We must act on what last 10yrs have taught us

MANY families are living through extremely turbulent times, worried about the health of their family and friends – but also about the future of their jobs.

We need a clear and robust strategy to protect our economy and, above all, people’s livelihoods.

Labour backed the creation of the schemes in the Government’s economic support package.

But now the Government must get more of a grip and ensure money is getting to where it is desperately needed.

I have written to Chancellor Rishi Sunak outlining several major issues with the schemes.

Many employers have refused to “furlough” workers, even though the Government would have covered the costs of wages.

The future of the furlough scheme is unknown beyond June, even though deadlines for consultation on redundancy are fast approaching.

The Business Interruption Loan Scheme does not seem to be getting to small businesses where cash flow is desperately needed.

And for those who have already been made redundant, there is a two-week wait to obtain a loan from Universal Credit, which threatens to push many into debt.

UNDERPAID

Immediate government support is essential to help people now – but it is also critical for our future recovery.

The more jobs lost now, and the more businesses that go bust, the harder it will be for our economy to build back up after this crisis.

We also need to learn from what has happened in our country over the past 10 years. Wages have stagnated during most of this time and living standards failed to substantially improve.

Meanwhile, the top rate of income tax and corporation tax rates for profitable firms were cut.

Slashing spending after the financial crisis led to a slower and weaker recovery in the UK than in many other countries.

When we start to exit this crisis, we must face up to the challenge of rebuilding our public services.

Hospital porters, cleaners, transport workers and delivery drivers are among those keeping the UK going – but for far too long their work has been underpaid, undervalued and insecure.

A better future is possible when this crisis is over. To build that future, we will have to learn the lessons of the past – not least about the impact of starving our public services of resources.