The next chapter in Blair’s pursuit of wealth
New reports reveal that he has registered a “Mayfair bank” with the FSA.
By Sophie Elmhirst Published 22 August 2010 13:05
It's not great timing for the man who was once credited with being a master of spin. After a week of speculation around Tony Blair's decision to donate the proceeds of his memoir, A Journey, to the Royal British Legion comes news that the former premier has set up a Mayfair investment advisory firm.
The company, Firerush, was apparently set up to manage the finances of his consultancy firm, Tony Blair Associates (TBA), but, as the Bloomberg report points out, Blair has hired former investment bankers -- including an ex-Lehman Brothers employee -- and has registered the firm with the Financial Services Authority (FSA). A spokesperson has denied, however, that the outfit will operate as an investment bank.
Whether it's a bank or not, it's a sign of the continuing expansion of the Blair empire (he is now said to be worth about £20m -- oddly, the Labour Party is apparently in debt by the same amount, according to John Prescott). How far the former Sedgefield MP has travelled from such petty, parochial issues. He is now able to swan between seven homes, various high-paid positions and lucrative public speaking fees.
Blair still has a few defenders, but surely their cause can't be helped by this latest twist in the tale of endless wealth accumulation. But why is it so ugly to behold? It is cynical (though understandable) to question the motivation for his charitable donation -- a consequence of his wealth. And there are no rules to say a former premier cannot go on to financial success after leaving office.
But, in Blair's case, there's that sense -- just as there was when he was in office -- of a gulf between the external presentation and the inner reality. He gives a highly publicised donation and, on the quiet, registers an investment vehicle in Mayfair. He makes occasional but well-documented appearances in the Middle East and, again, almost silently, receives cash from a South Korean oil firm.
It's the sense of duplicity that stinks.
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25 comments
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Scampy....you are deluded get help before you become an embarasment to your folks...please.
How refreshing to find sensible comment about Blaiir here ( particularly from Richard and Nick).
Usual jealously and envy of those wishing to be accomplished and successful. His time as PM was up a longtime ago, what would you prefer he did, engage in unpaid community work to purge his sins or volunteer in endless humanitarian causes endangering his life? The issue here and what really stinks is the obsessive scrutiny you pay to someone's life which has absolutely nothing to do with you. Blair is getting rich, well so what and in any case good on him.
This must the happiest time in Blair's life. Unshackled from the burdens of being an MP and PM, he can now do what he wants.
In the last three years he has made much more money than in the previous thirty years.
Blair always saw politics as a trade off. He would have to spend years rising to the top. Then more years holding office.
He always knew if he could do that there would be a cash bonanza at the end of it and so it has proved.
Blair sold his soul to the Devil and now he is reaping his earthly rewards...for now.
Proves what I have always thought that Tony Blair was and is an incredible talent the likes of which the Labour party are unlikely to see again. Why do people hate success?
If he was a tory he would still be a pauper compared to the grandees like Tarzan and Ashcroft.
Self made man without the need to rely on past slavery or Victorian exploitation of the poor. Whats wrong with some people in the media?
Became leader, went to war, left Labour, became a catholic, ask forgiveness, then went off and made millions, a real success and I 'm sure the creep with enjoy it, same as all the lads with no arms and legs will look back with love on a leader who started a war left to make money.
good luck to him.
To RK:Jealousy and envy are no part of the indignation or rather hatred that bLIAR has generated through his illegal invasion of a fellow member of the UN. As to what I should prefer he does, it is to hang from the gallows for his innumerable war crimes, for the death and maiming he brought to hundreds of thousands of innocents and the sacrifice of our own soldiers in an unjust occupation..
What gets me is the contradiction between the public man ("I wish only to serve") and the private man ("I will do anything to become seriously rich"). Blair would no doubt argue that in the years since he left Downing Street he has continued to help humanity – most obviously through his Middle East diplomacy and his Faith Foundation. But both of these have served as platforms that help maintain his high international profile. His book is the same. The short-term profits will go to the British Legion, but the publicity will be his, as will the tax breaks. Now we learn that, in addition to his hugely well-paid speaking gigs, he is to benefit from a Mayfair investment vehicle. The former Labour leader may say that his concern has always been the poor and underprivileged. In fact, throughout his career, he has always had an eye for the main chance and never missed an opportunity to enrich himself and (witness his stately home) elevate himself and his family above the common herd. What is the difference between Tony Blair and a rich, old-style Tory tycoon? Nothing. Nothing at all. Except that Blair will probably end up with more money.
@Richard. The trouble I and many others have with Blair is that he is not a Labour man. I believe in ideology in politics, unfortunately Blair's view was one of neo-liberal economics and politics.
Blair is hardly "self made". His father was a barrister and he went to Fettes and Oxford.
Yes he won three elections and has made a lot of money since 2007. However I would ask is he still a member of the party?
I would care less if his abandonment of public finances to Gordon Brown had not trashed our economy so comprehensively.
I expect Blair's final act in this world will be to donate his enormous wealth to 'good' causes (not forgetting his family) in order to propitiate his god, in whose judgement alone he trusts!
Who gives a fuck. No matter what he does now, certain people will always find fault with it.
I would much rather that a former Labour Prime Minister spent his time trying to improve the lot of others, instead of feathering his own nest.
This man shows all the morality of a polecat, and not a house-trained one. Please, is it not possible to expel this person, along with Mr Mandleson, for bringing the Party into disrepute?
His donation of book royalties to a servicemens' charity is to be admired, but hardly makes up for his lack of scruple when dealing with big business in office. I really do not wish to demonise him, but Mr Blair seems to feel he has a right to whopping great wedges of cash.
The Tories will love all the coverage this complete non-story in the ST will garner over the next few days. The story is propaganda and lefties are falling for it hook, line and sinker. The timing is quite calculated.
This FSA filing is nothing sinister. A filing of this sort (I did them, for my sins, in a former life) is routinely done as part of family succession and tax-planning measures, typically when incorporating a family investment company or family limited partnership (http://www.boodlehatfield.com/default.asp?sID=1238492737072) as part of establishing a "family office". Most families with Blair's business interests and likely future income are advised to do this. The filing was made ages ago and nothing material to it has changed since. The ST has now wilfully misconstrued this FSA filing to speculate that Blair may make more money through regulated investment advice. There is no basis for this at all, and the tone of the article - more or less copied with no paywall here (http://www.theaustralian.com.au/news/world/tony-blairs-new-bank-for-supe...) is speculative and mostly filler: a tawdry example of emergent Fox News reporting in the UK Murdoch press.
The irony here is that Blair is only having to do this because Labour brought in myriad tax legislation that made new family trusts - of the type Mr Osborne is a beneficiary - unappealing.
Those who spit latte froth into their copies of the Observer at each fresh disclosure about Blair's post-political life puzzle me. He was always a pro-business centerist and this got Labour elected, a lot. What else did you expect after he quit? Not all ex-PMs go for the bleat-about-charity-after-giving-away-billions-to-banks retirement plan.
Blair has also given away a fifth of his wealth (cue grumbles off). This is at worst a Clintonian triangulation, though even Clinton personally trousered the proceeds of his bio ($30m and counting).
Will the menegerie of multim-millionaire Tory "business leaders" or MPs with followed Blair's example? Is Osborne about to give away his inherited £4m beneficial interest in the family wallpaper business? Thought not.
The actual duplicity here, which is an embarrassingly trite one to point out, is that a cabinet of millionaire (http://www.timesonline.co.uk/tol/news/politics/article7133943.ece)cutters, led by the chinless dauphin of a Victorian dark satanic mill owner (also the heir to a colonial baronetcy), are putting a hair shirt on every working person for a generation. Even IDS is flabberghasted at Osborne's zeal for screwing the poor.
NS readers might think on that a bit more instead of joining Murdoch's chorus.
Like him or loathe him, there can be no denying that Tony Blair turned the Labour party around and made it a credible government which remained in power for 13 years. He modernised the party because that's what was needed, it would never have got in back in 1997 had he not changed the party dynamic. It was Tony Blair who swept the party in to a position of power; he has to be respected for that.
He showed he was receptive to privatisation, he promoted education and the key social services such as the NHS. It was out of necessity that the party had to change or it simply would never have been elected.
I agree that Tony Blair took away too many traditional Labour values but he had to make the party electable and that meant change.
To all the Tories who condemn Tony Blair for his money making talents, I say you are perverse given the party beliefs and kind of power crazed individuals you now promote.
At the end of the day, he has talent, he would not be where he was if he wasn't talented. Those that loathe him will never get to like him, but I value the work he did in bringing Labour back to a position where it was able to govern for as long as it did. In my view, that's highly preferable to the undesirable lot we have in now, they are far more evil in how they want to crucify such a large segment of our society.
@Jeremiah
His education is not the issue nor his fathers profession. Plenty of Liberals in the same boat and tories too. Many Labour members are not short of a few bob or an Oxbridge education.
Blair is still a party member and does contribute large amounts of money too.
He is a socialist at heart but he is not the working class Unionist some want him to be. TB moved the party on rightly to a place they could win again and again. 18 years of Tory rule replaced with 13 years of Labour. If TB had not moved the party it would have been 31 years of Tory rule.
The old days of miners and ship building have gone Thatcher killed them off. New skills are needed and new ways of thinking too.
I can't understand why Labour voters want to go back to the wilderness, why can't they see the new world order. The poor need support and help but the feckless need a kicking why would anyone support worklessness?
In conditions that would have sunk any other ex PM TB went out and earned a living and his good works and charity are all about you if you would only look.
Forget the war Issue if you dont understand the reasons now you never will. If you cant see that the Iranian backed insurgents turned a success into a blood bath then you are not up to the job of political scrutiny.
Do not get taken in by the shroud wavers they have an agenda. The Tories would have given their right arm for Blair thats why they have tried to manufacture another one in Cameron. If the truth be known he would have been better off joining the Lib Dems because the old left was a burden too heavy to carry. Cut them adrift and you will see the Labour party soar again. Change or die thats the message they wont hear.
If TB becomes the richest man alive I for one would not care he has an incredible talent just a shame you cant see it. Try reading some of his old speeches or even his more recent ones.
Read what some of the other world leaders think of him.....they cant all be wrong you know.
Look at the world awards he has gained. Go to Sierra Leone and see what they think of him or Kosovo he is a god to many who thought the world had abandoned them and we Britain came to their rescue.
Our oversees aid programmes started by Blair and continued by Brown have changed lives beyond compare go do some research. This man does not deserve to be hounded in this country as he is. The media hatred led by the BBC and Guardian is shroud waving of the highest order to hide their blood stained hands over the betrayal of Dr Kelly.
For Gods sake open your eyes and look at reality not the altered history of the weak lilly livered wimps that frequent the airwaves and corridors of the media HQ's.
I agree with an awful lot of what you say there Richard, although I'm not sure if it should all have been directed at Jeremiah though; he was only making a reference to the nature of TB's upbringing which seems pertinent given all we say about the comparison drawn with Cameron and Clegg.
Tony Blair did modernise the party, we could never go back to the old party image because our manufacturing base has changed so radically since the days of coal mines, union control and British Leyland etc.
I do however, that in many ways we should have retained some of what we've lost.
It's also true to say Tony Blair didn't make the mistake this coalition is making by automatically changing everything the previous party did. It would never have been practical or sensible to reverse the extent of privatisation which had been executed under 18 years of a Tory government prior to 97.
Somewhat ironically, the Tories condemn Tony Blair for all his policies; yet after the 97 election they constantly taunted him for nicking their ideas! That's an admission that all they thought of was wrong isn't it?
Truth is, this coalition would be a lot more respected if it worked as a true coalition should and listened to Labour; perhaps even showing more of an inclination to adopt some of its better policies, rather than assume that it is best to change everything just because it has a Labour tag to it.
All those 13 years under Labour were far from all bad, an awful lot of good work was done. The economy was more or less stable with controlled inflation and growth with acceptable borrowing, whilst maintaining decent public services. It is no mere coincidence that it all went downhill simultaneously with an economic crisis on a global scale.
Tony is deeply troubled as he suspects rightly that although he can and has made money he can not make the time in which to enjoy it... he is to depart and get on fighting his war forever. !
I think Richard and Nick make very good points here but people seem so blinded by him its clouded judgment of him.
Iraq would have happened with or without him and for my money he did more good than bad in those 13 years in charge.
The Blair's will pay a price for their lies sooner or later just wait?
Yes and don't forget Tony the peoples princess took away the pervert grabbing cops and gave us cottaging and dogging in public toilets and parks?
Cameron has not put the cops back on duty yet?