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Labour must find new ways to tackle inequality, says Tristram Hunt Labour has ‘moral mission’ to tackle inequality, says Tristram Hunt
(35 minutes later)
The leading Labour moderate Tristram Hunt moved to reclaim the issue of inequality for his wing of the Labour party, calling for a property wealth tax, universal free childcare, reversal of cuts to inheritance tax and stronger trade unions, including repeal of the trade union bill within 100 days of a Labour government coming to power.The leading Labour moderate Tristram Hunt moved to reclaim the issue of inequality for his wing of the Labour party, calling for a property wealth tax, universal free childcare, reversal of cuts to inheritance tax and stronger trade unions, including repeal of the trade union bill within 100 days of a Labour government coming to power.
Hunt’s keynote speech stressed that a future Labour government would need to take tough choices to tackle growing concentrations of wealth, adding: “Inequality impoverishes us all.”Hunt’s keynote speech stressed that a future Labour government would need to take tough choices to tackle growing concentrations of wealth, adding: “Inequality impoverishes us all.”
His intervention appears to be part of a concerted effort by Labour moderates not to allow themselves to be portrayed as indifferent to inequality in the manner of Tony Blair in his pomp in the mid-90s. His intervention appears to be part of a concerted effort by Labour moderates not to allow themselves to be portrayed as indifferent to inequality in the manner of Tony Blair in the mid-90s.
In a speech to the Fabian Society at Westminster he reminded his audience that Labour moderates come from the tradition of RH Tawney, with the goal of arresting inequality at the heart of their thinking, but he said the new challenge was not just to arrest wealth inequality but to reverse it. In a speech to the Fabian Society at Westminster, he reminded his audience that Labour moderates come from the tradition of RH Tawney, with the goal of arresting inequality being at the heart of their thinking, but he said the new challenge was not just to arrest wealth inequality but to reverse it.
Hunt was speaking alongside the leftwing Guardian columnist Owen Jones, who identified few points of difference with Hunt’s emphasis, apart from suggesting Hunt may be soft on corporation taxes. Hunt was speaking alongside the leftwing Guardian columnist Owen Jones, who identified few points of difference with Hunt’s emphasis, apart from suggesting that Hunt may be soft on corporation taxes.
Hunt in recent days has been embroiled in a row about Jeremy Corbyn’s decision to attend a fundraiser for the Stop the War Coalition, but his focus on Monday was to set out a political agenda that on the surface at least makes it more difficult for party moderates to be open to the charge of either being “red Tories” or bloodless technocrats. Hunt has been embroiled in recent days in a row about Jeremy Corbyn’s decision to attend a fundraiser for the Stop the War Coalition, but his focus on Monday was to set out a political agenda that on the surface at least makes it more difficult for party moderates to be open to the charge of either being “red Tories” or bloodless technocrats.
Directing criticism at the former Labour leader, Ed Miliband, Hunt said: “If May’s defeat shows us nothing else it is that turning up on the British people’s doorstep armed only with moral outrage about the top and the bottom is not enough to win. Somewhere during Ed Miliband’s leadership we stopped challenging ourselves.Directing criticism at the former Labour leader, Ed Miliband, Hunt said: “If May’s defeat shows us nothing else it is that turning up on the British people’s doorstep armed only with moral outrage about the top and the bottom is not enough to win. Somewhere during Ed Miliband’s leadership we stopped challenging ourselves.
“Whilst politics was changing dramatically across Europe, we were seeking out the safe and stolid comfort zone of technocratic social democracy.“Whilst politics was changing dramatically across Europe, we were seeking out the safe and stolid comfort zone of technocratic social democracy.
“For at least 20 years now we have failed to tell the British people a story which connects rising inequality to their hopes and aspirations – either because we were too timid, or because we were tone deaf.“For at least 20 years now we have failed to tell the British people a story which connects rising inequality to their hopes and aspirations – either because we were too timid, or because we were tone deaf.
“We cannot afford to fail again. Reducing inequality is in the national interest. It is a just fight. A moral mission. What we need now is to turn it into a winning argument.”“We cannot afford to fail again. Reducing inequality is in the national interest. It is a just fight. A moral mission. What we need now is to turn it into a winning argument.”
He added: “Moral outrage about inequality – although important – is simply not enough. We need to demonstrate much more effectively how it blights ordinary lives and how it stops people getting on and enjoying a better life.“He added: “Moral outrage about inequality – although important – is simply not enough. We need to demonstrate much more effectively how it blights ordinary lives and how it stops people getting on and enjoying a better life.“
Making the case for a property wealth tax to replace the existing regressive council tax, Hunt pointed out that 14 OECD countries – including the US – raise a recurring tax on the value of residential property. An annual 0.5% tax upon the value of each property – less than most countries – would completely cover the cost of replacing the council tax, he said.Making the case for a property wealth tax to replace the existing regressive council tax, Hunt pointed out that 14 OECD countries – including the US – raise a recurring tax on the value of residential property. An annual 0.5% tax upon the value of each property – less than most countries – would completely cover the cost of replacing the council tax, he said.
The tax would be raised on owners not occupiers, taking “generation rent” completely out of local taxes altogether.The tax would be raised on owners not occupiers, taking “generation rent” completely out of local taxes altogether.
He also argued that boosting collective bargaining rights for trade unions was also essential.He also argued that boosting collective bargaining rights for trade unions was also essential.
“The OECD points out that in the last decade labour’s share of national income fell by 4% in rich countries. Doesn’t sound like much until you work out it’s around £96bn. So, the next Labour government should certainly commit to repealing the trade union bill within its first 100 days”. “The OECD points out that in the last decade labour’s share of national income fell by 4% in rich countries. Doesn’t sound like much until you work out it’s around £96bn. So, the next Labour government should certainly commit to repealing the trade union bill within its first 100 days.”
Hunt, who has been criticised in the past for crossing a picket line at university, said the government “should work with trade unions on rebuilding them for the coming economy of self-employment, micro-businesses, declining social rights, and the unequal effects – sometimes liberating, sometimes exploitative – of flexibility. In short, a chance, once more, to be on the side of the insurgents and outliers, rather than a public sector comfort zone.” Hunt, who has been criticised in the past for crossing a picket line at university, said the government “should work with trade unions on rebuilding them for the coming economy of self-employment, micro-businesses, declining social rights, and the unequal effects – sometimes liberating, sometimes exploitative – of flexibility. In short, a chance, once more, to be on the side of the insurgents and outliers, rather than a public-sector comfort zone.”
Hunt repeated his call for what he describes as “upstream socialism” – the need to intervene early to attack inequalities at source for young people.Hunt repeated his call for what he describes as “upstream socialism” – the need to intervene early to attack inequalities at source for young people.
He said: “We are tantalisingly close to a Scandinavian-quality, universal childcare offer. Only £2.5bn a year away – and that includes £450m to radically raise workforce quality.He said: “We are tantalisingly close to a Scandinavian-quality, universal childcare offer. Only £2.5bn a year away – and that includes £450m to radically raise workforce quality.
“I called for this back in May and I will keep calling for it until it becomes official party policy. Because for true social investment nothing else comes close. “I called for this back in May and I will keep calling for it until it becomes official party policy. Because for true social investment, nothing else comes close.
“It would boost maternal employment, reduce the cost of living, slash the welfare bill, generate growth, improve the quality of early education and child wellbeing, and radically reshape the structure of our labour market.”“It would boost maternal employment, reduce the cost of living, slash the welfare bill, generate growth, improve the quality of early education and child wellbeing, and radically reshape the structure of our labour market.”