eNewsletter January 2012
Welcome to DeHavilland's monthly eNewsletter
Issue: January 2012
--------------------------------------------------------------------------------------------------------------------------------------- British Government Vetoes EU Treaty and Accepts Vickers’ Proposals on Banking
December was dominated by news that Prime Minister David Cameron vetoed plans for a new “fiscal compact” among European Union member countries.During a meeting of the 27 European Union member states on 9th December, Mr Cameron used his veto to “protect Britain’s national interest” from a fiscal compact seeking “stronger coordination of economic policies in areas of common interest”.
Under the compact - which would have to be passed into member states’ respective legal systems before taking effect - government budgets would have to be in balance or surplus. The compact also included a stipulation that national annual structural deficits should not exceed 0.5 per cent.
A commitment to examine European Commission proposals to strengthen the budgetary surveillance of member states experiencing difficulties in terms of their eurozone financial stability also featured.
Reports of tensions between the Conservatives and Liberal Democrats were downplayed in the days following the veto decision, although Deputy Prime Minister Nick Clegg did not appear on the front bench to support Mr Cameron in his statement the following week, prompting jeers of “Où est Clegg?” from Labour MP Chris Ruane.
Defending his decision to veto the compact, Mr Cameron told the Commons that in order to achieve a treaty of all 27 member states, Britain would “insist on some safeguards to protect our own national interests”.
He added: “Some thought that the safeguards I was asking for were relatively modest. Nevertheless, satisfactory safeguards were not forthcoming, so I did not agree to the treaty.”
In response to comments that the treaty change was about safeguarding the eurozone members, Mr Cameron explained that a unanimous agreement among the 27 would have created a treaty within a treaty and “changed the nature of the EU—strengthening the eurozone without balancing measures to strengthen the single market.”
Labour leader Ed Miliband lamented that Mr Cameron had “given up our seat at the table. He has exposed, not protected, British business; and he has come back with a bad deal for Britain.”
Press reaction to the decision was mixed, with the Financial Times warning that Mr Cameron would needed to find a way of restoring the UK’s influence over the single market, suggesting that this would require “resourcefulness and political courage” and insisting “one thing is clear: an empty chair resolves nothing.”
However, the strongly Eurosceptic newspaper the Daily Express hailed the move as a “historic stand” that put the UK’s continued EU membership into “serious doubt”.
Another of December’s key developments was the Government’s acceptance of Sir John Vickers’ proposals on banking.
On 19 December, Chancellor George Osborne announced that the Government would implement the proposed ring-fence as it wanted “to separate high-street banking from investment banking to protect the British economy, protect British taxpayers and make sure that nothing is too big to fail.”
The Chancellor also expressed support for the Independent Commission on Banking’s capital proposals to ensure that large ring-fenced retail banks held equity capital of at least 10 per cent, with a minimum requirement for the loss-absorbing capacity of big banks to be at least 17 per cent.
Banks that can demonstrate that their foreign business does not “pose a threat” to UK taxpayers will be able apply these capital recommendations only to their UK operations, it was announced. This has been seen as a move to persuade HSBC and Standard Chartered to keep their HQs in the UK.
A week earlier, the FSA released its long-awaited report into the failure of RBS. The report largely blamed “poor decisions” made by the bank’s managers and by the regulator for the bank’s problems, though commentator Allister Heath described the report as “flawed” as it did not justify RBS’ bailout.
December also saw the publication of the Government’s long-delayed Water White Paper, which included plans for a reformed water abstraction regime; to consult on the introduction of national standards and a new planning approval system for sustainable drainage; to make payments to address the “unfairness” of high bills in the South West; and to encourage water companies to introduce social tariffs to support vulnerable customers.
However, Shadow Environment Secretary Mary Creagh criticised the document for its “silence” on the ways the water sector will reduce its carbon footprint and encourage energy production from waste. She also warned: “The proposals on the removal of historical abstraction licences, which cause such damage to our environment, are given an end date of 2025, which is far too late.”
Elsewhere, the Transport Select Committee opened an inquiry into the Draft Civil Aviation Bill.
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Commissioner Oettinger unveils EU Energy Roadmap 2050
A new EU Roadmap to a “secure, competitive and decarbonised energy system” for Europe has received in December mixed reactions from stakeholders. Unveiling a range of post-2020 policy options for the energy sector, but falling short of proposing new targets, Energy Commissioner Günther Oettinger has called for political decisiveness and investment.In 2009, the European Council committed to reduce EU carbon emissions to at least 85% below 1990 levels by 2050. The Commission’s Energy Roadmap 2050 explores longer-term strategies towards decarbonisation for the Energy sector drawing upon the current ‘Energy 2020’ agenda.
Current Policies are insufficient
Presenting the Energy Roadmap in December, Energy Commissioner Oettinger declared that “the decarbonisation of the energy system is technically and economically feasible”.
The Roadmap seeks to ensure a “secure and competitive energy system” for Europe and examines seven possible scenarios. Two of these are projections based on current trends and existing policies – these, however, are predicted to be insufficient to achieve the 2050 goal.
5 Decarbonisation Scenarios
The remaining five “decarbonisation scenarios” explore strategies of energy efficiency, diversified supply technologies and carbon capture storage (CCS), in combination with energy mixes that include renewable sources and nuclear power.
The Commissioner warned that the predicted costs for the five decarbonisation policy options were similar to those of the ‘business-as-usual scenario’ (between 14.1 and 14.6%), and stalling or indecision would only serve to increase costs in the longer term.
”Flawed Cost Assumptions” for Green Harms MEP
The responses of the political party groups have been mixed, however. The Greens/EFA denounced the Roadmap as a failure. Co-president Rebecca Harms MEP described the Roadmap as one “characterised by flawed cost assumptions and overly-pessimistic projections on the potential contribution of energy saving and renewable energy”.
To put our money where our mouth is
Michel Lebrun, a member of the European People’s Party and Rapporteur for the Committee of the Regions on a number of energy-related dossiers, expressed support for the document, but called for politicians to be “prepared to put our money where our mouth is”.
Fiona Hall MEP, ALDE’s energy spokesperson on the Industry, Research and Energy Committee (ITRE), called the Roadmap’s commitment to renewable energy “encouraging”. But she regretted “a huge flaw”, the lack of any scenario based on synergies between renewables and energy efficiency.
Lack of binding targets
Stakeholders from the renewable energy sector have also criticised the absence of binding renewable energy targets for 2030 in the proposals. The electric vehicles industry platform Cars21 said the roadmap “fails to set any concrete recommendations, policy actions or intermediate targets”. Christian Kjaer of the European Wind Energy Association (EWEA) for his part welcomed the Commissioner’s statement in support of such targets to be introduced in 2014.
The gas and nuclear energy industries were more receptive to the strategies outlined. Eurogas welcomed the Roadmap’s recognition of natural gas as “critical for the transformation of the energy system”.
Overall, Commissioner Oettinger urged for co-operation “between the European Parliament, Member States, the Council, NGOs, and the energy sector, all which are involved or affected”.
The Roadmap is a first step towards decisions to be made by 2013 or 2014 “at the latest”. Stakeholders will have the possibility to exchange views at the Danish EU Presidency Conference scheduled for February 2012.
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Key sector news round-up:
Finance/Insurance/Banking
FSA tightening oversight of commercial property lending
The Financial Services authority (FSA) is tightening oversight of commercial property lending and has ordered banks to improve the way their internal models measure risk, or switch to more standardised calculations that could significantly increase the cost of loans.
The move is part of a global effort to prevent banks from understating the risks on their balance sheets to boost their capital position, wrote the Financial Times.
FSA chair urges that hostile bank takeovers should be outlawed
The Chairman of Financial Services Authority (FSA) has urged that hostile bank takeovers should be outlawed as part of a package of reforms needed to avoid a repeat of the failings at Royal Bank of Scotland (RBS), after a long-delayed report into the bank’s collapse was released.
Management and regulatory failings at RBS in the run-up to its ill-fated takeover of Dutch rival ABN Amro are detailed in the 450-page report, which outlines a catalogue of errors that triggered the biggest banking failure of the financial crisis. The Financial Times wrote that the failure of RBS cost the taxpayer £45bn in equity injections, while the report recommends that directors at failed banks automatically be banned, fined and stripped of their remuneration.
The Independent wrote that the report found that political pressure from senior Labour politicians, including now Shadow Chancellor Ed Balls, was party responsible for failures to regulate RBS in the years leading up to the banking crash.
The Co-operative could become a “major force” in British banking
The Co-operative could become a “major force” in British banking, suggested the Guardian, after it was named preferred bidder for 632 branches that Lloyds Banking Group has to sell to meet European competition rules.
In other news, the Financial Times reported that Antonio Horta-Osorio is to return to his job as Lloyds Banking Group chief executive on 9 January after stress related absence. This ends “six weeks of uncertainty”, the paper observed.
Banks lobbying Government over reforms
Senior bank executives met or called Treasury ministers nine times in the weeks after the Vickers proposals on how to prevent another banking crisis were published.
The Independent wrote that banks bosses are fighting furiously behind the scenes to limit any changes to the way they do business. Mr Osborne personally met with Barclays boss Bob Diamond, the Royal Bank of Scotland’s Stephen Hester and Lloyds’ Antonio Horta-Osorio on separate occasions before the Vickers report.
Osborne allows Britain’s biggest banks to avoid high capital requirements for their international operations
Chancellor George Osborne will allow Britain’s biggest banks to avoid high capital requirements for their international operations if they could demonstrate that these businesses would never need rescuing by the taxpayer, wrote the Financial Times.
Mr Osborne offered this concession as he announced that the Government would accept with Sir John Vickers’ proposals to make UK banks safer.
The Telegraph reported that the taxman has been accused of double standards by treating large companies more favourably than ordinary workers and small firms.
HM Revenue and Customs have failed to collect over £25bn in unresolved tax bills from major firms, according to the Public Accounts Committee.
The Guardian reported that the Committee uncovered “specific and systemic” failures in Britain’s tax gathering agency while investigating deals with Vodafone and Goldman Sachs which have attracted mass protests.
Credit card charges to be banned
Airline, travel companies and retailers are to be banned from charging fees when people pay by credit cards, in what the Daily Telegraph described as a “victory for consumers”.
Consumers should be able to shop around, said Financial Secretary to the Treasury Mark Hoban and people are “sick” of hidden charges. Legislation is expected by the end of 2012.
The hidden fees cost consumers £300m a year, wrote the Daily Mail, which welcomes the “end of internet shopping rip-off”.
Economists predict 2012 will rival 2009 for economic weakness
The coming year will rival 2009 for economic weakness, according to a large majority of economists polled by the Financial Times.
In a survey of 83 economists, including 11 former members of the Bank of England’s Monetary Policy Committee, three times more respondents thought the economic outlook would deteriorate than thought it would improve in 2012. The paper added that even if there is a double-dip recession in 2012, only a small minority are urging George Osbourne to abandon his seven-year austerity plan in favour of stimulating the economy with tax cuts or more public spending.
Financial groups shell out more than £160m in compensation in 2011
Large financial groups were ordered to shell out more than £160m in compensation to customers in 2011 as the Financial Services Authority cracked down on mistreatment of retail investors by some of the UK’s best-known companies.
The Financial Times wrote that the compensation payments dwarfed that £55.7m in corporate fines imposed last year on companies including HSBC, Barclays and Royal Bank of Scotland.
ECB President dismisses quantitative easing as Eurozone solution
Mario Draghi, the president of the European Central Bank, has warned EU leaders that they have to “move fast” to make their bailout fund for financially unstable Member States operational. He also rejected speculation that the Bank would engage in full-blown “quantitative easing” to ease funding strains for indebted Eurozone countries.
Agreement reached on common payments area for Euro transactions
The European Parliament and the Council have reached agreement on a proposal that seeks to create a “Single European Payments Area” for transactions such as credit transfers and direct debits denominated in Euros. Banks will be forced to provide cheaper and faster transfers from 2014 onwards.
EU Commissioner quizzed on role in Dutch banking crisis
EU Commissioner Neelie Kroes, who was responsible for the EU’s competition policy from 2004 to 2009, was yesterday interrogated by a Dutch parliamentary committee investigating the collapse of Dutch-Belgian banking giant Fortis in 2008. Mrs. Kroes vigorously defended her decision to demand the bank sell part of its assets in exchange for financial aid from the Dutch, Belgian and Luxembourg Governments.
European Commission extends state aid derogation for banks
The European Commission announced that it will extend special provisions allowing Member States to provide state aid to their banking sector, ordinarily illegal under EU competition law. The Commission said that the extension was warranted by the “extraordinary strain” placed on banks by the economic crisis.
Healthcare
Government must deal with “very real risks” to the care home market
The Government must deal with the “very real risks” to the care home market in order to avoid another Southern Cross scandal, the Guardian wrote.
The public accounts committee will say that the Department of Health has failed to tackle the social care market following the Southern Cross collapse earlier in 2011.
Cancer patients forced to take tests and “back to work” interviews
The Guardian reported that thousands of cancer patients who are seriously ill will be forced to take tests and “back to work” interviews, despite warnings from the Government that they would not make it harder for the sick to get benefits.
The announcement, which was made in a report to ministers by Professor Malcolm Harrington, proposes to force cancer patients undergoing intravenous chemotherapy to prove they are too ill to work.
NHS hospitals are to be assessed on sixty new goals aimed at saving more than 20,000 lives a year, the Telegraph wrote.
Health Secretary Andrew Lansley set out a new system to measure health service success based on quality of service, rather than just speed, while hospital death rates and individual performances of GPs, surgeons and patients’ experiences are to be published.
FT reports that the market for private healthcare is not working for patients
The Financial Times reported that the market for private healthcare is not working well for patients, according to the Office of Fair Trading.
A full inquiry by the Competition Commission into the £5bn private healthcare sector is now possible, and a Commission review could force changes in relationships between the five main healthcare providers and insurers.
Elsewhere, the Times reports that chair of the Public Accounts Committee Margaret Hodge described an American company as “cowboys” for a £2bn demand for an NHS IT project that failed.
Computer Sciences Corporation is pushing for an extension of its contract after failing to deliver functional software to 166 NHS trusts.
Social care in crisis
Vulnerable and elderly people will be betrayed if the Government loses its nerve on imposing urgently needed reforms to pay for the rising costs of social care, according to a letter sent to the Times from heads of charities, local authorities and social services.
The letter stated that any delay would be reckless and betray the needs of those who need care in the later stages of life. The letter comes one week after a meeting with Health Secretary Andrew Lansley and Care Services Minister Paul Burstow and according to the paper exposes the tensions between the Government and those who provide frontline services in the community.
Chief Executive of the Alzheimer’s Society Jeremy Hughes, who signed the letter, stated in the paper that “the public need to be aware that social care is in crisis”.
In other news, the Daily Telegraph reported that Dementia patients are suffering at the hands of undertrained hospital staff who ignore pleas for help and fail to treat them as individuals. The first National Audit of Dementia found that care was often delivered in an impersonal manner, by staff who did not fully understand the needs of patients.
The Guardian reported that Medical experts are calling for a review of the 50 year-old guidelines on prescribing antibiotics to children as the rise in obese and overweight youngsters may mean that some get less than an adequate dose.
NHS ignoring whistleblowers who identify poor care
The Times reports that patients are being placed at risk because the NHS is ignoring whistleblowers who identify poor care, a report warns.
An inquiry for the Department of Health has warned that almost 3,000 doctors are under investigation because of serious concerns regarding clinical competence and capability problems.
Lives put at risk at leading hospitals
A report by the King’s Fund has warned that lives are being put at risk at leading hospitals because of growing inequalities in care. Health trusts in London, many of which run hospitals that serve patients across the country, are not implementing essential reforms to improve patient safety, the report featured in the Times has found.
Patients to gain access to view and edit their medical records
Patients will be given access to view and edit their medical records under proposals backed by the Government. Seeing details of prescriptions and appointments as well as being able to view the results of tests and order repeat prescriptions could speed up care, according to some doctors. The NHS Future Forum and ministers have welcomed the idea, though the Times expect many GPs to oppose unrestricted patient access to such sensitive information.
Energy
The world on track for a comprehensive global treaty on climate change
The world is on track for a comprehensive global treaty on climate change for the first time after agreement was reached in Durban.
The Guardian reported that negotiators have agreed to start work on a new climate deal that would have legal force and require both developing and developed countries to cut their carbon emissions.
Energy Secretary Chris Huhne said that the deal would ensure that the European Union’s efforts to tackle global warming were matched by others, with China the US and India set to be legally bound to cut their emissions for the first time. Despite this, the deal has been described as an “empty shell of a plan” by Friends of the Earth Executive Director Andy Atkins.
Standstill in negotiations over energy efficiency investment
The proposal for an EU Energy Efficiency Directive has become the subject of intense behind-the-scenes negotiations in Brussels, amid warnings from business groups and some Member States that any binding measures to reduce energy usage could hamper Europe’s economic recovery. The European Parliament has argued that the right investment in energy efficiency could in fact stimulate economic growth.
EU Court rejects challenge to emissions scheme for airlines
The European Court of Justice has dismissed a challenge by American airlines to an EU Directive that forcibly includes the aviation sector in Europe’s emissions trading system (ETS). The Court ruled that the legislation does not breach the EU’s obligations under international aviation treaties. Some experts have warned that the scheme may lead to a “full-scale trade conflict” between the EU and other parts of the world.
MEPs vote for EU investment in low-carbon technologies
Members of the European Parliament’s Environment Committee have voted through an amendment to the proposed Energy Efficiency Directive that is to see carbon price go up. In a bid to create incentives for investment in low-carbon technologies and tackle oversupply, MEPs voted to set aside some €1.4 bn worth of allowances from the EU’s trading emission-scheme (ETS) during its third phase of implementation.
Transport/Logistics
High speed rail proposals are depressing house prices for people near the route
Ministers have warned that high speed rail proposals are depressing house prices for thousands of people near the route, the Telegraph wrote.
Attorney General Dominic Grieve said that people living near the proposed routed faced "planning blight" from a spur to Heathrow, while Minister for Civil Society Nick Hurn warned that the scale of opposition was "wider than previously thought".
Rail passengers face fare rises of up to 10% this year
The Telegraph wrote that rail passengers face fare rises of up to 10 per cent in the coming year with many annual season tickets in the South East passing £4,000. Although the average train fare will rise by 5.9 per cent, some passengers will face higher increases.
Digital/Telecommunications
Commission unveils €80 billion R&D fund
EU Research Commissioner Maire Geoghegan-Quinn last month published her proposal for the EU’s flagship research & development programme for 2014-2020, Horizon 2020. The Commission foresees spending €80 billion on R&D in the European Union over the 7-year period, focusing on key technologies and research areas.
Commission opens antitrust investigation into E-Books market
The European Commission last month moved to investigate whether electronics giant Apple and a number of international publishers have engaged in anti-competitive practices affecting the sale of e-books in the European Union. The investigation will be conducted to determine if EU competition law has been breached.
EU Affairs
New European Treaty faces legal hurdles
The new Treaty currently being negotiated between most EU Member States in order to place greater budgetary constraints on countries that use the Euro will face “significant legal hurdles” in Germany, a senior lawmaker in Berlin has said.
MEPs approve of new parliamentary Code of Conduct
Gathered in Brussels in December for a mini-plenary session, MEPs approved of a new Code of Conduct that explicitly bans them from accepting money in exchange for influencing legislation. The tightening of the rules comes in the wake of a “cash-for-amendments” scandal that saw several MEPs accept money to introduce amendments to legislation.
No compromise in sight on long-term EU budget
The out-going Polish Presidency has presented EU Affairs Ministers with a progress report on the draft EU budget for the 2014-2020 period. The negotiations so far have been “extremely difficult”, as many net contributors into the EU budget call for a freeze while others want spending increased to stimulate economic growth.
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Key stakeholder launches and reports:
The Communities and Local Government Committee published their report on the national planning policy framework.
The Political and Constitutional Reform Committee published a report on the rules of Royal succession.
The Public Administration Committee published a report on the Big Society.
The Defence Committee published the first part of a report on the Armed Forces Covenant, focussing on military casualties.
The Home Affairs Committee published its report on the August riots.
The Public Accounts Committee published a report on the oversight of user choice and provider competition in care markets.
The Culture Media and Sport Committee published their annual report on Channel 4.
The Government published its response to the Environment, Food and Rural Affairs Committee’s report on the independent Farming Regulation Task Force.
The Transport Committee published a report on Thameslink rolling stock procurement.
The Joint Committee on the Draft Financial Services Bill published its report.
The Government published its response to the International Development Committee’s report on DFID’s role in building infrastructure in developing countries.
The Joint Committee on Human Rights published its legislative scrutiny report on the Legal Aid, Sentencing and Punishment of Offenders Bill.
The Government published its response to the Environmental Audit Committee’s report on carbon budgets.
The Environmental Audit Committee also published a joint report with the Energy and Climate Change Committee on solar power feed-in tariffs.
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Events - UK:
Monday 9 JanuaryThe Work Foundation will host the event - Engage HEI 2012 Conference.
The Commons Science and Technology Committee will release a report on alcohol guidelines.
Tuesday 10 January
The British Chambers of Commerce will release the results of its Q4 Quarterly Economic Survey.
Professor Steve Field will be among the speakers at the King’s Fund event - Creating incentives to improve quality and promote integration.
Wednesday 11 January
Chatham House will host the event - Civilian Control of the Russian Military?
The New Economics Foundation will host the public lecture - ABOUT TIME: Examining the case for a shorter working week.
Stonewall is expected to release the results of its annual workplace equality survey.
Thursday 12 January
Public Administration Committee Chair Bernard Jenkin will attend the ResPublica panel discussion - The Big Society: From Policy to Practice.
Chatham House will host the event - Russia and the West.
Policy Exchange will host the event - Executive Pay: Designing rewards for success not failure.
Reform will host the event - The service of last resort? Policing priorities in an age of budgetary restraint.
The Bank of England Monetary Policy Committee will meet and an announcement on interest rates is expected soon after.
The Transport Committee is due to publish its follow up report on the cost of motor insurance.
The Higher Education Statistics Agency will publish statistics from the 2010/2011 academic year.
OECD will publish data on Q3 2011 contributions to GDP growth.
Friday 13 January
The Royal Society is expected to publish the report - Shut down or Restart: The Way forward for Computing in UK schools.
Shadow Chancellor Ed Balls will give a keynote speech on the economic alternative at the Fabian Society New Year Conference on Saturday.
Monday 16 January
Shadow Pensions Secretary Gregg McClymont and Shadow Minister Lord Wood will take part in a debate hosted by Policy Network on Cameron’s trap: Lessons for Labour from the 1930s and 1980s.
Tuesday 17 January
Policy Network will host the events After the veto: what future for Britain in Europe? and Shale gas: Positive breakthrough or environmental disaster?
The RSA will host the event - Out of Sight, Out of Mind.
Baroness Eaton will speak at the Reform policy seminar - Letting go: Shifting power from Whitehall to town halls.
Wednesday 18 January
Labour MP Tom Watson will deliver the Hansard Society: Annual Parliamentary Affairs Lecture: Parliament & Phone Hacking.
NHS Confederation will host the event - Improving dignity in care for older people in hospital.
The National Audit Office will publish a report on the DWP Work Programme.
Thursday 19 January
Sir John Vickers will speak at the Institute for Government event - Inside the Banking Commission: the making of the banking reform proposals.
Reform will host the events Tight and loose: Striking the balance.
Inside Government will host the events - Internationalising the Student Experience: Creating Globally Attractive Universities and The Next Steps in Tackling Tenancy Fraud.
Friday 20 January
Chatham House will host the event - Ten Years of BRIC Life.
The National Audit Office will publish a study on the reorganisation of government departments.
Monday 23 January
The Institute for Government will host the event - Crowdsourcing Policy: Can government harness the wisdom of crowds?
LGA will host the event – Meeting local housing needs.
Chatham House will host the event - European Defence and Security 2012.
Tuesday 24 January
Justice Secretary Ken Clarke will give a lecture at Speaker’s House, as part of the Speaker’s Lectures series on Ministers and Government.
Employment Minister Chris Grayling will be at the Reform lunch - What does better look like?
Decentralisation and Cities Minister Greg Clark will make the opening keynote address at the National Housing Federation’s Planning for People conference.
Fiona Bruce MP and Demos will co-host the event - Under the Influence: A Parliamentary Seminar on Binge Drinking.
Inside Government will host the events - Tackling Obesity: Working Towards A Healthier Nation and UK Road Maintenance: Delivering Smarter, Safer Journeys.
The OBR will comment on the ONS and HM Treasury monthly public finance release.
Wednesday 25 January
Home Secretary Theresa May is expected to be among the speakers at the RUSI conference - Olympic and Paralympic Security Conference 2012.
Financial Secretary to the Treasury Mark Hoban will speak at the Reform event - Going for growth.
Labour MP Tom Watson and BBC Trust Chair Lord Patten of Barnes will be among those attending the Oxford Media Convention 2012: What future faces Britain's creative industries?
Communities Secretary Eric Pickles and Business Minister Mark Prisk will be among those attending the New Local Government Network Annual Conference 2012.
Chatham House will host the event - One Year On: The Challenges of Democratic Transition in the Wake of the Arab Uprisings.
IPPR will host the event – Oxford Media Convention 2012.
NLGN will host the event – NLGN Annual Conference 2012.
The Bank of England will publish the minutes from the Monetary Policy Committee Meeting on 11th and 12th January.
Thursday 26 January
Inside Government will host the event - Children's Services: Inspection and Assessment.
The Adam Smith Institute will host an event - Monetary Reform & The Eurozone Crisis.
Policy Network will host the event - What role for nuclear power?
Climate Change Capital will host the event - What Did Durban Deliver? Outcomes of the COP 17 Climate Change Summit.
Friday 27 January
Today is the International Day of Commemoration in Memory of the Victims of the Holocaust.
National Audit Office will publish a study on managing change in the MoD workforce.
Monday 30 January
Chatham House will host the event - Middle East and North Africa Energy 2012.
Tuesday 31 January
IPPR will host the event - Community budgets: moving towards commissioning in partnership.
Reform will host the event - The economic legacy of the Olympics.
Bank of England will publish data on lending, financial, deposits, effective interest rates and lending.
Events - EU:
1 January to 30 June – Danish EU PresidencyThe start of the new year marked the start of the Danish EU Presidency, which will chair Council meetings until June 2012. Denmark’s Government has said that it will focus on energy and environment issues during its six-month tenure.
Tuesday 10 January to Wednesday 11 January - EU expert group discussion on the Nagoya Protocol
Convened for the first time under the Danish EU Presidency, a group of national experts seconded by Member State Governments will discuss the European Union’s implementation of the international Nagoya Protocol on access to and benefit sharing of genetic resources on 10 and 11 January.
Thursday 12 January – EP Code of Conduct event
The Centre for European Policy Studies will host a conference on the European Parliament’s new Code of Conduct, which aims to root out conflicts of interest between the Parliament’s legislative processes and the external activities of its MEPs. Gerald Häfner MEP and Diana Wallis MEP will attend.
Thursday 12 January – European Operators Flight Data Monitoring Conference
Stakeholders from the aviation industry will gather in Cologne, Germany, on 12 January for the European Union’s Aviation Safety Agency (EASA)’s European Operators Flight Data Monitoring (EOFDM) Conference. The purpose of the conference is to maximise the benefits of Europe’s flight data management system.
Monday 16 to Thursday 19 January – European Parliament Plenary
The first European Parliament plenary session of 2012 will be held in Strasbourg from 16 to 19 January, with MEPs due to elect their President for the remainder of the Parliamentary term.
Thursday 19 January 2012 - Conference on Electricity Markets
European energy trade body Eurelectric is organising a conference in Brussels on 19 January on the future of Europe’s electricity production and distribution, entitled “Electricity Markets At The Crossroads: Which Market Design for the Future”.
Thursday 19 January 2012 – EU business lunch on indirect taxes
On 19 January the British Chamber of Commerce in Belgium is organising one of its EU Committee Business Lunch, this time with Rolf Diemer, the European Commission’s Head of Unit for environmental taxes and other indirect taxation.
Tuesday 31 January – “State of the European Union” debate
Hosted by the Madariaga-College of Europe Foundation, this debate will focus on political and economic developments expected for the European Union over the course of 2012. Particular emphasis will be placed on austerity measures and their implications for intra-European solidarity.
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Appointments round-up - UK:
Westminster
Labour Win Feltham and Heston By-Election
Labour’s Seema Malhotra was elected the new MP for Feltham and Heston at the 15 December by-election following the death of incumbent Labour MP Alan Keen last month.
A former adviser to Harriet Harman, Ms Malhotra secured an 8.6 per cent swing from the Tories to increase the Party’s majority to 6,203.
The turnout of 28.8 per cent represented the lowest in a by-election for eleven years.
Finishing third, the Liberal Democrats secured 1,364 votes amid fears that they might poll behind the UK Independence Party (UKIP), who came in narrowly behind them on 1,276 votes.
Ed Miliband Appoints New Chief of Staff
Tim Livesey joined Ed Miliband’s office as the Labour Leader’s Chief of Staff.
At the time of his appointment, the former Nato diplomat was the Archbishop of Canterbury’s senior adviser, having also previously worked in both the Foreign Office and 10 Downing Street.
Acting Chief of Staff Lucy Powell became Deputy Chief of Staff.
Conservative Aide Sacked over Nazi Fancy Dress Scandal
Conservative MP Aidan Burley was sacked as PPS to Transport Secretary Justine Greening after he was photographed in the Mail on Sunday next to a man wearing Nazi dress.
The picture was taken during a stag do at a French ski resort that Mr Burley attended the previous month. Allegedly, members of the group had been involved in offensive chanting.
New Year’s Honours List
Five current parliamentarians received honours in the 2012 New Year list.
An MP from each of the main parties received knighthoods: Conservative MP Sir Roger Gale, Liberal Democrat MP Sir Bob Russell and Labour MP Dame Joan Ruddock.
In the Lords, the first ever elected speaker, Baroness Hayman, was awarded the GBE (Dame Grand Cross), whilst
Liberal Democrat Peer Lord Carlile was awarded a CBE for services to national security.
Prominent members of the civil service also featured in the list, with new Cabinet Secretary, Jeremy Heywood, and Chairman of the Joint Intelligence Committee (JIC), Alex Allan, both being awarded a KCB.
The previous month, Labour MP Dan Jarvis became the first sitting MP to receive a military honour during the reign of Queen Elizabeth II, when he was awarded an MBE for services to the British Army.
Scottish Parliament
Appointment of Youth Jobs Minister Prompts SNP Reshuffle
Angela Constance was named as the new Minister for Youth Employment.
Moving from her position as Children’s Minister, the role was newly-created last month in response to concern about rising unemployment among Scotland’s young people.
Her new brief will leave her in charge of a £30m budget that will be pulled together from other Government departments.
Meanwhile, Aileen Campbell became the new Children’s Minister, while Derek MacKay got his first taste of the front-bench, replacing Ms Campbell as Local Government Minister.
Elsewhere, Learning and Skills Minister Alasdair Allan became Minister for Learning, Science and Scotland’s languages.
Newly-Elected Scottish Labour Leader Appoints Shadow Cabinet
The Scottish Labour Party elected Johann Lamont as the new Leader of the Scottish Labour Party, replacing Iain Gray.
Ms Lamont beat off competition from fellow MSP Ken Macintosh and Tom Harris MP in securing the post.
Anas Sarwar MP replaced Ms Lamont as Deputy Scottish Labour Leader – new Party rules introduced earlier this year allowed both MSPs and MPs to run for the leadership and deputy leadership of the Party.
In securing the post, Mr Sarwar overcame challenges from fellow MP Ian Davidson and MSP Lewis Macdonald.
The following week, Ms Lamont announced her Shadow Cabinet, which can be viewed in full on PeoplePoint.
Welsh Assembly
Plaid Cymru Leadership Nominations Open
Nominations for the leadership of Plaid Cymru opened on Tuesday last week.
Four Plaid AMs have currently expressed an intention to stand: Elin Jones, Lord Elis Thomas, Simon Thomas and Leanne Wood.
With nominations set to close on 26 January, the winner will be decided by alternative vote and announced at a dedicated Party event in Cardiff on 15 March.
Having led the Party since 2000, Ieuan Wyn Jones announced his intention to step down as leader following a disappointing set of results as last May’s Assembly elections.
Northern Ireland Assembly
Successor to Margaret Ritchie in the NI Assembly Announced
SDLP Councillor Sean Rodgers was selected by Party members to replace Margaret Ritchie as the MLA for South Down.
Ms Ritchie, who is also the constituencies’ MP, was replaced as Party Leader by Alasdair McDonnell, after being elected on 5 November 2011.
Having not contended the leadership, Ms Ritchie previously announced that she would be stepping down as an MLA in order to concentrate on her Westminster role.
Senior Public Servants
Cabinet Secretary and Head of the UK Civil Service Steps Down
Sir Gus O’Donnell stepped down as Cabinet Secretary and Head of the UK Civil Service at the end of the year, after succeeding Sir Andrew Turnbull in the job in June 2005.
After a review of the structure of the highest echelons of the civil service it was decided to break Sir Gus’ role into two separate briefs, with Downing Street Permanent Secretary Sir Jeremy Heywood becoming Cabinet Secretary, whilst overall responsibility for the UK civil service will be passed to Sir Bob Kerslake.
Meanwhile, Chief Operating Officer at the Cabinet Office-based Efficiency and Reform Group, Ian Watmore became the Cabinet Office’s first ever Permanent Secretary.
Sir Jeremy will act as the Chief adviser to the Prime Minister and Deputy Prime Minister within the civil service, with his former position as Downing Street Permanent Secretary being phased out.
BIS - Chief Scientific Adviser Appointed
Professor John Perkins CBE was appointed Chief Scientific Adviser to the Department for Business, Innovation and Skills (BIS).
He takes up the post on 10 January 2012, succeeding Professor Brian Collins who completed his three-year term in May 2011.
HMRC – Lin Homer Joins HM Revenue & Customs
Permanent Secretary at the Department of Transport (DfT), Lin Homer, took over from Dame Leslie Strathie, who retired on health grounds, at HMRC.
She will take up her place at DfT in January 2012.
It was also announced that day that Permanent Secretary for Tax at HMRC, Dave Hartnett, will retire in the summer of next year.
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