At the TUC yesterday

Posted on

I have been asked to publish the speech I made yesterday at the TUC rally against the cuts.

This is, near enough, what I said:

I come here today for one reason and one reason only and that is to say that we do not need cuts.

I stress, I am not saying we only need some cuts: I am saying we do not need cuts.

And I am saying this to you as a chartered accountant, but as a chartered accountant who is delighted to have written many of the recent reports on tax published by the TUC and as the researcher of the report published by PCS and the Tax Justice Network on the tax gap in the UK in March this year.

The tax gap is real. HM Revenue and Customs admit that there is £42 billion of tax evasion and avoidance in the UK each year. But I know that their figures for tax avoidance and tax evasion are ludicrously low.

Tax avoidance in the UK is likely to be £25 billion a year.

Tax evasion could easily be £70 billion a year.

That's £95 billion in all.

That’s more than the whole sum George Osborne says he wants to cut.

But yesterday I was on the radio with ConDem minister Lord Freud who was talking about the fact that his blood runs cold when he thinks about the £1 billion of benefit fraud there is in this country. But not a mention did he make of tax avoidance and tax evasion.

And last night I was on Channel 4’s Dispatches programme and if you watched it you saw evidence of the tax avoidance - legal I’m sure - of some of the ConDem Cabinet ministers.

Now don’t get me wrong. I'm not condoning benefit fraud. No one should.

But if we stopped the cuts in staffing at HM Revenue and Customs.

And if we spent another billion pounds each year on tax collection.

And if we had a general anti-avoidance principle in the UK.

And if we stopped the abuse that the domicile rule allows in this country.

And if we had a proper bank tax.

And if we spent the money that the government proposes to spend on tackling benefit fraud on beating tax cheats then I can tell you this with absolute confidence.

We wouldn't get back £1 billion a year. We would get back £20 billion a year.

And that's the annual investment that we need now if we want turn this economy round to create the jobs we so badly need — and which would create the wealth and generate the tax — all the tax — we need to clear the deficit.

Which is exactly why we don’t need cuts.

But the ConDems won't do this.

I'll tell you why.

They would rather the tax cheats of this country have this money than the pensioners of this country have this money,

Better that the cheats have it they say than the children of this country get the education they need.

And the better the accountants, the lawyers and the bankers have this money they say than the sick, the unemployed, the disabled, the public servants and the defenders of this country have it.

That's their choice.

It's the wrong choice.

You know that.

I know that.

Together we must fight them.

We must fight for fair taxation.

We must fight for the jobs of those who will collect tax.

And we must fight so that the honest people of this country can have the money that the ConDems will give to the cheats.

That’s the fight we have on our hands

And friends that the fight we must win.

And before the naysayers get in: no cuts does not mean change. And it does not mean seeking to find efficiency and saving. That should be ongoing.

But I am quite sure we need no cuts. None at al. What we need is regeneration.

And Osborne will as a result be delivering a disaster in the making today.


Thanks for reading this post.
You can share this post on social media of your choice by clicking these icons:

You can subscribe to this blog's daily email here.

And if you would like to support this blog you can, here: