The
Chancellor, Philip Hammond, tells us that austerity is coming to an end. But
there was little sign of that in his budget statement to parliament this week.
Labour Shadow Chancellor John McDonnell rejected his claim, saying that more
welfare cuts were come. He also said that prisons, schools and local
authorities would not have much to celebrate about the new budget, and should
be preparing for more difficult years ahead.
Hammond said this was a budget for
"strivers, grafters and carers". But it was, as usual, a budget for
the capitalists, bankers, industrialists and landowners who really run this
country. The Chancellor doled out some sops to provide the mainstream media
with more fake news about a “give away” budget for “Middle England”. But
robbing Peter to pay Paul seldom fools anyone these days.
The bourgeois media trumpeted Hammond’s
decision to lift some low-paid workers out of income taxation by raising the
personal allowance to £12,500. But raising the higher tax band to £50,000 will
benefit the high-earners whose loyalty the Tories need to retain at the next
election.
A one-off £400 million “bonus” for schools
to buy “little extras” goes nowhere to compensate for a decade of cuts, whilst
the much vaunted £4 billion for mental healthcare comes out of the existing £20
billion already earmarked for the NHS, which everyone who works in the health
service thinks is woefully inadequate.
Hammond says that austerity will end but
“discipline will remain”, which means the same in Tory-speak. No wonder the
Labour leader has called this a “broken-promise budget”. Jeremy Corbyn points
out that the spending plans bring no benefit to poorer people and will only
lead to further cuts to many public services.
Corbyn deplored the decision not to
reverse the benefit freeze, saying: “The benefit freeze takes £1.5bn from 10
million low- and middle-income households. A low-income household with children
will be £200 worse off. For them, there is no end to austerity. Labour would
have ended the benefit freeze.”
Corbyn told parliament: “This government
is harsh on the weak and feeble on the strong… This budget won’t undo the
damage done by eight years of austerity and doesn’t begin to measure up to the
scale of the job that needs to be done to rebuild Britain.”
That job can only be done by Labour.
Corbyn’s overwhelming support within the trade union movement and the
rank-and-file of the Labour party shows that Labour is still a potentially
strong weapon for our class. Although the New Communist Party has never
confused Labour with a revolutionary party, nor imagined that we can build a
people’s democracy through parliamentary elections, a Labour government, with
its organisational links with the trade unions and the co-operative movement,
offers the best option for the working class in the era of bourgeois
parliamentary democracy.
Our strategy is for working class unity.
We struggle to defeat the right-wing within the movement, and campaign to
strengthen the left within the Labour Party and the unions. We support Labour’s
demands for the restoration of trade union rights, progressive taxation, state
welfare and a public sector dedicated to meet the people’s needs.
The shaky Tory coalition is riven with
dissent over the European Union. It can and must be brought down to pave the
way to a new general election. Mass pressure from the labour and peace movement
is needed to speed the day and ensure that Labour gets a big enough mandate at
the next general election to govern without the dubious assistance of the
Scottish National Party or the Liberal Democrats.
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