The nasty world Vickers missed

In his banking review, John Vickers said there isn’t enough competition among high street banks. He

Doorstep lending and loan sharking is causing misery for thousands of people across the country right now, but a small credit scheme is fighting back in east London and it has had some good news.

Fair Finance, based in Stepney, has raised £1m for its loan book from Société Générale and BNP Paribas so it can offer loans to poor families that are at the mercy of doorstep lenders and loan sharks – no collateral required.

It was set up five years ago by Faisel Rahman to provide funds to those typically rejected by the banks. They typically borrow up to £500 for items such as a new oven or school uniforms.

Fair Finance runs repayment over about a year and charges an annual percentage rate of 44 per cent. It helps customers set up bank accounts and encourages the reporting of loan sharks to the police. Its default rate is just 7 per cent and the company now employs 12 people.

This system of microlending is similar to that of the Grameen Bank, started in Bangladesh by the Nobel prizewinner Professor Muhammad Yunus, now sadly battling opponents of his own after being forced to retire as Grameen's head.

The problem in the UK is that people rejected by banks as being too high a risk resort to doorstep lenders, who bring the cash to your door but charge up to 2,500 per cent. This is big business.

There are two problems at work here. The Competition Commission has warned that there aren't enough lenders prepared to take on the high-risk market (otherwise known as "poor people"). And loan sharks are flourishing because enforcement rules aren't tough enough.

But the Labour MP Stella Creasy has been steering a private member's bill through parliament. The Consumer Credit (Regulation and Advice) Bill was parked in February; however, it will return in October. Here's more about the whole issue in detail.

Trading Standards officers across the country want the bill to become law so that they can work with the police to take on the worst offenders they know by name. Doncaster has been doing some great work this way.

But, on this issue as usual, the anti-regulation-more-red-tape brigade can't see the wood from the trees.

Trading standards officers are council officials, so it would be a big help if the Communities Secretary, Eric Pickles, backed the bill. Think it through and there's an efficiency saving here which also prevents people falling into deeper problems.

But will Pickles get involved? He may need a little gentle persuading. So why don't you email him and try a bit of "nudge" behavioural change?

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Meet Anne Marie Waters - the Ukip politician too extreme for Nigel Farage

In January 2016, Waters launched Pegida UK with former EDL frontman Steven Yaxley-Lennon (aka Tommy Robinson). 

There are few people in British political life who can be attacked from the left by Nigel Farage. Yet that is where Anne Marie Waters has found herself. And by the end of September she could well be the new leader of Ukip, a party almost synonymous with its beer-swilling, chain-smoking former leader.

Waters’s political journey is a curious one. She started out on the political left, but like Oswald Mosley before her, has since veered dramatically to the right. That, however, is where the similarities end. Waters is Irish, agnostic, a lesbian and a self-proclaimed feminist.

But it is her politics – rather than who she is – that have caused a stir among Ukip’s old guard. Former leader Paul Nuttall has said that her views make him “uncomfortable” while Farage has claimed Ukip is “finished” if, under her leadership, it becomes an anti-Islam party.

In her rhetoric, Waters echoes groups such as the English Defence League (EDL) and Britain First. She has called Islam “evil” and her leadership manifesto claims that the religion has turned Britain into a “fearful and censorious society”. Waters wants the banning of the burqa, the closure of all sharia councils and a temporary freeze on all immigration.

She started life in Dublin before moving to Germany in her teens to work as an au pair. Waters also lived in the Netherlands before returning to Britain to study journalism at Nottingham Trent University, graduating in 2003. She subsequently gained a second degree in law. It was then, she says, that she first learnt about Islam, which she claims treats women “like absolute dirt”. Now 39, Waters is a full-time campaigner who lives in Essex with her two dogs and her partner who is an accountant.

Waters’s first spell of serious activism was with the campaign group One Law for All, a secularist organisation fronted by the Iranian feminist and human rights activist Maryam Namazie. Waters resigned in November 2013 after four years with the organisation. According to Namazie, Waters left due to political disagreements over whether the group should collaborate with members of far-right groups.

In April 2014, Waters founded Sharia Watch UK and, in January 2016, she launched Pegida UK with former EDL frontman Steven Yaxley-Lennon (aka Tommy Robinson). The group was established as a British chapter of the German-based organisation and was set up to counter what it called the “Islamisation of our countries”. By the summer of 2016, it had petered out.

Waters twice stood unsuccessfully to become a Labour parliamentary candidate. Today, she says she could not back Labour due to its “betrayal of women” and “betrayal of the country” over Islam. After joining Ukip in 2014, she first ran for political office in the Lambeth council election, where she finished in ninth place. At the 2015 general election, Waters stood as the party’s candidate in Lewisham East, finishing third with 9.1 per cent of the vote. She was chosen to stand again in the 2016 London Assembly elections but was deselected after her role in Pegida UK became public. Waters was also prevented from standing in Lewisham East at the 2017 general election after Ukip’s then-leader Nuttall publicly intervened.

The current favourite of the 11 candidates standing to succeed Nuttall is deputy leader Peter Whittle, with Waters in second. Some had hoped the party’s top brass would ban her from standing but last week its national executive approved her campaign.

Due to an expected low turnout, the leadership contest is unpredictable. Last November, Nuttall was elected with just 9,622 votes. More than 1,000 new members reportedly joined Ukip in a two-week period earlier this year, prompting fears of far-right entryism.

Mike Hookem MEP has resigned as Ukip’s deputy whip over Waters’ candidacy, saying he would not “turn a blind eye” to extremism. By contrast, chief whip, MEP Stuart Agnew, is a supporter and has likened her to Joan of Arc. Waters is also working closely on her campaign with Jack Buckby, a former BNP activist and one of the few candidates to run against Labour in the by-election for Jo Cox’s former seat of Batley and Spen. Robinson is another backer.

Peculiarly for someone running to be the leader of a party, Waters does not appear to relish public attention. “I’m not a limelight person,” she recently told the Times. “I don’t like being phoned all the time.”

The journalist Jamie Bartlett, who was invited to the initial launch of Pegida UK in Luton in 2015, said of Waters: “She failed to remember the date of the demo. Her head lolled, her words were slurred, and she appeared to almost fall asleep while Tommy [Robinson] was speaking. After 10 minutes it all ground to an uneasy halt.”

In an age when authenticity is everything, it would be a mistake to underestimate yet another unconventional politician. But perhaps British Muslims shouldn’t panic about Anne Marie Waters just yet.

James Bloodworth is editor of Left Foot Forward

This article first appeared in the 17 August 2017 issue of the New Statesman, Trump goes nuclear