(3 weeks, 2 days ago)
Commons ChamberThe Government recognise the significant pressures that all councils are facing. We are looking at consolidating funding streams for local authorities into the local government finance settlement, and we will work towards implementing our commitment to a multi-year financial settlement.
I thank the hon. Gentleman for his question. This is an issue that resonates right across the House, with so many of us hearing terrible stories at our surgeries about the lack of support for some of the most vulnerable children in society. I know that it is a priority for the Education Secretary too, and we will set out more detail on departmental settlements in the Budget tomorrow.
(2 months, 1 week ago)
Commons ChamberFuel poverty is an enormous issue in my constituency due to a combination of demographics, geography, the housing stock and, indeed, living standards. I rise to speak on behalf of the many hundreds of my constituents who have written to me to express their deep concern about the Government’s policy. I do not have time to read out extracts from their very moving emails, but I know that Judy, Kenneth, Pat, Tom, Robert and Gwen are all deeply concerned about the impact that it will have. They have reported their health issues, their partners’ disabilities, and the fact that they are just over the limit and will not be able to access the winter fuel payment. That will force them into the classic, depressing choice between heating and eating that this country must avoid.
I have voted against the Government’s policy today for three reasons. First, it is socially regressive and will increase poverty among about 2 million people, nearly 1 million of whom ought to be getting pension credit. The Labour party’s efforts are nowhere near fast enough to avoid increased poverty this winter.
Secondly, the policy is economically innumerate. It will not save the money that the Government argue it will save. There are far better ways to save that money, and to fund the action that is certainly needed to support our public services.
Thirdly, the policy is, frankly, politically inept. I really cannot believe that this Government have spent political capital on making such an unfortunate and unjustifiable political decision.
The winter fuel payment is not, and never was, a perfect policy. I have some sympathy with Members who have spoken today about the inequity of the inclusion error, whereby those who have significant wealth were still receiving the payment, but that has been replaced by a policy with an enormous and dangerous error of exclusion for those 2 million people who will no longer get the support that they need.
Of course millionaires do not need the winter fuel payment, but does the hon. Member agree that there must be support for pensioners who really need it, rather than this cruel cliff edge, especially for those living in rural areas such as my constituency who are not connected to the mains gas grid?
Mid Norfolk is a profoundly rural constituency, with 130 villages and four towns, and in that very rural constituency, as with all rural areas in this country, people are paying a surcharge because of energy costs and because of rurality. There will be colder weather, and many of my houses are not on the gas grid, while rural areas traditionally have lower incomes and we have an elderly population.
The Treasury, very helpfully—it is a shame Ministers did not read it—did a piece of work last year looking at the risks of rural poverty and the higher risk of rural areas falling into real poverty. The Treasury’s own figures showed that the average household at risk of poverty in rural areas needs an extra £800; or in layman’s terms, there is a two and a half times—or 250%—higher risk of rural houses falling into rural poverty. So I find it completely extraordinary that Labour, which in government professes to care about poverty and berated my party when in government about the risks of rural poverty and of pensioner poverty, has decided as their first act to punish people in rural areas.
It is because of those rural risks that, earlier this year, I and a number of colleagues set up a fair funding alliance, supported by Action with Communities in Rural England, the Countryside Alliance and rural bodies. Higher fuel and energy prices are hitting rural areas, and we would have hoped that this Government might have listened. I am proud that the Conservative party in government upgraded pensions, protected the triple lock and took 200,000 pensioners out of poverty.
The former Member for Thornbury and Yate introduced the triple lock, which was actually a Liberal Democrat policy. Would the hon. Member care to correct the record on that point?
It was my good friend the now noble Lord Willetts in a coalition Government with the Liberal Democrats, and I will happily debate with the hon. Member some of the brave decisions we took.
The point is that this party, the Conservative party, protected pensioners, protected the triple lock and lifted 200,000 people out of poverty, but we see this Labour Government make this decision. The Minister put it very clearly earlier. This is an attack on people who own their own homes, people who have retired in rural areas and those just over the threshold, and in Labour world they are millionaires. This will not be forgotten by people in my constituency, the low-income rural pensioners who have saved up to be able to afford their own home and are now being clobbered. It is unfair, it is unjust, it is unjustifiable, it is unprecedented, and I urge and beg Ministers to think again.
(4 months ago)
Commons ChamberThank you, Madam Deputy Speaker. It is a pleasure to see you in the Chair.
It is a real pleasure to contribute to the debate on behalf of the Liberal Democrats, not just because I am speaking on behalf of so many more of them than I used to, but because it gives me an opportunity to welcome the Chancellor of the Exchequer to her place and express my personal congratulations on becoming the first woman in the UK’s history to hold the position. I am personally delighted. I spent many years working in banking and finance, and I know how male-dominated those industries still are. I wish her well in her new role and look forward to working with her over the coming Parliament. The Liberal Democrats will be vigorous in scrutinising her plans, but we will always work in the national interest, and I can assure her of the support of the Liberal Democrats on all those matters on which we can agree.
I am sure that one of the things on which we can certainly agree is that the right hon. Lady and her colleagues have received a dismal inheritance from the departing Conservative Administration. The numbers reveal a dispiriting picture of low growth, high interest rates and a record fall in living standards delivered by an out-of-touch and incompetent Conservative party that took people for granted for years. Our constituents see this situation reflected in the increases in their mortgage payments, the hike in their energy bills and the prices they pay at the tills for their weekly shop. They see it in public services that are in a state of crisis and an NHS that is failing to deliver the care they need. The Liberal Democrats welcome the seriousness with which this King’s Speech focuses on stability, reinvesting in our crippled public services and growing the economy.
We welcome measures such as the introduction of an industrial strategy council to co-ordinate policy on economic growth, but the immediate and pressing problems that our constituents are facing in their everyday lives cannot just be addressed by centralised, top-down institutions run from Whitehall. Our economy needs to grow from the bottom up, bringing prosperity to every community, taking away the barriers to entry for small businesses and enabling individuals across the country to make the most of their skills and talents. The Liberal Democrats want urgent measures introduced to give immediate support to families and small businesses.
While out on the doorsteps during the general election campaign, I and my 71 colleagues heard a clear message from our constituents that their biggest priority was fixing the NHS. We are here because we promised to fight hard for a better NHS for our constituents and for communities across the country. That is why we are calling for the Chancellor to immediately draw up a Budget for health and social care. We cannot deliver economic growth without fixing the crisis in our NHS and in social care. NHS waiting lists are at an all-time high; it can take weeks to see a GP and it is now almost impossible to see an NHS dentist. Everyone deserves access to the care they need when they need it and where they need it. A successful health and social care system is fundamental to a fair society and our country’s prosperity.
The failures of the Conservative Administration led to a dramatic increase in the number of people experiencing long-term sickness conditions and the Liberal Democrats will continue to push for public service investment to help reduce NHS waiting lists to get people back to work.
Does my hon. Friend agree that reforming social care should be one of the most urgent priorities of this Government? The Royal Cornwall hospitals NHS trust recently announced that £26 million a year is spent on patients who are medically well but unable to be discharged due to a lack of social care packages.
My hon. Friend is right, and it is wonderful to see him in his place; the people of North Cornwall will be well served by his championing of social care, which was front and centre of the Liberal Democrats manifesto in the general election.
The most direct way to alleviate poverty is to increase the money paid to the poorest households. We know that our fellow citizens who are living in the severest poverty are likely to be families with small children. Growing up in poverty affects children’s educational chances and is likely to impact their physical and mental health, holding them back from achieving their true potential. Taking immediate steps to tackle child poverty should therefore be a priority. We believe that removing the two-child cap is the most cost-effective way of immediately lifting 500,000 children out of poverty, while helping to make costs more manageable for parents. That would have a direct benefit to families struggling with the cost of living crisis. Not only do we have a moral obligation to change this unnecessary policy but it is the most cost-effective way of alleviating poverty with a broad range of economic advantages, including supporting more parents back into the workforce. So I urge the Chancellor of the Exchequer to remove the two-child limit on social security payments in her Budget to ensure that all families who need it receive immediate reassurance and support.
But families of all sizes are suffering under the cost of living crisis and desperately need help. Our schools are increasingly having to battle the effects of poverty to ensure children are able to attend school and have the best chance of reaching their potential, and too many children are distracted from their lessons because they have not had enough to eat. The Liberal Democrats set out plans in our manifesto for free school meals for all children living in poverty, with an ambition to extend them to all children once public finances allow. The Liberal Democrats are calling on the Government to consider funding free school meals as a priority to alleviate the pressure on the finances of the families who are struggling the most. This will also contribute to positive educational outcomes that will benefit us all in the future.
The Liberal Democrats welcome many of the measures in the King’s Speech that aim to boost economic growth, and we support the Government’s objective to make that a priority. We welcome moves to boost stability and provide strategic leadership via an industrial strategy council and to increase investment through pension reform. However, our small businesses and local high streets need immediate support, and the Government need to do more to ensure economic growth can reach every part of the United Kingdom and that small businesses and entrepreneurs can quickly rediscover the confidence that they need to invest after years of Conservative chaos and mismanagement. Liberal Democrats want to see more direct support which will impact local community businesses. We believe we need swift action specifically to tackle high energy costs and we continue to call for business rate reform.
A new Parliament presents a real opportunity to begin to properly rebuild our trading relationships with Europe. From speaking with many small business owners I understand the pressures and limitations that current trade deals with Europe pose to businesses. We must tackle the arduous legislation around importing and exporting goods, which significantly limits the opportunities for small businesses to grow. The Liberal Democrats have a comprehensive plan to rebuild trust and co-operation with Europe, and we understand that to be a crucial aspect of the support that businesses urgently need. We welcome the Government’s acknowledgment of the need to reform the apprenticeship levy. However, we would like to see them go further and replace the current scheme with a broader and more flexible skills and training levy. We hope that the Government will join us in encouraging the take-up of apprenticeships, particularly for young people, and support our calls to guarantee that they are paid at least the national minimum wage by scrapping the lower apprentice rate. We understand the broad economic benefits of supporting the development of skilled workers and are optimistic about the advantages that can bring to business.
The recent years of chaos and irresponsible Conservative administration have left a substantial challenge for the new Government to tackle. We do not underestimate the work lying ahead to get the economy back up and running, to nurture an environment that will allow businesses to thrive and to restore the public services that provide care for people when they need it. My Liberal Democrat colleagues and I will hold the new Government to account to ensure that they deliver on the promises outlined by His Majesty on Wednesday as we work to rectify the damage done by the Conservatives: rebuilding our economy, supporting individual communities and small businesses, and urgently investing in health and social care.