Wealth Inequality

Lord Dubs Excerpts

Wednesday 21st January 2015 Lords Chamber

Asked by

[Lord Dubs]

To ask Her Majesty’s Government what is their response to the Oxfam projection that the richest one per cent will soon be wealthier than the rest of the world’s population.

[Lord Newby (LD)]

My Lords, domestically, we have invested heavily in HMRC to ensure that the wealthy pay the tax they owe. We have led efforts through the G20 and the OECD to reform the international tax rules to tackle the issue of multinationals artificially shifting their profits to avoid paying tax. Since 2013, we have been the first G7 country to meet the UN commitment to spend 0.7% of GNI on development aid.

[Lord Dubs (Lab)]

My Lords, given what the Minister has just said, will the Government give their full support to the Private Member’s Bill on Friday which will ensure that we continue to meet the commitment to spend 0.7% of GNP on development aid into the foreseeable future? Secondly, is it not shameful that the world is still so unequal? We should all be ashamed that the richest 1% have all the wealth and that 99% should have very little. Is it not bad for governance and bad for the future of the world that that should be the case?

[Lord Newby]

My Lords, I can give the noble Lord the absolute assurance that the Government support the Bill that will be debated on Friday. As to global inequality, noble Lords might like to contemplate the fact that to be part of the 1%, the wealth threshold is just over £500,000; so we are all part of the 1%.