TUC: Employment Rights Bill is “vital” for women’s pay and equality
TODAY (20 November) is Equal Pay Day 2024. That is two days earlier than last year when it fell on 22nd November. This means that, despite years of slow progress to close the UK’s mean Gender Pay Gap, it has definitively widened for the first time since 2013.
Equal Pay Day is a national campaign led by the Fawcett Society in the UK. It marks the day in the year when, based on the gender pay gap, women overall in the UK stop being paid compared to men.
The gender pay gap is the difference between the average pay of men and women within a particular group or population. Fawcett uses the mean, full-time, hourly gender pay gap for the UK to calculate the gender pay gap for Equal Pay Day which this year is 11.3%, up from 10.4% last year.
Jemima Olchawski, Chief Executive of the Fawcett Society, said: “It’s incredibly alarming to see the mean gender pay gap widen in 2024 and shows that without concerted effort most women won’t see equal pay in our working lifetime.
“Today’s data confirms that the Gender Pay Gap increases with age as women take on more and more unpaid care work for children and older people.
Tomorrow, at her first Budget, our first female Chancellor in history can right this wrong by investing to finally address the motherhood penalty and set the UK on a path to close the Gender Pay Gap for good.
“The draft Employment Rights Bill and commitments to close the gap are important steps but today’s data clearly shows more must urgently be done. Our government must commit to a cross-government strategy to shrink the gender pay gap by 2030 – women cannot wait any longer.”
Commenting on the Fawcett Society’s Equal Pay Day today (Wednesday), the day of the year women effectively stop getting paid because of the gender pay gap, TUC General Secretary Paul Nowak said: “Our economy isn’t working for women. At current rates of progress, it will still take 16 years to close the gender pay gap.
“This is why Labour’s Employment Rights Bill is so vital for women’s pay and equality.
“The Bill will require large employers to set out clear action plans on how they will close their gender pay gaps, rather than just report what they are.
“And we know women still take on the lion share of caring responsibilities – a key driver of the gender pay gap – so fixing care is critical to raising their pay.
“The Employment Rights Bill will also introduce a fair pay agreement in social care, to stop the race to the bottom on pay and conditions. This will help recruit and retain staff.”
The TUC says many of the other policies in the Employment Rights Bill – which begins its committee stage on Monday (25 November) – will help close the gender pay gap, including:
Strengthening flexible working rights by introducing a day one right to work flexibly unless an employer can properly justify why this is not possible.
Banning exploitative zero-hours contracts to help end the scourge of insecure work, which is particularly widespread in sectors like social care.
Giving all employees day one rights on the job byscrapping qualifying time for basic rights, such as unfair dismissal, sick pay, and parental leave.
Extending redundancy and unfair dismissal protections for pregnant women and new parents.
Read Fawcett’s explainer on the Gender Pay Gap here:
Chancellor ‘takes long-term decisions to restore stability, rebuild Britain and protect working people across Scotland’
No change to working people’s payslips as employee national insurance and VAT stay the same, but businesses and the wealthiest asked to pay their fair share.
Record £47.7 billion for the Scottish Government in 2025/26 includes £3.4 billion through the Barnett formula.
Funding for Green Freeports, City and Growth Deals, GB Energy and hydrogen projects to fire up growth and deliver good jobs across Scotland.
The Chancellor has ‘delivered a Budget to fix the foundations to deliver on the promise of change after a decade and a half of stagnation’. She set out plans to rebuild Britain, while ensuring working people across Scotland don’t face higher taxes in their payslips.
The UK Government was handed a challenging inheritance; £22 billion of unfunded in-year spending pressures, debt at its highest since the 1960s, an unrealistic forecast for departmental spending, and stagnating living standards.
This Budget takes ‘difficult decisions’ to restore economic and fiscal stability, so that the UK Government can invest in Scotland’s future and lay the foundations for economic growth across the UK as its number one mission.
The Chancellor announced that the Scottish Government will be provided with a £47.7 billion settlement in 2025/26 – the largest in real terms in the history of devolution. This includes a £3.4 billion top-up through the Barnett formula, with £2.8 billion for day-to-day spending and £610 million for capital investment.
Secretary of State for Scotland Ian Murray said: “This is a historic budget for Scotland that chooses investment over decline and delivers on the promise that there would be no return to austerity.
“It is the largest budget settlement for the Scottish Government in the history of devolution, including an additional £1.5 billion this financial year and an additional £3.4 billion next year through the Barnett formula. That money must reach frontline services, to bring down NHS waiting lists and lift attainment in our schools.
“It will also bring a new era of growth for Scotland and the whole UK, confirming nearly £890 million of direct investment into Freeports, Investment Zones, the Argyll and Bute Growth Deal, and other important local projects across Scotland’s communities, as well as £125 million next year for GB Energy and support for green hydrogen projects in Cromarty and Whitelee.
“The increase in the minimum wage will also mean a pay rise for hundreds of thousands of workers in Scotland, with the biggest increase for young workers ever. This is on top of our employment rights bill which will deliver the biggest upgrade in workers’ rights in a generation. The triple lock means an increase in the state pension by £470 next year, on top of £900 this year for a million Scottish pensioners.
“The budget protects working people in Scotland, delivers more money than ever before for Scottish public services and means an end to the era of austerity.”
Protecting working people and living standards
While fixing the inheritance requires tough decisions, the Chancellor has committed to protecting the living standards of working people. The decisions taken by the Chancellor to rebuild public finances enable the UK Government to deliver on its pledge to not increase National Insurance or VAT on working people in Scotland, meaning they will not see higher taxes in their payslip.
The National Living Wage will increase from £11.44 to £12.21 an hour from April 2025. The 6.7% increase – worth £1,400 a year for a full-time worker – is a significant move towards delivering a genuine living wage.
The National Minimum Wage for 18 to 20-year-olds will also see a record rise from £8.60 to £10 an hour.
Working people will benefit from these increases, with there estimated to be over 100,000 minimum wage workers in Scotland in 2023.
The Chancellor has made the decision to protect working people in Scotland from being dragged into higher tax brackets by confirming that the freeze on National Insurance Contributions thresholds will be lifted from 2028-29 onwards, rising in line with inflation so they can keep more of their hard-earned wages.
The Chancellor is also protecting motorists by freezing fuel duty for one year – a tax cut worth £3 billion, with the temporary 5p cut extended to 22 March 2026. This will benefit an estimated 3.2 million people in Scotland, saving the average car driver £59, vans £126 and Heavy Goods Vehicles £1,079 next year.
To support Scottish pubs and smaller brewers in Scotland, the UK Government is cutting duty on qualifying draught products by 1p, which represent approximately 3 in 5 alcoholic drinks sold in pubs. This measure reduces duty bills by over £70 million a year, cutting duty on an average strength pint in a pub by a penny. The relief available to small producers will be updated to help smaller brewers and cidermakers.
Over 1 million Scottish pensioners will benefit from a 4.1% increase to their new or basic State Pension in April 2025. This is an additional £470 a year for those on the new State Pension and an additional £360 a year for those on the basic State Pension.
Households eligible for Pension Credit will get £465 a year more for single pensioners and up to £710 a year more for couples due to a 4.1% increase in the Pension Credit Standard Minimum Guarantee, benefitting 125,000 pensioners in Scotland.
Around 1.7 million families in Scotland will see their working-age benefits uprated in line with inflation – a £150 gain on average in 2025-26.
Reducing the maximum level of debt repayments that can be deducted from a household’s Universal Credit payment each month from 25% to 15% will benefit a Scottish family by over £420 a year on average.
Rebuilding Britain
This UK Government will not make a return to austerity and will instead boost investment to rebuild Britain and lay the foundations for growth in Scotland. This includes £130 million of targeted funding for the Scottish Government, of which £120 million is in capital investment.
The Budget delivers on the first step to establish Great British Energy by providing £125 million next year to set up the institution at its new home in Aberdeen – helping to develop new clean energy projects in Scotland and across the UK.
The UK Government will deliver £122 million for City and Growth Deals, including the continuation of its contribution to the Argyll and Bute Growth Deal which delivers £25 million of investment in the region over 10 years. This Deal will be supported by a rigorous value for money assessment as part of the review of the business cases for projects within it, to ensure best value is being delivered.
The Budget gives certainty to local leaders and investors, confirming funding for the Investment Zones and Freeports programmes across the UK – including Scotland’s Green Freeports.
The Chancellor committed the UK Government to working closely with the Scottish Government on the Industrial Strategy, 10-year infrastructure strategy and the National Wealth Fund – to ensure the benefits of these are felt UK-wide and as part of the relationship reset between governments. These will mobilise billions of pounds of investment in the UK’s world-leading clean energy and growth industries.
To support economic growth and promote Scottish culture, products and services through diplomatic and trade networks, the UK Government is allocating £750,000 for the Scotland Office in 2025/26 to champion Brand Scotland as was committed in the manifesto.
We are supporting Scotland’s world-renowned Scotch Whisky industry by providing up to £5 million for HMRC to reduce the fees charged by the Spirit Drinks Verification Scheme and by ending mandatory duty stamps for spirits on 1 May 2025.
Two electrolytic hydrogen projects in Scotland have been selected for UK Government revenue support through the first Hydrogen Allocation Round: Cromarty Green Hydrogen Project and Whitelee Green Hydrogen. Both projects will bring in significant international investment and create good quality, local jobs.
An extension of the Innovation Accelerators programme will support the high-potential innovation cluster in the Glasgow City Region.
A corporate tax roadmap will provide businesses with the stability and certainty they need to make long-term investment decisions and support our growth mission. It confirms our competitive offer, with the lowest Corporate Tax rate in the G7 and generous support for investment and innovation.
The UK Government will also proceed with implementing the 45%/40% rates of the theatre, orchestra, museum and galleries tax relief from 1 April 2025 to provide certainty to businesses in Scotland’s thriving cultural sector.
Repairing public finances
The Chancellor has made clear that, whilst protecting working people with measures to reduce the cost of living, there would be difficult decisions required. The Budget will ask businesses and the wealthiest to pay their fair share while making taxes fairer. This will go directly towards fixing the foundations of the UK economy.
The rate of Employers’ National Insurance will increase by 1.2 percentage points, to 15%. The Secondary Threshold – the level at which employers start paying national insurance on each employee’s salary – will reduce from £9,100 per year to £5,000 per year.
The smallest businesses will be protected as the Employment Allowance will increase to £10,500 from £5,000, allowing Scottish firms to employ four National Living Wage workers full time without paying employer national insurance on their wages.
Capital Gains Tax will increase from 10% to 18% for those paying the lower rate, and 20% to 24% for those paying the higher rate.
To encourage entrepreneurs to invest in their businesses Business Asset Disposal Relief (BADR) will remain at 10% this year, before rising to 14% on 6 April 2025 and 18% from 6 April 2026-27.
The lifetime limit of BADR will be maintained at £1 million. The lifetime limit of Investors’ Relief will be reduced from £10 million to £1 million.
The OBR say changes to CGT raise over £2.5 billion a year and the UK will continue to have the lowest CGT rate of any European G7 country.
Inheritance Tax thresholds will be fixed at their current levels for a further two years until April 2030. More than 90% of estates each year will be outside of its scope. From April 2027 inherited pensions will be subject to Inheritance Tax. This removes a distortion which has led to pensions being used as a tax planning vehicle to transfer wealth rather than their original purpose to fund retirement.
From April 2026, agricultural property relief and business property relief will be reformed. The highest rate of relief will continue at 100% for the first £1 million of combined business and agricultural assets, fully protecting the majority of businesses and farms. It will reduce to 50% after the first £1 million. Reforms will affect the wealthiest 2,000 estates each year. Inheritance Tax reforms in total are predicted by the OBR to raise £2 billion to support stability.
From 2026-27 Air Passenger Duty (APD) for short and long-haul flights will increase by 13% to the nearest pound, a partial adjustment to account for previous high inflation. For economy passengers, this means a maximum £2 extra per short haul flight and tickets for children under the age of 16 remain exempt from APD. APD for larger private jets will be increased by a further 50%. Passengers carried on flights leaving from airports in the Scottish Highlands and Islands region are exempt from APD.
The rate of the Energy Profits Levy will increase to 38% from 1 November 2024 and the levy will now expire one year later than planned, on 31 March 2030. The 29% investment allowance will be removed.
To provide long-term certainty and to support a stable energy transition, the UK Government will make no additional changes to tax relief available within the EPL and a consultation will be published in early 2025 on a successor regime that can respond to price shocks. Money raised from changes to the EPL will support the transition to clean energy, enhance energy security and provide sustainable jobs for the future.
The Budget also announced a package of measures that disincentivise activities that cause ill health, by:
Renewing the tobacco duty escalator which increases all tobacco duty rates by RPI+2% plus an above escalator increase to hand rolling tobacco (totalling RPI+12%).
Introducing a new vaping duty at a flat rate of 22p/ml from October 2026, accompanied by a further one-off increase in tobacco duty to maintain financial incentive to choose vaping over smoking.
To help tackle obesity and other harms caused by high sugar intake, the Soft Drinks Industry Levy will increase to account for inflation since it was last updated in 2018, and the duty will rise in line with inflation every year going forward.
The UK Government will also uprate alcohol duty in line with RPI on 1 February 2025, except for most drinks in pubs.
The UK Government has set out the next steps to deliver its tax manifesto commitments in the July Statement. Having consulted on the final policy details where appropriate, this Budget delivers the UK Government’s manifesto commitments to raise revenue to pay for First Steps, with reforms that are underpinned by fairness, and tackle tax avoidance by:
A new residence-based regime will replace the current non-dom regime from April 2025 and will be designed to attract investment and talent to the UK.
Offshore trusts will no longer be able to be used to shelter assets from Inheritance Tax, and there will be transitional arrangement in place for people who have made plans based on current rules.
The planned 50% reduction for foreign income in the first year of the new regime will be removed.
Reforms to the non-dom regime will raise a total of £12.7 billion according to the OBR.
The tax treatment of carried interest will be reformed by first increasing the Capital Gains Tax rates on carried interest to 32% and then, from April 2026, moving to a revised regime – with bespoke rules to reflect the characteristics of the reward.
The Chancellor also ‘doubled down’ on fiscal responsibility through two new fiscal rules that put the public finances on a sustainable path and prioritise investment to support long-term growth, and new principles of stability. Spending Reviews will be held every two years, setting plans for at least three years to ensure public services are always planned and improve value for money.
One major fiscal event per year will give families and businesses stability and certainty on tax and spending changes, while giving the Scottish Government greater clarity for in its own budget-setting. A Fiscal Lock will also ensure no future government can sideline the OBR again.
Budget marks ‘step in right direction’
Scotland’s Finance Secretary responds to Budget
Finance Secretary Shona Robison has welcomed additional funding in the Autumn Budget, but said the Scottish Government will still face “enormous cost pressures” despite the measures.
The Finance Secretary said: “We called for increased investment in public services, infrastructure and tackling poverty. This budget is a step in the right direction, but still leaves us facing enormous cost pressures going forwards. The additional funding for this financial year has already been factored into our spending plans.
“By changing her fiscal rules and increasing investment in infrastructure, the Chancellor has met a core ask of the Scottish Government. But after 14 years of austerity, it’s going to take more than one year to rebuild and recover – we will need to see continued investment over the coming years to reset and reform public services.
“Indeed, there is a risk that by providing more funding for public services while increasing employer national insurance contributions, the UK Government is giving with one hand while taking away with the other.
“We estimate that the employer national insurance change could add up to £500 million in costs for the public sector unless it is fully reimbursed – and there is a danger that we won’t get that certainty until after the Scottish budget process for 2025/26 has concluded.
“With the lingering effects of the cost of living crisis still hitting family finances, it is disappointing that there was no mention of abolishing the two-child limit, which evidence shows would be one of the most cost-effective ways to reduce child poverty. Neither was there mention of funding for the Winter Fuel Payment.
“As ever, the devil is in the detail, and we will now take the time to assess the full implications of today’s statement. I will be announcing further details as part of the Scottish Budget on 4 December.”
Child Poverty Action Group: Chancellor misses golden chance to scrap two child limit
16 000 more children will now be pulled into poverty by time new UK child poverty taskforce reports in spring
“Good news on universal credit deductions, but no bold action on child poverty”
Barnett consequentials must now be prioritised to fund action on child poverty in Scotland
Responding to the UK Chancellor’s Budget, John Dickie, Director of the Child Poverty Action Group (CPAG) in Scotland, said;“The Chancellor brought good news on universal credit deductions, but this was not a Budget of bold action on child poverty. She missed a golden chance to scrap the two-child limit, a policy that will pull 16,000 extra children into poverty by the time the government’s child poverty taskforce reports in spring.
We welcome the new UK government’s ambition on child poverty but this budget played for time, time that children and families can’t afford. The UK spending review next spring will have to deliver much more to make a significant difference for children in poverty.”
Mr Dickie continued: “Here in Scotland and looking ahead to the Scottish budget it is vital that wider Barnett consequentials are now used to fund the action needed to deliver on the First Minister’s number one priority of ending child poverty.
“That must include funding a real terms increase to the Scottish child payment, expanding childcare provision, delivering on free school meal promises and increasing the supply of affordable family housing.”
POVERTY ALLIANCE:
Responding to today’s UK Budget, Poverty Alliance chief executive Peter Kelly said: “People across the UK believe in a nation based on justice and compassion. Today’s Budget was an opportunity for the Chancellor to turn those values into action, and to rebuild trust in government. Despite some welcome changes, there is still some way to go.
“Boosting the minimum wage is welcome, because for decades workers have been getting less and less from our growing economy. This increase will go some way to making up the gap, particularly for younger workers. But we need to remember that today’s Budget will still leave the legal minimum wages far lower than the real Living Wage rate – the only wage rate that is solely based on the cost of living – of £12.60 per hour, or £13.85 per hour in London.
“We know that too many people on Universal Credit find themselves pushed into destitution when they are chased for debt by public bodies, so it’s good that the maximum amount of benefit that can be taken from them has been reduced. But the Chancellor could have gone further, by strengthening our social security with a boost to Universal Credit that would guarantee that households can afford life’s essentials.
“She could have made it clear that every child matters, by scrapping the unjust and ineffective two-child limit, and ditching the unfair benefit cap which stops households getting all the support they are entitled to.
“There was a welcome focus on the importance of our public services to our shared prosperity and wellbeing. But the Chancellor could have done more to use our country’s wealth to tackle poverty and invest in a better society. Even with today’s changes, people who earn money from selling shares and business assets will pay Capital Gains Tax at a lower rate than workers pay in Income Tax. That’s just wrong.
“Freezing fuel duty and keeping the previous cuts in place will cost the Exchequer billions of pounds a year. It’s bad value for money, benefits the wealthiest in society most, and does little to make the transition to the green economy. The money would have been better invested in affordable, accessible, and sustainable public transport for all.
“It’s right that big companies pay their fair share towards building a strong society, but the Chancellor must urgently consider how increases to employer National Insurance will hit charities and community groups.
“The support and advice provided by these organisations is vital for people who have been pushed into poverty, but too many are already struggling through a lack of fair funding, and this NI increase could push many over the edge.
“That would be a disaster for our communities, and leave more low-income households facing destitution and despair.”
TUC: Labour’s investment budget has begun process of “repairing and rebuilding Britain”
Union body says budget is a vital first step towards the growth, jobs and living standards working people desperately need
Commenting on Wednesday’s budget statement from the Chancellor Rachel Reeves, TUC General Secretary Paul Nowak said: “The Chancellor was dealt a terrible hand by the last Conservative government – a toxic legacy of economic chaos, falling living standards and broken public services.
“But with today’s budget the Chancellor has acted decisively to deliver an economy that works for working people.
“The government’s investment plans are a vital first step towards repairing and rebuilding Britain – securing the stronger growth, higher wages and decent public services that the country desperately needs.
“Tax rises will ensure much-needed funds for our NHS, schools and the rest of our crumbling public services, with those who have the broadest shoulders paying a fairer share. The Chancellor was right to prioritise hospitals and classrooms over private jets.
“There is still a lot more work to do to clean up 14 years of Tory mess and economic decline. – including better supporting and strengthening our social security system. But this budget sets us on an urgently needed path towards national renewal.”
Shelter Scotland has responded to the UK budget set out this afternoon by Chancellor Rachel Reeves.
The housing and homelessness charity urged the Scottish Government to commit to investing any new capital funding into delivering the social homes needed to end the housing emergency.
However, it also expressed disappointment at the continuation of the two-child limit and ongoing freeze to Local Housing Allowance.
Shelter Scotland Director, Alison Watson, said:“Having declared a housing emergency it’s clear that the Scottish Government must back words with actions.
“It is vital that any capital funding which becomes available as a result of the Chancellor’s investment plans is in turn used by Scottish Ministers to deliver social homes here, but we also need to see growth in the capital budget over a sustained period to support continued investment.
“Delivering more social homes remains the single most effective way to tackle the housing emergency in Scotland, and only the Scottish Government can decide how much of its budget it commits to that endeavour.
“However, we can’t ignore the role that austerity has played in exacerbating Scotland’s housing emergency.
“The freeze on local housing allowance and the two-child limit has forced thousands into poverty; they will continue to do so as it seems the Chancellor has chosen to keep them in place.”
COSLA:
ONE PARENT FAMILIES SCOTLAND:
Scotch Whisky industry says UK government has broken commitment to ‘back Scotch producers to the hilt’
Chancellor increases discrimination of Scotch Whisky and other spirits in on-trade
The Scotch Whisky Association (SWA) says the Chancellor’s decision to further increase duty on Scotch Whisky has broken the Prime Minister’s commitment to ‘back Scotch producers to the hilt.’
In her first Budget, Chancellor Rachel Reeves announced an RPI inflation increase to alcohol duty, but cut duty on draught products in the on-trade by 1.7%. Scotch Whisky and other spirits are excluded from this tax relief.
The SWA had called on the new Chancellor to take the opportunity to reverse the damage done by the 10.1% increase in August 2023. Instead, the damage done to the industry and to government revenue has been compounded by further increasing the tax burden on the sector, which is already the highest in the G7.
Spirits revenue fell by hundreds of millions of pounds as a result of the 10.1% duty increase last year, and the industry has warned that this further tax hike will not deliver the revenue ministers have been promised but will hurt businesses, the hospitality sector and hard-pressed consumers.
Commenting on the Budget, Chief Executive of the SWA Mark Kent said:“This duty increase on Scotch Whisky is a hammer blow, runs counter to the Prime Minister’s commitment to ‘back Scotch producers to the hilt’ and increases the tax discrimination of Scotland’s national drink.
“On the back of the 10.1% duty increase last year, which led to a reduction in revenue for HM Treasury, this tax hike serves no economic purpose. It will damage the Scotch Whisky industry, the Scottish economy, and undermines Labour’s commitment to promote ‘Brand Scotland’.
“She has also increased the tax discrimination of spirits in the Treasury’s warped duty system, and with 70% of UK spirits produced in Scotland, that will do further damage to a key Scottish sector.
“The disastrous 10.1% duty hike last year has now been compounded. This further tax rise means the lessons have not been learned, and the Chancellor has chosen continuity with her predecessor, not change.
“We urge all MPs who support Scotch Whisky to vote against this duty hike and tax discrimination of Scotland’s national drink.”
Rain Newton-Smith, CBI Chief Executive, said:“The Chancellor had difficult choices to make to deliver stability for the economy and public finances. A more balanced approach to our fiscal rules which prioritises capital investment should help to unlock private sector investment in our infrastructure and net zero transition over the long-term.
“This is a tough Budget for business. While the Corporation Tax Roadmap will help create much needed stability, the hike in National Insurance Contributions alongside other increases to the employer cost base will increase the burden on business and hit the ability to invest and ultimately make it more expensive to hire people or give pay rises.
“Only the private sector can provide the scale of investment required to deliver the government’s growth agenda.
“To achieve this shared mission of growing our economy sustainably, it’s vital that the government doubles down on its partnership with business to unlock the investment that is needed to drive opportunity around the UK.”
FSB: Employment allowance rise welcome from Chancellor in tax-raising Budget
The Federation of Small Businesses responds to the Chancellor’s Budget statement
Responding to the Chancellor’s Budget statement, Policy Chair of the Federation of Small Businesses (FSB), Tina McKenzie, said: “Increasing the employment allowance for small businesses by a record amount is a very welcome move and we’re pleased the Chancellor has heard us loud and clear.
“More than doubling it, from £5,000 to £10,500, will shield the smallest employers from the jobs tax, therefore is a pro-jobs prioritisation in a tough Budget.
“The decision to protect small businesses from an inflationary hike in business rates – by freezing the small business multiplier – will help small firms with premises across all sectors. Meanwhile, extending business rates relief, albeit at a lower level, for small firms in retail, hospitality and leisure will mitigate a potential cliff-edge tax hike for those in some of the toughest sectors.
“The true test of today’s Budget will be whether small businesses can grow and end the economic stagnation the UK has been stuck in.
“Larger small, and medium-sized, businesses will struggle with the rises on employer national insurance on top of the large costs from the Government’s employment law plans. We’ve been very clear in our warning of the difficulty SMEs will be confronted with in meeting all of these changes at once – and the potential impact on jobs, wages and prices.
“The Budget documents include plans for a small business strategy command paper, which is a welcome signal that ministers appreciate the central role that small businesses play in driving growth and we look forward to working with the Government closely on that.
“Investment in infrastructure is key to future growth, and the Chancellor’s announcement of additional funding for rail projects and fixing potholes is therefore encouraging. Many small firms, meanwhile, will be relieved at the decision not to raise fuel duty. The commitment to prioritise small housebuilders when it comes to housing investment is also welcome.
“Building a business involves a significant element of risk and personal, as well as financial, investment. But for the economy to grow, we need more people to be incentivised to take that leap and, in turn, create jobs, opportunities and prosperity in all communities across the country.
“The right decision has been taken to retain entrepreneurs’ relief (now branded Business Asset Disposal Relief) up to £1million, which is something we have campaigned hard for. Although the level of relief will gradually reduce over time, resulting in more tax being paid in the future on business sales, we’re pleased to see a differential has been kept.
“Against a challenging backdrop, today’s Budget shows a clear direction in business policy now for the whole of this Parliament to target support at small businesses, rather than big corporates – prioritising everyday entrepreneurs working in local communities in all parts of the country.”
UK Budget fails “3 Key Tests for Scotland”, say Alba Party
Scottish Government must now fund universal entitlement to pensioners winter fuel payment
“To gain pass marks the new UK Labour Government had three key tests to meet in Scotland: it had to reverse its plan to cut the universal winter fuel payment; it had to save Grangemouth; and it had to fund a plan to save North Sea Oil and Gas jobs – on all three counts Labour has failed Scotland.”
This was said today by Acting Alba Party leader Kenny MacAskill reacting to Chancellor Rachel Reeves’ budget.
Alba Party say that the UK Government had three key tests to meet to deliver for Scotland. Former First Minister Alex Salmond helped launch a campaign to save the winter fuel payment last month.
Close to one million pensioners in Scotland are set to lose out on between £200-£300 this winter. Acting Alba Party leader Kenny MacAskill has been a leading voice in the campaign to save the Grangemouth Oil Refinery from closure.
Mr MacAskill has today hit out at the UK Government after Labour promised in the General Election to save Scotland’s only refinery that is set for closure next year but has failed to provide funding to save the refinery in today’s budget.
MacAskill has now called on the Scottish Government to use extra Barnett consequential funding to fully mitigate the cut to the winter fuel payment.
Alba Party have also hit out as successive UK Government’s have promised investment in Carbon Capture Technology in the North East of Scotland. Alba say the technology is vital to secure the future of the North Sea Oil and Gas industry and to help Scotland play its part in protecting the environment. Today’s UK Budget confirmed £22billion of investment in carbon capture projects in England – but snubbed the Acorn project on the Buchan coast.
Commenting Acting Alba Party leader Kenny MacAskill said: ““Today’s UK Budget is a continuity budget that proves that regardless of whether we have a UK Tory Government or a UK Labour Government, Scotland will always lose.
“To gain pass marks the new UK Labour Government had three key tests to meet in Scotland: it had to reverse its plan to cut the universal winter fuel payment; it had to save Grangemouth; and it had to fund a plan to save North Sea Oil and Gas jobs – on all three counts Labour has failed Scotland.
“ Close to a million Scottish pensioners are to be kept in the cold this winter, the UK Government has chosen to stand by and allow Scotland’s key industrial asset to close, and Labour have betrayed the North East of Scotland.
“ Nothing for Scotland’s pensioners, nothing for Grangemouth and nothing for Carbon Capture and the North Sea. It is now vital that the Scottish Government steps up to the plate and uses any additional funding consequentials it receives to fully mitigate the cut to the winter fuel payment.”
Budget is a ‘Missed Opportunity’
The budget is a missed opportunity to bring about the transformative change this country needs, said Westminster’s group of independent MPs.
A statement from the Independent Alliance:
LOCAL GOVERNMENT INFORMATION UNIT:
Dr Jonathan Carr-West, Chief Executive, LGIU, said: “The Chancellor billed this as an historically consequential budget of hard choices. That’s certainly true in many areas with £40bn of tax rises announced and significant changes to the government’s debt rules.
“For local government, however, it is a budget of choices deferred. It could have been worse – there’s an additional £1.3bn in funding including money for social care and additional funding for housing and special educational needs: the very areas that are driving many councils to bankruptcy.
“But this extra funding is not even half the gap that councils currently face.
“The longer-tem change that the sector desperately needs is all deferred for now. We are waiting on the Local Government Finance Settlement, on the Devolution White Paper and on a broader redistribution of funding through a multi-year settlement from 2026-27.
“There were some welcome highlights: retaining 100% of right to buy receipts and integrated settlements for Greater Manchester and the West Midlands and possibly for other places in future.
“Is this a start? Yes. Is it enough? Not by a long shot. At least not yet. There’s a positive direction of travel set out, but there’s a long way to go and the pressure on council finances means there’s a real risk that some councils will not be able to hang on long enough to get there.”
Unions and equality campaigners have today condemned escalating attacks on flexible working.
A joint statement released yesterday – signed by organisations and campaigners including the TUC, Age UK, the Fawcett Society, Anna Whitehouse (founder of Flex Appeal) and Pregnant Then Screwed – warns of a “witch-hunt” against workers being able to work more flexibly.
The intervention comes as the government prepares to publish its Employment Rights Bill which is expected to enhance existing rights to flexible working.
Highlighting the ongoing briefing against flexible working, the organisations say:
“It’s time to stop the witch-hunt against flexible working. In recent weeks, we have seen relentless scaremongering about how new legislation on flexible working will harm UK businesses and productivity.
“These warnings couldn’t be further from the truth.”
Pointing to the recruitment and retention problems facing employers the organisations say:
“There are 800,000 fewer people in the workforce than before the pandemic, and one of the biggest issues facing employers is recruiting and retaining skilled staff.
“Look at our public services. In the midst of a staffing crisis, health, education and social care workers are leaving due to a lack of flexibility.
“This is not an isolated example. Research published by the Charter Institute of Professional Development last year found that an estimated four million people have changed careers due to a lack of flexibility at work.
“Flexible working can bring more people back into the labour market and keep them there.”
Criticising the bad faith nature of the attacks on flexible working, the organisations say:
“Some have tried to claim flexible working is just about working from home.
“But there are there are many different forms of flexible working.
“For some people it means stable and predictable shift patterns so they can do the school run. For others it means compressed hours to allow for an extra day at home to care for loved ones. And for some it’s a job share to allow time for study alongside work.
“This is about developing patterns of work needed for a modern economy and a modern workforce.
“Flexible working is good for workers, good for employers and good for growth.”
Commenting on the joint statement, TUC General Secretary Paul Nowak said: “Flexible working – and in particular working from home – is being misrepresented to attack the government’s wider plan to Make Work Pay. It’s time we called it out.
“Improving access to flexible working will benefit workers and businesses, whether it’s through increasing staff productivity or higher retention. And the same is true of improving workers’ rights across the piece.
“When people feel secure and respected at work, they have happier, healthier lives and perform better in their jobs.”
Jemima Olchawski,Fawcett Society Chief Executive, said: “We have to ask who benefits from parroting the fallacy that flexible working and flexible workers are bad for business – it’s just nonsense.
“What really holds growth back is rigid, outdated work practices that exclude women, older workers, and those managing health conditions.
“Offering flexible working options increases the talent pool and enables more people to work.
“While that may threaten those who are happy to maintain the status quo, it can only be good for our economy. We need to see all jobs advertised as flexible by default.”
Victoria Benson, Chief Executive of Gingerbread, said: “Too many single parents are locked out of the workforce or stuck in jobs beneath their skill level because of old fashioned, inflexible working patterns.
“Employers who don’t offer flexible working are missing out on an untapped pool of talent and single parents are missing out on jobs.
“We need to see single parents supported to thrive at work – not just because it’s good for them and their children but because it’s good for employers and our economy, too.”
The full statement reads:
It’s time to stop the witch-hunt against flexible working.
In recent weeks, we have seen relentless scare-mongering about how new legislation on flexible working will harm UK businesses and productivity.
These warnings couldn’t be further from the truth.
There are 800,000 fewer people in the workforce than before the pandemic, and one of the biggest issues facing employers is recruiting and retaining skilled staff.
Look at our public services. In the midst of a staffing crisis, health, education and social care workers are leaving due to a lack of flexibility.
This is not an isolated example. Research published by the Chartered Institute of Professional Development last year found that an estimated four million people have changed careers due to a lack of flexibility at work.
Flexible working can bring more people back into the labour market and keep them there.
Many businesses already recognise the benefits flexible working can bring to their workforces and companies, whether it’s through increasing staff productivity or higher retention.
There are clear mutual benefits from allowing people to balance their professional and personal commitments – let’s not lose sight of them.
Some have tried to claim flexible working is just about working from home.
But there are there are many different forms of flexible working.
For some people it means stable and predictable shift patterns so they can do the school run. For others it means compressed hours to allow for an extra day at home to care for loved ones. And for some it’s a job share to allow time for study alongside work.
This is about developing patterns of work needed for a modern economy and a modern workforce.
Flexible working is good for workers, good for employers and good for growth.
The government should embrace it, and we support the government’s ambition to make flexible working the default from day one for all workers.
Paul Nowak, General Secretary, TUC
Anna Whitehouse, Founder, Flex Appeal
Jemima Olchawski, Chief Executive, the Fawcett Society
Caroline Abraham, Charity Director, Age UK
Lauren Fabianski, Head of Campaigns and Communications, Pregnant Then Screwed
Dr Mary-Ann Stephenson, Director, Women’s Budget Group
Elliott Rae, Founder, Parenting Out Loud & Music Football Fatherhood
Sarah Lambert, Head of Policy and Campaigns, Gingerbread
Claire Campbell, CEO, Timewise
Claire Reindorp, CEO, Young Women’s Trust
Kathy Jones, CEO, Fatherhood Institute
Judith Dennis, Head of Policy, Maternity Action
Jo Dainow, Trustee, Long Covid Support
Simon Kelleher, Head of Policy and Influencing, Working Families
Youth unemployment rate hits 13.3%, up 1.4 percentage points on the quarter
Vacancies have fallen for the last 26 months (down 42,000 on the quarter)
While LFS data suggests employment is rising, HMRC data suggests that payrolled employees are falling
Real wages finally return to 2008 level, but there is much lost ground still to make up
Responding to today’s labour market data, which show ongoing weakness in the labour market including rising youth unemployment, TUC General Secretary Paul Nowak said: “Working people are still facing major problems left behind by the Conservatives.
“Vacancies have been falling for more than two years. Millions of workers are in insecure jobs and without proper employment rights. And young people’s futures are on the line as youth unemployment rises.
“Most employers support the new government’s plans to make work pay and strengthen workers’ rights. It’s time to move on from the low-pay, low-rights approach that has failed so many people so badly.”
New analysis shows more than a million employees didn’t get any of the paid holiday they were entitled to last year – with BME employees hardest hit
Union body says Tory failures on labour market enforcement have allowed bad bosses to exploit staff
TUC launches “five-point plan for enforcement” as new polling shows “huge support” for better enforcement from voters across the political spectrum
And union body says government’s Fair Work Agency could bring enforcement bodies together with “real teeth” to “finally hold rogue employers to account”
Workers across the UK are being “cheated” out £2 billion worth of holiday pay, according to a new report published to mark the beginning of the TUC’s 146th annual Congress today (Sunday).
UK workers are legally entitled to 28 days paid leave for a typical five-day week, with pro-rata entitlement for those who work fewer than five days.
But research by the union body shows that 1.1 million employees (1 in 25 employees) did not get a single one of the 28 days’ paid holiday, or equivalent, they were entitled to last year.
TUC analysis shows these missing weeks add up to £2 billion in lost holiday pay – or on average £1,800 per affected employee.
BME workers and low-paid hardest hit
The research shows that Black and minority ethnic (BME) staff were hardest hit – 6% of BME employees did not get any paid holiday last year, compared to 4% of white employees.
And low-paid workers were most at risk of losing their paid holiday entitlement. The jobs with the highest numbers of staff losing out were waiters and waitresses (59,000), care workers and home carers (55,000), and kitchen and catering assistants (50,000).
Millions missing out on key employment rights
In addition to holiday pay, the union body says millions of workers are missing out on many other basic employment rights due to a lack of enforcement.
Recent analysis from the government’s Low Pay Commission found that 365,000 workers are underpaid the minimum wage – more than one in five of all workers on the wage floor.
And the Resolution Foundation also found hundreds of thousands of workers have been shut out of basic rights like access to their payslip (1.8 million) so can’t check if they are being paid correctly, and auto-enrolment into a pension scheme (600,000).
The TUC says the main reasons people are missing out on paid holiday are:
Workplace cultures where workers fear that requesting paid time off could lead to being treated unfavourably.
Workers being set unrealistic workloads that do not allow time to take leave.
Employers deliberately denying holiday requests and managing out people’s leave.
Employers not keeping up to date with the law.
Five-point plan on enforcement
To address this enforcement crisis, the TUC is today (Sunday) launching its five-point plan for effective enforcement of employment rights in the UK.
The union body says that workers are currently losing out on wages and other key entitlements, while decent employers are undercut by those that don’t meet their legal duties.
The TUC report supports the new Labour government’s pledge to introduce a Fair Work Agency bringing together several existing state enforcement bodies. It calls on ministers to:
Create a properly resourced single enforcement body with a strong union voice in its governance structures.
Recycle fines back into the enforcement system.
Increase the number of inspectors and inspections.
Extend the licensing scheme to new sectors.
Build international links and create a firewall with immigration enforcement to crack down on the exploitation of migrant workers.
The Fair Work Agency
As part of the Employment Rights Bill, Labour has pledged to create a new Fair Work Agency – a single enforcement body with power to crack down on bad employment practices, uphold rights at work and level the playing field for good employers who follow the rules.
It will help bolster the work of unions to ensure people are treated fairly at work.
TUC polling of more than 3,000 voters – conducted by Opinium on the day after the election – showed large-scale backing across the political spectrum for Labour’s Fair Work Agency.
More than six in 10 (61%) voters support introducing a single enforcement body to make sure that workers’ rights are properly enforced – with less than one in 10 (8%) against.
And the polling showed clear support for the agency across the political spectrum.
Conservative voters support the policy by a margin of around three (50%) to one (17%), and there is even more support for the Fair Work Agency amongst Reform voters (53% to 13%).
TUC General Secretary Paul Nowak said: “We all deserve a break from work to spend time off with our friends and family.
“But more than a million working people have been deprived of any of the paid leave they are due. And hundreds of thousands more have been denied basic rights like being paid the minimum wage.
“The Conservative government sat back and let bad employers cheat their staff out of their basic workplace rights.
“Tory ministers were more concerned about stopping people getting what they were due by introducing anti-union measures, than funding enforcement bodies properly.”
On the need for the new government’s Employment Bill and Fair Work Agency, Paul Nowak said: “Now it’s time to reset the dial and to end the Tories’ race to the bottom.
“This week at Congress we will be debating how we can drive up standards at work. These shocking findings show why we need the Employment Rights Bill and the Fair Work Agency.
“Working people deserve to be treated fairly and have a minimum floor of rights upheld.
“And there is huge support from the public – right across the political spectrum – for this.”
On the need for a level playing field, Paul Nowak added: “Good employers have nothing to fear as they’re already playing by the rules. Now it’s time to level the playing field.
“Labour’s Fair Work Agency must have real teeth and hold rogue employers who think they are above the law to account.”
Poll reveals that three-quarters of people on zero-hours contracts have experienced financial difficulty due to lack of work
Survey shows “one-sided nature” of zero-hours contracts with shifts cancelled regularly and people feeling they have to work when unwell
TUC says forthcoming Employment Rights Bill is “badly needed” to drive up employment standards and to make work pay
The vast majority of workers on zero-hours contracts want regular hours, according to a new TUC poll.
The poll of zero-hours contract workers reveals that over 8 in 10 (84%) want regular hours of work – compared to just 1 in 7 (14%) who don’t.
Financial pressures
The poll reveals that many zero-hours workers are struggling financially due to being underemployed.
Three-quarters (75%) of those polled say they have experienced difficulty meeting living expenses due to not being offered enough hours.
This is backed up by other findings from the poll which show that:
Two-thirds of (66%) of people employed on zero-hours contracts are seeking extra work.
Well over half (58%) of zero-hours workers’ requests for more hours are being refused by employers.
One-way flexibility
The TUC says the poll also shows the one-sided nature of zero-hours contracts:
Over half of zero-hours contract workers (52%) have had shifts cancelled at less than 24 hours’ notice.
Two-thirds (66%) of zero-hours contract workers say they received no compensation for cancelled shifts – with just 1 in 20 (5%) fully compensated.
Over three-quarters (76%) say they felt they had to work despite feeling unwell.
Work-life balance
The poll also reveals how many zero-hours contract workers have struggled to balance caring responsibilities and family commitments with their work:
Half (50%) say they have experienced difficulty managing childcare with their work. And this number rises to two-thirds (67%) for mothers on zero-hours contracts.
Three-quarters (76%) say they have missed out on a planned family or social event due to needing to work.
The poll shows that mums (35%) and carers (38%) on ZHCs are more likely than those not on ZHCs (22% and 20% respectively) to often find it hard to manage care alongside their work – putting paid to the idea that ZHCs are the best way to help working parents and carers balance paid work and unpaid caring commitments.
The majority (80%) of students on zero-hours contracts also reported that they had experienced difficulties managing studying and education alongside their work.
The poll further reveals that even amongst the minority of zero-hours contract workers who report working in this way because of their need for flexibility (for care or for study) – 6 in 10 (61%) – would prefer a contract with guaranteed shifts (compared to less than a quarter, 23% of this group for whom this arrangement would not be preferable)
Making work pay
The TUC says the findings highlight the importance of the government’s forthcoming Employment Rights Bill that will ban the use of zero-hours contracts and other exploitative practices.
Analysis published by the union body in June revealed that 4.1 million people in the UK were currently employed in low-paid and insecure work – including around 1 million workers on zero-hours contracts.
Separate TUC polling published in July revealed that the vast majority (67%) of voters in Britain – across the political spectrum – support banning zero-hours contracts by offering all workers a contract that reflects their normal hours of work and compensation for cancelled shifts.
TUC General Secretary Paul Nowak said: “Most people on zero-hours contracts would much rather have the security of guaranteed hours and to be able to plan their lives properly.
“The so-called ‘flexibility’ these contracts offer is hugely one-sided with shifts regularly cancelled at the last minute – often without any compensation.
“I would challenge anyone to try and survive on a zero-hours contract not knowing from week to week how much work they will have.
“It’s time to drive up employment standards in this country and to make work pay for everyone.
“The government’s forthcoming employment rights bill will help create a level playing field – and stop good employers from being undercut by the bad.”
Mubin Haq, Chief Executive of the abrdn Financial Fairness Trust, said: “The major problem with zero-hours contracts is the insecurity they cause and the knock-on effects on people’s daily lives.
“From participating in family and social events, to balancing caring responsibilities, those on zero-hours contracts report greater challenges.
“Moreover, the financial penalties are significant with just a third receiving any compensation for loss of income. Addressing problems such as this are essential to delivering greater financial security.”
Julian Richer, Founder and Managing Director of Richer Sounds, and Founder of the Zero-Hours Justice campaign – said: “Most people work for good employers who pay decent wages and provide secure conditions.
“Working people need basic security, to know when they will be working and how much they will earn. But a minority of employers exploit the ability to hire people on zero-hours contracts.
“It is time to rid the economy of these contracts so that every worker who wants a secure contract can have one.
“Driving up employment standards is in everyone’s interests. A ban on exploitative zero-hours contracts is well overdue.”
Today is Gender Pension Gap Day – the point of the year from which, if women received their pension at the same rate as men, they wouldn’t get another penny until January.
The fact that we reach this point in the middle of the summer holidays is a stark illustration of the levels of inequality in our pension system.
At just under 37.9 per cent, the gender pension gap is much wider than the gender pay gap and, according to annual research by Prospect, it has barely budged in recent years (it stood at 40.7 per cent in 2015-16 when the trade union started measuring it).
The result is that, taking into account all forms of pension, retired women today have incomes around £7,000 a year lower than retired men.
What causes the gender pensions gap?
There are three main drivers of the gender pensions gap:
Different lifetime working patterns that mean women are more likely to take time out of the labour market or work part-time, most often because of unpaid caring responsibilities
The gender pay gap, exacerbated by a workplace pension system that excludes many low earners altogether
Differing levels of state pension entitlement
The impact of unpaid caring
Previous TUC analysis has highlighted the role of the pay gap – and a workplace pension system that excludes many low earners – in leaving women poorer in retirement.
But the most significant factor in the wildly unequal pension outcomes for men and women is the first bullet point – women are much more likely than men to spend time out of work or working part-time because of caring commitments than men.
This matters because our pension system is designed so that the typical worker will get around half the retirement income they need from the State Pension and half from a workplace pension.
National Insurance credits generally recognise the value of unpaid work such as caring so that people continue to build up state pension entitlement, but those out of paid work stop building up their workplace pension.
These contribution gaps are the biggest factor in women with a defined contribution pension approaching retirement having a pension pot less than half the size of men on average.
How wide is the ‘economic activity gap’?
New TUC analysis shows that women are vastly more likely than men to be out of paid work – and therefore unlikely to be building up a workplace pension – because of caring responsibilities.
This disparity can be seen in every age group, and is particularly wide for groups who face additional barriers in the labour market, such as disabled women and BME women.
Overall, women are 4.5 times more likely than men to be economically inactive – the Office for National Statistics’ term for people neither in or looking paid work – because of caring responsibilities.
The chart below shows that rates of economic activity due to caring responsibilities peak between the ages of 25 and 44, with more than one in 11 women aged 35-39 in this category.
The gap is highest in the late 20s, with women aged 25-29 more than 14 times more likely than male counterparts to be out of paid work because of caring commitments.
Source: TUC analysis of ONS Labour Force Survey, Q1 2024
This is perhaps unsurprising, with working mums much more likely to take time off work to look after kids.
It has a particularly large impact on pension saving, however. These are the years when workers typically have higher incomes than when they are just starting out, meaning their pension contributions are greater, but they are also far from retirement, so those contributions will remain invested for longer and have more time to grow.
The charts below show that BME women are particularly likely to be affected. While white women are four times more likely than men to be out of work looking after a loved one, the figure rises to 6.4 times more likely for BME women.
Source: TUC analysis of ONS Labour Force Survey, Q1 2024
And the chart below shows that people who are themselves disabled, are also much more likely to be out of the labour market because of caring responsibilities to others.
Disabled women are almost nine times more likely than non-disabled men to be in this position.
Source: TUC analysis of ONS Labour Force Survey, Q1 2024
Tackling the gender pension gap
The TUC has long called on governments to get serious about measuring the gender pension gap, and set out a plan to reduce it.
But this is only the first step, and the new government must build on this by setting out a comprehensive plan to reduce the gap
The recently announced Pensions Review is a great opportunity to do this, and we believe this should include an explicit strand on tackling pensions inequality.
But the figures above make clear that it will be difficult to improve women’s retirement incomes without improving the way our pension system recognises the value of unpaid care work.
This would require replacing the workplace pension contributions lost by those out of paid work, and there have been a number of proposals to introduce a Carers Credit that would dothis.
We believe the most straightforward way of doing this is for those out of the labour market with a young child and registered carers to build up additional State Pension, on top of the flat-rate New State Pension.
This would be essentially reintroducing a feature that was removed in 2016. Before this point, people looking after children under 12 and registered for child benefit built up State Second Pension credit in addition to a credit towards the basic state pension.
When it was removed this credit was worth an extra £1.80 a week in pension in 2015-16 terms. So a worker who took five years out of paid work to raise kids, for example, would have built up almost £500 a year in additional State Pension over these years to plug the gap in their workplace pension contributions.
There is no single policy that would fix the gender pension gap, but introducing (or reintroducing) a Carers Credit would be a very significant step in the right direction.
Prime Minister Keir Starmer delivered a statement from Downing Street yesterday:
I utterly condemn the far-right thuggery we have seen this weekend.
Be in no doubt: those who have participated in this violence will face the full force of the law.
The police will be making arrests.
Individuals will be held on remand.
Charges will follow. And convictions will follow.
I guarantee you will regret taking part in this disorder.
Whether directly or those whipping up this action online, and then running away themselves.
This is not protest. It is organised, violent thuggery.
And it has no place on our street or online.
Right now, there are attacks happening on a hotel in Rotherham.
Marauding gangs intent on law breaking. Or worse.
Windows smashed.
Fires set ablaze.
Residents and staff in absolute fear.
There is no justification – none – for taking this action. And all right-minded people should be condemning this sort of violence.
People in this country have a right to be safe.
And yet, we’ve seen Muslim communities targeted.
Attacks on Mosques.
Other minority communities singled out.
Nazi salutes in the street.
Attacks on the police.
Wanton violence alongside racist rhetoric.
So, no, I won’t shy away from calling this what it is: Far-right thuggery.
To those who feel targeted because of the colour of your skin…
Or your faith…
I know how frightening this must be.
I want you to know this violent mob do not represent our country.
And we will bring them to justice.
Our police deserve our support, as they tackle any and all violent disorder that flares up.
Whatever the apparent cause or motivation we make no distinction.
Crime is crime.
And this government will tackle it.
Thank you.
The Prime Minister will hold an emergency COBRA meeting this morning.
Mosques to be offered new emergency security
Mosques are being offered greater protection with new emergency security that can be rapidly deployed
The new rapid response process means mosques at risk of violent disorder can be offered additional security personnel, providing communities with vital support and reassurance. This will boost the work already being done by local police forces to protect these important places of worship.
Under the new process now in place, the police, local authorities and mosques can ask for rapid security to be deployed, protecting communities and allowing for a return to worship as quickly as possible.
This announcement will build on the existing Protective Security for Mosques Scheme, with up to £29.4 million already available this year to fund security at mosques and Muslim faith schools.
Home Secretary, Yvette Cooper said: “Britain is a proud and tolerant country, and nobody should make any excuses for the shameful actions of the hooligans, thugs and extremist groups who have been attacking police officers, looting local shops or attacking people based on the colour of their skin.
“In light of the disgraceful threats and attacks that local mosques have also faced in many communities, the government is providing rapid additional support through the Protective Security for Mosques Scheme, alongside the support from local police forces and we repeat that anyone involved in this disorder and violence will face the full force of the law.
“As a nation we will not tolerate criminal behaviour, dangerous extremism, and racist attacks that go against everything our country stands for.”
The Government has made clear that targeted attacks on Muslim communities will not be tolerated. All those involved in violent disorder, including attacks on the police, local communities, arson and looting should expect to face the full force of the law.
The new arrangements have been deployed and are already providing additional security for mosques across the country this weekend. The scheme also remains open for general applications and all those eligible are encouraged to apply.
TUC ANTI FAR RIGHT STATEMENT
We stand together in peace and solidarity with the people of Southport following the horrific events that took place on Monday 29th July have left us all in shock.
Our thoughts are with the families and loved ones of those who have died and are receiving treatment for their injuries. They should be the priority for everyone who cares about what has happened
Instead some have sought to use the tragic event in Southport to divide and spread hate – based on mistruths and false information. Far right thugs have taken to the streets of Southport, Hartlepool and London to attack Police and emergency service workers, to target Muslim communities with xenophobic hatred and to despoil the memories of those whose lives were so tragically cut short.
We must not let them get away with their lies and division. Trade unions have always been at the heart of efforts to unite communities and stand against hate. But the challenge feels even more urgent now.
Whilst what took place in Southport leaves a dark shadow, we have seen some of the best of us. Our emergency service workers who rushed to danger, who provided and continue to provide life-saving care. Our public service workers providing ongoing care and support and practical help. Our teachers and support staff in the schools attended by young people affected and our community organisations who have stepped up to help and provide counselling.
So many other individuals, local businesses and organisations who are giving their time and expertise. They all deserve our gratitude. They have discharged their duty professionally, diligently and with compassion for their community.
Once again, it is a diverse range of front-line workers and community activists who have stepped up to repair the damage – material, physical and emotional.
Southport and our communities across the country do not need to meet violence with further violence. Whipping up hate and fear is not acceptable.
As trade unions, we will continue to work with our members in workplaces across the country, to provide practical support and solidarity and defeat the narrative of hate.
Our unions call for an end to the violence and intimidation, and for all those who perpetrate these acts to be brought to justice.
Unity is our strength, and we will stand firm against those that aim to pit different workers and communities against each other.
The Health and Safety at Work Act received Royal Assent on 31 July 1974
The TUC estimates there have been at least 14,000 fewer workplace fatalities since 1974
More than a decade of cuts to health and safety enforcement is endangering workers, says TUC
The TUC is championing the Health and Safety at Work Act (HSWA) as life-saving legislation as trade unions mark the 50th anniversary of its Royal Assent today (Wednesday).
The HSWA was the first legislation to mandate health and safety in all workplaces.
Despite the major life-saving progress made since the Act became law, Britain still averaged more than 100 work-related deaths each year for the past decade.
The TUC is calling on the new government to build on the success of the Act, and to provide the fresh funding needed to consign all work-related deaths to history.
The Health and Safety Act 1974
In 1970, Employment Secretary Barbara Castle commissioned Lord Robens to chair a committee to review provisions for the health and safety of workers.
The Robens Report, published in 1972, laid the groundwork for what became the Health and Safety at Work Act. And it recommended a new health and safety authority, which was enabled by the Act and became the Health and Safety Executive.
In 1977, the Act was accompanied by the Safety Reps and Safety Committees Regulations, which gave rights to trade union safety reps (for example, the right to inspect workplaces).
Lives saved since 1974
The Robens report stated that “Every year something like 1,000 people are killed at their work in this country”.
In 1974, when the current official data begins, there were 651 workplace fatalities. From 1974 onwards, fatalities steadily declined.
Since 2013, there have been fewer than 150 fatalities in every year. In 2023 there were 138 fatalities but there has not yet been a year with fewer than 100 fatalities.
Based on data from the Robens report and the official data since 1974, the TUC estimates that there have been at least 14,000 fewer fatal injuries in the workplace since the Act became law.
Without the HSWA the number of deaths relating to occupational illness would have been higher too.
The TUC says that while the HSWA has played a major role in the reduction in workplace fatalities, it was not the only factor. Britain’s economic transition away from heavy industry to service sectors is also likely to have reduced workplace fatalities, as have additional rights for unions to act in workers’ defence.
Raising standards and reducing fatalities and injuries
As the new government seeks to boost housebuilding and to revive Britain’s manufacturing base with the Green Prosperity Plan, the TUC says that workers must have a higher standard of health and safety protection than in previous generations.
The TUC is calling for the government to:
Restore adequate funding to the Health and Safety Executive
Take action to speed up the removal of asbestos from all workplaces
Protect the role of trade union health and safety reps, and allow unions to enter and organise workplaces that lack union representation
Foster a culture of positive industrial relations so that employers and workers both benefit from a collaborative approach to improving health and safety
TUC General Secretary Paul Nowak said: “The Act made it a duty for every employer to protect the health and safety of staff. Thousands of lives have been saved since then. It shows how valuable government can be when put at the service of working people.
“All deaths, injuries, and illnesses at work are preventable. But workplace inspections and prosecutions have plummeted because of Conservative cuts. And more than a hundred people died from work-related injuries last year.
“We need fresh funding and fresh thinking. Government, unions and employers must work together to raise workplace safety to the next level. Every worker deserves to be safe, wherever they work and whatever they do.”
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.
