When Labour came to power, inflation was falling, employment was high, and growth was increasing. This inheritance has been squandered with our Liberal Democrat MP proving unable to do anything about it. Since entering office, Labour’s attacks (especially the rise in Employer National Insurance) on business has seen the tax burden reach record levels and strangling new regulations brought in, killing jobs and damaging growth. Latest figures show unemployment at a four year high, real wage growth is falling, and the number of people on payroll has plummeted. That means more families struggling to pay the bills and more people signing on for benefits. Importantly, it also blows a hole in the public finances. This means painful tax rises are now inevitable in the autumn budget.
Cllr John Cope has asked the Labour Government to change direction as it’s failing people in our constituency after 754 more households signed onto Universal Credit since July 2024.
Since Labour entered office, Keir Starmer has talked down the economy and hit businesses with higher taxes and burdensome new regulation.
As a result, unemployment has jumped to 4.7 per cent, its highest level since the pandemic, real wage growth has fallen to just 1.1 per cent, and the number of people on payroll has plummeted by over 164,000 jobs since their Autumn Budget last year.
This means that means more families struggling to pay the bills and more people signing on for benefits, including 754 in our constituency.
For context, the last Conservative Government oversaw the number of people in work increase by over 4 million meaning the unemployment rate halved, with real wages growing for thirteen months in a row.
Commenting, Cllr John Cope said:
“You only need to look at our high street or speak to local people struggling to find a job to know how damaging Labour’s attacks on business, higher taxes, and more regulation have been. The result in fewer job opportunities and more people forced to sign onto welfare, especially Universal Credit. Our Liberal Democrat MP has been totally invisible while this has been happening.
“This contrasts with what Conservatives did in government, where the unemployment rate halved, and we kept people in work through furlough.
“I’m worried that the blackhole this collapse in work and growth has caused in the public finances means tax rises in Autumn are now inevitable.”
Commenting, Shadow Work and Pensions Secretary, Helen Whately MP said:
“Under Labour, unemployment has risen 10 months in a row, and over 1 million more people are on benefits. Labour promised good jobs but are just putting people on more benefits, paid for by ever higher taxes.
“Labour have always left office with more people out of work than when they found it. It’s no wonder business leaders are warning that all indicators are flashing red.”