A case-study in political stupidity and ideology

Southern England is in the grip of strong winds and floods - and an excellent article in The Guardian reminds us of the ideological imbecility which has gripped the political class in that unfortunate country - 

Trains are being cancelled en masse while would-be travellers are instructed to follow news from that array of corporate names which still feel like some alien imposition on national life: First TransPennine, CrossCountry, First Capital Connect, c2c. Even the most efficient set-up can probably not do much about "localised flooding, fallen trees and debris on the tracks". But still: as rail travel is disrupted, thousands of people will once again seethe with fury at the operating companies' shortcomings, whether unfairly or not. Public anger, moreover, will also reflect a firmly embedded belief: that the approach of politicians to the railways is lily-livered at best; and at worst, completely barmy.
If you want a good example of the latter, consider the fate of the east coast mainline, which runs between London, the north-east and Scotland. In 2006 GNER lost its contract to run trains along the route when its Bermuda-registered parent company filed for bankruptcy. The franchise then went to National Express, which soon defaulted on its payments. So the then-Labour government created a not-for-profit public operator called Directly Operated Railways, which has run the service for the last four years with much success.Since 2009, DOR has paid £602m into public funds: over £200m more than National Express did, and £209m more than Virgin Rail – the franchise-holder for the west coast mainline – has managed during the same period. Its public subsidy is comparatively minimal – seven times less than that paid last year to Virgin. Its record on safety improvementsis jaw-dropping: "major customer accidents" are down 81% since 2009. And customer satisfaction and punctuality are at unprecedented highs.Now, of course, the government wants to re-privatise it – which is where things get truly absurd. Among the top bidders for the franchise is a consortium split between Eurostar and Keolis, both majority-owned by the French state firm SNCF. As well as Virgin, another probable contender will be Arriva, the British train company wholly owned by Deutsche Bahn, which is in turn wholly owned by the German government. As is increasingly the case across a whole range of national infrastructure – from power stations to water suppliers, via airports and bus companies – supposed free-marketeers are gleefully happy about state ownership of British assets, as long as it's somebody else's state that's doing it. In the case of the railways, moreover, you end up with the inevitable consequence of profits being skimmed off and invested in trains and tracks overseas.This is another of the insanities at the core of an economic model that George Osborne in particular wants to develop. Labour argues that the east coast mainline should stay in public hands and that DOR should be allowed to bid for other train franchises, following the same revenue-generating model as publicly owned firms from Germany, France and the Netherlands.But is that really enough? The Greens' Caroline Lucas, a rare voice of sanity, recently tabled a private member's bill outlining a simple alternative: that over time, as rail franchises expire, they should be restored to public ownership – which would cost peanuts, repatriate a fair bit of money, and commence the abolition of all the complex and costly stupidities that privatisation produced. This would at least slow those outrageous ticket price rises. And just imagine: we would also get the kind of integrated railway system to which politicians could finally apply some joined-up thinking.

And the economics correspondent of the same newspaper actually had the courage to argue that basic utilities should be returned to the public sector.

Four of the "big six" cartel, which controls 98% of electricity supply, have now increased prices by over 9% – blaming green levies and global costs – while wholesale prices have risen 1.7% in the past year and profit per "customer" has doubled.
Thousands of old people will certainly die this winter as a result of the corporate stitch-up that is called a regulated market – designed in large part by the same John Major who last week called for the introduction of a windfall tax on energy profits.
Meanwhile, David Cameron's coalition has signed a private finance initiative-style deal with one of the cartel, EDF, and two Chinese companies – all three state-owned, but by other states – to build a new nuclear reactor which will guarantee electricity prices at almost double their current level for the next 35 years.
As if all that wasn't grotesque enough, most of profitable Royal Mail has now been privatised by the supposedly dissident Vince Cable. The current loss to the "taxpayer" from selling shares below their market value is upwards of £1.3bn – more than the government's entire planned savings from benefit cuts in 2013-14. And its biggest shareholder is now the hedge fund TCI.
Within days, the Co-operative Bank had also fallen prey to US hedge funds, as Conservative ministers put out to tender the country's most successful rail service, the publicly owned east coast mainline. Never mind its reliability, value-for-money, popularity and the £208m dividend payment to the public purse. Privatisation dogma is undisturbed by evidence.
But then privatised water companies are planning to increase prices by 40% by 2020; Simon Stevens, an executive for the US private health firm UnitedHealth, now bidding for NHS contracts, has been put in charge of the NHS in England; and the security firms, G4S and Serco, are allowed to bid for a share of the probation service despite fraud investigations into existing deals.
It should be obvious that powerful interests are driving what is by any objective measure a failed 30-year experiment – but which transfers income and wealth from workforce, public and state to the corporate sector. In the case of privatised utilities, that is the extraction of shareholder value on a vast scale from a captive public.
What's needed from utilities are security of supply, operation in the public interest, long-term planning and cost effectiveness without profiteering. The existing privatised utilities have failed on all counts.
The case for public ownership of basic utilities and services – including electricity, gas, water and communications infrastructure – is overwhelming. It's also supported by a large majority of the country's voters. But it's taboo in the political mainstream.

Off the Bulgarian beaten track

There are two parts of picturesque Bulgaria which are off- the beaten track – the south-east borderland (with Greece and Turkey) and the entire stretch of the Danube in the north. A small but fascinating book on the Danube Riverside which I picked up in a Sofia store had a substantial section on the town of Svishtov (birthplace of artists Nikolae Tanev, Alexander Bozhinov and Nikolae Parvevitch)  persuaded me to take a detour for it – despite the bank of fog which was darkening the otherwise cloudless skies over norther Bulgaria. It was a worthwhile journey – through small desolated settlements and rolling hills until I reached a town which has seen much better days. In its heyday it was a bustling city which history (and shifting transport patterns) have left isolated. 

Having viewed a few of the old houses, I took the road for Russe and, a few kilometres out of Svishtov, hit an amazing sight – what appeared to be a building site was in fact the reconstruction of the old Roman camp of Novae and I was lucky enough to meet up with the Polish archaeologist who had been working the site for 35 years!
There is a nice little guide here about visiting the site which gives an excellent sense of the whole area. And I learned that this was the very site from which the Russians launched the campaign in July 1877 which brought Bulgaria independence from the Ottoamn Empire - I had earlier passed through one of the villages which houses a grand house which was the Russian HQ. Several hundred Russian soldiers lost their life here........

The subsequent drive to Russe was very beautiful - with the autumn leaves in their most glorious foleage.

Aesthetics and economics

Two sad departures – the lovely small Tabak café which occupied the back of the National Gallery building (the old Palace) and spread on to the quiet garden area leading up to the Russian Church was unceremoniously bundled out of its space a few months back. By the Minister of Culture himself apparently – for failure to pay back rent due. I loved the challenge the cafe represented to political correctness – and also the serenity of the garden section with its views of various statues.

And the large gallery space which used to offer paintings, ceramics and wine from the Katarzsyna estate in Ivan Denklogu st just down from Vitosha which also offered musical performances a couple of times each week in its downstairs basement has also disappeared – now being made over I suspect into a luxury shoe shop. 

Not good for Sofia’s European City of Culture 2019 bid! Although the pavements (the worst of any European capital) are now being repaired!!

Times have been bad for Sofia’s small galleries for the past few years – and still don’t show any sign of looking up. I talk to their owners – one of whom told me that she recoups very little of the 1,000 euros a month which her small space costs her - in rental, facilities and help. It is a labour of love – and I look forward to being amongst the participants of tonight’s event which celebrates her first year. I’ve bought three things from that particular gallery so far – and am pleased that pride of place in the exhibition which marks the first anniversary are aquarelles from a 90 year-old! And it's good to see that the older painters still alive are honoured by several of the smaller galleries.....

Sofia’s atmosphere was nicely captured for me yesterday when I was leaving another gallery (having bought the Kostadinov “lady in red” which heads the last post). A man with a painting under his arm was walking past and paused to let us examine it. “Do you like it?” he asked after he told me it was a Trichkov (a painter I have been trying to buy) and then walked off……..

Temptations and turbulence

The beautiful weather continues here in Sofia – 24 yesterday – and, invigorated by the exercises and swim at Rodina hotel, I strolled  for some 4 hours visiting my small galleries 

First the Absinthe gallery (where I bought this aquarelle of a view from a window - by a young woman - Klementina Mancheva); 

then Vihra at the Astry Gallery (tempted by this fetching Kostadinov figure in the red dress on the right): 

My friend Yassen was showing his latest oil at his Konus gallery; 

A rarer visit to the Kristal gallery had me tempted by an Alexandrov and a Zhekov;

and, finally, a first visit to the Grita gallery just past the Opera for a Vernissaj - one of four apparently which were taking place that evening in the capital. 

A lovely little area this last – between the Alexander Nevsky Cathedral and General Dondukov Boulevard – with a tiny gem of a classical disc shop just outside the Opera house on Vrabcha St from which I emerged with 20 odd discs – mainly Dvorak. Incidentally, I was shocked to see the extremist party Ataka offices prominently sitting ajowl the Opera!!

Earlier I had purchased some charming Bulgarian ceramics and also reproductions of the irresistable Angela Minkova - at Albena's wonderful tiny but joyful shop- Art Magazin at the corner of the Catholic Church and Skobelev St (number 38);  and popped into the Raiko Aleksiev gallery on Rakovsky St which turned out to be celebrating the works of one Nikolay Rostovchev (1898-1988). 

Rostovchev was an officer in the Russian dragoons who was part of the residue of the White Army which landed in Varna in 1921. In 1925 he enrolled in Boris Mitov’s class at the Art Academy in Sofia and graduated in 1930, exhibiting in the annual exhibitions of the Association of Independent Artists until 1945 – at which point the new communist authorities stripped him of his membership of all associations. His past was against him – not only presumably his time with the White Army but his religious painting during most of the 1930s – for example his work on the St Nedelya Church. What a turbulent life he had - fleeing from the Bolsheviks only to land up 20-odd years later facing their successors who at least only ostracised him. It was appropriate therefore that the exhibition is in the Raiko Aleksiev gallery since Aleksiev died in custody a few weeks after the communist takeover.    

On this historical note, I was aware of the slaughter which took place in 1925 at the church but had not properly connected it with the September 1923 communist uprising. I remember passing a monument to communists at the roadside near Vratsa in the north-east of the country – and wondering about it. I posted last year about the massacres which took place in the communist takeover of September 1944 - 70 years ago next year. I wonder how the period will be remembered next year??

My evening finished with another nice discovery as I took a side road back to the flat – a small bookshop which had a copy of a remarkable 500 page book on Bulgaria – Bulgaria Terra Europeansis Incognita by Ivan Daraktchiev. Original both in its provocative text and superb photos of old ceramics. There's an interview with the author here.

Imagining a future

A space for books, paintings, wine and….ideas? A possible new concept for Sofia – European City of Culture?

As well as conducting my usual haunts of galleries and bookshops here in Sofia, I’m looking at property – and feel that any flat has to be large enough to take my present (let alone future) stock of books and paintings. 

I found a dream flat – on the edge of a forest a mere 20 minutes’ drive (or metro) from the centre – but it’s only 70 sq metres; and does not allow the flaneur life I love in the centre of town.

And the second-hand and remaindered books whose titles appealed to me in the last few days (and now lie around the flat) speak powerfully of the importance of serendipity and conversations - eg 

• JG Ballard’s dystopian novel Kingdom Come (2006); 
• Charles Bukowski's collection of despairing poetry - War all the time (1984)  
• a book about the Anglo-Scottish borderlands between the 14^th and 16^th centuries -The Reivers; 
• Desperately seeking Paradise – journeys of a sceptical muslim (2004) by Ziauddin Sardar;
• Dinner with Persephone; travels in Greece by Patricia Storace (1996); 
• Hungarian Antal Szerb’s 1937 masterpiece Journey by Moonlight ; 
• the final (third) part of Russe-born Nobel-prize winning Elias Cannetti’s auobiography The Play of the Eyes (1986);  
• Half of a Yellow Sun by Chimamanda Ngozi Adichie; and
• The Language Wars; a History of Proper English (2011) by the improbably-named Henry Hitchings

So why not a small gallery space in the centre where I can hang the paintings, display books, offer wines and converse in whatever language......? Fine for experience - but what would I actually sell - apart from glasses of wine?? The books (eg my extensive collection of about Bulgarian painters) and paintings would not leave the shop but simply be a catalyst for conversation.....
Now that the British Council here has closed its library of books, perhaps there is a place for people to go who wish a taste of European (if not British) culture. I could add French and German books; link with the British butcher and the second-hand English bookshop here; and with cultural centres such as The Red House........Dream on.......

Yovo Yovchev - a painter to watch!

My great friend Yovo Yovchev of Sofia has had an exhibition these last few weeks – at the Finesse Gallery in Hristo Belchev St just off Solunska St. 

Here he is with my other great gallerist friend, Yassen Gochev at the exhibition - which, sadly, ends tomorrow. Yassen's artistry is variously surrealist (oil) and realist (aquarelle and oil) - and you can find him at his Konos Gallery
Yovo was the first guy to introduce me to the great traditions of Bulgarian painting - he sold me my first Emilia Radusheva (I have about 5 now) and was the first person to show me the catalogues of the Victoria Gallery Auction House....and hence help captivate me into the incredible tradition of Bulgarian painting .

Tomorrow is the last day of the exhibition - and 3-4 of his paintings have caught my eye.
I managed to buy the second of these.....

Global Looting - Taxing Times

Rumours about a tax on bank savings – have been sweeping Europe according to The Slog blog which implicates a document available on the IMF website dated ‘October 2013′. This document with the significant title Fiscal Monitor; Taxing Times argues that a 10% tax on bank accounts would bring public debt in European countries back to 2007 levels! Go the box at page 49 for the full argument

You thought the Cyprus raid was a one-off?!!
Be very afraid.

Savings in bank accounts are not safe - on the other hand, is it really possible that European governments are so suicidal as to be contemplating the infliction of losses on their middle classes???????? But thee IMF has now given them the legitimacy.....The unthinkable has become the thinkable.......

But where are those of us who haven't sunk our money in property to put it? Money that we earned (in my case) in consultancy fees over the past 20 years. I had nothing except a mortgage in 1990. Now I have a fair amount. I cashed in the investments in the mid 2000s just before the whistle went on the financial system. Since then they were earning a pittance in the northern banks! So I transferred most to Romanian and Bulgarian banks where they have been earning about 4%. Now I even insist on checking the serial numbers of notes withdrawn - and the watermarks.....