Public Health Restrictions: Government Economic Support

Baroness Warsi Excerpts

Thursday 15th October 2020 Lords Chamber

[Baroness Penn (Con)]

My Lords, as I explained to the noble Baroness, Lady Kramer, the support to people’s incomes does not come only from the Job Support Scheme; for those on low incomes, universal credit is designed to go up in value as people’s incomes come down, meaning that those on the lowest incomes can expect to receive about 88% of their incomes. On the international comparisons, the figures that the noble Lord quoted for Germany are correct. I am happy to write to him with some other comparisons, so that he can see how we are doing compared with other countries.

[Baroness Warsi (Con)]

My Lords, I congratulate the Government on what has been a substantial and comprehensive series of packages. I declare an interest as set down in the register. Will my noble friend the Minister comment on what may happen months from now? We have seen Governments across the world now indebted, so what conversations, if any, are taking place with our European partners, and, more broadly, in relation to the impact that this level of indebtedness will have on the global economy?

[Baroness Penn (Con)]

My Lords, I do not want to speculate too much about what may happen months into the future. That seems a long time away from where we are now, given the pace of change. We need to distinguish between the short term, when we must do everything that we can to support the economy while we fight the pandemic, and the medium term, when we will need to get public finances back on a sustainable footing. My honourable friend the Chancellor announced today the work at G20 level of international co-operation for the economic response to this crisis.