(1 year, 5 months ago)
Commons ChamberThose points demonstrate how serious and extensive the Government’s actions are, but I recognise that sometimes unfortunate situations arise and I am happy to look at that case and take it back to the Office of Financial Sanctions Implementation.
To pursue the issue of proxies raised by my hon. Friend the Member for Luton South (Rachel Hopkins), am I right in thinking that the Minister said a few minutes ago that he was prepared to examine the possibility of taking action against proxies and those persons of interest who use proxies?
What I would say is that the Government are committed to an ever-tighter grip on illicit finance and those individuals close to Putin who make a material contribution to his regime. Obviously, I will not commit on the Floor of the House to individual extensions to what we have already done, but I have set out the range of sanctions regimes that exist across multiple Departments of Government and I am happy to receive representations on whatever case the hon. Member wishes to bring to me.
(2 years ago)
Commons ChamberMy right hon. Friend is probably one of the most knowledgeable people in this House when it comes to the social care sector, and he campaigned very hard for it in government. He is absolutely right: we do need a long-term plan for the social care workforce as well, and I will do what I can to turn my attention to that when we have set one up for the NHS.
Two thirds of children living in poverty also live in working households. That is before the drop in income that is being projected, which my hon. Friend the Member for Rhondda (Chris Bryant) raised. By the end of this Parliament, will that figure be greater or lower than it is now?
I would hope it would be lower, but I point out that the needs of people in that situation have been at the front of our mind in making today’s decisions. Uprating the national living wage means up to £1,600 extra for people on low incomes. The extra £900 that people on means-tested benefits will receive next year will make a big difference, and the increase in the pension rate by inflation is £870, so we are very much thinking about those people.
(2 years, 1 month ago)
Commons ChamberI always listen to my right hon. Friend carefully on these issues. Let me say to him this: I do not think we will solve the growth paradox of this country, raising our long-term rate of economic growth to 2.5% from under 1%, unless we tackle the skills issue—that is central. I do not promise that I can give him an entire solution to that in two weeks’ time, but it is something I would very much like to talk to him more about.
Government insiders are busy telling the press that the Bank of England is “playing roulette” with the British economy. Is that helpful or unhelpful?
Those comments have not been coming from the Government since I have been a part of the Government. I cannot talk about what happened before, but what I will say is that I am working extremely closely with the Bank of England, and we are both absolutely aligned on the need for stability.
(2 years, 1 month ago)
Commons ChamberUrgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.
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Public expenditure both in Wales and across the United Kingdom stands at record levels. It has never been higher. In relation to extra funding, we are going to have iron discipline when it comes to public spending so the spending plan set out at the comprehensive spending review 2021, covering this current financial year and the next two, contains the limits we are going to stick to with discipline because it is important that we make the numbers add up.
A few minutes ago, in answer to the hon. Member for Hitchin and Harpenden (Bim Afolami), the Chief Secretary said that the costs to the Treasury of the Bank of England’s intervention was not known because it depends on pricing, which I would imagine is fairly blindingly obvious even to him. Does that mean that the Treasury has made no assessment of that cost? If they have, what is it?
It depends on market prices, as I say. Lacking any clairvoyance about where prices may move in the future, it is not possible to make an assessment not knowing where prices will be in a fast-moving market. I repeat that the volume of gilt purchases by the Bank of England have so far been a great deal below the ceiling that was set out.
(2 years, 6 months ago)
Commons ChamberNone the less, I am glad to see that the right hon. Gentleman supports universal credit. That is one thing that the Government are proud of introducing. The benefit can respond in a crisis, as it so admirably did.
The Chancellor has just admitted that he could increase universal credit by £20, so why does he not do it?
Because we want to make sure that we get support to everyone in a way that suits them. What we did do—and we heard this from the right hon. Member for Doncaster North (Edward Miliband) when he gave a case study on universal credit—is cut the universal credit taper by the biggest amount ever. That was the biggest tax cut that we have seen for people on low incomes, which is in contrast to the cherrypicked example that we heard from right hon. Gentleman. What does that mean for a single mother on universal credit, working on the national living wage, renting, and with two children? It means that that mum will be £1,600 a year better off this year. That is what this Government are doing. Help is there, and anyone seeking to pretend otherwise is simply causing more worry and more anxiety.
I will be brief—I have absolutely no choice about that. I was going to say that hundreds of thousands of people are now lying awake at night worrying about paying their bills, but the real figure is probably into the millions. That is certainly the case in my constituency. Day in, day out, I am contacted by people—I also bump into them at various events or in the street—who tell me that they are worried sick about not being able to pay their bills. It is a cliché to talk about the choice between heating and eating, but it is a cliché because there is a great deal of truth in it. Among poorer households, that choice has been there for years—it goes back to the early days of austerity—but that economic insecurity, which again I see in my constituency, is starting to travel up the income scale. My hon. Friend the Member for Wallasey (Dame Angela Eagle) referred to comments made yesterday by the Governor of the Bank of England. I think the word he used was “apocalyptic” on the food price rises that will hit this country—and others, to be fair—in the next few months.
And she was there.
I discovered these stark figures only the other day: only 12 years ago, the number of people using food banks was fewer than 30,000. It is now in excess of 2.5 million. Those figures illustrate what is happening in the country, if no other figures do. They should be sprayed on people’s eyeballs. More than 2.5 million people have been forced into using food banks.
This is an economic situation without precedent, certainly in living memory. I had hoped we had learned that at times of national catastrophe, full-scale Government intervention is always the answer. We should have learned that from covid, when it was clear, but the lesson has not been learned, and clearly not by the Chancellor. Full-scale state intervention is the only way to respond in times of national catastrophe. Sadly, the Chancellor is not in his place. Perhaps he has gone for a long lie down to think about the advantages of a windfall tax. We have a desiccated Chancellor who is wedded to the idea that the free market will deliver all, but it will not. We should not really be surprised by that when we have a Minister, the honourable—I use the word in its broadest possible sense—Member for Redditch (Rachel Maclean), who said, very clearly, “If you’ve got problems, just work a few more hours.” We are sent here to represent people, not attack them. She attacked British workers.
In the same vein, a few years ago, leading members of this Government produced a book called “Britannia Unchained”, which some of us might remember. It said, in very clear terms,
“the British are among the worst idlers in the world. We work among the lowest hours”
and
“we retire early.”
That is just factually incorrect. We work among the longest hours in Europe, and we very often retire later than people in other European countries. That historical contempt for British workers is behind the laissez-faire attitude to the current situation, and if it does not change quickly, we are heading for catastrophe.
(2 years, 10 months ago)
Commons ChamberI rise to make a plea to Members from all parties that, regardless of the emotions that are raised in this debate, we maintain our united commitment to decarbonisation and energy transition, because, ultimately, net zero was part of all of our manifestos. I worry about having debates such as this, because they tend to become the start of a slippery slope. The shadow Front-Bench spokesperson, the hon. Member for Leeds West (Rachel Reeves), mentioned that this was going to be a temporary VAT cut. Rarely are tax rises or tax cuts temporary. We need a responsible debate about the form that taxation takes, particularly in a post-covid era where Government spending has, regrettably, been at record levels. The fact is that the VAT tax base raises about £134 billion a year—6% of GDP. If we get into the situation of whataboutery where we suddenly say that we will take VAT off here versus VAT off there, it is very difficult to argue a case for maintaining a tax that is actually one of the most sustainable forms of taxation in terms of raising revenue—revenue that is spent on the NHS, on welfare and on the vulnerable constituents mentioned by the hon. Member for Tooting (Dr Allin-Khan) in her powerful speech just now.
I want to make the case that the best long-term form of ensuring that we reduce energy bills is investment in renewable forms of energy and in insulation. We need to take a long-term view to achieve a long-term gain, as opposed to this short-term perspective of taking a one-year windfall tax as a revenue-raising exercise. It is not a sustainable mechanism by which to deliver a systems-based approach to net zero. We need everyone, not just in this Chamber, but in the country, pulling together to be able to deliver on net zero. Making certain organisations pariahs will not turn the dial back.
That is what I mean by the slippery slope. It is the slippery slope of suddenly saying, “Well, what about reducing VAT? Let’s turn to the green levies—they are actually making up 12% of total cost —which are one of the best ways in which we can enact levelling up and regeneration in former coalfield communities and post-industrial landscapes by ensuring that we have future green investment, such as in Net Zero Teesside or on the Humber where we have seen a revolution in offshore wind. If we want to debate how we deliver on energy prices, it must be by looking at the energy sources for the future, and not at the energy sources of the past. The reason we have an energy cost crisis at the moment is that wholesale gas prices have risen by 400%.
The hon. Gentleman talks a lot about sustainability. He is quite right. That has been the big question about energy for as long as I can remember. On that basis, was it a wise decision to close the biggest gas storage facility in the country, which this Government did?
No, it was not the correct decision to close that gas storage facility. We have the lowest gas storage in the whole of Europe—I think it is about 4% or a couple of days’ worth of gas storage. That historic decision demonstrates why we need to take a long-term perspective, rather than short-term political wins.
We need to act like a Government, which the Opposition are clearly not prepared to do at the moment, and that is to think that difficult decisions need to be taken and need to be taken now, in order for us to think how we not only decarbonise, but reduce our emissions by 70% by 2030, as part of our nationally determined contribution. It beggars belief, to quote the hon. Member for Kilmarnock and Loudoun (Alan Brown), that countries attending COP26 in Glasgow will turn to us, thinking, “Actually, an Opposition party was calling for a reduction in taxation on gas and fossil fuels as a result of reducing VAT.” I do not think that that is a responsible position for the Opposition to take.
Instead, when looking at raising taxation, we need to think about how we responsibly introduce a carbon tax, in the same way as we introduced a carbon tax on coal back in 2012—£18 a tonne on CO2 ended up quite quickly reducing carbon emissions from coal from 140 million tonnes a year to 80 million tonnes a year, and they have dropped ever since. We could do the same with other forms of fossil fuels if we worked responsibly and together, just as we did when we introduced the Climate Change Act 2008 or net zero. We can work together to come up with a consensus that will outlive any one Government or any one party, because that is what we need to do if we are going to be able to deliver net zero by 2050.
(3 years, 2 months ago)
Commons ChamberThe vast majority of people among my constituents who have written to me about the cut in universal credit are in work, some of them doing two or three jobs, yet many of them are going to be pushed into poverty by the cut the Minister is defending now.
The hon. Gentleman needs to bear it in mind that we are of course dealing here with a product, in universal credit, that has a number of different components. The change to which he is alluding affects the standard allowance, but the majority of households on universal credit of course receive many additional elements—for example, 58% receive additional support for housing costs and 38% receive the child element—and many households on UC will also have access to additional sources of income, such as child benefit. This comes before we come to all the things we have built into the system over recent years to make universal credit more generous. That includes, for example, the £1,000-a-year increase to the work allowance, which was announced in 2018 and is worth £630 to working parents and people with disabilities, and of course we have changed the taper rate so people get to keep more of the money they earn as their earnings increase. This is a very carefully calibrated system, and let us not forget that this is far better, frankly, than the legacy programme we inherited from the last Labour Government, which of course, as we know, did not incentivise work, did not properly support people and was a failure, so I am afraid I will not take lessons on universal credit from the hon. Gentleman.
(3 years, 12 months ago)
Commons ChamberThe Chancellor has announced a pay freeze for hundreds of thousands of public sector workers today who do not deserve it. Firefighters, care assistants and teaching assistants will all suffer a pay freeze. What is the assessment of the economic impact of that pay freeze? There must be one in the Treasury somewhere. What is it?
It would be wrong to describe this policy as a blanket pay freeze when a majority of those working in the public sector will see an increase in their pay next year, because they earn less than the UK median salary of £24,000 or they work in the NHS, or, indeed, they are on the national living wage. Across all those areas, there will be a pay increase. That will benefit millions of people and make a difference to the economy.
(4 years, 1 month ago)
Commons ChamberI will be brief, because I have not got much choice. Following that last speech, I would just point out that the early MPs whom the hon. Member for Wakefield (Imran Ahmad Khan) mentioned served in here decades before the Labour party even existed. It would have been a bit tricky for us to get any MPs elected, white or non-white, before we even existed. The Labour party was created in its present structure in 1918 and it was only four years later that the first Labour Indian MP was elected, Shapurji Saklatvala, who was the MP for Battersea.
I would like to talk today about a very specific area of Black History Month and that is the black curriculum, with specific reference to the Caribbean and the struggle for independence. On the 60th anniversary of Jamaican independence—eight years ago—I attended a ceremony in Waltham Forest town hall marking that anniversary. Even then, eight years ago, the generation who fought for independence and to throw off the shackles of colonialism was slipping from memory, into history, and that period of the late 1950s and early 1960s is now slipping from memory into history even more. That is a dangerous situation, where we might lose that collective memory.
I would like to pay tribute to my friend Bernie Grant, who, as has been mentioned, came in here in 1987. Unusually among British politicians, Bernie moved to Britain as an adult. He grew up in Guyana and came here when he was 19 years old, in 1963. He took part in the struggle for independence and he continued to do that, as a trade unionist and a councillor, when he came here. He came here just after Jamaican independence and just before his own country, Guyana, gained independence in the mid-1960s.
The loss of the generation who were instrumental in gaining independence and self-government was further brought home to me in the summer with the death of Everton Weekes, the great West Indian cricketer. He was one of the few remaining links between our era and the post-war era in the Caribbean, where such strides were made politically and in sport. The Caribbean became the dominant force in the world in cricket, which has been the one force that has driven unity in the Caribbean. There was a dream—Michael Manley’s dream—that the Caribbean would have some sort of unity. The Federation of the West Indies was created around 1960 but, partly because of the opportunism of rivals, it lasted only four years and then collapsed.
Sporting endeavour has been a unifying link between the islands of the West Indies. In the West Indies, sport and politics are more closely linked than they are probably anywhere else on the planet, and I suspect that Jamaica is the only country that could produce a Prime Minister such as Michael Manley. Not only was he a great leader and a great advocate of emancipation, but he wrote the magisterial volume “A History of West Indies Cricket”. It is a great big doorstop of a book, but it is a real page-turner and a superb history book. He was a scholar and a giant among mid-20th century politicians around the world.
It seems extraordinary now, but it is well within living memory that there was a great controversy in the West Indies over the appointment of the first black player as the captain of its cricket team—an appointment that was made only after a long campaign led by C.L.R James, the great writer, historian and journalist. It was a big deal in the Caribbean at the time, and it was seen as one of the great stepping stones to throwing off the shackles of colonialism and imperialism. The beneficiary of that appointment was the great Frank Worrell; whenever I mention him, I want to call him the immortal Frank Worrell, but if he had been immortal, I suppose he would not have gone and died. He can lay claim to being one of the greatest leaders that any sport has produced, and he is a great example for future generations.
C.L.R James, who lived in Brixton in his later years, began the campaign for independence in the Caribbean in the 1920s and 1930s, when it was hardly talked about in this country. He came to Britain in 1932 with Learie Constantine, who was a great cricketer, a politician and a barrister. A few years before David Pitt—he was mentioned by my hon. Friend the Member for Hampstead and Kilburn (Tulip Siddiq)—went to the House of Lords, Learie Constantine became the first non-white peer.
My central point is this: all the people I have talked about—C.L.R. James, Frank Worrell, Bernie Grant and the great Jamaican writer and journalist Una Marson—have gone. They are no longer with us, so the links with the struggles of the 1950s and 1960s, which saw emancipation and independence in the Caribbean, are withering. I would hate to see a generation come up—particularly the children and grandchildren of migrants—who do not have that collective memory to inherit, and who do not know about the struggles for independence. The best way of honouring those who led the struggle for independence is by incorporating that history into the curriculum today.
(5 years, 1 month ago)
Commons ChamberMy hon. Friend is right that we need to ensure that the UK shared prosperity fund works for all the regions and nations of our country. I would be delighted to meet her, to ensure that we get all the suggestions from Cornwall as part of the process of designing that new fund.
Can the Minister answer the question asked earlier by the right hon. Member for Hastings and Rye (Amber Rudd): what is the reason for not suspending the loan charge scheme until the inquiry is completed? It is a request not for a change of policy, but just to suspend the scheme.
The reason is that the inquiry is designed to test the policy, and the policy remains in place until the inquiry is over. If the policy were ended now or suspended, all that potentially would occur is more confusion if the inquiry took the view that, ultimately, the Government were in the right.