US-EU trade deal could lead to “privatisation on an unprecedented scale”, warns TUC

date: 19 June 2013

embargo: For immediate release

TUC General Secretary Frances O'Grady today (Wednesday) called on the Chancellor to call time on austerity, warned that the US-EU trade deal could 'open up public services to privatisation on an unprecedented scale' and set out the case for a living wage.

Addressing delegates at the UNISON conference in Liverpool, Frances O'Grady said:

'These are profoundly tough times for ordinary working people.

'Thanks to this government, those who did least to cause the crash are paying the heaviest price.

'Young people are unable to find work and are being priced off our university and college campuses.

'Disabled people are seeing their benefits callously chipped away.

'And women and families are bearing the brunt of tax changes and service cuts.

'Let's face it, the phrase 'women and children first' clearly means something altogether different to the government.

'For the first time ever, a generation of young people will grow up worse off than their parents. Even the IMF says the Chancellor is playing with fire.

'To Mr Osborne, I simply say this: the game is up. Admit you're wrong, ditch the failed austerity experiment, and do it now.'

Warning about the potential impact of the upcoming US-EU trade deal on the NHS, Frances said:

'Nowhere is austerity more damaging, more demoralising and more dangerous than in our NHS. It is facing £20 billion of so-called efficiency savings and a top-down reorganisation nobody wants and nobody voted for.

'This will cost £3 billion - money that could be better spent on patient care. And all at a time when private health care multinational corporations are circling our public services like vultures. So much for 'safe in our hands'.

'No wonder we're so suspicious about the trade and investment deal that the Prime Minister is so keen to clinch with the United States.

'In practice this would open the way to privatisation on an unprecedented scale.

'To Tory ministers, I simply say this: if you destroy Britain's greatest ever collective achievement, then you will pay a devastating political price and deservedly so.'

Frances also used her speech to make the case for fairer wages and decent pay to ensure that everyone benefits from economic growth - a theme she'll continue when she speaks at the Citizens UK national summit in East London later this afternoon.

Frances said: 'Over the last thirty years we've seen two big injustices: growing pay inequality between the rich and the rest; and an ever bigger share of the national cake going to profits at the expense of ordinary workers.

'Many economists now agree with us that it's this inequality that ultimately led to the crash and is now holding back the recovery.

'So it's time to get away from the debt-fuelled growth of the past, drive the loan sharks off the high street, and ensure that people are properly rewarded for their work.

'Not just a minimum wage, not even just a living wage but a fair wage and fair shares of the wealth we all create.

'But this will only happen if we have strong unions - and ordinary workers have a voice and a say over how our workplaces are run. When it comes to workers' wages, the TUC's argument is simple: Britain needs a pay rise.'

NOTES TO EDITORS:

- Frances will also be speaking at the Citizens UK national summit this afternoon (3.30pm) at The Octagon, Queen Mary's campus, University of London, Mile End.

- The TUC's Campaign Plan can be downloaded from www.tuc.org.uk/campaignplan

- All TUC press releases can be found at www.tuc.org.uk

- Follow the TUC on Twitter: @tucnews

Contacts:

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Alex Rossiter T: 020 7467 1337 M: 07887 572130 E: arossiter@tuc.org.uk