Unite: Support public services with fairer taxes for big business and the rich

Monday, 14 September 2009 12:00 AM

At this year's TUC, Derek Simpson, joint leader of Unite, is calling for no cuts in front line public services, instead, clamp down on tax havens and pledge to deliver fairer taxes for big business and the rich.

Tax loopholes have allowed many of the culprits of the recession to avoid paying their fair share of tax. It is estimated that the government could raise £25 billion by closing tax loop holes for investment in public services and support hardworking families who rely on those services during tough times.

It is estimated (Tax Research UK) that the value of tax avoidance by Britain's top companies is worth some £25 billion a year. This figure does not include tax avoided by rich individuals earning over £200 000 a year. A conservative estimate suggests that this is as much as £8 billion but does not include all the money these individuals hold offshore, which is impossible to quantify.

Unite is demanding that the UK government closes the loopholes that allow super-rich individuals and corporations avoid paying their fair share of tax. Working people are facing tough times and have had to bail out the banks. Over the years, they have funded massive tax concessions for the super rich and Britain's top companies.

Unite joint general secretary, Derek Simpson, says:

"Bailing out the banks came at a huge cost to the public purse but hard-working families who did not cause the recession should not have to pay the price with cuts in public services. It's time big business and the super rich contributed to society and paid their fair share of tax.

"Over the years working families have funded tax concessions for big business and the super rich rich, now it's pay back time."

Unite's motion on the financial services being debated at the TUC tomorrow (15th September) calls for a clampdown on tax havens and offshore financial centres and a requirement for financial institutions to disclose the extent to which they use these jurisdictions.

ENDS

Contact: Ciaran Naidoo 07768 931 315

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