Cuts warning for social mobility progress
By politics.co.uk staff
Cutting public services and benefits will make Britain’s terrible record on social mobility even worse, the TUC has warned.
A report published today suggested 50% of a child’s future earning potential is determined at birth in the UK, compared to just 20% in Canada, Australia, Denmark, Norway and Finland.
Social Mobility argued that improvements could not be made without making Britain a more equal society, blaming high levels of income inequality developed under the Labour government for the problem.
TUC general secretary Brendan Barber argued Labour had mitigated a longer-term trend, however, saying the minimum wage and tax credits had helped slow the rise of inequality since 1997.
“Cuts in public services and social security are almost certainly going to produce reduced levels of social mobility and increased inequality,” he added.
“A real programme to reduce inequality and enable social mobility would need higher taxes and fewer tax loopholes for the super-rich and a more highly skilled workforce, stronger unions and higher benefits.”
George Osborne is arguing today the spending cuts being introduced by the coalition government are “fair” and “progressive”, but Mr Barber argued the chancellor’s cuts were “hitting the most vulnerable”.
“His economic policies are bearing down on the young, trapped between unemployment and an education sector with not enough places,” he commented.
“Meanwhile those in banks and finance who caused the recession are back collecting their bonuses and celebrating their biggest windfall, their escape from being asked to make a proper tax contribution to clearing up the mess they made.”
