The problem is inequality.
Over the last 40 years there has been a steady trickle of assets from the govt to the wealthy
In 1960, the net personal wealth of top 1% in the UK was 35%. It declined to 18% by 1996, and has remained at 20% or a little over since 2006. The UK is below that of Norway, Austria, Denmark, Portugal, Estonia, and the Netherlands, and half that of America, where the top 1% possess 40% in net Household wealth.
Rachel Reeves has introduced the rather novel concept into the Labour party of wealth
creation rather than wealth
redistribution, but then unlike the 'us 'n them' class warrior dinosaurs, she isn't intellectually illiterate and she does have a solid background in economics. Unfortunately, the anticipated as yet to be generated new 'wealth stream' has already been spent, at least on paper, on ambitious manifesto plans.
In a matter of days now, they'll have the keys to No 10 (and she to No 11). It will be interesting to see how long it takes for 'mission creep' to set in.
I do hope when Starmer takes over he'll come to realise that the term 'hard working families' and 'ordinary people' are meaningless. What constitutes a family these days? It used to be a married couple with 2.4 children on average. What about single people? And among the electorate many people are far from being 'hard-working', but are being propped up by taxes paid by people who
are hard working.
What is an 'ordinary person', and when do they cease to be 'ordinary'?
As to the Labour's workers rights plan:
Quote:
"Labour's plan will make work pay. We'll boost wages, make work more secure and support working people to thrive – delivering a genuine living wage, banning exploitative zero hour contracts, and ending fire and rehire".
Unquote.
Can't argue with the sentiments, but boosting wages - for example in the fragile hospitality sector, will not 'make work more secure'. The current living wage is £11.44 per hour = £457.60 for a 40 Hr week, plus all the other overheads for an employer to pay (holidays, sickness absence, maternity/paternity leave, statutory bank holidays) . How much more would be a 'genuine' living wage be? In the UK,
almost 60% of small businesses fail in their first three years of life.
I do wonder if Sir Keir Starmer has looked at the size of companies in the private sector and the proportion who are employed in SMEs (Small to Medium Enterprises). A few facts:
The UK private sector comprises largely of non-employing businesses and small employers. SMEs (small and medium-sized enterprises) account for 99.9% of the business population. The government's statistics show that in 2023 SMEs employed
16.7 million people in the UK,
61% of the total number of people employed by private sector companies
There were estimated to be 5.6 million UK private sector businesses.
1.4 million (26%) businesses had employees and
4.1 million (74%) did not employ anyone aside from the owner(s)
There were 5.51 million small businesses (with 0 to 49 employees),
99.2% of the total business population
There were 36,900 medium-sized businesses (with 50 to 249 employees),
0.7% of the total business population
A further 8,000 businesses were large businesses (with 250 or more employees),
0.1% of the total business population
The odious practice of 'fire and re-hire' has been by large firms such as P&O Ferries and Compass:
https://corporatewatch.org/broken-compass-the-scandals-of-compass-group/
https://www.peoplemanagement.co.uk/...code-practice-fire-rehire-employers-need-know
But of 5.6 million private sector companies, only 8,000 (0.1% of the total) employ 250 people or more, and threequarters of private sector companies employ no-one but the proprietor, (many of who would probably be only to pleased to be making £457 and to only have to work 40 Hrs a week).
Those are the facts of life which any incoming government will have to face.