Restructure Treasury debt crippling local authorities or face worker fightback government told  

Speaking to council workers rallying outside Parliament today as part of the Fair Funding Now for Local Government campaign, Unite general secretary Sharon Graham said:

“Friends, I stand here today as your general secretary, bringing with me solidarity, from over 100 Unite picket lines.

“Workers up and down the country, fighting for their pay and conditions. Their families and their livelihoods.

“Unite is proud to support workers, like the Birmingham bin workers, the Veolia workers, many of whom are here today.

“So friends, let's send a message loud and clear to all striking workers who put a stake in the ground, who push back savage pay cuts. We stand with you.

“Victory to the strikes. Solidarity to you all.

“Friends, make no mistake, after years of austerity and bad decisions, our local authorities are in crisis. 

“Jobs cut, services cut, libraries and community centres shut. The most vulnerable in our society not getting the help they need. Being asked to do more with less.

“And who pays the price?

“Not the politicians or managing directors. Everyday people. Workers and their communities.

“Friends, look at the workers at Birmingham city council. Those men and women taking on not only their council but also government backed commissioners. 

“Labour government backed commissioners. Intent on making Birmingham workers pay the price, for years of austerity and bad decision after bad decision.

“And friends, let's be clear, what is happening at Birmingham city council is an absolute disgrace.

“Workers who woke up one morning and were told they will have up to £8,000 taken off their pay. For some a quarter of their pay. While politicians’ expenses at the same council go up by five per cent.

“All under the watch of a Labour government. How does any employer, let alone a Labour council treat their employees like this? Fire and rehire in any other name.

“Labour - shame on you.

“Friends, some in Labour have said to me Sharon why are you attacking a Labour council?  And I say to them very clearly to them: ‘Why are they attacking workers?’

“If you are a hostile employer, expect Unite to come for you, no matter the colour of your rosette. Unite will not stand by and watch workers be treated in this way. 

“Councils up and down the country should also be on notice. Unite will fight cuts. We will fight for decent pay and we will fight for fair funding. No ifs no buts. 

“Friends, local authorities are being crippled under mounting debt. Over half of all local authorities in England are now heading for bankruptcy.

“Birmingham city council alone is paying back £250 million a year in debt. Similar to the amount it spends on its entire children's social care budget. 

“Unite’s campaign is calling for Labour to restructure local authority debt, or better still get rid of it altogether. 

“Friends, 14 years of savage austerity has got us here. Labour should mean we reverse that austerity. Labour can make this change. It's in their gift.

“The Treasury owns local authority debt and is charging inflated interest rates on that debt. Essentially profiteering.

“This must stop, if a solution is not found to this crisis in local authorities there will be cuts. And Unite also puts Labour on notice, that we will fight these cuts, in every town and every city. 

“Friends, we are the sixth richest economy in the world - we have the money. The 50 richest families in Britain are worth over £500 billion.

“A wealth tax of just one percent on the richest one percent, would glean £25 billion a year. What is wrong with that being the choice?

“Austerity is a choice. Cutting local authority budgets is a choice. Profiteering on the back of bankrupt councils is a choice.

“Labour - make the right choices. And show workers whose side you are on.

“Friends, Unite is proud to stand with you. Let’s be proud of who we are. Let’s be proud of workers everywhere.

“Let’s lift up our heads as well as our banners.

“Solidarity to you all.”

ENDS  

For media enquires ONLY contact senior Unite communications officer Ryan Fletcher on 07849 090215 or 020 3371 2065.

Email: ryan.fletcher@unitetheunion.org

Unite is Britain and Ireland’s largest union with members working across all sectors of the economy.

The general secretary is Sharon Graham.