Today’s first letter is by our reader Deirdre Trotman, referring to the Brexit Rally on last Saturday, January 21st:

Sir,

I promised that if I could find the Livestream I would write a short report on Saturday’s (21s January 2017) BREXIT London Rally for UKIP Daily. Sadly, I only found it at the very end and only heard Rory Broomfield, followed by some strange man who wanted Democracy but more immigration (I think!) Anyway, from the ‘Group Photo’ it looked as if about 70 people turned up – a truly damp squib! There may have been some good Speakers, but of course this tech wizard missed them! However, the speakers, if all who were advertised turned up, probably made up a good part of the attendees …

What I want to write about briefly, in the absence of any meaningful reporting, is why there was so little support shown this Saturday. The rally was widely advertised, People’s Chartists who organized it have an active Facebook site. I am wondering if more people will turn up at another rally due today (Monday 23rd), when Parliament will be sitting. Saturday had been asked for by those that were working during the week.  If they do show up, then maybe my observations will not be pertinent.

However, I wonder why it was that so few people felt it necessary to support this non partisan BREXIT rally, as the speakers advertised were from a wide range of Brexit organizations? Perhaps people are wise to the fact that ‘non partisan’ means the rally is open to all who voted Leave but don’t necessarily believe in the same things, and they were giving it a wide berth, or they thought they would have been forced to listen to off-the-wall thinkers like the last speaker I heard, whose name I have forgotten.

They might also have been put off by the ‘Women’s March Against Trump’, supported by many Labour women MP’s and apparently attended by some 40,000 altogether if reports are to be believed – although why women, especially Labour women are marching against a Leader who has promised to give Power back to the People and create Jobs, never mind fight ISIS who take women as ‘slaves’ is anyone’s guess.

But it might simply mean that people now believe that Theresa May is on the Leave side, and so they needn’t bother.

If people really do believe in Theresa May, as I think may be the case, then UKIP had better bring some very good and relevant policies to the by-elections they intend to fight, and perhaps Paul Nuttall had better not expend all his energies on ‘holding Mrs. May’s feet to the fire’.

I think we need to consider that on the whole we Brits are reasonably happy to muddle along until the chips are down and just get on with the necessary things in life. Just possibly most of us (if not present company on this site) think that Theresa May is going to deliver, and their job is done. Which means, without other coherent and costed policies that will appeal to voters, people will think that UKIP’s job, too, is done. Perhaps our leadership ought to think along these lines, after that Saturday Rally.

Respectfully, Deirdre Trotman

Further to the article ‘An Economic Policy to Win Elections’, we received this detailed letter by our reader Jason Loh:

Sir,

Just to add a bit …

Increase national debt? Yes, if need be – in order to invest *now* – so that we do not leave the burden to future generations – in the form of inflation and therefore a higher price tag – and therefore a much higher debt level …

And (leaving aside what seems to be so absurdly simple an idea, namely that of ‘fiat currency’ whereby we no longer operate under the gold standard of fixed parity which is convertibility by a currency to a quantity of gold) there is no legal or political or economic necessity to borrow from the private sector.

That is, the Treasury could always issue gilts (debt) to the central bank only or instruct the central bank or the Bank of England to directly purchase gilts.

There is no need to *voluntarily self-impose* an indirect, long-winded and complicated way. That is, there is no need to have a ‘bid to cover’-exercise, otherwise known as ‘auctioning’ government bonds to traders and private sector. The Bank of England can always buy government bonds (‘second hand’ purchase) in the secondary market. And furthermore pay interest on its purchases(!)

Why? Because the government is borrowing from itself (in both instances).

Anyway, the Bank of England and the Treasury ought to be seen as a consolidated or unified institution, see this and this.

To say that the Treasury cannot instruct the BoE is pure nonsense as much as the idea that the government is constrained or limited in its spending capacity. It’s all make-believe or pretense (to keep up with the good pretense) for ideological reasons.

Quantitative easing (QE), by bending the longer end of the yield curve, shows that the government is in charge of the bond yields. Always.

To have to lose control of the bond yields would mean (presuppose and imply) loss of monetary sovereignty. And this is precisely what happened in the case of the ‘periphery’ eurozone countries such as Greece.

So a monetarily sovereign country such as the UK which therefore operates a fiat currency that is freely-floated (free market!) in the international currency market means that the government is never, ever constrained in its spending capacity. So QE has been only to the benefit of Big Banks (by detoxifying the balance sheets), Big Finance (by allowing borrowing at rock-bottom interest rate to continue in speculative activities in the form of hedge funds), Big Business (by inflating share prices).

QE is therefore a ‘blunt instrument’ that is ineffective because it is indirect and therefore not targeted like fiscal policy. Low interest rate is good for mortgage payers but bad for savers and pension funds. Low interest rate might be good for the North, but then again only with a limited effect since in terms of domestic direct investment or local investment it has been ineffective. But low interest rate could be bad for London because it encourages developers to focus on high end properties which are then snapped up by foreigners, and does nothing to help first-time buyers, notwithstanding Osborne’s shared equity scheme.

So fiscal policy is the only game in town – executed in coordination with monetary policy to be sure.

Respectfully, Jason Loh

Finally, an invitation to all members, to a visit to Brussels which we are pleased to publish unabridged:

VISIT TO BRUSSELS PARLIAMENT SPONSORED BY UKIP BREXIT SPOKESMAN, GERARD BATTEN MEP

The next plenary session of the European Parliament in Brussels is on 27th April so we have booked a visit at 10.30, travelling the day before by Eurostar, with an overnight stay in a 3* hotel close to the Eurostar terminal and a three course dinner with Gerard Batten, UKIP’s London MEP and Brexit spokesman at Chez Leon, Brussels oldest restaurant.

Unfortunately the cost of this trip – even after the travel and accommodation subsidy paid by the EU – is higher than we have been used to at £180 pp but since  our last visit the pound has fallen by about 20% and, just to compound the problem, the ‘world’s largest seafood trade fair’ is taking place in Brussels that week so hotel prices have almost trebled, especially for short one-night stays.  But as there are now only four plenary sessions per year in Brussels, of which this is the second, and the next available date for which I can get a booking is November, we have little choice. These are the only opportunities to see the Brussels Parliament and its MEPs in action in the chamber. With luck, of course, this could be our last visit before the UK actually leaves, if all goes well!

It seems particularly appropriate to visit at this time, following Theresa May’s speech on Brexit last week. The government’s strategy is now more apparent and Gerard will be able to  give us a real insight into how we are going to exit the EU, what we should be aware of and UKIP’s plans to make sure that the British people get what they voted for last June and not some watered-down halfway house. He will also be happy to answer your questions on how we UKIP members can help to achieve this.

For full details, itinerary  and a booking form please contact Lynnda Robson on lynndarobson@btinternet.com. Time is of the essence as our travel agent, Simply Groups, has managed to get an option at a hotel close to the Eurostar terminal for a group of 40 people but we need to confirm these rooms, and the Eurostar tickets by 6 February at the latest.

Print Friendly, PDF & Email