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UN rapporteur: tax cut plans of both Johnson and Hunt 'a tragedy' UN rapporteur: tax cut plans of Johnson and Hunt 'a tragedy'
(about 1 hour later)
Tax cuts for the rich promised by Boris Johnson and Jeremy Hunt have been attacked by the United Nations rapporteur on extreme poverty who compared them to Donald Trump’s fiscal policies and warned they would “tremendously increase inequality” in Britain. Tax cuts for the rich, promised by Boris Johnson and Jeremy Hunt, have been attacked by the United Nations rapporteur on extreme poverty, who compared them to Donald Trump’s fiscal policies and warned that they would “tremendously increase inequality” in Britain.
Philip Alston told a side meeting at the United Nations human rights council in Geneva that it was “a tragedy” the Tory leadership candidates are promising tax cuts, warning they “mean even less money not just to spend on the poor but on infrastructure and the middle classes.” The special rapporteur, Philip Alston, told a side meeting at the UN human rights council, in Geneva, that it was a tragedy that the Tory leadership candidates were promising tax cuts. He warned that this meant “even less money, not just to spend on the poor but on infrastructure and the middle classes”.
He said: “Tax cuts on this level are a bid to dramatically increase inequality and benefit those who are already wealthy” and said that even conservative economists now recognise that inequality is “counter-productive to economic growth”. He added: “Tax cuts on this level are a bid to dramatically increase inequality and benefit those who are already wealthy.” Even conservative economists could now recognise that inequality was “counter-productive to economic growth”.
Alston is in Geneva to present his final report on UK poverty which concluded austerity had caused the “systematic immiseration of a significant part of the British population”, leaving 14 million people in relative poverty. It was based on an 11-day fact-finding mission to places including Essex, Newcastle, Glasgow, Belfast and London, as well as months of research. Alston was in Geneva to present his final report on UK poverty, which concluded that austerity had caused the “systematic immiseration of a significant part of the British population”, leaving 14 million people in relative poverty.
He has already angered the UK government by calling its flagship Universal Credit welfare reform “a digital and sanitised version of the 19th-century workhouse” and on Thursday stepped up his criticism accusing the Conservatives of “rupturing” a cross-party consensus that existed since the 1942 Beveridge report in favour of a social welfare state by following what he said were politically motivated austerity policies. His report was based on an 11-day fact-finding mission to UK places, including Essex, Newcastle, Glasgow, Belfast and London, as well as on months of research.
His comments on the Tory leadership contenders’ tax plans are likely to cause fresh tensions, given the Department for Work and Pensions, led by Amber Rudd is a key Hunt backer, and has already accused Alston of producing a “barely believable” report which paints “a completely inaccurate picture of our approach to tackling poverty”. Alston has angered the UK government by calling its flagship universal credit welfare reform “a digital and sanitised version of the 19th-century workhouse”. On Thursday he stepped up his criticism accusing the Conservatives of rupturing a cross-party consensus – that had existed since the 1942 Beveridge report advocating a social welfare state – by following politically motivated austerity policies.
If he becomes prime minister, Johnson has promised tax cuts aimed largely at the wealthiest people which will cost at least £10bn, according to the Institute for Fiscal Studies. Hunt has proposed a corporation tax cut and national insurance cut that would cost more than £37bn, the IFS said. His comments on the Tory leadership contenders’ tax plans are likely to cause fresh tensions, given the Department for Work and Pensions, led by Amber Rudd, as secretary of state, is a key supporter of Hunt. The department has accused Alston of producing a “barely believable” report painting “a completely inaccurate picture of our approach to tackling poverty”.
Alston said it was wrong to argue such cuts will boost productivity and economic growth which will trickle down to the poorest. Johnson, if he becomes prime minister, intends to cut taxes in a move directed largely at the wealthiest people which would cost at least £10bn, according to the Institute for Fiscal Studies. Hunt has proposed a corporation tax cut and national insurance cut that would cost more than £37bn, the IFS said.
“There is no evidence of that from any other country,” he said. “The US tax cuts by Donald Trump have not trickled down. They have trickled up.” Alston said it was wrong to argue that such cuts would boost productivity and economic growth, which would trickle down to the poorest. “There is no evidence of that from any other country. The US tax cuts by Donald Trump have not trickled down. They have trickled up.”
He cited work by the Organisation for Economic Cooperation and Development (OECD) and the International Monetary Fund (IMF) suggesting increased inequality is “antithetical” to growth. He cited work by the Organisation for Economic Cooperation and Development, and International Monetary Fund which suggested increased inequality was antithetical to growth.
British diplomats are tomorrow expected to again push back against Alston’s conclusions despite a senior official at the Department for Work and Pensions telling parliament earlier month that he “made a lot of good points”. On Friday British diplomats are expected to again push back against Alston’s conclusions, despite a senior official at the Department for Work and Pensions telling parliament in June that he had “made a lot of good points”.
Other countries will also comment on the damning appraisal of poverty in the UK, currently the world’s fifth richest country. Other countries will also comment on the damning appraisal of poverty in the UK, the world’s fifth richest country.
Alston told a side meeting convened by Human Rights Watch that “the UK has a major problem of poverty and the key issues remain unaddressed by the government”. Alston told a side meeting convened by Human Rights Watch that the UK had “a major problem of poverty and the key issues remain unaddressed by the government”.
Despite ministers trumpeting close to full employment and economic growth, “that has not made any difference to the 12m people living in poverty and those who line up every day at some of the 2,000 food banks that have sprung up around the country”. He said that, despite ministers trumpeting close to full employment and economic growth, that had “not made any difference to the 12 million people living in poverty and those who line up every day at some of the 2,000 food banks that have sprung up around the country”.
“I would like to see very significant change,” he said. “I believe that would be achieved without great expense. I believe the welfare situation in Britain could be transformed overnight even by this government.” He added: “I would like to see very significant change. I believe that would be achieved without great expense. I believe the welfare situation in Britain could be transformed overnight, even by this government.”
But he said its philosophy seemed to be that “if you are successful, wealthy and have privilege behind you you will do well and the government will help you in many ways.” But he said the philosophy seemed to be that “if you are successful, wealthy and have privilege behind you, you will do well and the government will help you in many ways”, adding: “If you have problems you’re on your own. It is a philosophy and it is not one consistent with human rights.”
“If you have problems you’re on your own,” he said. “It is a philosophy and it is not one consistent with human rights.” The Department for Work and Pensions was contacted for comment.
The Department for Work and Pensions has been contacted for comment.
Conservative leadershipConservative leadership
PovertyPoverty
ConservativesConservatives
Tax and spendingTax and spending
Boris JohnsonBoris Johnson
Jeremy Hunt
United NationsUnited Nations
Social exclusion
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