Labour's first post-election Budget would give 330,000 North East workers a pay rise

Shadow Chancellor John McDonnell sets out his priorities for his first Budget, if Labour wins the election

Shadow Chancellor John McDonnell has revealed one of his first acts as Chancellor will be to give 330,000 North East workers a pay rise.

The first post-election Labour Budget, on February 5, would increase the legal living wage to £10-an-hour, up from £8.21-an-hour now, and extending it to all workers over 16.

That would mean 330,000 people in the North East region see their pay increase. This is the number of people currently earning less than £10-an-hour.

There will also be a 5%pay rise for public sector workers.

And the Budget would include measures to fix Universal Credit and end the hardship suffered by thousands of claimants.

Conservatives also have lans to increase the living wage, bringing it up to £10,50 an hour by 2024 and extend it to all workers over the age of 21.

At the moment, the living wage only applies to people aged 25 or over.

Current living wage and minimum wage figures

From April 2019 the rate for National Living Wage and National Minimum Wage is

• 25 and over: £8.21
• 21-24: £7.70
• 18-20: £6.15
• Under 18: £4.35
• Apprentice: £3.90

Mr McDonnell says his planned Budget, on February 5, will be the day austerity finally comes to an end.

He said: “I can tell you today that my first act as Chancellor will be write to the Office for Budget Responsibility, asking them to begin their preparations for my first Budget, which will be given on the 5th of February – the date when almost ten years of cuts will come to an end."

Universal Credit was a new benefit designed to replace a series of older benefits including JobSeekers Allowance and Housing Benefit. The aim was to make the complex benefits system simpler and ensure people have a higher income if they find work or increase their working hours.

However, a range of independent organisations including the National Audit Office have found that Universal Credit has plunged thousands of people into debt. Problems include a long delay before payments are made, cuts to payments and a sanctions regime which has led to some people having their benefits cut for no good reason.

Labour plans to replace Universal Credit with a new system, although this will take some time. Mr McDonnell says that in his first budget, he will "put more money into an emergency package of reforms to Universal Credit" in order to help people in financial difficulty.

With days to go until the general election on December 12, he insisted Labour would "push as hard as we can for every vote".

He said: "There will always be those at the top who will do anything to stop us - we’ve seen character assassinations, lies and smears taken to a new level.

"The more people we convince on the doorsteps, the more they ramp up their attacks because those who’ve had it good for so long are terrified, terrified of losing control."

Conservative leader Boris Johnson Boris Johnson has begun a tour of Labour's heartlands in a bid to convince Brexit supporters that Jeremy Corbyn's position on leaving the EU is akin to a "great betrayal".

The Prime Minister will spend the three days before polls open targeting voters in traditional Labour strongholds, which his party views as key to securing a Conservative majority.

In a bid to help crack the so-called "red wall" of Labour seats across the North of England, the Conservative Party leader will spend Monday in the Leave-voting regions of the Humber and Wearside.

The PM will blast Mr Corbyn for sticking "two fingers up to the public" on Brexit during his tour of Labour seats.

Places like Grimsby have not been held by a Tory MPs since the Second World War.

In Sunderland - where Mr Johnson said Brexit's "roar" was heard for the first time on referendum night after the city's quick count showed a huge swing towards Leave - the PM will tell North East voters that it is Labour that has "let you down most of all" on Brexit.

"It's been the great betrayal, orchestrated from Islington by politicians who sneer at your values and ignore your votes," he will say.