We all need a raise, TUC said today as its annual conference began. Not just because we might like it, but because it will stimulate demand in the economy and reward people after more than a decade of declining living standards.
Businesses have also emerged: the CBI has warned the government against increasing taxes on business and urged ministers to boost investment.
Companies and unions agree on the need for a new post-Covid economic orientation.
Unions say the average worker would earn £ 5,900 a year if wages had continued to rise at pre-financial collapse rates since 2008. Catching up would mean a 23% pay hike for the average worker.
What worries the CBI is that government investment is expected to account for 3.4 percent of national income in this country, far behind many of our industrial rivals.
But the two sides are united in their doubts over the government’s recent move to increase national insurance to pump more money into the NHS and social services.
We spoke to Frances O’Grady, the general secretary of the TUC, and Tony Danker, the general manager of the CBI, and we started by asking him what he thought would be the consequences of putting in place insurance. national.