King’s Speech

Lord McNicol of West Kilbride Excerpts

Monday 13th November 2023 Lords Chamber

[Lord McNicol of West Kilbride (Lab)]

My Lords, as commentators have noted, this King’s Speech had the most words but fewest Bills in almost a decade. I will focus my short time on how the Government have failed to outline a long-term plan for the economy, transport, energy or the environment. What we need is precisely that: long-term decision-making to generate growth and inspire business and market confidence. In spite of current sloganeering, that is simply not what we are getting from this Government. Instead, we are seeing political posturing. Where the Government have looked to the future, they have acted only out of a narrow interest for themselves and their friends.

As we have heard across the House tonight, the King’s Speech contains nothing to help people who continue to suffer the consequences of the cost of living crisis. It was a missed opportunity to offer hope and solutions to rebuild our industries and the communities that serve them. If the economy is working, as the Tories argue, it is surely working for the wrong people. On the same day, a fortnight ago, when the Prime Minister scrapped the cap on bankers’ bonuses, it was revealed that the number of children in destitution has tripled in the last five years. As the noble Lord, Lord Desai, said earlier, we should be ashamed.

What the Government surely must understand now is that growth does not come from releasing the richest from any obligation—legal or moral—to society. Growth comes when working people succeed and when, in partnership, all parts of society push for the same goal. To that end, government must use its position at the nexus of businesses, consumers and employees to fight for the fairest deal for everyone. Unfortunately, we simply do not see this leadership. It is no wonder, then, that both the British Chambers of Commerce and the Institute of Directors found this King’s Speech lacking. When the country needs consistency and vision, we are given uncertainty and short-sightedness.

The Prime Minister’s lack of control over his party may be amusing to some but not to businesses, trade unions and working people who need solidity and resolve. Only for one party is growth a strategy rather than a buzzword. That is why I am so glad that the next Labour Government will give businesses the certainty they need to invest, to hire and to thrive.

At a time when 3 million people in England alone find themselves in fuel poverty, action is something we urgently need. After inaction, with the Tories’ eight-year ban on onshore wind hampering domestic energy production, I am happy that the next Labour Government will double onshore wind and green hydrogen, triple solar production and quadruple offshore wind capacity. We need leadership on energy security and the environment by lowering bills through GB energy and insulating homes as part of a green prosperity plan.

Delaying action on climate and delaying investment in green energy could increase national debt by billions. Sending mixed signals to the automotive and emerging industries does not make us a world leader, it makes us a laughing stock. The path to growth lies not in kicking the climate challenge can down the road but in investing and in building. For the sake of British businesses and working people up and down the country, I say call an election now. Let us see who the British people really think has the solutions.

In some ways, I am glad that the Government have tried to use this King’s Speech to set dividing lines between the parties, as I believe and hope that the British people have had enough and will see through the shallow self-interest. If it has ever been felt that time for change is here, it is now.

Energy Profits Levy

Lord McNicol of West Kilbride Excerpts

Tuesday 9th May 2023 Lords Chamber

Asked by

[Lord McNicol of West Kilbride]

To ask His Majesty’s Government what assessment they have made of the impact of the Energy Profits Levy on energy companies.

[The Parliamentary Secretary, HM Treasury (Baroness Penn) (Con)]

The energy profits levy was introduced to respond to extraordinary profits in the oil and gas sector and includes an investment allowance to encourage companies to reinvest their profits in the UK. It has raised £2.8 billion to date and is expected to raise almost £26 billion by March 2028, in addition to around £25 billion from the permanent regime over the same period.

[Lord McNicol of West Kilbride (Lab)]

I thank the Minister for her response. We have all seen the eye-watering profits of the oil and gas companies. The energy profits levy does not treat all companies the same. Many of the largest companies pay considerably less, with their profits and extraction being largely outside the UK. This is not the same for many of the smaller domestic UK producers. Moreso, the EPL has a more favourable capital relief than the electricity generator levy. How can the Government justify a levy that gives favourable treatment to oil and gas companies over renewable developers?

[Baroness Penn (Con)]

On the noble Lord’s first point, he is right that the energy profits levy is applied to profits made in the UK or on the UK continental shelf. That is in line with other profit-based taxes on companies that operate in the UK and overseas. On the difference between the energy profits levy and the electricity generator levy, they are structured in completely different ways. The headline rates of those two taxes are also completely different. We have different programmes in place to ensure that we incentivise continuing investment in our renewables, which is why we have such a great track record on delivering renewable energy in the UK.

Financial Services and Markets Bill

Lord McNicol of West Kilbride Excerpts

Committee stage
Monday 20th February 2023 Grand Committee

Clauses 38 to 40 agreed.

[The Deputy Chairman of Committees (Lord McNicol of West Kilbride) (Lab)]

We have had a request from the Minister for an adjournment for 10 minutes, which I am going to grant. The Committee stands adjourned until 5.51 pm, when we will proceed with Amendment 123.