Budget 2006: Stakeholders respond
ePolitix.com stakeholders respond to some of the key points in the 2006 Budget.
Older People
Stakeholder Response: Help the Aged
Mervyn Kohler, head of public affairs at Help the Aged, said: "It is a disgrace that the chancellor served up this year's Budget with no extra help for pensioners.
"Our country's older people are already battered by fuel price rises and growing bills for Council Tax and water, but the government which found a pre-election bribe for older pensioners last year cannot renew it for 2006.
"This exposes a shameful level of political expediency.
"Handouts are not the answer to pensioner poverty, but they help.
"Structural reform and improvement of the state pension arrangements is desperately overdue, but in his wide-ranging Budget speech which presented a vision for a successful Britain, the chancellor found nothing to say at all to say on this urgent issue.
"By not re-investing the £3.8bn in unclaimed means-tested benefits from poorer older people, Gordon Brown has presented an Ebeneezer Scrooge Budget that will do precious little to address the scar of pensioner poverty."
Stakeholder Response: Age Concern
Gordon Lishman, Age Concern’s director general, said: "This is a terrible 10th Budget for today's and tomorrow's pensioners.
"The chancellor has missed yet another opportunity to meet the needs of our ageing population."
No help with Council Tax
"It beggars belief that the chancellor has denied pensioners any extra help this year with their Council Tax bills, just as a new round of bills is set to cause anxiety for millions.
"Council Tax is a huge financial burden for many pensioners who are living on a low, fixed income.
"We urgently need a fairer system of taxation in place of Council Tax which is linked to people's ability to pay."
Pensions
"It is hugely worrying that the chancellor failed to set out government support for Turner’s recommendations on pensions reform.
"A bold white paper which addresses the needs of women, carers, low paid workers and those without access to a second pension is desperately needed.
"At the heart of this, there should be a basic state pension of at least £114 per week which is available to all."
Fuel bills
"The continuation of the Winter Fuel Payment and help with insulation are welcome, but more needs to be done to help older people meet the huge hikes in energy bills.
"Spiralling household costs are causing widespread anxiety."
Free bus travel
"Introducing a national system of free bus travel will be very popular with pensioners and will help many to stay in touch with friends and family. But 2008 is too long to wait."
Stakeholder Response: Local Government Association
The chairman of the Local Government Association, Sir Sandy Bruce Lockhart, said: "It will be with dismay that hard pressed pensioners will look at the chancellor’s failure to renew his commitment to the £200 council tax pensioner payment.
"Local authorities have done everything in their power to keep rises as low as possible but know that pensioners and low income families face real difficulties in meeting their council tax bills on top of the rising bills for gas and electricity."
Health and social care
Stakeholder Response: Ensuring Positive Futures
Lisa Power, head of policy at Terrence Higgins Trust, a member of the Ensuring Positive Futures Partnership, said: "We're absolutely delighted that the government have seen sense and reduced VAT on condoms.
"It’s fantastic to get a positive result for this campaign which we have been working on for several years.
"A normal rate of VAT is charged on luxury items, yet condoms are not a luxury.
"If we are to reduce the ever increasing rates of HIV and sexually transmitted infections in the UK, they are a necessity."
Stakeholder Response: The Alzheimer's Society
A spokesperson for the Alzheimer's Society told ePolitix.com: "The Alzheimer's Society is extremely disappointed that this Budget does not commit resources to support carers.
"This is despite a range of initiatives set out in the government's health and social care white paper, 'Our health, our care, our say', to support carers, such as emergency respite for carers and a carers helpline service.
"The key question that the government needs to address is how will their policies for helping carers be funded? Carers save the economy an estimated £57bn each year.
"This Budget ignores the immensely important contribution that carers make to society and the economy.
"The Alzheimer's Society is also concerned that the chancellor continues to ignore the plight of thousands of people with dementia who are being charged for essential personal care.
"It is wrong that people with dementia are being charged for care, such as help with washing, eating and using the toilet.
"Meanwhile the Scottish executive remains committed to its policy of free personal care and thousands have benefited.
"We hope that the Wanless review of Social care recognises this injustice when it publishes its long awaited report on the subject later this month."
Sport
Stakeholder Response: CCPR
Brigid Simmonds, CCPR chairman, said: "There’s no question that elite athletes really need more cash if the
"But where’s the extra investment for grass roots sport and the champions of 2020?
"Whilst we’re relieved that this is the outcome of the chancellor’s deliberations over UK Sports’ proposals, the government also has to look at the bigger picture.
"As Gordon Brown acknowledged, London 2012 isn’t just about getting athletes on the podium - it’s about getting Britain active again and making the most of the wider opportunity.
"The funding principle is exactly the same.
"Just as our best athletes need more money to make the most of 2012, grassroots sport and recreation needs extra investment to cope with the extra demand the Games will generate.
"What the chancellor has outlined for the National Sports Foundation etc is a step in the right direction but doesn’t go far enough.
"The 2012 Olympics is this country’s greatest opportunity in generations to get more of us involved in sport and recreation. What we want now is action, rather than words, to make that happen.
"When we won the Games there was plenty of talk around government about legacy but so far that’s all we’ve seen – talk.
"If ministers are serious about making the most out of 2012, 150,000 local clubs need to know in rather more detail how they intend to do it."
Equality
Stakeholder Response: EOC
Jenny Watson, chair of the Equal Opportunities Commission, said: "If Gordon Brown wants a stronger and productive economy, he needs to address the inequality which costs us dearly.
"It's not only individuals who suffer: employers and the entire economy lose out when the talents of
"The chancellor's announcements on childcare, and on better training for low-skilled women, are a welcome step in the right direction, but we need more investment in better careers information and advice when young people make job choices.
"Government itself needs to encourage better access to flexible and part-time working at senior levels.
"Our polling proves that support for parents and carers is an important political battleground amongst voters. It's the key to the kingdom for whichever party gets it right."
Science
Stakeholder Response: NESTA
Jonathan Kestenbaum, chief executive of NESTA, said: "We welcome the chancellor’s expansion of R&D tax credits to medium size companies and the other announcements that will encourage investment in the
"Chancellor Brown has been talking a lot about the need for the
"In particular, we are delighted that the government is setting out radical new plans for investment in scientific education and discovery.
"Science education is crucial to the
The Environment
Stakeholder Response: The
Ed Pomfret, head of campaigns at the Woodland Trust, said: "The chancellor has taken some welcome steps in the right direction but missed an opportunity to mark his 10th budget in style, by failing to deliver a ‘carbon budget’ and put climate change at the forefront of Britain’s economic agenda.
"The Woodland Trust welcomes the strengthening the climate change levy and moves towards improving energy efficiency.
"But it is hoped the government will now tackle environmental issues head on when it launches the long-awaited climate change programme review next week.
"Climate change is the greatest threat that people and the natural world face, and we need politicians who are prepared to act.
"The chancellor announced that plans for an annual carbon report will be launched next week.
"We want to see the government go further and implement a carbon budget at the earliest possible opportunity.
"Tinkering with road tax may make some limited difference, but the government needs to shift the
"Individuals across the country are taking personal action to reduce their own carbon emissions - we now need clearer leadership, ambition and individual responsibility from the very top.
"We hoped to see:
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Substantial and sustained annual reductions in
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Action on reaching a 60 per cent, or greater, cut in emissions by 2050 – the Government will announce more details of its plans for this when the climate change programme review is launched.
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More investment in energy efficiency and product substitution – the chancellor today made some moves towards this.
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More investment in renewable energy – the Budget included some action on micro-generation.
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Tackling the impact of aviation on levels of greenhouse gas emissions – Gordon Brown did not address this issue and instead froze air passenger duty"
Stakeholder Response: Construction Products Association
A spokesperson for the Construction Products Association told ePolitix.com: "The environmental theme to the Budget is also one that the Association welcomes and one that reflects its own priorities.
"However, the measures fall far short of what the Association believes is necessary.
"There is an urgent need to make existing buildings more energy efficient, but the chancellor has missed some great opportunities to provide financial incentives to achieve this.
"Whilst plans to ensure an additional 250,000 homes are properly insulated, and the £50m additional funding for microgeneration, are to be welcomed, these are fairly modest measures given the scale of what needs to be achieved.
"The Association would like the government to develop a clear long term strategy for making the existing building stock more energy efficient.
"Within this an important first step would be to encourage householders to upgrade their heating boilers.
"The financial support we hoped to see in the Budget would have reduced the number of aged boilers still in use by 750,000 and reduce CO2 by an additional 0.5MtC by 2010.
"The Association is also disappointed that Treasury has abandoned as unworkable its plan to bring more brownfield sites forward for development through a Derelict Land Tax Credit.
"The Association has been pressing for an alternative system of capital allowances for the clean-up costs for such sites and would urge Treasury to revisit these proposals rather than simply do nothing."
Stakeholder Response: Association of British Insurers
Stephen Haddrill, ABI director general, said:
"I’m pleased to see climate change rising up the chancellor’s agenda.
"Insurers see the consequences in claims for flood and storm damage and we are doing some pioneering work on future costs.
"We will need to go beyond the welcome measures on vehicle tax and energy use and also look at the costs of adaptation."
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