Income Tax (Charge)

Angus MacDonald Excerpts

Tuesday 5th November 2024 Commons Chamber

[Mr Angus MacDonald (Inverness, Skye and West Ross-shire) (LD)]

It is appropriate that I am following the words of the hon. Member for Stafford (Leigh Ingham) about the palliative care sector. I am grateful for the substantial settlement for the NHS, especially as Scotland will get £3.4 billion, which will make an enormous difference. The Belford hospital in Fort William has been condemned, effectively, for 25 years. Unfortunately, I have very little confidence in the Scottish Government to spend that £3.4 billion well.

I recently spoke with Kenny Steel, the chief executive officer of Highland hospice in Inverness, who told me that the changes to employer national insurance are expected to add an unaffordable £177,000 to its annual salary bill. That comes on top of the need to remain competitive with the 5.5% salary increase awarded to NHS staff. Marie Curie anticipates that the NI increase will cost it £3 million a year—money it does not currently have.

The Government’s planned increase in employer NI contributions to 15% from April 2025 is an impossible amount for the palliative care sector. If those essential care providers cannot absorb the additional cost, their survival is at risk. If hospices fail, the patients they support will inevitably turn to the NHS, placing greater pressure on an already overstretched system. If the Minister could listen to me and put his phone down for a moment, I would be grateful—can you listen to me, just for a second?

[Madam Deputy Speaker (Judith Cummins)]

I remind the hon. Member not to address other people in the Chamber as “you”, as he is actually addressing me. Please continue.

[Mr Angus MacDonald]

Palliative care charities are essential partners that deliver compassionate, dignified end-of-life care on behalf of, and much cheaper than, the NHS. Organisations that provide healthcare for the NHS should be treated like NHS bodies in these decisions. Increasing NI contributions for hospices but not the NHS places those providers in a critical financial position, and firmly indicates that the Government regard organisations such as Highland hospice as second-class.