Income tax (charge)

Alicia Kearns Excerpts

Thursday 31st October 2024 Commons Chamber

[The Chancellor of the Duchy of Lancaster (Pat McFadden)]

The right hon. Member for Godalming and Ash (Jeremy Hunt) has confirmed that this is his last appearance at the Dispatch Box, at least in his current guise, so I begin by thanking him for his service to government and to the country. He and I have something in common: we both inherited an awful mess from our predecessors. He was appointed Chancellor of the Exchequer as the repair man—the adult in the room—and was meant to sort things out after the disaster left by his predecessor. He was supposed to be the antidote to Liz Truss, but in recent days, he has become an ally of Liz Truss, united with her in attacking the OBR. He was brought in to praise the economic institutions, but he has ended up condemning them. However, he cannot hide from the verdict: the OBR has confirmed that the previous Government hid billions of pounds of pressures that they knew about, and the Treasury has given us a full picture of precisely what those pressures added up to.

[Alicia Kearns (Rutland and Stamford) (Con)]

The right hon. Gentleman states that a full breakdown was provided by the Treasury yesterday, but that is just not true. In fact, the chair of the OBR said on “Sky News” last night:

“Nothing in our review was a legitimisation of that £22 billion”

claim. That was him making it very clear that the OBR does not support and has not endorsed the claim in the Treasury report. Will the right hon. Gentleman now confirm, with a simple yes or no, that the OBR does not legitimise that claim?

[Pat McFadden]

Let me read what the OBR has said:

“The Treasury did not share information with the OBR about the large pressures on RDEL, about the unusual extent of commitments against the reserve… had this information been made available, a materially different judgement…would have been reached.”

[Pat McFadden]

The right hon. Gentleman suggests that things got better after February. They did not; they got worse, and that is how we got to £22 billion. This is not just a verdict about what happened but an indictment of the Conservative party’s final period in office. The truth is that, under his watch, the Treasury had stopped doing the basic job of controlling expenditure.

Announcements were made with no money set aside, the asylum and hotel bill was funded by emptying the country’s reserves within the first few months of the financial year, hospital building programmes were announced without the necessary funds set aside to pay for them, a pay award sat on a Secretary of State’s desk while they looked the other way, and compensation schemes were announced without the full funds being set aside to pay for them. That was an irresponsible dereliction of duty that has led to us picking up the pieces and to the right hon. Gentleman attacking the independent watchdog that was set up by his own party. Even his predecessor, the former Member for Spelthorne, admitted this morning that Labour is clearing up the Tory mess. If Conservative Members are more out of touch with reality than the former Member for Spelthorne, let me tell them that that is not a good place to be.

The right hon. Gentleman referred to the IFS, which said this morning that the Chancellor

“is not wrong to stress that she got a hospital pass on the public finances.”

[Alicia Kearns]

Will the right hon. Gentleman give way on that point?

[Pat McFadden]

I have given way once.

[Alicia Kearns]

I thank him for giving way—oh.

[Pat McFadden]

No, I am not giving way.

The Conservatives talk about their golden legacy, and we heard the former Chancellor read out some of his greatest hits. Who are they kidding? The last Parliament was the worst on record for living standards, with British families worse off than their French and German counterparts. His Government had the second lowest growth in the G7 since the pandemic and the highest inflation in the G7 since the pandemic. They left a prison system overflowing and just days away from collapse, and rather than take responsibility for it, they cut and ran and called an early election.

I have to give the previous Government credit: some things did grow on their watch, such as hospital waiting lists, housing waiting lists, shoplifting, insecure work and the decline of our high streets. That is their record, and it falls to us to fix it and start to rebuild Britain, so there is no point in coming to this Chamber and pretending that people are making it all up.

The former Chancellor talks about business. His party stuffed business—his colleague, the former Prime Minister, said “eff business”, and then the Conservatives carried out the policy. Under them, we had the lowest business investment in the G7. Why? Because of constant chaos in their Governments, meaning that business did not know who would be leading them from one year to the next; because they caved in to their Back Benchers and blocked anything substantial from being built; and because businesses could not hire the workers they needed with so many people on the sick.

This could have been a Budget where we just muddled through—patched up some mistakes made by the Conservative party and hoped something would turn up—but that is not good enough. We have had that time and again. In fact, we have had 14 years of it—long enough to show that that approach is not going to work. The country voted for change, and this was a Budget to deliver change. It is not a time for more of the same; it is a time to choose. We did not duck the challenge or look the other way; we confronted the challenge, because that is what the country needs. This is the moment when the country turns a corner and sets out a proper plan for the years to come.

We did make tax changes in this Budget, which is never an easy thing to do. That was because the first thing we had to do was fix the foundations and put the public finances on a sound footing. With this Budget, we say how we will pay for what we will do. The first fiscal rule announced by the Chancellor is to fund day-to-day spending from the revenue that we raise, a rule that the OBR judges will be met two years early.

The IMF, to which the right hon. Member for Godalming and Ash referred, has today welcomed

“the Budget’s focus on boosting growth through a needed increase in public investment while addressing urgent pressures on public services”,

so let me turn to those public services. Secondly, there will be more NHS appointments to get waiting lists and times down; more technology to improve productivity; more prevention to stop people falling ill in the first place; new surgical hubs and diagnostic centres; a hospital-building programme brought from fiction to reality, this time founded on more than hot air; new schools to help children learn; more teachers to bring out the best in every child; and more investment in further education to give people the skills they need. It is investment and reform together—not just more money into the same system, but changing the system for a new age, with productivity targets alongside the extra money.

The right hon. Gentleman also talked about welfare spending, but the Conservatives had plenty of time to sort out welfare spending. Their legacy is almost 3 million people out of work because of long-term sickness. The truth is that they did not have a plan, but they do have a record, and again, it falls to us to sort that record out. We will take tough action on welfare fraud, and we will not give up on those who can work and make a contribution, because we understand that when the sick can get treated and when every child of every background has the best chance to learn, that is not just good for them and their families but for the economy as a whole.

Thirdly, this Budget put in place help with the cost of living for millions: a rising minimum wage with extra help for young workers, fuel duty frozen, carers allowed to earn more, the triple lock protected, the household support fund extended to help the poorest, and lower deductions from universal credit. Those are the choices that we made—real help for millions of people.

Finally, we reject the path of decline for investment that the Conservatives were planning. They wanted to cut public investment by a third. That was the right hon. Gentleman’s plan—to once again cut back on the house building, schools, hospitals and transport projects that the country needs. That is a path of decline that has been chosen too often in the past. The Tories do not yet have a leader, and the only policy to come out of their leadership contest so far is to cut maternity pay, but on the question of investment, they do have a position. Budgets are about choices, and yesterday they chose: the former Prime Minister, the right hon. Member for Richmond and Northallerton (Rishi Sunak) railed against our new investment rule, and more Conservative Members have spoken out since. What does that mean their position is? New money for housing—opposed. New money for schools—opposed. New money for potholes—opposed. New money for research—opposed. Investment in the future itself—opposed by the Conservative party. I understand the perils of opposition. We have had long enough experience of it, but if the Conservatives really want to run around the country opposing every new investment over the coming four or five years, be our guests.

Yes, this Budget was a big choice, and in opposing the investments within it, the Conservatives have made a big choice too. We will remind them of it, project after project, year after year. They wanted to lock us into the world that voters rejected just four short months ago.

Iran-Israel Update

Alicia Kearns Excerpts

Monday 15th April 2024 Commons Chamber

[Mr Speaker]

I call the Chair of the Foreign Affairs Committee.

[Alicia Kearns (Rutland and Melton) (Con)]

My condolences, Mr Speaker, on the loss of your father.

This remains a dangerous moment, yet over the weekend we saw a demonstration of unity and purpose. We saw the depth of will for normalisation and for a secure future for all peoples of the middle east. Restraint is vital if we want to build on the momentum to get hostages home to their families and to get improvements to continuing aid, but to better protect our people, will my right hon. Friend commit to launching with our allies a new consensus on Iran and a new effort—with combined diplomatic, military and wider expert areas—to limit the extent of the atrocities of Iran? We need to end the compartmentalisation of threats when we deal with Iran; we must deal with it as one, whether on its nuclear ambitious, the arming of the militia, femicide or transnational repression. Only with a new consensus will we see that progress, so will he please commit to leading that internationally?

[The Prime Minister]

I can give my hon. Friend that commitment. That was exactly the subject of our discussions among the G7 leaders yesterday. She mentions nuclear. Iran’s nuclear programme has never been more advanced than it is today; it threatens international peace and security. There is absolutely no justification, at a civilian level, for the enrichment that we are seeing and which the International Atomic Energy Agency has reported in Iran. I want to reassure her that we are considering next steps on the nuclear file with our international partners, and we are committed to using all diplomatic tools available to ensure that Iran never develops a nuclear weapon, including using the snapback mechanism if necessary.

Oral Answers to Questions

Alicia Kearns Excerpts

Wednesday 7th February 2024 Commons Chamber

[Alicia Kearns (Rutland and Melton) (Con)]

I give my heartfelt thanks to the Prime Minster for his support for our Melton, Harborough and Stamford villages following the recent devastating flooding. Tens of homes, farms and businesses in Rutland were also devastated, but our county is in effect excluded from ever receiving support in the future due to the arbitrary floor currently in place. Flood support should be based on the most affected or a percentage of population, but Rutland must have 1,000 times more flooding than next-door Lincolnshire for us ever to access support. Will my right hon. Friend please give a meeting to me and my right hon. and learned Friend the Member for South Swindon (Sir Robert Buckland) to discuss this important issue?

[The Prime Minister]

I extend my sympathies to all those impacted by the recent storms and flooding. We are investing record sums in flood defence across England and a recovery support framework is in place for families and businesses in every area that has experienced exceptional flooding. I know that my hon. Friend is in touch with Ministers in the Department for Levelling Up, Housing and Communities about how those schemes affect her constituency, but I will ensure that she gets the correspondence and meetings that she needs to deliver for her local communities.

Action Against Houthi Maritime Attacks

Alicia Kearns Excerpts

Tuesday 23rd January 2024 Commons Chamber

[Mr Speaker]

Just to help the House, some people were late, and we are only going to run this for an hour, so please try to help each other by being as quick as you can. I call the Chair of the Foreign Affairs Committee.

[Alicia Kearns (Rutland and Melton) (Con)]

I welcome the airstrikes, which were conducted solely to re-establish freedom of maritime movement. However, there are a number of Iranian proxies and allied groups operating across the middle east, and the hand of Iran is clear in their activities. Iran is the fundamental threat to UK security and to stability in the region. What is the strategic approach and intent to comprehensively reduce the threat that we face from all the proxies and allies, so that we do not end up playing whack-a-mole? Have we seen any opportunism from al-Qaeda in the Arabian Peninsula or Daesh, who are also on the ground in Iran? Finally, as the Prime Minister touched on Gaza-Israel, please may I reiterate my request for the UK to launch a contact group for Palestine, so that we can launch track 2 negotiations to get some progress towards stability and a two-state solution?

[The Prime Minister]

The behaviour of the Iranian regime, including the actions of the IRGC, poses a significant threat to the safety and security of the United Kingdom and our allies, particularly given Iran’s direct threats against people here in the UK, as well as its destabilising influence in the region. We are alive to the threat, which is why we have already sanctioned more than 400 Iranian individuals, including the IRGC in its entirety. The National Security Act 2023 provides new measures for our police and security services to counter the hostile influence that we see.

The Foreign Secretary spoke to his Iranian counterpart last week, and we will continue that diplomacy this week. As I pointed out in my statement, we have previously interdicted the supply of Iranian missiles being smuggled to the Houthis, last year and the year before. We need to ensure that we work with our allies to do that, because the flow of those weapons to the Houthis is critical to their ability to carry out these attacks. Working with our allies, we should try to do everything we can to stop that.

Israel and Gaza

Alicia Kearns Excerpts

Monday 16th October 2023 Commons Chamber

[Mr Speaker]

I call the Chair of the Foreign Affairs Committee.

[Alicia Kearns (Rutland and Melton) (Con)]

Saturday’s terror attack on Israel constituted crimes against humanity—crimes so heinous that they violated our understanding of the depths of human depravity. That depravity continues today, as innocents remain held hostage by Hamas terrorists and their patrons, the state of Iran.

Israel has a legitimate right to self-defence and to defeat Hamas. We can support Israel and grieve with its people while recognising that how a counter-terrorism operation is conducted matters. It matters because Israel’s actions as a rule-of-law nation, and our words as its friend, shape our ability to be a legitimate arbiter in future conflicts and to have the right to call out abusers such as Russia. It matters because although there is an imperative to defeat Hamas in the immediate term in order to secure Israel’s future, how they are defeated will shape the region’s future, and because the people of Gaza are not Hamas—1.2 million children bear no collective guilt for Hamas’s terror.

So today I repeat my call for the creation of a special envoy for the middle east peace process. Will my right hon. Friend tell the House more about what actions are being taken to prevent conflict and loss of life on the west bank and in East Jerusalem? When will we finally proscribe the Islamic Revolutionary Guard Corps?

[The Prime Minister]

With regard specifically to the west bank, this is something about which I spoke to Mahmoud Abbas, the President of the Palestinian Authority this morning. I also spoke yesterday to His Majesty the King of Jordan. We discussed the measures that are necessary and the support the UK can provide to ensure the strong stability of the west bank. No one wants to see the situation escalate. I assure my hon. Friend that we are in active dialogue with both partners to see how we can help bring that stability to the west bank. Indeed, it is something I will also continue to discuss with Prime Minister Netanyahu. It is important that the west bank remains calm, and that is what we will help to bring about.

G20 Summit

Alicia Kearns Excerpts

Monday 11th September 2023 Commons Chamber

[Alicia Kearns (Rutland and Melton) (Con)]

Let me start by putting on record my thanks to you, Mr Speaker, and the parliamentary security and intelligence services for your personal support over the last few months.

Here today, we know that across this House a real priority for Members is the safety of British nationals arbitrarily detained abroad. The Foreign Affairs Committee has recently released a report on that matter. It cannot be right that consular access is withheld on the basis of diplomatic silence being in place. I know that my right hon. Friend raised the case of Jagtar Singh Johal with the Indian Prime Minister at the weekend, but we are not clear on the outcome of those discussions. Will the Government finally officially call for his release? The UN has accepted that he is arbitrarily detained. Does the Prime Minister believe that he has been unfairly treated or even tortured while being held?

[The Prime Minister]

We are committed to seeing Mr Johal’s case resolved as soon as possible. We continue to provide consular assistance to him and his family, and have raised concerns about issues including consular access to Mr Johal, the judicial process and reports of mistreatment, with the Indian Government on multiple occasions, including myself with Prime Minister Modi just this weekend.

Oral Answers to Questions

Alicia Kearns Excerpts

Wednesday 19th July 2023 Commons Chamber

[The Prime Minister]

I thank the hon. Gentleman for his question, and I will leave him and the Labour party to debate the finer points of policy between them. On the substance, because it is important, the track record demonstrates that we are making a difference and reducing child poverty. There are now 400,000 fewer children in poverty than there were in 2010, as a result of the actions of this Government—notably, by moving their parents into work, because that has the single best benefit for those children. That is the right policy and it is one that we will continue to deliver.

[Alicia Kearns (Rutland and Melton) (Con)]

Conversion therapy is quackery packaged up by bigots seeking to promote their hate and to profit from it. On 19 January, a Minister promised at the Dispatch Box to bring forward a ban against conversion therapy and ensure that pre-legislative scrutiny was completed before the end of this parliamentary term. How does my right hon. Friend plan to continue that? May I also welcome his statement today and thank those LGBT veterans who are with us? We are so grateful for their service and we seek this ban also in their name.

[The Prime Minister]

I thank my hon. Friend for her question. I agree with her that conversion therapy is an abhorrent practice, and we need to do everything we can to stamp it out wherever we see it. The Minister for Women and Equalities, my right hon. Friend the Member for Saffron Walden (Kemi Badenoch), will continue to keep my hon. Friend and the House updated on her progress.

G7 Summit

Alicia Kearns Excerpts

Monday 22nd May 2023 Commons Chamber

[Mr Speaker]

I call the Chair of the Select Committee.

[Alicia Kearns (Rutland and Melton) (Con)]

I applaud the Prime Minister’s recognition that the Chinese Communist party is the greatest threat we face and that we must de-risk to keep our people safe. We will engage when in the global interest, but we cannot allow the Chinese Communist party to cast defence as escalation. Can I urge my right hon. Friend to consider three tests when it comes to de-risking? The first is transnational oppression. We must be strong at home if we wish to deter abroad. The second is techno-authoritarianism. We must prevent reliance on CCP technology that is stealing our data and will undermine us. Finally, we must uphold the international rules-based system, because the CCP is trying to undermine and capture it. Can I also urge the creation of an economic Ramstein on Ukraine that mirrors that of the military, because we have failed to suffocate the financial war machine that is allowing Putin to continue with this war? The Prime Minister can lead that with my right hon. Friend the Chancellor. It would make a meaningful difference and end this war sooner.

[The Prime Minister]

I thank my hon. Friend for her questions and for her the work on these issues in particular. With regard to her latter question, at the G7, we announced more sanctions particularly targeting the military-industrial complex of Russia’s war machine. I think that will go some way to addressing her concerns and her point, but there is of course more to do and we look forward to engaging with her on that. With regard to China, her points are all well made. I look forward to discussing with her how we can strengthen the new anti-coercion platform that we have established—I know she has talked about that in the past—where we, working with other countries, can make an enormous difference to more vulnerable nations’ ability to stand up to economic coercion, whether from China or other hostile states.

Oral Answers to Questions

Alicia Kearns Excerpts

Wednesday 29th March 2023 Commons Chamber

[The Deputy Prime Minister]

I am not sure I got the full extent of the question. The reality, as the hon. Gentleman can see with the energy price guarantee, the free childcare and the national living wage, is that we are supporting everyone in this country, particularly those in the lowest paid jobs.

[Alicia Kearns (Rutland and Melton) (Con)]

This week, Rutlander Andrew Osborne solo-sailed 3,000 miles across the Atlantic ocean, taking 78 days and raising £142,000 for Cardiac Risk in the Young, after his daughter Amy died in her sleep aged 25, being discovered by her sister the next morning. Twelve young people a week die of an undiagnosed heart condition. What are we doing to increase the diagnosis of heart conditions in children and young people?

[The Deputy Prime Minister]

I thank my hon. Friend for raising this question. Our heartfelt condolences go to Amy’s family. Likewise, our congratulations go to Andrew on his incredible feat. We all want to see an end to 12 young people a week dying of undiagnosed heart conditions. There is more resource and research going in, and I will arrange for a meeting between my hon. Friend and the relevant Minister.

Security of Government Devices

Alicia Kearns Excerpts

Thursday 16th March 2023 Commons Chamber

[Alicia Kearns (Rutland and Melton) (Con)]

Today’s ban is a welcome precautionary move. I congratulate my right hon. Friend because he did make the right decision on Huawei and, again, on surveillance, and, again, today. None the less, TikTok’s ability to act as a data Trojan horse is gravely concerning and the myriad data-exploiting technologies on our streets and in our pockets require a national discussion. That national discussion can start with the Procurement Bill. I welcome the right hon. Member for Ashton-under-Lyne (Angela Rayner) raising the amendments that I have laid to that legislation. We must protect ourselves from hostile states spyware. May I urge my right hon. Friend to personally put an eye to those? Hostile states will go to extreme lengths to spy on us. That is their job, and our job is to make sure that we protect ourselves and our people. Tackling techno-authoritarianism must be one of our foremost priorities if we are to deliver on the resilience piece that the Prime Minister set out in the integrated review.

[Oliver Dowden]

As ever, my hon. Friend raises some very important points. On the Procurement Bill, of course we continue to engage with Members on both sides of the House as we approach Report. I know that Ministers in my Department are meeting the hon. Lady about the amendments that she proposes. In respect of this legislation, we have taken a very big step forward. For the first time, contracting authorities across the public sector can reject tenders from suppliers that pose a threat to national security, including where that threat arises from a parent or subsidiary company, so we are both lowering the bar and increasing the power. We did not have any of those powers when were in the European Union, so this is a significant step forward and I am very happy to look at further amendments that can build on those proposals.