to be in Credit as company may need some financial support. Moreover, if I remember, there was a clause in the Company Acts that the Directors of the company cannot take Loan from the company as the assets of the company Shareholder’s property.

Hon. R Reeves!! There are comments by the public in respect of the abuse of power by Chairman Chris Etherington. These are processed in separate article: Comments Re – Palmer & Harvey Abuse of Power.

Hon. R Reeves! With due respect, you are after the pensioners, who if, for the sake of argument, are evading income tax, cannot be as much as that will fill the ‘Hole’ of £22 Billion, where you are going to inspect their bank accounts. No doubt there are pensioners who are millionaires and billionaires. With due respect, why you do not ask the HMR&C to investigate them.

Public’s Reaction Re – Withdrawal of Winter Fuel Allowance

 

Hon. R Reeves! UK Pension Plus highlights reaction over Fuel Payments Cuts on behalf of the public in a video clip uploaded on website: You Tube.

 

Controversy over Winter Fuel Payments Cuts and Chancellor’s Expense Claims

Published 28 Nov 2024

 

Welcome to UK Pension Pulse! In this video, we’re unpacking the controversy surrounding the UK government’s recent decision to cut Winter Fuel Payments for millions of pensioners while shining a spotlight on the growing outrage over Chancellor Rachel Reeves’ expense claims.

 

These critical issues have stirred debates on fairness, austerity, and accountability in government spending. We’ll discuss how these Winter Fuel Payment cuts, aimed at addressing a £22 billion financial shortfall, are leaving countless pensioners vulnerable during a time of soaring energy costs and inflation.

 

Meanwhile, revelations about MPs collectively claiming over £400,000 for energy bills, including £4,400 by the Chancellor herself, highlight glaring inequalities.

 

With advocacy groups warning of increased risks for pensioners and the public expressing anger over perceived hypocrisy, this situation has become a flashpoint for broader concerns about governance and public trust. Join the conversation in the comments section:

 

·       Do you think the cuts to Winter Fuel Payments are justified?

 

·       Are MPs’ expense claims fair given the current economic climate?

Observation

 

Hon. R Reeves! How the Chancellor of the Exchequer is Rachel Reeves justifies claim of energy bills of £4,400.00 every year and deprive Pensioners £200.00 or/and £300.00 Winter Fuel Allowance?

 

Hon. R Reeves! It is said that the Law allows them to claim energy bills for second residency in London. Hon. R Reeves! MPs and House of Lords are the Law makers. They can make the law that benefits them and use tax payer’s money. But the pensioners who worked all their lives, paid taxes they are to suffer.

 

Signatures for New General Election

 

Hon. R Reeves! With due respect, it appears that mainly it is withdrawal of Winter Fuel Allowance of Pensioners other than Pensioners on Pension Credit has caused the public, media and political parties to protest and ask for New General Elections.

 

Hon. R Reeves! Crown Debate on website: You Tube is propagating that there are over 2.5 million Signature demanding New General Elections:

 

 

Hon. R Reeves! The video clip is entitled:

 

1 MINUTE AGO: Starmer Shocks the Nation with Live Announcement After Millions Demand New Elections!

 

Political Moves are Like Game of Chess Moves

 

Hon. R Reeves! In the game of Chess when the first party makes a move, the other party has to visualise about millions of moves before he makes a move. This is why when professional chess players play a match, it may take many months to complete.

 

Hon. R Reeves! The Chancellor of the Exchequer is a politician. No doubt the budget drafted by him or her is discussed with the members of the party and the Prime Minister has to give his approval. While discussing the draft Budget they ought to discuss about what ‘Gearing’ effect’ and ‘impact’ it will have domestically, nationally, internationally, small, medium and large businesses. Poor, middle class and rich class and otherwise. Moreover, how the public, media, political party will react to the Budget.

 

 Hon. R Reeves! In the New Labour manifesto there was no mention that Winter Fuel Allowance shall be withdrawn from the pensioners other than who are on Pension Credit. Why New Labour did not mention this fact in their manifesto? They must have visualised that if it was mentioned in the manifesto, more or less, 12 million pensioners may not vote for the New Labour Party. Moreover, the other political parties have exploited.

 

Hon. R Reeves! DO YOU NOT THINK THAT THE PEOPLE,

PARTICULARLY, PENSIONERS HAVE BEEN CHEATED?

 

Hon. R Reeves!

“We are absolutely committed to supporting pensioners and giving them the dignity and security they deserve in retirement.   If the Inspector of taxes is not satisfied then investigate if the director’s remuneration or drawing from the business is reasonable to justify his standard of living

Frank Field MP, the chairman of the work and pensions select committee, is investigating events at P&H and preparing a report for parliament after it emerged that the company’s pension deficit had ballooned to as much as £80m while shareholders continued to take dividends.

As part of his investigation, Field wrote to former P&H chairman Chris Etherington, who received a £5.9m loan to buy shares in the company from an employee benefit trust in 2006 and was entitled, along with his wife, to about £2.5m in dividends from 2009.

Etherington told Field that he repaid £2.5m of the loan. The former executive also said he had acted to reduce payments to shareholders and reduce the pension deficit while he was in charge of P&H before standing down in 2016.

OVERALL OSERVATIONS

 

Hon. R Reeves! In short, the ‘Politics’ of every country in the world is based on ‘Capitalist System’ where the object of life has become accumulation of ‘Monetary Units’, gain ‘Power’ and ‘Abuse of Power’.

Hon. R Reeves!  It is not only the case of Enron and Palmer & Harvey where directors of the company have abused their Power at the cost of the supplier of goods and services, employees of the company and shareholders of the company. Moreover, it is loss to the Treasury because the work force unemployed will not pay any income tax and NIC, but will also claim Job Seeker’s Allowance and other benefits out of the employed taxpayer’s money which will increase budget Deficit and Public Debt. So far as the fraudulent Directors are concerned they have their ‘Jackpot’ and start another independent outlet and get away what they have done fraudulently. For example Comments as below:

Nigel Grist

7 years ago

Further to my comments above, I’ve discovered that Etherington has set up Chris Etherington Ltd with his wife. So ‘I’m all right Jack’

Companies House website shows that the Company is involved in Management Consultancy, but not Financial Consultancy. I wonder why?

Maybe he’s keeping his £3 million under the bed ready for him being forced to hand it back!

There seem to be skeletons falling out of cupboards everywhere regarding P&H.

Such a shame, as I and many others used to look up to these subsequently disgraced individuals.

Hon. R Reeves! These fraudulent activities had been going on prior Enron and Palmer & Harvey and are still going on after Enron and Palmer & Harvey. Hon. R Reeves! Instead of going after Old Age Pensioners, I should go after the business tycoons. The HMR&C ought to investigate, forensically, the Income Returns of the Directors of the Super Stores along with their private lives e.g. properties, cars, holidays etc. etc. Hon. R Reeves! Moreover, I should investigate where, the claimant of the state benefits Abuse the System of Benefits.

Madam! With due respect, the Law Makers also Abuse their power to enact law for their own benefit. How? This is a separate subject. Insha’allah! A Post will be created on website: www.cfpusapolitics.co.uk.

CONCLUSION

Hon. R Reeves! The conclusion is ‘Politics’ is according to Muslim Scholar Imam Ghazali (RA) is:

   ‘Politics’ is to reform public and lead them to the ‘Right Path’ that leads to success in this world and the life hereafter.

 

  ’Politics’ is the ‘Policy’ that creates respect, love, affection, unity among the people.

Hon. R Reeves! to create environments of ‘Peace and Harmony’. The ‘essence’ of Peace and Harmony is ‘Honesty’ and ‘Integrity’ which has evaporated by the love of ‘Wealth’ and ‘Abuse of Power’. Hon. R Reeves! The irony is that the ‘Politician’ and ‘Business Entrepreneur’ talk and proclaim about ‘Honesty’ and ‘Integrity’ but, unfortunately, they do not implement in their own life.

Hon. R Reeves! The Muslim Scholar Imam Kholani (RA) defined the ‘Politician’

The example of a ‘Politician’ is like a large and purified fountain of water. The water from the fountain is flowing in the adjoining canal.

If people make the water in the canal dirty by taking bath or washing dirty clothes, the purified water from the fountain will flow again in the canal and replace the polluted element.

However, if the water in the Fountain is dirty and not purified, then the polluted water will flow in the adjoining canal.

People cannot be reformed and rehabilitated unless and until the ‘Politician’ is ‘Honest’ and Integrate’.                                                

Hon. R Reeves! Muslim Scholar Ahmed bin Omer bin Abdullah (RA) say:

I make Dua’a to Allah (SWT) that He (SWT) gives Toffeeq, with His (SWT) Grace, to the ‘Politicians’ to be ‘Righteous and ‘Pious’ as the success in this world and life hereafter is hidden upon the ‘Honesty’ and ‘Integrity’ of the Politicians.

Hon. R Reeves! It is time to Sponsor project: Call for Peace to convey Messages to Look for Peace at international level.

May Allah be with You

 

Please Remember in Dua’as

 

Wass’a’lam

 

Naseer Aziz

 

Principal Call for Peace

 

Messages to Look for Peace

 

PS:

Sponsorship

Hon. R eeves! Please read the Post: Sponsorship in the Navigation Bar as to why it is needed to keep conveying the Messages to Look for Peace until the Day of Resurrection and how it will be expended until the Day of Resurrection.

Wass’a’lam

PS:

 

Hon R Reeves!  If after reading the representations of the project: Call for Peace, the Public Authorities are not ready to Sponsor Messages to Look for Peace, then it is clear like Day Light that they are Pretending to Look for Peace, but they do not like Peace to Prevail.