Categories
Mayor Johnson

Completely Caracas – the numbers that is

completely-caracas.JPGToday the Mayor announced that the silly Venezuelan deal put together by his predecessor will not be renewed and that the half price concession for those on income support will be curtailed six months after that, see press release here.

Last September I reported that the ad bill for this ludicrous scheme would be £975K, see here.

The lefty bloggers are all over it and as usual they don’t get the difference between promises and PR and actual delivery. Tory Troll says:

Around a quarter of a million Londoners on low-incomes were expected to benefit from the cheap oil in return for technical advice and assistance given to Venezuela.

The trouble with all of this is that this deal was never going to help 250,000. Transport for London’s original business case assumed that only 160,000 would take up the offer. In his quotes today the ex-Mayor used the number 80,000 and the BBC used the number 56,000 elsewhere. Now you might say that those 56,000 will lose out. But notice that they will start to lose out by the end of the current tax year about the time that Mayor Boris is going to announce his precept for next year. I suspect he will be able to tell them that they will be enjoying a much lower precept than they would have done under the previous mayor.

If the Mayor focuses on streamling the GLA bodies and doing less better those 56,000 and all other Londoners will be better off under Johnson than they were under Livingstone.

4 replies on “Completely Caracas – the numbers that is”

Getting that lower precept isn’t going to be helped much by buying oil at a higher price though is it Phil? Not getting much ‘bang for our buck’ there.
Nor will it be helped by building a unique range of hugely expensive -‘new generation routemasters’ after scrapping a whole fleet of working buses (if that ever actually happens that is.)

Even if Boris does reduce the precept, will he be able to reduce it enough to make up for the hundreds of extra pounds many families will be spending on bus and tram fares?

As for the amount of people that were to benefit, the original estimate was indeed 250,000. A target you might call it. This target will now be reduced to zero. Although Boris isn’t usually too keen on targets now is he? Although he should find this one a lot easier to meet than most.

Taking oil from a third world country, in return for some nebulous transport consultancy services (from a city that remains a grid-locked hellhole for much of the working day) was always immoral. It was also inconsistent with Labour’s green ambitions – what business is it of government to actually subsidies the environmental damaged caused by travel?

It is extremely encouraging that this arrangement has been abandoned in such short order.

“But notice that they will start to lose out by the end of the current tax year about the time that Mayor Boris is going to announce his precept for next year. I suspect he will be able to tell them that they will be enjoying a much lower precept than they would have done under the previous mayor.”

people on income support don’t pay council tax muppet

Surely its up the the Venezualans to decide whether the advice for oil deal is worthwhile. If they were happy so am I – it seemed like a good deal for London.

David Boycott: ‘what business is it of government to actually subsidies the environmental damaged caused by travel’. That really is a dumb thing to say: I think you will find that busses are a relatively green method of getting round the capital.

Comments are closed.