DARLING’S DEBUT BUDGET LACKS X FACTOR SAYS UNISON
COMMENTING on
Alistair Darling’s first budget, Dave Prentis, General Secretary of
UNISON, the UK’s largest public sector union, said:-
“Chancellor Alistair Darling’s debut budget lacked the X factor. There were some flashes of colour in an otherwise dull budget, with
a welcome green agenda containing new measures to penalise gas
guzzling cars, more energy efficient homes and plans to phase out
free supermarket bags.
However, Darling’s limited room for manoeuvre is clearly hampering
progress towards a fairer Britain.
Public Service workers such as
nurses, teaching assistants, dinner ladies, care workers, cleaners
and nursery nurses are bearing the brunt of the squeeze on public
services.
The budget would have been an opportunity to boost morale by getting
rid of the artificial pay cap, a move that would have demonstrated
real fairness and paid dividends. World class public services demand
well trained, motivated staff and sticking to a 2% pay limit will
lead to a recruitment and retention crisis, as staff see higher pay
increases in the private sector. Investing in staff and managers to
improve services is the way forward and we need to rid the public
sector of highly paid consultants and accountancy firms that are a
drain on public finances.
This is no time to be celebrating cuts in the public service
workforce. The increasing pressures on child care and social care
services, both at the front-line of tackling exclusion, needs to be
met with new resources and measures to attract and retain staff in
this difficult sector.
Only last week UNISON lodged its 40,000th equal pay claim but there
is no recognition in the Chancellor’s budget that this blight on the
public sector must be tackled. The Government must ensure that Local
Authorities obey the law and give them the means to deliver fair pay
for women workers.
Tackling child poverty is still an important part of the
Government’s agenda and the increase in tax credits and child
benefit is a welcome plus to parents. Reducing charges for people
using pre-payment meters is only a partial solution to fuel poverty.
The Chancellor should have gone ahead with a windfall tax on the
outrageous profits announced by energy companies to help fund the
fight against fuel poverty.
Rising fuel bills are adding to the misery low income families and
many public sector workers. However the Chancellor is right to
recognise the plight of pensioners and raise the much needed winter
fuel allowances.
In a welcome move, Alistair Darling has shown his mettle and gone
ahead with plans to tax non doms.
This is a small step towards creating a fairer tax system which
highlights the need for a wider public debate on the whole tax
regime.
For years the super rich have
got away with not paying their fair share. The tax burden is
greatest on the lowest paid and UNISON would like to see a
fundamental shift with a 50% top rate on those earning over £100,000
and further action to crack down on tax avoidance by high earners
and the very wealthy.” |
‘A SPOONFUL OF SUGAR TO MAKE THE BAD MEDICINE BUDGET GO DOWN’
GORDON Lishman,
Director General of Age Concern in response to the Budget, said:- “An increase to the
Winter Fuel Payment this year1 is a spoonful of sugar to make the
bad medicine Budget go down for pensioners. Although this
announcement is welcome many older people will feel it is nowhere
near enough to address the cocktail of price hikes they have had to
swallow this year. With limited room to manoeuvre this Budget
suggests older people are not among the Chancellor’s key
priorities.”
Energy Bills:- "Whilst increases to the Winter Fuel Payment
this year are
good news in the short-term, we need to see a long-term solution for
the estimated 2.25 million older people in fuel poverty. Vague
promises on extra help on pre-payment meter charges and social
tariffs simply aren’t enough for the government to meet its target
on fuel poverty. A radical new package of measures should be
introduced to target all of those in fuel poverty.
Energy industry profits and the extra VAT revenue the government
receives could have been re-directed into providing targeted support
for the poorest pensioners and other groups hit hardest by the
hikes. We wanted to see the £200 Winter Fuel Payment raised to at
least £300 and significant investment made in energy efficiency
schemes, in particular increasing the maximum Warm Front grant
available. Through the Energy Bill the government should also make
it compulsory for energy companies to offer meaningful social
tariffs to vulnerable groups.”
Pensions:- “It is very disappointing that on the hundredth anniversary of
the state pension’s introduction, the government has missed yet
another opportunity to bring forward the date to re-establish the
link to earnings. Older people are feeling the pinch of huge hikes
in living costs, yet the real value of the state pension is
declining.”
Savings:- “The government’s commitment to encouraging those on low
income to save is welcome. However it must ensure that the Savings
Gateway scheme it intends to provide does not have a discriminatory
cut-off point which denies help to those aged over 65."
Social Care:- “The government has acknowledged social care is one of the
main priorities for public service reform, yet this was not even
mentioned in the Budget. Its commitment to addressing the social
care crisis isn’t being backed up with enough money. It is estimated
that Local Authorities are failing to provide 1.5 million older
people with all the care they need in their own homes. Without
radical reform of the system in the long-term, and more funding in
the short-term, the Government’s rhetoric on social care will
continue to fall short of reality.”
Council Tax:- “Many pensioners will be disappointed that the government
hasn’t offered any help with their Council Tax bills. Council Tax
should be replaced by a fairer system that reflects people’s ability
to pay. In the mean-time efforts to improve the take-up of Council
Tax Benefit must be increased and there should be moves towards a
system of automatic benefits payments."
Gift Aid:- “The government’s commitment to providing a transitional rate
of gift aid to allow charities to continue to enjoy the same level
of benefit despite changes in income tax rates is a welcome
short-term measure." |