Use autumn statement to ditch austerity, UNISON tells chancellor

The time is now for the government to ditch damaging austerity and send a lifeline to the public services our communities depend upon, said UNISON, the UK’s largest union, ahead of the Autumn Statement.

The union has identified billions of pounds that could be used to provide an alternative to drastic public spending cuts that have vandalised our public services, devastated communities and laid waste to our economy.

This funding would help save services, put people back to work, increase the taxes paid to the Treasury, boost consumer spending power and reduce unnecessary spending on benefits.

Sources of funding include the £34.8bn cash surplus built up by the Bank of England – now being returned to the Treasury (£11bn in 2012/13 and £23.8bn in 2013/14)*. A further £10bn could be raised by tackling aggressive tax avoidance schemes*, even more could be raised by making multinationals pay their fair share.

Dave Prentis, UNISON General Secretary, said:

“More austerity is not the answer to our growing economic and social problems.

“Cuts hurt people who depend on public services and set back our economic recovery. Half a million jobs have been lost in the public services since the economic crisis began and another 250,000 more will go.

“This has resulted in higher government borrowing and weaker demand in the economy. The fear of further job losses is sapping consumer confidence.

“If we are all in this together, those with the most must also pay their fair share. This means closing those tax loopholes that allow major multinationals and rich individuals to rob the Treasury – and the taxpayer – of billions.”

NOTES

*On 9 November 2012 the Treasury announced that the Bank of England would transfer £11bn of surplus cash to the Treasury during 2012/13 and a further £23.8bn during 2013/14.

*The National Audit Office recently estimated that a backlog of more than 41,000 cases involving aggressive tax avoidance by small businesses and individuals is worth a total of £10.2 bn.

ENDS