Back to Front PageThe Man Who Stole Your Pension

What Brown thinks of the votersGordon Brown thinks the country is obliged to let him take his turn as prime minister when Tony Blair finally gives up in despair and cuts and runs.
Here are a few highlights of Grim Gordon's legacy of mismanagement and meddling.

Left : Mr. Broon's message to the electorate.

STOP PRESS : Brown's Stealth Taxes have given Britain the world's highest property taxes in 2006

STOP PRESS : Brown guaranteed that he had put an end to boom and bust – during the biggest boom ever, which was based on Brown's policy of reckless spending and followed by the biggest bust in recorded history in 2008/09.

STOP PRESS : The Brown Bust is costing pensioners £3,000/year in lost income in 2014.

"Gordon is the sort of person who will give you Saturday's winning lottery numbers on Sunday afternoon and expect you to believe that he has done something clever."

"Things soon got to the point where, if you could see Gordon's mouth open, you knew he was either lying or he was at his cosmetic dentist and a self-serving and totally bogus press release about his pain threshold was on the way."

"When the going gets tough for Labour, Gordon disappears."

"Gordon is clearly a student of the Enron School of Accounting and a member of the Robert Maxwell Institute of Pension Administration."

"As a politician, if you can fake sincerity, you've cracked it. Gordon showed, when Blair announced that he was stepping down and would quit in 2 months, that he still has a long, long way to go as his speech in praise of Blair was a masterclass in insincerity. Similarly, when he heard that he would not have to go through an election to become the next Labour leader, his protestations of humility, which drew laughter from the attendant journalists, were another model of insincerity."

"Gordon suffers from the belief that he's the bee's knees. Luckily, no one else shares his delusion."

"Gordon Brown was put on Earth to remind us how good Tony Blair was." – Lord Desai, 2008/04/17

"Gordon will be remembered as the Chancellor who inherited a healthy economy from the Tories and ran it into the ground in less than a decade through his Stealth Taxes and his failure to pay off government debt during the good times."

BROON SACKED
A Nation Rejoices

Broon gets the sack!May, 2010 Concerned about the British economy being damaged further by Brown's dithering and attempts to cling to office despite comprehensive rejection by the nation, Her Majesty The Queen took the initiative. She summoned him to Buckingham Palace and handed Brown his P45 on behalf of an ungrateful nation.
     On leaving the Palace precincts, Brown was overheard muttering something about "that woman" and "a bigot".
    Brown has declared an interest in doing "good works after leaving politics". But given his track record for destroying everything he touches, his opportunities for employment are likely to be very few and very far between.

"British Jobs for British Workers"

This was one of Gordon Brown's slogans. But 1.8 million of 2 million new jobs created under New Labour – that's 90% – went to immigrants.

"A One-Achievement Legacy"

All Gordon Brown managed to do right in 13 years of blundering about was to keep Britain out of the euro – and he did it only to annoy Tony Blair, who was all in favour of the euro, not because he thought it was a sensible (or prudent) thing to do.

"Africa has always been my passion"

translation: Gordon has no friends at home by he thinks he can buy friends abroad by throwing millions of pounds of British taxpayers' cash at corrupt African dictators.

"An end to spin, guaranteed!"

Gordon BrownGordon Brown promised to put an end to the stream of slimy progaganda, which was one of the signatures of the Blair government, but he gave us Damian McBride, who was paid £60,000/year of taxpayers' cash to smear Brown's enemies (both inside and outside his party) and run New Labour's dirty tricks department for the Brown Era.
   But Mr. McPoison was exposed, via the inevitable leak, as he plotted to publish smearing sex scandals about prominent Tories. McBride was dumped but Brown, a man who never apologizes, took a week to say a small sorry and took a good kicking in the opinion polls as a consequence of his dishonesty.
   Brown also pledged to end sleaze and cronyism, to restore the integrity of the Civil Service after Tony Blair turned it into a provisional wing of the Labour Party, to return power to Parliament and to return to traditional Cabinet government.
   What we got was no change in government by a secret circle, a few Labour MPs arrested for expenses fraud and the vast majority let off, former Cabinet ministers selling themselves to lobbying groups and former civil servants continuing to make a mint in the private sector.

Appalling Judgement

Gordon Brown brought twice-disgraced Peter Mandelson back into the Cabinet by giving him a peerage right at the moment when:
A) newly released government papers confirmed that both Brown and Blair (encouraged by Mandelson) had lied about their parts in giving Formula One racing an exemption from a ban on tobacco advertising after Labour donor Bernie Ecclestone, the boss of F1, had nudged Blair's elbow; and
B) Mandelson was under another cloud after accepting hospitality from a Russian billionaire who was involved in swindling European companies and benefitting from relaxed tarifs on aluminium imports from outside the EU.

Armed Forced Betrayed, Military Covenant Broken

Like the rest of the New Labour sheep, Brown went along with Blair's foreign wars. But he failed to budget enough money to let the armed forces maintain sufficient numbers to be effective and buy the equipment that they needed to survive.
   As a result of Brown's negligence, troops were inadequately trained, they were sent to Iraq with insufficient supplies of essentials like body armour, their out-dated communication systems didn't work and lives were lost whenever British troops faced up to landmines and roadside bombs in unarmoured Land Rovers.
   The Navy has been run down to the point where it would be hard pressed to summon more than a couple of rowing boats, and the RAF is shrinking to vanishing point.

Auditor General's opinion on Brown

Sir Jon Bourn concluded in July 2006 that Brown's 'flagship' tax credit system is a failure, which wastes £1.3 billion per year on mistakes, fraud and cynical attempts by the Treasury to manipulate official statistics. Brown's reckless expansion of means-testing was branded 'ridiculous'.
   Sir Jon's other assessments included:
black blobNetwork Rail's £23 billion debt, which is underwritten by the Treasury, belongs in the government's accounts but it is excluded only to foster the illusion that Brown is able to stick to his own spending rules.
black blobBrown's constant meddling and rule changes, which are designed to put people off claiming benefits, are the source of increased errors (as officials struggle to keep up with ever changing rules) and fraud through criminals taking advantage of the opacity of systems for claiming benefits.
black blobThe means-testing for Brown's pension credit puts the scheme's administration costs at 'a ridiculous level' relative to the overall cost of the scheme.
black blobThe Office of National Statistics should be an independent office of the House of Commons and its figures should not be subject to 'checking' and fiddles by the government.

Benefit Trap Retained

Brown's 'flagship' tax credit system was supposed to give poor families an incentive to send someone out to work and get off benefits. But the 'reforms' introduced since 1997 add up to a disincentive for poorer people to find work, an analysis by the Institute for Fiscal Studies has shown. Brown's endless meddling with the system, and his passion for means-testing, has left poorer families in a state where if they earn more money, they lose large chunks of their benefits.
   Two million workers on low pay lose more than half of any additional earnings through corresponding cuts in benefits, and for some 160,000 of them, the state reclaims over 90% of their additional earnings.
   The tax credit system has the highest rate of error and fraud in government. "It is incompetence on an industrial scale."

"Gordon's speciality is creating benefits, making the rules so complicated that less than 20% of those entitled to the benefit actually claim it, then lying about how successful the scheme was."

Black Hole Brown – the Reckless Gambler

Treasury documents released in 2006 under the Free of Information Act show that Brown was well aware that he could be creating a huge black hole in private pension funds if he abolished tax relief on share dividends in 1997. But he went ahead and did it anyway, gambling, with pension fund members' money, on a rise in the stock market. He lost his gamble when share prices plunged in 2001 and 2002.
   Private pension funds would be £110 billion better off today if Brown had been fiscally responsible in 1997.
   UPDATE : Under Gordon Brown's 'prudent' administration, and as a direct result of his tinkering and obsessive complication, blunders by the people administering the benefit system now cost the taxpayer MORE than fraud.
   UPDATE : The latest estimate of the private pension shortfall caused by Brown's tax-grab (February 2006 figure) is £160,000,000,000.
   UPDATE : The black hole in public pensions has shot up from £24.2 billion in 2005 to £81 billion in 2006. The government, of which G. Brown is a member, has opted not to set aside cash to cover this requirement. The hole will be filled in using future taxes. YOU HAVE BEEN WARNED!
   UPDATE : Brown got the government's borrowing requirement wrong (underestimated due to terrible Treasury forecasting) in each of the last 8 years – that's how good he is at his job.
   UPDATE : Brown has created £35 BILLION of UK debt and a 2006 trade deficit of £7.5 BILLION.
   UPDATE : A calculation in October 2006 has found that Brown's predation on pension funds has reduced their value by £100-150 billion. The £100 billion figure is over TWICE the combined deficits of the country's 350 largest companies and Brown is now recognized as the direct cause of the death of the final salary pension scheme. in 2007, just 4 million people can expect this type of pension compared to 11 million in 1997.
   UPDATE : Documents released in 2007 under the Freedom of Information Act show that Brown was warned of the consequences of stealing £5 billion/year from private pensions by civil servants at the Treasury. But he went ahead and did it anyway.
   When the truth came out, Brown scuttled off to Afghanistan for a photo opportunity, leaving his spin-doctor Ed Balls to trot out the line that the CBI lobbied the government for the tax grab which destroyed the best pension system in the world. That lie was quickly nailed by Lord Turner, who was the chairman of the CBI in 1997.
   UPDATE : Brown paid £12.4 BILLION pounds over the market value for the shares when RBS and LloydsTSB were taken into public ownership. But it was only taxpayers' money, after all . . .

"The problem was that Brown decided it would make him look good if he pissed the nation's reserves up the wall with reckless spending. But all he achieved was to create a monstrous Brown Hole in the nation's finances."

The Bonfire that never happened

Gordon Brown promised a Bonfire of the Quangos right at the start of the New Labour scam – and then proceeded allow hundreds of them to be created.

". . . British jobs for British workers"

Gordon Brown's pledge to the 2007 Labour party conference was to create British jobs for British workers. But at the end of 2009, the Office for National Statistics found that 98.5% of the 1.7 million new jobs created since 1997 had gone to foreigners and there were 730,000 fewer British people in jobs.

The "Brown Bottom"

gold bullionThat's what experts are calling the point in the gold market where Gordon Brown elected to sell off one-half of Britain's gold reserves as one of his early failed gambles. He chose to make the sale at the bottom of the market, and he compounded his blunder by announcing the sale well in advance, which ensured that the price had fallen even more when he began the sell-off. He obtained an average of $275 per troy ounce in 1999/2000. The price of gold had climbed above $1,000 per troy ounce by 2008, and Brown is calculated to have cost the nation £4 billion with this piece of political foolishness.

Concealed the true cost of the 2012 Olympics

In July 2005, Britain 'won' the right to stage the 2012 Olympic Games.
   In October 2005, the civil service warned the government that VAT would raise the Games enormously; they had been 'sold' to the public with a budget of £2.4 billion. Chancellor Gordon Brown and Culture Secretary Tessa Jowell were also warned that the true security cost, and a contingency fund, had not been included in the original budget.
   In November 2006, New Labour was finally forced to admit that the 'bid price' for the Games had been kept artificially low and Brown was insisting on adding VAT at a further cost of £1 billion and also a contingency fund amounting to 60% of the total budget.
   In March 2007, New Labour announced that the likely cost of the Olympics would be £9 billion and that funds from the National Lottery would have to be raided mercilessly and good causes punished as the price of Brown's deviousness.

Corporation Tax Made Voluntary

In 1999, Brown chose to abandon Inland Revenue plans for a crackdown on tax avoidance. He tried to cosy up to big firms and chose to let them pay as little corporation tax as they could manage, leading to a fall of 21% in corporation tax receipts, despite massive increases of profits, from £26 BILLION in 2000 to £20 BILLION by 2012.

Council Tax Doubled

Brown's participation in New Labour's drive to impose more and more duties on local councils, and his grim determination not to find the money from standard taxation to pay the cost of the new duties, have combined to see Council Tax soaring year on year, and reach double 1997 values by 2005/06.

Tax Per Dwelling

Demographic Disaster

From 2010 on, the number of people retiring and becoming 'no longer economically productive' will increase rapidly. A prudent Chancellor would have built up pensions and national savings following the change of government in 1997 in anticipation of the forthcoming 'demographic drag'.
   Gordon Brown, in contrast, has been damaging pensions and removing all incentives to save via his raids on pension funds and his Stealth Taxes. He is also responsible for a huge rise in government borrowing, which will have to be paid for somehow in future years – and long after he has been booted out of the Treasury.

Destruction of Savings

Brown launched another sustained assaults on savings schemes in parallel with his assault on pensions. His objectives were: to wipe out all tax concessions, to make holding savings pointless and to encourage people to spend surplus cash to give the economy an artificial and unsustainable boost.
   He also announced a Self-Investment Personal Pension Scheme in 2004 to make savings sexy, only to cancel it in 2005 when he realized that middle class people could benefit from it.

"Brown's control freakery and passion for means testing
pension eligibility has made saving pointless."

Economy mismanaged & tax collection botched

Gordon Brown inherited an inflation-free economy which was in excellent working order from the outgoing Tory Chancellor, Kenneth Clarke. He then proceeded to dig a black hole in it through feckless expansion of the public sector and its pension requirements while telling everyone who would listen that he was making decisions for the long term.
   He pretended to be wed to Prudence but that was just a sham marriage. He pretended to pass control of interest rates to the Bank of England but continued to interfere with the process of setting the national base interest rate.
   He pretended to have a Golden Rule, which required him to borrow only to invest, not to finance current spending, over "the current economic cycle" – which turned out to be an elastic concept. When he seemed in danger of breaking the Golden Rule, Brown cynically got his minions to add a couple of years to their guess of what constituted the current economic cycle.
   Another of his fiddles was to exclude the liabilities of Network Rail and debt due to Private Finance Initiatives from the Treasury's calculations of the size of the National Debt. The taxpayer has underwritten Network Rail to the tune of £17 billion and PFIs to the tune of £25 billion.
   Under Brown's Brown's alleged stewardship, 11% of the people in Pay As You Earn income tax schemes are being charged the wrong rate; the Treasury overpaid more than £2.2 billion in tax credits; the Revenue department had a deficit of £9.6 billion of uncollected taxes in 2005, 40% of which had been outstanding for well over a year; and as for National Insurance contributions, the deficit was £24 billion at April 2005.
   Update, December 2007 Add on £60 billion set aside to cover the Northern Rock Bank's liabilities. Not to mention £250 billion to cover public sector pension obligations.
   Update, August 2008 Brown has brought the British economy to a standstill. Economic growth hit 0% in April-June 2008, ending 63 quarters of sustained growth going back to 1992. The situation is made worse by Brown's persistent failure to save for a rainy day when the economy was doing well.

Fraud Rewarded

Gordon Brown and his Chancellor, A. Darling, used the Enron business model to run the country into the ground, but they will stroll off into the sunset with fat pensions instead of enjoying free hospitality in one of Her Majesty's prisons.

Final Salary Pension Schemes Destroyed

Brown's immediate raid on pension funds via assaults on tax concessions have raised in excess of £5 billion per year since 1997, a great deal of which New Labour paid to cronies or client organizations or wasted, and made the final salary pension scheme a phenomenon which ended in the 20th Century.

Foundering 'Flagships'

 • Brown's 'flagship' working tax credit system rapidly became a morasse of bunging by officials; predation by fraudsters; over-payments due to excessive complication in the method used to calculate tax credit entitlements; and distress and frustration for the people whom the scheme should have helped. Claimants were overpaid £2 billion in both 2003-04 and 2004-05, most of which has been written off as unrecoverable by the Revenue & Customs Dept.
   A further £1.3 billion was lost to fraudsters, much of it because Revenue & Customs officers were told not to challenge obviously dodgy claims to boost the uptake of the scheme for New Labour propaganda purposes.
 • Brown's 'flagship' pledge in the 2006 Budget to raise spending per pupil in state schools to the level achieved in the private sector received maximum publicity as the Chancellor tried to build up his credentials as a prime minister in waiting. The whole thing was quietly sidelined as a unaffordable 'aspiration' three months later.

Fraud, there's no other word for it

Gordon Brown, the Treasury and his Chancellor, A. Darling, the Bank of England and the management of Lloyds TSB were all involved in a cynical campaign to swindle the small shareholders of Lloyds TSB so that the bank could take over the failed Halifax Bank of Scotland as a favour to the prime minister and to protect jobs in Scotland.
   When the shareholders were invited to vote in support of the takeover, they were not told that HBoS was broke and the government had propped it up with a secret loan of £25 BILLION. The shareholders have seen the value of their shares decline from around £5 with dividends to the latest share offer, which offers Lloyds Banking Group shares at 37p with no dividends.
   This scam was perpetrated by the same Gordon Brown, who would have us believe that he single-handedly saved the world's banking system from collapse.

The General Election that Never Was

According to Peter Watt, Labour party general secretary from January 2006 to November 2007, the Labour machine spent weeks preparing for an election in the autumn of 2007, after Gordon Brown replaced Tony Blair. And when Brown got cold feet and called it off, he wasted £1,200,000, which his party couldn't afford to lose.
   Since then, of course, Gordon has lied and lied, claiming he never decided to call an election and refusing to admit that he was scared off by adverse opinion polls.

It Wisnae Me!

Gordon Brown would have us believe that the Brown Slump is down to sinister foreign powers, over which he had no control. But it wasn't foreign bankers who blew a decade's Stealth Taxes through reckless spending, it wasn't foreign bankers who squandered the Tory Party's golden legacy of a low inflation economy in excellent working order, it wasn't foreign bankers who ruined private pensions and savings in Britain, and it wasn't foreign bankers who spent a decade borrowing recklessly instead of 'fixing the roof while the sun was shining'.

Means-Testing Mania

Half of all pensioners can claim the pension credit, but they have to undergo a mean test first. Anyone who dares to apply for the credit has to fill in a lengthy, over-complicated form which, Brown hopes, will put pensioners off making a claim. The system is also a real disincentive to saving. Gordon Brown has established himself as a road block to pension reform through his mean-spirited obsession with micro-management.

Moral Cowardice in Office

Brown refused to sign the Lisbon treaty in December 2007 with the other EU leaders, having claimed all sorts of worthless opt-outs, lied about the impact of the treaty and reneged on a promise to hold a referendum on it. He also 'bottled out' of holding a general election in October 2007 then lied about being influenced by the state of the opinion polls. He denied being responsible for the regulation failures which led to the Northern Rock collapse. He denied bungling the fusion of HM Customs with the Inland Revenue, which put in place the laxity which let HMRC lose the personal and banking details of 25 million British citizens. And he kept pretending that he wasn't there for the Iraq war and every other catastrophe of 10 years of New Labour.

"No more boom and bust . . ."

This is what Gordon Brown promised in 1997. What he delivered was long period of reckless spending while the economy was doing well. Instead of building up the nation's reserves for the next bust, he pretended it would never happen and squandered both income and reserves.
   And then the nation was faced with the biggest bust in history – which bust happened because Brown was too busy getting into bed with the nation's bankers to impose proper regulation on the likes of Fred "The Shred" Goodwin, who ruined the Royal Bank of Scotland and Andy Hornby, who ruined the Halifax/Bank of Scotland combine, with their criminally reckless business tactics. Worse, he persuaded Victor Blank to ruin Lloyds TSB by taking over HBoS (without knowing how much toxic debt the failed HBoS was concealing) in the hope of saving jobs in Scotland and buying votes for Labour with taxpayers' cash.

The Northern Rock Catastrophe

The abject failure of Brown's regulation system allowed the bank's management to get away with more or less criminal recklessness, and the crisis spun out of control while Brown was dithering over whether to call an early general election. By the time he bottled out of the election, the damage was terminal.
   There were further delays while Brown dithered over nationalizing the bank. He opted instead for letting the taxpayer take over Northern Rock's financial liabilities and putting the management into private hands. It's the same system that applied to PFI projects, which are notorious for ripping the taxpayer off mercilessly due to serial commercial ineptness on the government side. And, of course, Brown doesn't count the £50 billion liability as part of the national debt for the usual dishonest reasons.

"Not me, Gov!" Syndrome

Brown suffers from this as much as any New Labour hack. His guesstimates of government borrowing have always been short of the mark by around £5 billion but he is not to blame for that. And the increasingly huge Black Hole in his accounts, which now looks likely to include the fallout from a huge reduction in Britain's rebate from the European Union budget, is also positively nothing to do with Mr. Broon.
   Revenue gathering is a responsibility of the Treasury but Brown's excessive complication of tax declaration and tax concessions has ballooned the list of regulations and around one-third of all tax demands sent out are wrong. Similarly, New Labour's Tax Credit system has been an unmitigated disaster, which resulted in overpayments and people being required to repay thousands of pounds without notice and without delay.
   Mr. Broon finished 2005 trying to pretend that he wasn't consulted about the prime minister's EU budget giveaway (for which he got nothing in return) even though Treasury officials were members of the team which stitched up the dirty deal and they were in constant communication with the Chancellor.

Promises & Lies

Before the 2005 general election, Brown promised to cut the number of people employed by the public sector. In his March 2006 Budget speech, he bragged that he had trimmed the public sector by 31,000 bodies. But in April 2006, the Office for National Statistics released figures showing that the public sector had grown by 62,000 bodies in the last year. One of them has to be lying . . .

Promises: What's one of Brown's worth?

He promised a referendum on the EU constitution, but when that was ditched and revived as the Lisbon Treaty, he sneaked across the Channel to sign the treaty all on his own in a back room and discarded the pledged referendum.
   In 2007, Gordon Brown said: "Government must be more open and accountable in decisions about peace and war". He also said: "I believe there should be transparency in politics". But when he had a chance to put his integrity where his mouth is, he chose to hand the latest Iraq war inquiry to a member of Lord Butler's whitewashing crew and to make the inquiry a toothless, secret affair, which would not be able to put the blame where it belongs and which would report AFTER the next general election and AFTER G. Brown and the tired remnants of New Labour had been chucked out of office.

Public Finance Initiative

New Labour insisted on making all hospital building PPI projects so that Brown could cook the books and lie about the amount of public sector debt. As a result, the taxpayer ended up getting ONE hospital for the price of TWO.

Recession

The Brown Slump of 2008/09 turned into the longest recession since records of these things began in 1955. By the autumn of 2009, Brown was getting desperate for some good news and he made a series of claims that the bad times were over, ignoring the evidence. But that didn't make it go away.

Red Tape manufactured by the mile

Brown continually promised to cut red tape and remove the burden of excessive regulation. But by nature, he is a confirmed meddler, who delights in micro-management, creating more pointless regulations and requiring a mass of information, which has to be correctly filled in on a form of rain-forest-slaying proportions, if one of the little people dares to claim a concession.
   Thanks to Brown's nit-picking and obsessive meddling, the annual Finance Act (a summary of the tax changes in the Budget) has grown from 300 pages in the 1980s to 10,000 pages in the Brown era.

Rogue Bankers or "Asleep at the wheel"

Brown asleep at the wheelThe Bank of England, the Financial Services Authority and the Treasury all failed to keep track of what criminally reckless bankers were doing. That the Treasury chose to avert its gaze has to arise from Gordon Brown's buddying up to bankers and Tony Blair's eagerness to take donations to the Labour party from them. That the Bank and the FSA also failed to do any effective regulation, despite whistles being blown right from the start of the new century, has to be down to nudges & winks from Downing Street.
   Gordon Brown's response to the recession of 2008 and later has been to dither and to pretend that he, the man who caused the train wreck, is the only person who can clear up the mess. His responses have been:
  • A VAT cut, which was intended to grab headlines but which has been a complete waste of time as far as stimulating the economy goes.
  • Handing vast amounts of cash to the banks to stimulate lending to house buyers and small businesses – which didn't happen.
  • A promise to end the "bonsuses for failure" culture in the banking industry – which didn't happen.
  • A pledge to abolish 100% mortgages after they'd become extinct.

Smugness, Lies & Propaganda

Mr. Brown had no problem about falsely claiming the Tory legacy of an inflation-free economy in good shape as his own work. He also persists in excluding items like the soaring cost of hospitals built under the Public Finance Initiative from the National Debt even though taxpayers will be paying for them for the next couple of generations.
   Brown has no problem over issuing promises to cut back the ever-growing ranks of the civil service while the civil service continues to grow year on year.

Stealth Taxes

He's created hundreds of them because it's in his nature to be underhand. See our feature on them.

Tax Perks for Criminals

Brown's 'flagship' tax credit system also applies to those criminals, who are allowed out of gaol during the day to do a low-paid job. They qualify for a top-up of their income. (But criminals who do work in gaol aren't).

The Ten-Pence Tax Rate Swindle

When it was introduced, the 10p tax band was offered as a brilliant way to ease people into paying tax. When it was abolished in the 2007 Budget; unheralded to let Gordon Brown grab a headline by reducing the 22p rate to 20p; it took over a year for the Labour party to realize that 5.3 million people would be worse off.
   Brown's response to this situation was bluster and it took the threat of rebellion by his own back benchers to force him into a humiliating U-turn and vague promises of compensation packages for the people who had been swindled.
   That U-turn took concrete form in an announcement by the Chancellor, Alastair Darling, that government borrowing would go up by £2.7 billion to give 4.2 million of those affected by the 10p tax grab some compensation later in the year. This left a further 1.1 million out of pocket.

Welfare Client Culture

The Brown strategy for the nation's finances was to take as much as possible away in taxes and give some of it back mainly to Labour's supporters. Thus 90% of families, including some with an income of over £60,000 per annum, came to receive some sort of state-funded benefit or credit as part of New Labour's plan to create a culture of dependency on hand-outs from a state, which would remain forthcoming only if Labour remained in power.

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