Starmer: Labour Government’s first Budget will invest in Britain’s future

  • Prime Minister will say government’s first Budget will fix the foundations to deliver on the promise of change.
  • Keir Starmer will reject austerity, chaos and decline in favour of economic stability, investment and reform.
  • He will pledge ‘better days are ahead’ with an economic plan that will rebuild Britain and deliver sustainable, long-term investment to put more money in people’s pockets and deliver stronger public services.

Prime Minister Keir Starmer will today (Monday 28 October) pledge that his government’s first Budget will put Britain on a new path, one that chooses long-term growth to put more money in working people’s pockets and rebuild public services instead of a return to austerity.

Setting out the defining and central purpose of the government’s agenda to protect working people from the dire inheritance, he will say: “It is working people who pay the price when their government fails to deliver economic stability.

“They’ve had enough of slow growth, stagnant living standards and crumbling public services. They know that austerity is no solution. And they’ve seen the chaos when politicians let borrowing get out of control.

“We choose a different path: honest, responsible, long-term decisions in the interests of working people. It’s stability that means we can invest, and reform that will maximise that investment. 

“Stability, investment, reform. That’s how we fix the NHS, rebuild Britain and protect working people’s payslips. Delivering on the mandate of change.”

The Prime Minister will say that the country faces unprecedented challenges after the last government covered up the state of the public finances and crumbling public services:

We have to be realistic about where we are as a country. This is not 1997, when the economy was decent but public services were on their knees. And it’s not 2010, where public services were strong, but the public finances were weak. These are unprecedented circumstances. 

“And that’s before we even get to the long-term challenges ignored for fourteen years. An economy riddled with weakness on productivity and investment. A state that needs urgent modernisation to face down the challenge of a volatile world. 

“But I won’t offer it as an excuse. I expect to be judged on my ability to deal with this. Politics is always a choice. It’s time to choose a clear path, and embrace the harsh light of fiscal reality so we can come together behind a credible, long-term plan.

“It’s time we ran towards the tough decisions, because ignoring them set us on the path of decline. It’s time we ignored the populist chorus of easy answers… we’re never going back to that.” 

Setting out his economic plan to drive growth across the country, the Prime Minister will say fixing the foundations through stability and investment brings benefits to everyone: 

“If people want to criticise the path we choose, that’s their prerogative. But let them then spell out a different direction. If they think the state has grown too big, let them tell working people which public services they would cut.

“If they don’t see our long-term investment in infrastructure as necessary, let them explain to working people how they would grow the economy for them.

“This is an economic plan that will change the long-term trajectory on British growth for the better. 

“We are tackling the biggest challenges in our economy. Higher investment – we’re dealing with it. Planning – we’re reforming it. The labour market – we’re getting people back to work, but also making work pay. On competition, we’re stripping out the needless regulation that holds back growth and private investment. And all of this built on that foundation, economic stability. 

“This is what fixing the foundations and delivering change means. Everyone in this country will benefit from this. Everyone can wake up on Thursday and understand that a new future is being built, a better future.”

Give Us A Chance!

TORY MSP MILES BRIGGS SUPPORTS SCOTTISH DISABILITY CHARITY’S CAMPAIGN TO PROTECT DISABLED PEOPLE FROM FUNDING CUTS

Miles Briggs is offering his full support to Spina Bifida Hydrocephalus (SBH) Scotland’s ‘Give us a chance’ campaign. The charity’s campaign comes as the Scottish Government announced £500m of cuts to public services and warned of further “difficult decisions” ahead in next year’s Scottish Budget.

Miles met with SBH Scotland CEO Lawrence Cowan, Chair Dr Margo Whiteford CBE and Amjid Majeed, who has spina bifida and receives support from SBH Scotland, to learn more about the charity’s campaign.

The ‘Give us a chance’ campaign calls on people to sign a letter to the First Minister, demanding that he protect disabled people from future cuts. The campaign also calls on the Scottish Government to release funding to protect the work of disability charities and to make the needs of disabled people across Scotland a priority.

SBH Scotland, which supports people with spina bifida and hydrocephalus across Scotland, is facing a 22% cut to support from Scottish Government this year – a total cut of 42% since 2018.

Half of all people in poverty live in a household where at least one member is disabled. Scottish Government figures show that disabled people are over twice as likely to experience loneliness compared to non-disabled people. They are also less likely to meet socially than non-disabled people.

Miles Briggs, MSP for Lothian, said: “I give my full support to SBH Scotland’s ‘Give us a chance’ campaign.

“The needs of disabled people in Scotland should be a priority for the Scottish Government and it is crucial that they protect disabled people from future cuts.

“It is important that the vital services that the most vulnerable in our society rely on are protected at all costs.

“I call on the First Minister John Swinney and Cabinet Secretary Shona Robison to properly invest in services to enable disabled people to thrive and lead full lives.”

Spina Bifida Hydrocephalus (SBH) Scotland CEO, Lawrence Cowan said: “The Scottish Government’s talk of further ‘difficult decisions’ ahead is incredibly concerning. 

“We did not receive a commitment this week to protect people with disabilities from budget cuts. We will be seeking that commitment as we head into the Budget. 

“People we work with say that they already have to constantly fight for basic support. 

“If those services are worn away even further, we will see greater inequality and more injustices experienced by disabled people. We cannot let that happen. 

“We also urgently need clarity on the future of funding for charities like ours. We’re facing a 22% cut in Scottish Government funding this year – a total cut of 42% since 2018. If that money doesn’t come through, we won’t be able to reach people who desperately need help right now. 

“We are delighted to have the support of Miles Briggs as we ask the Scottish Government, on behalf of families across the country, to ‘give us a chance’.

“Give disabled kids a chance to fulfil their potential and follow their dreams and give our disabled adults a chance to live life to the full.”

 Amjid Majeed said: “It is a sad day when we have to campaign to make sure those who need the most help are given the care and support they desperately need!

“SBH Scotland is a lifeline for so many people living with spina bifida and hydrocephalus.

“I personally can feel very lonely and isolated and rely on the groups provided by the charity as a chance to socialise, going out and meeting with the good friends I’ve made there.

“Charities can’t survive without funding, and I’d be devastated to think that the services SBH Scotland provides could be reduced or taken away because of these cuts.”

Sign SBH Scotland’s open letter: www.sbhscotland.org.uk/give-us-a-chance

THE LETTER READS:

Dear First Minister,

We are urging you to make sure that disabled people are protected from future cuts.

We and our loved ones are more reliant on good quality public services to live. Many of these services are already feeling the strain and further cuts could be devastating. 

Half of all households living in poverty have at least one member with a disability. Disabled people are over twice as likely to experience loneliness compared to non-disabled people.

Charities like SBH Scotland give us a place to belong, to meet people who are going through the same things and for kids with spina bifida and hydrocephalus to have fun and just be kids. They are facing a 22% cut in funding from your government this year unless further funds are confirmed. We need the work of this charity more than ever.

We cannot let these inequalities become further entrenched. Please, protect disabled people from cuts and release funding for vital charities like SBH Scotland.

We all have so much to give our society and our economy. Give us a chance.  With your support we can be unstoppable.

Yours Sincerely,

Lawrence Cowan, CEO SBH Scotland

Elenor Leckie, Parent

Starmer: Fixing the Foundations? Or AUSTERITY 2 – the sequel?

Prime Minister Keir Starmer delivered a speech in the Downing Street garden today on fixing the foundations of our country

When I stood on the steps of Downing Street – just over there – two months ago. I promised this government would serve people like you. 

Apprentices. Teachers. Nurses. Small business owners. Firefighters. Those serving our community and our country every day. 

I promised that we would get a grip on the problems we face. And that we would be judged by our actions, not by our words. 

I said before the election – and I say it again really clearly today: Growth.

And, frankly, by that I do mean wealth creation…

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is the number one priority of this government.

That’s why, in our first few weeks, we set up the National Wealth Fund –

because we want every person and every community to benefit. 

It’s why we’ve unlocked planning decisions –

Because we are going to build 1.5 million new homes. 

It’s why we’ve set up Great British Energy – 

To create good jobs and cut people’s bills. 

And it’s why we ended the national strikes that have crippled our country for years. 

Because I defy anyone to tell me that you can grow the economy…

when people can’t get to work – because the transport system is broken.

Or can’t return to work – because they’re stuck on an NHS waiting list.

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And these are just the first steps towards the change that people voted for. 

The change I’m determined to deliver. 

But before the election I also gave a warning.

I said change would not happen overnight. 

When there is deep rot in the heart of a structure, you can’t just cover it up.

You can’t tinker with it or rely on quick fixes. 

You have to overhaul the entire thing. 

Tackle it at root. 

Even if it’s harder work and takes more time. 

Because otherwise what happens?

The rot returns.

In all the same places.

And it spreads. 

Worse than before. 

You know that – I know that. 

That’s why this project has always been about fixing the foundations of this country. 

But I have to be honest with you. Things are worse than we ever imagined. 

In the first few weeks, we discovered a £22 billion black hole in the public finances. 

And before anyone says ‘oh this is just performative’.

Or ‘playing politics’.

Let’s remember.

The OBR did not know about this.

They didn’t know.

They wrote a letter saying they didn’t know.

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Even just last Wednesday, we found out that

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We borrowed almost £5 billion more than the OBR expected in the last three months alone.

That’s not performative – that’s fact. 

But as well as the things we’ve discovered, we’ve also seen shocking scenes across the nation. 

A mindless minority of thugs – who thought they could get away with causing chaos. 

Smashing up communities and terrifying minorities. 

Vandalising and destroying people’s property. 

Even trying to set fire to a building – with human beings inside it. 

And as if that wasn’t despicable enough. 

People displaying swastika tattoos.

Shouting racist slurs on our streets. 

Nazi salutes at the cenotaph –

The cenotaph – the very place we honour those who gave their lives for this country. 

Desecrating their memory….

Under the pretence – and it is a pretence – of ‘legitimate protest’.

Now they’re learning that crime has consequences. 

That I won’t tolerate a break down in law and order under any circumstances. 

And I will not listen to those who exploit grieving families, and disrespect local communities.

But these riots didn’t happen in a vacuum. They exposed the state of our country. Revealed a deeply unhealthy society. The cracks in our foundation laid bare – 

Weakened by a decade of division and decline.

Infected by a spiral of populism…

Which fed off cycles of failures

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Stuck in the rut of the politics of performance. 

And I saw the beginning of that downward spiral firsthand.

Back in 2011.

When riots ripped through London and across the country. 

I was then Director of Public Prosecutions. 

And when I think back to that time.

I see just how far we have fallen. 

Because responding to those riots was hard – of course it was.

But dealing with the riots this summer was much harder. 

In 2011, I didn’t doubt the courts could do what they needed to do.

This time – to be honest with you – I genuinely didn’t know.

Let me tell you this. Every day of that disorder – literally every day – we had to check the precise number of prison places we had and where those places were.

To make sure we could arrest, charge and prosecute people quickly. 

Not having enough prison places is about as fundamental a failure as you can get. 

And those people throwing rocks, torching cars, making threats.

They didn’t just know the system was broken.

They were betting on it.

Gaming it.

They thought – ‘ah, they’ll never arrest me.

And if they do, I won’t be prosecuted.

And if I am, I won’t get much of a sentence.’

They saw the cracks in our society after 14 years of populism and failure – and they exploited them. 

That’s what we have inherited.

Not just an economic black hole.

A societal black hole. 

And that’s we have to take action and do things differently.

And part of that is being honest with people – about the choices we face. And How tough this will be. And frankly – things will get worse before they get better.

I didn’t want to release prisoners early. 

I was Chief Prosecutor for five years. 

It goes against the grain of everything I’ve ever done. 

But to be blunt – if we hadn’t taken that difficult decision immediately.

We wouldn’t have been able to respond to the riots as we did. 

And if we don’t take tough action across the board. We won’t be able to fix the foundations of the country as we need. 

I didn’t want to means test the Winter Fuel Payment. But it was a choice we had to make. 

A choice to protect the most vulnerable pensioners. while doing what is necessary to repair the public finances. 

Because pensioners also rely on a functioning NHS.

Good public transport.

Strong national infrastructure. 

They want their children to be able to buy homes.

They want their grandchildren to get a good education.

So we have made that difficult decision –

To mend the public finances.

So everyone benefits in the long term –

Including pensioners. 

Now that is a difficult trade off. 

And there will be more to come. 

I won’t shy away from making unpopular decisions now…

If it’s the right thing for the country in the long term. 

That’s what a government of service means. 

This shouldn’t be a country where people fear walking down their street.

Their TVs showing cars and buildings being set on fire.

This shouldn’t be a country where the Prime Minister can’t guarantee prison places.

This shouldn’t be a country where people are paying thousands more on their mortgage. 

Or waiting months for hospital appointments they desperately need. 

Where our waters are filled with sewage.

Where parents worry that their kids won’t get the opportunities they did. 

Where nothing seems to work anymore. 

So, when I talk about the inheritance the last government left us…

The £22 billion black hole in our finances…

This isn’t about a line on a graph.

That’s about people’s lives. 

Your lives.

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This government won’t always be perfect, but I promise you this:

You will be at the heart of it…

In the forefront of our minds…

At the centre of everything we do.  

That’s why I wanted to invite you here today.

To show that decent, hard-working people who make up the backbone of this country belong here. 

This government is for you.

A garden and a building that were once used for lockdown parties…

Remember the pictures just over there? With the wine and the food.

Well this garden…

And this building…

are now back in your service.

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Those things happened precisely because the government itself lost its focus.

on the hopes and ambitions of working people. 

During those recent riots, I made huge asks…

of the police and of the criminal justice system –

People already stretched to the limit.

They knew I was making big asks of them.

And I’m not going to apologise for it.

But let me tell you this – they delivered.

They deserve our gratitude.

And that’s why I went to Southport…

To Lambeth…

To Belfast…

To thank them personally. To shake the hands of the first responders who rose up to the ask I made of them.

They deserve a government that trusts them.

Supports them.

And works with them. 

That is the sort of government we will be.

One that works with people, not does things to them. 

One that believes in hard graft, not gimmicks.

Honest about the challenges we face…

And working tirelessly to fix them. 

That is how we will always work. 

Now, next week, parliament returns. The business of politics will resume. But it won’t be business as usual.

Because we can’t go on like this anymore. Things will have to be done differently. 

We will do the hard work to root out 14 years of rot. Reverse a decade of decline. And fix the foundations. 

Between now and Christmas, we will carry on as we have started. Action not words.

We will introduce legislation and take decisions to protect taxpayers’ money.

To take on the blockers by accelerating planning. to build homes and boost growth.

We’ll move forward this autumn with harnessing the full potential of AI for growth and the public good.  

We’ll bring rail service into public ownership, putting passengers first. 

The biggest levelling up of workers’ rights in a generation to give people security, dignity and respect at work.

And Great British Energy will be owned by the taxpayer, making money for the taxpayer. Producing clean energy and creating good jobs. 

That is our focus for the rest of the year. 

But I will be honest with you. There’s a budget coming in October. and it’s going to be painful.

We have no other choice given the situation that we’re in. So those with the broadest shoulders should bear the heavier burden. And that’s why we’re cracking down on non-doms.

Those who made the mess should have to do their bit to clean it up. That’s why we’re strengthening the powers of the water regulator and backing tough fines on water companies that have let sewage flood our rivers, lakes and seas. 

But just as when I responded to the riots – I’ll have to turn to the country and make big asks of you as well.

To accept short term pain for long term good.

The difficult trade-off for the genuine solution.

And I know that after all that you’ve been through – that is a really big ask and really difficult to hear. 

That is not the position we should be in. It’s not the position I want to be in. But we have to end the politics of the easy answer that solves nothing. 

But I also know that we can get through this together. 

Because the riots didn’t just betray the sickness. They also revealed the cure.

Found not in the cynical conflict of populism. But in the coming together of a country.

The people who got together the morning after. All around the country. With their brooms, their shovels, their trowels. And cleared up their community.

They reminded us who we really are. 

I felt real pride in those people who cleaned up the streets.

Rebuilt the walls. Repaired the damage.

And I couldn’t help thinking about the obvious parallels. 

Because imagine the pride we will feel as a nation.

When, after the hard work of clearing up the mess is done.

We have a country that we have built together. 

Built to last.

That belongs to every single one of us. 

And all of us have a stake in it.

Our hard work rewarded – a dozen times over. 

Because we’ll have an economy that works for everyone. 

An NHS not just back on its feet, but fit for the future. 

Streets that everyone feels safe in. 

No longer dependent on foreign dictators…because we’re producing our own clean energy right here.

And giving every child – wherever they come from. Whatever their background.The chance – to go as far as their talent will take them. 

I won’t lose sight of that prize. I won’t lose sight of what we were elected to do. 

And most importantly – I won’t lose sight of the people that we were elected to do it for. 

You.

This is our country. Let’s fix it – together.

From austerity to crisis: Covid-19 Inquiry highlights UK’s pre-pandemic weaknesses, says TUC

Just three days short of its second anniversary, the Covid-19 Public Inquiry published the report from the Module One investigation into the resilience and preparedness of the United Kingdom (writes TUC’s NATHAN OSWIN).

The report highlights the devastating consequences of austerity in the decade that preceded the pandemic and the risk of vulnerability in the UK population.

The Impact of austerity on public services

Inquiry Chair, Baroness Hallett, states plainly that, “In short, the UK entered the pandemic with its public services depleted, health improvement stalled, health inequalities increased, and health among the poorest people in a state of decline.” This blunt assessment underscores the critical condition of the nation’s public services as they faced the unprecedented challenges of the Covid-19 pandemic.

The role of the TUC and evidence from frontline workers

As Core Participants in the Inquiry, the TUC played an integral role in the process, working with our unions to provide the evidence that ten years of under-investment and real terms funding cuts to public service in the run up to the Inquiry left key services struggling to cope.

“Public services, particularly health and social care, were running close to, if not beyond, capacity in normal times” the report states, a statement that doctors, nurses, porters and social care workers have been telling us all. 

The Inquiry also heard that “there were severe staff shortages and that a significant amount of the hospital infrastructure was not fit for purpose. England’s social care sector faced similar issues. This combination of factors had a directly negative impact on infection control measures and on the ability of the NHS and the care sector to ‘surge up’ during a pandemic.”

A call to avoid past mistakes

The report is both a damning indictment and a call to never repeat the mistakes of that decade – a desperate reminder of the need to invest in our public services.

And while the report is not naive about the costs needed to make the UK more resilient ahead of the next pandemic – a matter of when not if – it reaches  the conclusion that “the massive financial, economic and human cost of the Covid-19 pandemic is proof that, in the area of preparedness and resilience, money spent on systems for our protection will be vastly outweighed by the cost of not doing so”.

Addressing health inequalities

What’s more, the Inquiry is crystal clear as to the price we pay for inequality across our communities. It notes that at the outset of the pandemic, the UK had “substantial systematic health inequalities by socio-economic status, ethnicity, area-level deprivation, region, social excluded minority groups and inclusion health groups”.

And Baroness Hallett’s report correctly states that these inequalities weakened the ability of the UK to cope, stating that “resilience depends on having a resilient population. The existence and persistence of vulnerability in the population is a long-term risk to the UK.’ 

Recommendations for the future

The recommendations themselves speak of the need to engage with wider society for planning on how we handle a crisis and to take into account the “capacity and capabilities of the UK”. 

No one knows the capacity and capabilities of our public services better than the staff that deliver them and the TUC and its affiliated unions stand ready to assist the government in this vital work.

Conclusion: Building a resilient future together

It is by working in partnership – with proper resources going into our public services – that we can truly learn the lessons this report sets out and secure the resilience and preparedness that the UK needs for a future full of challenges.

Governments ‘failed citizens’ with flawed pandemic planning

Inquiry publishes first report and 10 recommendations focused on pandemic resilience and preparedness

The Chair of the UK Covid-19 Inquiry, Baroness Heather Hallett, is urging the new UK government and the governments of Wales, Scotland and Northern Ireland to implement promptly her 10 key recommendations following publication of the Inquiry’s report of its first investigation into the nation’s resilience and preparedness for the pandemic.

These recommendations, made public on Thursday 18 July 2024, include a major overhaul of how the UK government prepares for civil emergencies such as the Covid-19 pandemic.

Key recommendations include a radical simplification of civil emergency preparedness and resilience systems, holding a UK-wide pandemic response exercise at least every three years and the creation of a single, independent statutory body responsible for whole system preparedness and response.

It is the first of several reports setting out the Inquiry’s recommendations and findings.

Today the Inquiry has published its first report after examining the resilience and preparedness of the United Kingdom to respond to a pandemic. My report recommends fundamental reform of the way in which the UK government and the devolved administrations prepare for whole-system civil emergencies.

If the reforms I recommend are implemented, the nation will be more resilient and better able to avoid the terrible losses and costs to society that the Covid-19 pandemic brought.

I expect all my recommendations to be acted on, with a timetable to be agreed with the respective administrations. I, and my team, will be monitoring this closely.

Baroness Hallett, Chair of the Inquiry

Module 1 examined the state of the UK’s structures and the procedures in place to prepare for and respond to a pandemic.

Hearings for Module 1 were held in London in June and July 2023 and the Chair heard from current and former politicians as well as key scientists, experts, civil servants and bereaved family members.

Following these hearings, the Inquiry’s findings and recommendations are set out in the report published today. The publication of the first report has been welcomed by some of those who lost loved ones during the pandemic. Dr Alan Wightman from North Yorkshire, lost his mother in early-May 2020 to Covid-19 that she had acquired in her care home in Fife, Scotland.

My Mum was an 88-year-old widow, a dementia sufferer and a cancer survivor. She had been settled and looked after in her well-run home for 11 months before Covid got in, despite the best efforts of the staff. A number of the home’s residents were taken by Covid.

I congratulate Baroness Hallett and her Inquiry team for reaching this substantive milestone of issuing findings and recommendations from Module 1. To be at this point a mere 13 months after witnesses started giving evidence in this Module is very impressive. To have achieved that whilst simultaneously completing Module 2 and its three satellite Modules, plus having Module 3 ready to launch within the next three months, is truly exemplary.

Dr Wightman

In her findings, the Chair concludes that the UK’s system of building preparedness for the pandemic suffered from several significant flaws.

These include a flawed approach to risk assessment, a failure to fully learn from past civil emergency exercises and outbreaks of disease, and Ministers not receiving a broad enough range of scientific advice and failing to challenge the advice they did get.

Baroness Hallett acknowledges the pressure on politicians and others to make tough decisions about how resources should be used. However, she also stresses that if the UK had been better prepared, the nation could have avoided some of the significant and long-lasting financial, economic and human costs of the Covid-19 pandemic.

In summary her recommendations are:

  • A radical simplification of the civil emergency preparedness and resilience systems. This includes rationalising and streamlining the current bureaucracy and providing better, simpler Ministerial and official structures and leadership;
  • A new approach to risk assessment that provides for a better and more comprehensive evaluation of a wider range of actual risks;
  • A new UK-wide approach to the development of strategy, which learns lessons from the past and from regular civil emergency exercises and takes proper account of existing inequalities and vulnerabilities;
    Better systems of data collection and sharing in advance of future pandemics, and the commissioning of a wider range of research projects;
  • Holding a UK-wide pandemic response exercise at least every three years and publishing the outcome;
    Bringing in external expertise from outside government and the Civil Service to challenge and guard against the known problem of ‘groupthink’;
  • Publication of regular reports on the system of civil emergency preparedness and resilience;
  • Lastly and most importantly, the creation of a single, independent statutory body responsible for whole system preparedness and response. It will consult widely, for example with experts in the field of preparedness and resilience and the voluntary, community and social sector, and provide strategic advice to government and make recommendations.

The Chair believes that all 10 recommendations are reasonable and deliverable and all must be implemented in a timely manner. The Inquiry and the Chair will be monitoring the implementation of the recommendations and will hold those in power to account.

The Chair has today restated her aim to conclude all public hearings by summer 2026, and to publish reports with findings and recommendations as the Inquiry progresses.

The Inquiry’s next report – focusing on Core UK decision-making and political governance – including in Scotland, Wales and Northern Ireland (Modules 2, 2A, 2B and 2C) – is expected to be published in 2025.

Future reports will focus on specific areas, including:

  • Modules 2, 2A, 2B, 2C: Core UK decision-making and political governance – including Scotland, Wales and Northern Ireland
  • Module 3: Healthcare systems
  • Module 4: Vaccines and therapeutics
  • Module 5: Procurement – procurement and distribution of key equipment and supplies
  • Module 6: The care sector
  • Module 7: Test, trace, and isolate programmes
  • Module 8: Children and young people
  • Module 9: Economic response to the pandemic

For more details of these modules visit the Inquiry’s website.

The Chair is also examining the best way to fulfil her Terms of Reference and investigate the impact of the pandemic on the population of the UK. This will cover a wide range of those affected and include the impact on mental health.

TUC: Covid Inquiry Report is a “moment of truth for the country” as report confirms impact of austerity on UK preparedness and resilience

Report confirms that public services were under huge strain even before Covid struck

  • Baroness Hallett says public health, NHS and social care sector’s capacity to respond to pandemic was “constrained” by funding and negatively impacted by “severe staff shortages” and infrastructure “not fit for purpose”
  • Report warns that not investing “in systems of protection” will impact on the UK’s “preparedness and resilience” in a future pandemic 

Responding to the UK Covid-19 Inquiry Module 1 report today (Thursday), TUC General Secretary Paul Nowak said:  “This is a moment of truth and reflection for the country. 

“Baroness Hallett’s report confirms that austerity left the UK underprepared for the pandemic. 

“Faced with the biggest crisis since the Second World War our defences were down as a result of severe spending cuts. 

“We owe it to those who lost their lives – and to those workers who put their lives at risk – to make sure this never happens again. 

“Strong public services – and a properly supported workforce – are vital for the nation’s health. As Baroness Hallett rightly points out the cost of investing in ‘systems for our protection’ is ‘vastly outweighed’ by the cost of not doing so.”  

Commenting on the report’s finding that inequality put certain communities at disproportionate risk during the pandemic, Paul added: 

“This report lays bare how inequality fuelled the spread of Covid-19.  Low-income, disabled and BME people were far more likely to be infected and die from the virus.  As Baroness Hallett warns inequality is a huge risk to the whole of the UK.” 

Impact of austerity 

Baroness Hallett writes on page 2 of her report: ‘Public services, particularly health and social care, were running close to, if not beyond, capacity in normal times. 

[…] in the area of preparedness and resilience, money spent on systems for our protection is vital and will be vastly outweighed by the cost of not doing so.’ 

Baroness Hallett writes on page 122 of her report: ‘The Inquiry also heard that there were severe staff shortages and that a significant amount of the hospital infrastructure was not fit for purpose. England’s social care sector faced similar issues. This combination of factors had a directly negative impact on infection control measures and on the ability of the NHS and the care sector to ‘surge up’ during a pandemic.’ 

Baroness Hallett writes on page 123 of her report: ‘Issues of funding are political decisions that properly fall to elected politicians. However, it remains the case that the surge capacity of the four nations’ public health and healthcare systems to respond to the pandemic was constrained by their funding.’ 

Baroness Hallett writes on page 127 of her report: ‘Some witnesses to the Inquiry described the prioritisation and reprioritisation of limited resources as a cause of inaction. This is a widely recurring theme in the evidence.’ 

Impact of inequality 

Baroness Hallett writes on page 70 of her report: ‘Resilience depends on having a resilient population. The existence and persistence of vulnerability in the population is a long-term risk to the UK.’ 

‘[…] as the UK entered the Covid-19 pandemic, there were “substantial systematic health inequalities by socio-economic status, ethnicity, area-level deprivation, region, social excluded minority groups and inclusion health groups.”’ 

Baroness Hallett writes on page 71 of her report: ‘Covid-19 was not an ‘equality opportunity virus’. It resulted in a higher a likelihood of sickness and death for people who are most vulnerable in society. It was the views of Professors Bambra and Marmot that: 

“In short, the UK entered the pandemic with its public services depleted, health improvement stalled, health inequalities increased and health among the poorest people in a state of decline.”’ 

TUC: Austerity left UK “hugely unprepared” for the Covid pandemic

  • NEW REPORT: TUC report shows how austerity led to unsafe staffing in public services, a broken safety net, and decimated workplace safety enforcement when the pandemic began
  • Austerity cost the nation dearly. The consequences were painful and tragic. The inquiry is our chance to learn from this” says the TUC

Austerity left the UK “hugely unprepared” for the Covid pandemic, according to a new report published by the TUC yesterday.

The report looks at four pillars of the country’s pandemic preparedness:

  1. Safe staffing levels in public services
  2. Public service capacity and resources
  3. A strong safety net through the social security system
  4. Robust health and safety protections at work

It finds that in each of these key areas, funding cuts reduced the country’s capacity to respond to the pandemic.

The report was published as the TUC held a joint press conference with the Covid-19 Bereaved Families for Justice about the lessons that must be learned through the inquiry, to save lives in the future.

Safe staffing levels in health and social care

The report details how safe staffing levels in health and social care were undermined by multiple years of pay caps and pay freezes, which impeded recruitment and increased staff turnover. This left both health and social care dangerously understaffed when the pandemic began:

  • Between 2010 and 2020, the number of nurses per capita in the UK grew by less than one per cent – despite demand for care rising by one-third. This is in stark contrast to the OECD average of nurses per capita rising by 10 per cent.
  • In 2019 the average NHS worker was earning £3,000 less in real terms than in 2010, with significant impacts on both recruitment and retention. 
  • In social care, the turnover rate for staff in England increased from 22 per cent in 2012/13 to 31.8 per cent in 2019/20.
  • When the pandemic hit, a quarter (24%) of social care workers in England were employed on zero-hours contracts, with the turnover rate higher among these workers.

Public services capacity and resources

Public services capacity was damaged by steep cuts to almost every part of the public sector.

In 2020 when the pandemic hit, spending per capita was still lower than in 2010 in social care, transport, housing, childcare, schools, higher education, police, fire services, and environmental protection.

This limited the ability of public services to contribute effectively to civil contingencies, and to continue essential activities effectively such children’s education.

  • Between 2010 and 2020, school funding per pupil was cut by 8.3% in England, 6.4% in Wales, 2.4% in Scotland and 10.5% in Northern Ireland.
  • Local authority core spending power was cut by a third between 2010 and 2020. Over the same period, demographic changes increased pressures – for instance, leading to higher referrals and more complex cases in both adult and children’s social care.  And new statutory duties in public health, social care and homelessness have stretched budgets further.
  • In 2019, capital investment in the UK health sector was 10% below 2010 levels. This forced NHS providers to close hospitals and delay equipment upgrades.

A strong safety net through the social security system

The social security safety net was damaged by direct cuts through benefit freezes, and by reforms that reduced entitlement to help and narrowed eligibility to fewer people.

Most of these benefits cuts were made in the period 2010 to 2016 when David Cameron was Prime Minister and George Osborne was Chancellor – both of whom are set to give evidence at the Covid inquiry.

The benefit cuts increased poverty levels. Living in poverty was associated with greater risks of exposure to Covid-19, and greater levels of vulnerability to more serious health consequences from being ill with Covid.

  • Since 2010, £14 billion has been cut from support to households through social security.
  • A family not in work has lost on average £1,160 a year in social security support since 2010, and a family in work has lost on average £460.
  • Disabled people have lost on average £1,200 of annual support, comparing 2021 with 2010.

Robust health and safety protections at work

The pandemic had a particular impact on workplaces – especially for key workers and those who could not work from home. But the enforcement of rules to keep workers safe at work was compromised by cuts that decimated public health and workplace safety regulators, and by confusion about who had responsibility to enforce the rules.

During the pandemic, when workplace risks multiplied, workplace inspections and enforcement notices fell to an all-time low, despite vast numbers of workplace-linked transmission caused by poor health and safety practice.

  • Funding for the Health and Safety Executive (HSE – the body responsible for workplace safety) in 2021/22 was 43% lower than in 2009/10 in real terms.
  • Staff numbers at the HSE have been cut by 35% since 2010.
  • The number of workplaces investigated by a safety inspector fell by 70% from 2010 to 2020.

TUC General Secretary Paul Nowak said: “To learn lessons and save future lives, we must take an unflinching look at the choices made by our leaders in the years before the pandemic.

“In the NHS and social care, funding cuts put staff levels in the danger zone. Cuts to social security pushed many more people below the poverty line, leaving them more vulnerable to infection. And cuts to health and safety left workers exposed to rogue employers who cut corners and put their lives at risk.

“Austerity cost the nation dearly. It left us hugely unprepared for the pandemic. And it left far too many workers unprotected. The consequences were painful and tragic.

“The inquiry is our chance to learn the lessons – and to understand why we have to rebuild our public services so that they are strong enough to protect us in a future crisis.”

Tough decisions: Scottish Government publishes financial strategy

Plan to grow economy, target spending and deliver progressive tax system

Economic growth, progressive taxation and spending plans that unapologetically target those in greatest need are at the heart of a financial strategy announced by Deputy First Minister Shona Robison.

The Medium-Term Financial Strategy outlines the approach to ensuring Scotland’s finances are on a sustainable footing and delivering high-quality public services in the face of high inflation. This includes:

  • growing the economy, including by delivering on ambitious commitments on childcare, seizing opportunities in areas where Scotland has a competitive advantage and supporting entrepreneurs, start-ups and scale-ups
  • taking tough decisions around spending, focusing on what is needed to achieve the missions of equality, opportunity and community
  • updating the tax strategy, with a new advisory group to be established this summer and chaired by the Deputy First Minister

The strategy details the tough choices required in challenging financial circumstances. Scottish Government estimates indicate that due to inflation, pay increases and the lack of further funding from the UK Government, current resource spending requirements could exceed funding by £1 billion in the next financial year, and by £1.9 billion in 2027-28.

The gap between capital spending commitments and funding could rise to 16% in 2025-26.

Ms Robison said: “We are steadfast in our commitment to tackling poverty, building a fair, green and growing economy, and improving our public services to make them fit for the needs of future generations.

“But we must recognise that our current financial situation is among the most challenging since devolution, driven by the Covid pandemic, the war in Ukraine and the recent period of high inflation.

“Our funding remains largely based on decisions made by the UK Government, but they have failed to take the steps required to inflation-proof our budgets, and their decisions from Brexit to the disastrous mini-budget have made matters worse. This is creating substantial pressure on our public services, which we have no choice but to address.

“Today I have outlined our strategy for managing these challenges, doing all we can within our powers to ensure public finances are on a sustainable path. We will have a laser-like focus on spending, ensuring it targets equality, opportunity and community.

“We will generate economic growth, supporting businesses to invest and create new jobs while increasing tax revenues to invest in better public services. And we will continue to build the most progressive tax system in the UK, ensuring the burden of taxation is placed on those with the broadest shoulders.

“There can be no escaping the difficult choices ahead, but by following the plan outlined today we can provide a more prosperous and fairer future for the people of Scotland.”

Responding to the statement, STUC General Secretary Roz Foyer said: “The Cabinet Secretary for Finance is in a slightly better budgetary position than was predicted this time last year. However, she rightly points out that UK Government austerity and its manufactured cost-of-living crisis continue to hit Scotland hard.

“However, this is not an excuse for inaction. There is a worrying lack of ambition from the government ministers which cannot be condoned.

“Tax reform cannot be kicked down the road for another year. To protect services and pay, the Scottish Government must make good on the First Minister’s pledge to leave no stone unturned in seeking to raise additional income by rebalancing wealth. This means committing now to the policy changes required to introduce wealth and property taxes as the STUC has advocated.”

The Deputy First Minister’s statement to the Scottish Parliament

Letters: Austerity – Never Again!

Dear Editor

When the banks crashed through mismanagement and greed most were bailed out by the government, using public money to do so.

People were told that everyone was ‘in it together’.

But as we know from thise years, the government embarked onn what they called Austerity, in whih wages were frozen for years; prices were rising; major cuts were made in services of all kinds;unemployment and zero hours contracts grew.

The years of tremendous sacrifices made by the people in their lives have now been forgotten by employers and government alike.

In fact there is an indication that both of these are preparing the repeat of austerity, more severe than the last – and that will last much longer.

The people must not allow this to happen again!

The investors and financial institutions are intent to make everyone pay and once again decimate the lives of all people.

Tony Delahoy

 

What a waste: Holyrood spends £100 million to mitigate Tory welfare cuts

This year more than £100 million has been spent to mitigate the effects of UK Government austerity and this money could have been better spent on more anti-poverty measures, Social Security Secretary Shirley-Anne Somerville has said. Continue reading What a waste: Holyrood spends £100 million to mitigate Tory welfare cuts

New TUC report reveals the damage from a decade of austerity

  • Every developed nation that cut public spending since the financial crisis has experienced slower GDP growth
  • Wage growth has halved across OECD nations since the financial crisis

Every developed nation that cut government spending since the financial crisis has experienced slower GDP growth, according to a new TUC report.

The report looks at the impact of austerity across the OECD. It finds that the rate of GDP growth reduced in all 32 countries where government spending was cut

The only OECD countries with higher GDP growth are Germany and Japan, which both increased government spending after the crash.

Living standards

The report also reveals the devastating impact of austerity on living standards.

Wage growth has halved across OECD nations since the crash, with annual real pay growth averaging less than 1% for two-thirds of countries.

UK workers have been among the worst affected. Only Lithuania, Estonia, Greece and Latvia have experienced a greater reduction in real wage growth than Britain since the financial crisis.

Over this period the number of people in working households living in poverty in Britain has increased from 5 million to 8 million.

Commenting on the report, TUC General Secretary Frances O’Grady  said:  “Austerity was always a political choice. It’s now clear how much harm it caused, holding down economic growth and living standards.

“We can’t afford to make the same mistake again. If there’s another crisis, the government’s response must be to focus on public investment to make our economy stronger.

“But we shouldn’t wait for the worst to happen. The best way to deal with a recession is to prevent it. There are already warning signs, so the government should act now by boosting public sector pay and spending on public services.”

Recommendations from the report:

  • An independent review of how the Office for Budget Responsibility and Bank of England judge the impact of government spending on the economy.
  • Urgent fiscal support for aggregate demand through public sector pay increases and spending on services.
  • Fast-track increases to UK public infrastructure spending to least the OECD average of 3.5% GDP.
  • Increased expenditure should initially be financed by borrowing rather than increased taxation. This will strengthen the economy, leading to higher revenues that can support spending increases longer term.
  • Fiscal policy should be part of a wider plan to deliver sustainable growth across the UK, including investment in the public services families rely on, the skills workers need for the future, a just transition to net zero carbon emissions, and giving workers a real voice at work.