Teresa Pearce MP

There is a report on the back page of today’s News of the World which has a headline “TAXMAN GOES TO WAR ON FOOTBALL” .

The truth of this story is that HMRC who are public servants are going to get the tax owed to us ( the public) from the clubs.

The article itself is a fairly written piece by Dan King which sets out the ways that Football Clubs currently avoid paying their fair share to the country’s coffers.  I could not agree more.

Some clubs have always made sure that the directors, shareholders and players get paid in full whilst the money they hold in PAYE deductions or in VAT from sales to supporters has been used as cash flow instead of paying to the treasury which in turn helps fund the schools and hospitals used by the rest of us.

Some of the comments about this story added on the NOTW’s website seem to be saying that HMRC are acting totally unfairly and its a terrible way to treat the clubs. Well that would be true only if you think paying VAT, PAYE and National Insurance is optional.

In reality the taxman has been pushed around by football clubs for years and is now pushing back. Never happy about clubs’ habit of using the taxes due as an interest-free overdraft, HMRC lost its “preferred creditor” status with the introduction of the 2002 Enterprise Act.  Previously HMRC had a right to be paid out before any other creditors when a company went into administration by right of the Crown Preference Act. This right was abolished by the 2002 Enterprise Act which meant HMRC had to join the scrum behind “football super creditors” when a club went bust often only geting around 5-10% of the debt due.  This is not company law but is a football rule set by the Football Association, the Football League and the Football Association Premier League and it means millionaire players, shareholders and other clubs get paid first and the the taxman ( which in reality means you and me) goes to the back of the queue.

This issue is back in the news because HMRC lodged an appeal against Portsmouth FC coming out of administration. I am not sure if this tactic is the right one but HMRC have taken it to protect the £13million they believe is owed to the Treasury by Portsmouth and  we can not blame them for that. It may be that Portsmouth is no worse than some other clubs and that HMRC are singling them out “pour encourager les autres” . If so lets hope it has the desired effect.

If we are all in this together and public services and the unemployed have to feel the pain of cuts then I can not see why the Football Industry should not pay what they owe like the rest of us do.

There is a good article in the Morning Star, wish I had written it myself as it sums up what I having been saying, to anyone who will listen, for the past two weeks. Ken puts it better than I did though.

Here is link 

http://www.morningstaronline.co.uk/index.php/news/content/view/full/92305

Apologies to Arsenal and Big Brother fans.

It’s the Erith Forum AGM on Wednesday night at 7.00 pm at the Vets Club in Park Crescent. I would encourage Erith residents to go as it’s a friendly informative meeting which discusses the future of our town.

 Below I list some things you may not know about Erith’s past.

Twelve things you may not know about Erith 

1. Erith is a saxon word. 
2. The Anglo Saxons settled this area after winning the Battle of Crayford in the year 457. 
3. Erith played a part during the reign of Henry VIII (1509 – 47) Henry is believed to have spent a night here on his way to France . 
4. Part of his naval dockyard was founded at Erith showing the importance of the area. 
5. Henry’s famous warship, Henri Grace à Dieu or ‘Great Harry’, was fitted out here in 1515. 
6. Erith was famous in the 17^th & 18^th centuries for smuggling. 
7. Erith played a big role in the famous 18^thcentury importer and exporter the East India Trading Company. The company docked its ships at Erith to load and unload cargo before setting out on its trips to the far east and before returning  to London with the remainder of their goods. 
8. The reason there are roads in Erith called Friday, Crusoe and Selkirk is because the real life mariner Alexander Selkirk ( upon whom Robinson Crusoe was based ) came back to UK after his shipwreck arriving at Erith on 14 October 1711.  
9. During the First World War Erith was an extremely important area for the manufacture of guns and ammunition, largely due to the presence of the larrge Vickers works in the Fraser Road area. In the Second World War, Erith found itself in the thick of the conflict, being directly on the German bombing routes from Europe to London, and also because of the nearby armament factories. 
10. The inventor Edward Butler lived in Erith and invented a three-wheeled car called the Butler Petrol Cycle in 1884, considered by many to be the first British car. 
11. Linda Smith (29 January 1958 – 27 February 2006) was an English  stand up comedian and comedy writer. She was born in Erith and was a regular Radio 4 panellist, being voted “Wittiest Living Person” by listeners in 2002.  
12.  Wendy Cope (born 21 July 1945) in Erith is an award-winning contemporary English poet.

And here are the numbers….

Today is the last day of the campaign.

The last 18 months have been very strange indeed . I have met some great

people and made some new friends and I have realised the following things.

1. People can be very kind and helpful and with the personal  bereavements I have had over the last year the kindness of strangers is a wonderful thing.
2. Some people will email you abusive messages but these people always remain anonymous. I think these people are sad as if they are willing to say something to me they should not be ashamed of putting their name to it.
3. People will lie for political advantage
4. Many people do not understand the electoral system
5. My family are even more wonderful that I realised
6. I need a new car
7. Letterboxes come in very many shapes and sizes
8. Never approach a Rottweiler
9. There are lots of great primary schools in Erith & Thamesmead
10. I would nt have missed this experience for the world.

Thanks to all my friends and family, I wish my Dad were still here.

A number of people have asked if I live in Erith & Thamesmead. They said its not clear from the website. So let me make it clear. Yes I live here. I live in Bexley Road, in Erith. My children went to St Fidelis School and also to St Catherines, Townley Grammar and Woolwich College. I have lived here for 25 years , before that in Carlton Road North heath and even earlier in lower Belvedere. So yes I am local and that’s why I am standing here for Parliament. I have never stood anywhere else and never will.

I was pleased to read Jackie Ashleys article  ” Post offices can kickstart Labour’s radical agenda” in today’s Guardian.  Back in November I met with with Pat McFadden MP, Minister of State for Business, Innovation and Skills to discuss which services the Post Office could offer in the future. I spoke with him about how Post Offices are a great British institution that have been part of our communities for over three hundred years and are trusted by the people.

I know how deeply people in Erith and Thamesmead care about the future of our Post Offices , so I want to see them offer more financial service.  It will give people in  access to a full range of banking products at an institution we trust and value. In Thamesmead their is currently no banking facility AT ALL. None.

And at a time when some banks and financial services companies are seeking to reduce face to face contact with customers, the Post Office stands out. It offers a trusted brand, and has more branches than the high street banks combined. It is ideally placed to bring banking services back to the heart of people’s communities.

Lord Mandelson, Secretary of State for Business Began a consultation on what people want  and need from their Post Office.Information about the consultation was made available in all of the network’s 11,500 branches and consultation closed at end of February.

I have high hopes that there will be announcement on this in the Budget this week. Among the proposals are

1. Post Office Current Account
2. Post Office Children’s Savings Account – an account designed to encourage children to save through visits to their local Post Office.
3. Post Office Business Bank Accounts – currently the Post Office offers access to business accounts from a few High Street banks. It could offer increased access to business accounts from other providers, as well as its own business account.
4. A weekly budgeting account – many low income households are unable to take advantage of the savings that can be made by paying for services by direct debit. One way to tackle this problem is by offering a simple account that could ring-fence a proportion of income each week, and then pay out bills by direct debit on a monthly or quarterly basis.
5. A closer link between the Post Office and credit unions – it can be difficult to access credit union accounts when people are not in their local area. The local nature of the Post Office makes it ideally placed to allow credit union savers to access their accounts across the country.
6. Working to ensure all banks’ current accounts can be accessed at a Post Office – currently 60% of current accounts (around 25m accounts) can be accessed at Post Office branches. The Government wants more banks to allow their current accounts to be accessible at the Post Office.

I have my fingers crossed firmly that this weeks Budget will bring good news for Thamesmead and they can at last access the banking services they need.

Mr Foot still canvassing in his 80s

I was at a breakfast meeting in The City last week discussing the Banking Crisis and when stiffer regulation was mentioned the usual  cry of  ” oh we cant discourage top people or they will leave” went up.  I believe that is a mainly empty threat.  Of course if business was made impossible  then business would relocate.  But in recent years when business has been given a pretty free hand they have still restructured for tax purposes to put offices and contracts offshore so it seems the back scratching only goes one way.  People who want to make money will stay where money is made and money is made in London.

So it pleased me to read this quote from Mr Foot who died yesterday.

Quote from Mr Foot “We are not here in this world to find elegant solutions, pregnant with initiative, or to serve the ways and modes of profitable progress. No, we are here to provide for all those who are weaker and hungrier, more battered and crippled than ourselves. That is our only certain good and great purpose on earth, and if you ask me about those insoluble economic problems that may arise if the top is deprived of their initiative, I would answer ‘To hell with them.’ The top is greedy and mean and will always find a way to take care of themselves. They always do.”

Well said and true. Rest easy Mr Foot.

Boris Johnson today resigned as chair of the Metropolitan Police Authority, reportedly through lack of time – but no sign of him giving up his £250,000 second job on the Daily Telegraph….isn’t it time he put Londoners first? You can not just walk away when you get bored.

He also published his budget which at Page 6 point 5.16 he admits that police numbers are to be cut.  ( I reproduce the section below). In plain laguage they are to recruit 900 civilians to do work currently done by police officers releasing 550 to front line service but LOSING the other 450 altogether. So thats a cut in Police Numbers.  But when asking for you vote he said this

“I will provide strong leadership by taking responsibility and chairing the Metropolitan Police Authority and using my influence to tear up red tape and needless form-filling, so we can get more police out on the streets.”

and:

“It is important for the Mayor to take a public lead, so I will chair the Metropolitan Police AuthoritI will provide strong leadership by taking responsibility and chairing the Metropolitan Police Authority and using my influence to tear up red tape and needless form-filling, so we can get more police out on the streets.”

EXTRACT FROM BUDGET

5.16 Police officer numbers are to remain broadly unchanged over the forward planning period to 2012-13 with a forecast small decrease of 455 officers being offset by an increasing frontline presence through the Operation Herald scheme. This scheme involves recruiting 900 civilians to undertake the routine work in custody suites thereby allowing 550 officers to be released to frontline duties over the next three years.