Food stamps: the goverment quietly robs its citizens of the power to spend their own money

An unacceptable infringement of freedom.

This week, the government quietly and fundamentally shifted its treatment of benefit claimants. I’m not talking about yet another cut, but instead the decision that from next month individuals seeking cash loans from their council for a short-term financial crisis will now be issued with food vouchers instead of money.

Vulnerable people who have had money stolen or have had their benefits delayed can currently apply to their council for a short-term loan of up to £50, but 150 councils have now indicated that they will soon be issuing payment cards instead, and these will prevent the holder using the money for alcohol, cigarettes and gambling.

At first glance, this might seem sensible enough. Why should the state be lending money to someone who will drink or gamble that cash away? The reason this short-term lending system exists is to prevent citizens from going hungry when the social safety net fails — and under the new system, that won’t change.

But, the first problem is that if the government’s intention is to nanny benefit claimants and to bar them from spending their money on fags and booze, it won’t work. Anyone with a little determination and half a brain cell will simply swap their food vouchers with a friend in exchange for their contraband. Everyone needs food, after all, and at worst it will simply make drinking and smoking a little more expensive — if your entrepreneurial friend demands £10 of food vouchers for their £8 packet of cigarettes, say.

The second problem is that robbing an individual of the power to spend money as they wish is an unacceptable infringement on a person’s freedom, and it illustrates the contempt with which the government, and many voters, holds benefit claimants. The same could be said of asylum seekers, who are already subjected to a cruel, degrading and restrictive voucher regime.

I’ve found the book Poor Economics one of the most intelligent development books in recent years, and one of its insights is this: faced with limited funds, few humans are 100 per cent strategic in the way they spend their funds. Interfering civil servants (or development economists) might hope that the poor will prioritise their basic nutritional needs above all else, spending only on luxuries once they’re satisfied their family is eating three well-balanced meals a day. But, like anyone else, someone on a restricted income is likely to sacrifice some of their food budget to spend it on such ‘fripperies’ as a TV, a mobile phone, or a bottle of vodka. And frankly, I know I’d rather eat dry toast and sometimes watch the telly than go without entertainment but plenty of hearty stews.

Increase someone’s salary a little, and they are unlikely to spend that extra stipend on high-quality protein and vitamin supplements, and much more likely to treat themselves to a chocolate bar, or a beer, or a lottery ticket.

This might seem like an alien concept to the average Spear’s reader, who is fortunate enough not to have to choose between goods in this way, but most will fondly recall their university years and if these were anything like mine, weeks could go by on a basic diet of beans on toast and pasta when money had been frittered away on bad wine and party dresses. And what student, when slipped a few quid by a kindly relative, would rush out to buy the brazil nuts and Berocca so needed to improve concentration and increase essay-productivity, thus improving future earning potential? 

The point of this is, some people when given an emergency £50 loan will carefully spend it on their food shop, and will try their hardest to buy as sensible a basket of goods as they can to tide them over while they wait for their money to come through. Others will go out, get drunk, and find themselves pestering their friends for food for food, or going hungry, until finally they get their hands on the next cheque. More of us probably fall in the latter camp than the former. 

Far more importantly, it is wrong to rob fully able adults of the ability to make wrong choices, and allowing any government to rob its citizens of autonomy in this way is very dangerous indeed.

This article first appeared on Spears magazine

Photograph: Getty Images

Sophie McBain is a freelance writer based in Cairo. She was previously an assistant editor at the New Statesman.

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Former Irish premier John Bruton on Brexit: "Britain should pay for our border checks"

The former Taoiseach says Brexit has been interpreted as "a profoundly unfriendly act"

At Kapıkule, on the Turkish border with Bulgaria, the queue of lorries awaiting clearance to enter European Union territory can extend as long as 17km. Despite Turkey’s customs union for goods with the bloc, hauliers can spend up to 30 hours clearing a series of demanding administrative hoops. This is the nightmare keeping former Irish premier John Bruton up at night. Only this time, it's the post-Brexit border between Northern Ireland and the Republic, and it's much, much worse.   

Bruton (pictured below), Taoiseach between 1994 and 1997, is an ardent pro-European and was historically so sympathetic to Britain that, while in office, he was pilloried as "John Unionist" by his rivals. But he believes, should she continue her push for a hard Brexit, that Theresa May's promise for a “seamless, frictionless border” is unattainable. 

"A good example of the sort of thing that might arise is what’s happening on the Turkish-Bulgarian border," the former leader of Ireland's centre-right Fine Gael party told me. “The situation would be more severe in Ireland, because the UK proposes to leave the customs union as well."

The outlook for Ireland looks grim – and a world away from the dynamism of the Celtic Tiger days Bruton’s coalition government helped usher in. “There will be all sorts of problems," he said. "Separate permits for truck drivers operating across two jurisdictions, people having to pay for the right to use foreign roads, and a whole range of other issues.” 

Last week, an anti-Brexit protest on the border in Killeen, County Louth, saw mock customs checks bring traffic to a near standstill. But, so far, the discussion around what the future looks like for the 260 border crossings has focused predominantly on its potential effects on Ulster’s fragile peace. Last week Bruton’s successor as Taoiseach, Bertie Ahern, warned “any sort of physical border” would be “bad for the peace process”. 

Bruton does not disagree, and is concerned by what the UK’s withdrawal from the European Convention on Human Rights might mean for the Good Friday Agreement. But he believes the preoccupation with the legacy of violence has distracted British policymakers from the potentially devastating economic impact of Brexit. “I don’t believe that any serious thought was given to the wider impact on the economy of the two islands as a whole," he said. 

The collapse in the pound has already hit Irish exporters, for whom British sales are worth £15bn. Businesses that work across the border could yet face the crippling expense of duplicating their operations after the UK leaves the customs union and single market. This, he says, will “radically disturb” Ireland’s agriculture and food-processing industries – 55 per cent of whose products are sold to the UK. A transitional deal will "anaesthetise" people to the real impact, he says, but when it comes, it will be a more seismic change than many in London are expecting. He even believes it would be “logical” for the UK to cover the Irish government’s costs as it builds new infrastructure and employs new customs officials to deal with the new reality.

Despite his past support for Britain, the government's push for a hard Brexit has clearly tested Bruton's patience. “We’re attempting to unravel more than 40 years of joint work, joint rule-making, to create the largest multinational market in the world," he said. It is not just Bruton who is frustrated. The British decision to "tear that up", he said, "is regarded, particularly by people in Ireland, as a profoundly unfriendly act towards neighbours".

Nor does he think Leave campaigners, among them the former Northern Ireland secretary Theresa Villiers, gave due attention to the issue during the campaign. “The assurances that were given were of the nature of: ‘Well, it’ll be alright on the night!’," he said. "As if the Brexit advocates were in a position to give any assurances on that point.” 

Indeed, some of the more blimpish elements of the British right believe Ireland, wedded to its low corporate tax rates and east-west trade, would sooner follow its neighbour out of the EU than endure the disruption. Recent polling shows they are likely mistaken: some 80 per cent of Irish voters say they would vote to remain in an EU referendum.

Irexit remains a fringe cause and Bruton believes, post-Brexit, Dublin will have no choice but to align itself more closely with the EU27. “The UK is walking away,” he said. “This shift has been imposed upon us by our neighbour. Ireland will have to do the best it can: any EU without Britain is a more difficult EU for Ireland.” 

May, he says, has exacerbated those difficulties. Her appointment of her ally James Brokenshire as secretary of state for Northern Ireland was interpreted as a sign she understood the role’s strategic importance. But Bruton doubts Ireland has figured much in her biggest decisions on Brexit: “I don’t think serious thought was given to this before her conference speech, which insisted on immigration controls and on no jurisdiction for the European Court of Justice. Those two decisions essentially removed the possibility for Ireland and Britain to work together as part of the EEA or customs union – and were not even necessitated by the referendum decision.”

There are several avenues for Britain if it wants to avert the “voluntary injury” it looks set to inflict to Ireland’s economy and its own. One, which Bruton concedes is unlikely, is staying in the single market. He dismisses as “fanciful” the suggestions that Northern Ireland alone could negotiate European Economic Area membership, while a poll on Irish reunification is "only marginally" more likely. 

The other is a variation on the Remoaners’ favourite - a second referendum should Britain look set to crash out on World Trade Organisation terms without a satisfactory deal. “I don’t think a second referendum is going to be accepted by anybody at this stage. It is going to take a number of years,” he said. “I would like to see the negotiation proceed and for the European Union to keep the option of UK membership on 2015 terms on the table. It would be the best available alternative to an agreed outcome.” 

As things stand, however, Bruton is unambiguous. Brexit means the Northern Irish border will change for the worse. “That’s just inherent in the decision the UK electorate was invited to take, and took – or rather, the UK government took in interpreting the referendum.”