Oral Answers to Questions

Debate between Baroness Morgan of Cotes and Steve McCabe

Tuesday 5th November 2013 Commons Chamber

[The Economic Secretary to the Treasury (Nicky Morgan)]

This Government recognise the pressure on households, but the fall in living standards is a consequence of the economic crisis left to us by Labour. The only way to raise living standards is to stick to our economic plans and deliver a recovery that works for all. Britain has turned a corner: the economy is growing, the deficit is falling, and jobs are being created. Last year, UK take-home pay was the highest in the G7 and the third highest in the OECD.

[Steve McCabe]

That is a very interesting answer. Why does the Minister think that the 15% cut in wages suffered by British workers over the past five years is more than in any comparable five-year period and the second biggest in the G20?

[Nicky Morgan]

It is interesting to note that the main fall in wages and salaries came in 2007-09, when growth fell from 5.7% to less than 1%. Of course the Government understand that the situation is very difficult, but I am surprised that the hon. Gentleman has not welcomed the fact that the claimant count in his constituency has fallen by 11% under this Government, whereas it went up by 75% under the previous Government.