Supermarkets’ Christmas adverts never used to be events. The media decided to report them as such, meaning that then they were. That kind of thing happens a lot. And if John Lewis was going to use a Rolling Stones track covered by a children’s choir, then it should have been Sister Morphine. One for Poundland, perhaps?
Sonny Leong is a highly accomplished businessman. But in answering John Redwood, I suspect that he misspoke, and that he was really trying to rule out the nationalisation of Poundland. Still, thank or blame Robert Jenrick if that happened. If it was not quite his suggestion, then he did pose the question to which Government’s reply might be, “Nationalisation?” What would be his response, and why? What would be his alternative proposal, and why?
If the Conservatives had anything about them, then they would point out that it had been their Finance Act of 2017 that had begun the abolition of the tax relief on interest payments for corporations, and that the last Prime Minister to have called for worker-elected directors on the boards of large companies had been Theresa May, so that the first should be completed while the second was revisited. And a publicly owned chain of low cost, fully unionised supermarkets that bought only British produce if at all possible, and only local produce if at all possible? If that is not a brilliant idea, then it is barking mad. There may be only one way of finding out which it was.
The Poundland crisis results in no small part from the fact that even Britain’s merely middling level of welfare spending by OECD standards still translated into near-bottom individual benefit generosity and value. For example, by international standards the triple lock delivers a pitifully low pension from a shockingly high age, but it puts money in the pockets of the people who spent it, thereby injecting it into the consumer economy and thus employing the young.
40 per cent of people on Universal Credit are in work, including 60 per cent of those who benefit from the lifting of the two-child cap, so the problem is low pay. Most of the rest are medically unable to work, an extremely difficult status to attain. If you doubt that, then try it. You can have any job you like on PIP, which you do not get for having a specific condition, but for how your conditions affect your life. You most certainly cannot self-certify onto it. Again, try it. By giving money to people who spent it, PIP stimulates our consumer economy, as sickness and disability benefits in general do, as the triple lock does, and as the lifting of the two-child benefit cap does, all while declaring the social and cultural value of the direct beneficiaries.
There is a case for Motability to buy only vehicles manufactured in the United Kingdom, but show me a PIP claimant who had been bought a BMW or a Mercedes on Motability. And you may have constipation, or tennis elbow, or whatever, while also on Motability, and that would be listed among your conditions on the paperwork. But nothing like that could be grounds for the award. The cost of leasing your vehicle is deducted from your PIP, costing the State no more than you would in any case have received. If you did put that towards a “premium” car, then you yourself would have to pay the difference. For a vehicle that you still would not own.
Without Motability, far fewer physically disabled people would be able to work. While as a Brexit benefit the vehicles themselves ought to be British-made where at all available and the industry thus stimulated, it is a cause for joy that Motability buys and then owns one in five new cars purchased in this country and that Motability Operations Ltd was therefore the largest fleet operator in Europe, since that also translates into a lot of people’s jobs and some of those people are on PIP. Yet Alex Ross writes:
A driver who had his Motability lease terminated after taking an attack victim to hospital demanded £35,000 in compensation from the company after “31 days of hell”, a financial ombudsman heard. The man, known only in papers as Mr H, had his vehicle seized by police for forensic investigation after he drove the injured man to hospital in October last year. Shortly after, Motability issued a termination notice after telling the customer it had received conflicting information on the matter, before a week later reversing the decision after police said the man was not suspected of any crime.
However, Mr H was then told he’d have to pay more than £800 for the car to be cleaned before getting it back, and in the meantime was given a hire car, which he complained had a smell which gave him headaches. After disputing the cost of the clean, Motability offered to pay the difference of a quote from a local company he provided, but this did not stop the man filing a complaint with the financial ombudsman with a demand for £35,000 in compensation. He said the company had caused him “severe stress” and said it was “discriminating against him as a disabled person acting as a “Good Samaritan”. Later, he told the ombudsman he had been through “31 days of hell” during the period.
Ombudsman Hannah Dunkley, however, declined his demand, instead ordering Motability to pay Mr H £400 in compensation “to reflect poor customer service and support”. She wrote: “There were several times Mr H contacted Motability by email and made comments about his mental wellbeing I think were concerning. Motability acknowledged these emails but I can’t see that it reached out to check Mr H was safe or provide details of services able to support him with his mental wellbeing. So, I think Motability let Mr H down here.” Ms Dunkley wrote that Motability took the decision to terminate the man’s rental agreement after receiving “an error or inconsistency” of information from police investigating the initial incident.
She also recognised that under the terms and conditions, Motability was allowed to end a contact if a car had been seized by police. But she wrote: “I think Motability ought to have considered whether it was fair to continue with the termination process given the uncertainty about the situation with the car. The circumstances in this particular complaint were unique and highly sensitive, so I think Motability needed to step away from normal processes and consider whether it needed more information before starting the termination process.” She said a £400 compensation award was fair given previous cases considered. She also said that she understood it had been a stressful time for Mr H, but that a lot of it was due to events that led up to the car being seized by police. “I’m only looking at the things Motability was responsible for,” she wrote.
Motability provides car lease agreements to those with a qualifying mobility allowance, such as personal independent payment (PIP). As of March last year, there were 860,000 customers, with the average age 52. It claims to have a 9.4 out of 10 customer satisfaction score. A spokesperson for Motability Operations, the company that runs the Motability Scheme, said: “We recognise this was a difficult experience for Mr H and we’re sorry we didn’t handle every aspect of his case as well as we should have. We have a responsibility to protect the scheme and take concerns about misuse seriously. In this case, we acted in line with our terms and conditions based on information from the police. Once it was confirmed Mr H was not involved in the criminal investigation, we quickly arranged for his vehicle to be returned and provided a hire car in the meantime.”