“No stone left Unturned No 8: “Fixing the foundations or looking after corporate big businesses?”
“Treasury forgoes ‘billions’ of pounds of potential revenue as well-paid self-employed partners spared employer NIC increases
Well-paid City lawyers and other self-employed partners at businesses including top accountancy and private equity firms have been spared the increases to national insurance contributions announced in October’s budget, in a move that will deny the Treasury “billions” of pounds of potential revenue.”
UNISON members who have older relatives being hit by the withdrawal of the winter fuel allowance or UNISON members who have children hit by the two-child benefit cap or UNSION members with family members with a disability feeling they are being attacked by the recent soundbites about going after “benefit scroungers”, or UNISON members with children who are thinking about going to university must now think about the impact of an increase in tuition fees, will all be wondering whose side the Labour Government is on. The article above demonstrates there was a choice about who the Government could target to raise much needed income to address 14 years of Tory Austerity. It looks like the message is clear. Corporate Big Business comes first and at the expense of the rest of us.
This brings us back to how the increase in National Insurance impacts on our members and residents in Barnet. The Government has given councils protection from the increase but not for other employers. One of the biggest Council budgets is Adult Social Care which uses care agencies to provide a service. These companies are getting no protection. Social Care services are already underfunded, understaffed and at breaking point. There have been decades of empty promises from politicians from both parties that if they are in power they will fix the system. The social care providers are going to have to pass the cost onto the Council. This places an additional financial burden on Barnet Council finances.
It is worth noting that Barnet Council chose to create two local authority trading companies that are 100% owned by Barnet Council they are The Barnet Group (TBG). TBG has an organisation called Barnet Homes which provides Housing and another organisation called Your Choice Barnet which provides social care services.
The second is called Barnet Education and Learning Skills (BELS) which provides services for Barnet Schools.
We have recently been told that TBG is not protected and will have a find extra funding for almost 1,000 staff. This is another massive service pressure of extra funding that Barnet Council will have to find.
This cost would not apply if Barnet Council brought these services back in-house like other London Councils.
We are waiting to hear from BELS as to whether they are having to pay the increases in National Insurance.
End.