North Lanarkshire Update



Some people say that politicians can't get directly involved in the fight for equal pay in Labour-run North Lanarkshire Council.

But this is nonsense, of course, because there are countless examples of Scottish politicians getting stuck into an issue even when it involves an 'independent corporate entity which is entirely separate from the Scottish Government'.

Take the Farepak scandal, for example. 

Readers may recall that Farepak (a private company) went bust in 2006 leaving thousands of people out of pocket in the run up to Christmas, as their savings went down the drain.  

Yet the fact that Farepak was an 'independent corporate entity' didn't stop politicians of every stripe and political party queuing up to get their tuppence worth in and demanding that something must be done.

Here are a few extracts of the press coverage that Farepak collapse attracted over the years and as is plain for all to see the politicians didn't exactly hold back with their public comments, criticism and calls for action.

What is needed in North Lanarkshire is a 'call to arms' if you ask me, a demand for action inside and outside the Council so that senior figures are held to account for the terrible mess that's been made of the Council's pay arrangements over the years.

SNP urges aid for Farepak crash victims

The Scotsman - 24 December 2014

THE SNP today issued a Christmas Eve appeal to the UK Government for compensation for Farepak families, who are still waiting for reparation four years after the collapse of the Christmas savings club.

Work and Pensions spokeswoman Eilidh Whiteford has written to Business Secretary Vince Cable, asking why 20,000 Scottish customers who lost their money in 2006 are still out of pocket.

She said: "The UK Government bent over backwards to bail out the banks, and is rightly compensating customers of Equitable Life but hasn't found a single penny for the Farepak families.

"It is four years since Farepak collapsed, but that nightmare of Christmas past is still being felt by many low-income families.

"It is simply disgraceful that, years after the company collapsed, customers are still waiting for their money back."


The Daily Record - 
16 July 2012

Labour’s Katy Clark, MP for North Ayrshire and Arran, has written to Cable to demand answers over the collapse of the case.

She said: “This decision is yet another kick in the teeth for those who lost out as a result of the Farepak collapse.

“More than five years on, savers have yet to receive a penny of their money back or see those responsible held accountable.”


22 Dec 2008

Glasgow East MP, John Mason, has issued an eve of Christmas appeal calling for the UK Government to bring forward compensation for Farepak families, who are still waiting for reparation two years after the collapse.

Comparing the UK Government’s response to bailing out the banks with Farepak, Mr Mason has written to Gareth Thomas, Minister of State for Trade, Investment and Consumer Affairs, asking why 20,000 Scottish customers – including hundreds of Glaswegians – are still out of pocket two years later.


SNP call for major Farepak probe

BBC News - 17 November 2006


Farepak customers have been fighting to win compensation

The Scottish National Party has called for a criminal investigation into the collapse of the Christmas savings company Farepak.More than 150,000 customers lost an average of £400 each when the company went into administration in October.

Stewart Hosie MP, the SNP's Treasury spokesman has written to the Secretary of State for Trade and Industry. He asked him to consider launching a criminal investigation after the Swindon-based firm collapsed.


Stewart Hosie MP, SNP's Treasury spokesman said: 

"Press reports would indicate that large sums of savers money were salted away to Farepak's parent company EHR and that Farepak continued to request and receive money until very shortly before it folded.

"I hope that the DTI will pursue a criminal investigation."


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