Draft Major Sporting Events (Income Tax Exemption) (Women’s Finalissima Football Match) Regulations 2023

Kirsty Blackman Excerpts
Wednesday 22nd March 2023

(1 year, 8 months ago)

General Committees
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Kirsty Blackman Portrait Kirsty Blackman (Aberdeen North) (SNP)
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Thank you for chairing this Committee, Mrs Murray. It has been a while since I have been on a Delegated Legislation Committee, so it is quite nice to come to one; I say that without any measure of sarcasm at all.

I—like many people, I am sure—spend a good chunk of my Sundays standing at the side of a football pitch watching my daughter play football, so it is really good to see the women’s game being treated with parity alongside the men’s game. It is also incredibly good to hear that this game is sold out, because although we are trying to improve access to the games, we do not see stadiums as full for some women’s games as we do for the men’s. Teams like the Lionesses and the Scotland women’s team have done a great job of popularising the sport for people to watch, and it is quite nice that in Scotland people can watch a chunk of the women’s football on the excellent BBC Alba. I pitched to the BBC recently that it should keep this custom up, because it is improving access to the women’s game.

Particularly for young people playing sport, men’s football has sometimes seemed pretty inaccessible and quite far away, whereas the pathways in the women’s game are much clearer and more obvious; people can look at Scotland players and at the Lionesses and think, “I could be that one day” in a way that they may find more difficult to do with the men’s game. Like the shadow Minister, the hon. Member for Ealing North, I am more than happy not to oppose this statutory instrument. It is a sensible measure and I hope the event is a big success.

None Portrait The Chair
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The Question is that the Committee has considered the draft Major Sporting Events (Income Tax Exemption) (Women’s Finalissima Football Match) Regulations 2023—[Interruption.] Oh, sorry; I call the Minister. I have really not got it together today.

Finance Bill

Kirsty Blackman Excerpts
Kirsty Blackman Portrait Kirsty Blackman (Aberdeen North) (SNP)
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We have Schrödinger’s Finance Bill. For a while, there was no Finance Bill. Then yes, there was going to be one. Then, no, there was not going to be one. Now, finally, we have come to the decision that the cat is alive and the Finance Bill is here before us.

I am old enough to remember Philip Hammond standing up and being very clear that there would only be one fiscal event in a year, that we would move to having an autumn statement and that would be the fiscal event, and that the spring statement would only be a statement and an update. I would be the first to admit that this year has gone somewhat wrong, so there are some excuses for having a different scenario this year, but I am keen to know what the intention is. Do the Government intend to have one major fiscal event a year, or are they planning to have more than one? If we are going to have a spring statement next year that will, presumably, from what was said earlier, have a Finance Bill attached, will we also be having one in the autumn next year? Will we have an additional one in September that will crash the economy? One would hope not. It would be good to know what the plans are.

We heard from the hon. Member for Warwick and Leamington (Matt Western), in quite a lot of detail, comparisons of the UK’s economy and economic state with that of many other countries. He laid out the figures nicely, which saves me from doing the same thing; I will not repeat what he said. What he said makes it clear that there is a unique issue here. Something is happening in the UK that is not happening in other places, apart from Russia, where there are sanctions, and it is understandable that the Russian economy is not in the best of states. What could possibly be happening to the UK economy? What is it—what uniquely is happening?

I keep wondering what has happened to this Brexit bonus. If our economy is so much better as a result of Brexit—if that has massively helped our economy, and many Brexiteers have made it clear over many years how much of a good thing it would be for the UK economy —can the House imagine the state we would be in if Brexit had not happened? Can the House imagine how dreadful things would be if we had not seen this Brexit bonus, which has still left us somehow, unexplainably, in a worse economic condition than has happened with other countries? I am baffled by this scenario.

We have been hit by a major number of issues. It is absolutely the case that the war in Europe—Putin’s illegal invasion—has had a major impact, and it has also had a major impact on other economies across the EU and the world. It has had an impact not just on energy prices, but on the price of food, for example. All those countries are seeing prices increase, yet none of them is struggling with growth in the way that the UK seems to be. None of them is seeing the level of recession predicted for here, and it is entirely down to Brexit and the decision-making processes of this UK Government. It is also down to the choices made earlier this year, which failed to take into account the scenario we are in. They failed to listen to the situation facing our constituents.

It is all well and good for Government Members to stand up in the Chamber and talk about the importance of growth—I will not for one second deny that growth is important, but if growth means that rich people get richer and people in Aberdeen and our constituencies still cannot afford to buy rice and pasta, that growth is not worth it. It is not worth it to see people get unimaginable amounts of money. Some £29 million in profits from personal protective equipment is an unbelievable amount of money for somebody or a family to get. Most of my constituents and most people across the UK will never see anything like that money in their entire lifetimes, yet it seems to be acceptable to the Government—while the fact that my constituents and people in Aberdeen, across Scotland and across the UK cannot afford to pay for the very barest of necessities is not remarked upon, is not mentioned and does not seem to be happening.

The Conservative Government keep talking about how much they care about vulnerable people—it has been mentioned a number of times—but that is not borne out and it is not what is happening on the ground. People’s lives are not being improved as a result of the decisions being made by those on the Government Benches. We are not seeing people better able to afford their energy bills; their energy bills are still significantly more than they were this time last year. The benefit cap still needs to grow massively to keep pace with its 2013 levels. The childcare allowance included within universal credit is at the same level it was when it was first introduced, when universal credit first started. It has never been increased. These are decisions that could be made that would make a difference to my constituents’ lives on a daily basis, but they are not being made.

We will not get our way out of this with innovative jam. That is not how it will work. We need to ensure that those who need it most—the people who can afford the increases least—are the ones being targeted by Government support and receiving the funding to help them to afford the basic necessities: food, clothing for their children and energy to get them through this winter. That is why the decision-making processes of the Scottish Government have been the way that they have.

As my hon. Friend the Member for Glasgow Central (Alison Thewliss) pointed out, the UK Government have talked about the additional money from Barnett consequentials, but that does not assist people this year, because of the constraints on the Scottish Parliament’s budget and because of the decisions taken by the UK Government. It will not help us to work on our second child poverty action plan, which we are now in the process of doing. We have put tackling child poverty at the forefront of what we are doing in Scotland. The eligibility of the Scottish child payment increased again the week before last, so more children in more families can get it than ever before.

We in the Scottish Government are targeting our support there, because that is where we feel that we need to make the most difference. We need to ensure that children are not living in poverty or in cold homes that their parents cannot afford to heat. We need the UK Government to step up, and not in an empty way by saying that there is an extra £1.5 billion—I do not know—in Barnett consequentials over two years, because that is not helpful. We need the money now—my constituents need the money now—to afford to get through the winter.

Another thing that has been mentioned is that hon. Members regularly use the term “hard-working people”, which is one of my biggest bugbears. When Conservative Members talk about hard-working people, they are talking about people earning £40,000 or £50,000 a year; they are not talking about people working in minimum-wage jobs. When they say that hard-working people have to pay higher taxes in Scotland than the rest of the UK, they are failing to recognise that we have an additional lower-rate tax band that means that people on the lowest incomes pay less in Scotland, and they are denying that people on the lowest incomes are hard-working people. It is the case, however, that a significant proportion of people on universal credit are in work. Just because someone is in receipt of social security does not mean that they are not hard working or that they are less deserving than people earning an awful lot of money from dividend incomes or other sorts of unearned income.

Stats came out earlier this year about the level of sanctions on people receiving universal credit, which said that there had been a monthly increase in the total amount of reductions being levied—money taken back from individuals who are claiming universal credit. Right now, the Department for Work and Pensions should not be trying to increase the amount of money that it is clawing back from people in receipt of universal credit.

We already have the issue that, when the DWP decides to make debt reductions from people’s universal credit payments, it does that not on the basis of whether those receiving universal credit can afford it, but on the basis of an arbitrary 25% threshold. As a result of DWP actions and the failures of the UK Government, we will have a situation where people cannot afford to heat their homes or feed their children purely because of the reductions that are being made to their income.

I have harped on about immigration several times. A number of years ago—I am a veteran of many Finance Bills—the former Chancellor George Osborne stood up and spoke about public sector net debt. In fact, his Red Book that year talked about it specifically and made it clear that an increase in net migration to the UK reduces public sector net debt. By trying to do everything they can to reduce immigration, therefore, the UK Government increase public sector net debt.

The UK Government could decide that one of the best ways to do something about the lack of growth and the amount of debt, about which they are concerned, would be to encourage people to come and live here, and to make that easier. Instead, my constituent is going to move away from the UK because he cannot get a visitor visa for his family to come and visit, so he is fed up and has had enough. As a software engineer, he is somebody who we need to have and whom we should be encouraging to stay; we should not be as obstructive as possible in our decisions.

The UK Government have also failed to tackle—in fact, they have gone out of their way to oppose—our climate change ambitions and targets in this Finance Bill. We are looking at issues in relation to electric cars, as was mentioned earlier, and allowances for oil and gas companies to extract more oil and gas, rather than the allowances that could be given to companies to develop renewable electricity. The electricity generator levy is also being levied on people who are producing renewable energy, which is the kind of energy that we need. We cannot talk about COP only once a year when it is COP26 or COP27—it should be threaded through every single decision that we make.

We have heard about R&D credits and tax reliefs, which I do not have a problem with in principle, although I am concerned that we need to see whether they work. I do have a problem, however, with how decisions are made to give people R&D tax credits. When the UK Government created the Advanced Research and Invention Agency, why did they refuse point blank any amendments that would have put tackling climate change at the heart of its decisions? We said that it should be climate neutral and that the Government could lead the way with a brand-new Government agency working on a net zero basis, but they refused. We said that they could convince or ask it to focus on innovations and inventions that tackle climate change, but they refused to do that, too.

We need to see an actual effort made—actual things done and decisions taken—to ensure that we tackle climate change and meet our net zero ambitions. If we could meet our net zero ambitions even earlier than we have proposed, that would be the best thing for the planet, rather than trying to push things until the last possible moment. We cannot just ignore climate change and pretend that it is not happening—it is!—so it should be in every Government statement, and the Government should talk about the effect on climate change of every spend that they decide to make. The decisions in the Finance Bill take us backwards rather than forwards.

The Scottish Government are supporting a just transition in Scotland with £500 million of funding to ensure that we move away from the reliance on fossil fuels that we absolutely have in the UK, particularly in Aberdeen, where there are a huge number of jobs in oil and gas. We need to support a transition that is just and fair for my constituents and for people across the UK. We need to ensure that people in oil and gas are given, or have the opportunity to move into, high-earning jobs in the new industries of the future that do not cause an increase in climate change.

Austerity has been levied on the poorest people for years. Conservative Governments have consistently made decisions at the expense of our worst-off constituents. I have never been less optimistic about the future for the poorest people in the UK than now—not even through the Brexit process and decision-making. The Government have shown no willingness to understand the genuine dire straits that people are living in, to take action on that, and to prioritise the most vulnerable people—not just to say it, but to actually do it—by looking at the universal credit system and the decision-making process to ensure that people can afford rice and pasta, and to heat their homes. How is it that we have to be asking that in 2022? How is it that we have to be living in a situation where the next generation are currently set to be poorer than our generation? We have that lack of optimism, and this Conservative Government continue to hammer that home, rather than attempting in any way to make it better.

That outlines very clearly the difference between the two Governments. The difference is that the Scottish Government are doing everything they can, with their very limited powers and limited ability to do anything in-year with their budgets, to try to make life better for those struggling the most, and this UK Government are continuing to refuse to do so.

The Growth Plan

Kirsty Blackman Excerpts
Friday 23rd September 2022

(2 years, 2 months ago)

Commons Chamber
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Kwasi Kwarteng Portrait Kwasi Kwarteng
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We have made lots of progress in respect of the fair wage and we have also increased the national minimum wage. We have always sought to protect the most vulnerable in our society.

Kirsty Blackman Portrait Kirsty Blackman (Aberdeen North) (SNP)
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The Chancellor seems to believe that there are two fundamentally different groups of people in these islands—two classes, if you will. Why does he believe that those who earn mega-bucks will be incentivised by increasing their already excessive wealth, while those who have had to skip meals over the summer in order to survive will be incentivised by having their paltry amount reduced even further?

Kwasi Kwarteng Portrait Kwasi Kwarteng
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That is a complete misrepresentation, or wilful misunderstanding, of our position. What we have done in the growth plan is protect millions and millions of vulnerable people. We have allowed them to keep more of their own money—I know that the hon. Lady is not necessarily in favour of that—and we want to drive growth and entrepreneurialism in our economy.

Economy Update

Kirsty Blackman Excerpts
Thursday 26th May 2022

(2 years, 6 months ago)

Commons Chamber
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Baroness Laing of Elderslie Portrait Madam Deputy Speaker
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I call the SNP spokesman, Kirsty Blackman.

Kirsty Blackman Portrait Kirsty Blackman (Aberdeen North) (SNP)
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It is quite amusing to hear the Chancellor talk about this announcement being timely. I mean, it is timely: it just happens to have happened in the week of the Sue Gray report. It just happens that that report came out yesterday and the Chancellor has suddenly realised today that people are really struggling. He has suddenly realised that he needs to announce something.

At the spring statement, when the Chancellor announced the energy loan, he stood up and said, “Look at these amazing things that I am announcing.” He genuinely seemed to believe at that time that that was the best this Government could do. Now, he has changed his mind. He has listened to the calls of the Opposition and of the people up and down these islands who are struggling, in many cases more than they have ever struggled before.

I do not understand why the Chancellor has announced only a £15 billion package. He has £28 billion of fiscal headroom in public sector net debt and £32 billion of fiscal headroom in balancing the current budget—those are the Office for Budget Responsibility’s figures from March—yet he is refusing to spend that money now in the timely and targeted way that is needed for people now.

I am glad that the Chancellor announced money for the poorest households and that it has been targeted in that way, but it is not enough. What he has announced fails to uprate benefits; fails to account for the fact that the energy price cap that is coming in October will still be in place next year; and fails to ensure that benefits keep pace with inflation.

I have to laugh at the Chancellor’s comments about inflation. Brexit has increased food prices by 6%. Brexit has done that. People who are struggling to meet the most basic costs—the majority of their costs are for energy and food—have been hit incredibly hard by Brexit. The poorest 10% of households are seeing a massive inflationary increase in comparison to the richest 10% of households, because of the percentage of their budget that is spent on energy and food. The Chancellor needs to uplift benefits as well as making payments.

It was pretty cheeky of the Chancellor to choose to include the £150 council tax payment in all the figures he read out. That went only to people who live in homes in bands A to D. It certainly did not go to all pensioners and certainly cannot be included in the money that is going to all pensioners. It cannot be included in the money that is going to all universal credit claimants, and it cannot be included in the money that is going to all disabled people. It cannot be included in the cost of this support package because it is absolutely not universal. On that point, the payment that we made in Scotland went to a higher percentage of households than the payment made in England.

This package does not go far enough. We are going to see an energy price increase of more than £1,000 for all households because of the increase in the energy price cap, yet the Chancellor is providing only £300 extra for pensioners. That will not even touch that £1,000 increase. He is only including these things. The uplift should have been 9%, to match inflation, and there should have been a further £25 uplift to universal credit and a further £25 uplift to legacy benefits. Lastly, he has failed in the uplift for disabled people, who face the very highest cost because of the increase in energy costs and in the cost of, for example, their diets.

I am glad that the Chancellor has put in place the windfall tax. I am very disappointed that it covers only oil and gas companies. It should have gone much wider. We have been calling for this since 2020, with Kate Forbes and Ben Macpherson. [Interruption.] The Labour party failed to support our amendment on this last week, so Labour Members are a bit cheeky as well in suggesting that we have not moved on this.

I would like the Chancellor to go further, to make a difference and to actually care about the poorest people in our society.

Rishi Sunak Portrait Rishi Sunak
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I know that, for some people, it will never be enough. That is why the SNP’s plans would leave Scotland with, I think, a 20% budget deficit and bankrupt the country. That is not something that we will ever do to the people of Scotland or the United Kingdom.

The hon Member’s point on food prices was surprising and slightly puzzling, given I have just returned from a meeting of Finance Ministers from around the world where everyone was talking about increasing food prices. As far as I know, they did not all leave the European Union, but I will leave that to her.

The hon. Member talked about benefits uprating. Perhaps she did not understand exactly what we were announcing. What we are doing for those on means-tested benefits is more generous than uprating. On average, uprating would be worth just over £500, whereas the one-off payment is worth £650.

The hon. Member also talked about timing. She mentioned many things that have happened this week. The other thing that happened this week is that we heard from Ofgem, and we got more certainty on what the price cap will be in autumn. That is the single most important factor in trying to size the support that we are providing to people, because it is energy costs that are the biggest driver of the inflation that we seeing now.

National Insurance Contributions Increase

Kirsty Blackman Excerpts
Tuesday 8th March 2022

(2 years, 8 months ago)

Commons Chamber
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Simon Clarke Portrait Mr Clarke
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It is, and my right hon. and learned Friend is precisely right because, in the end, it is poorest who will lose out the most if we lose control either of our public spending or of inflation. To illustrate, a 1 percentage point rise in both inflation and interest rates would increase spending on debt interest by nearly £23 billion a year, and that threat is not a notional one. In January 2021 we spent £1.6 billion on servicing our debt, but in January this year we spent £6.1 billion. We cannot fund increases in spending on our health service and social care by increasing borrowing. Members will surely agree that to leave ourselves vulnerable at this time by further increasing our debt burden would be highly irresponsible. These are not always easy choices, but we will be the ones to reconcile the need to reduce our debt burden with the growing pressures on the state, and that means responsible choices about taxation.

Kirsty Blackman Portrait Kirsty Blackman (Aberdeen North) (SNP)
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Will the Minister give way?

Simon Clarke Portrait Mr Clarke
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I have given way many times, and I am afraid that I must make progress.

The Opposition claim that they would instead grow the economy to finance their choices. With all due respect to the hon. Member for Leeds West, that is not a credible solution to an immediate problem. I remind the House that this is the same Opposition who want to place a windfall tax on our vital North sea oil and gas producers—companies that already pay a headline tax rate on their profits of more than double the rate of corporation tax. With investment in the sector hitting an all-time low in 2020-21, such a tax on oil and gas would not be an appropriate solution. It would only create uncertainty, deter investment and displace the investment that we need in clean, renewable technologies.

As the Chancellor has recently set out, we firmly believe in lower taxes. The pounds generated by our country are better spent by individuals and businesses than by Government. However, cutting tax sustainably requires hard work and prioritisation, especially when demands on the state are growing. We must reach our goals in a responsible way that addresses our challenges, too. This levy is the best and most equitable way to raise the funds needed to protect health and social care across the United Kingdom, and I await any credible explanation from the Opposition of how they plan to cover these costs in a responsible way.

I will end by saying that this Government recognise the difficulties that people across this country are facing right now. We know times are hard, and we are working hard to alleviate that pressure, but as a responsible Government we must not shy away from difficult decisions. It is only by meeting such challenges head-on that we will succeed in building a health and social care system that is fit for the future and that truly supports our citizens at every stage in their lives.

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Kirsty Blackman Portrait Kirsty Blackman (Aberdeen North) (SNP)
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I want to speak about quite a few matters, but first I want to focus in the plight of younger people—and by “younger people”, I mean people under 40, not just people in their 20s. I am talking about everyone in that younger slice of the population.

We have talked about the last massive increase in inflation, which, in 1992, reached the same levels of increase that it has reached in recent times. I am 35; in 1992 I was six, and I did not know what the rate of inflation was because it did not really matter to me. For a significant period I have been living in a property that does not belong to my parents, and I have a 10-year-old and an eight-year-old. There are many, many people like me out there, people who have been living their lives and paying their bills and have never seen an inflation rate like this, have never seen the increases that are coming down the line, and have never felt the massive squeeze that we are feeling now.

This is a cost of living crisis, one that is unprecedented for members of my generation who are having to face these massive costs, and it is compounded by the UK Government’s terribly poor decisions. It is compounded by the fact that people in Scotland must pay massive fees for attending university in England. It is compounded by the fact that people will be paying off student loans throughout their lives; indeed, they will never be able to pay them off. It is compounded by the fact that we do not have a real living wage, and that is even worse for people who are younger than 23 or 25, because the UK Government refuse to provide a single living wage. The “national living wage” is a pretendy living wage, because people cannot actually live on it. The Government refuse to provide a single set rate, apparently believing that somehow a 20-year-old can survive on less food or less electricity than someone older.

It is ridiculous that the Government are doing this. People my age and younger do not have savings on which to rely. As I said in the House some years ago, the average household has less than £100 in savings—and that was pre-covid, before the period during which people’s incomes have been so massively squeezed. People my age—younger people, people under 40—cannot just dip into their savings in order to fund the massive increase in energy bills that is coming, and the massive increase that is coming as a result of the national insurance hike. This is the least sensible time to be introducing a national insurance hike. People will be paying a massive amount more purely because of the choices of this Government—purely because the Government are choosing to fund health and social care in this way.

We in Scotland went into the 2019 election spending more per head of population on our NHS than the UK Government was. We went into that election calling for the UK to up its spending on the NHS. In Scotland, we are making different choices. We are making better choices. We are already funding the NHS at a higher level per head of population than England is, and we are already increasing the Scottish child payment to make sure that the number of children in poverty is decreasing. The Resolution Foundation says that the UK Parliament

“is on track to be the worst parliament on record for income growth”.

I do not want to see a world being created by this Tory Government where my children’s generation will be poorer than my generation and where my generation are poorer than my parent’s generation, but the UK Government continue to bake that in.

If the UK Government want to make money and reduce public sector net debt, a great way to do that is through immigration. In 2016-17, migrants reduced public sector borrowing by £4.4 billion. We would get to £450 billion pretty quickly if we added up the amount of positive benefits we can get from migration. If we made better choices—if we chose to not spend money on weapons of mass destruction, for example—we could have more money to spend on the NHS. We should be making better choices that reflect and assist the wellbeing of the population. This is a political choice. The Government have been asking people at the bottom of the pile for more than a decade to just pay a little bit more and cope a little bit more with austerity for a little bit longer, and now they are in the midst of a cost of living crisis where families’ energy bills are going to be shooting through the roof next month, with a £639 increase a year for every household.

In that time, the UK Government are ploughing ahead with this increase on national insurance. This is going to compound the increases that are being put in place. The increase will be nowhere near covered by the Government’s increase to the national living wage or by the universal credit taper rate. None of that will cover the cost that my constituents are being asked to pay to fund something that could be funded from somewhere else. The UK Government are choosing to balance the books on the backs of the poorest constituents that we have, and they need to change track now.

Climate Goals: Wellbeing Economy

Kirsty Blackman Excerpts
Tuesday 30th November 2021

(2 years, 11 months ago)

Westminster Hall
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Kirsty Blackman Portrait Kirsty Blackman (Aberdeen North) (SNP)
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I am delighted to be called to speak first after the hon. Member for Brighton, Pavilion (Caroline Lucas), who I thank for securing this debate on the most important issue. I genuinely cannot imagine two more important priorities for an independent Scotland than ensuring that we have action on climate change and that we put wellbeing at the front of everything we do.

We are lucky in Scotland that we are already on this road. We have begun to make the changes that are required to move away from focusing entirely on economic growth and toward looking at the wellbeing of our population. When we are looking at budgets, such as the national performance framework, as was mentioned, our decisions are looked at through a lens. Do they improve wellbeing? Do they reduce our negative impact on the planet? I think it is wonderful that we do that.

There are also good things happening in schools. Bairns throughout Scotland are aware of their rights under the UN convention on the rights of a child. It is taught throughout Scottish schools. I can speak to kids as young as five and ask them about their rights. It is important for people’s wellbeing that they are aware of their rights and are able to fight for the rights that they deserve. It is important that they are able to make their voices heard. The only way we are going to get to wellbeing is to ensure that everybody is empowered to get those rights.

There is absolutely no point in focusing on economic growth for economic growth’s sake. The UK economy has been growing, but inequality is still stretching. We have still seen an increase in inequality. People who are on the bottom of the pile continue to be on the bottom of the pile. We are not improving societal wellbeing if we are not ensuring that decisions benefit everybody, rather than those currently at the top of the pile. For all our constituents, we need to ensure not just growth, but fair growth. We must focus on reducing inequality—and focus on everything that the hon. Member for Brighton, Pavilion said—and on making sure that decisions, particularly budgetary decisions, are taken with the wellbeing of people in mind, not simply growing the money of this country’s richest people.

Clive Betts Portrait Mr Clive Betts (in the Chair)
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The guideline is that Members have around four minutes.

Working People’s Finances: Government Policy

Kirsty Blackman Excerpts
Tuesday 21st September 2021

(3 years, 2 months ago)

Commons Chamber
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Simon Clarke Portrait Mr Clarke
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I am incredibly proud to be part of the extraordinary transformation of Teesside’s economy, which is taking incredible shape under the work of our Mayor, Ben Houchen. Of course, that was reflected in the fact that the Tees Valley voted by 73% to re-elect our Conservative Mayor just this May. Why was that? It happened because of jobs and growth, and hope and pride in place—all the things that this Government are committed to delivering, and all the things that a Conservative Government are doing after years in which Labour neglected areas such as Teesside and left us with no plan, no options and no future.

Peak unemployment is now forecast by the Office for Budget Responsibility as being substantially lower than initially expected. All the evidence now points to a rebounding labour market. Just last week, the Office for National Statistics reported that vacancies are at a record high, while the headline unemployment rate has fallen for seven consecutive months and now stands at 4.6%.

Kirsty Blackman Portrait Kirsty Blackman (Aberdeen North) (SNP)
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I am a bit concerned that the Minister has not actually read the motion on the Order Paper. This is about people who are in work. I absolutely agree that people have been kept in work as a result of the schemes that are being scrapped—that is the case—but the thing is that if people are not being paid the living wage and are not being paid enough money to actually live on, they are going to continue to be in poverty no matter whether or not they are in work.

Simon Clarke Portrait Mr Clarke
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I can assure the hon. Lady that I have read the motion closely, which is of course why I am celebrating the fact that the ONS estimates that underlying regular wage growth is between 3.6% and 5.1%. It is why I am so proud that we are the Government who introduced the national living wage, which has of course meant more money in the pockets of working people. So this is exactly about bearing down on the cost of living and about supporting families throughout a really difficult time. That is what we have managed to do and what we will continue to do.

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Kirsty Blackman Portrait Kirsty Blackman (Aberdeen North) (SNP)
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It is a delight to follow my Procedure Committee colleague, the hon. Member for Newcastle-under-Lyme (Aaron Bell). It is helpful because we are ideologically opposed on every single matter, so I can pretty much stand up and say exactly the opposite of what he said, and it will be grand. Mr Deputy Speaker, I want to take to take you back to 1915. In 1915, my great-great-grandfather John Murray was killed when his steam herring drifter was cut in half by a British warship. My great-granny’s mother Barbra Helen Murray, who was known as Babeellen, was left to raise five girls by herself. When she was left in that situation of abject poverty, there was no Government funding to help her. She had no support from the Government to get through that very immediate crisis. Her sister stepped up and offered to take the youngest child off her hands—offered to give that child a home and pay for that child’s upbringing. Imagine having to make such a choice about whether to keep her child. Imagine being forced into that choice of whether to keep that child, whether in 1915, or in 2021 with the rape clause. Imagine having that choice. Thankfully, she chose to keep her child, and she brought up my great-grandmother.

The family were helped: they were helped by the church, their friends and their relatives. However, the reality was that people did not have a lot to spare and people did not have a lot they could give in such charitable situations, so the family really had very little money. This was despite the fact that my great-granny’s mother worked in every single job she could find. She knitted things, she sewed things and she mended things. She cleaned every building she could possibly get access to and that she could convince people to pay her for cleaning. She did not get any money at all from the Government until she turned 70, when she got 7 shillings and sixpence for her pension, which was an absolute fortune to her. She had spent 37 years working in every job she could have and in every moment she could find in insecure employment—like people are being forced to do in the current system; trying to work every single hour in multiple part-time jobs just so that they can try to put food on the table.

Alex Cunningham Portrait Alex Cunningham
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The hon. Member makes me reflect on a family matter of my own. When my grandad was killed in a pit accident, my dad had his apprenticeship, and my granny went out and scrubbed floors to ensure that he completed his apprenticeship. But today we find that grandparents are looking after grandchildren—perhaps because somebody is in prison or because they have a drug problem—yet they do not get help, and even those people are going to lose this £20 of universal credit. Would you credit that?

Kirsty Blackman Portrait Kirsty Blackman
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Stories like this belong 100 years ago; stories like this do not belong in the 21st century. We should not have constituents who are in absolute poverty coming into our constituency offices.

This motion is about the working poor. My great-granny’s mother did not have money to buy what she saw as necessities; she obviously did not have enough money to buy food and stuff but was helped out in that, but she also could not go to church because she could not buy clothes for church. She had her working clothes but could not buy Sunday best clothes to go to church; that was her biggest regret about not having money. Nowadays, people on UC may not be able to afford internet access, which they need to get their UC, or to afford other things we see as necessities. Not many people are wanting a Sunday outfit to go to church—some are, but not that many—but they desperately need access to the most basic of services so they can get their UC and make their claims, and so that they can speak to friends and family and not be hugely isolated.

A cut of £80 a month is a huge amount. For a lot of people, £80 a month is their council tax bill, or two mobile phone bills, or—goodness knows—one pair of shoes for the kid, maybe two pairs for those who are particularly lucky and their child is going to wear something a bit cheaper. It is a huge amount of money, not pennies; it means people will have to cut back on a big, major bill when this cut is implemented. My great-granny remembered her mother crying because winter was coming and she could not afford to buy shoes for the children. That was over 100 years ago; this should not be happening today—we should not be having single parents crying because they cannot afford to buy winter shoes for their children.

Catherine West Portrait Catherine West
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What does the hon. Lady make of the fact that there are 23 more billionaires in The Sunday Times rich list this year?

Kirsty Blackman Portrait Kirsty Blackman
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I am going to come on to that, because I am thinking there is a divide across this Chamber: the constituency cases we on the Opposition Benches are seeing do not appear to be reflected in the cases being seen by those on the Government Benches, or they would not be making this cut. If they were sitting around those tables with people crying because they are living in absolute poverty and destitution, they would not be choosing to cut this £20 a week.

Some 72% of families who need food bank help have at least one parent in work. In my constituency more than four in 10 families will be hit by the UC cut. Aberdeen has been hit by a triple-whammy: the oil price crash has meant many people have been made redundant; we have seen the reduction in the reliance on oil; and we have seen both covid and Brexit. All those things are having a significant impact on the people of Aberdeen, and particularly my constituency. We have seen massive house prices in our city, too, so people have not been able to save money, and they have not been able to get council houses because of the right to buy, which we have, thankfully, cancelled now in Scotland. They have not had the opportunity to get back on the housing ladder, and they are doing the kind of insecure work my great-granny’s mother was doing: they are cleaning hospitals and working as porters and carers. I defy anyone to tell me those people are not working hard; these are hard-working families, yet they are being slammed consistently by this Tory Government.

We are talking about absolute destitution. My hon. Friend on the Front Bench, the Member for Glasgow Central (Alison Thewliss), mentioned prepayment meters. I do not know how many Members have had a prepayment meter, but I lived in a flat with one when I had hardly any money. If a prepayment meter goes £20 into the red, it stops working—the electricity stops—and people do not just need a fiver to bring it back; they need to pay the full £20 to get back into the green. Many of my constituents are faced with those numbers ticking towards that negative £20 and wondering, “What on earth are we going to do about this? How are we going to pay for the electricity so our children have heat and do not freeze?” We had a guy come into my office one day. This chap was on universal credit, and he was one of those single people on universal credit who is literally destitute. That is a significant portion of single people on universal credit; they are living not just below the poverty line but below the line of destitution. This chap came into my office to say that he did not know what to do. He had not eaten in three days. His dog had not eaten in three days. He had sold every single item of furniture that he had in order to try to keep them both fed. He had sold his bed, so we managed to source a bed for this chap.

That should not be happening in 2021. We should not be having those conversations with people, yet Government Members talk about £6 billion and say, “Oh, we’ve given £80 million to this scheme” or whatever. It does not matter if they have given £80 million to that scheme; it does not make a difference. What makes a difference is ensuring that these folk have enough money to eat—enough money to feed themselves and to clothe themselves. The hon. Member for Bury North (James Daly) talked about hope and aspiration. How can someone have hope and aspiration if they spend every single moment of every single day—

Kirsty Blackman Portrait Kirsty Blackman
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Worrying—exactly. Worrying and thinking about what on earth they are going to do tomorrow, and what they are going to do the next day. Half of people who go to Trussell Trust food banks are in debt to the DWP because the universal credit system is so rubbish. People are in debt because they have had to take crisis loans due to the universal credit system.

That is before we talk about the £20-a-week cut. That is absolutely a cut for people who have been going through the hardest times. Government Members can talk about the £6 billion all they like, but the reality is that the damage that this cut will cause to people—the number of hospital admissions we will see and the number of people who will die as a result of the cut—will be far more and cost far more than £6 billion.

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Tanmanjeet Singh Dhesi Portrait Mr Dhesi
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The crisis in Heathrow has impacted not only my Slough constituents but regional airports and the economy of Wales, about which I know my right hon. Friend feels passionately. That is why we must help the aviation sector. Heathrow used to be the busiest airport in Europe but is now no longer even in the top 10; that is diabolical and is a direct consequence of inaction by this inept Government. Not only is it the right thing to do to help the aviation sector, but it is how we will effectively recover as a nation.

One of the most immediate dangers facing my constituents from the Government’s barrage of cuts and policies is the cut to universal credit of £20 a week. Over £17 million will be cut from my constituency, and this will affect families who have battled through a pandemic, who were clapped, who face a very difficult job market, and whose children have only just returned to the routine of school. I have been contacted by constituents who have been furloughed then had their UC capped, and are struggling to make ends meet. There are self-employed people using up all their income and being told to use food banks and claim UC. Continued cries from the Government Benches that that is a solution is insulting to all the families who work tirelessly just to put food on the table.

Kirsty Blackman Portrait Kirsty Blackman
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Does the hon. Gentleman agree that it is disrespectful of the Secretary of State to say that such people can just pick up another couple of hours of work? A working mother already on part-time hours because of childcare cannot just suddenly become an HGV driver overnight or pick up a couple of extra hours; that is not how it works.

Tanmanjeet Singh Dhesi Portrait Mr Dhesi
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The hon. Lady eloquently makes my point, and even that calculation of two hours has been demonstrated to be completely off the mark; the number of extra hours hard-working Brits will need to work is actually nine.

Another main issue on which constituents ask for my help is housing, and, sadly, that is unsurprising. Average rents have risen by £456 in a year, the highest rise since 2008, rising above average wages by over £2,000, leaving home ownership a distant or impossible dream for too many in the next generation.

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Matt Western Portrait Matt Western
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I thank my hon. Friend; she is incredibly generous to suggest that I might be of a similar age, but I will take that compliment from her. Of course, I agree. Certainly, I think about my generation and what happened to inflation in, say, 1990 and 1991, as someone who was paying a mortgage at the time and seeing 60% of my income going on the mortgage because of the excessive interest. Those on tracker mortgages and so on will be really worried about what is happening, because their incomes are certainly not keeping up with that kind of increase. I speak as someone who suffered—okay, I am nowhere near, and never have been, the sharp edge of the sort of extreme poverty that we are here to talk about. However, we should realise the pressure that that puts people under emotionally and psychologically, and the impact on mental health. What inflation can do, in eroding pensions and impacting on household budgets, should be a real concern to everyone in this House.

Kirsty Blackman Portrait Kirsty Blackman
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On that point, we got our first mortgage in 2009. People who have had a mortgage for as long as I have had, which is about 12 years, have never really seen interest rate hikes. There are people in the group that the hon. Member is talking about who are not worried because they have never met this in the face, and they are going to get such a shock when interest rates rise, as he is describing.

Matt Western Portrait Matt Western
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I thank the hon. Member, or perhaps I can suggest friend. Indeed, we have been insulated these past 10 years from the ravages of inflation that some of us know—perhaps my hon. Friend the Member for Stockton North (Alex Cunningham) would say this—can erode business confidence and have an extreme impact on household budgets.

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Richard Thomson Portrait Richard Thomson
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The hon. Gentleman makes a succinct and powerful point about how people voted in good faith for something that has turned out to be a fiction and a fantasy. I would always argue for more money to help those who are most in need—there is also an economic benefit to that in the boosting of consumption—but one of the first steps we could take is not to take money away. If the hon. Gentleman waits patiently, he may hear that I have more to say on that later in my speech, but he makes a powerful point.

In the Minister’s response to the opening speech of the hon. Member for Houghton and Sunderland South (Bridget Phillipson), he spoke of the need to make tough choices. It is that macho rhetoric—fine, easy words that fall a great deal harder on those on whom those choices impact than they do on the perennial Conservative and Unionist party’s self-conceit of being a party of low taxation, which it seldom ever lives up to in office in any meaningful way.

Those tough choices come with very long-standing consequences: they impact on people’s children; they impact on family life and well-being; they impact on a person’s health; they impact on their self-esteem; they impact on their opportunities; and they impact on life chances, and they do so across generations.

In the past fortnight alone, we have seen the triple lock gone, removing the link between earnings and pensions. We have seen the end of furlough. We have seen the £1,040 cut to universal credit. We have seen a breaking of the manifesto promise not to increase national insurance, in a move that will hit the youngest and the poorest the hardest and that will embed generational and geographical inequalities and bake them into our social and economic reality for generations to come. As has been said, this has all been exacerbated by Brexit, with the shortages of products that that will bring, allied to an accompanying increase in prices.

Kirsty Blackman Portrait Kirsty Blackman
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Does my hon. Friend feel that, after a decade of austerity, after all the hits from Brexit, and after covid, this is the worst possible time to be taking money away from people?

Richard Thomson Portrait Richard Thomson
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I could not agree more with my hon. Friend. I was deficient—I should have said what a magnificent speech she made earlier on, encapsulating as it did what it really means to be without and to be in search of that dignity. She is absolutely correct in what she says: this is absolutely the worst time to be taking away that support. It is almost like the Chancellor has gone out to the pub for a round of drinks. He has carried the drinks away from the bar—it was a very complicated order—and staggered across the floor with a big tray, and when he is about one yard from the table, he drops the whole lot, and leaves it smashed on the floor. It is the same with the economy, having carried it thus far. It is inept to say the least.

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Mims Davies Portrait Mims Davies
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Absolutely: jobs, jobs, jobs is the right message, but very little of that has been heard in the Chamber this afternoon from those on the Opposition Benches. On jobs fairs, it is vital that people come through our doors and see what is out there, because it is time once again to be, as this Government are being, forward-thinking, pragmatic and responsible as we push to build back better. The reality is that it is unsustainable to carry on spending the amount that we have been on welfare measures during this pandemic without ongoing increases in public expenditure, which Opposition Members have complained about. Inevitably, that would also affect working people’s taxes—which is what the debate is about.

The extra provision this Government have provided during the pandemic was temporary, to deal with the pandemic head on. Now that public health restrictions have been relaxed, it is right that these temporary support measures come to an end. Of course we also have our successful vaccine roll-out, and pleasingly—we must remember this—we are no longer in the same situation we were in at the turn of the year, and nor is our labour market. We have been able to reopen society, and our economy is recovering strongly. Growth is forecast by the OECD to be 7.2% this year, reflecting the bounce back we are already seeing right across the UK. So it is a time to be bold and empower people to harness their opportunities and help them progress on to their next stage—to give people both the hope and the skills and training they need to thrive in this changing economy.

Kirsty Blackman Portrait Kirsty Blackman
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What would the Minister say to the working parent who is already trying to juggle hours around childcare and who cannot simply pick up another few hours of work a week? How are they going to make up this shortfall?

Mims Davies Portrait Mims Davies
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I would say, “Talk to your work coach.” We heard from two hon. Members from Liverpool today. I was in the Toxteth jobcentre meeting the first people taking the digital online level 3 programme, which people can earn a lot more money by taking part in. There are so many opportunities in jobcentres. I know that the hon. Lady has not been to her jobcentre recently, because I checked. Please do go and visit.

Mims Davies Portrait Mims Davies
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I will make some progress, because I think it is important to talk about the 1 million vacancies that we have in our economy. We have jobs in growing and emerging sectors; we have green jobs, we have tech roles, and they can all be accessed through our jobcentres.

I am determined to help those with the biggest barriers to move closer to the labour market, to ensure that, as the hon. Lady says, people progress into work and see the reward for their efforts, and to help people increase their hours or get into work for the first time, like—I must correct the Chief Secretary to the Treasury, my right hon. Friend the Member for Middlesbrough South and East Cleveland (Mr Clarke)—the more than 69,000 young people who are now in kickstart roles, on that important first rung of the career ladder.

My message today to everyone in the Chamber and everyone looking in is: if you want to progress in this jobs market, whoever you are, wherever you are—at any age or any stage—we are here for you. We will get behind you. We have dedicated work coaches, and we have boosted them by 13,500 as part of our plan for jobs. We will give you tailored support and we will help you progress. We will not leave you behind.

We are directly investing in our young people most at risk of long-term unemployment with the £2 billion kickstart scheme, a life-changing scheme of a six-month work placement—a springboard into a future career. With over 188,000—I got it right this time—kickstart roles, young people must turn to their work coaches to hear about these amazing opportunities.

Meanwhile, I must let the House know that we have a new youth hub across every Jobcentre Plus district throughout England, Scotland and Wales. By Christmas, we will have 150 new youth hubs open. These are valuable new partnerships—interventions for direct life chances—with local councils, football clubs, charities such as the Prince’s Trust, and local training providers.

We are also seeing lives changed by our job entry targeted support programme, which is known as JETS, with over 25,000 people starting new jobs since our plan for jobs was launched. That is not forgetting our £2.9 billion restart scheme, which will, crucially, help those who are leaving furlough. We have also refreshed our “50 PLUS: Choices” offer, and we have stronger support for those who need any extra skills through our lifetime skills guarantee.

I am passionate—I hope the House has noticed it this evening—about getting people into jobs, but also about progressing people when they are in work. This Government’s longer-term ambition remains to build an economy that ensures that everyone, no matter what their background, has the opportunities to enter work and progress out of low pay.

We are absolutely taking action. The in-work progression commission was launched in March 2020 by the DWP. We will respond shortly to its report, but it is all about getting that understanding about the barriers that people in low pay face and, crucially, as we talked about this afternoon, ensuring that work remains the best route out of poverty.

Our plan for jobs programme is also helping claimants to gain the skills they need to progress in work. Our sector-based work academy programmes—SWAPs—are helping people get new skills to retrain and pivot into growing sectors, from viticulture to construction, infrastructure and social care. Haulage has been mentioned this afternoon; we have a programme in that, too. We also have DWP Train and Progress, which provides the ability to access the Department for Education skills bootcamps in growing sectors. With over a million—

Capital Gains Tax

Kirsty Blackman Excerpts
Wednesday 28th April 2021

(3 years, 7 months ago)

Commons Chamber
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Kirsty Blackman Portrait Kirsty Blackman (Aberdeen North) (SNP)
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This is the first time I have stood to speak in the House since January 2020. During the past year and a bit, like so many of our constituents, I have been battling with the black dog of depression. I know that so many people have, and I crave your indulgence for a small moment, Madam Deputy Speaker.

Please, if you know somebody who has not been themselves recently, reach out to them, ask them if they are okay, let them know it is okay not to be okay. Offer them help but, most importantly, let them know that you are there when they are ready to talk, or if they are ready to talk. It is hugely important that all our constituents understand they are not battling this alone. There are so many of us.

I have a few questions on these two orders, and I am delighted that somebody else, the hon. Member for Ealing North (James Murray), has criticisms of the explanatory notes. I have got on my high horse about this. Do not worry, I could talk for 30 minutes—we could be here for far longer than that—but I promise I will not.

The explanatory notes are generally not very good. They do not give us enough information, and the specific issue of significant impact is a concern. The rules on explanatory notes in the “Ministerial Code” state what “no significant impact” means, but I would consider these orders to have a significant impact. The definition in the “Ministerial Code” needs to be broadened and, in general, explanatory notes for all Bills need to be better at explaining. We also need more impact assessments to be provided with Bills, because we need to know the impact on the public sector and the private sector, and on charitable organisations. The definition needs to be much wider than if a measure meets a certain threshold of millions.

The SNP supports these orders, and we look forward to the UK working more closely with other EU partners, including, in the future, an independent Scotland. On the tax evasion issues that may occur as a result, the UK, even though it has the treaty general anti-avoidance rules, still does not have a comprehensive general anti-avoidance rule for taxation. The SNP has stood on that platform, talking about it on a huge number of occasions, and it is unfortunate that the Government have not yet been willing to come forward with comprehensive regulation, particularly when HMRC is saying there was a tax gap in 2018-19 of £35 billion, which is 5.6% of the total tax liability. We need to have that rule.

The shadow Minister spoke about minimum corporate tax levels and the Biden plan. It is important that the UK Government, instead of attempting to water down these proposals, stand with them, support the need for a minimum corporate tax level and, for once, stand to strengthen international tax law rather than to weaken it. The UK Government have not, in many recent years, taken the lead on this. If we are to be this wonderful, independent nation that the Conservatives suggest that we are, it is right that we should take the lead on tax measures and say absolutely that we support the minimum corporate tax level and that we are backing it to ensure a better, more level playing field internationally.

Baroness Laing of Elderslie Portrait Madam Deputy Speaker (Dame Eleanor Laing)
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I am sure the whole House will have heard what the hon. Lady said. She is courageous to give her advice here in the Chamber, and people would do well to listen to her advice. We are glad to see her back.

Jesse Norman Portrait Jesse Norman
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I very much thank the two hon. Members who have spoken in the debate. May I start, Madam Deputy Speaker, by associating myself very much with the remarks that you made to the hon. Member for Aberdeen North (Kirsty Blackman)? I think it is absolutely in order and right for her to bring this very important issue back to the House. To do so in such a personal way only gives it additional force. I doubt that there is a Member of this House whose own life has not been affected in one way or another by the concerns that she describes—the black dog of depression or whatever it may be—either personally or among their family or friends. The diversity of opinion in this House is something we all welcome, but so too should there be diversity in our recognition of other people and their feelings and suffering, so I very much thank her for that.

The hon. Lady raised a question that the hon. Member for Ealing North (James Murray) also raised about explanatory notes. Both Members will have seen that, actually, both these measures have quite full explanatory memorandums associated with them. Of course, there is always a balance to be struck between the depth and detail into which an explanatory memorandum goes and the desire not to provide so much detail that it becomes illegible or incomprehensible to a normal reader. I think the point is constantly right to be borne in mind that we should be as clear and explicit as possible on these matters. The point is very well made. It is a point that we have pushed very hard, and certainly I and colleagues have pushed very hard with Her Majesty’s Revenue and Customs in the work that it does more widely on guidance. In this case, because these measures sit alongside a host of other instruments, including the multilateral instrument, which was debated in the House, it is certainly true that there is a degree of scrutiny and awareness—or there could be a degree of scrutiny and awareness—associated with them.

The hon. Member for Aberdeen North also mentioned the question of a general anti-avoidance rule. I am sure she knows that it has been an important feature of our approach to double taxation agreements that we have included a principal purpose test in tax treaties, either through bilateral negotiation or through the multilateral instrument. That itself is a very important, wide anti-abuse measure, developed through the BEPS project, which protects a treaty against the abuse of its provisions. We are deploying it widely across double taxation agreements, and it has much of the force of the measure that she describes.

The hon. Member for Ealing North raised the wider question of scrutiny. If I may say so, the argument would have more force if any other Opposition Members had chosen to speak in this debate and to exercise that scrutiny. I think that in general, these matters, for the reasons I have described, are tolerably well understood. We have a multilateral instrument, the measures follow a common format, and opportunity is given to Members across the House, including from the Opposition parties, to offer scrutiny. They can choose to exercise that or not.

In relation to revenue, the hon. Gentleman will see that the explanatory notes say that there are no new tax burdens imposed by these measures. In a way, that is as it should be, because their purpose is to secure and safeguard trade and to prevent abuse; they are not, in and of themselves, tax revenue-raising measures.

Finally, the hon. Gentleman asked about the global minimum tax rate and whether I would expand on my remarks in Committee of the whole House. I am not going to do that, because I do not think it is appropriate for Ministers to comment on tax policy in flight, as it were. We have said we very much welcome the proactive stance that the Biden Administration are taking towards this issue. We have been a very strong advocate for these wider measures—the two pillars, pillar one and pillar two—in the OECD and the G20. I know the Chancellor feels strongly about the importance of our leadership of the G7 as a way of consolidating this progress in tax.

Kirsty Blackman Portrait Kirsty Blackman
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Will the Minister give way?

Jesse Norman Portrait Jesse Norman
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I am just winding up. If the hon. Lady does not mind, I will finish up. We will therefore continue to press forward on this issue.

Question put and agreed to.

Economic Update

Kirsty Blackman Excerpts
Monday 11th January 2021

(3 years, 10 months ago)

Commons Chamber
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Rishi Sunak Portrait Rishi Sunak
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I can give my hon. Friend my assurance that the Government’s No. 1 economic priority remains jobs and trying to help people into employment. To that end, we have created various schemes and put billions of pounds towards them, whether through doubling the number of work coaches, the restart scheme for the long-term unemployed or, indeed, our kickstart scheme to help 250,000 young people at risk of becoming unemployed to find new work in Government-funded jobs. I look forward to working with him and delivering all those vital initiatives.

Kirsty Blackman Portrait Kirsty Blackman (Aberdeen North) (SNP) [V]
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A number of people are still in childcare voucher schemes rather than having moved to tax-free childcare. A number of them did not realise, at the start of the pandemic, how long the impact would last, and they have now racked up large balances that they will not be able to spend before their child no longer needs wraparound childcare. Will the Chancellor please look at the people who have these large balances and consider putting in place some flexibility, or asking employers to put in place some flexibility, because they have ended up in this situation through no fault of their own?

Rishi Sunak Portrait Rishi Sunak
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I am not familiar with the specific details that the hon. Lady raises, but I can see the logic of what she is saying, if I followed it correctly. I will happily have a look at that and write back to her.

Covid-19: Economic Package

Kirsty Blackman Excerpts
Tuesday 12th May 2020

(4 years, 6 months ago)

Commons Chamber
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Rishi Sunak Portrait Rishi Sunak
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I can give my hon. Friend and constituency neighbour exactly that reassurance. I thank him for all that he is doing to support his businesses and constituents at this time. I very much welcome the advice that he has given me, as he has fed back what he is hearing on the ground from businesses in the north-east. He and I have a shared ambition to make sure that Teesside drives our economic recovery as we come out of this situation, and I look forward to continuing those conversations with him.

Kirsty Blackman Portrait Kirsty Blackman (Aberdeen North) (SNP) [V]
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Aberdeen has been hit by the double whammy of covid-19 and a massive drop in the oil price. Will the Chancellor tell us when he last had a conversation with the industry, and will he please give consideration to announcing sector-specific support in order to protect my constituents and those in other regions where employment is centred around oil and gas?

Rishi Sunak Portrait Rishi Sunak
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Regardless of the industry in which companies operate, they are able to benefit from our furlough scheme. That is something that we were keen to do. It is not necessarily replicated by every scheme around the world, but we thought that that comprehensive approach was the appropriate one. Many of the companies that the hon. Lady mentioned will be able to benefit from that scheme. Beyond that, my right hon. Friend the Business Secretary engages regularly with all sectors regarding their particular concerns, and I will continue to liaise closely with him.