Starmer outlines plan for UK ‘recovery bonds’
SIR Keir Starmer pledged to lead a “moral crusade” to address inequalities and injustices exposed by the coronavirus crisis, as he announced plans for recovery bonds to give savers a stake in Britain’s future.
The Labour leader used a major speech to call for a “new chapter” in the country’s history after the pandemic laid bare the nation’s “fragilities”, saying: “We have to seize this moment to address them.”
“We can go back to the same insecure and unequal economy that’s been so cruelly exposed by the virus, or we can seize the moment, and go forward to a future that’s going to look utterly unlike the past,” Sir Keir said.
Comparing the recovery from Covid19 to the post-war period, he used the virtual address in central London to say there is an “opportunity” to think creatively and to “forge a new contract with the British people”.
In response to the Bank of England suggesting the “vast majority of savings built up during the pandemic won’t be spent”, he said: “If I were prime minister, I would introduce a new British recovery bond. This could raise billions to invest in local communities, jobs and businesses. It could help build the infrastructure of the future – investing in science, skills, technology and British manufacturing.
“It would also provide security for savers and give millions of people a proper stake in Britain’s future.” It would be similar to the NS&I premium bonds, Labour said, though the money would go directly to the coronavirus recovery – potentially raising “billions” of pounds – and, in a nod to late Labour former prime minister Sir Harold Wilson, who said the party is “a moral crusade or it is nothing”, Sir Keir said: “Our moral crusade now is to address the inequalities and injustices that this crisis has so brutally exposed – and to build a better, more secure future.”
He said there is a “mood in the air” that Britain’s “collective sacrifice must lead to a better future” – akin, he said, to 1945 after the sacrifice of war.
Sir Keir described next month’s Budget as presenting a “fork in the road”, and pledged that a Labour government would retain the £20-a-week uplift in Universal Credit, as well as ending the “insult” of a pay freeze for key workers He also said his party would provide local authorities with the necessary funding to prevent huge council tax rises, and he vowed to extend business rate relief and the VAT cut for hospitality and leisure.
On jobs, he pledged to extend and update the furlough scheme so it can better help people back into work, and said Labour would “fix” the Government’s Kickstart scheme, and the Labour leader announced plans to offer 100,000 start-up loans if he came to power.
He said: “If we’re honest, for too long Labour has failed to realise that the only way to deliver social justice and equality is through a strong partnership with business – under my leadership, that mind-set will change.
Sir Keir criticised the Government’s response to the Covid-19 pandemic, saying ministers have been “slow at every stage”, have “ignored advice” and “haven’t learnt from their mistakes”.