(left to right) Health Secretary Wes Streeting, Dr James Marsh, Group Deputy CEO for Epsom and St Helier Hospitals, Prime Minister Keir Starmer, and NHS CEO Amanda Pritchard during a visit to Elective Orthopaedic Centre in Epsom, Surrey, January 6, 2025
Labour warned that workers expect better as anger mounts over welfare cuts and public-sector pay
WORKERS expect better, Labour has been warned by the country’s biggest trade union as anger mounts over cruel welfare cuts and public-sector pay.
Protests met Health Secretary Wes Streeting’s address to Unison health conference in Liverpool yesterday, following a sharp rebuke to the government from its general secretary Christina McAnea on Tuesday.
Ms McAnea had thanked the government for taking steps to improve workers’ conditions through the upcoming Employment Rights Bill.
But she said that some of Labour’s decisions, such as stopping winter fuel payments and inflicting “heartless” cuts to welfare, had left her “baffled and speechless.”
“These cuts will place yet more strain on an NHS already creaking at the seams,” she warned.
“They’re counter-productive, will cost more in the long run and are morally wrong.
“The best way to turn the NHS around is by focusing on the workforce.
“There’s simply no route to fixing the NHS that doesn’t first involve sorting health workers’ pay,” which declined in real terms for over a decade under the Tories.
She called Labour’s 2.8 per cent pay rise for workers “ludicrous,” adding that it “won’t encourage experienced staff to stay in the NHS, nor will it be enough to persuade new recruits to join.”
Government cuts to disability benefits will disproportionately inflict suffering on women | Hollie Adams/WPA Pool/Getty Images
Cuts will push hundreds of thousands of women into poverty or force them out of workforce
While the staggering £5bn of planned cuts to disability benefits announced by chancellor Rachel Reeves at last week’s Spring Statement have rightly been the subject of much scrutiny, the disproportionate suffering they will inflict on women has been under-discussed both by politicians and the media.
The government’s own risk assessment found the cuts will push 250,000 adults and 50,000 children in the UK below the poverty line. Women, who are both more likely to be Disabled and more likely to be a carer for a loved one, will be worst affected.
Indeed, single Disabled women make up 44% of those due to lose out from the cuts, and face an average loss of £1,610 per year, the government’s Equality Impact Assessment found.
This demographic has already been significantly affected by austerity cuts to social security and public services since 2010. Such measures, taken together with tax changes, will cost Disabled women an average of £4,000 a year by 2028, according to an analysis that we at The Women’s Budget Group (WGB) published in September last year.
That means, for many Disabled women in the UK, Reeves’ latest cuts follow what has already been an 11% drop in their living standards over the past 15 years. Cutting their living standards further is unthinkable.
Women also make up the majority of the UK’s unpaid carers, who provide care and support to family members, friends, or neighbours. They, too, will be hit hard by the changes.
When a person receives the Personal Independence Payment (PIP) – a benefit to help with the extra costs incurred by long-term ill health or disability – their unpaid carer may be entitled to the Carer’s Allowance benefit. The government plans to reduce the number of people eligible for PIP, which in turn will reduce the number of people eligible for Carer’s Allowance.
A couple where one person loses PIP and the other therefore loses Carer’s Allowance could be over £12,000 worse off annually, according to calculations by anti-poverty charity The Joseph Rowntree Foundation.
Reeves failed to acknowledge this knock-on impact in her speech. Worse still, the Equality Impact Assessment of these changes that was published as the chancellor was still speaking, also made no reference to it (although these impacts were included in the distributional assessment published at the same time).
What’s more, restricting the eligibility for PIP may increase the number of unpaid carers if a Disabled or chronically ill person is no longer able to rely on the benefit to pay somebody to provide their care. This may force women who are currently just about managing to stay in work to reduce their hours or quit their jobs altogether to take on additional care duties for loved ones.
Forcing women out of the workforce in this manner is not only detrimental to their health and wellbeing, it directly undermines the government’s claim that the measures are necessary to reduce economic inactivity.
At the same time, cutting PIP may push some disabled people out of the labour market if they can no longer afford the adaptations and services that enable them to work.
Years of austerity have already weakened our economy and eroded our living standards, leaving us ill-prepared for economic shocks. Cutting vital social security and public services is not the path to improving living standards.
Ahead of the Spring Statement, the WBG, along with more than 40 women’s organisations across the UK, wrote an open letter to the chancellor highlighting the gendered nature of these cuts – and urging her to consider more equitable ways to raise revenue.
Rather than targeting some of the most vulnerable members of our society, the government should be looking into taxing those with the broadest shoulders in our society.
A 2% wealth tax on assets over £10m could raise up to £24bn a year – far exceeding the savings from the proposed disability benefit cuts. This measure has already been called for by Tax Justice UK, which campaigns for a fairer tax system, and Patriotic Millionaires UK, which describes itself as a nonpartisan network of British millionaires.
A wealth tax of this kind could be used for much-needed investment in the foundations of our economy, including our social infrastructure – from childcare and education to social care and local government services.
Moreover, it’s what the public wants. Some 77% would rather the government increase taxes on the very richest than cut public spending, according to recent polling by YouGov for Oxfam.
Investing in social security and public services is not just a cost, but an investment in our society and economy. By choosing to cut benefits instead of implementing a wealth tax, the Government is not just balancing numbers on a spreadsheet. It is making a political choice – one that will deepen inequality and harm those who are already struggling.
Keir Starmer, Angela Rayner and Rachel Reeves wear the uniform of the rich and powerful. They have all had clothes bought for them by multi-millionaire Labour donor Lord Alli. CORRECTION: It appears that Rachel Reeves clothing was provided by Juliet Rosenfeld.Keir Starmer says that his Labour Party is intensely relaxed about assaulting the very poorest and most vulnerable.
WORKING-AGE households are set to be an average of £400 worse off in the year ahead amid income squeezes and bill hikes, the Resolution Foundation has warned.
A new report by the think tank estimates that the disposable income of a typical household will fall by 1 per cent, while those across the poorest half of Britain are set for a sharper 2 per cent fall, losing the equivalent of £300.
One contributing factor is council tax rises, with households facing an £80-per-year average increase as rates rise by 5 per cent across most of England, 7 per cent in Wales and 9 per cent in Scotland.
Above-inflation increases in water charges will hit even harder, pushing bills up by an extra £120 on average.
Ofgem’s 6.4 per cent increase in the energy price cap adds another £111 a year on average from this month, although the Resolution Foundation believes that the impact of the change will be limited, with prices expected to fall in July.
Working-age benefits will not keep pace with inflation this year, the think tank warned, with April’s 1.7 per cent boost falling short of the 3.2 per cent consumer prices index rate projected for this year.
Meanwhile, private rents have risen by 9 per cent since the local housing allowance was last set.
Keir Starmer, Angela Rayner and Rachel Reeves wear the uniform of the rich and powerful. They have all had clothes bought for them by multi-millionaire Labour donor Lord Alli. CORRECTION: It appears that Rachel Reeves clothing was provided by Juliet Rosenfeld.
Unite members take part in a day of action for Energy4All in Bradford, April 1, 2025Photo: Neil Terry Photography
Energy giants rake in half a trillion pounds out of people’s misery, campaigners warn
GREEDY energy giants have raked in half a trillion pounds in profits since 2020, according to new data released today.
The End Fuel Poverty Coalition examined the accounts of 20 firms that produce, supply and distribute energy, and discovered that they pocketed more than £514 billion over the last five years.
Among the top earners were oil titans Equinor and Shell, which saw their profits swell to £140bn and £91.6bn while millions of people struggled with soaring costs.
Warm This Winter spokesperson Caroline Simpson said: “It’s incomprehensible in so many ways and plain wrong that a mere 20 companies have made so much money out of people’s misery.
“The industry can spare a few of their many billions to bring down bills, pay for energy efficient homes and switch from oil and gas to save the planet.”
Households are set to be hit by even higher bills as the Ofgem price cap rises by 6.4 per cent this week.
The average bill is expected to rise by £111 to an average of £1,849 a year.
Image of the Green Party’s Carla Denyer on BBC Question Time.
“Energy bills up to nearly £2000 a year. Water bills up by 31% in some areas. Basic food prices keep rising – the list goes on. People aren’t fooling around when they say today is the start of “Awful April”. Especially awful for single parents who we know will be hit hardest by these price hikes.
“These spiralling costs come on the back of axing winter fuel payments for pensioners, refusing to remove the two-child benefit cap and cutting benefits for the sick and disabled.
“These are political choices. Rather than making the poorest and most vulnerable in society bear the brunt of the cost of living crisis, Labour could have chosen instead to tax a tiny percentage of the wealth of multi-millionaires and billionaires. They’ve made a choice, to take money off the old, ill and disabled.
“Labour have again and again made the wrong choices, which has left many of the poorest households at breaking point.”
Keir Starmer says that his Labour Party is intensely relaxed about assaulting the very poorest and most vulnerable.
