Working for the Many: Public services fight inequality

Overview

Free public services, such as health and education, are one of the strongest weapons in the fight against inequality. They benefit everyone in society, but the poorest most of all. They mitigate the impact of skewed income distribution, and redistribute revenue by putting ‘virtual income’ into the pockets of the poorest women and men.

Across OECD countries public services already provide the poorest people with the equivalent of 76% of their post-tax income.

Oxfam is calling on governments to urgently reform tax systems and increase public spending on free public services, such as health and education, to tackle inequality and prevent us being tipped irrevocably into a world that works for the few and not the many.

Key recommendations:

• Prioritize increased public spending on and delivery of health and education services, to fight poverty and inequality at a national level.
• Prioritize policies and practices that increase financing for free public health and education.
• Finance health and education from general progressive taxation, rather than through private and optional insurance schemes, user fees and out-of-pocket payments.
• Refrain from implementing unproven and unworkable market reforms to public health and education systems, and expand public sector rather than private sector delivery of essential services.