IMF rubbish VAT cut

The Chief Economist for the IMF has said the VAT cut is a waste of time. It will not have the desired effect and will be hugely expensive.

LA has now narrowed down to 2 people the moves proponents, a Mr Darling and a Mr Brown , both of Downing Street London. It appears no one else in the world believes it to be a good idea. Lord Allesley can confirm he has spoken to Labour front bencher's who disagree with it. One described it as "crackers" and a "massive waste of money".

So whilst our PM and Chancellor live in their world of delusion, the nation will pick up the bill.

LA

Labour MEP's show true colours in hours vote

LA has spent far more time than he should have with MP's Ministers and MEP's of all party's.
Labour MP's on the whole are reasonable people, with a vaguely sensible and pragmatic approach to life.(There are some serious exceptions). Labour MEP's are however a different breed. LA has found the vast majority to be rabidly left wing and in LaLa land.(there are again exceptions).
LA has often thought that the crazy labourites are packed off to Brussels to stay out of trouble.

There is of course a flaw in this plan. The majority of legislation and red tape flows from Brussels. This Mafia of Madness that is the European Labour Party has a major influence upon us all.

Today they really showed their true colours (USSR Red). Against their own party and their own government(and against their own citizenry if polls are to be believed) they voted to abolish the Opt Out for the Working Time Directive.

What right do they have to tell any man or woman in Britain the maximum hours they can work. How can they interfere in peoples lives in such a way.

A socialist and trade Union based dogma that the less we all work, the more we all gain pervades these people. Logic and common sense, that people have choices, and should have choices, are ignored in their 1984 dystopia.

LA is appalled, and also concerned, is this the True Face of New Labour. Nationalising banks that were allowed (via misregulation) to go all but bust, taxing the wealth creators to the point they may leave, taxing the working classes and then handing them tax credits so they are beholden to the state. And now finally dictating how and when we can work.

LA objects and awaits the police knock on the door for questioning our beloved government.

Was Orwell out by 25 years?

LA

Royal Mail is a Mess, plundered by Brown

The Royal Mail is a Royal Mess. The Hooper report merely clarifies the obvious. It does however appear to want to refuse to grasp the nettle. The abolishment of a Quasi Monopoly.

12 years ago the Royal Mail was an inefficient monopoly. It made a handsome profit, it paid into its pension fun. The fine Mr Brown then decided to steal all its profits, he also plundered its pension pot.

He decided that he would employ Messer’s Leighton and Crozier. The two new appointees rather than modernising this fine institution and preparing it for the new millennium, decided to dogmatically protect its monopoly, and by default strengthen the CWU.

So what has this left us: a lower service level, more expensive post, a strong and Ludite union, oh and huge losses.

Here is the Lord Allesley plan for the Royal Mail.

Break it up and privatise it!

This increases competition, creates efficiency, plugs the pension and gives greater service. At the same time it protects the Universal Service.

The plan looks like this.

Inputing to the system can be by anyone with a licence, TNT, UK Mail, you name it.

For delivery break the UK into regions, some rural, some urban. Obviously urban makes money, rural potentially loses.
Then bundle up the areas and sell franchises(the Royal Mail) for bundles. It works like this:
Whoever gets (for example) Greater London , also gets Highland and Islands. If you get Manchester you also get Cornwall.

Any company can bid for these bundles, they may pay, they may just offer to take on the pension deficit. In the tender process they not only agree to a fixed minimum handling fee per letter (preserve the Universal Service), they also put in their service levels such as time of latest delivery etc.

These contracts would be 5 years for starters, after that we would have real proof of delivery. Only those that give the service levels will get new licenses.

This way we introduce competition, we get customer service. Potentially the Treasury even makes money.

LA admits this plan needs to be refined. It is however the only way forward.
It is seamless to the consumer and painless for the taxpayer.

Dont just dish out cash in bail outs!!!

As the Government eyes up a bail out for automotive, following the failed bailout of the banks, LA ponders the missed opportunity.

LA knows the public sector is useless at investing its money, projects over run and come in over budget.

Here is an opportunity to change that. Offer the banks and the automotive industry money on condition that their staff and senior management work in the public sector. So if Jaguar needs half a billion, buy its peoples time. It could go on factory shut down for 6 months, its factory workers will be working for the public during that time, its project managers would be getting some commercial sense hammered into the public sector, and the bailout would then not be just a give away. Government wins, tax payer wins, workers keep their jobs and Jaguar maintains its skilled workforce. This has got to be better than just handing them cash, as we have done with the banks. It also beats putting the staff on benefits, for which the nation will see nothing in return. It also helps the government get on top of its woefully managed public sector contracts.

LA is trying to work out why this is not a good idea, why it wasn't done with the banks and why the government will not do it now. Any suggestions?