Spending Review 2020 Debate

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Department: Cabinet Office
Thursday 3rd December 2020

(3 years, 5 months ago)

Grand Committee
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Baroness Warsi Portrait Baroness Warsi (Con) [V]
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My Lords, I declare an interest, as shown in the register. I start by lending my voice to the concerns of other noble Lords about the Government’s decision to step away from the 0.7% commitment on international aid. It was a flagship policy of the coalition Government and was built on very strong Conservative principles. The current approach is short-termist. While it is politically popular with some at home, it will have a damaging impact on brand Britain at a time when we need a strong brand more than ever.

Two minutes does not allow me time to respond to both matters addressed by the Chancellor in the review, less still those matters not addressed. I shall focus on only one issue: the predicted unemployment figures. The Office for Budget Responsibility’s predictions do not make for easy reading, with rates predicted to be from 5% right up to, potentially, 11%. While I welcome the £4.3 billion package of measures which the Government have announced to help people back into work, much of it is aimed at the long-term unemployed. It is not a response to those who have lost, or continue to lose, their jobs during this pandemic-and that will accelerate once the furlough scheme comes to an end.

So I have three questions today for my noble friend. First, what will be the impact of Brexit on the significant rise in unemployment predicted by the OBR? Secondly, how much of the £4.3 billion announced is directed towards those who have lost their job during their pandemic? Thirdly—if my noble friend does not have the answer, perhaps he could write to me—the new Restart scheme, which is being funded to the tune of £2.9 billion, appears to require a minimum 12-month period of unemployment before it can be accessed. Is this correct? It may well be that the guidelines have changed. Those are the only issues I want to deal with today.