Letter from Parliament - Jim Dobbin MP
Date published: 22 April 2008
Jim Dobbin MP
Parliament resumed yeterday, 21 April, and the first issue is the Finance Bill which contains the controversial 10p tax budget change. The Finance Bill will make many positive improvements to people’s lives for the future but the resentment the 10p tax proposal is creating needs to be addressed. Those earning under £18,000 will lose about £200 per year.
I have had a large postbag demonstrating how upset constituents are and rightly so. It is vital that the government moves swiftly to address this by introducing a tax relief package for those who have lost out as a result of the abolition. Using the Institute of Fiscal Studies and Treasury figures it can be calculated that it would cost £550million to provide a tax relief package to the 5.3million low income tax payers involved.
I have to say in Gordon Brown’s defence that as Chancellor he effectively redistributed wealth to alleviate poverty. He introduced the winter fuel allowance, increasing it recently and he introduced tax credits for families, children and pensioners. He increased child benefit and maintained low interest rates and low mortgages. Employment increased to record levels and he introduced free off peak bus travel for over 60s. Many of these measures are in the Finance Bill and need to be supported. That is why it makes no sense to penalise the same low income group that the government is trying to support. I will support an amendment to reverse the 10p tax decision.
The government has cracked down effectively on tax avoidance but it needs to do more. A constant game of cat and mouse between the Treasury and tax avoiders and evaders is the result of loopholes in the system.
Approximately £25 billion is lost to public funds as a result of tax avoidance by individuals and corporations using these loopholes. Over £70 billion is lost through illegal tax evasions each year mainly through wealth being channelled to off shore tax havens before tax is paid. If this could be stopped the proceeds raised could provide a better tax deal for ordinary people and improve spending on public services. I hope there is an immediate resolution to the 10p tax proposal.
I attended an event organised by Carl Roach of Middleton’s Inspire project. It was supported by a voluntary sector group called the Lighthouse Project based in the Midlands. The aim is to generate support across Middleton offering help, advice, guidance and training to vulnerable people and groups on everything from education, housing, health, youth support and victims of crime. The main thrust would be to create better and more harmonious community relations. I wish the project every success as it has tremendous potential with the right momentum.
The lunch organised by Age Concern for Asian women elders was most enjoyable. I was Chair of Housing some years ago when Asiana was set up as a housing association and I felt great affinity with the event. All credit to Razia Shamin for her enthusiastic drive and organisation of a lovely afternoon.
I was invited later that afternoon to share some time with parents and supporters of the Music Service at a musical buffet social event. Fred Bowker who leads the Music Service and his team have put Rochdale on the map nationally and have won a reputation across the UK following repeated success in competitions.
Late in the week the Primary Care Trust presented their plans for local involvement in the National Bowel cancer screening project. This is a government led initiative and it was good to see our local PCT leading the way.
I then met with Rochdale Council Executive Director, Andy Zuntz to be briefed on regeneration plans for Middleton/Heywood. I also discussed how the Council and other partners could focus on regeneration Castleton, focusing on the vacant Corus site and canal area including the extension of the East Lancs Railway through Castleton and into Victoria, something I and many others have been pushing for a number of years.
It is always rewarding to see the efforts made by volunteers who give up time to encourage young people. Thriving Scouts and Guides movements depend upon these selfless individuals and as a community we should be proud of them. It was an honour therefore to attend the Guide/Scout services at St Leonard’s Church Middleton and St Joseph’s Church in Heywood for St George’s Day, before travelling to London
This week I shall be chairing a major conference organised by Maranatha, a Manchester based community for a consultation on marriage and the family. I shall give more details in my next article.
By the way it was good to be present at the Gracie Fields Theatre for the celebration concert of the 2008 Rochdale Youth Festival of Music, Speech and Dance. Congratulations to Middleton Technology College, Siddal Moor Sports College, St Michael’s Bamford, Woodland Primary Heywood and all other individuals who received awards and especially to all the young people who took part so enthusiastically.
I have had my pre-op visit to Rochdale Infirmary and at last I will have my new knee joint operation on Tuesday 13 May. I can’t wait.
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