Amendment of the Law

Baroness Primarolo Excerpts

Wednesday 23rd March 2011 Commons Chamber

[Stephen Williams (Bristol West) (LD)]

I understand that the bank levy is about £2.5 billion a year. The Chancellor announced recently that the levy, which was £1.8 billion in its first year, would be increased to £2.5 billion, and today it has been confirmed that the banks will not benefit from the reduction in corporation tax and that the levy will be increased.

Another issue connected with the banks is what we should do with our ownership, as taxpayers, of Lloyds Banking Group and the Royal Bank of Scotland. That is an issue with which the Government will have to deal at some point in the next few years. A couple of weeks ago I published a pamphlet, with CentreForum, which suggested that the shares should be given to the people so that the state could recover the £67 billion that was invested in the banks bail-out in 2008. The citizen should enjoy the upside: the citizen should enjoy the growth in those shares in the future. I hope that my Treasury colleagues will look favourably on that proposal as they decide what to do with the legacy from the last Government.

The Liberal Democrat-Conservative coalition Government have dealt with Labour’s toxic legacy, but Labour Members seem to be still in denial about the problem. They have not acknowledged its existence, let alone shown any sign of contrition for their role in the deficit. The Leader of the Opposition produced some very good jokes today—I will give him that—but he could at least have made an apology. We have started to clear up the mess. Today’s Budget sets in train a plan for a Britain that is fairer, with a stable economy and a low-carbon future. It recognises the need to help households with their budgets now, and to give them confidence that the economy and their country are back on track.

Several hon. Members rose—

[Madam Deputy Speaker (Dawn Primarolo)]

Before we move on, I have to announce the result of a Division deferred from a previous day. On the question relating to a stability mechanism for member states whose currency is the euro, the Ayes were 310 and the Noes were 29. Therefore, the Ayes have it.

[The Division list is published at the end of today’s debates.]

I shall call Mr Dan Jarvis next, who will be making his maiden speech, and I remind hon. Members of the normal courtesies that should be extended when hearing a maiden speech.

--- Later in debate ---

[Mr Amess]

We do not, and I find it hypocritical that although Labour Members used to speak about cuts before the general election—I can only talk about those who were here before the election—we no longer hear about the cuts they were going to make. It is as though the Conservatives and Liberals rejoice in making cuts. If anyone wants to know why the country is in a mess, I can tell them it is because the Labour party took away regulation from the Bank of England and gave it to an organisation that was not fit for purpose. Also, as one of my colleagues said during Prime Minister’s questions, Labour stupidly sold off our gold reserves.

I will go further: in all his Budgets the then Chancellor of the Exchequer would make announcements about spending in terms not of millions but billions, and we in opposition used to wonder how it could be funded. We now know that it could not be funded and that we were spending money we never had. I will never forgive Tony Blair—[Interruption.] Hon. Members might huff and puff, but I am entitled to say this because it was Tony Blair who got me to vote for the war in Iraq and I will never forgive him for having told us a pack of lies at the Dispatch Box.

[Madam Deputy Speaker (Dawn Primarolo)]

Order. I know that the hon. Gentleman feels very passionately about the subject, but perhaps he would like to temper his language and, in particular, withdraw the accusation of lying.

[Mr Amess]

I entirely accept your ruling, Madam Deputy Speaker. I thought we could make remarks about people who were no longer Members of Parliament.

[Madam Deputy Speaker]

The hon. Gentleman can make remarks about people who are not Members of Parliament. I am touching on his language, and the convention in this House on the moderate use of language and on allegations against people who are unable to correct what has been said.

[Mr Amess]

I hope that Tony Blair will correct what I have said when he again gives evidence, but I blame him for the way he completely misled the country on any number of issues. Not the least part of his lasting legacy is the fact that he destroyed the House of Commons, because this is certainly not the place that I entered in 1983. I further blame the last Prime Minister, who was Chancellor of the Exchequer. New Labour Members come into the Chamber and castigate Government Members for what is going on; what on earth were they standing for in the general election campaign in May?