Sunday, April 15, 2007

The Brown Bottom - How to lose 2 billion pounds

I wrote earlier on the Iraq Dossier problem that has been awaiting release of information under the Freedom of Information Laws. Now we have details of another fight with the Labour Government and in particular the Treasury to release information about the selling of Gold back in 1999 that has cost this country an estimated £2 Billion.

The article says

The Sunday Times has been battling the Treasury for 18 months to obtain documents revealing the advice it received on the sale of gold, writes Holly Watt.

Under freedom of information laws, the paper has asked for statistical information relating to the decision to sell gold; minutes of ministerial meetings; official correspondence and studies into the aftermath of the decision.

Before the 2005 election the Treasury rushed out comparable information about the Conservatives’ darkest economic hour, Black Wednesday, but it took it five months to turn down this request, although it is required by law to respond within 20 working days.

Among five exemptions it has claimed to block publication is that “such information relates to the location (past or present) of the UK’s gold holdings, which, if made known, could increase risks to security”. This information is on the Bank’s official website.
Seems that Labour don't like these laws now as they are exposing their soft underbelly as we see the lies and spin they have been using to deceive us during their 10 year reign.

According to the article we have a wonderful new name for the lowest gold price in 20 years, it's now referred to as the
"Brown Bottom".
No jokes about nappies now please!

Another Minister involved in this story was a rather more junior Patrica (best year so far)Hewitt who according to the Times in answer to a written parliamentary question placed by a Labour backbencher.
“Today we are announcing a restructuring of the UK’s reserve holdings to achieve a better balance in the portfolio by increasing the proportion held in currency. This will involve a programme of auctions of gold,” she said.

“The Treasury intends to sell 125 tons of gold, 3% of the total reserves, during 1999-2000, with the Bank of England conducting five auctions on the Treasury’s behalf. Auctions will be held every other month starting in July.”

The answer was later shown to be wholly misleading as the government actually planned to sell 400 tons before 2002, representing more than half the country’s gold.

Hewitt’s figure of 3% referred to “total reserves” which, apart from gold, included tens of billions that the government borrows on the international currency markets, rather than the gold reserves actually owned outright by Britain.

So as usual Patricia has been bending the figures to suit Labour's needs.

Just another example as to why no-one should vote Labour in the upcoming elections.

Goldfinger Brown’s £2 billion-News-Politics-TimesOnline


Annette said...

Oh yeah?
What about black wednesday then?
16th september 1992.
Maybe thats why no-one should vote conservative.

Fitaloon said...

In terms of financial loses the sale at the bottom of the market and the manner of the sale is estimated to have cost the government a similar amount to the ERM fiasco. Us Conservatives paid heavily for that (and in some quarter still are) where as Gordon has not paid at all. It is also not his only nor most serious offence.

Annette said...

Microshaft blog:
please see my blog

Annette said...

"us conservatives" ??
With all respect, how can a working class man like yourself call yourself conservatives?
On your profile you are moaning, with reason, about the amount of council tax you are paying....yes, I agree totally, but it was Mrs Thacher and Michael Heseltine that brought that tax in.