John Healey accused of handing a 'bung to Labour's political allies' after he finds £40million for unions

Published: 17:30 EDT, 31 October 2026 | Updated: 17:38 EDT, 31 October 2026 John Healey was last night accused of handing a 'bung to Labour's political allies' after he found £40million for unions to use Angela Rayner's new workers' rights against bosses.The extra cash from the Chancellor will be used to bring back the Union Learning Fund – a Blairite scheme which was axed by the Tories in 2021.According to the Trades Union Congress, the renewed fund will 'promote activity by trade unions to encourage greater take up of learning in the workplace'.But the timing has raised fears that taxpayers' money will be used to hammer bosses and enforce the draconian Employment Rights Act. The cash coincides with Ms Rayner's new laws, which came into force last week and which critics say makes it much easier to sue employers.Shadow Chancellor Andrew Griffith said: 'This is nothing but a political bung to Labour's political allies. 'Hard-pressed families get cheaper gherkins while Labour's trade union friends get a £40million giveaway. 'With the red-tape (Un)Employment Act already costing jobs, this will just help unions browbeat businesses further.' Chancellor of the Exchequer John Healey delivering his Budget speech in the House of Commons on October 28 Housing Secretary Angela Rayner arrives at No 10 Downing Street for a Cabinet meetingWhen the scheme was in place before, nearly half of non-union members who took up the offer of training and development via the fund went on to join a union.It bankrolled more than 50 unions to operate in more than 700 workplaces during its 23-year history.The scheme is aimed at 'improving learning' in the workplace and Labour hopes it will 'draw on trade unions' trusted workplace relationships to access training'.But the Tories say this move is nothing but a smokescreen for empowering the unions to go after employers. Bosses must now comply with a wave of complex measures which include a 'banter ban' in workplaces, unlimited compensation claims and liberalised strike laws.While union activities must be legally separate from the fund, the Tories' then-education secretary Gavin Williamson said it served only to 'channel money into the TUC'.This is not the first time union demands have been met since Labour took power.These include inflation-busting increases in the minimum wage, lifting the two-child benefit cap and new powers making it easier to strike.A Government spokesperson said: 'The case for restoring the Union Learning Fund is simple: it works.'It previously supported around 180,000 workers a year to access training and has a proven track record of helping people gain the skills they need to progress at work.'We are building on that success to help workers adapt to AI and develop the skills needed for the jobs of the future.'