04/12/2011 The Politics Show West

In the West, we are in the heart of Bristol, to find out if the city

really needs a directly elected mayor. Politicians from all over

the country are gathering to tell us why we need a Boris style

figurehead. It is being put to referendum next May, but will

Apology for the loss of subtitles for 2021 seconds

Welcome to the Politics Show here in the West. We have headed to the

centre of Bristol, where politicians from Ken Livingstone

and many of her local MPs are gathering to discuss the big

political issues. That may not sound the most exciting, but they

have big challenges ahead. None more so than how we afford to look

after and every age in Pollok -- population. There is the cost of

caring at home, extra heating and the cost of pensions and benefits.

Can we afford it? Plus, Boris for Bristol, should we have our own

directly elected Mayor? Some of our councillors are not keen, but will

the public vote yes in a referendum? And the nightmare

Before Christmas, five years on, we hear from the customers of the

Swindon hamper company, Farepak. And this is where it is all

happening. Politicians of all shades coming here to discuss

everything from the state of the economy to elected mayors. It is

quite a challenge, with disabled and the elderly becoming a big

responsibility, especially in parts of the region were the population

over 60 is the highest in the land. She is one in a million and a half,

Patricia Simpson is among an ever increasing number of adults who

need care. She used to teach B e, but following a stroke, even the

most basic physical movement is a struggle. Carers come to her home

four times a day. It can be very humiliating, but I have to say,

home care is a lifeline. They are terrific people. They laugh and

joke, they know when to be serious. They do everything from buying her

shopping and preparing her foot to personal care, such as washing. It

is funded by Wiltshire control, which has struggled to balance

growing demand for for a docker with shrinking budget. --.

Wiltshire council. The population is ageing, but our region is the

favourite for retirement, so much so but -- that by 2030, West

Somerset of up highest proportion of residents aged 50 or more.

Second highest will be West Dorset. More surprising is that Swindon has

the second fastest growing population of over-fifties in the

country. On a Swindon housing estate, a man

who was part of the influx. He arrived in 1985. Many who came to

work in that era and I ageing. He does not need care but knows all

about it. Many older customers busy this community shop. And tell me,

he was the Conservative councillor given the task of controlling

Swindon's spending on adult services. You can't not do it,

because you have statutory obligations to meet these people's

needs. You have to meet their needs, you cannot bucket and say, I will

do it next year. It has to be done now. -- you cannot buck it. It is

very difficult to make changes in anything that involves human beings.

One major change caused great controversy. Home care staff

campaigned in vain to stop Swindon's in House of has been

contracted out. They had their revenge weeks later at the council

elections. These measures that we needed to be put through and I put

them through, democracy kicked in, people had their say. And they did.

I lost my seat. The counsellor what the equivalent role in Somerset is

battling with the same challenges. Christine Lawrence has been

lobbying the Government minister for care. Accrued from the West

Country came down to London. "crashgate" I Group. He is coming

down to West Somerset to see the needs we have in a difficult

geographical area, it is quite difficult to support people in

their own homes in this huge geographical area, and betting

ministers need to understand that. -- I think. This is what they want

to encourage, activities for the over-fifties. These residents hope

not to need care any time soon, but when the do, it would come so

readily. The Government has tightened the criteria. We did not

have too many people coming in at that level. We will support those

that have substantial and critical needs and make sure the finances

are placed right where they need to be. And that may need more being

asked of charities like age UK. crunch comes for the people who do

not meet the new criteria or, organisations like mine need to be

here to try and plug that gap. So, I think we are inevitably going to

have an increasing role in the future. Back in Wiltshire, lunch is

being served for Patricia. She knows this care costs a lot, but

after a full working life, she feels politicians should treat

older people with respect. I think they have got to realise that while

we may be living longer, we have paid financially, and many of us in

emotions, to fund this country's welfare. What gets me more than

anything, if it in Scotland, it would be free. Why? It is a busy

day, but join me steak of state, I have three of our local MPs. Terry

McCarthy, Charlotte Lesley and Stephen Williams. -- Terry McCarthy.

It is not the place to grow old, the UK. There are more and more

people growing old, it is an increasing challenge. It is easy to

forget that while we have an incredible challenge at the moment

in how we care for the elderly, I think culturally, this country has

been bad of respecting the elderly in the way we should. What about

the respective governments in the way they dealt with it? I think

governments to history have not always cared for the elderly in the

way they should. When young people are neglected, do get all sorts of

social problems around that. When elderly people are neglected, they

do not make a noise, they just suffer on their own. The key thing

is, this is not an issue that will go away. If we have an issue with

an elderly population now, it will be even greater in 20 years. Kerry

McCarthy, there was not much done for the utterly under the Labour

Government. I disagree. If you look at what we did with pensioner

property, we made inroads into that. We were drawing up a plan for a

national care service. That is something Andrew Burnham is still

keen to push forward. I agree with Charlotte's analysis that it is

easier for all their people to fall off the radar. It is not like they

are at school and it can be picked up there. What about the working

situation? Some very angry people on the streets about pensions and

so on. It is a double whammy. They fear they will not be cared for.

There are two issues. The last Government did do quite a lot about

pensions. I'm proud that my colleague the pensions minister has

given the biggest rise in the state pension, �5.30 a week, that will

happen next year. It is important we safeguard the incomes of

pensioners so they can be as independent as they can for as long

as possible. What about Scotland, it seems to be Utopia. Why can they

do it? There are some big issues to be looked at. The proportion of the

funding that Scotland gets needs to be looked at. But do you think that

perhaps responsibility is being abdicated to the local authorities?

They are the ones that are having to close things down and take the

brunt of this. Whereas the Government is sitting back and

letting them get on with it. When you have cuts after central

Government level, they get past down to local Government. I am all

in favour a decentralised and localised agenda, but if the

resources do not accompany it, the local authority gets left to pick

up the tab. It is important as the Likud the the organisation of the

NHS and the increased role for the local authorities that it is

properly resourced, because otherwise, it will be older people,

vulnerable people, that fall by the wayside. It is a potential time

bomb. Probably one of the more important things that the

Government should be addressing. There are too long term issues for

this generation of politicians. One is climate change and the other is

an ageing society. How to make sure people who have -- people have

sufficient in guns of that generation. But also, how you can

maintain personal dignity as well as financial security. That is did

big issue that the three of us have to work together to sort out. We

will come and go, but we must leave a legacy were all people know they

This is Millennium Square in Bristol, built at the same time

that London elected their first Mayor, Ken Livingstone. He is

committed to local people while Bristol should follow suit and bow

Yes to elect their own Mayor. -- and vote yes. First it was 10, then

Boris. These two made being London Mayor fashionable. In Hartlepool,

the local football team's mascot was elected and pledged to provide

free bananas the school children. But he has been re-elected three

times! If you live in Bristol, you will be asked whether you want a

direct -- directly elected Mayor and the referendum is already

dividing opinion. The council is against the idea, claiming it would

be an expensive experiment. But the city's Conservatives are in favour,

saying it would give Bristol stronger and more consistent

leadership. As for Labour, they think it is up to the people.

would be excellent. It should be reasonably successful. The Mayor in

London has been helpful for London generally and I think it would give

a bit more identity for the capital, and it could do the same here.

should be more choice, definitely. I do not follow politics, so it

doesn't bother me. I think it works for London, I can't see why it

wouldn't work for Bristol. Why not? It would benefit Bristol.

powers of the Mayor are yet to be decided. One thing is certain, they

want control policing, like in London, but they could bid for

extra powers in areas like transport. They would appoint their

own cabinets and not necessarily from councillors. But the

electorate has not always looked kindly on the position. To date,

there have been 37 referendums on whether to establish an elected

Mayor. 25 times, the people have said no. People vote Yes next May,

the elected Mayor will take control of the city by 2013. We have

grabbed the main guest of the day before he makes his appearance on

stage. Ken Livingstone. Good to see you. Elected mayors, all very well

in a city of 10 million, how will that work in a place like Bristol?

In a sense, I don't think that is the key issue. I was sceptical

about having an elected Mayor because it can work really well, if

you have a bad one, it is a nightmare. I used to go on about

how in America, there were at least 50 my years in prison for

corruption. The key thing is the powers for the authority, whether

it is for a council leader or a directly elected Mayor, what has

been telling local Government in the last 30 years is white hall

control in more and more. That meant people do not want to get

involved in the way they used to. I would give the local council some

real power has to sort out problems of unemployment and housing. That

is more important than whether you have a directly elected Mayor.

is a big issue, how far should these powers go? You also the

boundaries that affect the real economic area. Many of our councils,

it is just the old city centre, the suburbs are not included. You

actually look at what works best in America, New York, the welfare

system, the schools, housing benefits, people look to the Mayor

rather than the Government to do anything. If you look across most

of America, most of Europe, most of it in Britain has been devolved to

cities and regions. So, it needs to be a greater Bristol you want an

area that covers the economic unit. So you can tackle the key problems

like unemployment, investment, jobs, making sure that in your schools

and colleges, you are giving children the skills for the jobs

that are coming. Someone or some body should oversee that. Where

Greater Bristol should be in 20 years. One big thing about London

is it is very much personality politics. Yourself, to a greater

extent and Boris Johnson, isn't that how it is overriding issues in

the No2AV and that is a problem. can be about who tells the best

jokes. This is personality driven problems. Would the end of the Cold

War, the great issues of left and right dissolve, and Tony Blair, it

was his idea to have a directly elected Mayor. And he very much to

provide that. I am a nice guy, I am a regular sort of guy, all that.

You need uglier people in politics so we focus on what they are saying.

I would not suggest we you fall in that area at! I am never going to

win a my appearance! As far as the referendum is concerned, the

majority have said no. What other big stumbling blocks in persuading

people this is how to go? Some people think it is too gimmicky.

Looking at Manchester, perhaps the most successful local authority, it

has achieved all that just by carrying on the old boundary

structure. -- council structure. I would rather have a referendum that

said, we want more powers devolved, rather than whether or not we have

an individual one person elected to do all of this. It is very easy to

abuse that. You can avoid answering questions at the council meetings,

you can refuse to do press conferences. It is nothing anyone

can do. If the leader of the council does that, their own policy

can throw them out. You are due onstage, thank you for taking the

time. If you are busy do your Christmas

shopping, spare a thought for the thousands of people lost money when

Swindon company Farepak went bust five years ago. It was a Christmas

hamper company, customers put money improve the year and received gifts

and vouchers in time for Christmas. Many are still waiting to receive

any compensation. Campaigners have repeated to politicians to change

the law -- politic -- are appealing to politicians.

It was the nightmare Before Christmas. Nearly 120,000 customers

had money in the savings club. They were left out of pocket by almost

�37 million. Sylvia and barrel from Somerset are still waiting to get

their money back. To make them give some of it back. Sylvia was a

Farepak agent. 27 people, friends and family, all relying on her for

their Christmas to stop they have been told they will get 15p for

every pound the invested, but the former MP for Swindon thinks they

will be lucky to get that. Governments have bailed out banks,

and after the Farepak disaster, they were small savers, if I was in

Parliament now, I would be calling for them to be bailed out as well.

Financial experts say the collapse was especially painful, as it

victims were responsibly saving and have paid a heavy price. This is

the sad thing, people were trying to do the right thing. It comes

down to having to stick to regulated products. This was an

unregulated savings scheme. The best thing to do would be to put it

into a bank account. The fees for dealing with winding up the company

have exceeded any potential compensation for its victims. The

cost to date is �8.2 million. This includes the administrators one

fees. As well as those for insurers and PR Executive. Now the Farepak

victims panel has turned to politicians to ask them for tighter

regulations on these kind of saving firms. They want them brought under

the watch of the Financial Services Authority, meaning if the company

goes bust, savers will city -- still be protected. We want proper

regulation in place, not just For Christmas savings club, but for the

whole industry. From prepaying your funeral to buying have three-piece

suite. If you pre-pay it and the company is not regulated, you will

become an unsecured creditor and you will lose money. It is up to

governments to ensure that there is proper regulation put in place.

think everything where you are, taking money from the public as

part of a so-called savings scheme should be regulated by the FSA. I

think it should be regulated. you. For the thousands of Farepak

customers who lost their money, despite the compensation, it will

go way beyond the end of this festive season. For thousands of

other people, feeling the pinch on their wallets, this year could

prove to be a real austerity Christmas.

Are three MPs are still with me. Kerry McCarthy. A dreadful

situation for people waiting that length of time and still no

compensation. Have things been handled badly? I think it is a

great shame and quite shocking that people are waiting so long for

compensation. They had the Christmas ruined when Farepak wet

under. It was a real shock them. -- went under. It is important that

the stops are polite and they get the compensation they are looking

for. There are some grey areas, no comfort for the people involved.

But more regulation is clearly needed. In many ways, in 2006, that

seems a long time ago and people's Christmas was detonated. --

decimated. And it is an outrage that people can be left in that

position. I am surprised that this is still ongoing. In Parliament, a

lot has happened on the financial seen since then. Everyone is

looking to Parliament to get to grips with the whole financial

system, right from the very big banks to the money lender who might

come to your door. Every single layer of that needs to meet

regulated. A lot has been happening in the financial world, the Autumn

statement, not a lot of laughs there, not a lot of optimism for

the future. It is not a happy situation. If the Chancellor had

stood up and said, everything is great, the crisis in the eurozone

is nothing to worry about, no-one would believe him. But it was

heavier than expected. You have to be honest with people, these are

really difficult times. We are facing unprecedented global

challenges. People would not have predicted this, ten years ago, he

said this was good to be going on, people would have said, pull the

other one. It responsible to be honest about it because then you

can take a long-term view of what you need to do. Terry McCarthy, you

would have make these cuts as well? -- Kerry. If you look at the

situation the coalition Government inherited, Labour had taken steps

that were needed to let the country out of recession. Our stance has

always been that to go for trying to abolish the deficit, George

Osborne has had to say he is not going to do that within this

parliamentary term. It has been economically damaging and it is

because of the action that has been taken by this Government, Russian

all out for cuts, that the economic recovery has faltered. -- rushing

all out. Unemployment is reaching 3 million. It is because of what the

Government has done. Unfortunately, an independent forecast does not

backup that viewpoint. The OBR, the OECD, they're clearly saying that

Britain's growth has not been what had predicted because of external

shocks be on the Government's control. A huge rise in well prices.

The shock from the Euro zone as well. What would be absolutely

catastrophic for every citizen in the country is if the Government

were to be blown off course, were to take their eye off the ball and

say not to worry about the deficit. These national bond markets would

lose all confidence, we would get a rating like Greece and Italy,

interest rates would go up and that would ruin everyone's Christmas.