Richard Branson criticised for fresh bailout request
Controversial billionaire told to draw on his own fortune to save airlines
Richard Branson has claimed that his airlines will collapse without government cash.
Branson, described by The Guardian as “the UK’s seventh richest person with an estimated £4.7bn fortune,” has asked the government to give his airline a £500m bailout to help it through the “devastating impact” of the coronavirus pandemic on his Virgin carriers.
In a blogpost yesterday, he wrote: “The reality of this unprecedented crisis is that many airlines around the world need government support and many have already received it.”
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.
Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
He said he is willing to put his private Caribbean island up as collateral, as he promised to “raise as much money against the island as possible to save as many jobs as possible”.
–––––––––––––––––––––––––––––––For a round-up of the most important stories from around the world - and a concise, refreshing and balanced take on the week’s news agenda - try The Week magazine. Start your trial subscription today –––––––––––––––––––––––––––––––
However, the controversial billionaire has come under fire for requesting taxpayers’ cash, rather than using his own fortune to rescue the airlines.
Labour MP Diane Abbott tweeted that “Branson has not paid tax in this country for 14 years. On no account should he get a taxpayer bailout, loan or otherwise.”
Angela Rayner, deputy leader of the Labour party, tweeted: “Richard flog your private island and pay your staff, we are in unprecedented times here. Now is the time your staff need support after making mountains of cash for the company.”
Luke Hildyard, of the High Pay Centre, said: “At a time when the government is struggling to fund the NHS and support low and middle income earners hit by the economic shutdown, it would be unthinkable to commit hundreds of millions of pounds to an effective bailout for billionaire Richard Branson.”
However, rejecting the idea that he should draw on his significant personal wealth rather seeking government support, Branson said: “I’ve seen lots of comments about my net worth – but that is calculated on the value of Virgin businesses around the world before this crisis, not sitting as cash in a bank account ready to withdraw.”
Sign up for Today's Best Articles in your inbox
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
-
Saint Paul de Vence: a paradise for art lovers
The Week Recommends The hilltop gem in the French Riviera where 20th century modernism flourished
By Alexandra Zagalsky Published
-
'People in general want workers to earn a decent living'
Instant Opinion Opinion, comment and editorials of the day
By Justin Klawans, The Week US Published
-
What might a Trump victory mean for the global economy?
Today's Big Question A second term in office for the 'America First' administration would send shockwaves far beyond the United States' shores
By Rafi Schwartz, The Week US Published
-
'Brain drain' fear as record numbers leave New Zealand
Under The Radar Neighbouring Australia is luring young workers with prospect of better jobs
By Chas Newkey-Burden, The Week UK Published
-
Ghost kitchens are pulling a disappearing act
under the radar The delivery-only trend is failing to live up to the hype built up during the pandemic
By Theara Coleman, The Week US Published
-
The birth of the weekend: how workers won two days off
The Explainer Since the 1960s, there has been talk of a four-day-week, and post-pandemic work patterns have strengthened those calls
By Chas Newkey-Burden, The Week UK Published
-
Why household wealth took off during the pandemic
Under The Radar The Covid-19 pandemic caused a lot of pain and hardship, but new research shows it also left most Americans wealthier
By Justin Klawans, The Week US Published
-
Empty office buildings are blank slates to improve cities
Speed Read The pandemic kept people home and now city buildings are vacant
By Devika Rao Published
-
Inflation vs. deflation: which is worse for national economies?
Today's Big Question Lower prices may be good news for households but prolonged deflation is ‘terrible for the economy’
By The Week Staff Published
-
America's 'cataclysmic' drop in college enrollment
Today's Big Question "The slide in the college-going rate since 2018 is the steepest on record"
By Peter Weber Published
-
Davos 2023 and the decline of globalisation
Talking Point Covid and geopolitical tensions usher in ‘new age of self-sufficiency’, leaving World Economic Forum out in the cold
By The Week Staff Published