(5 days, 18 hours ago)
Lords Chamber
Lord Livermore (Lab)
I very much agree with everything that my noble friend said. Among the long litany of the previous Government’s failures, their failure on growth was one of their most significant. We saw Brexit and the Liz Truss mini-Budget, and we know what business thought of that. We saw business investment across the whole economy fall to the lowest level in the entire G7. My noble friend is also absolutely correct to point out that, every time we debate the economy in the Chamber, the noble Baroness opposite supports every single piece of spending that we announce but opposes every single piece of revenue raising. It is quite clear that those two things do not add up.
On the Tory record more widely, we should note that 7,000 pubs have closed in the past 14 years, and that the previous Government’s plans were to scrap entirely the temporary Covid retail, hospitality and leisure relief in 2025. Their plans show that they would have ended it overnight. We have chosen a different path by extending that support with the help of £4.3 billion of additional support.
My Lords, it would be churlish not to welcome the measures—so far as they go—that the Chancellor has introduced. However, does the Minister accept that it is small family businesses—the hair salons, cafés and restaurants, among others, to which my noble friend on the Front Bench referred—that will be directly affected by the lack of support? Does he accept that, if these small family businesses do not get support, it will damage their programme for growth and lead to a lack of growth and a loss of jobs?
Lord Livermore (Lab)
I respectfully say to the noble Baroness that she must take what has been announced this week in the round with what was announced in the Budget. We spent £4.3 billion supporting exactly the type of businesses the noble Baroness mentions. We have expanded the supporting small business scheme to provide specific support to those who are currently eligible for the 40% RHL relief. Around one in three businesses continues to benefit from small business rates relief and does not pay anything at all. We have extended the second property grace period to support small businesses as they grow. So, I do not accept that we are not supporting those businesses. But equally, I absolutely understand the challenges that many retail, hospitality and leisure businesses are facing, which is exactly why, later this year, the Government will bring forward a high street strategy and work with businesses and representative bodies, looking at what more the Government can do to support our high streets.
(1 week, 1 day ago)
Lords Chamber
Lord Livermore (Lab)
I am grateful for the support that the right reverend Prelate set out in his question. I assure him that that will be responded to very shortly.
The Minister will be aware that music venues contribute hugely to growth, particularly in market towns and cities, and that the night-time economy suffered greatly during Covid. Will he discuss with his colleagues the impact that the agent of change principle is having, especially when it is not followed to the letter, where poorly soundproofed residential developments are built in close proximity to an existing music venue? It can force a music venue to close down, despite it being very popular.
Lord Livermore (Lab)
I will absolutely do what the noble Baroness asks. The Government have heard exactly what she said: that the existing policy to mitigate the impact of development on existing activities, including live music, is not always applied effectively. The creative industries sector plan committed to improving the implementation of the agent of change principle. MHCLG’s current consultation on the National Planning Policy Framework proposes that the policy be more explicit about the matters to be considered, such as both the current and permitted levels of activity within existing uses, which includes licensing for music and cultural venues. This will enable decision-makers to consider the right information early on, addressing the conflict between new and existing development.
(7 months, 1 week ago)
Lords Chamber
Lord Livermore (Lab)
I am grateful to my noble friend for her support for NISTA and the spatial planning elements of that. I do think that the spatial side of that is really important, as she says, to make sure that infrastructure is not just built in isolation but focuses on building communities and looks across the piece and integrates national, regional and sector-level planning. I do not have any news for her today on the land use framework, and I certainly hear what she says about the Planning Bill. I do not have anything to add today to what is already known, but I will make sure that, when we do, she is one of the first people to know.
My Lords, I congratulate the Government on bringing forward the 10-year strategy. It has managed to put a smile on the Minister’s face, which is very welcome indeed. In the interests of transparency and clarity, can I ask him what the route for the trans-Pennine route upgrade will be and what consultation there will be? There seemed to be some confusion in an interview last week from the Minister responsible as to what the route would be. It would be very helpful to know. It will be a very welcome upgrade. I regret that it has not taken precedence over HS2 or HS3, but we are where we are. Also, can he comment on the implications of clean energy? To be fully understood, it is going to take 10% of farmland and 10% of fisheries out of production. Have the Government considered what the impact on farming and fisheries is going to be?
Lord Livermore (Lab)
I am grateful to the noble Baroness for the smile; it is always most welcome. On the route of the trans-Pennine route upgrade, she spoke about the importance of transparency. I think the best thing will be to write to her and set it out in full, so that there is no misunderstanding.
In terms of farming, I hope she welcomes the £2.7 billion per year in sustainable farming and nature recovery. I think that is a very substantial investment in the things she spoke about.
(7 months, 3 weeks ago)
Lords Chamber
Lord Livermore (Lab)
I absolutely agree with my noble friend—both where she started and indeed where she ended. I completely agree about the importance of innovation and the spending that we have been able to do in this spending review. As I have said before, the industrial strategy will be published in the coming weeks. Clearly, innovation and R&D are vital to those high-growth sectors. She also talked about the importance of partnership, and that sits at the heart of the industrial strategy—a partnership between government and business, helping to systematically remove the barriers to growth. As my noble friend will know, we have increased public funding on R&D to a record high of £22.6 billion in the spending review.
My noble friend talked about housing and its link to growth. I completely agree that, for too long, people have not been able to live anywhere near the jobs that they want to do because they have not been able to afford the housing to be close to those jobs. That is absolutely not good for growth. I am certain that the £39 billion we are investing will help us to begin to tackle that.
My Lords, the noble Lord will recall that the Government were elected on a promise of ending the housing of refugees in hotels within 12 months of being elected to office. For what reason have the Government now decided to continue to house refugees in hotels until the end of this Parliament?
Lord Livermore (Lab)
Probably because of the inheritance that we faced from the party opposite, which did absolutely nothing to tackle or fund that issue. We have funded it in the spending review on the terms that the noble Baroness set out.
(8 months, 3 weeks ago)
Lords Chamber
Baroness Gustafsson (Lab)
I would be very delicate about suggesting such a thing, but one of the things that we do really well within this nation is that, whichever side of the House we are sitting on, we all want to see the opportunity to trade and understand the value that it contributes to the UK economy. I think we can all agree that this is a really powerful first step that supports the great nation that we all operate within.
The noble Baroness will be aware that one of the reasons we were unable to negotiate a trade deal with the EU was that we did not wish to introduce hormone-produced beef. If the animal is fed with hormones, it does not show up. How can she reassure the British consumer that we will not import any beef produced with any hormone whatever?
Baroness Gustafsson (Lab)
I thank the noble Baroness for her question. It is an important point that we have been able to open up such trading opportunities while protecting our incredibly powerful and well-respected food standards. I am not necessarily familiar with the specifics of how we can detect whether those standards have been complied with, and I will endeavour to write to her to follow up on that matter.
(10 months, 1 week ago)
Lords Chamber
Lord Livermore (Lab)
I am very happy to say that, as the noble Lord knows, this Government plan increase defence expenditure to 2.5% by the end of the Parliament. However, it is not for me to set out today exactly how that will be spent.
The Minister referred in his first Answer to the role of Great British Energy in delivering clean energy. How will the Government achieve that if the budget for GB Energy is reduced in the forthcoming spending review?
Lord Livermore (Lab)
The noble Baroness said “if”, and I do not in any way accept that. She should wait for the spending review to see what will happen.
(10 months, 1 week ago)
Lords ChamberDoes the Minister share my concern about what has happened to investment trusts over the past six to 12 months? What is the Government’s policy regarding saving?
Lord Livermore (Lab)
Yes, I do share the noble Baroness’s concern, which is exactly why we have done all the things that I have set out so far in this Answer. The Government’s policy regarding saving is that we think it is a good thing and we want to encourage more of it.
(10 months, 3 weeks ago)
Lords Chamber
Lord Livermore (Lab)
As the noble Lord says, many of the private finance initiative contracts are coming to an end within the next decade. It is important to prepare early for a seamless transition to the public sector to protect taxpayers’ money. The Infrastructure and Projects Authority is responsible on the Treasury’s behalf, providing oversight and support to the portfolio of operational PFIs. It carries out regular health checks and, to date, around 215 expiry health checks have already taken place.
My Lords, a variety of Governments have tried to introduce private sector investment into water sector projects. The Pickering Slow the Flow pilot scheme that I was involved in at a later stage was hugely successful in factoring in a number of public partnerships. Can the Minister look at this to open up, for example, supermarket involvement and farmers contributing to flood resilience in catchment areas?
Lord Livermore (Lab)
I am very interested in what the noble Baroness says, and I will look at that further. As I say, the 10-year infrastructure strategy will be the point at which we set out the Government’s approach to private investment in infrastructure. I cannot say more than that at this point.
(1 year ago)
Lords Chamber
Baroness Gustafsson (Lab)
I thank the noble Lord for the question. The Government are committed to driving economic growth and working hand in hand with the regulators to make sure that that growth can be achieved in a sustainable way that is fair to all markets and ultimately beneficiary to consumers. The Government are committed to maintaining the independence of those regulators, but we work with them to provide an overall strategic steer on the directions and priorities they should be working towards so that they can work hand in hand with us and our priorities around growth.
My Lords, I welcome the noble Baroness to her position. Have she and her department made an assessment of the cost to the UK chemical industry of having to match both a UK REACH programme and an EU REACH programme? Is this part of the reset that the Government will look at in our relations with the European Union?
Baroness Gustafsson (Lab)
I thank the noble Baroness for the warm welcome. With regard to REACH, we held a consultation on an alternative transitional registration model for the UK REACH chemicals regime to reduce the cost to industry while ensuring high levels of human health and environmental protection. We will publish a government response in 2025.
(1 year ago)
Lords Chamber
Lord Livermore (Lab)
The Government set out their modelling at the Budget and, more recently, the Chancellor provided very extensive additional details to the Treasury Select Committee on exactly that point, including in her follow-up letter. That modelling was backed up by the OBR, as shown in the publication last week.
My Lords, can the Minister say how much the Government expect to raise from the abolition of APR and its consequential impact on inheritance tax relief? The Office for Budget Responsibility, in its Supplementary Forecast Information Release of 22 January, stated very clearly, in paragraph 1.11 on page four:
“The central estimate for the costing is an increase in revenue of £0.5 billion by 2029-30”.
Is that really all that the Government expect to raise from this very cruel measure?
Lord Livermore (Lab)
Yes, it is—and it will go a very long way to help our public services after years of neglect. I completely disagree with the noble Baroness’s characterisation of this policy.