MP, Labour’s Shadow
Chancellor is to deliver a speech marking the 10 Year anniversary
of the Lehman’s collapse, which triggered the worst
financial crisis since the Great Depression
will say that 10 Years On
from the crash, ordinary people are still paying the price for a
financial crisis they did not create, enduring cuts to
public services, wage stagnation and falling living standards.
The Shadow Chancellor will set out Labour’s plans to overhaul the
financial system and put finance to work for the real economy.
He is expected to say:
“Most now accept that the crash was caused by a combination
of greed and deregulation that turned the City into a
multibillion pound casino.
“The crash also exposed how far the balance in the role of the
City had been tipped away from securing long term investment in
our economy towards short term high stakes gambling.
“In addition to the need for greater regulation, one of the
key lessons to be learnt from the crash is that never again must
we allow finance to become the master of the economy, rather than
its servant.
“Labour in government will put finance to work for the real
economy.
“So today ten years on it is time we learnt the lessons of the
crash and introduce a Robin Hood Tax that will raise billions for
our public services as well as bring greater financial stability.
“We will overhaul a financial system that takes deposits from
manufacturing and technology industries, and lends them to fund
speculation in the real estate sector as it does today.
“Following the recommendations of the Turner Report, we will set
up a Strategic Investment Board, bringing together the Treasury,
the Bank of England and BEIS with business and trade union
leaders to secure and plan the long term patient investment
needed, especially to meet the challenges of the
4th industrial revolution.
“In this way we will restore balance to the role of finance in
our economy.”
Ends
Notes to editors:
- · The rally is being
organised by groups including Unite, The Robin Hood Tax Campaign,
Christian Aid, War on Want, and the Tax Justice Network, who are
working on a campaign to ‘Change Finance’.
-
· Location: City
of London - in front of the Royal Exchange (the large triangular
area of pavement opposite the main entrance of the Bank of
England) by Bank underground station.
-
· Time: 1200
– 1300, Saturday 15 September.
- · Labour is
committed to Scandinavia-style public reporting of personal
incomes over £1m, as a means of both reducing the scope for
avoidance, and building public support for our tax system.
- Labour will set up a £250bn National Investment Bank and
linked regional development banks, which will be charged with
delivering the long-term investment finance businesses across the
country need to succeed and grow.
- Following recommendations set out in the GFC Economics
‘Financing Investment’ report to the , Labour willconsult
on moving some functions of the Bank of England
to Birmingham, and increase its regional role, as means to
improve its contact and communications with the economy outside
of London and financial services. See recommendation in GFC
Economics interim report (December 2017): http://labour.org.uk/wp-content/uploads/2017/12/Financing-Investment-Interim-Report.pdf
