Middle East: Economic Update

Debate between Rachel Reeves and Ben Lake

Tuesday 24th March 2026 Commons Chamber

[Rachel Reeves]

I thank my hon. Friend for that question. It is great to see that investment in the gas networks coming into Peterborough, supported by him. That is in stark contrast to the Conservatives, who got rid of our gas storage facilities, stalled on nuclear and stalled on renewables. As a result, they left us more vulnerable to an energy price shock.

[Ben Lake (Ceredigion Preseli) (PC)]

What contingency planning is taking place to support non-domestic energy bills, especially in rural areas such as mine where a great number of small businesses and community organisations rely on heating oil and LPG?

[Rachel Reeves]

I am sure that the hon. Member will agree that the best thing we can do to support households and businesses is to de-escalate the crisis and bring it to an end as quickly as possible. But, as I set out in my statement, I will not tolerate businesses price gouging and earning excessive profits because of the conflict in the middle east. The CMA therefore has new powers to ensure that does not happen, and we are targeting support at those who most need it.

Middle East: Economic Update

Debate between Rachel Reeves and Ben Lake

Monday 9th March 2026 Commons Chamber

[Rachel Reeves]

I am pleased that since I became Chancellor, the Bank of England has cut interest rates six times, and we have been able to take £150 off energy bills and freeze prescription charges and rail fares. My hon. Friend’s constituency contains Rolls-Royce, which will benefit from small modular reactors and also from the increased defence spending that is already going in.

[Ben Lake (Ceredigion Preseli) (PC)]

Some 72% of households in my constituency have no connection to the mains gas grid. For those who filled their tanks over the weekend, the consequences of the Iran crisis have become very real, and those who are still to do so are anxious to learn when any potential support that may be agreed on Wednesday will be provided.

[Rachel Reeves]

I recognise that there are significant challenges in some areas of Wales, as indeed there are in Northern Ireland, and I urge the hon. Gentleman to attend the meeting with the Financial Secretary to the Treasury. We have already had representations over the weekend about what is needed, and I want Members in all parties to be able to contribute to that, but the best way to reduce prices is to get that oil and gas flowing again, which is why it is so important to secure not only a military solution to get the strait of Hormuz open but an insurance solution, and I am working closely on that at the moment.

Spring Forecast

Debate between Rachel Reeves and Ben Lake

Tuesday 3rd March 2026 Commons Chamber

[Rachel Reeves]

I can confirm that because of the choices in today’s spring forecast, the settlement for the Welsh Government over the next three fiscal years will mean an additional £514 million RDEL and £15 million CDEL to spend on the priorities of the Welsh people. It is important to me and to this Government that we ensure that the wealthiest pay their fair share. We have introduced VAT and business rates on private schools, we have got rid of the non-dom tax status, and we are introducing a high-value council tax to ensure that those with the broadest shoulders pay their fair share, and that, as a result, we need to ask for less from ordinary working people.

[Ben Lake (Ceredigion Preseli) (PC)]

Small businesses play a critical role in the economy of places such as Ceredigion Preseli. As the Chancellor will know, increased energy costs have put real pressure on their ability to operate in recent years. In the light of events over the weekend and the crisis in the middle east, what consideration are the Government giving to additional support to help small businesses to meet rising energy costs?

[Rachel Reeves]

We are only a couple of days into this conflict, and it is important to see where things go in the next few days. As I said in my statement, I am in regular contact with international counterparts right across the world, including in the middle east, with the Governor of the Bank of England, and with sectors—both maritime and oil and gas—that are most affected by what is happening. However, people can see from the actions of this Government—whether that is taking £150 off domestic energy bills or the extension of the supercharger to help energy-intensive industries with their energy costs, which will come in next month—that we are determined to help people. In addition, as I just said to my hon. Friend the Member for Llanelli (Dame Nia Griffith), today’s spring forecast includes an additional £540 million of RDEL spending and £15 million of CDEL spending, which the Welsh Government can spend on the priorities of the Welsh people.

Public Spending: Inheritance

Debate between Rachel Reeves and Ben Lake

Monday 29th July 2024 Commons Chamber

[Rachel Reeves]

I thank my hon. Friend for raising this issue. I will ask my right hon. Friend the Transport Secretary to meet him and discuss it further.

[Ben Lake (Ceredigion Preseli) (PC)]

I am grateful for the Chancellor’s clarity on the state of the public finances and for confirming that the Government will accept the recommendations of the independent pay review bodies. She explained that doing so incurs an additional in-year cost of £9 billion and that Departments will be tasked with finding savings of up to £3 billion. Can she outline whether she anticipates that they will have to cover the entire cost of the pay review bodies’ recommendations, or does she anticipate that the Treasury will need to make additional funds available to make up the shortfall?

[Rachel Reeves]

I thank the hon. Gentleman for the question. We have asked Departments to absorb £3.2 billion of the pressures, but it will be different in different Departments. We know that in the Department of Health and Social Care and the Department for Education, for example, it will be harder to absorb those pay pressures, given the huge challenges that they face. It will be different in different Departments, as we will set out in written ministerial statements by the relevant Secretaries of State.