John McDonnell demands end to austerity in the Budget
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John McDonnell MP, Labour’s Shadow Chancellor has
challenged Philip Hammond to deliver a budget to end austerity,
rather than planning “financial conjuring tricks”to kid people
that the cuts are over. McDonnell will use a pre-budget
speech tomorrow (Thursday) to set out Labour’s key
demands for the Budget, calling on the Chancellor to
acknowledge the “scale of the hardship 8 years of Tory austerity
has inflicted on our...Request free
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John McDonnell MP, Labour’s Shadow
Chancellor has challenged Philip Hammond to deliver a budget to end
austerity, rather than planning “financial conjuring
tricks”to kid people that the cuts are over.
McDonnell will use a pre-budget speech tomorrow (Thursday)
to set out Labour’s key demands for the
Budget, calling on the Chancellor to acknowledge the
“scale of the hardship 8 years of Tory austerity has inflicted on
our people and our communities”.
The Shadow Chancellor will step up his challenge
to Philip Hammond over Theresa May’s claim to be ending
austerity. In his speech to representatives of
businesses, trade unions and
charities, John McDonnell will call on Hammond to
take “large scale action in this budget to end austerity,
not present some vague promises for the future or a
few financial conjuring tricks”. Labour is also publishing
a dossier setting out the extent and impact of Tory cuts on
people across the country; and what it would take for the
Tories to truly “end austerity”.
Setting out Labour’s Budget demands, John McDonnell MP, Labour’s Shadow Chancellor, is expected to say: “In her party conference speech, Theresa May announced the end of austerity. This budget will demonstrate whether or not she is true to her word. “First, there needs to be an acknowledgement of the scale of the hardship eight years of Tory austerity has inflicted on our people and our communities.
“There are already warnings that the NHS
is facing a winter crisis even more severe
than last year, which was the worst on record.
“75 per cent of post-2015 cuts to social security
are yet to come and Universal Credit roll
out risks leaving the poorest families £200 a month
worse off.
“Our social care system is facing a £2.5 billion
funding gap, with over one million elderly people not
getting the care they need.
“School funding cuts have resulted in Headteachers sending out
begging letters to parents.
“And in an unprecedented move, the UN has condemned
the Government for its systematic abuse of the human
rights of disabled people.
“Second, we need to see large scale action in this budget to
end austerity, not some vague promises for the future or a few
financial conjuring tricks.
“Stopping and reversing some of the tax cuts to the rich
and corporations would go some way in ending austerity.
“The Tories have botched the Brexit negotiations and as a
result are making matters even worse, putting jobs and the
economy at risk. Vague promises of some Brexit bonus are
increasingly seen as implausible .
“Our schools, councils and social care system are crying out
for investment. If austerity is really over, it is time for
Phillip Hammond to stump up the cash.
“Third, the Tories must admit their austerity
strategy over the last eight years has failed.
“Deficit reduction has only been achieved by shifting
the burden away from central government and onto the
shoulders of Head teachers, hospital managers and local
councillors.
“Employment growth has been based on low paid, insecure, zero
hour contracts.
“The Tory strategy has created a low wage, low investment and
low productivity economy unfit to meet the two key challenges
of our era, the need for a
fourth industrial revolution and climate
change.
“Change is needed and change is coming.”
Ends
Notes to Editors:
- Its
findings include:
o The NHS has experienced the slowest spending
growth in its history
o Cuts to adult social care are expected to
reach £7 billion by the end of 2018/19
o Direct funding for councils will see a cut
of £5.8 billion between 2010 and 2020
o School budgets are seeing cuts for the first
time in 20 years
o Spending on social security for pensioners
fell as a proportion of national income from 6.6% in 2012/13 to
5.9% this year. For working-age and children, it has fallen
from 5.5% to 4.7%.
o People are £800 worse off than they were a
decade ago
o The Tories will have handed out £110bn in
tax giveaways by the end of this Parliament
- The
dossier makes the following assessment of what is needed
to end austerity:
§ £19bn just to stop further cuts to departmental
spend; £42bn to reverse the cuts since 2010
§ £7bn just to stop further social security cuts; an
additional £17bn to undo cuts since 2010
§ £1.5bn by 2020 just to fill the funding gap in
social care; it will take £8bn to reverse the cuts since 2010
§ £1bn to stop further cuts to per pupil school
funding; more than £3bn to reverse the cuts to further and
adult education since 2010; more than £1bn to reverse the cuts
to Sure Start
§ £1.3bn to stop further cuts to local councils next
year; £3.9bn to fill their funding gap in 2020
§ More than £3.5bn to reverse cuts to affordable
housing grants
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