Spring Statement

Debate between Lord Livermore and Baroness Hayter of Kentish Town

Thursday 27th March 2025 Lords Chamber

[Lord Livermore (Lab)]

I hate to contradict the right reverend Prelate, but I am afraid that the impact assessment does not take account of the dynamic effects of the £1 billion invested from the £4.8 billion of savings—the OBR has said that very clearly. It will look at that and come back with its assessment of what the impacts will be. He asked me how I can justify reforming the system. I do not know how we can justify a system where one in eight young people is not in employment, education or training. I do not understand how we can justify a system that writes off an entire generation and leaves them consigned to a life on benefits. I do not understand how we can have a system that writes off people and does not give them the support to get them back into work. I think that is the moral thing to do.

[Baroness Hayter of Kentish Town (Lab)]

My Lords—

--- Later in debate ---

[Baroness Hayter of Kentish Town (Lab)]

I congratulate the Government on grasping the nettle of the security challenge caused by Putin to the integrity of both Ukraine and the UK, and on repairing the damage that the party opposite did to our Armed Forces and growing it now for new challenges. Does my noble friend the Minister agree that our own national security and economic stability are absolutely linked? Does he also agree that we need a strong, resilient economy independent of global uncertainty and that the welcome increase in defence expenditure will boost jobs and growth across the whole of the UK?

[Lord Livermore (Lab)]

I am grateful to my noble friend for the points that she makes. I of course agree very much with her. As she knows, it was announced yesterday that we are increasing the defence budget by £2.2 billion in 2025, taking additional spending on defence to over £5 billion since the Autumn Budget. She is absolutely right that defence spending is a huge contributor to the future growth of our economy. That is why in the industrial strategy we have set out eight sectors that we believe will fuel the growth of the economy in future, and defence is one of them. Shortly in the spring, we will publish an industrial strategy for defence, which will set out how we can get highly skilled jobs throughout the UK as a result of the increase in spending that we are carrying out.

School Fees: VAT

Debate between Lord Livermore and Baroness Hayter of Kentish Town

Thursday 10th October 2024 Lords Chamber

[Lord Livermore (Lab)]

I am of course aware that this is an area of specific concern, as was said. Our proposed policy ensures that children with acute needs that can be met only in the private sector, as set out in an EHCP, will continue to be supported through their local authority and will not be impacted by this policy change. Very many private schools will take steps to absorb a proportion, or all, of the new VAT liability, so there may be no increases in fees under such circumstances.

[Baroness Hayter of Kentish Town (Lab)]

Will my noble friend the Minister remind the House of what happened when we lost office in 2010? The first thing the Government did was to cut the better schools initiative and the plans to improve schooling for the 90% who go to state schools. Will he ask the other side whether they will perhaps speak as often for the 90% in state schools as they seem to want to for the 6% in private schools?

[Lord Livermore (Lab)]

I am grateful to my noble friend for making those points, and I agree with what she said. The Government are committed to breaking down barriers to opportunity. We are determined to drive up standards in schools serving the overwhelming majority of children in this country, so that they may receive the opportunities that too often have been the preserve of the rich and the lucky.