Foyle MP says fiscal announcements fail to provide security for workers

The Foyle MP added that measures announced by Chancellor Rishi Sunak in his summer statement to the House of Commons fails to deliver security for workers threatened by Covid clusters and misses an opportunity to step up capital works.

Colum Eastwood has urged the Executive to maximise additional allocations to the block grant by developing an economic recovery strategy that meets the needs of local people.

He said there were welcome announcements in the statement ‘particularly for tourism and hospitality sector businesses who have long campaigned for a targeted reduction in VAT.

“The SDLP has called for this reduction for a number of years which will come as a much needed boost for businesses that have suffered a severe reduction in trade throughout the crisis.”

However, the MP said the overall package announced is a ‘missed opportunity’.

“There is no significant increase in capital spending on projects that will immediately deliver new jobs and pump prime the local economy. There has also been no additional flexibilities granted to the devolved administrations to creatively manage new budget allocations in the interests of people here.

“The failure to extend wage and income subsidy schemes is also a mistake. With new Covid outbreaks in Germany, Spain and Britain forcing a return to lockdown in specific sectors and regions, workers here deserve the security of a guaranteed income should new restrictions be introduced. No one should be faced with a choice between going to work and catching the virus or staying at home and facing poverty.

He added: “With a British Government focussed on talking about changes to Stamp Duty that will have a negligible impact on people here, our Executive needs to maximise the additional allocations to the block grant and bring forward an ambitious economic recovery strategy.

“Mimicking London schemes is no longer enough, it’s time to develop a bespoke strategy in conjunction with the business community that will deliver new jobs and protect existing workers.”