Tag Archives: UKIP

The freedom to misdirect?

We see all kinds of information and misdirection, almost at any given day. If one good thing is mentioned, another bad thing is swallowed into silence. So when I saw the message on Sky News that “Latvia to join EU”, I had a look.

So Latvia is now to become the 18th Euro state. That part is however you take it. The average Brit will see this as a fearful motion for another few hundred thousand to seek out the London Limelight on a permanent basis. Others might have their own thoughts and reservations. Not all of them will be negative, as Latvia has a decent record in the shipping industry.

Three parts got my eye, and they are at least worrying, infuriating might be a slightly better word. The first quote was from the European Commission that ‘Latvia is ready to adopt the Euro in 2014‘. An interesting quote, especially as well over 60% of Latvia is fiercely against the Euro. Let us be fair, why adopt a sinking ship. Would you buy the Titanic if you found it parked against an iceberg? At worst it is a 3800 meter walk back to the boat (straight down).

It is the quote from the Latvian Prime Minister that is the second quote of concern: “Prime Minister Valdis Dombrovskis welcomed the news, saying in Riga that ‘joining the Euro will benefit Latvia’s economy by removing currency conversion costs and raising Latvia’s credit rating’.

Really? You want to adapt even more credit option whilst you are already in a position to drown in current debts? How clueless does that seem? It will take five years to get past the weakness gained by Cyprus, and at least 15 years to get a grip on the financial vise that Greece is giving the rest of the EU. Is this a ploy to remove the option for the UK to remove itself from the EU? If that is so, then the current administration is not just heading towards failure at the next election, at that point we look at a total overwhelming victory by UKIP next election. I have nothing against UKIP, but I do not think that to be a particularly good idea. Mostly, as a large part of UKIP would be seated at senior position whilst having little more than junior levels of experience. (I just call them how I personally see them). They would be elected in charge, whilst becoming a real danger to create an unresolvable mess for two administrations to come (again a personal view of mine). I will here and now state quite clearly that this is an assumption on MY side. I will also happily add information proving me wrong when and if the time comes.

Back to Latvia!

The second quote is nothing compared to the third one. “We think Euro membership will increase investment activity. We need only to look at the Estonian example where investment in the non-financial sector doubled.” (Source: http://www.skynews.com.au/world/article.aspx?id=877664 ).

This I see as a massive misdirection. The only reason that this looks this way is because Skype was an Estonian invention (a brilliant one). It comes from the people who initially came up with Kazaa. So yes, even though their mention might be correct, the fact that one product is the major reason behind the non-financial investment is thrown into the deep left field of unmentioned factors. Of course Tallinn is also famous for the Beer ferries to Stockholm. It is indeed a pretty city to see, uncannily picturesque and of course it has some visibility for the hourly lady rental services (some are extremely good looking and it is perfectly legal in Estonia). So which of these options give that reason for investments? Also interesting is that this newscast from Sky News did not come with the identity of a writer. You see, here is where we take a look at a few things. Especially when we consider the mention by Leveson and in regards to Ethics. I think that this article is missing a lot of facts and some are too far out of context. However, this is again my personal view on the matter at hand.

Danger 1.
The EU economy is as fragile as it gets. I will not debate here whether it is a good idea to add Latvia to the list. It is important to consider the Latvian addition to the Euro. Especially, when we read statements from their PM is strong at mentioning of the option of upping their credit rating. That part will hit back to the Euro sooner rather than later and as such the other Euro nations as well. It only makes a stronger case for the UK to get out of the EU (I am not convinced it is the right option at present), and get out fast. Even if they do not, additional reasoning for better and more complete regulations is required for all kinds of banks and financial institutions. That would be needed BEFORE nations get added to the Euro as it allows for a gap for re-managing all kinds of financial packages, that would require those government to need additional IMF support. We all know where that leads the rest.

Danger 2.
Looking at Estonia? Why, because these nations are neighbours? Tallinn has a direct ferry connection with Helsinki and a ferry connection with Stockholm (amongst others). Non-financial investments are nice, but how many and who? Skype (invented in Estonia) got a strong influx by Microsoft and twice the amount of what? Another nation getting a few taxable Billions for Skype does not put Latvia in the clear (also much of that amount went to a small group of private developers) as Microsoft bought it. There is every chance that Skype will be phased out of Estonia, then what? This does not reflect badly on Estonia as it has several economic options. Latvia does not have those in equal measure. It has options, but which ones exactly? It seems that the initial article does not bear that out clearly at all.

Another quote to mention is “Latvia is a small, open economy” the Latvian Prime Minister said. Anyone remember Iceland 2004? Similar words were spoken then. That did not pan out to well for that island, as well as many of their inhabitants (and a massive amount of places after that). This is exactly why those banking reforms I pleaded for in many situations are needed and needed fast. There is NO indications that this is about to happen here, but it is proven that greed is eternal; people in power have been willing to sell away what they can and remain unaccountable after that. It is clear that the open market industry cannot be trusted the way it is. It is even proven that too many in charge are passing the buck and letting those who are innocent pay for the hardships created by the greedy (Greece and Cyprus are clear evidence of that).

These elements give additional strengths to the UKIP mission to get out of the EU, which also gives inevitable strength to the German group under Bernd Lucke, who will get the power for the last push out of the Euro. With these two elements the UK and Germany, the EU will have more than two little problems floating their way. Should this come to pass then the German chancellor Merkel will end up getting a new job and as things go, there might be a reasonable ‘danger’ for an Early UK election. At that point it will be the EU segregation of coin or nation through possible future Chancellor Lucke of Germany and Prime Minister Farage of UK that will change the EU and possibly even sink it completely. The simple reasoning is that the Euro cannot survive without both. It might survive the departure of one, but no way will it survive both leaving their support to the coin.

So, is this just speaking doom?

I will always agree that these are thoughts (non-positive ones) from me and my way of thinking. Experts will speak out on how wrong I am. Those experts also predicted that the economy was already on the rise in 2013. This has been proven wrong in most EU nations. Where their predictions were right, they were between ½% and 1½% too optimistic. For the EU it is not just about the economy, it is about getting a handle on the current massive debts. Debts so massive that it is likely to take in some cases up to three generations to get back on the horse. To add nations to a coin is one thing, but when we read about raised credit ratings it comes down to pushing many further down a debt driven society. That in a society where on average in the EU nation’s 1 out of 8 do not have a job, in some cases it is 1 out of 4. That is no place to be in a debt driven society. That is not a social structure, that is in my humble opinion seen as the population gnawing on the remaining scraps called ‘their nation’ before those nations become some industrialised economic ownership, where you either work at THEIR leisure, or you perish.

It would be fair of you the reader to dismiss this thought. Before you do, consider that Greece had been holding a fire sale of what is still in their name (for now). This act is to reduce a debt of millions, out of a total debt which surpasses several hundreds of billion. No more than a drop of water on a hot plate. That happened last year (Source: http://www.guardian.co.uk/world/2012/sep/19/debt-ridden-greece-firesale)

So what happens when a nation has nothing left? Is my reasoning that outlandish? Those sales might get them somewhere near 2 billion, whilst 15 billion is due in 2015. Even if ALL savings from the entire Greek population is nationalised (confiscated). It might just be enough to get the 15 billion. So what to do about the other 300 billion not paid? I am not going after Greece; this is not about the Greek debt. This is about OTHER new members not adding to this, and for that certain precautions are needed. Certain regulations for banks and financial institutions need to be in place. Even if the IMF now admits that the damage through Austerity was ‘miscalculated’. (Source: http://www.guardian.co.uk/business/2013/jun/05/imf-underestimated-damage-austerity-would-do-to-greece) In all honesty, I saw that one coming a mile away. It has been known at least since the early 1600’s that a plucked chicken has little feathers left. (And boy did that chook get itself plucked!)

As messages of rephrasing ‘the message‘, it has been clear that there is a real danger that the Euro is way too close to a non-successful triple bypass.

If a new member dumps their domino on the EU and Greece falls, which will topple Cyprus and then the effect will topple France, Italy, which in turn will topple the Dutch and remaining domino stones (read weak economic countries). What will be left? I will keep one eye on the Guardian the next few weeks as people like Larry Elliott and Phillip Inman, who are excellent financial correspondents, add their views to the internet.

If there is any chance of surviving, then it is only possible if credit limits are frozen and debts are lowered. So far no one is on top of that approach and the EU will change as team Lucke/Ferage might remove the little options the EU had left. Are they wrong? I am not sure, but I do not blame these two for getting their nations out of a collision whilst the others keep on failing to successfully manage their budgets.

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UKIP or U.K.I.P? (Ur Kiddin’ I Presume?)

First let me start by stating my ‘allegiance’. I for the most am a conservative in mind. I used to be Labour/Liberal Democrat in past, but like all people, over time my thoughts and ideas changed like they change with most people. And as most, we want to support the team that looks out for us, and is closest to our ideals. We often keep it in that order of importance.

The issues are not with the parties, they, for the most did nothing wrong to make me change my mind. They had priorities as any good party would have, and as they change I felt less with one and more with the other party.

So why, from Australia is this part on UKIP coming? Well, I grew up in Europe and I spend most of my life there. Perhaps at times I still miss being in London, but that would apply to anyone who has been to London. Only the dead do not miss London and even that might be debatable. So as I saw the news this morning on how UKIP made some staggering victories from the conservatives I started to ponder it all. So this is where I am at present.

What do most know about UKIP? We saw some people lash out against them as they lash out against most opponents they are worried about. Then there was (too) little from UKIP and of course the votes and those who flocked towards them in droves.

When you look online, there are heaps of reviews. The Australian wrote ‘Send in the UKIP Clowns’, ‘the anti-immigration UK independence party’ and a few other less than flattering headers.

So taking a look at their site at http://www.UKIP.org had several papers that could be read, downloaded and or printed. It seems that they have information that is ready for all. One of the quotes that was on page 2 of their manifesto was “On January 1st 2014, The UK will open its door to unlimited numbers of people from Romania and Bulgaria”.

In the current economic and financial climate that makes entire Europe suffer, this message would scare plenty of people in the UK. There is even a quote from Ed Miliband MP, leader of the labour party in there. Yes, there is a simple message. So, why am I interested?

From my view many Commonwealth nations are connected. Even if Australia has a strong mining community (a force our own PM seems to be happy to break into suffering little parts), we are connected with the UK. If your mother was in danger, would you NOT come to her rescue? I think that we will always come to the aid of England, even when they lack Cricket skills ;-).

The message from UKIP remains simple, yet life is not that simple, but it ought to be. This is why Mr Cameron is now in a situation where he has to pick up the pieces. I will go one step further, even if the press was not willing (or able) to make it. If the current standing is not rectified fast, the conservatives might find themselves in less than a minority position, they will end in a position that will take multiple government terms to rectify.

So let us take a look at these issues that gave strength to the UKIP.

Open immigration from Romania and Bulgaria. Open immigration is always an issue for any nation that is in a much better place than the nations where immigrants come from. Yet, these two are not in any good state, so if those people have a chance of a much better life they will come. Yet, in support, the Netherlands has been dealing with massive scaled rental allowance fraud from Bulgarian gangs. The Dutch information program ‘Brandpunt’ (= flashpoint) even showed how organised bus trips from Bulgaria exist, just to start this method of fraud. One website even mentioned “Bulgaarse televise zendt cursussen ‘Hoe misbruik te maken van het Nederlandse systeem'” (=Bulgarian television transmits courses on ‘how to abuse the Dutch system’).

In the current climate this is what the UK might have to look forward to in one way or another. So, when we see UKIP announcing that they want to get out of the EU in the current climate, many people listen.

Is UKIP correct? This is where my shoes become a little tight for comfort. Life and politics are not that simple. No matter how much we would like it to be, the UK is currently in a 1 trillion deficit issue. It needs an increased economy and it needs export to keep it all real, yet the prospect of losing a 0.3% economical increase (achieved by the conservatives) is not likely to survive after the open border policy starts next January. There is another reality that does not bode well for Mr Cameron either. Many Nations in Europe have no real grip on their budgets at present. Germany seems to be the only one on par for now. Even the UK has a problem, but that is an UK issue. As they remain in the EU, they also inherit the issues of Italy, Greece, Spain and Cyprus. Each of these 4 are now loudly protesting in a state of anti-Austerity and as such, should their governments be overturned, then the chance of them cleaning up their own mess is not likely to happen any day soon. UKIP wants to be away from the EU when that happens. The reality is that the brunt of those blows would push the Netherlands, Belgium and France on their financial knees as well. Then what?

So even though Mr Cameron is right that life is complex, the appeal that Nigel Farage wants to do an Alexander the Great and cut the Gordian knot is not that far-fetched and is starting to appeal to a much wider audience. There is even additional support as the Netherlands did not get their budget in order and now gets a one year extension. In addition, their own labour party is entering a state of possible disarray as its members oppose a plan earlier approved in a coalition deal with the VVD (Dutch Liberal party). In this situation to get certain deals, the Dutch Labour party had to accept the standing that the Dutch Liberals want a harsher expulsion policy for illegal and criminal immigrants. To make this coalition work Labour had to go along with this to get some of their own agenda points to work. Now the party members want to move away from the Liberal stance on immigration (as the Labour mindset was never on par with that) and MP Samson was unwilling to do this. He had a standing agreement and he wants to keep his word. He also warned that pushing this would come at a cost for labour. Labour would have to hand over something else and even in the short run this would be likely an expensive change for the Labour agenda. So even though this is currently being talked about, it is clear that a crises point could come. In addition, there is no indication that the Dutch economy is changing for the better. There was mention of 0.6% of shrinking of the Dutch economy. In case you were wondering why this issue matters, it does! (Read on to learn why)
You see, if the Dutch economy gets any worse it will soon go towards a situation France and Italy are in (with a lot less deficit). Consider these nations nearly all with an overall average unemployment rate of 12.1%. These people will seek solutions and are very willing to cross borders for a better option. So, the fear that UKIP propagates is a real one.

In addition, the Gordian knot will have several benefits in these regards, but what is the downfall? There is the reality that the response from the Eurozone might lean towards a preference choice in business partners and removing the UK from the top of that list as/if they move out of the EU. It comes with the ‘we take care of our own and ours first’ taking the UK out of that equation. That is a reality to face too.

Does one outweigh the other? I feel certain that UKIP made no real investigation into that part at present. The question becomes what is done after they get the votes, and when they grow large(r), will they be able to provide not just ‘answers’ but also come up with solutions? The latter might be an issue as Nigel Farage stated on Sky News on May 3rd that a reshuffle was needed as they grew more than anticipated. That statement is fair enough when we see that thus far they gained 139 seats. It is a massive victory indeed.

Yet if there is another side then it can be found in their manifesto on page 4.

  • Protecting the greenbelt – opposing wind farms and HS2.

If the UK is to move forward then a proper energy policy is needed. They could consider more nuclear power, yet in the end, alternative fuel will be the future. Considering that the UK gets more wind daily then an average flying jet turbine, wind farms need to remain an option. In addition, if the UK will opt out of the EU, things will get more expensive in the short run, perhaps in the long run too. A strong energy policy would be paramount to keep the cost for the average citizen down and moving away from wind farms as an option seems less like a good idea.

Next on the list are 4 of the points mentioned.

  • Tax should be as low as possible.
  • Cracking down on crime and anti-social behaviour.
  • More police on the streets.
  • Cutting council executives and managers, not front-line services.

These issues are nice to hear, just like the quote we see in a fortune cookie. The tax statement is nice, but will it change? As ‘low as possible’ is just like ‘as soon as possible’, if the second one could mean ‘never’ then the first one could remain ‘too high’. There is actually more to this. Cracking down on crime is something the police have always done. Could more be done? Sure! There is however the issue that a budget needs to be kept and the UK has its own Austerity measures to consider as the 1 trillion deficits is not going away any day soon. This is where the third statement comes. Sure more police on the street sounds nice, but there is an infrastructure. Adding to the police force is nice, but with what money? The police forces have been bled dry and cut to ‘too little’ and not only in the UK. So if they tamper with the infrastructure to keep the promise of more police in the street the result is likely to be counter-productive down the line, then what will UKIP do?

So you see, they talk to the public, and tell them what to hear, but will it solve anything? This part is the debatable one. Yet, down the line, we must admit to govern one must be in office, and they did get into the office and now they must prove it.

I will not join the queue where they are labelled as fruit cakes and such. Mr Cameron is right that they will become a party to be reckoned with. The interesting part is how this will play out. The old duo Clegg-Miliband is now a lot less likely to survive, that part Mr Nigel Farage did achieve. What will Labour do next is the question. They are still the biggest for now. If they are to survive then they must align. It is unlikely they will find themselves with the Tories, yet it is either that, or their new option UKIP.

And here is where we see exactly the issue that Dutch Labour and Liberals are having (PVDA/VVD). What items are given and what are taken and what happens when the MP’s strike deals their constituents will not agree with? A British political sciences student in the late 90’s once told me “Coalition cabinets are the most entertaining, volatile and corrupt forms of governments”. I thought that his point of view made a lot of sense. The UK is about to join those ranks as they need to form coalitions at both sides of the isles. Will it be about the people or the MP’s and their futures? Time will tell but there is clarity in no uncertain terms. Those who did not give clear explanations of the why (as it was too complex) are now in a state where they must redraw lines and re-educate the masses as they figure out what to do next to get their seats back.

So the title ‘You’re Kidding I presume?’ Is very correct, yet who is stating that line, and whom are they stating it to is left in the open as both sides could claim that title and both side should be able to answer it.

 

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