No Help - No Surprises

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Recently we have been busy attempting to get an overdraft to cover a grant we have received for camera kit and other items: (£1,500). We have to pay out the money and then evidence ‘the-spend’.  Not just get an invoice, but to show the grant maker we have paid for the capital equipment in full.

Alas, we were not successful, and so far this year we have had to turn own £16.5K of grants as Santander customers. These grants could have provided jobs and training in our native Colchester. At the ABC, our policy is to take on people without an opportunity. Moreover, as an award winning organisation, the training, advice and encouragement we can provide to people who work for us or train with us, is the best it can be. Or we aim to make it that.

We are not alone - one friend claiming benefits is an IT expert - by any stretch of the imagination someone very careful about spending their money. P alleges that he has a reasonable credit rating (about middle in his own words). Our man P was turned down for a loan he need for travel, so he could work in London - P is finding it very difficult to get local work. P's plight is desperate, as his JSA was cut due to the bedroom tax and he has to manage on a measly £52 a week. He cannot tax his car and that further reduces his capacity to get a job. He goes without food for days at a time in order to job search and practically lives on beans on toast. He has to walk miles to sign-on each week, a futher waste of half a day or more. 

In Sweden and Norway, it has been found that by paying decent state benefits, it is much easier for people to get into work. Here in the UK the unemployed are so focused on the desperate struggle for daily survival, that worrying about the future becomes secondary for many.  Benefits set to high is a disincentive to work, but set too low, such as in here in the UK and an even bigger barrier to work is created. Aside the practical problems; people’s self-esteem sinks when they cannot maintain a basic quality of life. That has health implications and one in four people in the UK suffer from depression at some stage in their lives. The medical cost is staggering.

We have heard many stories about UK based banks NOT helping people - cherry-picking whom they lend money too and parking those on low incomes, or who fail to meet their very stringent criteria. Credit Scoring is a form of tyranny that counts against people who have been through a period of hardship. The argument that what happened in the past, is what will happen in the future is overdone. CHANGE said US President Obama in his election speeches. If change never happened the weather would be the same every day? Credit Scoring is good as a guide, but it is inferior to human judgement in picking winning inderviduals and only works when assessing large groups of people. Brilliant entrepreneurs are often the exceptions to the rule.

The banks philosophy, it seems want to see the grass ‘cut all at the same length’ to make their life easy. To reduce the necessity to have skilled decision makers that interface with the community, capable of making independent decisions.  To pay for the expertise needed. 

According to Trading Economics

Loans to Private Sector in the United Kingdom decreased to 2157555 GBP Million in the first quarter of 2015 from 2160808 GBP Million in the fourth quarter of 2014. Loans to Private Sector in the United Kingdom averaged 741503.45 GBP Million from 1963 until 2015, reaching an all-time high of 2601972 GBP Million in the first quarter of 2010 and a record low of 9046 GBP Million in the second quarter of 1963. Loans to Private Sector in the United Kingdom is reported by the Bank of England.

However:

Banks Balance Sheet in the United Kingdom increased to 3386639 GBP Million in May of 2015 from 3379867 GBP Million in April of 2015. Banks Balance Sheet in the United Kingdom averaged 3650047.08 GBP Million from 2010 until 2015, reaching an all-time high of 4060273 GBP Million in January of 2010 and a record low of 3343030 GBP Million in September of 2014. Banks Balance Sheet in the United Kingdom is reported by the HM Treasury.

So lending to help small businesses and getting people into jobs is going down while banks pile up cash in their balance sheets.

The impoverished working public are having to support people out of work and those forced to sign-on, The UK has some of lowest Corporate Tax in the world and all the expertise to make sure companies don’t pay those taxes. 

Banks and corporations stockpiling money causes bubbles to form as ‘hot money’ flows from one place to another chasing quick profits. The people who suffer from this are, like my friend, who cannot get support and cannot get into work.  He is a version of the African Boat people who are dying- drowning in the Mediterranean - trying to get to where the work is. Their own counties economy’s are being wrecked by the international bankers and their agenda.

In some UK coastal boroughs, as many as 60% of the people are on benefits and ordinary people are being taxed by as much as 45% of their earnings, supporting  people, the majority who want to work, but can’t.

To get people into work and to get companies moving, we need to take on the banks. In Spain the political scene is swinging hard left. The continued impoverishment of the people, the destruction of local communities and the wasted lives of those people wanting to develop successful careers; is [we feel] more important than the interests of a handful of banking types.

Many thanks to our friend and top management consultant Karen Loring, who is going to pray for us, she says. You need divine intervention it seems to get any bank help these days. God we think would struggle to get a Santander overdraft due to his poor credit scoring - he changes address too often - being everywhere all of the time -  moves from one job to another dealing with mans' folly. His self-employed staus cannot help, and he not filed any accounts with HMRC. He has no credit card, student loans, hire purchase or evidence of being in 'hock' previously. 

We will let you know if Karen’s email to the almighty changes our fortunes. AMEN