Oral Answers to Questions Debate

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Department: Wales Office

Oral Answers to Questions

Beth Winter Excerpts
Wednesday 9th February 2022

(2 years, 9 months ago)

Commons Chamber
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The Secretary of State was asked—
Beth Winter Portrait Beth Winter (Cynon Valley) (Lab)
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1. What recent steps the Government have taken to tackle the impact of inflation on households and businesses in Wales.

Nick Smith Portrait Nick Smith (Blaenau Gwent) (Lab)
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2. What recent steps the Government have taken to tackle the impact of inflation on households and businesses in Wales.

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Simon Hart Portrait The Secretary of State for Wales (Simon Hart)
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The Chancellor announced a £9.1 billion energy bills rebate last week. This includes a £200 energy bill discount for households across the UK, including Wales, as well as an additional £175 million to the Welsh Government.

Beth Winter Portrait Beth Winter
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On Monday, this Conservative Government imposed a real-terms cut to social security benefits and pensions of approximately 4%. This is on top of the hike in national insurance contributions, the rise in the energy price cap and cuts to universal credit and working tax credit, which the Bevan Foundation in Wales has estimated will take approximately £286 million out of the Welsh economy. People in Wales are genuinely fearful of the impact that these cuts are going to have on living standards, so I ask the Secretary of State: how can he justify voting for these measures, which will not only exacerbate existing poverty but drive more and more people into hardship and poverty?

Simon Hart Portrait Simon Hart
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The hon. Lady has constituents, as we all do, who are of course concerned about the cost of living challenges ahead, but I hope I can reassure her by naming, as I have already done, a few of the measures we are putting in place. They include the substantial additional money via the Barnett formula for the Welsh Government, but also the universal credit taper is worth £1,000 per household, the increase in the living wage is also worth £1,000 a year for those in receipt of it and there are the warm home discounts. Of course, the main thrust of what we are trying to do is create the right circumstances for a jobs-led recovery.