Tom Watson accuses May of "a cover-up" over child abuse claims

Labour MP says inquiry into allegations involving a senior Conservative politician is "the next stage of a cover-up".

After criticising the BBC for failing to respond adequately to allegations of child abuse by Jimmy Savile, the government is determined not to be seen to make the same mistake in the case of the alleged north Wales paedophile ring.

In a Commons statement earlier today, Theresa May announced the details of two inquiries into allegations of sexual abuse involving a former senior Conservative politician. The Home Secretary told MPs that north Wales police chief Mark Polin had invited Keith Bristow, the director general of the National Crime Agency, to "assess the allegations recently received, to review the historic police investigations and investigate any fresh allegations". He will produce an initial report on the case by April 2013. In addition, May confirmed that the government would ask "a senior independent figure" to lead an investigation into the 1996-2000 Waterhouse Inquiry, which is accused of failing to consider all allegations of abuse. "Given the seriousness of the allegations, we will make sure that this work is completed urgently," she added.

Responding for Labour, Yvette Cooper warned that having more than one inquiry risked causing confusion and called for "a single, overarching review". But it was Tom Watson, who first aired the new allegations at PMQs last month, who made the most notable intervention when he accused May of instituting "the next stage of a cover-up". The Labour MP told the Commons:

The lesson of Hillsborough and hacking is that a narrow-down investigation is the basic building block of a cover-up. To limit this inquiry to north Wales and Savile would in my view be a dereliction of the Home Secretary's duty. It would guarantee that many sickening crimes will remain uninvestigated and some of the most despicable paedophiles will remain protected by the establishment that has shielded them for 30 years.

Whether you were raped or tortured as a child in Wales or in Whitehall you are entitled to be heard. The media may be transfixed by the spectre of a paedophile cabinet minster abusing children, but what actually matters is that thousands and thousands of children, whose lives have been ground into nothing, who prefer to kill themselves than carry on, who have nowhere to turn, to whom nobody listens, whom nobody helps. Does she sincerely want to start making amends or can she live with being what she’s just announced – the next stage of a cover-up.

May was careful to warn MPs that using parliamentary privilege to name the Thatcher-era Tory could jeopardise any future prosecution. For the record, the individual in question has denied all of the allegations. He told the Daily Telegraph:

Some guy said I was in the habit of taking young men from Wrexham in my Rolls-Royce.

But I have only been to Wrexham once and I didn’t visit the children’s home, I made a speech to the constituency. I was with an official at all times. I never had a Rolls Royce.

When the inquiry was taking place I hired a lawyer to watch it in case there was any mention of my name. The point is that it is totally without any grounds whatsoever.

Labour MP Tom Watson warned that "many sickening crimes will remain uninvestigated". Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

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Stability is essential to solve the pension problem

The new chancellor must ensure we have a period of stability for pension policymaking in order for everyone to acclimatise to a new era of personal responsibility in retirement, says 

There was a time when retirement seemed to take care of itself. It was normal to work, retire and then receive the state pension plus a company final salary pension, often a fairly generous figure, which also paid out to a spouse or partner on death.

That normality simply doesn’t exist for most people in 2016. There is much less certainty on what retirement looks like. The genesis of these experiences also starts much earlier. As final salary schemes fall out of favour, the UK is reaching a tipping point where savings in ‘defined contribution’ pension schemes become the most prevalent form of traditional retirement saving.

Saving for a ‘pension’ can mean a multitude of different things and the way your savings are organised can make a big difference to whether or not you are able to do what you planned in your later life – and also how your money is treated once you die.

George Osborne established a place for himself in the canon of personal savings policy through the introduction of ‘freedom and choice’ in pensions in 2015. This changed the rules dramatically, and gave pension income a level of public interest it had never seen before. Effectively the policymakers changed the rules, left the ring and took the ropes with them as we entered a new era of personal responsibility in retirement.

But what difference has that made? Have people changed their plans as a result, and what does 'normal' for retirement income look like now?

Old Mutual Wealth has just released. with YouGov, its third detailed survey of how people in the UK are planning their income needs in retirement. What is becoming clear is that 'normal' looks nothing like it did before. People have adjusted and are operating according to a new normal.

In the new normal, people are reliant on multiple sources of income in retirement, including actively using their home, as more people anticipate downsizing to provide some income. 24 per cent of future retirees have said they would consider releasing value from their home in one way or another.

In the new normal, working beyond your state pension age is no longer seen as drudgery. With increasing longevity, the appeal of keeping busy with work has grown. Almost one-third of future retirees are expecting work to provide some of their income in retirement, with just under half suggesting one of the reasons for doing so would be to maintain social interaction.

The new normal means less binary decision-making. Each choice an individual makes along the way becomes critical, and the answers themselves are less obvious. How do you best invest your savings? Where is the best place for a rainy day fund? How do you want to take income in the future and what happens to your assets when you die?

 An abundance of choices to provide answers to the above questions is good, but too much choice can paralyse decision-making. The new normal requires a plan earlier in life.

All the while, policymakers have continued to give people plenty of things to think about. In the past 12 months alone, the previous chancellor deliberated over whether – and how – to cut pension tax relief for higher earners. The ‘pensions-ISA’ system was mooted as the culmination of a project to hand savers complete control over their retirement savings, while also providing a welcome boost to Treasury coffers in the short term.

During her time as pensions minister, Baroness Altmann voiced her support for the current system of taxing pension income, rather than contributions, indicating a split between the DWP and HM Treasury on the matter. Baroness Altmann’s replacement at the DWP is Richard Harrington. It remains to be seen how much influence he will have and on what side of the camp he sits regarding taxing pensions.

Meanwhile, Philip Hammond has entered the Treasury while our new Prime Minister calls for greater unity. Following a tumultuous time for pensions, a change in tone towards greater unity and cross-department collaboration would be very welcome.

In order for everyone to acclimatise properly to the new normal, the new chancellor should commit to a return to a longer-term, strategic approach to pensions policymaking, enabling all parties, from regulators and providers to customers, to make decisions with confidence that the landscape will not continue to shift as fundamentally as it has in recent times.

Steven Levin is CEO of investment platforms at Old Mutual Wealth.

To view all of Old Mutual Wealth’s retirement reports, visit: products-and-investments/ pensions/pensions2015/