Spending on public services will not rise in line with inflation – TUC responds to government signals on public spending

Responding to Chancellor Kwasi Kwarteng’s comments today (Monday) that spending on public services will not rise in line with inflation, TUC General Secretary Frances O’Grady said:  

“The Prime Minister promised during her leadership campaign there would be no return to austerity. 

“But that pledge now appears in tatters.  

“If spending on public services does not rise in line with inflation, schools, hospitals and other vital services face a massive black hole in their budgets. 

“That would be devastating for communities across the country. 

“Public services have already been cut to the bone by successive Conservative governments. There is nothing to trim. 

“If Liz Truss pushes ahead with another round of savage cuts this would be a huge betrayal of the British people and proof that her word counts for nothing.” 

On the political choices the government is making, Frances added: 

“The government is choosing to slash funding for our public services, at the same time as handing tax breaks to wealthy companies. 

“Ministers are transferring money away from vital services to boost corporate profits.” 

On Thursday 18 union heads penned an open letter to Liz Truss and Kwasi Kwarteng calling for an urgent meeting amid fears of another “crippling round of austerity this November”.   

The union leaders called on the Prime Minister and Chancellor to provide a “cast-iron assurance” they will not make further spending cuts to public services. 

The TUC earlier responded to suggestions that the Conservative Party was thinking of cutting Public Spending

@The_TUC Commenting on levelling up minister Simon Clarke’s comments in The Times recently signalling another round of crippling cuts, TUC General Secretary Frances O’Grady said:

“Public services have already been cut to the bone by successive Conservative governments. There is nothing left to trim.

“Up and down the country, NHS waiting lists are sky-high and our schools have been left dilapidated.

“Our key workers – the nurses, teachers, and paramedics – who got us through the pandemic are all thousands of pounds worse off compared to a decade ago.

“Unleashing another wave of crippling austerity to fund tax cuts for the super-rich would be obscene.

“It would be an act of national vandalism.

“Strong public services are essential to our nation’s health and our economy. They need urgent extra investment – not savage cuts.”

On the indication that government will cut Universal Credit, Frances added:

“As the cost of living crisis continues to wallop working people, it’s clear they need more money in their pockets – not less.

“The uprating of benefits by inflation that ministers promised is the absolute minimum. They must not break that promise

“Cutting the benefits of working people to pay for tax cuts for the wealthy would be another reverse Robin Hood from this government.”

Earlier this week, 18 union heads penned an open letter to Liz Truss and Kwasi Kwarteng calling for an urgent meeting amid fears of another “crippling round of austerity this November”. 

The union leaders called on the Prime Minister and Chancellor to provide a “cast-iron assurance” they will not make further spending cuts to public services.