Israel and Hamas agree deal to free Gilad Shalit

Everything you need to know about the prisoner swap deal and how it was reached.

Hamas and Israeli officials have agreed a prisoner swap deal which will see the release of Gilad Shalit, the Israeli soldier who has been held captive in the Gaza Strip for five years. In return, Israel will release 1,000 Palestinian prisoners.

The background

Shalit, aged just 19, was captured in a cross-border raid in June 2006 after Palestinian militants entered Israel and dragged him into Gaza. Since then, little has been known of his well-being. His father, Noam Shalit, has tirelessly campaigned for his son's release.

Those who have suffered the most from Shalit's capture are the people of Gaza. Israel has staged a series of deadly raids, including 2006's Operation Summer Rains, which left more than 400 Palestinians dead.

Crucially, his on-going capture has been a central justification for Israel's five-year blockade of Gaza. This has seen the import and export of basic food and medical supplies severely limited, and the movement of people restricted. Last year, David Cameron described Gaza as a "prison camp".

The deal

Shalit is expected to be home in the next 48 hours. In return, 1,000 Palestinian prisoners will be freed. This includes 15 high security inmates said to have had direct involvement in terror attacks, and 200 who will not be permitted to return to the West Bank. About half of those who do return will face restrictions on their movement. The deal also guarantees the release of six Israeli Arabs to their homes, and of 27 female inmates.

It has been reported that the deal will see the prisoners freed in a two-stage arrangement, the first involving the release of 450 for the soldier, and the remaining 550 afterwards.

How was agreement reached?

Previous attempts at negotiating a deal have fallen apart because of disagreements over which Palestinian prisoners are to be freed, and arrangements over exile. Each blamed the other for the breakdown of talks.

This time around, both sides appear to have shown flexibility to ensure a deal. Egypt played a key role, with negotiations opening on Thursday under the mediation of Egyptian security and intelligence officials. In a tweet, Netanyahu thanked "the Egyptian government and its security forces for their role in mediation and concluding the deal". Khaled Meshaal, the head of Hamas, also thanked Egypt, as well as Qatar, Turkey, Syria and Germany.

Details are yet to be confirmed, but it appears that German diplomats also played a significant role, with German mediator Gerard Conrad flying into Cairo last week.

Why now?

Renewed talks were first reported in mid-September, with Al-Hayat newspaper saying that the Hamas delegation was eager to reach a deal quickly.

The Israeli cabinet approved the deal last night after a late-night meeting, with 26 ministers voting in favour and three opposing it. Netanyahu is said to have warned that if the deal was not passed, it would be a serious setback that would delay Shalit's release by several more years.

It is not entirely clear why officials were willing to reach a compromise where they have failed before, but the deal has been met with celebration in both Israel and Palestine. Both Hamas and Israeli officials have used it to proclaim the unity of their people. It is not unreasonable to think that the deal was motivated by the need to boost morale amid the stalemate of the peace process.

What the commentators say

In Haaretz, Ari Shavit argues that although Israeli politicians may have had cynical motives, there is one reason to support the deal:

Israel's main asset in human and security terms is the sense of mutual responsibility that its citizens and soldiers feel toward one another.

Without this feeling, there is no meaning to our lives here. Without this feeling, we have neither army, security nor the ability to protect ourselves. Rightly or not, Shalit has become a symbol of mutual responsibility. And therefore his upcoming release will not only be the redemption of a captive and the saving of the life and the return home of a son. Shalit's release will be the realization of Israeli solidarity.

Over at Al Jazeera, Ali Abunimah criticises the Israeli government's use of Shalit as a propaganda tool:

Israeli officials have stated publicly that the denial of visits to Palestinian prisoners and other measures against the entire population are intended as a form of pressure, in other words, collective punishment - a grave crime under international law.

Avigdor Lieberman, the Israeli foreign minister, for example, said early in June that Israel should not lift its blockade of the Gaza Strip until Hamas allows an ICRC visit to Shalit.

The tragedy of the Shalit case is not just that Israel is using it to divert attention from the collective punishment of Palestinians, but that Shalit could already have been home long ago if Israel's leaders had not reneged on the German-brokered deal.


Samira Shackle is a freelance journalist, who tweets @samirashackle. She was formerly a staff writer for the New Statesman.

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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.