Public want reform of UK economy

The Institute for Public Policy Research (IPPR) has uncovered overwhelming public support for a fundamental change in how the British economy is run.

Ahead of December's General Election, the poll suggests that the votre be a sea-change moment British political history - comparable to the elections of 1945 and 1979. It found that 60 per cent of the British public want to see the next government, no matter who is successful in the election, introduce significant changes to how the British economy is run, with 29 per cent saying the economy needs to 'radically' change. Only two per cent of respondents want to see the status quo continue. 

Furthermore, 59 per cent of all respondents believe that the economy mainly works in the interests of people with high incomes or of big companies, with 56 per cent thinking the gap between wealthy and the rest of the population has widened too much—including 40 per cent of Conservative supporters.

Additionally, public support for austerity appears to have evaporated with 61 per cent of the public saying cuts to spending have damaged vital public services—a viewed shared by a majority of Conservative voters as well as supporters of other parties.

There is huge support for a major shakeup in taxation. Nearly two-thirds support a boost to taxes on capital gains from wealth —with 34 per cent supporting equalising capital gains taxes with income taxes, and 28 per cent supporting higher rates for capital gains than for income tax.  There is also strong support for raising taxes on those earning over £100,000 a year (61 per cent).

Public confidence in the finance sector is low, with 57 per cent of people thinking more regulation is required of banks and other financial companies. Support for government investment in measures to address climate change, including renewable energy and home insulation, is very high, at 64 per cent support.

Tom Kibasi, who founded and chaired the IPPR Commission on Economic Justice, said: "As all parties put the finishing touches to their manifestos, the message from the public is clear: the economy needs fundamental reform, just as the IPPR proposed in its landmark Commission on Economic Justice.

The public recognise that the economy isn’t working for ordinary people and needs a major overhaul so that it achieves prosperity and justice together. That means boosting investment in areas such as green technology, giving Britain a pay rise by increasing the minimum wage, and reforming the busted tax system to make it much fairer.”