(2 years, 9 months ago)
General CommitteesThe proposals treat trade unions like profit-making companies. Political parties do not pay for the Electoral Commission, and charities do not pay for the Charity Commission, so why should trade unions pay for their regulator?
My hon. Friend makes a really good point. No other organisation with social activities pays a levy of this sort, and it is wholly inappropriate for trade unions to do so.
This tax is unjustifiable, and is set to be grossly exaggerated by the certification officer’s own distorted valuations. The trade union levy will become the double levy, going far and beyond covering the base operational costs—the TUC estimates £415,000 in the year 2022-23. Some £1.15 million to cover £700,000 worth of costs simply does not add up. I do not know how the Government can justify that.
The levy is a double tax, with little safeguard, scrutiny or accountability. Trade unions will have to pay for potentially vexatious investigations, initiated by friends like the “TaxAvoiders Alliance”, as my right hon. Friend the Member for Warley called it, or the Institute of Economic Affairs. I know at first hand that our trade unions have a long-established reputation of complying with their legal regulations. I have been a member of the trade union movement for over 30 years. I was also an activist for over a decade before taking my place in this House—[Interruption.] Mr Davies, I think it would benefit Conservative Members to actually listen to what is being said.