There was infuriating news for taxpayers this week as we learned more about the growing cost of dithering over the refurbishment of the Houses of Parliament.
The parliamentary annual accounts revealed a shocking £70 million had been written off due to uncertainty about future plans to move politicians out of the crumbling Westminster estate. With MPs arguing about whether they should have to move elsewhere while works take place, authorities were forced to admit that the millions spent on preparing a backup site had to be written off as ‘constructive losses’ if the politicians refused to move.
We took the case straight to the airwaves, using our regular primetime slot with GB News presenter Michelle Dewberry to clue in viewers on the situation.
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Our research director, Duncan Simpson, explained that we don’t yet know how horrendous the cost of the refurbishment is going to be. As he told Michelle, “This is one of the first indications we have that the cost is going to be pretty astronomical. But we don’t know how long it’s going to take, or the overall picture of where MPs are going to be.”
Duncan reiterated our calls for the process to be as transparent as possible, warning that there may be more of these nasty spending surprises still to come.
As Michelle pointed out, compiling examples like this puts into perspective just how much of our money is thoughtlessly wasted by politicians and bureaucrats. She warned that, “I’m going to create some sort of tally. You guys come in and talk to me every single week when you find this money, and there are millions and millions of pounds being wasted!”
Michelle needs look no further than our War on Waste campaign, including the £5.6 billion of waste we uncovered in our investigation last year.
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Have your say on MPs’ pay
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If you were as annoyed as we were about the parliamentary renovation waste, then here’s a chance to get your own back!
The quango which oversees MP’s pay, IPSA, is consulting on temporary measures to adjust remuneration levels in line with economic data. Something we have long supported. You might remember that when IPSA announced the MPs pay rise, we called for the system to be reformed to create performance related pay for politicians. The TPA believes that linking their pay to GDP per capita, rather than public sector pay, would reward politicians based on all our standard of living, not just gift them the almost automatic rises enjoyed by judges and generals.
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Our friends at Guido Fawkes have been supporting the campaign, flying the flag for those that believe in bringing MPs pay much more into line with the financial struggles of the majority of their constituents.
We’ve prepared a short response to IPSA’s consultation, which runs until Thursday 19th August.
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TaxPayers' Alliance in the news
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Winding down the furlough scheme
The Coronavirus Jobs Retention Scheme, more commonly known as the furlough scheme, has been a lifeline to millions but is rightly now coming to an end. As of last weekend the scheme has entered its final taper, with the amount of government support being wound down and due to close completely at the end of September this year.
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There have been calls for the scheme to be extended despite it already costing taxpayers nearly £66 billion. Questioning the excessive cost of this, our media campaign manager Danielle Boxall spoke to Eddie Nester on BBC Radio London’s drivetime show, explaining “the cost of covid is going to be hanging over us for a long time.” Sadly, that’s very true. Click here to listen to the interview.
The discussion rumbled on over the weekend, and TPA voices could be heard on the radio laying out the truth of the situation. On Saturday, our policy analyst Darwin Friend spoke to TalkRadio’s Claudia-Liza, and Danielle appeared as the very first guest on GB News’s Great British Breakfast Club relaunch. We hope our message on the unsustainable cost of extending these schemes is getting through!
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The Royal Yacht - a good deal for taxpayers?
The plan to build a new royal yacht was back in the news after the total bill for the project shot up from £200 million to an estimated £250 million, under current government plans.
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Speaking to Nick de Bois on talkRADIO, our policy analyst Darwin Friend slammed yet another excessive ministerial spending commitment, explaining that “the government cannot continuously spend endless sums of taxpayers’ money”.
Presenter Nick was full of praise, describing the TPA’s work as “great stuff” for “finding out where taxpayers’ money is being spent.” Thanks Nick! Listen to the interview here.
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£75 million potential cost of ministerial plane
The Sun reported on Tuesday that our environmentally conscious prime minister has chartered a second VIP plane, this time to the tune of £75 million. This is in addition to his official RAF Voyager jet, which cost £1 million to repaint last year.
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Our digital campaign manager Joe Ventre didn’t hold back in his criticism of the jet set project, saying, “Green-fingered ministers continue to lecture us on emissions while frittering away millions on luxury travel.” The TPA is never afraid to call out blatant hypocrisy like this!
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Inflation set to make prices of household goods surge
Bad news for consumers this week as the National Institute of Economic and Social Research predicted prices will rise by almost four per cent in early 2022 - hitting everyday staples from beer to bread to beef.
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Commenting on how this will impact families’ budgets, our chief executive John O'Connell warned hardworking taxpayers could face a “stealth tax”, telling the Express and MailOnline, “Taxpayers were already feeling the pandemic pinch but will feel it even more now the chancellor has frozen income tax thresholds. Instead of freezing the thresholds, the Treasury should link them to inflation or wage growth."
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Local referenda can curb council tax hikes
We wrote this week about the ridiculous situation with the toothless council tax referendum lock. The principle of local referenda is excellent, but the increasing number of exemptions has pushed the limit well beyond the original 2 per cent threshold created by the legislation, leaving us with regular 4.99 per cent rises.
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As our blog explains, bodies like the LGA will insist more money is needed but whine about councils’ financial dependence on central government. Councils will plead poverty one day, then waste tens of millions on failed energy firms the next. Councillors will justify bills rising with arguments about social care costs rising, then whack up their allowances and dodge a local vote.
Voters are left out of the loop before being hit by the bill. The blog argues that a simple change, like putting the clear threshold back to 2 per cent, would put local voters back in the driving seat. This is certainly something you’ll be hearing more about from us in the months ahead. Watch this space!
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As reported in this morning’s Scottish Mail on Sunday, a controversial new super prison in Glasgow is now projected to cost taxpayers more than £300 million - triple the amount originally budgeted for. Despite holding some of Scotland’s most dangerous criminals, the new facility will see traditional cells replaced with ensuite bedrooms and will be “designed to appear like an office development or student accommodation”.
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John O’Connell was quick to slam this waste, telling Georgia Edkins, "The price tag on this plush prison is spiralling out of control. Scottish taxpayers expect their hard-earned cash to be spent on functional facilities, not lavish lounges for lags. Ministers must crack down on the bill for this runaway project.”
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Harry Fone
Grassroots Campaign Manager
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