Covid-19 Lockdown: Economic Support

Debate between Lord Agnew of Oulton and Lord Caine

Wednesday 4th November 2020 Lords Chamber

[Lord Agnew of Oulton (Con)]

My Lords, as I am sure the noble Lord knows, we have provided some £14 billion of funding to the devolved authorities. That is important because £1.3 billion was announced on 9 October. It is there to support businesses: in Scotland, for example, we have been able to support nearly 1 million jobs, some 6,500 businesses and 240,000 people in employment. I am aware of no proposal to change the 80% furlough either in England or in Scotland.

[Lord Caine (Con)]

My Lords, I welcome the economic support being provided by the Government, which is unprecedented in our peacetime history. Despite that, is it not the case that, as we approach Christmas, very many individuals and businesses face an uncertain future, particularly in retail, hospitality and leisure? Therefore, does my noble friend agree that, for the economic health and well-being of our entire nation, it is vital that the second lockdown does not extend a moment beyond 2 December?

Unemployment

Debate between Lord Agnew of Oulton and Lord Caine

Thursday 11th June 2020 Lords Chamber

[Lord Agnew of Oulton [V]]

The Government’s overarching priority is to reopen the economy as quickly as is safely possible. That is how the groups the noble Lord has referred to will be able to start earning their incomes again as quickly as they can. We have in place a suite of support mechanisms for all those who have been the hardest hit, including the groups listed by the noble Lord.

[Lord Caine (Con) [V]]

My Lords, some of the latest forecasts about the economy are extremely worrying, especially for younger people. Is it not the case that the best way to avoid levels of mass unemployment as we exit lockdown is through policies designed to promote enterprise and growth and to set businesses free? Does my noble friend agree that, in this respect, tax rises on business, tempting as that might be for some, would be absolutely fatal to recovery and employment right across the United Kingdom?

[Lord Agnew of Oulton [V]]

Of course we want to see businesses feeling confident in their approach to coming out of this crisis. However, I cannot give a commitment on behalf of the Chancellor on what the future tax structure will look like. These matters will have to be looked at in the light of how the economy responds over the next few months.