Autumn Statement Resolutions

Debate between Baroness Winterton of Doncaster and Anthony Browne

Monday 21st November 2022 Commons Chamber

[Anthony Browne]

I agree with the point made. As I said, there was a temporary period of a few weeks when there was a rise in interest rates. Some people renewed mortgages in that time and some people lost mortgages. That is terrible for those people, but there are no ongoing, long-term consequences because virtually none of the mini-Budget was implemented.

Many Opposition Members have referred to the Tories’ economic record since 2010. The fact is, we have had a series of extraordinary economic hurricanes. In 2010, we inherited an economy in recession—by Labour’s own admission, we had run out of money—and the 2008 economic crisis was so profound and deep that it led to the longest, deepest recession since the second world war. It took about a decade for the structural changes to the economy to play through, and gradually we returned to growth. Since then, as many have mentioned, we have had the once-in-100-years pandemic followed back to back by the once-in-50-years energy price shock.

During the pandemic, we spent £400 billion supporting households and businesses. I do not think Labour has complained about that too much, but that has led to higher national debt. The pandemic also led to problems with global supply chains that hit countries across the world. On the energy price shock, we are an energy importer, so inevitably we are poorer as a country and inflation has shot up. The question is this: if you are in a plane in a hurricane, or repeated hurricanes, and the plane gets struck by lightning and the engine catches fire and explodes, do you attack the pilot and ditch them because they happened to be in the pilot’s seat when all that happened or do you judge them on their performance and how they managed to get through those crises?

There are two things. First, this is not a UK crisis at the moment. Inflation has shot up around the world and is at roughly the same level in America and Germany as it is here. The IMF has said that one third of the global economy is going into recession this year. The downturn in Germany is faster than it is here. In America, they are putting up taxes by $800 billion to pay for it all. This is a worldwide phenomenon.

Secondly, as many Opposition Members keep going back to 2010, I have been checking my data—I like data. Between 2010 and 2019—the latest international figures I could find while sitting in the Chamber—the UK’s GDP growth per capita was lower than that of the US and Germany, but higher than that of every other G7 country. It was higher than that of Japan, Canada, France, Italy, and every other major European economy, including Spain. Our economic track record between 2010 and 2019 was better than all those countries, so the Conservative Government have a lot of which to be proud.

I want to make a couple—I see you waving your hand at me, Madam Deputy Speaker—of substantive points. The autumn statement does increase taxes; no Conservative Government like increasing taxes, but it is far better to iron out tax distortions before, or indeed while, raising them. The capital gains tax system, for example, has many distortions and is not indexed with inflation, which it should be. It works in a very perverse way. Inheritance tax, which has effectively been increased because the threshold has been frozen, is riddled with issues. There is a potentially exempt transfer scheme where many people do not pay any inheritance tax at all. We need to get rid of all these exemptions, smooth things out and fix inheritance tax before raising it. I also urge the Government to look at marginal rates of taxation that are more than 50%. Increasing numbers of people are falling into that bracket because of the freezing of the thresholds.

Finally—thank you for your patience, Madam Deputy Speaker—I welcome the protection of capital budgets. In particular, I urge the Government to protect the funding for Cambridge Children’s Hospital.

[Madam Deputy Speaker (Dame Rosie Winterton)]

Order. I was not so much waving my hands at the hon. Gentleman, as indicating that he might remember that we had talked about an eight-minute speaking limit. That was simply my intention, and I realised that he immediately remembered that stricture.

Management of the Economy and Ministerial Severance Payments

Debate between Baroness Winterton of Doncaster and Anthony Browne

Tuesday 15th November 2022 Commons Chamber

[Anthony Browne]

Just for clarification on the data—I will provide all that to you afterwards—as I said, home ownership rates went up through most of the 20th century. They reached a peak, you are right, under the last Labour Government, and they started falling—

[Madam Deputy Speaker (Dame Rosie Winterton)]

Order. I remind the hon. Gentleman that it is not me who has been doing that. The hon. Member knows that he needs to address “the hon. Lady”.

[Anthony Browne]

Home ownership rates peaked under the last Labour Government but then fell under that Government, and they are now going back up.

Elections Bill

Debate between Baroness Winterton of Doncaster and Anthony Browne

2nd reading
Tuesday 7th September 2021 Commons Chamber

[Anthony Browne (South Cambridgeshire) (Con)]

Thank you for your generosity and time. You said clearly that you think the proposal to introduce voter ID is an attempt to rig elections. Is that why the Labour party requires voter ID to vote in local party gatherings and has a long history of that? Have you attempted to rig your own elections?

[Madam Deputy Speaker (Dame Rosie Winterton)]

Order. Really, the hon. Gentleman is experienced enough to know that he should not use the word “you”, which refers to me.

[Anthony Browne]

I apologise.

Advanced Research and Invention Agency Bill

Debate between Baroness Winterton of Doncaster and Anthony Browne

2nd reading
Tuesday 23rd March 2021 Commons Chamber

[Anthony Browne (South Cambridgeshire) (Con)]

If you do not mind, Mr Deputy Speaker, I wish to make a slight confession: I am suffering from a rather extreme out-of-body experience. I have spent the past three and a half hours listening to Members from all parties—from not just the Conservatives but Labour, the SNP, the Liberal Democrats and the DUP—praising the Advanced Research and Invention Agency. I am having an out-of-body experience not because the House is the most united it has been since I arrived in this place, but because it is so united behind an idea promoted by Dominic Cummings. That shows what an indisputably good idea it must be.

It is absolutely right that the Government do everything they can to promote innovation, which has been the single engine for human progress over the past few centuries. Innovation is the single main reason why our health and wealth are immeasurably better than they were in generations past. Cambridge, my city, is the capital of innovation in the UK and, indeed, in Europe—perhaps in the world. It has had many successes, which have been referred to by a lot of colleagues—it is the global headquarters of AstraZeneca and it has had more Nobel prize winners than almost any country in the world.

One strange feature of innovation is that people often cannot tell where it will lead to when they are doing it. To give one topical example, when the Cambridge researcher Francis Crick was decoding DNA, he had no idea that more than half a century later, it would lead to the Wellcome Sanger Institute in my constituency doing more decoding and genome sequencing of the coronavirus than the rest of the world put together, helping us to track and tackle this pandemic.

The Government do a huge amount to promote innovation already, and we have heard a lot about it this afternoon, so why do we need another agency? Why do we need ARIA? ARIA will help tackle one of the main obstacles of innovation in the public sector, which is that in the public sector, as compared with the private sector, the costs of failure are higher and the rewards for success are lower. What do I mean by that? In the public sector, if somebody fails, they get pilloried in the press and they get the Opposition after them. Ministers have to resign and civil servants lose their job. That does not happen in the private sector. In the public sector, if someone does something that succeeds massively, they do not get bonuses. They are not rewarded by an increase in profits and share prices. The incentives are less.

What we need to do with ARIA is reduce the costs of failure, and that is why it is so important to have a separate, stand-alone organisation that is not part of UKRI—one that has a culture of taking risks and knows that sometimes it is worth having failure. Indeed, if there are not occasional failures, it is not really succeeding in its objective of disrupting and taking risks.

It is important—I urge the Minister to do this—that we help ARIA get more of the rewards for success. Several of my hon. Friends touched on this point earlier. ARIA is able to commercialise and go into business, but let it keep some of the rewards from success, if those projects succeed. That would be a huge incentive for it to try to make sure that those things work.

I have four general points about ARIA. The first is that it must be additional to other forms of research and development. If it is just funding projects that get funded by UKRI already, it is not really doing what it should be. Secondly, it is very important that it can experiment to try out different forms of funding. It has to be able to do a whole range of different types of funding for different projects as it sees fit, and it should be flexible in doing that. For example, we can have a company or academics doing some sort of research that we think is disruptive and amazingly good, but it does not fit into any of the general pots we already have. ARIA needs to be able to give grants to projects that it thinks are worthwhile. It has to have flexibility, and that means not going through the public procurement rules as they exist at the moment.

When I worked in City Hall in London, I was responsible for the London Development Agency, and I did a whole range of projects with public procurement. All I can say is that the only people who think that public procurement rules do not strangle innovation are people who do not have direct experience of them. It is absolutely right that ARIA is exempted from the worst parts of those rules.

Thirdly, picking up on value for money, which some Opposition Members mentioned, it is absolutely right that the Treasury and the Government ensure value for money from public investments across the piece. The Treasury Green Book does that, but it is also right that the Government have a portfolio approach, like a private investor. They might have some lower risk investments in Treasury bonds and then some higher risk investments in venture capital, and they are not all judged by the same rules. We absolutely should not judge ARIA by the same blanket value-for-money rules as we would if we were building a bridge. That would strangle ARIA.

Fourthly, it is absolutely right, as a couple of Members have touched on, that ARIA has multi-annual budgets inasmuch as the Government and the Treasury can allow. Funding disruptive research often takes many years, and simply giving a drip-drip of funding one year at a time will mean a lot of disruptive technologies cannot take flight.

When I was chair of the Government’s Regulatory Policy Committee, I remember civil servants at the Department for Business, Energy and Industrial Strategy saying to me sagely, “Governments have always set up organisations as independent, and then the politicians realise all the problems of independence and then chip away at the independence over coming years, and the organisations gradually get brought down to heel.” It is very important that does not happen to ARIA, otherwise it will lose the reason for its existence. We have heard Opposition Members in particular talk about the need for FOI requests, for procurement rules, for mission statements and value for money assessments. I ask the Minister and the Government not to listen to those siren calls, which will clip ARIA’s wings at birth, and it will then never take flight.

Finally, I just want to settle one little discussion or dispute that we have had this afternoon. Many of my hon. Friends have been making bids for the location of ARIA; we have heard about Bristol, Bolton, Sedgefield, Doncaster and Guildford. I can sort this for the Government. Put the innovation agency where the innovators are: Cambridge—done.

[Madam Deputy Speaker (Dame Rosie Winterton)]

Doncaster.

Taxation (Post-transition Period) (Ways and Means)

Debate between Baroness Winterton of Doncaster and Anthony Browne

Ways and Means resolution & Ways and Means resolution: House of Commons
Tuesday 8th December 2020 Commons Chamber

[Anthony Browne (South Cambridgeshire) (Con)]

You talked about the notwithstanding clauses as irresponsible and said that the damage may have been done, but would you like to join me in welcoming the Government reaching an agreement in the Joint Committee, as was announced just a couple of hours ago, on the issues that those clauses were intended to address?

[Madam Deputy Speaker (Dame Rosie Winterton)]

Order. Just a gentle reminder not to use the word “you” to the shadow Minister, because “you” means me.

Climate Change Assembly UK: The Path to Net Zero

Debate between Baroness Winterton of Doncaster and Anthony Browne

Thursday 26th November 2020 Commons Chamber

[Anthony Browne (South Cambridgeshire) (Con)]

I am a member of the Treasury Committee, one of the commissioning Select Committees for this report. I also speak as chair of the all-party parliamentary group on the environment and, indeed, as a member of the Environment Bill Committee, which has today finished legislating on many of the measures that were included in this great report.

I see stopping environmental destruction as the defining mission of our generation. For those who have not yet seen the film “A Life on Our Planet” by David Attenborough, I highly recommend it. It shows what has changed on our planet throughout the lifetime of that remarkable individual, including the destruction of habitats, species extinction and climate change. We have a lot of work to do. Tough action needs to be taken, but we are a democracy and we need to take the people with us. Too often, those at the more radical end of the environment movement take a coercive approach: they want to turn back the clock, stop people doing things, dismantle capitalism and tell people what they can and cannot do. The trouble with that is that it risks a backlash. If we do not take the people with us, it might give rise to the anti-environmental populists that we see in other countries.

This is why the Climate Assembly is so important, and I thoroughly welcome its report. These are members of the public considering the issues carefully and coming up with their own recommendations. It really shows just how sensible the British public are. They accept the need to tackle climate change. They know it is a real problem. They are not trying to resist it, and they support practical measures to do it, but they want to do it without sacrificing quality of life, because we do not need to. They do not want to stop going on holidays or living the lives they lead, and it is that pragmatism that is so essential.

There are 50 proposals in the report overall, and I have little disagreement with any of them. I am delighted to say, as my hon. Friends did earlier, that the Government are already implementing many of them. This could be one of the most quickly implemented reports of all time. On electric vehicles, the report recommends certain other vehicles being banned by between 2030 and 2035, and the Government have said that that will happen by 2030. I thoroughly support that. I have just been legislating on the deposit return scheme, which is also one of the report’s recommendations. I thoroughly support that, too. The report recommends more offshore wind, and the Government are committed to quadrupling it in the next 10 years to 40 GW.

The report recommends nature-based solutions such as planting more trees and increasing carbon capture in soil. Again, the Government are now fully supporting that. It talks about hydrogen solutions for heating in domestic housing, and that is part of the 10-point plan. The Government are fully supporting that with £500 million to start with. As my hon. Friend the Member for Broadland (Jerome Mayhew) noted, the Climate Assembly was less enthusiastic about some things, particularly carbon capture and storage, which I am rather enthusiastic about. It is a new technology, but it is being done elsewhere and it could form an important part of the mix, as most mainstream climate scientists agree.

I am glad that the Climate Assembly did not want to move the date for becoming carbon neutral forward from 2050, which is what some of the more radical environmental groups want. That 2050 date was set by the Intergovernmental Panel on Climate Change. The UN body said that it was necessary to do that to meet the Paris target of 1.5° warming. That was adopted in the UK by the Committee on Climate Change, which set out a programme of work that the Government and we as a country need to do to reach that target. Obviously we have now adopted 2050 as a legal target, and we are the first major country to do so. This shows the leadership that the UK has taken on this, and we can be thoroughly proud of that, but there is absolutely no room for complacency. The public support the strong measures we are taking. We are going to need to take a lot more strong measures in the future, but at least we know that the public are behind this. That is why I welcome the Climate Assembly, and I welcome this report.

[Madam Deputy Speaker (Dame Rosie Winterton)]

I am sure colleagues understand that there is pressure on time, so after the next speaker I will have to reduce the time limit to four minutes, so that we can get everybody in for this debate and the next one.