Greece: You cannot impose economics on such a politicised people

Paul Mason's commentaries from Greece have been invaluable as we try and make sense of this confrontation between neoliberalism and democracy. Follow him on Twitter @paulmasonnews

This is his latest video blog:

Greens call for a People's Constitutional Convention following revolutionary levels of engagement in Independence Referendum

Votes at 16 Campaign reaction the day after

From the Green Party of England and Wales

Following the defeat of the “Yes” campaign in the Scottish referendum on independence, the Green Party would like to congratulate all those who were involved in mounting such an inspirational ‘Yes’ campaign.

The ‘Yes’ campaign has played a vital role in throwing-open questions about the support for our current constitutional settlement – questions that will not go away simply because of a defeat for the “Yes” campaign. The debate triggered by the referendum has illustrated how people across the country have been left feeling unrepresented and neglected by Westminster policies and politics.

It is clear that the “business as usual” approach to politics favoured by the three main parties is no longer resonating with the voting electorate.

There is now a real opportunity to mount a serious reassessment of our political system – including a debate over the introduction of a written Constitutional Convention and Bill of Rights.

Natalie Bennett, Green Party leader, said:

I congratulate the 'yes' campaigners in their positive, hopeful campaign that attracted so many to a message of real change. Despite the result, however, it is clear that real, significant constitutional change is now certain - in Scotland, and the rest of the UK.

The Coalition Parties and Labour have promised the people of Scotland 'devo-max', and many 'no' voters will have made their choice on that promise. They have to deliver on that; and those changes will also mean there has to be political change in other parts of the UK, and particularly at the Westminster parliament.

Long overdue political reform is clearly now on the public agenda. The kind of party stitch-up that saw Lords reform fall apart in this parliament cannot be allowed.

It's nearly 100 years since we had significant constitutional reform in Westminster - when women got the vote. We cannot afford for the future of our democracy to get to that anniversary in 1918 without significant change.

Yesterday Caroline Lucas, Green MP for Brighton Pavilion write this Open Letter to Messrs Cameron, Clegg and Miliband:

Whatever the outcome of today’s referendum about the future governance of Scotland, there seems to be a strong consensus that nothing will ever quite be the same again. People in Scotland have been granted their right to be heard and have used the opportunity to imagine all kinds of positive futures.
Alongside the official Yes and No campaigns, we have seen the growth of genuine grassroots movements, giving everyone a voice. Across the nation, people previously disengaged from formal politics have been passionately debating what matters to them – all because they have a decision to make in which their individual vote really will influence the outcome.

For many of these people, voting had previously become merely an exercise in democracy rather than true democracy – casting a vote made little tangible difference to the outcome of elections, let alone their day to day lives.  The referendum has newly enfranchised them because every vote counts.  It’s also invited a whole new generation of young people to shape their own futures.

We have a unique opportunity, at this point in our history, to learn from what has happened during the referendum campaign. To recognise that behind the ever declining turn out in General Elections, especially amongst young people, the disillusionment and distrust, there is another story. One in which people are not disengaged from politics, simply from a political system that is not good at listening, that conspires to keep people relatively powerless and is designed to protect the interests of a small, self-interested and wealthy elite.

You did a brave and bold thing, ceding some of your power via a referendum.
You have also made promises, in the event of a No vote, to devolve more powers to Scotland – a welcome move that that has wider implications. The next steps must not be decided without full and proper consultation with everyone affected.

So I hope you will be braver still and demonstrate a genuine commitment to democracy by supporting calls for a People’s Constitutional Convention. A Convention to explore, discuss, debate and inspire. To tackle the democratic crisis that has left far too many people feeling unrepresented, neglected and alienated by Westminster.

A continuation of the conversation that has begun in Scotland – and England and Wales and Northern Ireland – about a fairer voting system, an elected House of Lords, job sharing for MPs, lowering the voting age, giving local communities and local authorities more power, including via local referenda and citizens initiatives, more regional government and total recall for elected politicians.

It’s an idea that’s already being championed the Electoral Reform Society, Open Democracy, Compass, Involve, Democratic Audit and the chairman of House of Commons’ Political and Constitutional Reform Committee, amongst others.

Above all, it would demonstrate a genuine commitment to real democracy and embody the principle that power flows upwards from the people, not down from a centralised state. Scotland has shown that this is the way to build engagement in the decisions that affect all of our lives – by respecting, trusting and listening. This is also the way to give people hope again.

I hope you will join me in supporting a People’s Constitutional Convention as the way forward.

A petition calling for A People's Constitutional Convention is now up on the Change.Org website LINK

Brent's 2015-16 budget gap could still justify council tax referendum

Reflecting on Muhammed Butt's declaration yesterday that there were 'no plans to change course' on freezing council tax for the 2014-15 budget, I wonder what his plans are for 2015-16. In October the Council forecast a deficit for that year of  £34m (see below) a huge amount that on the council's own reckoning will put essential services at risk.

As political parties are deciding their manifestos for the May local elections surely they should be saying something about this crisis waiting for them in their first year of office.

In that respect a manifesto pledge to have a referendum on increasing council tax would make sense. Rank and file Labour party members and the wider public could than have a say and it could provide a launch pad for similar moves by other local authorities.  I do not think increases in council tax are the answer to the huge cuts in local authority funding, that of course requires the restoration of adequate funding, but a national debate post May 2014 leading up to the General Election in 2015 could feed into that demand. It will certainly put the future of local government on the General Election agenda.

The referendum debate in Brent, unlike in Brighton and Hove, may be closed in terms of the 2014-15 budget but should be very much a live issue for 2015-16. The electorate need to know how the competing parties would tackle the issue.

Meanwhile on February 4th the Budget Finance and Overview Scrutiny Committee will be discussing the draft budget for 2014-15. No details are included on the agenda except for the following statement:

The Budget and Finance Overview and Scrutiny Committee will discuss and make recommendations on the draft 2014/15 budget. Councillor Ruth Moher, Lead Member for Corporate Resources and Deputy Leader of the Council, will present the draft budget and answer questions from members. While the committee will lead the discussion, this meeting is intended to give all non-Executive members the opportunity to participate in the budget scrutiny process and raise any questions or comments they may have on the draft budget.

These are the figures published on Wembley Matters in October 2013 LINK that signalled the upcoming crisis:
 

	2014/15	2015/16	2016/17
	£m	£m	£m
Budget Gap at Council Feb 2013	20.4	17.1	17.3
Reductions in Revenue Support Grant	2.0	13.0	1.0
Business Rate Top-Up	-0.1	-0.4	-0.2
Additional Council Tax Freeze Grants	-1.0	-1.1	2.1
Business Rates - share of growth from baseline	-1.9	-0.7	-0.6
New Homes Bonus	0.5	2.7	-0.1
Collection Fund Surplus	-2.4	2.4
Council Tax Base	-1.3	-0.2	-0.3
Other Grants	-1.1	0.8
Capital Financing	-2.0
Latest Budget Gap	13.1	33.6	19.2

Brent Labour debating Referendum on raising Council Tax

Brent Council leader Muhammed Butt last night told the audience at Willesden Connects that a vigorous debate was going on in the Labour group about the possibility of Brent Council staging a referendum on raising Council Tax.

This follows the decision of the Green Brighton and Hove Council to seek such a referendum in order to raise Council Tax to protect Adult Social Services. When I tweeted this story Cllr James Denselow, Brent Executive member tweeted back that he was 'very interested to see how this goes'.

Unfortunately the Labour Party in Brighton and Hove have opposed the Referendum LINK and are to move a vote of no confidence in the minority Green administration.

Brent Labour's discussion reflects the large cuts expected in 2015-16 and London Councils' warning LINK that 'without significant changes to the way cuts are applied many boroughs will quickly reach an unsustainable position, and that will affect local services'.

Brent finance officers have warned for some time that continuing the Council Tax freeze risks seriously undermining the council's revenue base.

Muhammed Butt himself said at Willesden Connects that a rise in Council Tax would affect the poorest people who are now expected to pay 20% of the tax. This ironically was the basis of the demonstration at Full Council on Monday when the protesters wanted that group protected - something that has happened in other boroughs and where Brent's poorest pay the second highest rate in London.

Interestingly in Brighton the GMB union has welcomed the Green move. Mark Turner the city;s GMB organiser said:

This new budget would protect frontline services in adult social care. Cuts would have absolutely terrible consequences on people’s lives. It is only right that the public have a chance to vote on this proposal.

In the Local Government Chronicle, LINK after doubting whether the referendum move would get past the combined Labour and Conservative vote(32 against the Green's 21)  Emma Maier nevertheless wrote:

A referendum in Brighton would truly be democracy in action. Whatever the outcome, this is a historic case. The local and national news stories will go some way to disabusing people of the common perception that council services are funded entirely from council tax, and will ensure that more people are aware of cuts to central funding.

If a referendum were to be held a 'no' vote would probably finish off Britain's first Green administration. But it could also open up a conversation about publicly sanctioned services cuts – and a debate about the role of local government in future.

A 'yes' vote, meanwhile, could change the whole dynamic between central and local government, and between voters and the council. The implication would ripple much further than Brighton's beaches.

The latter scenario is unlikely. But if it can happen anywhere, it would be Brighton.

In a letter to the Guardian today Baroness Ruth Lister of the Labour Party, Chair of Compass Neil Lawson and John Hilary write:

The decision of Brighton council to hold a referendum on whether to increase council tax to pay for essential services is a bold commitment to democracy and equality. Everyone is feeling squeezed as a result of the Tories' draconian cuts to local government and public services, but a political contest over which party will manage austerity more effectively won't change the terms of debate. Money raised collectively, spent collectively and targeted where there is the most need is as essential in Brighton as it is across the UK.

Of course the referendum is not the answer in the long-term, and still makes the poor pay for the crisis, but  it does open up a debate about the adequate financing of local government service.  We have to focus on the disastrous impact of funding cuts on the vulnerable, and the possible deaths that may result.  That is why some are referring to the Brighton referendum as the Social Care referendum, rather than the Council Tax Referendum - this puts the emphasis on the provision of vital services rather than taxes.

This weekend Young Greens are descending on Brighton in large numbers to campaign for the referendum. See thir article on Left Foot Forward HERE 

Here is another view from columnist Simon Jenkins LINK

Green's '3 yeses' on Europe: referendum, reform, remaining

 Green Party leader Natalie Bennett said today that the Green Party stood for "Three Yeses - yes to a referendum, yes to major EU reform and yes to staying in a reformed Europe".

Natalie urged people to consider the first "Yes" in a different context to David Cameron's promise of a referendum - only if the Conservatives win a majority in the 2015 election - which has more to do with political game-playing and trying to hold together a deeply divided party that is failing in government.

The Green leader said: "The Green Party believes in democracy and self-determination. On important issues like this, voters should be given the opportunity to express a clear view."

On a reformed EU, the Green Party believes that decisions should be made at the lowest possible appropriate level, closest to the lives of the people it affects. It supports democratic decision-making - not the imposition of dictats from above, such as the austerity that has been forced on the people of many states in south Europe.

Natalie added: "'Yes to the EU' does not mean we are content with the union continuing to operate as it has in the past. There is a huge democratic deficit in its functioning, a serious bias towards the interests of neoliberalism and 'the market', and central institutions have been overbuilt. But to achieve those reforms we need to work with fellow EU members, not try to dictate high handedly to them, as David Cameron has done."

On 'yes to staying in a reformed Europe', the Green Party believes Great Britain should not abandon the European Union, but instead work from inside to make it into a fair and democratic union rather than just a vehicle for international trade.

The European Union is well placed to enact policies on crucial issues such as human and workers' rights, climate change and international crime. It is through EU regulation that our renewable energy targets have been set and hundreds of thousands of jobs have been created.

European action on air pollution, meanwhile, is forcing the British government to take the issue seriously, and the EU is leading the way on a financial transactions tax while Britain, in the grip of the City, resists.

Natalie concluded: "We need to continue to work with our European partners to build strong, locally democratic communities that decide their own way within the framework of minimum standards on workers' and consumer rights, the environment, and on human rights - and which work together to build a more peaceful and sustainable world."

Butt confirms no 2% council tax rise this year

Mike Bowden, Assistant Director of Brent Finance gave a presentation to the Budget and Finance Overview and Scrutiny Committee in November 2012  that assumed a council tax rise of 3.5% for the 2013-14 council budget LINK. Shortly afterwards Eric Pickles established a requirement for a local referendum if increases were above a 2% threshold. Last year a number of councils of various political hues increased council tax below the 3.5% threshold that existed then.

I understand that there has been discussion in the Brent Executive as to whether to raise Council Tax with the benefit marginal after grant losses and  a reduced collection rate are taken into account. A rise above 2% would have incurred the cost of a local referendum.  It would of course have been another additional cost for people already suffering from benefit cuts and low or frozen wages. An alternative view is that calling the Coalition's bluff and triggering a referendum could result in a proper political debate about the need to adequately fund  local services and the iniquities of the Coalition's grant reduction to local authorities. Only a very small percentage of local government revenue comes from council taxes and charges.

Brent Council leader Muhammed Butt has confirmed via a Facebook interchange with me that there will not be a 2% rise this year. Asked about a possible lower rise he said that the Council was looking at the settlement figures as part of the budgetary process and considering the offer of the freeze grant.