Budget Resolutions and Economic Situation

Anthony Browne Excerpts

Wednesday 3rd March 2021 Commons Chamber

[Anthony Browne (South Cambridgeshire) (Con)]

I do not normally start my speeches by citing former Labour Ministers in support, but I have noticed that Frank Field, Lord Field, has issued a tweet saying:

“Best budget in my 42 years in politics.”

I always thought he was very wild that Mr Frank Field.

Actually, the ultimate accolade came from the Leader of the Opposition. I listened to his speech from beginning to end, and he had nothing to say—no line of attack. In fact, it is not really surprising. I have been struck time and again since coming here how little the Labour party has to say about growth. The public sector has helped pull us through this crisis, and we have all thanked it deeply, but it is the private sector—businesses, private enterprise—that will rebuild the economy, taking us out of it. Only the private sector can create the jobs that we need and pay the taxes that we need to pay for public services.

This is a Budget for rescue, a Budget for recovery and a Budget for repair. As a Budget for rescue, it is absolutely right that the Chancellor has continued support for people and businesses until the pandemic is well and truly over. His actions have saved 1.8 million jobs, probably more than any other Chancellor in history. As a Budget for recovery, I called for a Budget for growth and that is exactly what this is. There is a whole package of useful measures, such as the Help to Grow scheme, subsidies for apprenticeships and the three-year carry-back. The super deduction for investment is inspired. It will lead to a tidal wave of investment, creating jobs and growth.

In terms of repair, we have a moral duty to balance the books of this country. It would be a betrayal of future generations not to live within our means. For a low-tax Conservative such as me, seeing tax rises I like is as rare as hen’s teeth, but even fiscal conservatives have to admit that sometimes taxes have to rise, and now is such a time. There is no fairer way to do it than to freeze the threshold on income tax and to raise corporation tax on highly profitable companies. As the Office for Budget Responsibility figures show, these measures will lead to the stabilisation of the national debt in 2023—just two years’ time. That is a remarkable achievement and incredibly reassuring.

The Chancellor did not say much about this in his speech, but it is also very much a green Budget, with the retail green bonds; the infrastructure bank, largely funding green projects; the green mandate for the Bank of England and its Monetary Policy Committee; and a review to get London to be the world leader in carbon offset markets. I fully welcome that. There is a lot to like in this Budget and nothing to dislike in it. I recommend it to the House.