Oral Answers to Questions

Wednesday 6th November 2024 Commons Chamber

The Secretary of State was asked—

[Carolyn Harris (Neath and Swansea East) (Lab)]

1. What steps she is taking with Cabinet colleagues to support the steel industry in Wales.

[Adam Thompson (Erewash) (Lab)]

11. What steps she is taking with Cabinet colleagues to support the steel industry in Wales.

[The Secretary of State for Wales (Jo Stevens)]

Steelmaking is key to our missions to grow the economy and deliver clean power by 2030. We are committed to providing up to £2.5 billion for steel in addition to the £500 million already earmarked for Tata to build its electric arc furnace at the Port Talbot steelworks. I was pleased to reaffirm at the Budget £80 million of funding for the Port Talbot transition board, which I chair. We will continue to deliver this money to people and businesses affected.

[Carolyn Harris]

Unlike the previous Government, this Government are fully committed to enabling the £800 million transition fund to support former steelworkers. I recently visited the steelworkers’ support centre in Port Talbot, in the constituency of my hon. Friend the Member for Aberafan Maesteg (Stephen Kinnock). In its opening four weeks, it has helped almost 600 individuals, many of whom will be from Neath and Swansea East. Will the Secretary of State join me in thanking Community union and the other organisations that have set up the centre, and provide an update on the transition fund?

[Jo Stevens]

I completely agree with my hon. Friend that the hub is great. I opened the hub last month, and Community union and others have done a fabulous job with this one-stop shop to help support workers affected by the changes at Tata. This Government are determined to do everything we can to support workers and businesses. That is why this renewed partnership of Governments, unions and the local council is working together to ensure that the town gets what it needs. Funding from the UK Government is already making a difference via the transition board. We know that there is a huge amount of work to do, but we are already seeing people successfully placed in new jobs as a direct result of the £13.5 million that we have made available so far.

[Adam Thompson]

I thank the Secretary of State for her hard work to support our steel industry and our general steel communities, including in Port Talbot, since she has been in post. I was pleased to see the Chancellor confirm in the Budget £80 million of funding for the transition board, which the Secretary of State chairs. Will she tell the House why that was necessary?

[Jo Stevens]

In my first week as Welsh Secretary, I discovered that the £80 million promised by the previous Conservative Government for the transition board was part of the £22 billion of unfunded promises they had made. That shocking dereliction of duty threatened to leave workers and businesses high and dry without the support they needed. I have therefore made it my mission to fight tooth and nail for that money on behalf of our steel communities, and I would not have left them unsupported. I am pleased to be able to confirm that under this Labour Government the transition board is fully funded, and we are getting on with the delivery.

[Mr Speaker]

I welcome the new shadow Secretary of State for Wales.

[Mims Davies (East Grinstead and Uckfield) (Con)]

Thank you, Mr Speaker. At the outset, as I come to the Dispatch Box for the first time in this role for Wales questions, may I please pay tribute to my former private secretary in the Wales Office, Debbie John, who was taken at a tender age due to pancreatic cancer? She and her family are in my thoughts today as I take up this role. She is much missed and very fondly remembered.

The right hon. Lady clearly needs to acknowledge to the House that the deal for Tata steel recently re-announced by her UK Government is identical to the one negotiated by my right hon. Friend the Member for North West Essex (Mrs Badenoch), who is now Leader of the Opposition.

[Jo Stevens]

I welcome the hon. Lady to her place and join her in her comments about her former private office secretary.

I think the hon. Lady needs to read the deal reached by the Government. The £1.25 billion transformation project at Port Talbot will deliver a state-of-the-art electric furnace, the contract for which has just been signed. In just under 10 weeks, without providing any additional funding beyond the £500 million previously announced, we delivered a better deal that secures the immediate future of Port Talbot and lays the foundations for future investment, as well as enhanced protections for the workforce in Port Talbot, Llanwern, Trostre and Shotton.

[Mims Davies]

I am delighted that the right hon. Lady has read the deal that we wrote, but the facts are simple: despite the protesting, this is the same deal that was previously negotiated by the last Conservative Government, involving the same amount of money to build the electric arc furnace and the same cash for the transition board. It is ludicrous for her or others to continue to claim that no support was in place and that it somehow appeared when she found it down the back of the sofa. She is fully aware that the cash had been sitting there the whole time. Perhaps an apology is needed for that, and for claiming that Port Talbot supplies the defence industry with materials.

[Jo Stevens]

If an apology is due, it is to the people of Port Talbot for promising £80 million for a transition board that operated for nine months under the previous Secretary of State for Wales, and delivered not a single penny to the people of Port Talbot, and now we know why: the £80 million did not exist.

[Mr Speaker]

I call the Liberal Democrat spokesperson.

[David Chadwick (Brecon, Radnor and Cwm Tawe) (LD)]

The closure of the last blast furnace at Port Talbot has resulted in the loss of several thousand highly skilled jobs across south Wales, prompting another economic contraction across our region. The global centre for rail excellence at Onllwyn is one project that could reverse the trend of deindustrialisation and bring back good, well-paid jobs to south Wales. Will the Secretary of State confirm that the UK Government intend to make further investments in that project, and give an update on what conversations she has had to ensure that the project gets going?

[Jo Stevens]

The hon. Gentleman will know from both the Budget and the international investment summit that significant investments are being made in Wales as a result of this Government’s work: £63 billion was announced at the investment summit, £1 billion to Shotton Mill in north Wales—the biggest investment in Wales for decades. That will secure 300 jobs and mean that we will have the largest UK paper manufacturing site in the whole United Kingdom. We are growing the economy, creating jobs and delivering significant investment. I will write to him about the rail project.

[Tonia Antoniazzi (Gower) (Lab)]

2. What steps she is taking to strengthen the Union.

[Mark Ferguson (Gateshead Central and Whickham) (Lab)]

3. What steps she is taking to strengthen the Union.

[The Secretary of State for Wales (Jo Stevens)]

We have reset our relationship with the Welsh Government. Our approach is based on trust and mutual respect, and is spearheaded by the new Council of the Nations and Regions, which met for the first time last month. My regular meetings with the First Minister of Wales are also driving forward our new partnership, which is already delivering for Wales. That was evident in the biggest ever real-terms Budget settlement delivered for the Welsh Government last week.

[Tonia Antoniazzi]

The Secretary of State has been clear that this Labour Government will build a new partnership with the Welsh Government based on co-operation, respect and delivery. Will she say how the Government will give meaning to the manifesto commitment to strengthen devolution?

[Jo Stevens]

The previous Conservative Government ran roughshod over the devolution settlement, including by legislating in devolved areas without consent on numerous occasions. This Government will respect the devolution settlement and work in partnership with all devolved Governments. We will honour our manifesto commitment to do that by strengthening the Sewel convention, including a new memorandum of understanding between our Governments, ensuring that the petty squabbles of the past are confined to history and we can focus on delivering for the people of Wales.

[Mark Ferguson]

The Secretary of State has been very clear about the much-needed reset between the Welsh and UK Governments. Can she also make clear how the recent Budget has contributed to that reset?

[Jo Stevens]

Our Budget delivered for Wales for the first time in a generation, because the £21 billion settlement announced last week is the largest settlement in real terms since the dawn of devolution. It will provide a record boost for the Welsh Government to support vital public services in Wales, such as the NHS. It includes £25 million to maintain work to keep coal tips safe, and £320 million for investment zones in north and south Wales to power our sector strengths, which include the creative industries, life sciences and advanced manufacturing—for example, our world-leading compound semiconductor cluster. That shows the difference of Labour Governments working together.

[Tom Tugendhat (Tonbridge) (Con)]

First, may I pay tribute to my hon. Friend the Member for East Grinstead and Uckfield (Mims Davies), who has just taken on the role of shadow Secretary of State for Wales? It is a fantastic opportunity for her to champion a vital part of our Union. Secondly, may I ask the Secretary of State, who is newly in her post, what she will do to ensure that the power that brings our Union together comes out of Ynys Môn—that is Anglesey to her—so that she can ensure that the nuclear projects that keep us safe are properly invested in and not dropped, as they have been by this Labour Government? Labour Governments control both sides of the M4 now, and it is about time they delivered.

[Jo Stevens]

I wonder whether the right hon. Gentleman has ever been to Anglesey—or Ynys Môn, as he describes it. I am eager to see new nuclear developments in north Wales that will provide high-quality jobs across the region and drive economic growth. We recognise that a nuclear future at Wylfa could help to deliver several of our strategic objectives, achieving net zero energy independence and restoring economic prosperity across our nations and regions. Great British Nuclear completed the purchase of the site in June this year, and we will make further announcements about it very soon.

[Jim Allister (North Antrim) (TUV)]

Could the Secretary of State explain how it is possible to strengthen the Union while maintaining a partitioning border in the Irish sea at the behest of a foreign jurisdiction and under its laws?

[Jo Stevens]

I refer the hon. and learned Gentleman to my previous answer about the resetting of the relationship with the Welsh Government, and about working together and respecting the devolution settlement with all devolved Governments.

[Liz Saville Roberts (Dwyfor Meirionnydd) (PC)]

The Secretary of State talks about respecting the devolution settlement. Mark Drakeford wrote to the Chancellor before the Budget asking for a review of Wales’s Barnett formula for transport funding, which had fallen from 81% in 2015 to 36% in 2021. However, the Budget revealed a further cut in the Welsh transport comparability factor, which is now down to 33%. How come strengthening the Union under Labour means that every major rail project in England results in Wales losing out?

[Jo Stevens]

We are having ongoing discussions with the Welsh Government about funding flexibilities and their fiscal framework. We will deliver our manifesto commitment to work with the Welsh Government to address the outdated fiscal framework. As the right hon. Lady knows, heavy rail infrastructure is not devolved in Wales as it is in Scotland and Northern Ireland, and the Department for Transport settlement provides a £1.1 billion cash increase to total budgets in 2025-26 compared to 2024-25.

[Llinos Medi (Ynys Môn) (PC)]

4. What discussions she has had with the Welsh Government on the impact of the autumn Budget on Wales.

[The Secretary of State for Wales (Jo Stevens)]

I have regular discussions with the First Minister of Wales on a range of topics, including, of course, the autumn Budget. This Budget has delivered for Wales for the first time in a generation. The Welsh Government are receiving the largest settlement in real terms since devolution, to support public services such as the NHS. More than 100,000 workers in Wales benefit from increases in the national minimum wage and the national living wage each year.

[Llinos Medi]

In the Budget, the Chancellor announced that the Barnett formula would apply to funding for agriculture, rather than the devolved Governments receiving a ringfenced amount. The Farmers’ Union of Wales says that the Barnettisation of funding could lead to a cut of £146 million a year, or more than 40%. Can the Secretary of State say whether that figure is correct, and whether she believes that her Government’s Budget has shown any consideration at all for our farming communities?

[Jo Stevens]

I was very pleased that the Budget was able to protect the current farming budget for the next financial year, despite the difficult decisions that we had to make because the Conservative party had trashed our economy. [Interruption.]

[Mr Speaker]

Order. Mr Griffith, you are continually being a nuisance on the Front Bench. I want you either to restrict it or to go and get yourself that cup of tea.

[Jo Stevens]

Thank you, Mr Speaker. Obviously, farming is devolved in Wales, and the decision on how to spend that budget will be up to the Welsh Government.

[Catherine Fookes (Monmouthshire) (Lab)]

I welcomed last week’s Budget announcements about improving rail transport, and I want to bang the drum for a most excellent project in Monmouthshire, the Magor walkway station, which is ready for investment—indeed, we might even call it oven-ready. Will my right hon. Friend commit to working with the Rail Minister and me, and Welsh Ministers, to deliver the five Burns stations, and will she meet me to discuss progress?

[Jo Stevens]

My hon. Friend is a wonderful advocate for her constituency and for the Burns commission’s recommendations for her constituency, and I would be very happy to meet her to discuss them.

[Mr Speaker]

I call the shadow Secretary of State.

[Mims Davies (East Grinstead and Uckfield) (Con)]

Will the Secretary of State express her regret about the impact of Labour’s Budget on Wales? It will undoubtedly make the people of Wales poorer. Pensioners have been left wondering whether they should turn on their heating this winter, and family farms will be destroyed. The Budget is affecting business confidence and employment across the nation.

[Jo Stevens]

The Budget provides the biggest ever settlement in real terms since the dawn of devolution, a protected £80 million for steelworkers and businesses, £88 million for city and growth deals, £320 million for funding through investment zones, £25 million for coal tips and a protected £440 million for local communities— I could go on. It was a great deal for Wales.

[Mims Davies]

rose—

[Mr Speaker]

Order. You cannot just keep asking questions, shadow Secretary of State. You are allowed only two, and that was your second.

[Andrew Ranger (Wrexham) (Lab)]

5. What recent discussions she has had with Cabinet colleagues on increasing economic growth in Wales.

[The Secretary of State for Wales (Jo Stevens)]

The growth mission is the central priority for this Government. Our new industrial strategy and national wealth fund will boost economic growth across Wales, creating jobs and driving up living standards. Working alongside ministerial colleagues, I was pleased to confirm £320 million of funding for two investment zones in Wales, the green light on the freeport in the Celtic sea and protection for local community growth funding across Wales.

[Andrew Ranger]

I thank the Secretary of State for her answer. Universities in Wales, such as Wrexham University in my constituency, are crucial not just for the educational and research outcomes they provide, but for the economic opportunities they give our towns and cities, with a recent report by Universities Wales showing that their contribution to the economy stands at £11 billion. At a time when we are firmly in pursuit of economic growth, can the Secretary of State tell me what conversations she has had to ensure that universities in Wales are partners in this mission? Will she agree to visit Wrexham University with me to see at first hand the brilliant work that it is doing in collaboration with local businesses?

[Jo Stevens]

I would be delighted to go back to Wrexham and visit the university with my hon. Friend. Welsh universities will benefit from record levels of investment in research and development, which will be worth over £20 billion next year. The Budget confirmed £160 million of funding for the Wrexham and Flintshire investment zone, which was chosen due to the presence of world-renowned research institutions such as Wrexham University and Bangor University.

[Carla Lockhart (Upper Bann) (DUP)]

We say the phrase “no farmers, no food” so often, but never has there been a need for such emphasis as in the wake of the autumn Budget. Farmers in Wales, in Northern Ireland and right across this United Kingdom are reeling from the change in agricultural property relief and the impact it will have on the future of family farms. What is the Secretary of State doing to support farmers and make this case to the Treasury?

[Jo Stevens]

This Government continue to provide significant tax relief for farmers. For example, farming parents are able to pass up to £3 million to their children free of tax. They then pay half of the normal inheritance tax rates on anything over £3 million, and they have up to 10 years to pay it. The vast majority of farms will be unaffected by the changes in the Budget and will continue not to pay inheritance tax.

[Ruth Jones (Newport West and Islwyn) (Lab)]

6. What discussions she is having with the Welsh Government on collaborative efforts to improve healthcare in England and Wales.

[The Secretary of State for Wales (Jo Stevens)]

Cutting waiting lists is a top priority for both this Government and the Welsh Government. Last week’s spending review provided the Welsh Government with the largest real-terms settlement since devolution, including an additional £1.7 billion for 2025-26, enabling them to spend more on public services such as the NHS. I continue to collaborate with ministerial colleagues in both Governments, with the aim of driving down waiting lists.

[Ruth Jones]

I welcome this new partnership between the Welsh and UK Governments, which represents a real opportunity to share best practice and help to cut NHS waiting lists in England and Wales. Will the Secretary of State expand on how she will ensure that patients on both sides of the border get access to the best healthcare possible in a timely matter?

[Jo Stevens]

Both Governments are working collaboratively to make the NHS fit for the future. We provided a £1.75 billion boost for the Welsh Government to spend on public services such as the NHS, and the Welsh Government have just announced £28 million to cut NHS waiting times. Both Governments are sharing best practice and will consider more cross-border arrangements where capacity allows. The Welsh Government’s ministerial advisory group on NHS performance and productivity has been established to support improvements and bring down long waiting lists.

[Robin Swann (South Antrim) (UUP)]

The Secretary of State will know that health is devolved across all the nations. Can she reassure me that the Secretary of State for Health will work with all the devolved Health Ministers to make sure that we can truly engender a national health service for the likes of mental health provision?

[Jo Stevens]

I know that the Health and Social Care Secretary wants to ensure that the national health service across all of our four nations is fit for the future.

[Liz Saville Roberts (Dwyfor Meirionnydd) (PC)]

The British Medical Association in Wales says that GP funding has decreased as a percentage of the Welsh Government’s budget by over 2.6% since 2005. Treflan surgery in Pwllheli cannot afford to fill key staff roles, and Budget measures will cost it an extra £19,000. The Secretary of State for Wales knows the state of the NHS in Wales, so why is she instrumental in Labour at both ends of the M4 threatening GP surgeries?

[Jo Stevens]

We are not threatening GP surgeries. If the right hon. Lady does not think that the £1.7 billion additional funding to spend on the NHS in Wales as a result of the Budget is a great idea, she needs to say what she would do instead.

[Clive Jones (Wokingham) (LD)]

7. What discussions she is having with the Welsh Government on support for the farming industry in Wales.

[The Parliamentary Under-Secretary of State for Wales (Dame Nia Griffith)]

I recently met the Deputy First Minister of Wales to discuss a range of matters relating to farming. In September, the inter-ministerial group meeting on rural affairs agreed to improve food security and environmental land management by increasing the exchange of data and insights on farming support schemes. I was also pleased to see the Budget protecting Welsh farm budgets at current levels for the financial year.

[Clive Jones]

The Secretary of State, while in opposition, warned that the New Zealand trade deal would push Welsh farmers into bankruptcy and noted that Australian meat was produced at a far lower standard than in Wales. I agree. My constituents want high-quality Welsh lamb, beef and chicken. Will the Minister therefore push her colleagues in the Department for Business and Trade to review the Australia and New Zealand trade agreement and get it right for our farming communities?

[Dame Nia Griffith]

The hon. Member will know as well as I do that the new Leader of the Opposition is the one who sold our farmers down the river, negotiating deals with places such as Australia and leaving our farmers open to increasing quotas on imported meat. I assure him that this Government are committed to promoting robust standards, nationally and internationally, to protect consumer interests and to ensure that consumers have confidence in the food that they buy. We will consider the full range of tools at our disposal to uphold the UK’s commitment to high standards. That includes using our influence in the World Trade Organisation and other multilateral bodies to argue for better and fairer trading rules.

[Steve Witherden (Montgomeryshire and Glyndŵr) (Lab)]

8. What steps she is taking with Cabinet colleagues to help create new jobs in Wales.

[The Parliamentary Under-Secretary of State for Wales (Dame Nia Griffith)]

Our mission to kick-start economic growth will deliver good jobs and growth in Wales. Just last month, our international investment summit secured over £63 billion in private investment into the UK. Since July, we have secured over £1 billion of investment into north Wales, creating and sustaining 400 well-paid jobs in manufacturing.

[Steve Witherden]

The Secretary of State has said that economic growth is her No. 1 priority. Can the Minister say how the Budget’s confirmation of the investment zones will help contribute to that aim?

[Dame Nia Griffith]

The Budget includes a total of £320 million and a commitment for the investment zones in Cardiff and Newport and in Wrexham and Flintshire. This is a crucial part of our work with the Welsh Government to provide a rocket boost for sectoral strengths such as the creative industries, the life sciences and advanced manufacturing, including our world-leading compound semiconductor cluster.

[Jim Shannon (Strangford) (DUP)]

There is great potential for creating new jobs in wind energy and sea energy in Wales. We in Northern Ireland, and in Belfast in particular, have the engineering skills to provide the turbines for that energy production. Everyone would gain: Wales would get the jobs, and Northern Ireland would get the jobs as well.

[Dame Nia Griffith]

This Government are absolutely committed to economic growth across all parts of the United Kingdom.

The Prime Minister was asked—

[Mr Speaker]

I welcome the Leader of the Opposition and wish her well.

[Dame Caroline Dinenage (Gosport) (Con)]

Q1. If he will list his official engagements for Wednesday 6 November.

[The Prime Minister (Keir Starmer)]

I begin by congratulating President-elect Trump on his historic election victory. As the closest of allies, the UK and the US will continue to work together to protect our shared values of freedom and democracy. Having had dinner with President-elect Trump just a few weeks ago, I look forward to working with him in the years to come.

I also welcome the Leader of the Opposition to her place—my fourth Tory leader in four and a half years. I look forward to working with her in the interests of the British public.

This weekend is Remembrance Sunday, when people across the country will come together to pay solemn tribute to those who made the ultimate sacrifice in defending the values and freedoms that we enjoy today. I am sure the entire House will join me in paying tribute to them.

This morning, I had meetings with ministerial colleagues and others. In addition to my duties in this House, I shall have further such meetings later today.

[Dame Caroline Dinenage]

My constituent Suzanne is going to miss out on her winter fuel allowance this winter because she is just £10 above the pension credit threshold. As well as losing out on that vital money to keep her house warm, she does not get the £150 warm home discount, the £169 free TV licence or free NHS prescriptions. For the sake of a tenner, is this fair?

[The Prime Minister]

We introduced a Budget to fix the foundations of this country and to rebuild our country. One of the issues we had to confront was the £22 billion black hole left by the last Government. We have taken the tough decisions that will stabilise our economy. This means we can commit to the triple lock, which means that pensioners will be better off, seeing an increase in their pension, than they would have been under the Conservative party.

[Jacob Collier (Burton and Uttoxeter) (Lab)]

Q2. Every week I meet hard-working families in Burton and Uttoxeter who are juggling raising their children with managing their family finances. When they hear the Conservative party and its new leader say that maternity pay has “gone too far,” they are terrified about what that means for them. To ease the worry felt by thousands of hard-working families, will the Prime Minister please confirm that he has no plans to change maternity pay or to roll back the hard-won rights of working families?

[The Prime Minister]

I thank my hon. Friend for his question. He is a champion for families in his constituency. My answer is simple: yes. I do not agree with the Leader of the Opposition when she says that maternity pay is excessive and has gone too far.

[Mr Speaker]

I call the Leader of the Opposition.

[Mrs Kemi Badenoch (North West Essex) (Con)]

I thank the Prime Minister for his almost warm welcome. I echo the comments he has made. It is an immense privilege and the honour of my life to lead the Conservative party. I look forward to joining him at the Cenotaph this Remembrance Sunday.

As Leader of His Majesty’s Opposition, I will be taking a different approach to the last Opposition, by being a constructive Opposition, so I would like to start by congratulating President-elect Trump on his impressive victory this morning. The Prime Minister and the Foreign Secretary met him in September. Did the Foreign Secretary take that opportunity to apologise for making derogatory and scatological references, including

“Trump is not only a woman-hating, neo-Nazi-sympathising sociopath. He is also a profound threat to the international order”?

If he did not apologise, will the Prime Minister do so now, on his behalf?

[The Prime Minister]

There will be many issues on which the Leader of the Opposition and I disagree, but there will be issues that unite this House, on national security and Ukraine. I look forward to working closely with her on that. I will provide her with the information that she needs to discharge her duties. That is the right thing for the country and it is far more important than party politics. The Foreign Secretary and I did meet President-elect Trump, just a few weeks ago, for dinner, for about a couple of hours. We discussed a number of issues of global significance. It was a very constructive exercise.

[Mrs Badenoch]

The Prime Minister did not distance himself from the remarks made by the Foreign Secretary, and I am very sure that President Trump will soon be calling to thank him for sending all of those north London Labour activists to campaign for his opponent. Given that most of his Cabinet signed a motion to ban President Trump from addressing Parliament, will the Prime Minister show that he and his Government can be more than student politicians by asking the Speaker to extend—[Interruption.]

[Mr Speaker]

Order. Mr Perkins, I do not need any more. Your voice carries; it is like mine—too loud.

[Mrs Badenoch]

Will the Prime Minister show that he and his Government can be more than student politicians by asking you, Mr Speaker, to extend an invitation to President Trump to address Parliament on his next visit?

[The Prime Minister]

The Leader of the Opposition is giving a masterclass on student politics! But seriously, we live in probably a more volatile world than we have lived in for many decades. It is absolutely crucial that we have a strong relationship—that strong, special relationship, forged in difficult circumstances—between the US and the UK. We will continue to work, as we have done in our four months in government, on issues of security, our economy and global conflict.

[Mrs Badenoch]

The Prime Minister does not answer the questions; he just reads the lines the officials have prepared for him. It does not sound like he wants to invite President-elect Trump to Parliament. He needs to look after the special relationship. The US is our single biggest trade partner. Given the risk of increased tariffs on UK exports, which threatens our manufacturing sector, will the Prime Minister commit now to continuing the negotiations on our free trade agreement with the US, which the Biden Administration cancelled when they came into office?

[The Prime Minister]

Of course we will discuss issues of our economy with the President-elect, as we already have done. Economy, security and global conflict are issues of real significance that ought to unite this House. When it comes to the economy, what we have done with our Budget is to fix the foundations after 14 years, and return economic stability after the £22 billion black hole. We have protected the payslips of working people. We have made the single biggest investment in our country for a generation in the NHS, schools and homes. We have given a pay rise to the 3 million lowest paid. If the Leader of the Opposition is opposed to that investment or the pay rise for working people—she is a straight talker, as I understand it—perhaps she should say so.

[Mrs Badenoch]

Discuss, discuss, discuss; chat, chat, chat—the Prime Minister has no plans whatsoever for building on the special relationship. He needs to realise that we in this country rely on our single biggest trade partner. President Trump is also right to argue that Europe needs to increase its defence spending. The last Conservative Government committed to raising defence spending to 2.5% of GDP by 2030. Will the Prime Minister finally match that commitment?

[The Prime Minister]

There is no more important duty than keeping the people of this country safe. It was the Labour Government who signed the NATO treaty in the first place, and we are strong supporters. We have a strategic defence review, and we are committed to 2.5%. [Interruption.] I remind Conservative Members that the last time 2.5% was met was under the last Labour Government. Fourteen years, and they never did it once. Last year, the National Audit Office identified a £17 billion black hole in the Ministry of Defence finances. The former Defence Secretary said that the previous Government “hollowed out” the armed forces. The plan that the Conservatives put forward at the election was pure fantasy.

[Mrs Badenoch]

The Prime Minister will not make that commitment; that is very clear. All that he is doing —[Interruption.]

[Mr Speaker]

Order. I am going to hear the questions. If there are people who do not want to hear them, they can leave now.

[Mrs Badenoch]

The Prime Minister will not make that commitment, yet the world is getting more dangerous. His Chancellor’s Budget did not even mention defence. The Chancellor’s Budget last week was a copy and paste of Bidenomics. It turns out that a high-spending, high-borrowing and high-inflation approach is less popular than she may have thought. May I suggest that he now urges her to change course, or is he determined to be a one-term leader?

[The Prime Minister]

The one thing that I learned as Leader of the Opposition is that it is a good idea to listen to what the Government are actually saying. I think the right hon. Lady just said that defence was not mentioned in the Budget. It was seven days ago that it was absolutely clear and central to the Budget, as was economic growth. We are fixing the foundations. We are giving a pay rise to millions of people. We are picking up the mess that the Conservatives left, including the £22 billion black hole, and giving a pay rise to working people. I have not yet heard her welcome that pay rise for the 3 million lowest paid workers. Does she now welcome it, or does she stick to her previous policy that it is excessive?

[Mrs Badenoch]

I was the one who, as Business Secretary, raised the minimum wage last year; I have a strong record on this. We need to make sure that we balance the books. The Prime Minister’s scripted lines show that he has not even listened to the Budget himself, so I will try a different question. Perhaps he can give something that is unscripted to the people who are watching.

Farmers across the United Kingdom—[Laughter.] Mr Speaker—[Interruption.]

[Mr Speaker]

Order. I do not need any help. If anybody wants to leave, I will help them do that. I am going to hear the question, and I certainly want to hear the answer as well, so, please, let us have some courtesy.

[Mrs Badenoch]

We have heard the Prime Minister on television repeat the lines “fixing the foundations” and so on, over and over again, but what does he say to farmers who are facing uncertainty about their futures as a result of the increased taxes announced by the Chancellor? I am very clear that we would reverse Labour’s cruel family farms tax. [Hon. Members: “Reading!”] What can he say now to reassure the farming community —[Hon. Members: “Reading!”]—who provide security for the whole nation?

[The Prime Minister]

I am happy to help the Leader of the Opposition. If she is going to complain about scripted answers, it is probably best not to read that from a script! [Hon. Members: “More!”] I am glad that she raised the issue of farmers, because the Budget last week put £5 billion over the next two years into farming. That is the single biggest increase, unlike the £300 million underspend under the last Government. When it comes to inheritance, the vast, vast majority of farmers will be unaffected, as she and her party well know.

The Budget was about fixing the foundations, fixing the £22 billion hole that the Conservatives left and investing in the future of our country—investing in our NHS, our schools, our hospitals and our homes. I am proud that we are making that investment. If the Opposition oppose it, they should go out there and tell their constituents that they are against that investment in the future of our country. That is the difference: a Labour Government taking us forward; the Conservatives are stuck in the past.

[Hon. Members]

More!

[Mr Speaker]

Order. I want to hear Matthew Patrick.

[Matthew Patrick (Wirral West) (Lab)]

Q3. Emily left her ex, but the abuse did not stop. He stayed in their home, cancelled the mortgage contributions and destroyed her credit score. Now she cannot even take out a mobile phone contract. Surviving Economic Abuse and UK Finance have made progress in tackling this issue, but more has to be done. Will the Prime Minister and his Government work with me to introduce new provisions, so that we can restore the credit files for survivors of economic abuse like Emily?

[The Prime Minister]

I thank my hon. Friend for raising this really important issue. Economic abuse has a devastating impact on victims, leaving them vulnerable and isolated, and we are committed to ending this national emergency and keeping women safe from domestic abuse, harassment and stalking. That includes £200,000 this year for the charity Surviving Economic Abuse, and His Majesty’s Revenue and Customs has launched an online tool to help charities and businesses to identify and respond to economic abuse. I will make sure that my hon. Friend has a meeting with the relevant Minister.

[Mr Speaker]

I call the leader of the Liberal Democrats.

[Ed Davey (Kingston and Surbiton) (LD)]

I join the Prime Minister in his comments about Remembrance Sunday. We must always remember the brave British men and women who gave their lives for our country. I also join him in welcoming the Conservative leader to her place, and congratulate her on becoming the first black leader of a UK-wide party—a major and historic achievement.

President-elect Trump praised Vladimir Putin’s invasion of Ukraine. He called it “genius”. He also said that he would encourage Russia

“to do whatever the hell they want”

to NATO allies, so what action is the Prime Minister taking to encourage a Trump presidency to change its mind? Otherwise, it is a huge threat to global security, and national security in the UK. Does the Prime Minister agree that, if the US will not oppose President Putin and support our brave Ukrainian allies, the UK must lead in Europe, so that together we do?

[The Prime Minister]

I am very proud that in this House we are united on the question of Ukraine, and clear about Russian aggression, and we will continue to be so. I have long taken the view that the only winner if we are divided in this House is Putin, and I am not prepared to let that happen. Our relationship with the US is a strong relationship, forged in very difficult circumstances historically. It remains as strong today as it was when it was first forged, and I look forward to working with President-elect Trump to ensure that that relationship stays the special relationship.

[Ed Davey]

I am grateful for the Prime Minister’s comments on Ukraine, but Donald Trump has also said that “trade wars are good”. He calls himself “Tariff Man”. People are really worried that Trump’s trade wars and tariffs will damage our economy, damage businesses, and hit the cost of living here in the UK. Given that, does the Prime Minister recognise that it is more urgent than ever that we support our British economy by getting rid of the damaging trade barriers with Europe put in place by the Conservatives?

[The Prime Minister]

As the right hon. Member will know, we made the economy the centrepiece of our Budget, and we will do everything that we need to do to ensure that our economy grows, and that is measured in living standards going up for working people across the country.

[Alex Baker (Aldershot) (Lab)]

Q5. Many families across Aldershot and Farnborough have struggled for years to get their children with special educational needs the help that they need. It is therefore shameful to read the misguided claims made by the Leader of the Opposition that autistic people“may well get better treatment”and receive economic privileges and protections. Will the Prime Minister stand with the families of autistic children, and distance the Government from those awful words?

[The Prime Minister]

I will leave the Leader of the Opposition to respond to those words. As the recent National Audit Office report exposed, children with special educational needs and disabilities were being failed by the system under the previous Government. This has come up I think five times in the last two or three weeks at PMQs. It is clearly a serious issue. Our focus will be on ensuring that every child receives the right support to succeed in their education.

[Sorcha Eastwood (Lagan Valley) (Alliance)]

Northern Ireland is considered one of the most dangerous places in Europe to be a woman—24 women have been killed in the last four years—but one of the most dangerous places for women and girls is online. I pay tribute to Belfast and Lisburn Women’s Aid, which is tireless in its advocacy of women. What are the Government doing to keep women and girls safe online, not just in Lagan Valley but right across the United Kingdom?

[The Prime Minister]

The hon. Member is right to draw attention to that issue. Misogyny and abuse, both online and offline, cause horrendous harm to women and girls across the UK. I commend her for her honesty and bravery in speaking out about her own experiences, and for her dedication to creating safe spaces for women in her constituency. We must create a safer world online for women and girls through the Online Safety Act 2023, mitigating the risk of illegal content and activity that is abusive or incites hatred.

[Neil Coyle (Bermondsey and Old Southwark) (Lab)]

Q6. Everyone in Southwark will benefit from the positive measures in last week’s Budget, especially the thousands of people on minimum wage, who will get a real-terms increase to help themselves, their families and the economy. The new leader of the Tory party—this week’s leader—is on record as saying that she wants to scrap the minimum wage, having seemingly learned nothing from July. Will the Prime Minister pledge to protect the minimum wage and increase it in this Parliament as finances allow?

[The Prime Minister]

The previous Labour Government transformed the labour market with the national minimum wage. That was opposed by the Conservatives at the time, and sadly they do not seem to have changed. I was surprised by the comments of the Leader of the Opposition. I was surprised to see the new shadow Business Secretary say that the minimum wage was

“something that legislators pass to make themselves feel good.”

I disagree. I am very proud of the fact that this Labour Government have raised wages for 3 million low-paid workers, and I expect the Conservative party to welcome that.

[George Freeman (Mid Norfolk) (Con)]

Q4.   After 14 years shaping the UK’s long-term strategies for life sciences, agritech, fusion and space, I welcome the Government’s industrial strategy. However, too many of our great companies are being bought out by our competitors. To build the industries of tomorrow here, we need to unlock some of the hundreds of billions of pounds in UK pension funds in the City, only 3% of which are now investing in UK equities. With the new Lord Mayor making that a priority, and the Mansion House speech imminent, will the new Government commit to seeing through the previous Government’s reforms to unlock British capital for British research and development growth?

[The Prime Minister]

I thank the hon. Member for welcoming the industrial strategy. I know that this issue is close to his heart; he has spoken about and acted on it for many years. The Budget sees record R&D investment, with over £20 billion next year, including over £2 billion to support our world-leading life sciences sector. Through the British Growth Partnership, we will crowd in pension fund investment to support innovative business, and we have launched our landmark pensions review to unlock billions of pounds of investment into the UK and boost growth and living standards across the country.

[Catherine Fookes (Monmouthshire) (Lab)]

Q7. As the Chancellor said last week, we were left a toxic legacy by the previous Government, including rivers filled with polluted waste. Will the Prime Minister put the River Wye into special measures by designating it a water protection zone, and will he meet me and the excellent cross-border Wye Catchment Partnership to deliver its plan to clean up the Wye?

[The Prime Minister]

The River Wye is one of our most important and iconic rivers, and we are working closely with the Welsh Government on that pressing issue. The destruction of our waterways should never have been allowed. That is why we have launched a water commission to attract investment and speed up infrastructure delivery, and why we have introduced legislation to enable tougher penalties and severe fines to crack down on polluters. I will ensure that my hon. Friend gets a meeting with the relevant Minister.

[Mr Speaker]

I call the Father of the House.

[Sir Edward Leigh (Gainsborough) (Con)]

Q8. As a good lawyer, the Prime Minister will want to listen to the evidence, so if evidence mounts from experts and organisations such as the National Farmers Union that smaller family farms of average size—250 acres—will be severely impacted by the tax changes, will he, in a spirit of compromise, listen to that evidence, keep an open mind and perhaps be prepared to raise the threshold in order to preserve our family farms?

[The Prime Minister]

We are listening to farmers, and the Environment Secretary and Treasury Ministers met with the NFU on Monday. We have taken a fair and balanced approach: the vast, vast majority of farms will not be affected. What I will also say is that having grown up in a rural community, I know that rural communities also need an NHS that is back on its feet, schools that their children can go to and homes that their families can afford to live in, but we will continue to talk to the NFU and others.

[Mary Glindon (Newcastle upon Tyne East and Wallsend) (Lab)]

Q9. This week, the Leader of the Opposition told us that any outrage at suitcases full of wine and karaoke machines in Downing Street while people across the country were told to stay at home was all “overblown”. For the people and businesses in my constituency who followed the rules—many of us at great personal cost—this is an insult. Will the Prime Minister join me in ensuring that we as a country learn the lessons from covid, and that the Conservatives as a party learn the lessons of their behaviour too?

[The Prime Minister]

Across the country, people made enormous sacrifices during covid. They missed weddings, births and deaths—really important moments in their and their families’ lives. In doing so, they saved the lives of people they will probably never meet. That was a collective effort, and unfortunately the party opposite, who set the rules, did not follow them themselves. It was a betrayal of those who did, and I think the Leader of the Opposition was wrong to describe the public anger and upset as “overblown”. I am sure she will want to clarify that at the first opportunity.

[Mr Speaker]

I call Llinos Medi.

[Llinos Medi (Ynys Môn) (PC)]

Q12. Diolch, Llefarydd. Representatives of Glan Rhos nursing home in my constituency tell me that the Budget changes mean a 10% increase in their in-year costs—a staggering £127,500 extra. Will the Prime Minister reconsider the rise in employer national insurance?

[The Prime Minister]

What we did in last week’s Budget was ensure that no one would face tax rises in their payslip. We had to deal with the £22 billion black hole, but when we did so, we protected the smallest businesses and charities. We doubled the employment allowance to £10,500, meaning that 40% of employers will not pay employer national insurance contributions. Companies with four employees or fewer on the minimum wage will pay no employer NICs at all, and half of businesses that pay NICs will see no change or pay less after the Budget.

[Phil Brickell (Bolton West) (Lab)]

Q10.   My constituents were pleased to hear last week’s Budget prioritise investment in public infrastructure, including important projects such as the electrification of the Wigan to Bolton railway line, which will deliver more reliable and greener journeys. Does the Prime Minister agree that investment in the key infrastructure of towns such as Horwich, Westhoughton, Blackrod and Bolton is the only way to deliver economic growth and prosperity for all?

[The Prime Minister]

My hon. Friend is a champion for the north-west, and the Budget secured investment for vital transport projects to transform connectivity across the north of England and drive economic growth. That includes completing the Wigan to Bolton electrification —a really important moment on Northern Powerhouse Rail. Over £5 billion has been allocated to support everyday journeys for working people. By restoring economic stability and increasing investment, we are taking our country forward.

[Victoria Collins (Harpenden and Berkhamsted) (LD)]

Q13. The Swan Youth Project in Berkhamsted is an incredible drop-in centre that intervenes to bring hope and a better future to teenagers such as Lex and Megan, who have been facing anxiety, depression and long mental health waiting lists, as well as families coping with special educational needs and disability. Its representatives have already written to the Treasury saying that they are worried about getting the funds they need, as our communities face a tough winter and grants are depleting. Parul, the manager, also assures me that she makes a mean curry and would welcome the Prime Minister, so will he join me to discuss their concerns and ensure that the Swan Youth Project and similar organisations in the third sector get the support they need as they work tirelessly for our communities?

[The Prime Minister]

The hon. Lady will be pleased to know that I have been to Berkhamsted a number of times, as we have very good friends who live there. I pay tribute to the work of the Swan Youth Project; too many young people—she cited some of them—are struggling with mental health and not receiving the support they need. That is why we will recruit an additional 8,500 mental health workers and are introducing long-overdue reforms to the Mental Health Act 1983. That is happening today. We will put more money into SEND, but we also need to look at reforming SEND, which I think and hope will be supported across the House. I will ensure that she gets a meeting with the relevant Ministers about that.

[Clive Lewis (Norwich South) (Lab)]

Q11. My right hon. Friend the Prime Minister will know that after 14 years of Tory ideological hostility and cuts, our universities are in financial meltdown. The University of East Anglia, in my constituency, is having to make redundancies, as are many others. Our right hon. Friend the Secretary of State for Education has started to address the problem, but we need a long-term solution that does not simply saddle our young people with more debt. Can my right hon. Friend the Prime Minister say how we can move to fix the foundations of higher education as we go forward?

[The Prime Minister]

My hon. Friend is right to raise higher education. We inherited a sector facing severe financial challenges. Universities have suffered a real-terms decline in their income and the gap between disadvantaged students and their peers is the highest on record. We have had to take tough decisions to put that on a secure footing, but we are also taking the step of easing living pressures by increasing maintenance loans, which is worth an extra £414 per year.

[Alex Brewer (North East Hampshire) (LD)]

Jo Hamilton, my constituent and a former sub-postmistress, has long campaigned with Alan Bates for compensation following the Horizon Post Office scandal. Can the Prime Minister give an exact timeframe in which those who have been waiting more than a decade might finally be compensated?

[The Prime Minister]

I am grateful to the hon. Lady for raising this important issue. A commitment was made to properly compensate the victims of this scandal. Unfortunately, the Conservative Government, having made that commitment, regrettably did not allocate any money. Her constituents will be pleased to know that we have changed the approach. We have set out the compensation within the Budget—a transparent, accountable Budget—and we will make the payments as soon as we can.

[Torcuil Crichton (Na h-Eileanan an Iar) (Lab)]

Q14. I echo the Prime Minister’s sentiments towards that other son of Lewis—although I wish that I had woken up today in the Isle of Harris. My constituents there face long delays, cancellations and loss of service because of the SNP’s incompetent handling of ferry procurement. In last week’s Budget the Scottish Government received a record settlement. May I urge the Prime Minister to tell Scottish Ministers to use that to improve public services in Scotland, to invest in the NHS in Na h-Eileanan an Iar, to build schools in places such as Barra and finally to fix the ferry fiasco?

[The Prime Minister]

Last week in the Budget we delivered the largest settlement for the Scottish Government in real terms since devolution. That includes £3.4 billion through the Barnett formula, a fuel duty freeze and an increase to the national living wage, benefiting my hon. Friend’s constituents and all those across Scotland. The result of the Budget is now clear. The SNP in power in Scotland have the powers and they now have the money, so they have no more excuses.

[Ben Obese-Jecty (Huntingdon) (Con)]

Does the Prime Minister think it is acceptable for a Back-Bench MP to suggest that the Leader of the Opposition represents “white supremacy in blackface” and is

“the most prominent member of white supremacy’s black collaborator class”,

with all the race traitor innuendo that that carries? If he does not, why has he not removed the Whip?

[The Prime Minister]

No, I do not.

[John Slinger (Rugby) (Lab)]

As a semi-retired violinist and rock musician asking a semi-retired multi-instrumentalist, I feel confident that the Prime Minister shares my belief in the importance of music education. Does he agree that, as we unleash the potential of our country, we must invest in the educational infrastructure of creative arts subjects so that they are accessible to all, and will he visit my constituency, to see the great work of the schools there despite the inheritance that we received?

[The Prime Minister]

I am not sure about the description “semi-retired”, although that may be the wish of the Conservative party. What I know from personal experience is that music, the creative subjects and art are really important not only for the pleasure and knowledge that they give to children and young people but for the experience of working in groups and leadership. That is why we are determined to ensure that they are counted as subjects again in the curriculum, which will encourage many more schools to provide them in the curriculum and enrich the futures of children and young people across the country.

[Mr James Cleverly (Braintree) (Con)]

Before the election, the Prime Minister claimed that he would not put up national insurance contributions; he put them up. Before the election, he claimed that he would scrap tuition fees; he put them up. Before the election, he said that he would not tax family farms; he is taxing them. Will he address his party’s growing reputation for dishonesty by making good on his commitment to close the Wethersfield asylum accommodation centre in my constituency?

[The Prime Minister]

We are keeping the promises that we made in our manifesto. The right hon. Gentleman’s problem is that he cannot add up; if he could, he might be down on the Front Bench rather than up on the Back Benches. We will take up the issue in his constituency.

[Douglas McAllister (West Dunbartonshire) (Lab)]

Monday marked the seven-year anniversary of my constituent Jagtar Singh Johal’s arbitrary detention in India. Can the Prime Minister assure me that he and his Government will do all they can to secure Jagtar’s immediate release and bring him home?

[The Prime Minister]

Yes. We are committed to pushing the Government of India on this important case. The Foreign Secretary has raised it and will continue to do so, and we will ensure that we speak to my hon. Friend as we do so.

[Mr Speaker]

That completes Prime Minister’s questions.

[The Leader of the House of Commons (Lucy Powell)]

On a point of order, Mr Speaker. Does the Leader of the Opposition want to correct the record, as she said in Prime Minister’s questions that the Chancellor did not mention defence spending in her Budget, yet the Chancellor mentioned it many, many times, including its allocation of £2.9 billion, which far exceeds our commitment?

[Mr Speaker]

It is not for me to correct the record—and that is not a point of order—but the right hon. Lady has done it.