Showing posts with label Global Financial Problems. Show all posts
Showing posts with label Global Financial Problems. Show all posts

Saturday 2 August 2014

Independence: RBS reiterate ‘Yes’ concerns, The Scotsman Newspaper


RBS have warned again of a 'material adverse affect'. Picture: Greg Macvean

THE Royal Bank of Scotland has repeated its warning of a “material adverse effect” on its business if voters back independence in next month’s referendum.

The bank, which is 80 per cent owned by the taxpayer, highlighted the potential for uncertainty caused by a Yes vote, which it said could significantly impact the group’s credit ratings as well as the fiscal, monetary, legal and regulatory landscape to which the business is subject.

In a section outlining the risk factors facing the group, RBS said in its half-year results that independence could “significantly impact the group’s costs and would have a material adverse effect on the group’s business, financial condition, results of operations and prospects”.

The stark warning from the bank is in line with a statement it made in its annual report earlier this year about the consequences of independence.

The company, which has maintained a neutral position ahead of the vote, has been holding talks with the Bank of England, UK Financial Investments and the Scottish and UK Governments over the referendum.

Half-year results from the bank confirmed figures published last week showing a big jump in operating profits to £2.6 billion. It said it has benefited from the improving economy, reduced bad debts and the quicker run down of non-core assets.

Friday 1 August 2014

How mass migration hurts us all: No, it's not the Mail saying this, but the verdict of a top Left-wing economist from Cambridge

New arrivals: Romanian migrants congregate near exclusive Park Lane in central London

The findings are a major blow to claims that immigration has and will continue to bring major economic benefits. Over the past decade, widely-publicised studies by academics and liberal think tanks have repeatedly said that immigration will make us better off.

Among those reported by the BBC have been claims by the Labour-leaning Institute for Public Policy Research that immigrants are paying a disproportionate share of the nation’s taxes, and that they bring economic benefits because they do jobs that Britons will not take.

Last November the BBC reported a study by two senior academics at University College London as saying immigrants who have arrived since 2000 have made a ‘substantial’ addition to public finances.

However, since Tony Blair introduced an effectively open-door immigration policy after the 1997 election the Daily Mail has been reporting on the impact of migration on population; on the social make-up of cities; on unemployment, worklessness, and declining wages for low-skilled workers; and on the pressure it has brought on housing and services.


Isaiah 58:6-12 Nasb

“Is this not the fast which I choose,
To loosen the bonds of wickedness,
To undo the bands of the yoke,
And to let the oppressed go free
And break every yoke?
“Is it not to divide your bread [c]with the hungry
And bring the homeless poor into the house;
When you see the naked, to cover him;
And not to hide yourself from your own flesh?
“Then your light will break out like the dawn,
And your recovery will speedily spring forth;
And your righteousness will go before you;
The glory of the Lord will be your rear guard.
“Then you will call, and the Lord will answer;
You will cry, and He will say, ‘Here I am.’
If you remove the yoke from your midst,
The [d]pointing of the finger and speaking wickedness,
10 And if you [e]give yourself to the hungry
And satisfy the [f]desire of the afflicted,
Then your light will rise in darkness
And your gloom will become like midday.
11 “And the Lord will continually guide you,
And satisfy your [g]desire in scorched places,
And give strength to your bones;
And you will be like a watered garden,
And like a spring of water whose waters do not [h]fail.
12 “Those from among you will rebuild the ancient ruins;
You will raise up the age-old foundations;
And you will be called the repairer of the breach,
The restorer of the [i]streets in which to dwell.




Tuesday 29 July 2014

Economic crisis which will hit independent Scotland will 'dwarf' 2008 crash, Treasury minister Danny Alexander warns Daily Mail.

Lib Dem Treasury minister Danny Alexander warned the 2008 economic crash would be 'dwarfed' by the impact of independence


  Lib Dem minister sounds the alarm over impact of Scotland leaving the UK

  Voters will have their say in independence referendum on September 18

  Scotland will lose its £300million-a-year share of the UK's EU, expert claims

  Yes campaign still lagging in the polls with barely 50 days to go 

Scotland will be plunged into a deeper economic crisis than the 2008 crash if it breaks away from the UK, Danny Alexander warned.

The Lib Dem Treasury minister said the devastating financial collapse which took Royal Bank of Scotland to the brink would be 'dwarfed' by the impact of independence.

It came amid claims Scotland will lose its £300million-a-year share of the UK's EU rebate if it votes for separation.

The economic challenge an independent Scotland would face were laid bare with a fresh warning about its £300million-a-year share of the EU rebate.

Professor Carlos Closa of the European University Institute in Florence said Alex Salmond has no right to the UK's hard-won windfall.

The First Minister had claimed the rest of the UK and a newly separate Scotland would share the rebate in the event of independence.

But Professor Closa has become the latest expert to dismiss the idea. 'There is no right to a rebate. It is just something the UK has negotiated,' he said.
Gordon Brown has warned that losing the rebate would cost the Scottish Government £20billion over seven years.


Sunday 27 July 2014

EXCLUSIVE: Calais lorry drivers BEG for aid as migrants turn VIOLENT, Daily Express

Lorry Drivers, Calais, Delivery Drivers, Immigration, Migrants In Britain, Number Of Immigrants In The Uk, Uk Immigration Laws, David Cameron Immigration, Migrants, House Of Commons, House Of Lords,

They say French police have given up trying to deal with gangs of up to 100 migrants who surround lorries and demand passage across the ­Channel under threat of violence.

The situation is so bad they want the British Army to be called in to help protect the drivers.

Many have been verbally abused or physically attacked and one needed hospital treatment after being kicked and punched by an angry mob.

Sunday 5 January 2014

Exposed: Bulgarian fixers tell new arrivals to UK... We will fake documents so you can claim benefits


  • MoS reporter posing as newly arrived Bulgarian offered illegal papers
  • Follows relax of benefit restrictions on New Year's Day for migrants

Eastern European migrants are being offered expert help to fraudulently milk the benefits system by an accountants agency run by a Bulgarian businessman, a Mail on Sunday undercover investigation has revealed.
Our reporter, posing as a newly arrived Bulgarian migrant seeking to claim benefits, was filmed being illegally offered bogus documents to support her application by an ‘advice’ agency in North London yesterday.
The news comes as work and benefit restrictions were relaxed by the Government on New Year’s Day for migrants from the EU’s two poorest nations, Bulgaria and Romania.
Galia, left, and Nina at Premium Advice 4 U Ltd in Wood Green, North London speaking to our undercover reporter
Galia, left, and Nina at Premium Advice 4 U Ltd in Wood Green, North London speaking to our undercover reporter
Our investigator, Maria, a 25-year-old Bulgarian graduate living in London, told the company – Premium Advice 4 U (PA4U) in Wood Green – that she had been in this country for two months, working cash-in-hand as a cleaner without paying tax or National Insurance, but now wanted to see what benefits she could claim.
Two women employees, Galia and Nina, spoke to her for around 45 minutes and much of their advice was legal and correct. 
But they also told her they could draw up bogus paperwork, falsely stating she had cleaned both their houses to back up a housing benefit claim.
 
PA4U, wedged between a shop with a hand-painted sign reading ‘Houses cleared’ and an accountancy firm, charges £20 for an hour-long consultation and its quarter-page advert  in London-based Bulgarian-language newspaper, BG Ben, claims that it can help with ‘any type  of benefits’.
The sole director of the company, which was registered in October last year, is 37-year-old Bulgarian Hristo Trifonov. He also runs a firm called Right Cleaners Limited, which changed its name from Safetrans Logistic Ltd in June last year and lists its activities as ‘freight transport by road’.
Change: Romanian migrants arriving at Luton Airport on the first day since the lifting of travel restrictions
Change: Romanian migrants arriving at Luton Airport on the first day since the lifting of travel restrictions
When The Mail on Sunday contacted the company, a man who called himself Ilian said he offered face-to-face consultations on benefits for £20, plus additional charges for extra services.
These include a £50 ‘registration fee’, £20 for help applying for a National Insurance number, £60 to register as self-employed, and £60 to prepare a tax return. 
PA4U also claims to provide help and advice with bank accounts, opening a limited company, arranging car insurance, MoTs, and exchanging a Bulgarian driving licence for a UK version. 
There is no suggestion that any of these activities involve any improper activity.
At yesterday’s consultation, the first woman, Galia, advised Maria that if she wanted to claim housing benefit she would need a National Insurance number. 
But, as a self-employed person, she would have to submit work records and references along with her application to prove her past income. 
Galia even suggested she and her colleague Nina would be prepared to lie in writing to benefits officers, stating that their own homes had been cleaned by our reporter.
The true cost of our open borders: The Mail on Sunday story last week
The true cost of our open borders: The Mail on Sunday story last week
Galia explained that Maria would need ‘contracts with clients, references from clients. If you do not have them, we can help you.
‘We can give you references and if they [the authorities] call, they will call us to confirm.’
When Maria asked whether the arrangement was legal, Galia assured her it was.
To apply for housing benefit from a local authority, claimants must fill in a 40-page form giving details of their income and outgoings, including rent. 
Crucially, for self-employed people who have not been in business long, they must provide a ‘summary of their trading records’ plus copies of invoices and payments.
When approached by The Mail on Sunday last night, Mr Trifonov said: ‘We did not offer to prepare bogus documents to support a housing benefit application.
‘We suggested that if she needed help with references to apply for National insurance number, she could clean our houses and we can confirm that she has done so.’
Another firm in Wood Green, called Alex Developments Ltd, also gives advice about benefits, tax and National Insurance, but its staff did not suggest anything improper or illegal. 
When Maria asked Bulgarian-born director Stroumen Paounov, 48, about claiming the Jobseeker’s Allowance while working, he replied: ‘I wouldn’t advise it because you will get caught.’
He charged £40 for an hour’s consultation in which he explained how to claim housing benefit, register for National Insurance, and he also offered help filling out the forms at the same hourly rate.
Immigration pressure group Migration Watch UK has warned that a total of 250,000 migrants from the two countries are likely to travel to Britain in the next five years, increasing pressure on the Health Service and schools.
The Government has banned Romanians and Bulgarians from claiming out-of-work benefits for the next three months, but Migration Watch forecasts that in-work benefits such as housing benefit and tax credits for low-paid workers will lure many of Romanians and Bulgarians currently working in Spain and Italy, as British handouts are significantly more generous.
Migration Watch’s figures claim that single migrants from Romania and Bulgaria can earn five times more in the UK than at home, a wage topped up by the UK’s generous tax credits system.
  • Additional reporting: Nick Craven


Read more: http://www.dailymail.co.uk/news/article-2533889/Exposed-Bulgarian-fixers-tell-new-arrivals-UK-We-fake-documents-claim-benefits.html#ixzz2pVVPbVHN
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Sunday 25 August 2013

The Money Shop's owner Dollar Financial says tough new curbs for payday lenders could cost it up to £10m a year By NEIL CRAVEN, FINANCIAL MAIL ON SUNDAY

The Money Shop's owner Dollar Financial says tough new curbs for payday lenders could cost it up to £10m a year

Britain’s second largest payday lender says that years of soaring growth have ended after an overhaul of the market by the Office of Fair Trading. 
US-based Dollar Financial, which owns The Money Shop and internet lenders Payday UK and Payday Express, said turnover from online lending in Britain fell 2.9 per cent in the three months to the end of June. That compares with a rise of 34 per cent in the same period in 2012. 
The lender told investors that tighter controls will cost it up to £10million a year. It said that the halt in growth had come from tighter limits on who can borrow and for how long. 
Tighter controls: The Money Shop's owner, Dollar Financial, says new rules cost it £10m
Tighter controls: The Money Shop's owner, Dollar Financial, says new rules cost it £10m
The number of times customers can roll over loans into larger debts has been limited to three. However, Dollar Financial also told investors in a conference call that the drop had been compounded by aggressive marketing from rivals. 
Executives said that such rivals were among those expected to pull out of the market, but in the meantime were trying to grow the size of their loan book ‘in an effort to acquire as many customers as they can before the Sword of Damocles falls on them’. 
 
Dollar Financial’s British operations are second only to Wonga in size. Cash America, which operates QuickQuid and Pounds to Pocket, is the third largest. 
The Archbishop of Canterbury, Justin Welby, has been one of the fiercest critics of payday lenders, describing their interest rates as ‘usury’. 
The OFT has referred the entire payday lending market to the Competition Commission, as first revealed by The Mail on Sunday in June. 
The investigation by the OFT has already forced 20 of the top 50 lenders to quit the market or wind down their businesses. 
However, Dollar Financial executives predicted that more lenders would drop out of the market and it could recover next year. 
They said tighter controls on payday lending will make it ‘inconceivable’ that smaller operators will be able to operate legally in the UK. 
Chairman and chief executive Jeffrey Weiss said: ‘We think many of the other operators, including some of the larger ones, will struggle with the necessary implementation and self-monitoring activities.
‘That is why we are confident that we will emerge from this process with a significantly stronger position.’


Read more: http://www.dailymail.co.uk/money/news/article-2401367/Money-Shop-owner-Dollar-Financial-admits-new-curbs-payday-lenders-hurting.html#ixzz2d0kustzP
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The secret plane stuffed full of cash that saved the euro: When Greece burned and its banks melted, the EU talked tough and threatened to cut it loose... but covertly flooded it with 10 Billion Euros


  • The European bank Troika boosted Greek banks through secret flights
  • Billions of euros were flown to Greece and Cyprus to save the currency

To the casual observer there was nothing odd or even surprising in the sight of cargo planes lumbering east over the Adriatic or occasionally skimming southwards over the Alps towards the Balkans and beyond to Greece.
Some of these aircraft, giant  Boeings, bore the distinctive livery of Maersk, the international carriers. Others, smaller, more discreet, were painted in the pale blue and white of the Greek military.
Had anyone bothered to pay attention, or even note down the serial numbers – such as the plane marked OY-SRH seen landing in Cyprus earlier this year – surely they would not have guessed at the purpose of these journeys or their extraordinary cargo.
Rescue mission: Maersk flights to Athens and Larnaca carried billions-worth of euros on each flight to save the Greek economy
Rescue mission: Maersk flights to Athens and Larnaca carried billions-worth of euros on each flight to save the Greek - and the eurozone - economy
Because the flights to Athens and Larnaca that began in 2011 were nothing short of a secret airlift.
The mission was neither to save lives nor even to preserve a fragile democratic freedom like the famous airlifts in post-war Berlin, but to protect and prolong the  economic experiment of a multi-national currency. Billions in freshly minted euro notes made a clandestine journey to struggling Greece – a drama worthy of a John Le Carré novel but authored in Frankfurt am Main, known as Mainhattan, world headquarters of the euro.
 
It was well known that Greece was running out of cash, in metaphorical terms at least. In June 2011, after months of stalling on its economic reform programme, the foreign Troika that effectively controlled the country had run out of patience.
Consisting of the European Union, the European Central Bank and  the International Monetary Fund, the Troika made it clear that it would withhold the final instalment of a €110 billion bailout, agreed in May 2010. This last €12 billion payment of foreign funds was needed desperately – to pay pensions,  public servants and interest on Greece’s huge debts. It was funding that Greece could raise neither in taxes from its own people, nor from the financial markets.
But what most people did not know was that Greece was running out of cash quite literally, too.
There were shortages of all denominations apart from the €10 note. Greeks had responded to the Troika’s threat to pull the €12 billion payment by withdrawing euros from their bank accounts at a record rate.
On the brink: Protesters clash with riot police in Athens, Greece, as its government was teetering on the edge of collapse over the austerity measures
On the brink: Protesters clash with riot police in Athens, Greece, as its government was teetering on the edge of collapse over the austerity measures
Soon there would be not enough euro notes in the country to cope with the number of Greeks trying to get their hands on their money from cash machines and banks. And so a secret plan was activated.  ‘We’re talking about June 2011,’ a senior official overseeing Greece’s bailout told me. ‘Greeks were taking about one to two billion euros a day from the banking system. The Greeks had to send military planes to Italy to get banknotes. It got to that point.’
A decade after it gave up the drachma, the world’s oldest existing currency, Greece faced the crushing reality that it did not have the sovereign authority to meet the demand for paper currency from its own citizens.
It could mint euro coins and there were also plates for the €10 note. But coins and small denomination paper were not going to satisfy the demand.
Only the German Bundesbank, the National Bank of Austria and the Luxembourgers have ever had the plates for the highly prized €500 note, the highest-value paper currency in the world. (This form of manufacturing would appear to have been confined to German-speaking countries.)
Intentionally or not, the ability of Greece to meet a huge surge in demand for banknotes had been effectively proscribed.
By June 2012, Greek demand for paper currency had nearly trebled and amid last summer’s electoral tumult, the secret missions started in 2011 were once again required.
The response was extraordinary. While issuing public threats to Greeks, in private the Troika authorised military and commercial cargo planes to feed them euros – billions-worth on every flight. They were intended not only to preserve Greece’s fracturing social stability, but also to preserve the single currency itself.
Greece’s European partners were worried, and  no wonder. The Governor of the Bank of Greece, George Provopoulos, subsequently explained that  if the demand for notes had not been met, an impression would have been created that the banks were unable to repay depositors.
‘It would have caused a collapse of confidence with dire consequences for financial stability and the general outlook of the country,’ he said.
A Northern Rock-style bank run in Greece could have spread quickly across the Mediterranean – investor concern had already spread to Italy.
A Troika figure told me: ‘There would have been complete and immediate panic. They had no time.
A billion, two billion per day  in banknotes is a lot of money. This then becomes an industrial problem.’
The airlift was only the first stage of the mission. Scores, if not hundreds, of journeys by truck and boat spread the new notes  across the mainland and  the Greek islands, from Rhodes to Corfu, from Crete to Komotini. Staff worked through the night to ensure that bank branches across Greece had sufficient notes to meet depositor demand, and contain any incipient bank run.
Incredibly, this operation proceeded without anyone noticing. The Bank of Greece tracked demand for paper money through bank branch orders. It did not have to deploy teams of ‘bank-run spotters’ as the Bank of England did in the crisis of 2008.
As far as ordinary Greeks were  concerned, the cash machines continued to function. However, underneath their very noses a monetary revolution was taking place.
The value of notes in circulation in Greece doubled from €19 billion in 2009 to €40 billion in September 2011. By the summer of 2012 the total had reached €48 billion, of which at least €10 billion – possibly much more –  had been delivered through secret airlifts.
Typically, developed economies have cash in circulation worth between four and seven per cent of gross domestic product. In 2009 in Greece, the figure was 8.2 per cent. By 2012 it had trebled to 24.8 per cent.
On these numbers, in mid-2012, Greece had a greater value of euro notes in circulation than the Netherlands, even though the Dutch economy is four times that of Greece.
Tens of billions of euros were yanked from Greek banks in the bank runs of 2011 and 2012, yet the authorities estimate only a third of it was spent. Another third was taken abroad for investments in, for example, London property, and a third was hidden under mattresses and floorboards in Greek homes.
It was not long before Greece’s near neighbour and cultural sibling, Cyprus, found that it too was in crisis. This time, Berlin was determined that a large chunk of the bailout would come from savings deposited in Cypriot banks. Bedlam, bank holidays and bank runs were the predictable result. As dusk fell over Nicosia on March 27 this year, the shouts of protesters were drowned out by the angry buzzing of helicopters and deafening wail of police sirens.
Safely kept: Money is seen stored overnight at Central Bank of Cyprus
Safely kept: Money is seen stored overnight at Central Bank of Cyprus
The uproar seemed to be converging on the Central Bank. Had the previous day’s sit-down protest by bank workers turned into a riot?
The truth was much stranger.
At the Central Bank, tense meetings between international financiers, American management consultants, British Treasury advisers and Cypriot bankers suddenly broke off. Four very large green juggernauts laden with euros had arrived from the European Central Bank, just hours before Cyprus’s banks were due to reopen.
An historic just-in-time delivery. That afternoon a Maersk Star Air cargo plane had parked up at the end of the runway at Larnaca airport. Flight logs record that the plane, registration OY-SRH, had flown from Cologne to Munich in the early hours, and then, via Athens, to Larnaca. It was carrying €5 billion euros in notes – not a bailout, but  an epic logistical effort to sate the Cypriot desire for paper money.
The cash had been transferred from the Bundesbank logistical reserve at the request of the ECB. But only after the Cypriot government had done its ‘homework’,  complying with Troika demands for economic and financial reform.
After the notes had been loaded on to the trucks, their journey to Nicosia was accompanied by squads of police cars, while helicopters buzzed overhead. The cash had come courtesy of Cyprus’s real central bank, the one based in Frankfurt, 1,500 miles away – the European Central Bank. Effectively, the ECB’s threat made a week before to pull emergency liquidity funding to the island’s banks was a threat to withhold the cash that arrived on this plane. The consequences would have been dire.
It is perhaps understandable that this and the other cash flights remained clandestine but, in their secrecy and urgency, they offer a window to a still more extraordinary landscape of lies and half-truths told across the continent to keep the single currency alive.
Greece’s membership of the eurozone was, from inception, built on misleading data about the state of its economy. The Cypriot entry in 2008 was waved through, yet only now have the Cypriots been told that their main industry, an offshore banking sector, needs to be dismantled amid fears that it has aided tax evasion and money laundering.
But even these extraordinary lapses pale into insignificance against the two mega lies – untruths in the very structure of the euro – which persist even now, despite the seemingly calmer weather in the currency bloc. A blueprint for revival is being drawn up in the German headquarters of the European Central Bank. The ECB is in absolutely no doubt that the euro will survive.
But the people of the crisis countries – Spain, Portugal, Greece, Cyprus, Italy and Ireland – are yet to be enlightened by their politicians about the price to be paid: in short, the survival of the euro means much lower wages for them. 
To use the jargon, the  Mediterranean countries must be ‘internally devalued’, which means pushing down average wages that had risen sharply, to regain competitiveness and promote growth. The existence of a common currency means, of course, that old-fashioned currency devaluation – the standard method of achieving these things in the past – is impossible.
I know for a fact that two ministers in charge of struggling Mediterranean economies (sadly, they must remain anonymous) are happy to boast about the scale of the cuts in workers’ wages when addressing international bond traders. Would they ever dream of saying this in public? Decisively not.
‘The public would not take it,’ one crisis economy minister tells me.
Meanwhile, even in the final weeks of a German election campaign (which Angela Merkel seems likely to win) the voters remain ignorant that they too must pay a price: that they are about to foot a bill of  billions of euros as Greece heads inexorably for a third bailout.
It will happen safely after the votes are counted, of course.
Germany benefited the most from the introduction of the euro through trade within Europe, a cheaper currency for exports outside Europe, and ultra-low interest rates on its debts. But it now seems inevitable that northern European taxpayers, and German ones in particular, will bear a heavy share of the cost of rescuing the currency.
After all, the northern European taxpayer has effectively replaced bankers in funding Greece’s remaining debts. The first test will come from Greece, which will soon require a remarkable third bailout and yet another default on its debt, having already had the world’s biggest sovereign default in 2012.
This will be just the start of a process where public debts across the eurozone are shared. A de facto  fiscal union and, soon enough, a form of ‘banking union’ will follow.
Underlying all of this will be political union – a super state.
The Maersk Star Air OY-SRH that landed in Larnaca five months ago was the equivalent of a printing press in a nation that had ceded its monetary sovereignty. Such planes are a visible symbol of the loss of national power necessary to prevent the currency itself from crashing.
After the German elections next month, this truth will be revealed. A resumption of the airborne rescue missions is possible; turbulence is guaranteed. Fasten your seatbelts.
This is an edited extract from The Default Line: The Inside Story Of People, Banks And Entire Nations On The Edge, by Faisal Islam, published by Head of Zeus at £15.99. To buy  a copy for £12.49 with free UK p&p, call the Mail Book Shop on 0844 472 4157 or visit mailbookshop.co.uk


Read more: http://www.dailymail.co.uk/news/article-2401410/The-secret-plane-stuffed-cash-saved-euro-When-Greece-burned-banks-melted-EU-talked-tough-threatened-cut-loose--covertly-flooded-10billion.html#ixzz2cxbsCGOh
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Saturday 24 August 2013

Benefits, a council house and non-stop partying. It's a tough old life being a fracking protester!, from the Daily Mail

  • One organiser said at least half Balcombe protesters are on benefits
  • Philip Lardo, 52, a druid, also has council house in Brighton
  • Police complain site is becoming a 'free festival' after anarchists from Spain, France, Holland and Poland, among others, joined the party
  • Cost of policing operation already £2.3million - likely to end up at £3.7million
  • Majority of local residents oppose fracking, but a growing number are tiring of the chaos

Support: Philip Lardo, pictured in full druid dress, is protesting at the Cuadrilla site in Balcombe but normally lives in a council house in Brighton
Support: Philip Lardo, pictured in full druid dress, is protesting at the Cuadrilla site in Balcombe but normally lives in a council house in Brighton
Each morning, 52-year-old Philip Lardo wakes up, lights a camp fire, parks his backside in a deckchair, and rolls a cigarette.
For most of the past three weeks, he’s been living in a tent by the B2036 in Sussex, where he’s spent days relaxing in the sun, or visiting the local shop to stock up on tobacco, snack food and drinking water.
At meal times, Lardo adjourns to a marquee a few hundred yards away to queue up for the home-cooked food that is served free of charge to residents of the leafy site where his tent is pitched.
‘For lunch today, we had Tuscan bean stew,’ he tells me. ‘They served it with bread and rice. It was pretty tasty, if you like that kind of thing.’
In the evenings, he likes to sit around the fire listening to bongo drums and guitar music, or — if he’s feeling energetic — wander to the local pub, the Half Moon.
It sounds, on the face of it, like an idyllic way to spend August. And, as he relaxes in the sunshine, Lardo looks every inch the happy camper. But he isn’t on what you might call a traditional summer holiday; quite the reverse, in fact. 
For, as the crowds of uniformed police officers circling warily in the distance suggest, we are at what is currently the country’s most high-profile political demonstration. Lardo is one of the several hundred protesters who have taken up residence on grass verges near the pretty commuter village of Balcombe.
They are lobbying against an operation by the energy company Cuadrilla, which has started exploratory drilling several thousand feet beneath the rolling countryside of rural Sussex.
Environmentalists fear the Balcombe site could in future be used for fracking, a controversial extraction technique in which pressurised liquid is pumped deep underground to release oil and gas trapped within shale rock.
They have therefore pledged to remain at the scene until the drilling is stopped.
The demo began quietly last month, when a few dozen concerned locals began picketing the site. They were soon joined by Lardo and other activists from across the country, including designer Dame Vivienne Westwood, and perennial activist and ex-rock wife Bianca Jagger.
The group scored a major victory last Friday when drilling was suspended altogether, on the advice of police, after several hundred new protesters arrived for a pre-planned five-day rally.
The suspension was lifted a few days later. But not before the authorities had been accused of surrendering to ‘mob rule’.
On Monday, on a day of so-called ‘direct action’, more than 30 people were arrested for blocking access to the Cuadrilla site, including the Green Party MP Caroline Lucas, whose plight helped place the demo on the front pages.
Noisy: Demonstrators making their voice heard at the drilling site on Monday
Noisy: Demonstrators making their voice heard at the drilling site on Monday
Since then, police helicopters have buzzed almost constantly in the skies above Balcombe, where more than 400 officers from across the country have been deployed.
Yesterday, Sussex Police said the operation had already cost £2.3 million, and is likely to eventually set the taxpayer back some £3.7 million.
The lanes around the usually picturesque village are now filled with riot vans, and coverage of events has helped spark a national debate about the pros and cons of fracking.
Yet at the centre of this expensive circus lie some pressing, unanswered questions. Who exactly are these well-organised eco-warriors? Where did they really come from? Just who is bankrolling their long-running protest? And have the once supportive villagers of Balcombe started to tire of the noisy activists in their midst?
Lardo makes for an instructive case study. While organisers of the Balcombe protest do much to play up its local roots, he, like most of the colourful demonstrators, has no connection to the village. Instead, Lardo has a council house in Brighton. But for most of the year, this publicly-funded property lies empty, since he chooses to live in the woods of Sussex — as a druid.
Gathering pace: The protest began quietly last month with a few concerned locals but has now become the country's most high-profile political demonstration
Gathering pace: The protest began quietly last month with a few concerned locals but has now become the country's most high-profile political demonstration
The job doesn’t always see him wearing traditional druid’s robes but it does allow him to spend weeks on end at ‘direct action’ protests.
With this in mind, Lardo spent the early months of 2013 on the outskirts of Hove, attempting to prevent the construction of a new bypass. When that protest petered out, he moved to Balcombe.
‘As druids, we revere nature and we revere the Earth,’ he says. ‘It’s where we live. Nature is our birthright. That’s why we try to save it.’ Lardo is, of course, entitled to spend his time as he wishes. But like many of fellow protesters, his activist lifestyle turns out to be entirely funded by the taxpayer.
‘Druids aren’t paid, so I am officially unemployed,’ he says, when I ask about his finances. ‘I happen to sign on. I get roughly £80 a week for that. Then, because I’ve got osteoporosis in my knees, hip and toes, I also get disability of around £100 a month.’
Controversial: The protesters are objecting to the process of fracking - a technique which involves pumping liquid deep underground to release oil and gas
Controversial: The protesters are objecting to the process of fracking - a technique which involves pumping liquid deep underground to release oil and gas
The money is deposited in Lardo’s bank account each week, as he sits in his deckchair. And among residents of the Balcombe protest site, precious few appear to be gainfully employed.
Also camping nearby, for example, is full-time protester Natalie Hynde, the 30-year-old daughter of Pretenders singer Chrissie and The Kinks frontman Ray Davies. She and her unemployed boyfriend Simon ‘Sitting Bull’ Medhurst, a 55-year-old veteran eco-warrior, were arrested on Monday for ‘supergluing’ themselves to the site’s entrance gates.
Rodney Jago, a retiree and resident of Balcombe, says that’s typical of his village’s new residents.
‘One of the organisers told me that at least 50 per cent are on benefits,’ Jago says. ‘He was quite shameless about it; didn’t think it was at all embarrassing. It’s like a free holiday for these people. They wave a placard from time to time, but basically all they do is sit in a deckchair, getting free food, while their kids run wild.’
This week anarchists from Spain, France, Holland and Poland, among others, joined the party. Their presence led police to complain that the village has turned into a ‘free festival’ for professional agitators.
One new arrival, from Malaga, said: ‘I was in London and going back to Europe when I heard about this. I’ve only recently learnt about fracking, but thought this would be fun.’
A group of French squatters, who had been living in a derelict house in Islington, North London, meanwhile said they had now moved to Balcombe because ‘the weather is really good and everyone is friendly’.
So how many of the people at the demo really care about fracking?
It’s hard to tell. But many of those involved in Reclaim the Power, a mysterious organisation whose supporters turned up in vast numbers this week, appear to have little connection with the issue.
In its literature, Reclaim the Power says it’s a coalition of ‘member groups’ that include UK Uncut — lobbyists against David Cameron’s spending cuts — Occupy London, who were behind last year’s anti-capitalist protests at St Paul’s Cathedral, and the Greater London Pensioners Association. Other members include a pro-Labour group called Disabled People Against Cuts, along with officials from the powerful trade unions Unite and the far-Left RMT, which supposedly represents transport workers.
Profile: The arrest of Green Party MP Caroline Lucas at the protest brought it to the front pages
Profile: The arrest of Green Party MP Caroline Lucas at the protest brought it to the front pages
Quite why such outfits should take a strong position (or indeed any position) on fracking, and want to be pulling strings in Balcombe, remains unclear.
Some observers wonder if they are merely ‘piggybacking’ the issue for political reasons. The Tory MP Jacob Rees-Mogg has decried demonstrators as a ‘rent-a-mob’, saying that ‘buses of hooligans’ had come to the village to party and cause trouble.
The most curious organisation behind the protest is surely Fuel Poverty Action, listed in the protest camp’s handbook (yes, it has its own handbook), as one of its major organisers. This group supposedly exists to campaign against high energy prices. But in the U.S., a fracking boom has helped reduce domestic gas prices by about a quarter.
So why does Fuel Poverty Action see fit to lobby against the introduction of the technology in the UK? A Reclaim the Power spokesman will say only that it sees fracking as ‘part of the way that the big six energy companies are exploiting the vulnerable in society’.
From a distance, the camp resembled a poor man’s Glastonbury, with hundreds of tents pitched around a selection of stages and marquees. Up close, the smell of BO mingled with an occasional whiff of marijuana. Residents seemed friendly, though their ranks included at least two undercover reporters.
Placards could be seen supporting gay rights, opposing the Iraq and Afghanistan wars, advertising a pro-migrant demonstration in Calais, and calling for an end to animal testing.
Shameless: When anarchists from elsewhere in Europe began to turn up, police complained the protest was becoming a 'free festival' for professional agitators
Shameless: When anarchists from elsewhere in Europe began to turn up, police complained the protest was becoming a 'free festival' for professional agitators
During the afternoon, I spotted three representatives of the local Labour party, wearing red rosettes and campaigning on site on behalf of Alan Rew, a county council election candidate.
Their presence was surely the height of hypocrisy: Labour is cautiously in favour of the technology.
The identity of the key people at the camp remains somewhat obscure. Reclaim the Power calls itself a ‘horizontal’ protest organisation, meaning it has no official leader.
Its finances are also opaque. Some chemical toilets used by protesters have been funded by Greenpeace. Free vegan meals are being provided by a non-profit organisation called ‘Veggies’. Campers seemed unsure who was funding their smart marquee tents and printed literature.
The group was originally formed by 21 environmental activists who were arrested and prosecuted after occupying West Burton coal-fired power station, in Nottinghamshire, last year.
Several are Oxbridge educated, and hail from highly privileged backgrounds. One, Danielle Paffard, studied at Wadham College, Oxford, while her father, Roger, used to be chief executive of High Street chocolatier Thorntons and stationery giant Staples.
Another is Ewa Jasiewicz, 35, a veteran far-Left activist who is best known for campaigning against the Iraq war and being a leader of the Free Gaza Movement, which in 2011 attempted to send a flotilla of ships laden with provisions to the Gaza Strip. She certainly knows how to organise a protest.
Expensive: Sussex Police said the cost of policing the protest is already £2.3million and is likely to increase
Expensive: Sussex Police said the cost of policing the protest is already £2.3million and is likely to increase
The Balcombe site boasts a media centre, a legal advice tent (the sign outside reads ‘have fun and keep us busy!’) and three restaurant tents serving vegan cuisine. Yet for all the creature comforts, it was actually staged illegally: Jasiewicz and her cronies set up their marquees, without permission, on the field of Richard Ponsford, a local farmer.
‘We didn’t have permission to move there, but we now have a constructive relationship with the farmer,’ a spokesman told me.
Strangely, when I spoke to Mr Ponsford, whose family have been tenants at the farm for 60 years, he saw things differently. ‘It’s a pain,’ he said. ‘We’re just hoping they go away without causing too much damage and leaving a mess.’
Mr Ponsford first learned that his field was being invaded when a neighbour told him several cars and vans were setting up camp there. After a three-hour stand-off, police advised him it was safer to back down and let them have the field.
Earlier this week, police arrested a demonstrator at a different site north of the main camp for allegedly threatening a landowner who asked him to cease trespassing. Little wonder, perhaps, that many residents of Balcombe are starting to grow weary of the invasion of their rural idyll.
Contradiction: Residents in Balcombe have begun to complain at the actions of the protesters with several urging them to leave
Not wanted: Residents in Balcombe have begun to complain at the actions of the protesters with several urging them to leave
Though polls show that a firm majority — perhaps understandably — are opposed to fracking on their doorstep, growing numbers also appear to be tiring of the chaos. Last week, Alison Stevenson, chairman of the parish council, published an open letter saying that it ‘strongly opposes any actions which may be taken which involve civil trespass and/or illegal acts’.
Anti-fracking posters now compete with a smattering of signs saying: ‘Balcombe is 80 per cent opposed to fracking and 100 per cent opposed to illegal actions.’
One resident, drinking at the Half Moon pub, told me: ‘People are very reluctant to criticise the protesters, or speak publicly in support of fracking, because they feel intimidated.’
Peter Cockburn, a 67-year-old retiree who supports the potential arrival of fracking to Balcombe because, among other things, ‘it might bring jobs to the village’, meanwhile compared the protest site to a third world slum. ‘There are bodies lying everywhere, all this smoke going up — and heaven knows what’s in that — and it looks like some sort of Malaysian kampong [shanty town],’ he said.
The former botanist devoted several years of his career to campaigning to save the rainforest in Borneo. ‘I did plenty to save the planet, thank you, and unlike this lot, I didn’t achieve it by sitting on my arse on a grass verge smoking pot.’


Read more: http://www.dailymail.co.uk/news/article-2401253/Benefits-council-house-non-stop-partying-Its-tough-old-life-fracking-protester.html#ixzz2crgbprzI
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