Unite responds to Reeves' budget

Unite has responded to the Labour Government’s budget today (30 October) and welcomed changes to fiscal rules and increased funding for the NHS, but called for “concrete plans” and a timeline. 

Unite also expressed disappointment that the government continues to push ahead with plans for cuts to the Winter Fuel Allowance, and missed the opportunity to introduce a wealth tax. 

Unite general secretary Sharon Graham said: “The chancellor has inherited a broken economy that has suffocated our public services and led the UK to being the lowest investment economy in the G7. 

“Having demanded change to the fiscal rules and opposed any return to austerity, we welcome the government’s decision to loosen the borrowing straitjacket and commit substantial new money for our public services. 

“The government must now show the vision needed to use its increased borrowing power to invest immediately in our economic infrastructure to generate jobs. We will need concrete plans and a clear timeline for the fabled 650,000 green jobs. Workers in Grangemouth and the North Sea can’t afford to wait.

“While we welcome the chancellor’s intention to rule out austerity, the devil will be in the detail.”

Unite advocates the introduction of a wealth tax: a policy that has secured the support of both the Labour Party conference and the TUC Congress.

Sharon Graham also said: “The chancellor’s continued failure to ensure the super-rich pay their fair share is a misstep. The 50 richest families in Britain are worth £500 billion. A one per cent tax on the richest one per cent would create £25 billion. Black hole gone and vital money in to support and enhance the UK’s public services.

“It was disappointing that the decision to cut the winter fuel payment was not reversed. The government has tied itself in knots in picking the pockets of pensioners, cutting the winter fuel payment while the mega wealthy remain virtually untouched. That is unfair and simply wrong. This issue will not go away as winter approaches and Unite will be leading the challenge for it to be reversed.”

Regarding the increased funding to the NHS, Sharon Graham added: “The significant uplift in day-to-day spending for the NHS is much needed but the detail of how this will be spent is critical.

“We have a recruitment and retention crisis in the NHS with a shortage of over 100,000 staff. Scanners need people to use them.”

By Keith Hatch