Jeremy Corbyn makes £500bn investment pledge ahead of interest rates decision

Leader's ten pledges include 'full employment and an economy that works for all'


Jeremy Corbyn has announced ten pledges to ‘rebuild and transform Britain’, including his £500bn programme of investment.

‘Our economic model is broken,’ the Labour leader said in a speech in Dagenham, east London. ‘But there is immense potential in the skills and talents of our people … and huge opportunities ahead of us in science, technology and culture.’

In the first of ten pledges, he promised to achieve ‘full employment and an economy that works for all’, highlighting housing, renewable energy, high speed broadband and transport as areas for investment.

In a speech heavily focused on communities left behind, Corbyn also said that ‘Britain has got to catch up or we will all be left behind.’

‘The neglect of our country must end we need a Labour government that rebuilds and transforms Britain,’ he continued. ‘We will build an economy that works for all … with good jobs in every part of the country.’

Corbyn spoke just hours before a predicted Bank of England cut to interest rates, which would aim to stimulate the economy following the vote to leave the European Union.

Voices from across Labour have emphasised that the economic shock cannot be addressed using monetary policy alone and that substantial public investment is also required.

On the BBC’s Today programme this morning, shadow chancellor John McDonnell supported an interest rate cut, but said the discussion should not be ‘just around VAT or around monetary policy.

‘I want the government now looking at its investment strategy,’ he said. ‘What’s happened so far is Hammond, the chancellor, has said that he’s not going to reset the government’s fiscal rule or its economic strategy.’

Corbyn’s rival, Owen Smith, has also pledged a substantial spending increase, including a ‘British New Deal’ of £200bn worth of investment over five years, including substantial commitments to investment in the north of England, and major house-building and infrastructure projects.

However, while the government’s economic policy is currently highly focused on Brexit, both Smith and Corbyn have pitched their investment plans as broad remedies to inequality, austerity and unemployment, rather than linking them to the vote to leave.

The ten pledges unveiled this morning were:

1) Full employment and an economy that works for all:

2) A secure homes guarantee:

3) Security at work:

4) Secure our NHS and social care:

5) A national education service, open to all:

6) Action to secure our environment:

7) Put the public back into our economy and services:

8) Cut income and wealth inequality:

9) Action to secure an equal society:

10) Peace and justice at the heart of foreign policy

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