Poverty

Mitchell rejects allegation that UK aid is going to Islamists

Yesterday, Andrew Mitchell was the toast of the broadcasters. They have turned on him to an extent today. The news that portions of the £52.25 million given in emergency aid to the starving masses in the Horn of Africa will be distributed in areas controlled by al-Shabaab has forced Mitchell onto the defensive. “We shall have no dealings with al-Shabaab,” he said, and then added that the aid will reach its intended recipients by means other than collusion with the jihadists. This is an embarrassing moment for Mitchell and, of course, it is vital that money and supplies do not fall into the hands of well-fed fighters. However, it is

IDS’ great expectations

There is no rest for IDS. Yesterday he was in Madrid talking about youth unemployment and immigration and today he turns his attention to child poverty. Of all life’s accidents, the accident of birth is the most decisive. It is said that a child’s prospects are determined by the age of five, and numerous other statistics and factoids lead to a similar conclusion. IDS rehearses some in a piece in today’s Guardian. IDS and Labour MP Graham Allen have conducted a report into these matters, and have concluded that early intervention in a child from a deprived or broken family is vital if the poverty gap is to be closed,

Inflation: cock-up, not conspiracy

Britain has the worst inflation in Western Europe; this is today’s story. CPI is 4.5 per cent and RPI is 5.2 per cent. This masks even worse rises which, as the IFS says today, hit the poor hardest. The price of a cauliflower is up 38 per cent to £1.26, potatoes are up 13 per cent to £1.54 a kilo. For millions, these are the most important metrics. Historically, it’s pretty bad. You’d think a Bank of England legally mandated to keep CPI inflation at 2 per cent would be horrified at this, and start vowing to tame the cost of living. After all, this isn’t just a statistic: it

Cameron’s easy ride

Having u-turned on two more policies in the last two days, one would have expected David Cameron to have a hard time today at PMQs. But he didn’t. Ed Miliband never got going, turning in one of his worst PMQs’ performances. Cameron pithily summed up Miliband’s performance when he joked that ‘the best thing that can be said about his performance is he wasn’t thinking about politics on his honeymoon.’ Miliband’s performance today will add to the low-level grumbling about him among some Labour MPs and members of the shadow Cabinet. Miliband has a big speech coming up on Monday and he needs it to deliver a rationale for his

The green consensus in action

A couple of days ago, I wrote about the deleterious effects of political consensus on energy policy. A good example of this has emerged today. According to Politics Home, Luciana Berger and Caroline Lucas are seeking an amendment to the Green Deal to impose a target for domestic carbon reduction. A number of salient points emerge from this. First, it’s a fine instance of the obsession with targets; itself an indication that this area of policy is largely a top down initiative – driven by targets, taxes and penalties. The Green Deal, as it currently stands, is one of the few areas that put incentive before directive. The idea was

No rights without responsibility

The most recent official statistics show that 5.4 million adults and 1.9 million children live in the UK’s 3.9 million workless households. Through the Universal Credit, the coalition is taking a radical approach to tackle this, but it won’t be enough. The government’s own analysis estimates that it will move 300,000 households into work. But this will leave 3.6 million households behind, dependent on benefits and likely to pass worklessness onto the next generation. There are also timing worries. Unemployment and, in particular, youth unemployment are high on the political agenda (new statistics on NEETs will come out next week), but the Universal Credit will not be fully implemented for

The battle over universal benefits continues on the local front

Here’s a question for you: should free school meals (FSM) be given to all pupils, regardless of their parents’ income? I ask because this is precisely what the Labour-led council of Southwark is proposing for its primary schools. As the Evening Standard reports, the councilmen’s thinking is that by giving “healthy” FSMs to every pupil, every day, they might help “reduce childhood obesity.” Oh, and the measure will cost some £4 million a year. Even if we put aside the question of whether the local praetorians should — or even could — tackle obesity on behalf of middle-class parents, this is still needling stuff. Southwark council has to find savings

Grammar schools aren’t an answer to the social mobility problem

With all the talk about social mobility, it was inevitable that those who believe grammar schools were the doorway to opportunity would wade into the debate. The most prominent of these interventions came yesterday from David Davis, who said: “The hard data shows that the post-war improvement in social mobility, and its subsequent decline, coincided exactly with the arrival, and then the destruction, of the grammar school system. This is the clearest example of the unintended consequence of a purportedly egalitarian policy we have seen in modern times.” The “hard data” Davis refers to is this 2005 study by Jo Blanden, Paul Gregg and Stephen Machin for the LSE and the Sutton Trust.

Your five-point guide to the coalition’s social mobility report

The government’s new report into social mobility is, it tells us, all about “opening doors” and “breaking barriers” — but it’s probably taxing attention spans too. 89 pages of text and graphs, offset by the same pea soup shade of green that’s used for all these coalition documents. To save you from wading through it all, here’s our quick five-point summary: 1) The same story… Much of the report, as James suggested earlier, is familiar territory. After all, the coalition’s two most developed policy areas — welfare and education — are precisely designed to improve opportunities for the least well-off; so here they are again, restated and slightly reframed. The

Miliband’s two big risks

Who would have thought it? Miliband’s short speech in Nottingham today went largely unheralded, and doesn’t seem to be getting a whole lot of attention now — and yet it tells us more about his approach to Opposition than almost anything he has said previously. Fact is, the Labour leader is taking two risks that may be either bold or foolhardy, depending on your point of view. These risks could come to define his Labour party. The first is splashed right across the entire speech. Miliband dwells on three “challenges” that the country will face over the coming decade: the “cost of living crisis”; declining prospects for the next generation;

Brits want to give money abroad – but not necessarily via the government

“A well-targeted aid budget is essential if Britain is to punch above its weight on the world stage.” That’s how Tim Montgomerie finishes his neat defence (£) of British aid policy for the Times today. But, putting aside the matter of whether it’s wise to give aid to, say, India at a time of spending restraint back home, Tim’s claim rather inspires a question: is our aid budget well-targeted? And the answer, it seems to me, is encoded in Ian Birrell’s punchy piece for the Evening Standard. Ian’s overall point is similar to that made by economists such as Dambisa Moyo, whose work we have mentioned on Coffee House before

Aid to India to be replaced with pro-growth help

How to manage Britain’s aid to India? The fast-rising country has a space programme, costing nearly the same as Britain gives in annual aid. To many people, that is reason enough to cut all aid. Yet, at the same time, India is one of the world’s poorest countries. 456 million people live on less than $1.25 per day. Annual income per person is only $1,180, compared to $3,650 in China and $41,370 in the UK. That means there are 20 percent more poor people in India than in sub-Saharan Africa. But India receives only $1.50 in aid per person, compared to $28 for Sub-Saharan Africa. A good example of India’s

Clash of the wonks

Last night the Southbank Centre hosted its second “Think Tank Clash”.  As last year, it was a sell out event, and saw representatives of six of the country’s top think tanks take each other on in three debates.  These debates were ably and wittily compared by writer John O’Farrell and the winners determined by audience vote.  The winners of each “clash” then competed in a three-way discussion to determine the overall top tank. Round 1: “Revenge” – Res Publica v Demos Res Publica founder and director Phillip Blond commenced by making the case for breaking up the banks. He argued that the current system does not distribute capital, but rather

Much more than a networking event

What’s the point of Davos? This is a question seldom addressed in the reports filed from the five-day “World Economic Forum” which ended on Sunday. Many speeches are made, many issues debated, but it is not a place where decisions are taken. It is not a G20. Manifestos are not launched there. It exists to serve a very particular function: every year for a short period of time it becomes the temporary capital of the globalised world. Top business and political leaders, distinguished academics and journalists – all committed to improving the state of the world – flock there to meet each other, swap ideas and then go home. This

The pressing need to redefine poverty

What is ‘poverty’? It might sound a basic question but, when we hear about x percent of people ‘living in poverty’, what does that actually mean? The policy review conducted by Frank Field last year offered a number of insights into the issues of life chances and their determinants. But it failed to address that fundamental question: what is poverty? Until we know what we are measuring, it is impossible to attempt to tackle it. Poverty continues to preoccupy us. According to the British Social Attitude Survey, the majority view is that there is “quite a lot” of poverty in Britain today, and many expect it to increase over the

Frank Field’s report highlights the coalitions within the coalition

Frank Field’s review of child poverty policy covers a daunting expanse of ground. From breast-feeding to the little society (“the younger sister of the Big Society”), it’s stuffed with more ideas than reviews that are twice the size – and will take some time to digest properly. But, in a way, that’s precisely the point. Field’s central argument is that New Labour took an overly simplistic view of poverty. For Brown & Co. it was all about funnelling cash handouts to poor families, often to lift them from just under an arbitrary poverty line to just above it. For Field, it is more about improving opportunities across the board, with

Flight’s loose tongue

Has Howard Flight just done a Keith Joseph? The latter’s run for Tory leader ended when he made a speech about poor people breeding.  As David said earlier, plain speaking can have its problems. But Flight’s danger is in being mistranslated. He sought to make a simple point: that many working families can’t afford to expand their families, while the state provides a substantial cash incentive for those on benefits to do so. But his use of the word “breeding” sounds like he’s into eugenics, and the language – talking about the poor – sounds dodgier still. Given his struggle with foot-in-mouth disease, it’s surprising that Cameron ennobled him.  But

Breaking dependency

IDS has played the party politics of welfare reform adeptly. He has built a coalition beyond the government, convinced of the need for urgency and dynamic reform. Even Labour is on side, only criticising when valid and necessary. It has not proposed a comprehensive alternative because it is protecting its record in government – sensing, correctly, that it is vulnerable to its history. Douglas Alexander rallies to New Labour’s defence in the Independent on Sunday. Labour’s record on welfare was not uniformly baleful: Purnell, Hutton and Murphy did important work, on which IDS has drawn. But Alexander overlooks some inconvenient truths. Gordon Brown’s definition of ‘poverty’ was an arbitrary line

To the victor the spoils

The government must be doing something right with its aid policy: several NGOs absolutely hate it. Talking to the Guardian, Patrick Watt, Director of Save the Children and sleeping disciple of the Moral Compass of Kirkcaldy, has criticised the government’s decision to direct aid funding to conflict resolution. He says: ‘What is the real driver of aid allocation? Is it poverty, is it need and the ability to use money effectively or is it the agenda of the National Security Council? We do need to have a balanced approach to aid allocation that reflects the principles of the 2002 International Development Act which stipulates that all aid should be for

The morning after the day before

The last time the doomsayers were proved so wrong was when the Hadron Collider didn’t blow us all up. Osborne’s cuts have come and life, the universe and everything continue insouciantly. In fact, the cuts were nowhere near as deep as many expected. As the graphic above proves (courtesy of ConHome), the press reaction is cordial, which was the best the Osborne could hope for. The Times (£) and the Guardian express concern about fairness, based on decile graphs that suggest the poor will receive less direct income from the state; and the Telegraph grumbles about the ‘squeezed middle’. But the criticism is mild, certainly compared to yesterday’s horror stories;