Jun242017

Home ownership

John Redwood MP

Many more people want to own their own home than currently do so. Generation Rent tells us they want more opportunity to buy, but feel crowded out of the market by high prices and scarcity of homes.

I agree with the majority view that home ownership is usually the best answer for people.  It is good to have control of our property, so you can decide how to decorate it, how to arrange the internal space, and how to organise the services. Above all home ownership is a good lifestyle choice as you get older. Once the mortgage is repaid it is much cheaper living in a home you own than living in rented accommodation. Those who rent all their lives end up paying most for their property once retired, on a lower income than they had when working.  If you pay rent for 60 years rather than a mortgage for 25 years, you pay so much more. If you rent a property for £1000 a month that would be £720,000 over a lifetime, but of course it will be so much more as the rent is likely  go up a lot over the next 70 years. If you buy  the home instead for  £250,000 home on a mortgage you might end up paying £400,000 of interest and capital repayments over your lifetime.

None of these numbers requires house prices to go, though in the past they have done so. If they do then of course the home owner is better off again. In old age they can sell the property and move to a smaller place, releasing capital to spend if they wish. The person living in their own home also can pass it on to their heirs  or to a charity of their choice , whilst the person in rented accommodation just leaves the termination costs of the tenancy to their estate.

Many Conservative MPs and advisers think there is an urgent issue of how we can help more people to own. We want to empower a new generation of home owners. The last government put in place schemes to help purchasers. There is the Help to buy scheme to assist with raising the money for the deposit. There are various affordable homes for sale projects. The question is what more needs to be done.

Reducing the numbers of new migrants arriving and needing homes would help. This is something the government can do with its new border control scheme for when we leave the EU. Increasing the supply of new homes would help, which the government is working on.  Looking at ways to help finance homes and to make them more affordable is moving to the top of the agenda.

There can be more sales of public sector owned homes at a discount to tenants. There could be a rent to mortgages scheme, where good public sector tenants get credit for regular rent payments and build a stake in their home. There can be more shared ownership schemes, with easy ways of a person buying a   bigger share as they can afford it.

We need to make the case again for ownership. Doubtless we will be told that selling existing public sector homes reduces the supply and adds to the problem. This is the most absurd criticism of them all. If a tenant buys the home they are living in the supply of homes is totally unaffected, as the same family are living  in the same home after the transaction. The advantage is twofold. That family have something they want , and the state has money from the sale that it can spend  on building an additional home, thereby expanding the supply of property.

Yours thoughts on what we could do would be appreciated. I will return to this topic with more specific proposals in due course.

Jun242017

Hong Kong’s future will be bright with support of mainland: K. Wah Group chairman

East Asia

The Chinese mainland and Hong Kong have benefited each other and have grown together since Hong Kong’s return to the motherland 20 years ago, K. Wah Group Chairman Lui Che-woo told Xinhua recently.

“The central government’s policy towards Hong Kong has supported Hong Kong’s development, while Hong Kong on the other hand has helped the mainland to open up further to the world,” said the 88-year-old tycoon, wearing his trademark flap cap.

Lui believes that Hong Kong has maintained its core value over the past 20 years. “You can see that it is more prosperous nowadays.”

Prior to 1997, some foreign and local companies moved their businesses away from Hong Kong for fear of uncertain future. K. Wah Group went the other way around.

“I think the return to the motherland presents lots of opportunities for Hong Kong,” he said, “With the mainland behind our back, Hong Kong’s future will be bright. So we concentrated our business in Hong Kong at that time.”

Founded in 1955 and starting from quarrying industry, K. Wah Group has expanded rapidly during the past two decades, becoming a conglomerate of construction materials, properties, hospitality and entertainment and leisure resorts, with total assets value mounting to hundreds of millions of U.S. dollars.

Lui said Hong Kong has made huge progress in finance, trading, tourism and transportation after 1997, together with sound legal system, helping elevate Hong Kong’s international status significantly.

“Hong Kong is right behind New York and London now, but without the support from the mainland, Hong Kong would not be so strong,” Lui chuckled. “Hong Kong people should be grateful to all the benefits.”

He said the successful implementation of the “one country, two systems” principle in Hong Kong has ensured its prosperity and stability.

“The principle is the smartest way to balance two different political and economic systems, enabling Hong Kong and the mainland to adapt and cooperate with each other. The achievement is well recognized,” Lui said.

As one of the earliest Hong Kong companies to enter the mainland market in the 1980s, K. Wah Group has now become a major construction material supplier in the northern, eastern and southern China.

The company also seized the opportunities to transform itself into a fully integrated environmentally-friendly enterprise, in line with China’s national policy of sustainable development.

“So far our eco-product business in the Chinese mainland is good, sometimes in short supply,” Lui said.

With over five decades of quarrying experience, K. Wah Group also strives to share a piece of cake from the Belt and Road Initiative, as many infrastructure projects are planned along the revived ancient trade routes.

“I wish there would be more opportunities for us, and hopefully our business in countries along the Belt and Road will exceed that in Hong Kong,” Lui said.

He also spoke highly of southern China’s Guangdong-Hong Kong-Macao Greater Bay Area. “The concept is quite attractive,” Lui said, adding Hong Kong will become an important hub of trading, tourism and industry as all the places within the bay area will be linked more closely in the future.

“K. Wah Group has confidence in investing the bay area, and there are some projects under negotiation currently,” said Lui, with a high expectation that the central government will grant more incentives to Hong Kong businessmen.

He is upbeat about China’s future development. “The mainland is leading ahead in many fields, such as technology, and Hong Kong is also catching up. I believe the country will continue moving forward.”

Jun242017

Speech: Queen’s Birthday Party 2017 in Singapore

HM Government

Ms Indranee Rajah, Senior Minister of State for Law and Finance, Members of Parliament Mr Ang Wei Neng and Ms Cheryl Chan, Chief of Army Maj Gen Melvyn Ong, distinguished guests, your Excellencies, ladies and gentlemen on behalf of my wife, Anne, and myself it is my honour and pleasure to welcome you all to Eden Hall this evening to celebrate the 91th birthday of HM Queen Elizabeth II.

This year is The Queen’s Sapphire Jubilee, that is 65 years since she acceded to the throne to be become our Head of State and Head of the Commonwealth. And even in her 92nd year, she continues to fulfil a schedule that would exhaust many people years younger than her a reflection of her steadfast commitment to the people of the United Kingdom and of the Commonwealth.

On behalf of the British community here in Singapore, I want to express our admiration and gratitude to Her Majesty and to HRH The Duke of Edinburgh, who celebrated his 96th birthday last week and we wish him a speedy recovery.

In challenging times such as our country has experienced recently with the terrorist attacks in London and Manchester and the dreadful fire last week in west London there is no doubt that the British people find comfort and reassurance in the enduring strength and stability of our institutions, which The Royal Family embodies. And The Royal Family’s particular attachment to Singapore has been among the highlights in our bilateral relationship over the last 12 months.

In November last year, HRH The Princess Royal visited Singapore for the conference of the Royal Agricultural Society of the Commonwealth meeting several Ministers and supporting two charities, the Mission for Seafarers and Riding for the Disabled.

Earlier this month, HRH Prince Harry helped dispel some of the stigma that still surrounds people living with HIV/AIDS and with mental health issues when he met some remarkable young Singaporeans, committed volunteers and their supporters here at Eden Hall and he was delighted to take part in an iftar at Jamiyah’s Children’s home in Geylang.

And just last week, HRH The Duke of York represented The Queen at the Commonwealth Science Conference. While in Singapore he called on President Tan and ESM Goh Chok Tong, met young Singaporean entrepreneurs, and hosted the first Singapore edition of his highly successful Pitch@Palace initiative.

Of course the last 12 months has seen major changes in the United Kingdom. It is almost a year to the day since the people of Britain decided that we should leave the European Union and forge a different path for our country. No one is pretending that the negotiations on which we are now embarked will be easy there will be ups and downs along the way but our shared values, our shared commitment to free trade and tackling global economic and security challenges our shared belief in the rules-based international system make me confident that although the nature of our relationship with Europe will change, close cooperation with our neighbours will certainly continue.

And the United Kingdom’s engagement with East Asia, and with Singapore in particular, will continue to strengthen too. Visits from the Chief of the Defence Staff and the First Sea Lord have underlined the close relationship between our armed forces. Our new British Defence Staff Asia Pacific has opened in Singapore. Our exchanges on cyber-security are deepening and our economic relationship continues to grow. Dyson opened a fantastic new Research and Development Centre here in March. GIC made a huge investment in student accommodation in the UK. Trade Minister Lim Hng Kiang and International Trade Secretary Liam Fox signed a revised Economic and Business Partnership in February. The Scottish Secretary, David Mundell, promoted great Scottish food and beverages.

Deputy Prime Minister Tharman was in London in January and returns this month And in May Senior Minister of State Sim Ann took part in the meeting of Commonwealth Trade Ministers. And on almost a weekly basis, officials are travelling in one direction or the other as the network of cooperation thickens.

In science and research, Singapore has probably more collaborations with researchers in the UK than with any other country. Our first Science and Innovation Strategic Dialogue in January identified new areas for cooperation. The UK Government’s Chief Scientific Adviser has come to Singapore twice in the last year and in the last two weeks we have seen dozens of the UK’s top scientists here for the Commonwealth Science Conference and global gatherings of life scientists.

But this evening, we have chosen to celebrate great British design. You can hardly have missed the example of great industrial design from JCB over there. The cars on display from Jaguar Landrover are the last word in elegance and engineering. And around the house you will see examples of great British architectural design and an amazing virtual reality experience from Blippar in our Imagination Room. These reflect our uncanny ability to blend technology with creativity to make products that are useful and beautiful. Because it’s not Apple’s technology that sells. Anyone can do that. It’s Sir Jony Ive’s stunning designs.

Each year it is a pleasure for us to welcome so many friends and partners to the Queen’s Birthday Party. I want to thank you for the enormous contribution you make to enhancing links between Britain and Singapore and promoting UK interests here. Particular thanks are due to our colleagues at the British Chamber of Commerce for their tremendous work in supporting British business in Singapore. And I take this opportunity to recognise the work of Brigitte Holtschneider, who is stepping down after ten years as Chief Executive. At the British Club, Sean Boyle will also be leaving after several years as General Manager and it was my honour to be able to present him earlier this year with the British Empire Medal. The British Association too continues to do great work. And there’s one other group of special guests I would like to recognise this evening. Yesterday was the red carpet opening at Marina Bay Sands of the Downton Abbey Experience. An opportunity for you all to experience firsthand life at Downton Abbey. For the next few weeks you can walk through recreations of some of the rooms up and downstairs from the world famous TV series and then enjoy some great British produce in the special tearoom.

And joining us here tonight are some of Britain’s most distinguished actors from the cast: Jim Carter, Phyllis Logan, Laura Carmichael, Kevin Doyle, Michael Fox, and Sophie Shearer. You may know them better as Carson, Mrs Hughes, Lady Edith, Mr Mosely, Parker and Daisy. Thank you for joining us this evening.

Senior Minister of State, Mr Ang, Ms Chan, Maj Gen Ong, Excellencies, Ladies and Gentlemen, I would like to close by thanking the people who have worked so hard to prepare this evening’s event. First, our many very generous sponsors, they are listed in your programmes and I hope you are enjoying the delicious food and beverages that several of them are providing from England, Northern Ireland, Scotland and Wales.

The Gurkha Pipes and Drums, and the Singapore National Cadet Corps Command Band. The Corps of Drums of the 1st Battalion Welsh Guards. Niall McWilliam, some of whose paintings are displayed around the house. I want to thank my colleagues at the High Commission and the British Council and above all, thanks to all of your for helping us to celebrate Her Majesty’s 91st Birthday this evening. Finally, thank you to Ms Joanna Paul who will now perform the National Anthem of the Republic of Singapore and shortly thereafter of the United Kingdom.

View photos from the event here.

Jun242017

2 pandas to leave for Germany for 15-year research

East Asia

Photo taken on May 3, 2017 shows giant panda “Meng Meng” at the Chengdu Research Base of Giant Panda Breeding in Chengdu, capital of southwest China’s Sichuan Province. Giant pandas “Meng Meng” and “Jiao Qing” took a chartered flight on June 24 from Chengdu to settle in their new home at the Berlin Zoo in Berlin, Germany, on a 15-year research mission. “Meng Meng”, a female, is four years old, and “Jiao Qing” is a seven-year-old male. (Xinhua)

Giant pandas Meng Meng and Jiao Qing will take a chartered flight from Chengdu Saturday to settle in their new home in Berlin Zoo, Germany, on a 15-year research mission.

The furry ambassadors will be accompanied by two Chinese keepers, Berlin Zoo’s senior vet, 1,000 kilograms of bamboo and a large number of biscuits.

Meng Meng, a female, is four years old, and loves being on camera and sleeping, while Jiao Qing is a seven-year-old male, who is very active and loves physical activity.

They were both born at Chengdu Research Base of Giant Panda Breeding. Berlin Zoo has been preparing for their arrival since October.

“We have built new enclosures in an area of 5,500 square meters, neighboring the oldest enclosures, built for antelopes and giraffes in 1871,” said Andreas Ochs, a senior veterinarian at the zoo.

Berlin weather is more agreeable than in Chengdu, so the pandas can stay outside for the whole year, according to Ochs.

The zoo has planned a 1,000 square-meter outside enclosure for each panda and a 250 square-meter inside area, as well as room for treatment, storing bamboo and quarantine.

To better host the bears, the zoo has sent a team to China to learn specific skills to care for them.

“We have learned to design enclosures for keeping the bears and how to go into the cage and remove the baby bear for nursing and to return it to the mother again once the couple give birth,” Ochs said.

China has gifted three pandas to Germany since the early 1980s. Bao Bao and Tian Tian were the first panda couple in Berlin Zoo, though Tian Tian died in 1982.

Bao Bao remained alone until Yan Yan was loaned to the zoo in 1995 to breed. However, breeding attempts were unsuccessful despite trying artificial insemination seven times.

Thirty-four-year-old Bao Bao died in Berlin in 2012, as the oldest male panda in the world.

“Jiao Qing is grown-up now and Meng Meng will be ready to mate in two years. We expect to see their baby born in Berlin,” said Yin Hong, Meng Meng’s keeper in Chengdu.

China Wildlife Conservation Association and Berlin Zoo signed a 15-year contract in April. The research team at Chengdu Base singled the panda pair out based on their health, age and hereditary genes, said Yin.

This year marks the 45th anniversary of the establishment of diplomatic relations between China and Germany.

“They are envoys for China-Germany friendship. All the people in Berlin are looking forward to seeing this pair of pandas soon,” Ochs said.

Jun242017

16 arrested for illegally selling Apple user data in China

East Asia

Chinese police have arrested 16 employees or former employees of an Apple contractor for selling the personal information of iPhone users.

In January, police in Cangnan county of eastern China’s Zhejiang Province suspected several employees or former employees of an Apple distributor and a contractor of stealing user data, the county procuratorate said in a statement Friday.

In May, police caught 22 people, 20 of whom worked for the two companies, from Guangdong, Jiangsu and Fujian provinces.

So far, sixteen have been arrested and four remain under investigation.

Fifteen of those arrested work for Guangzhou Telecom Yingke Company, a contractor which provides consulting and after-sales service for Apple.

Prosecutors said that starting from August 2013, the chief suspects Yang, Li and Gan, used their internal system to illegally check personal information of iPhone users.

They illegally obtained names, telephone numbers, email accounts and addresses of Apple customers.

In July, 2014, they were fired by the company, but continued to collude with company staff to steal information until August 2016

Each item of information was sold at 10 to 180 yuan (US$26.24).

Preliminary investigation showed that they made about 50 million yuan (about US$7.35 million) of illegal profit.