We may have been in Easter recess the past couple of weeks, but on both sides of the party divide, there were those who did not get a rest from politics.
MP William Wragg undoubtedly had a dysfunctional week as the man at the centre of the Westminster honeytrap scandal.
He resigned the Conservative party whip as some colleagues looked on with a mixture of bemusement and anger at Number 10’s handling of the whole sorry affair.
Meanwhile, on the Labour side, deputy leader Angela Rayner can’t seem to shake off or shut down the persistent questions about whether she paid the right amount of tax when she sold her council house nearly a decade ago.
She insists she has done nothing wrong while there are Conservatives looking to weaponise the issue in this election year – with at least one local Tory councillor and other protesters this week hounding her on a visit to Teesside, with banners dubbing her a “tax dodger”‘ in the hope it will stick.
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This week in Electoral Dysfunction, Jess, Ruth and I chew over both the substance and the politics of these difficult situations and ask whether Number 10 and Labour are making tricky issues better or worse.
Instead, ministers were dispatched to defend the MP as ”courageous”, while it was Mr Wragg himself who decided to give up the Tory whip his week. He is now sitting as an independent MP.
“Madness [to send pictures and give out personal details] and yet our leadership decided to defend him,” one former cabinet minister texted this week. “If it wasn’t so stupid. It would be genuinely funny. The script of the Thick Of It. A few of us messaged centre at weekend to say WTF. His resignation was inevitable.”
Ruth agrees, and says – while she has sympathy for Mr Wragg being in this “horrible situation” – that he is “somebody in an important job who has responsibilities” to the place he works and people with whom he works.
“The idea you throw all of that out of the window for a quick shag or to exchange a pic is so wilfully irresponsible that actually I don’t think [much of] the level of understanding, or acceptance or excuse that the government made on his behalf.
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11:56
Sexting MP ‘right to quit’
“I think it’s bad judgement and I think this is another one where you look at the judgement of the prime minister and go, you know this, this doesn’t fly.”
But aside from questions about the political handling from the centre – and there are issues around safeguarding a vulnerable MP, which I talk about in the pod – there are also wider questions, again, around MPs’ security in a world where contacts count and phone numbers are currency.
“People give numbers out all the time. Having people’s phone numbers is a massive currency in Westminster,” explains Jess, who points out that MPs are using personal phones in parliament.
“The trouble is that I think people think we have parliamentary phones but it’s just my personal phone, so they don’t own it. I’m way more careful about my parliamentary computer and the iPad they gave me.
“So I imagine what will come out of this is probably that we all have to have parliamentary-issued phones that are locked down by the security services. I imagine that’s where it’s going.”
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2:31
Starmer: Rayner tax story is ‘smear’
With a sex scandal engulfing the Conservatives once more, on the other side of the political divide, Ms Rayner is struggling to put to bed questions over whether she paid the right amount of tax when she sold her council house nearly a decade ago, before she became an MP.
Neither Ruth, Jess nor I think the story is getting much cut through, largely because of the complexity of it all, but that isn’t stopping the Conservatives pursuing Ms Rayner with real ferocity.
Ruth thinks the Tories are going in hard for a number of reasons.
First, she thinks Labour “hasn’t had this level of scrutiny for a long time”, so this is an opportunity for the party machine to “try to flex its muscles”. Second, Ms Rayner has been used as “an attack dog” for the party on these issues so “what’s good for the goose is good for the gander”.
She also argues that “there is a purpose to man-mark her off the pitch”, but it won’t change the public’s view of Ms Rayner: “She’ll be a Marmite politician for the whole of her career because of the strength of her character. The people who love her will love her and the people who can’t stand her will turn the TV off when she comes on.”
Jess concedes the issue is hurting Ms Rayner but thinks she will ride it out and believes there’s a risk that “if it starts to look like the Conservatives are picking on her, it has a counter effect”.
Electoral Dysfunction
Listen to Beth Rigby, Jess Phillips and Ruth Davidson as they unravel the spin in a new weekly podcast from Sky News
But, in a similar way to the Beergate story that hounded Sir Keir and Ms Rayner during 2021 – they were accused, and cleared, of breaking lockdown rules in Durham – the Conservatives show little sign of letting go of Ms Rayner or her tax affairs until they have wrung every single drop out of it.
And if, in an election year, they can try to make “tax dodger” land – or at least disrupt her campaigning – Conservative campaign headquarters will chalk it up as a win.
So while the hope from Ms Rayner’s and Sir Keir’s respective offices is that the story will burn itself out, it may be that Ms Rayner, in the end, has to do more to put it properly to bed: on that, all three of us agree.
The combination of full prisons and tight public finances has forced the government to urgently rethink its approach.
Top of the agenda for an overhaul are short sentences, which look set to give way to more community rehabilitation.
The cost argument is clear – prison is expensive. It’s around £60,000 per person per year compared to community sentences at roughly £4,500 a year.
But it’s not just saving money that is driving the change.
Research shows short custodial terms, especially for first-time offenders, can do more harm than good, compounding criminal behaviour rather than acting as a deterrent.
Image: Charlie describes herself as a former ‘junkie shoplifter’
This is certainly the case for Charlie, who describes herself as a former “junkie, shoplifter from Leeds” and spoke to Sky News at Preston probation centre.
She was first sent down as a teenager and has been in and out of prison ever since. She says her experience behind bars exacerbated her drug use.
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Image: Charlie in February 2023
“In prison, I would never get clean. It’s easy, to be honest, I used to take them in myself,” she says. “I was just in a cycle of getting released, homeless, and going straight back into trap houses, drug houses, and that cycle needs to be broken.”
Eventually, she turned her life around after a court offered her drug treatment at a rehab facility.
She says that after decades of addiction and criminality, one judge’s decision was the turning point.
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“That was the moment that changed my life and I just want more judges to give more people that chance.”
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0:22
How to watch Sophy Ridge’s special programme live from Preston Prison
Also at Preston probation centre, but on the other side of the process, is probation officer Bex, who is also sceptical about short sentences.
“They disrupt people’s lives,” she says. “So, people might lose housing because they’ve gone to prison… they come out homeless and may return to drug use and reoffending.”
Image: Bex works with offenders to turn their lives around
Bex has seen first-hand the value of alternative routes out of crime.
“A lot of the people we work with have had really disjointed lives. It takes a long time for them to trust someone, and there’s some really brilliant work that goes on every single day here that changes lives.”
It’s people like Bex and Charlie, and places like Preston probation centre, that are at the heart of the government’s change in direction.
“As far as I’m concerned, there’s only three ways to spend the taxpayers’ hard-earned when it comes to prisons. More walls, more bars and more guards.”
Prison reform is one of the hardest sells in government.
Hospitals, schools, defence – these are all things you would put on an election leaflet.
Even the less glamorous end of the spectrum – potholes and bin collections – are vote winners.
But prisons? Let’s face it, the governor’s quote from the Shawshank Redemption reflects public polling pretty accurately.
It’s a phrase that is frequently used so carelessly that it’s been diluted into cliche. But in this instance, it is absolutely correct.
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Without some kind of intervention, the prison system is at breaking point.
It will break.
Inside Preston Prison
Ahead of the government’s Sentencing Review, expected to recommend more non-custodial sentences, I’ve been talking to staff and inmates at Preston Prison, a Category B men’s prison originally built in 1790.
Overcrowding is at 156% here, according to the Howard League.
Image: Sophy Ridge talking outside Preston Prison
One prisoner I interviewed, in for burglary, was, until a few hours before, sharing his cell with his son.
It was his son’s first time in jail – but not his. He had been out of prison since he was a teenager. More than 30 years – in and out of prison.
His family didn’t like it, he said, and now he has, in his own words, dragged his son into it.
Sophie is a prison officer and one of those people who would be utterly brilliant doing absolutely anything, and is exactly the kind of person we should all want working in prisons.
She said the worst thing about the job is seeing young men, at 18, 19, in jail for the first time. Shellshocked. Mental health all over the place. Scared.
And then seeing them again a couple of years later.
And then again.
The same faces. The officers get to know them after a while, which in a way is nice but also terrible.
Image: Sophy Ridge talking to one of the officers who works within Preston Prison
The £18bn spectre of reoffending
We know the stats about reoffending, but it floored me how the system is failing. It’s the same people. Again and again.
The Sentencing Review, which we’re just days away from, will almost certainly recommend fewer people go to prison, introducing more non-custodial or community sentencing and scrapping short sentences that don’t rehabilitate but instead just start people off on the reoffending merry-go-round, like some kind of sick ride.
But they’ll do it on the grounds of cost (reoffending costs £18bn a year, a prison place costs £60,000 a year, community sentences around £4,500 per person).
They’ll do it because prisons are full (one of Keir Starmer’s first acts was being forced to let prisoners out early because there was no space).
If the government wants to be brave, however, it should do it on the grounds of reform, because prison is not working and because there must be a better way.
Image: Inside Preston Prison, Sky News saw first-hand a system truly at breaking point
A cold, hard look
I’ve visited prisons before, as part of my job, but this was different.
Before it felt like a PR exercise, I was taken to one room in a pristine modern prison where prisoners were learning rehabilitation skills.
This time, I felt like I really got under the skin of Preston Prison.
It’s important to say that this is a good prison, run by a thoughtful governor with staff that truly care.
But it’s still bloody hard.
“You have to be able to switch off,” one officer told me, “Because the things you see….”
Staff are stretched and many are inexperienced because of high turnover.
After a while, I understood something that had been nagging me. Why have I been given this access? Why are people being so open with me? This isn’t what usually happens with prisons and journalists.
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1:10
Probation centres answer to UK crime?
That’s when I understood.
They want people to know. They want people to know that yes, they do an incredible job and prisons aren’t perfect, but they’re not as bad as you think.
But that’s despite the government, not because of it.
Sometimes the worst thing you can do on limited resources is to work so hard you push yourself to the brink, so the system itself doesn’t break, because then people think ‘well maybe we can continue like this after all… maybe it’s okay’.
But things aren’t okay. When people say the system is at breaking point – this time it isn’t a cliche.
Goldman Sachs-backed cryptocurrency custody firm BitGo is the latest cryptocurrency company to secure regulatory approval to operate across the European Union.
Germany’s financial regulator, the Federal Financial Supervisory Authority (BaFin), granted BitGo Europe a Markets in Crypto-Assets Regulation (MiCA) license to provide digital asset services in the EU, the firm announced on May 12.
The license allows BitGo to offer services to crypto-native firms and traditional finance institutions, including banks and asset managers within the EU.
“This license underscores our commitment to the highest standards of security, transparency, and trust,” BitGo Europe managing director Harald Patt said.
BitGo set up the EU headquarters in 2023
Founded in 2013 in Palo Alto, California, BitGo is a major platform in the cryptocurrency industry specializing in crypto custodial services, holding cryptocurrencies like Bitcoin (BTC) on behalf of its clients.
Since setting up BitGo Europe in Germany, BitGo has received multiple registrations in EU states, including Italy, Spain, Poland and Greece.
“With the MiCA license now secured, BitGo can operate across the entire EU under a unified, forward-looking regulatory framework,” the firm said in the announcement.
“Broad range of institutional-grade solutions”
BitGo did not specify the services it intends to roll out immediately under the new MiCA license.
“BitGo’s MiCA licence comes at a pivotal moment as BitGo expands its product suite to offer a broad range of institutional-grade digital asset solutions,” the announcement added.