Welby warns of ‘widening wealth gap’
THE Archbishop of Canterbury has put himself at odds with Theresa May by hitting out at the “widening gulf between rich and poor” under her Government’s economic policies.
Dr Justin Welby called for a radical change in direction to put “fairness” at the heart of planning for post-Brexit Britain.
In an intervention likely to irritate Tory ministers, the leader of the Church of England also backed proposals for a major overhaul of the tax system and a rise in the minimum wage.
He spoke ahead of today’s launch of a report by the Commission on DOMINIC Raab last night insisted that Britain is ready for Brexit – deal or no deal – after Brussels flatly rejected the Government’s plan for an agreement.
The EU Exit Secretary told MPs the UK could look forward to new opportunities from quitting without a treaty.
He also vowed not to “roll over” in the negotiations with Brussels, claiming support for Theresa May’s proposal was growing among leaders of EU nations.
Mr Raab spoke after MPs warned him that EU chief negotiator Michel Barnier had declared the Prime Minister’s blueprint for a customs deal “dead”.
Members of the Commons EU Exit Committee said Mr Barnier rubbished the “Chequers plan” during a meeting with them in Brussels earlier this week.
Mr Barnier also signalled his support for a free trade deal for the UK based on Canada’s arrangements with the EU.
MPs raised concerns about the Government’s plan yesterday on the first day back after the summer.
Ministers have faced growing demands to abandon the proposals agreed at the Prime Minister’s country retreat in July.
Mr Raab said: “While it is not what we want, a no-deal scenario would bring some countervailing opportunities.
Recovery
“We would be able to lower tariffs and negotiate and bring into effect new free trade deals, straight away.
“There would be the immediate recovery of full legislative and regulatory control, including over immigration policy, and a swifter end to our financial contributions to the EU.”
He added: “If the ambition and pragmatism that we have shown is matched by our EU friends this House and the British people can rest assured that the UK will be ready for Brexit – deal or no deal – and prepared, whatever the outcome, so this country will go from strength to strength.
“We’re confident that our proposals respect the key principles of the EU but also resolve all the issues.”
Mr Raab pointed out that Mr Barnier had signalled his readiness to offer the UK “a partnership such as there has never been”.
He added: “We continue to explain our proposals to Michel Barnier, also to the other member states and we’re confident we will make progress.”
Tory backbencher and Brexit committee member Sir Christopher Chope said: “None of us who was present listening to Mr Barnier yesterday could be in any Economic Justice, an independent panel set up by the Institute for Public Policy Research.
The Archbishop joined figures from business, trade unions, universities and other bodies in contributing to the report.
He said: “For decades the UK economy has not worked as it should, with millions of people and many parts of the country receiving less than their fair share.
“The widening gulf between rich and poor, and fears about the future among young people and their parents, have damaged our nation’s sense of itself. Our report shows that it doesn’t have to be like this. By putting fairness at the heart of the economy, we can make it perform better.”
The report said the UK was on the cusp of a new era that required a radical rethink, comparable to the challenges faced by Clement Attlee’s Labour government in the 1940s and Margaret Thatcher’s Tory administration in the 1980s.
It made 73 recommendations in a 10-year plan, including raising the minimum wage by £1 an hour and a rise in corporation tax.
Other ideas included a single income tax to cover both earnings doubt that he understands perfectly what is involved in the Chequers arrangements and he rejects without any qualification the facilitated customs arrangements and also the common rulebook.”
Sir Christopher told Mr Raab to “chuck Chequers now”. Mr Raab replied: “He’s right that the commission and Michel Barnier have raised concerns around some aspects.
“Equally we’ve had positive feedback from member states and we’re confident that as we work through these proposals they provide an enduring solution to the challenges we face and the EU face and that’s what we’re pursuing.” and wealth, a new National Investment Bank, workers on company boards and higher pay for those on zero hours contracts.
The report said the living standards of tens of millions had “stagnated” and young people had seen life chances deteriorate.
TUC general secretary Frances O’Grady, another contributor to the report, said: “It’s time for a once-in-a-generation rethink. Working people have had enough of massive inequality.”
IPPR director Tom Kibasi said: “The economy belongs to us all and this report shows that we can change it so it works for everyone.”