21:59 - The House divided: - Ayes: 111 / Noes: 390 - Question accordingly negatived.
The Chancellor of the Exchequer (Rachel Reeves)
It is a pleasure to open today’s King’s Speech debate on behalf of His Majesty’s Government. I always enjoy debating with the right hon. Member for Godalming and Ash (Jeremy Hunt), though I must say I rather prefer doing so from this side of the Chamber. [Hon. Members: “Hear, hear.”]
I appreciate the shadow Chancellor’s generous words on my appointment and also his tribute to officials, who I can confirm are indeed first rate. It has been more than 14 years since a Labour Government were in office for a state opening of Parliament—14 years of chaos, 14 years of economic irresponsibility, 14 years of wasted opportunities and 14 years since there has been a Labour Chancellor of the Exchequer standing at this Dispatch Box. Today, I pay tribute to my most recent Labour predecessor, the late Lord Darling. He was an outstanding Chancellor, a kind man and a good friend.
Mr Speaker, it is also the very first time that there has been a female Chancellor of the Exchequer. On my arrival at the Treasury, I learned that there is some debate about when the first Chancellor was appointed. It could have been 800 years ago, when one Ralph de Leicester was given the title of “Chancellor of the Exchequer” for the first time, or, 900 years ago, when “Henry the Treasurer” was referenced in the Domesday Book. It could even have been 1,000 years ago, when Alfred the Great was in effect the first Master of the Mint. Whichever it is, I am sure the whole House would agree on one thing—that we have waited far too long for a woman to be the Chancellor of the Exchequer. [HON. MEMBERS: “Hear, hear.”]
I stand here today proud, but also deeply conscious of the responsibility that I now have: a responsibility to women across the country whose work is too often undervalued; and a responsibility to every young woman and girl, who should know that there is no ceiling on their ambitions and no limit on their potential.
Sarah Edwards (Tamworth) (Lab)
Seven Tory men have stood at that Dispatch Box over the past 14 years and the result has been an economic crisis, crumbling public services and a cost of living crisis. Can we expect a change of approach from the new female Chancellor of the Exchequer?
Rachel Reeves
One thing is that I hope to be in post for a bit longer than some of my predecessors.
As tempting as it is, I do not intend to conduct a full sweep of the past 1,000 years of economic history from the Dispatch Box today—[Hon. Members: “Ah”!] I am sorry. However, we must talk about the past 14 years. I warned that whoever won the general election would inherit the worst set of circumstances since the second world war, and I have seen nothing to change my mind since I arrived at the Treasury. I will update the House on our public spending inheritance before Parliament rises for recess.
I heard what the shadow Chancellor said from the Dispatch Box now and on the television yesterday, which was to claim that I should be grateful for what he has left us. That is unbelievable, because he knows the truth and is now trying to rewrite history. In doing so, he has reminded the British people why the Conservatives lost the election. They are out of touch, deluded and unable to defend the indefensible. In the weeks ahead, it will become clear what those in his party did. They stored up problems, failed to take the tough decisions and then they ran away, leaving it to us—the Labour Government—to pick up the pieces and clear up their mess.
Today, I want to focus on one thing above all else: economic growth. Since 2010, Conservative Chancellor after Conservative Chancellor, including the now shadow Chancellor, stressed the importance of growth. We have had more growth plans than we have had Prime Ministers or Chancellors, and that is quite a lot, but growth requires more than talk; it requires action. Like so much else with the previous Administration, when we scratch beneath the surface the façade crumbles, and all that is left is the evidence of 14 years of failure.
Matt Western (Warwick and Leamington) (Lab)
I congratulate my right hon. Friend on her appointment; she is making an excellent speech. Friday’s ONS report showed that public sector borrowing was 25% higher than forecast. Does she agree that that underlines why it was so important to have a fully costed and fully funded manifesto to restore confidence in the public finances, and that it was a surprise that certain other parties did not follow the same route?
Rachel Reeves
I thank my hon. Friend for that question. He speaks powerfully, and I pay tribute to his work in the last Parliament, particularly around education and skills. This is a really important point. For me, the most important pages of the manifesto that we stood on were the three grey pages at the back of it, which set out all our spending commitments and how they would be paid for. That was important, because to earn the trust of the electorate parties must be really clear about where the money will come from and what they will use it for. That is what we did in our manifesto, and it is what we will do in Government.
The shadow Chancellor made some points about GDP, comparing ours with that of other countries, but since 2010 UK GDP per capita—that is the most important measure, because it reflects how people feel and the money that they have—has grown slower than the G7 average, slower than the EU average, and slower than the OECD average. Treasury analysis that I requested when I became Chancellor shows that, had the UK economy grown at the average OECD rate these last 14 years, our economy would be over £140 billion bigger today. That could have brought in an additional £58 billion of tax revenues in the last year alone—money that could have been used for our schools, hospitals and other vital public services. Growth is about more than just lines on a chart; it is about the money in people’s pockets, and Treasury analysis shows that achieving the rate of growth of similar economies would have been worth more than £5,000 for every household in Britain.
The shadow Chancellor stood up and once again claimed that he bequeathed a great legacy. Seriously? The last Parliament was the first on record where living standards were lower at the end than at the start. The highest level of debt since the 1960s, the highest tax burden in 70 years, mortgages through the roof, the economy only just recovering after last year’s recession, economic inactivity numbers last week showing a further rise, and borrowing numbers last week showing over £3 billion more borrowing than the OBR expected—that is the Conservatives’ legacy. If that is a good inheritance, I would hate to see what a bad one looks like. I think deep down the shadow Chancellor knows that. In fact, he does know it.
Yesterday, the shadow Chancellor admitted what we all know: that the manifesto that he campaigned on was undeliverable, and the money for the tax cuts that he promised simply was not there. If he wanted to show the country that his party has listened, and learned from its mistakes, he would have used his speech this afternoon to apologise, but he did not, and that tells us everything that we need to know about this Conservative party: party first, country second; political self-interest ahead of the national interest; irresponsibility before the public good. Let me say this to the Conservative party, “We will not stop holding you responsible for the damage that you have done to our economy and to our country.” Never again will we allow the Conservatives to crash our economy. They failed this country. They shied away from tough choices, and we will not repeat their mistakes. It falls on us, this new Labour Government, to fix the foundations so that we can rebuild Britain and make every part of our country better off. We will govern through actions, not words, and we have already begun to do just that, because there is no time to waste.
Less than 72 hours after I was appointed as Chancellor, I put growth at the very heart of our work. Working alongside my right hon. Friend the Deputy Prime Minister, I set out reforms to our planning system—reforms that the Conservative party did not deliver in 14 years. Our reforms restore mandatory targets to build the homes that we desperately need, end the absurd ban on onshore wind to deliver home-grown cheap energy and recover planning appeals for projects that sat on the desks of Ministers in the last Parliament for far too long. Those are tough decisions that the Conservative party already opposes.
Why was that my first act as Chancellor? Because getting our economy growing is urgent, and this King’s Speech shows that we are getting to work.
Mr Mark Francois (Rayleigh and Wickford) (Con)
On the matter of mandatory housing targets, having been a constituency MP for 23 years and seen them tried in a number of different ways, may I humbly offer the Chancellor this, with all sincerity? There is such a thing as good development, but it only works if it is something that we do with people and not to people. This Stalinist approach will not work.
Rachel Reeves
I have been compared to a lot of things, Madam Deputy Speaker, but I have never been compared to Joseph Stalin.
Our approach is a brownfield-first approach. We will reintroduce those mandatory targets; of course it is up to local authorities and local communities to decide where the housing should be built, but the answer cannot always be no. If the answer is always no, we will continue as we are, with home ownership declining and mortgages and rents going through the roof. On the Government side of the House, we are not willing to tolerate that.
This King’s Speech shows that we are getting to work. As my right hon. Friend the Prime Minister set out, our programme for government is founded on principles of security, fairness and opportunity. Our No. 1 mission is to secure sustained economic growth in our great country through a new partnership between Government, business and working people that prioritises wealth creation for all of our communities.
We will fix the foundations of our economy so we can rebuild Britain and make every part of our country better off. There are a number of important pieces of legislation in the King’s Speech that will help us to grow the economy. In this speech, I will focus on three in particular: the Budget Responsibility Bill to restore economic stability, the national wealth fund Bill to drive investments and the pension schemes Bill to reform our economy. Those Bills speak not just to our programme for government, but also to trust in politics. They show that we will govern as we campaigned and that we will meet our promises to the British people.
In the election campaign, I said the first step we would take would be to restore economic stability, because stability is the precondition to a healthy, growing economy. It is how we keep taxes, inflation and mortgages as low as possible. After years of irresponsibility, we are putting our economy on firm ground once again. We introduced the new Budget Responsibility Bill on Thursday to deliver on our manifesto commitment to introduce a fiscal lock so that I can keep an iron grip on our country’s finances.
Kit Malthouse (North West Hampshire) (Con)
The Chancellor and I sat on the Treasury Committee together many years ago, and she will know from our time together that economics is as much art as it is science. Given that she is effectively giving a veto over economic policy to the OBR through this Bill, she must recognise that we need to understand what the people in the OBR believe, what their theories of economics are and what principles they attach themselves to. What further scrutiny of the chair of the OBR and the people doing the forecast will be available to this House, given that effectively they will be co-Chancellor with her during the next few years?
Rachel Reeves
The Treasury Committee, as the right hon. Gentleman knows, can call in the chair and other members of the Office for Budget Responsibility, but his comments show exactly why we need this Bill: so that never again can we have a repeat of the mini Budget. The Bill will require every announcement that makes significant permanent changes to tax and spending to be subject to an independent assessment by the Office for Budget Responsibility. Why? Because unfunded, reckless commitments do not just threaten our public finances; they threaten people’s incomes and they threaten people’s mortgages. We saw that in the wake of the mini-Budget presided over by the former Member for South West Norfolk. I understand that she has taken umbrage in recent days at the idea that that episode was disastrous. Well, if any Conservative Member would like to dispute that fact today, I would be more than happy to give way. [Hon. Members: “Come on then!”] They cheered it at the time, but they are not cheering it now, and I do not imagine that they would put it on their leaflets.
The Conservatives should be ashamed of what they did because people up and down the country are still paying the price for the chaos that they caused. We say: never again. The Budget Responsibility Bill will enshrine that commitment in law.
Mr Luke Charters (York Outer) (Lab)
During the pandemic, the friends and family of Conservatives were awarded contracts for work that were never fulfilled. My constituents would love to know how we can get their money back, perhaps through the covid corruption commissioner.
Rachel Reeves
I enjoyed campaigning for my hon. Friend in York Outer, and it is great to see him in his place today. Stability means a tough set of fiscal rules, but it also means spending public money wisely, as he says. The last Government hiked taxes while allowing waste and inefficiency to spiral out of control. At no time was that more evident than during the pandemic, especially when it came to personal protective equipment. The former Prime Minister, when he was Chancellor, signed cheque after cheque after cheque for billions of pounds-worth of contracts that did not deliver for the NHS when it needed it—that is simply unacceptable.
Today, I can announce that I am beginning the process of appointing a covid corruption commissioner to get back what is owed to the British people. That money, which is today in the hands of fraudsters, belongs in our public services, and we want it back. The commissioner will report to me, working with the Secretary of State for Health and Social Care, and their report will be presented to Parliament for all Members to see. I will not tolerate waste. I will treat taxpayers’ money with respect and return stability to our public finances.
The second Bill I will speak to is the national wealth fund Bill. We know that economic stability is vital for investors and for business—the small business looking to grow; the global business looking to expand in the UK; the entrepreneur looking to take their first steps. To support them, stability must sit alongside investment.
Andrew George (St Ives) (LD)
On the effective use of public funds, is the Chancellor aware not only of the alleged corruption in the way that covid aid was distributed, but of the large number of tax loopholes in this economy? For example, in Cornwall, over £500 million of taxpayers’ money was handed out to holiday home owners not only through covid aid but through the small business rate relief scheme and other tax loopholes. At the same time, only a third of that amount has gone into social housing for first-time users. Will she look at the whole issue of parity in the way public funds are used, to support people who need housing?
Rachel Reeves
I welcome the hon. Member back to this place. I enjoyed sparring with him in my early days in Parliament, and it is great to see him back in the House. He is absolutely right that we need to get value for money for all tax incentives. I will ensure that the Treasury and the Ministry of Housing, Communities and Local Government look at the changes that he suggests.
The last Government’s record on investment was dismal. We now sit behind every single member of the G7 when it comes to business investment as a share of GDP. That is not an abstract economic problem. Weak investment holds back productivity and hurts living standards; it leaves households poorer and wages lower.
The King’s Speech deals directly with the need to unlock private investment through a new national wealth fund Bill. That will be supported by an injection of capital, part funded by an increase to the windfall tax on oil and gas giants. It will make transformative investments in industries of the future, such as carbon capture and storage, and green hydrogen. It will mobilise billions of pounds-worth of additional private sector investment in our industrial heartlands and coastal communities while generating a return for taxpayers. The national wealth fund will work with local partners including mayors, as well as the devolved Administrations in Scotland, Wales and Northern Ireland, to develop an investment offer that meets the needs of all our nations and regions. It will simplify a complex landscape of support for businesses today, aligning key institutions such as the UK Infrastructure Bank and the British Business Bank under the one banner of the national wealth fund.
Barry Gardiner (Brent West) (Lab)
I heartily applaud what my right hon. Friend is saying about the renewed windfall tax. Will she also look at the fact that, in this country, we have the lowest basic rate of tax on oil and gas companies anywhere in the world? The average is 74%; in this country, it is 38%.
Rachel Reeves
As my hon. Friend knows, we committed in our manifesto to a three percentage point uplift to the current energy profits levy, which we will use to fund the national wealth fund. That fund will power jobs and prosperity in all parts of our country, and that work is already well under way. In my first week in office, I welcomed the report of the national wealth fund taskforce, and I thank the former Governor of the Bank of England, Mark Carney, and the whole taskforce for their outstanding work. This Bill will put the national wealth fund on a statutory footing with clear objectives, crowding in private investment to create wealth across Britain.
Deirdre Costigan (Ealing Southall) (Lab)
Under the Conservatives, businesses and working people were held back by a complete and abject failure to build the new homes that my constituents in Ealing Southall were crying out for, the laboratory spaces that will provide the jobs of the future, or the national infrastructure needed for businesses and working people to prosper. Will my right hon. Friend assure this House that, under her chancellorship, we will finally get Britain building again?
Rachel Reeves
I welcome the election of my hon. Friend in Ealing Southall—I think her constituents and the whole House can see what a strong advocate she will be for her local community. She is absolutely right: we have to get Britain building again. We have to build the homes and the transport, energy and digital infrastructure that our country desperately needs.
Jim Shannon (Strangford) (DUP)
I thank the Chancellor for giving me the chance to intervene. When it comes to rebuilding and the house building programme that she has suggested should happen, in the papers today, it is suggested that people on a wage of £70,000 cannot get a mortgage. In Northern Ireland, those on a smaller wage cannot get a mortgage either, so can I ask the Chancellor this direct and hopefully positive question, which will hopefully receive a positive answer: what can she do to improve access to mortgages for those who want to own their accommodation, rather than rent it? What can she do to make sure that everyone in the United Kingdom of Great Britain and Northern Ireland can benefit, as she has clearly said they will?
Rachel Reeves
I thank the hon. Gentleman for that intervention. One of the biggest challenges people face with getting a mortgage is building up the deposit. That is why we have committed to a mortgage guarantee scheme, to help those people who cannot rely on the bank of mum and dad to get on the housing ladder. That is a really important commitment, as is our commitment to build the homes: unless we build more homes, home ownership will continue to go backwards, as it did over the past few years.
Alongside stability and investment in our economy must come reform, because delivering economic growth requires tough choices. It means taking on vested interests and confronting issues that politicians have too often avoided. The last Government refused to engage with those choices, and refused to level with the British people about what was required. This Government will be different. We have already demonstrated that through a series of reforms to our planning system, and are bringing forward further legislation in the King’s Speech to get Britain building.
Today, I want to focus on another area of our economy where reform is vital: our pension schemes. People across our country work hard to save for the future; they want a better, more secure retirement with the most generous pension possible. At the same time, British businesses with high growth potential need capital to support their expansion. Pension funds are at the heart of this. There will soon be over £800 billion of assets in defined contribution pension schemes, but for too long, those assets have not been targeted towards UK markets. That has impacted British savers, and it has impacted British business.
The last Government also said that this was a problem, and I welcome that acknowledgement, but they never introduced the legislation needed to make the change. We believe in deeds, not words, so we will strengthen investment from private pension providers by bringing forward the pension schemes Bill in the King’s Speech. It will boost pension pots by over £11,000 through a new and improved value for money framework. Through an investment shift in DC schemes, just a 1% shift in asset allocation could deliver £8 billion of new productive investment into the UK economy.
To ensure that the Bill is as strong as possible, I am today launching a pensions investment review, led by the first ever joint Commons Minister appointed between the Treasury and the Department for Work and Pensions—my hon. Friend the Member for Wycombe (Emma Reynolds), the Pensions Minister. This will include a review of the local government pension scheme, the seventh largest pension fund in the world, to ensure it is getting the best value from the savings of nearly 7 million public sector workers, the majority of whom are women and the majority of whom are low-paid. They deserve a pension that is working for them. Together, these reforms will kick-start economic growth by unlocking investment that has been tied up for too long.
Madam Deputy Speaker (Dame Siobhain McDonagh)
Order. Could I just urge the House to think about interventions? There is a very long list of Members who want to speak and lots of people who want to make their maiden speech, and it would be great if they could all get in.
Rachel Reeves
Madam Deputy Speaker, you will be pleased to know that I will not apprise the House of every Bill that supports economic growth in the King’s Speech. Needless to say, there are many more—from the English devolution Bill to transfer power back into the hands of local communities to the employment rights Bill to make work pay, and the Great British Energy Bill to take back control of our country’s energy and create new jobs across the United Kingdom. Growing our economy flows through almost every word of this Address.
The British people put their trust in us on 4 July to fix the foundations of our economy, to rebuild Britain and to make every part of our great country better off. I do not take that trust for granted. We will not let people down, and I am ready to deliver the change that we need. I know it will take time and I know it will require hard work, but we are already getting on with the job by ending a reckless, chaotic approach to economic management, by putting politics back in the service of working people and by making economic growth our fundamental mission. I commend the Address to the House.
Georgia Gould (Queen’s Park and Maida Vale) (Lab)
I am pleased to speak in a debate with so many strong female representatives, including the hon. Member for West Worcestershire (Dame Harriett Baldwin), and I am really honoured to speak in a debate led by the first female Chancellor of the Exchequer, who has shown today what a force for change she is. I have found it incredibly moving to hear MPs across the House talk with such love and dedication about the places they represent. It has given this Parliament a deep grounding in the stories of people from every part of the UK.
I feel deeply the trust put in me by the people of Queen’s Park and Maida Vale. In speaking here, I stand on the shoulders of some extraordinary women who have represented the different parts of Queen’s Park and Maida Vale. My hon. Friend the Member for Brent East (Dawn Butler) is someone who breaks through glass ceilings and lifts others up behind her. Nothing ever dims her spirit and her passion for tackling injustice. You need only walk down Harlesden High Street with her to see how she inspires people by her example—and sometimes her music.
My hon. Friend the Member for Hampstead and Highgate (Tulip Siddiq) is a formidable campaigner who was in the Chamber the day she was due to give birth because she needed to give her constituents a voice. She did not stop campaigning until her constituent Nazanin Zaghari-Ratcliffe was safely home with her family. Those who know her will quickly learn that she never, ever gives up. She is always a voice for the people she cares about.
Karen Buck gave an extraordinary 27 years of service to the residents of Westminster North. I was at a school in my constituency last week where the head said that Karen was the fourth emergency service, always at the end of a phone ready to help. I remember going to an elderly people’s lunch where the residents said, “You can be our MP—you are very nice. Just make sure that Karen comes to our residents’ meeting in July.”
The wonderful team at the House Library sent me Karen’s maiden speech. It was no surprise to me that it was a passionate call to action on the housing conditions of her constituents. That passion has not dimmed for a second; it could be heard in every line of her 37 interventions on the Renters (Reform) Bill over 25 years later. She has shown that somebody with community running through their veins can move mountains. I will work every day to live up to the women who came before me—that includes you, Madam Deputy Speaker, and your sister Baroness McDonagh, who have both showed such amazing, dedicated service and never give up fighting for constituents and the people of this country.
Queen’s Park and Maida Vale is a place that means a huge amount to me. My great-grandfather came over to the UK when he was a teenager, fleeing the poverty and pogroms of Lithuania, and worked his way up to open a shop on Kilburn High Road. My family have lived and worked in the area ever since. Growing up in the heart of London, I attended Horfield primary school and saw how many children were cut out of the opportunities on their doorstep; that has driven me ever since. The need that we see now is greater than ever. My inbox and my surgeries are full of people facing the homelessness crisis and skipping meals to feed their family—all in walking distance of the Chamber.
Queen’s Park and Maida Vale is a place with huge need, but also with huge heart. It has welcomed not just my family but families from so many different backgrounds. We are home to the Bangladesh Caterers Association; the Lauderdale Road synagogue; the UK Albanian Muslim Community and Cultural Centre; Harlesden, which is the unofficial capital of reggae and the starting point for so many iconic artists and producers; Kilburn, a centre of creativity with a claim to be the birthplace of cinema; and the amazing, diverse community of Church Street.
We are a community that is rich in spirit and dynamism. In 1879, Queen’s Park was chosen to host the royal agricultural show, the Victorian equivalent of the Olympics. It was a very British affair—it rained most of the time—but ordinary people campaigned to preserve the open space, and it is still a thriving park today. Down the road, Walterton and Elgin Community Homes is a shining example of community leadership. We also have the country’s only urban parish council.
Queen’s Park is the birthplace of the pride of west London, Queens Park Rangers football club. I can tell the House that being a QPR fan is almost as good as this Chamber for getting to know the communities of the UK; it means spending rainy days in Cardiff, Preston, Southend and Tranmere, embracing again and again the triumph of hope over experience.
I have always been an optimist. Despite 14 tough years in local government, including seven as Camden council leader, I have never lost hope, because every day I can see the power of communities. I was elected as a councillor in 2010, and at events, when people used to say to me, “What do you do?”, I would proudly say to them, “I am a councillor.” They would say, “That is so wonderful; you do such wonderful work as a therapist.” I would have to say, “No, not that kind of counsellor. I am a Labour party councillor.” They would either swiftly go and get a drink or talk to me about dog mess.
Street cleaning and rubbish collection are essential services that councils deliver—my hon. Friend the Member for Birmingham Erdington (Mrs Hamilton) once introduced me as the person who makes sure that Keir Starmer’s bins are collected—but we often forget how much more local government is. I see that every day, watching the work of Brent and Westminster, two brilliant Labour councils in my constituency.
Councils are lifelines for communities. They provide care for the children and adults who most need support. They are leaders of place, bringing services and people together to make change. I have seen local government staff go above and beyond time and again, fuelled by love and dedication, because there was no one else there, whether they were working with communities to deliver food during covid or supporting Afghan evacuees. When things have been hard, they have held together our communities, finding unity in difference.
The Gracious Speech sets out bold new proposals in the English devolution Bill to unlock the energy and creativity of communities. It sets out Bills to fulfil Karen Buck’s long-held campaign to end no-fault evictions and reform the leasehold system. The proposals will support the people of Queen’s Park and Maida Vale who come out every day to build their community—the youth workers, the community gardeners and those running the North Paddington food bank, who wish it did not have to exist. These are people putting hope into action because they believe that things can change. I know that as I sit in the Chamber, I will have their voices and stories with me, but I will also have the stories that I have heard from hon. Members from across the UK. We all have that in common: the privilege and the responsibility of bringing the voices of our community to this place. We may debate and disagree, but I hope to always listen and learn, and remember that we are being entrusted to weave those stories, hopes and ambitions together for a national vision for this country—one that governs for all and leaves no one behind.
Sarah Sackman (Finchley and Golders Green) (Lab)
Thank you, Madam Deputy Speaker. It is a pleasure to follow the right hon. and learned Member for Fareham and Waterlooville (Suella Braverman). Like other Members, I am somewhat surprised by her rewriting of recent economic history. She had 14 years to fix the problems of child poverty, and did precious little to do that. I listened today to the Chancellor of the Exchequer lay out this Government’s plans to restore economic stability and growth to this country—that is what will lift millions of children out of poverty in the long term.
It is a privilege to stand here today representing the place where I was born and raised, Finchley and Golders Green. I would like to start by paying tribute to my predecessor, Mike Freer. Although we disagreed on many things, Mike was dedicated to our area, both as a Member of Parliament and as leader of Barnet council. I admire his commitment to public service and, in particular, his role in securing equal marriage legislation for same sex couples—a legacy that he can take enormous pride in. But the circumstances under which Mike decided not to stand for re-election are appalling. We should have been able to face each other on the basis of our ideas, but Mike’s life and office were threatened by those who believe in the bullet, not the ballot box. It is a stark reminder of the fragility of our democracy both at home and abroad.
I want to use my time in this place to stand up for the democratic values and processes that I believe in. Witnessing the dignified and smooth transition of power last week in all parts of this House is something we can take pride in. We must ensure that we work together to defend the safety of public servants. I wish Mike and his husband Angelo all the best in their future.
I also pay tribute to the much missed Dr Rudi Vis, who holds a special place in the heart of my local community, not least as the first Labour Member to represent this special patch of north London. In over a century, I am only the second person from my party to be sent to this place by the people of Finchley and Golders Green. I am also only the second woman. Some Members may remember the first. When Mrs Thatcher entered this place, she was made to wait two whole years to make her maiden speech, but in our era of breakneck news cycles, and with so much work that I want to do, having to wait just two weeks has felt like a very long time. Having delayed long enough, Mrs Thatcher did not waste a second when she rose to her feet, breaking convention by making her maiden speech on a private Member’s Bill that she introduced.
“This is a maiden speech”,
she said, her sonorous tones echoing through this hallowed place—
“but I know that the constituency of Finchley…would not wish me to do other than come straight to the point”.—[Official Report, 5 February 1960; Vol. 616, c. 1350.]
The people of Finchley and Golders Green rightly remain as demanding of their elected officials today, so I, too, will come straight to the point. Like Mrs Thatcher, I am a patriot and I want our communities and our country to prosper and be an influence on the global stage. But unlike her, I fundamentally believe that there is such a thing as society. Society is not an abstract idea to be buried in sociological essays. We can see it in the rich tapestry of communities that come together across Finchley and Golders Green. I may be the first female, Jewish, Gibraltarian MP from this constituency, but I would not be here without the support of my neighbours and my community: the Cypriot community, the Somali Bravanese, the Kosovan, the Japanese, the Irish and Hindu communities, the lawyers and the Uber drivers, the charity workers and the campaigners, the Spurs fans and the fans of some other north London team. Whereas in recent times some politicians have chosen to use “north Londoner” as an insult, my constituents and I wear it as a badge of pride. It symbolises a place that celebrates diversity, hard work and looking out for your neighbour.
Our diversity comes as no surprise to anyone familiar with the history of our area. Where else can boast the parish where Archbishop Desmond Tutu honed his ministry in the terrible years of exile during apartheid in South Africa, and the childhood home of the late and great Rabbi Jonathan Sacks, a man who taught us that a good society is one that offers all its members equal access to hope? It was in East Finchley that George Michael first tinkled on the ivories and Amy Winehouse first took the stage.
Finchley and Golders Green has a quiet radicalism baked into its history. Take Hampstead Garden Suburb, where I grew up, a project driven by the extraordinary Henrietta Barnett in the early 20th century. One of the first garden cities, it was a groundbreaking development. She also set up Toynbee Hall in London’s east end, where I began my legal career as a volunteer at the Free Legal Advice Centre. I saw there just how important the law could be for tenants facing eviction and women suffering unequal pay. Now I want to take those values of access to justice and a commitment to the rule of law into my new role as Solicitor General.
When, in 1907, we witnessed the opening of Golders Green underground station, adverts at the time dubbed our area a “place of delightful prospects”. I can vouch that never a truer word has been spoken, but this place of delightful prospects has suffered in recent years. My community has witnessed rising levels of antisemitism and Islamophobia. These are a scourge on our society and as long as I am in office I will tirelessly call them out and work to eradicate them.
Our community today is increasingly becoming a place of busy food banks and empty mansions. Inequality is writ large, stunting people’s health and potential. Many across Finchley and Golders Green are struggling with the spiralling cost of living. This has to change not just in my constituency, but across the whole country. Our NHS is broken, the prisons are full, the police cannot respond when they are called out and our teachers are not supported to deliver. We need to get Britain back on track, and the Bills set out in the King’s Speech are exactly what we need to take the brakes off the economy and restore and rebuild our public services.
My constituents are raring to go. Whether it is the Brent Cross Town development, one of the largest regeneration developments in Europe, or our brilliant high street businesses and local entrepreneurs, all we need to get growing is a Government who are on our side. Well, we have that Government now. So, to quote my famous predecessor, let’s get straight to the point and let’s get on with the change that Britain truly needs.
Miatta Fahnbulleh (Peckham) (Lab/Co-op)
Thank you, Madam Deputy Speaker. May I start by commending my hon. Friends for their impassioned maiden speeches? I am so proud to be sitting on these Benches with them.
I am incredibly honoured to be speaking for the first time in this House as the Member of Parliament for Peckham, a new constituency that spans from the oak trees of Nunhead cemetery to the spires of St Giles’ church, the African food shops of Peckham, the bustle of Rye Lane, the market stalls of Faraday’s East Street, the vibrant mosques of Old Kent Road and the Latin quarter of North Walworth. Ours is a community of communities that represents the very best of multicultural Britain—people of different colours, cultures, faiths and backgrounds united in our openness and acceptance of each other. We take pride in our diversity and the magic it brings to Peckham, and in our warmth and generosity of spirit.
Whoever you are and wherever you have come from, you will find your place in Peckham. For me, this is what makes representing the constituency so special, because it was among friends and the Sierra Leonean community in Peckham that my family found refuge when we fled from west Africa when I was a child. It was in this community that I learned the values of compassion and solidarity that have shaped my politics, and it was in this community that I first understood just how much the economy is failing people. I learned that you can work hard every day and still live in poverty, that our kids can be talented but still be deprived a shot, and that you can have billionaires living in the same borough as families that cannot feed their kids. It is in Peckham that I found my resolve that this must change. That is why I became an economist, why I have spent the last 15 years developing and campaigning for ideas to bring this change about, and why I am standing here today.
As I begin my journey in this House, I take inspiration from my formidable predecessor Harriet Harman, our inaugural Mother of the House. Harriet set the highest bar possible for what it means to be a great MP, having given 42 incredible years of service in working for the people of Camberwell and Peckham. In knocking on doors across Peckham, I heard story after story about how Harriet helped her constituents and touched countless lives. At a time when trust in our politicians is so frayed, the warmth, love and trust that she commands in our community speaks volumes. But more than that, she combined tireless work in her constituency with making a huge impact on our politics nationally—whether through enduring policies like the minimum wage, the winter fuel payment and the Equality Act 2010, which went to the heart of the inequality she saw in our community, or through the trail she blazed for women in politics by breaking ceilings and carving a path for others to follow. Today, the 190 Labour women MPs in this House are standing on her shoulders. On a personal note, I will always be grateful for her kindness, wisdom and grace, and for showing me what it means to be fearless in defence of your constituents, loyal but independent of mind, and tenacious about the change that is needed.
The need for change has never been so great. Today, as we debate the economy and all the uncertainties it brings, there is one thing I know for certain: people in Peckham are struggling. Their pay packets have flatlined for too long, with their safety net cut to shreds. Over a third of them cannot afford day-to-day essentials, and too many of our children now live in poverty. But it is not just about the money in your pocket; it is the fact that something as basic as a decent and affordable roof over your head is now out of reach for so many. Our schools, youth services, hospitals and care system are at breaking point, and children in my schools tell me that they only feel safe at home or at school—nowhere in between.
People in Peckham need change—not words or the promise of change that never comes, but real, tangible change that they can feel in their communities and see in their lives. They need change that will end the sense of being ground down, end the constant survival mode that so many people find themselves in, and rekindle the hope that has been beaten out. The weight of responsibility to deliver this now sits with me and all my hon. Friends on this side of the House. While the task feels insurmountable, what gives me hope is that those on our side have always grasped for big ideas to change the country when we have needed to do so. The NHS, social housing from the rubble of war, and the minimum wage—we have always been the party of big ideas. We have done it before at moments of crisis, and now we must do it again. As we find solutions to the challenges in front of us, I, as a proud Labour and Co-operative MP, hope that we will draw inspiration from the deep traditions of our movement—the enduring force of co-operation, putting power back in local hands, creating businesses run by local people for local people, trusting communities like Peckham to decide their own future, and giving them ownership and a stake in their economy—so that we can deliver the change for which my constituents and constituents across the country have given us a mandate.
If you will allow me, Madam Deputy Speaker, my final words are to my constituents. To the people lying awake at night and worrying about bills, the traders fighting for the survival of the businesses they have built, the families that cannot afford a home to lay down their roots, the people who cannot get the care they need and the kids who do not feel safe in our community, I want you to know this. I have listened to every conversation we have had. I have heard your worries, your anger, your frustration and your hopes, and I make one promise to you: in everything I do in this House, I will keep you in my mind’s eye. I will be your loudest voice, your fiercest defender and your proudest champion. I will fight every day to deliver the change that you deserve. I will serve you.
The Secretary of State for Work and Pensions (Liz Kendall)
I have never seen the right hon. Member for Central Devon (Mel Stride) do a comic turn quite like that. Opposition clearly suits him, but if he wants to lead his party out of its catastrophic defeat, he will have to do a lot better.
I am honoured to close today’s debate, not only as I am speaking from this side of the Dispatch Box for the first time, but after so many truly wonderful maiden speeches. Members from all parts of the House talked about the social, cultural and economic heritage of their constituencies and about the real challenges that their constituents face, but also their talents and potential for a brighter future, given that they have a Government who are on their side. There are too many Members to go through individually, especially on the Government Benches, but let me just say this: your constituents will be very proud of you, as will your friends and family. I say that especially to the hon. Member for North Down (Alex Easton). Members have spoken with passion and conviction, especially on the Government Benches, about the need for change and to make true on our manifesto promises, and that is what this Government will deliver.
This King’s Speech turns the page on the last 14 years of chaos and decline, and it takes the first steps towards national renewal, delivering growth in every part of the country, tearing down the barriers to opportunity and repairing our public services through investment and reform. Growth is this Government’s No. 1 priority, because it is the only way that we will improve prosperity, put more money into people’s pockets and transform our public services. Our plan starts with economic stability through the fiscal lock and our Budget responsibility Bill, so that we never again repeat the mistakes of the last Conservative Government, who crashed the economy, leaving working people to pay a heavy price.
Our planning and infrastructure Bill will get Britain building again to deliver the homes and other infrastructure that our country needs. Our national wealth fund will unlock billions of pounds of private investment to support good jobs in clean energy and other growth industries of the future. The Department I am now privileged to lead is central to our growth and opportunity missions, through unlocking the potential of our pension system, getting people into work and on in their work and driving down poverty in every part of the country.
First, on pensions, people who have worked hard and saved all their lives deserve a decent income in retirement. Although the previous Government talked about the need for pension reform, in reality there was little action. In contrast, we have acted immediately. Our new pensions Bill will bring together all the different pension savings that people build up across their working lives and drive better value for money in pension schemes. These measures could help improve incomes in retirement and boost pension pots by more than £11,000. Our landmark pensions review, announced by my right hon. Friend the Chancellor, and led by the Minister for Pensions, my hon. Friend the Member for Wycombe (Emma Reynolds) will go even further in unlocking investment in British businesses and improving outcomes for British pensioners.
The second way we will boost growth and unleash opportunity is by getting Britain working again. Last week’s labour market statistics underline the truly dire inheritance we face. Britain is the only G7 country whose employment rate has not returned to pre-pandemic levels. Some 9.4 million people are now economically inactive—either not in work, or not looking for work. That is one in five of the entire working age population.
Of those people, 2.8 million are locked out of the workplace due to poor health. That includes over-50s, often women with bad hips, knees and joints—I know about that only too well—and young people with mental health problems, often lacking basic qualifications. One in eight of all our young people are not in education, employment or training. What a damning indictment of the last Government. But behind those statistics are real people, with real hopes and dreams, who were written off by the Tories, denied opportunities and support, and then blamed for the position they are in. Let me tell the House now that, under the new Labour Government, that will change.
Our plan to get Britain working will be a cross-Government effort to drive change and unleash opportunity in every corner of the country. We will create more good jobs in clean energy and through our modern industrial strategy. We will make work pay and improve the quality of work through our new deal for working people. We will cut NHS waiting times, improve mental health support and transform skills and childcare to tackle the root causes of the problem, and fix the foundations for work, not just paper over the cracks.
We will deliver fundamental change in the Department for Work and Pensions, too. First, we will overhaul jobcentres, bringing together Jobcentre Plus with the National Careers Service to create a new jobs and careers service to help more people get to work and get on in their work. Secondly, we will drive down economic inactivity through new local work, health and skills plans led by mayors and local areas, devolving responsibility and resources to provide the right support in one place, because the man—or even the woman—in Whitehall will never know what is best in Leicester, Lowestoft or Leeds.
We will also deliver our youth guarantee to ensure that every young person is earning or learning, because unlike Conservative Members we will never accept almost a million young people being written off before they have even begun. Under this Government, there will be obligations to engage with support, look for work and take jobs when they are offered, as there always have been since the original Beveridge report, but there will be no more divisive, derogatory rhetoric or claiming that people just think that they are too bluesy to work. I am in politics to solve problems, not to score cheap points and grab empty headlines that do nothing to tackle the problems in people’s lives.
Alongside our plan to get Britain working again, we have taken immediate action to deliver our manifesto commitment for an ambitious strategy to tackle child poverty. I am proud that the last Labour Government lifted more than half a million children out of poverty. The contrast with the Conservatives could not be greater, with 700,000 more children growing up poor during their time in office. The fact that 4 million children are now living in poverty is a stain on our society. That is why, within a week of taking office, I called in child poverty experts and campaigners to help start work on our plans. It is why the Prime Minister announced our new ministerial taskforce to drive action across Government, underpinned by a new child poverty unit in the Cabinet Office. I will lead that work with our Education Secretary. As the Prime Minister announced, we will look at how to use all the levers at our disposal, including household income, employment, housing, children’s health, education and childcare so that we drive up opportunity, drive down poverty and give all children the best start in life.
The Government were elected on a mandate for change, to change our economy so that it works for working people, to get our public services back on their feet and to transform opportunity by tearing down the barriers to success in every corner of this great nation. The King’s Speech takes the first steps to rebuild Britain and make every part of our country better off, delivering real change to people’s lives, giving them the chances and choices they deserve and to begin—finally—the task of restoring faith that politics can once again be a force for good.
Question put, That the amendment be made.