New analysis of European Banking Authority and Eurostat figures has shown Britain tops the EU league table when it comes to bankers’ bonuses, but languishes near the bottom when it comes to giving young people the chance to work.
The figures show bankers’ bonuses paid out in Britain (€4.1billion) are far more than every other EU country put together (€846 million) but young people in Britain are nearly four times more likely to be unemployed than older workers. The UK has the fifth worst unemployment gap between young and old in the EU with only Romania, Luxembourg, Italy and Sweden performing worse.
Labour will tax banker’s bonuses to fund a Compulsory Jobs Guarantee policy to get young people off benefits and into work. The Compulsory Jobs Guarantee will offer young people a six month paid job at the national minimum wage, work they will have to take or lose benefits. If it was introduced today Labour’s Compulsory Jobs Guarantee will help up to 146,000 jobseekers into work.
Labour’s Shadow Work and Pensions Secretary, Rachel Reeves, said,
“After five years of the Tories, Britain has the highest banker’s bonuses in the Europe and one of the worst unemployment gaps between young and old in the EU. David Cameron’s refusal to tax banker’s bonuses and use the money to give young people the chance to work shows the Tories are only prepared to stick up for the most privileged.
“A Labour government has a better plan to give young people the chance to earn, learn and contribute. We’ll start by introducing a Compulsory Jobs Guarantee, funded by a tax on bankers’ bonuses, to give young people the chance to work, raising living standards so that the next generation can do better than the last.”
In the South East, Labour’s Compulsory Jobs Guarantee would help 8,700 jobseekers into work.
Commenting, Peter Kyle, Labour’s Candidate for Hove, said:
“Again and again the figures show who the Tories’ are prepared to stick up for: the privileged few. It’s shocking that while we’re happy to pay the largest bankers bonuses in the EU, we have the fifth worst unemployment gap between young and old.
“Labour’s Compulsory Jobs Guarantee, funded through a tax on bankers’ bonuses, will help get 8,700 young people in our region into work. As someone who works for a charity tackling youth unemployment, I know just how valuable a pledge this is.
“Britain can’t afford five more years of a Tory government which just sticks up for the privileged few. Labour has a better plan, a plan where the next generation can do better than the last.”