How to think about social media

Why social media is part of the solution not part of the problem.

How should the use of social media be conceptualized? And how should it be regulated? Can it be regulated? One approach, which seems to be current with policy-makers and has been raised at the Leveson inquiry, is to suggest that social media is just an adjunct of the traditional mainstream media. On this view, blogging and the use of platforms such as Twitter and Facebook are entirely capable of directed regulation; the only question is how it is done.

However, such thinking may well be misconceived. It is looking at a new phenomenon and straining it to fit into categories which may no longer be valid. Although one can always over-state the novelty of any development and exaggerate its potential impact, there is a better way of thinking about social media than seeing it as just something shiny and new to regulate. It may not even be capable of specific regulation in any meaningful way.

Social media is about citizens connecting with each other instantly and casually using the internet. It does not matter where one is physically located. There is no need for elaborate telephone and video conferences. No special subscription or permission is required. As long as one has access to the internet then, in principle, there can be immediate contact and the sharing of useful or interesting information.

Most of these online discussions will be trivial in terms of politics and media issues. But social media provides the means by which clusters of like-minded individuals can easily swap ideas and scrutinise data on public matters. In this way, social media users can hold politicians and media outlets to account in a manner not possible -- or conceivable -- until a few years ago. Instead of a politician saying something forgotten the day after, or a reporter's bylined piece being in next day's fish-and-chip paper, those involved in social media can pore over details and make connections weeks and months later. Transgressions can be linked to and accumulated. A speech or a byline can now come back and haunt you long after you have "moved on".

As long as there are those willing to promote such accountability then politicians and media professionals can now be subjected to on-going and sometimes intense examination. The effect of this may be to make those with political and media power more responsible; it will certainly mean that it is more straight-forward and more likely that individuals can be called out for any wrong-doing. On this basis it is not those in power who will be regulating social media, but social media regulating those in power.

Once social media is understood as an advanced form of active citizenship then it can become part of the solution to the problem of abuses of political and media power; not part of the problem to be addressed by regulation. Regardless of the self-serving caricatures promoted by some in the media, the record of bloggers and tweeters compares rather well to tabloid excesses. In the medium- to longer- term, it is clear that those in mainstream media who work with social media will tend to produce better output.

Regulation is just not about formal "black-letter codes" with sanctions and enforcement agencies. Regulation also means simply that things are done better than they otherwise would be: for example, when one "regulates one's own conduct". Bloggers and others in social media are willing and able to call out media excesses and bad journalism. The reaction is immediate and can be brutally frank. They are sometimes wrong, as are formal regulators. But they can take time and allow the media to produce better, more well-informed stories.

The formal regulation of social media may be futile -- anyone can publish to the internet if they want to. The individuals are rightly subject to the law of the land in doing so. It is difficult to see how there could be any formal regulation of social media which would have any significant bite against a determined wrong-doer. One may as well seek to regulate everyday talk with a Conversation Regulatory Authority. But encouraging the mainstream media to constructively engage with social media users is perhaps one good route to better standards of content.

David Allen Green is legal correspondent of the New Statesman and author of the Jack of Kent blog

David Allen Green is legal correspondent of the New Statesman and author of the Jack of Kent blog.

His legal journalism has included popularising the Simon Singh libel case and discrediting the Julian Assange myths about his extradition case.  His uncovering of the Nightjack email hack by the Times was described as "masterly analysis" by Lord Justice Leveson.

David is also a solicitor and was successful in the "Twitterjoketrial" appeal at the High Court.

(Nothing on this blog constitutes legal advice.)

Show Hide image

Q&A: What are tax credits and how do they work?

All you need to know about the government's plan to cut tax credits.

What are tax credits?

Tax credits are payments made regularly by the state into bank accounts to support families with children, or those who are in low-paid jobs. There are two types of tax credit: the working tax credit and the child tax credit.

What are they for?

To redistribute income to those less able to get by, or to provide for their children, on what they earn.

Are they similar to tax relief?

No. They don’t have much to do with tax. They’re more of a welfare thing. You don’t need to be a taxpayer to receive tax credits. It’s just that, unlike other benefits, they are based on the tax year and paid via the tax office.

Who is eligible?

Anyone aged over 16 (for child tax credits) and over 25 (for working tax credits) who normally lives in the UK can apply for them, depending on their income, the hours they work, whether they have a disability, and whether they pay for childcare.

What are their circumstances?

The more you earn, the less you are likely to receive. Single claimants must work at least 16 hours a week. Let’s take a full-time worker: if you work at least 30 hours a week, you are generally eligible for working tax credits if you earn less than £13,253 a year (if you’re single and don’t have children), or less than £18,023 (jointly as part of a couple without children but working at least 30 hours a week).

And for families?

A family with children and an income below about £32,200 can claim child tax credit. It used to be that the more children you have, the more you are eligible to receive – but George Osborne in his most recent Budget has limited child tax credit to two children.

How much money do you receive?

Again, this depends on your circumstances. The basic payment for a single claimant, or a joint claim by a couple, of working tax credits is £1,940 for the tax year. You can then receive extra, depending on your circumstances. For example, single parents can receive up to an additional £2,010, on top of the basic £1,940 payment; people who work more than 30 hours a week can receive up to an extra £810; and disabled workers up to £2,970. The average award of tax credit is £6,340 per year. Child tax credit claimants get £545 per year as a flat payment, plus £2,780 per child.

How many people claim tax credits?

About 4.5m people – the vast majority of these people (around 4m) have children.

How much does it cost the taxpayer?

The estimation is that they will cost the government £30bn in April 2015/16. That’s around 14 per cent of the £220bn welfare budget, which the Tories have pledged to cut by £12bn.

Who introduced this system?

New Labour. Gordon Brown, when he was Chancellor, developed tax credits in his first term. The system as we know it was established in April 2003.

Why did they do this?

To lift working people out of poverty, and to remove the disincentives to work believed to have been inculcated by welfare. The tax credit system made it more attractive for people depending on benefits to work, and gave those in low-paid jobs a helping hand.

Did it work?

Yes. Tax credits’ biggest achievement was lifting a record number of children out of poverty since the war. The proportion of children living below the poverty line fell from 35 per cent in 1998/9 to 19 per cent in 2012/13.

So what’s the problem?

Well, it’s a bit of a weird system in that it lets companies pay wages that are too low to live on without the state supplementing them. Many also criticise tax credits for allowing the minimum wage – also brought in by New Labour – to stagnate (ie. not keep up with the rate of inflation). David Cameron has called the system of taxing low earners and then handing them some money back via tax credits a “ridiculous merry-go-round”.

Then it’s a good thing to scrap them?

It would be fine if all those low earners and families struggling to get by would be given support in place of tax credits – a living wage, for example.

And that’s why the Tories are introducing a living wage...

That’s what they call it. But it’s not. The Chancellor announced in his most recent Budget a new minimum wage of £7.20 an hour for over-25s, rising to £9 by 2020. He called this the “national living wage” – it’s not, because the current living wage (which is calculated by the Living Wage Foundation, and currently non-compulsory) is already £9.15 in London and £7.85 in the rest of the country.

Will people be better off?

No. Quite the reverse. The IFS has said this slightly higher national minimum wage will not compensate working families who will be subjected to tax credit cuts; it is arithmetically impossible. The IFS director, Paul Johnson, commented: “Unequivocally, tax credit recipients in work will be made worse off by the measures in the Budget on average.” It has been calculated that 3.2m low-paid workers will have their pay packets cut by an average of £1,350 a year.

Could the government change its policy to avoid this?

The Prime Minister and his frontbenchers have been pretty stubborn about pushing on with the plan. In spite of criticism from all angles – the IFS, campaigners, Labour, The Sun – Cameron has ruled out a review of the policy in the Autumn Statement, which is on 25 November. But there is an alternative. The chair of parliament’s Work & Pensions Select Committee and Labour MP Frank Field has proposed what he calls a “cost neutral” tweak to the tax credit cuts.

How would this alternative work?

Currently, if your income is less than £6,420, you will receive the maximum amount of tax credits. That threshold is called the gross income threshold. Field wants to introduce a second gross income threshold of £13,100 (what you earn if you work 35 hours a week on minimum wage). Those earning a salary between those two thresholds would have their tax credits reduced at a slower rate on whatever they earn above £6,420 up to £13,100. The percentage of what you earn above the basic threshold that is deducted from your tax credits is called the taper rate, and it is currently at 41 per cent. In contrast to this plan, the Tories want to halve the income threshold to £3,850 a year and increase the taper rate to 48 per cent once you hit that threshold, which basically means you lose more tax credits, faster, the more you earn.

When will the tax credit cuts come in?

They will be imposed from April next year, barring a u-turn.

Anoosh Chakelian is deputy web editor at the New Statesman.