More public holidays in prospect?

In April 2001, the publication by the Labour-affiliated Fabian Society of a paper calling for more public holidays in the UK sparked press speculation that a re-elected Labour government would introduce at least one extra "bank holiday" during the next parliament.

A paper published in April 2001 by the Fabian Society, an influential Labour Party-affiliated "think-tank", makes the case for an increase in the number of public holidays in the UK from the current eight (10 in Northern Ireland), to 12 per year - broadly the average amongst European countries. The call for more public holidays received widespread press coverage and prompted speculation that, if the Labour Party wins the forthcoming general election, a re-elected Labour government would introduce at least one extra "bank holiday" during the next parliament.

The Fabian Society paper points out that, with only eight public holidays in most of the country, the UK comes second to bottom of the European public holiday league, with only the Netherlands having fewer (seven). Its author, the Fabian Society general secretary, Michael Jacobs, argues that a reasonable target - and one that would put the UK in the "European mainstream" - would be 12 bank holidays a year: "One extra bank holiday introduced every three years would achieve this in little more than a decade." The paper also advocates ensuring that a bank holiday coincides with the first day of the one-week half-term school breaks in February and October (as already happens in May) to relieve parents of having to organise childcare.

Addressing likely employer objections that such a move would adversely affect productivity and competitiveness, Mr Jacobs argues that a modest increase in statutory holidays would be outweighed by current year-on-year rises in productivity and could easily be accommodated in pay bargaining and flexible working. Moreover, by giving employees more time off work for rest and recuperation, an extra bank holiday would be likely to make them more productive, as well as generating new demand in the leisure industry as people spend money on their day off.

Speculation that the government will propose introducing at least one extra bank holiday was fuelled by remarks made on television by the deputy prime minister, John Prescott, which appeared to support the call for increased bank holiday provision. However, it was also reported that officials at the Department of Trade and Industry had denied that ministers had agreed to introduce an extra public holiday from 2003.

It remains to be seen whether the Labour Party's manifesto for the forthcoming general election, to be held on 7 June, will commit a re-elected Labour government to increasing the number of UK bank holidays. As the Fabian Society emphasises, "Labour promises more holidays" would be electorally popular. At the same time, however, the government is likely to be sensitive to negative business reaction to such a proposal.