UNIONS have welcomed a decision to scrap requirements for companies to prove their green and progressive values before they are awarded government contracts.

First Secretary of State Louise Haigh said public-sector buyers will focus on whether companies get more people into jobs, rather than whether they improve social and environmental wellbeing. 

Chancellor John Healey has also said there is “scope for more and more rapid investment,” with Treasury officials reportedly considering raising billions of pounds of debt, within the department’s existing fiscal rules.

Unite general secretary Sharon Graham said: “Unite has long been campaigning for both fiscal rules to be maximised and for a ‘buy British’ procurement policy to back workers, jobs, growth and national security.

“The two announcements today on procurement and fiscal rules are important first steps to putting workers and jobs at the heart of government plans.”

GMB national secretary Charlotte Brumpton-Childs said: “Using public money to create good jobs, apprenticeships and skills in our communities is the right approach. 

“Taxpayers expect government contracts to deliver real benefits for working people and UK jobs, not just profits for suppliers. 

“These changes have the potential to support local employment, help young people into quality work and strengthen skills across the country. 

“The focus must now be on ensuring these commitments are meaningful, properly monitored and lead to decent, unionised jobs that workers can build their futures on.”

Environmental and green campaign groups said that job creation should not be a trade-off with protecting the environment.