Budget Resolutions

Caroline Johnson Excerpts

Tuesday 30th October 2018 Commons Chamber

[Mr Barry Sheerman (Huddersfield) (Lab/Co-op)]

The House of Commons Library tells me that I have listened to Budgets in the House 44 times, so I hope I am an experienced Budget evaluator. I always come to the Chamber to listen to the Budget, and I base my evaluation of its quality on two criteria. The first is the great global issues that we face, which for me are always the fragile planet, the environment, climate change and global warming, and the fact that the planet’s burgeoning population has to be fed, and fed sustainably. We also face the challenge of keeping the peace. Many of us thought that that could be taken for granted, but in the current global circumstances, keeping the peace has become a great concern for us all.

My second criterion for evaluating a Budget is what it will do for my constituents. I believe that I have a sacred duty to come here and represent my constituents, and to make sure that everything that I do—the contribution that my colleagues and I make in the House—adds to the welfare, health and prosperity of my constituents. Those are the twin criteria, and on both I believe that this is an uninspiring little Budget. It is lacking in passion, leadership and values. That is my sincere criticism of the Budget.

Let me go into a little more detail. I have been in the House at times when the country has been in great crisis. At a time of crisis, I have seen people whom one would have thought were pretty ordinary politicians suddenly stepping up to the Dispatch Box and showing the world that they had leadership quality, that they understood what was going on in the wider world, and that they could stand up to do the right thing. I take umbrage at the fact that a Chancellor of the Exchequer could stand in the Chamber yesterday and call the cataclysm of 2009 and the global meltdown of the world economy “Labour’s great recession.” I have to say that it must have been a very powerful Labour party and Labour Government who caused the world recession. What rubbish that the man who is supposed to be our Chancellor of the Exchequer could say such a thing—shame on him!

I saw Gordon Brown and Alistair Darling at that Dispatch Box, calm in the face of a hurricane in the world economy. They stood there and made the right decisions. They bailed out the selfish banks. They did what was necessary to save our country. This bunch over on the Government Benches should not tell us how to rise to our responsibilities. We showed leadership. We showed that we had the values. We worked incessantly to get this country back on track.

[Dr Caroline Johnson (Sleaford and North Hykeham) (Con)]

We understand that there was a global banking crisis, but is it not right that the Labour Government did not prepare the country for problems that might occur, given their chronic overspending of money that we just did not have, which left us in a great deal of debt when the recession happened?

[Mr Sheerman]

I hear what the hon. Lady says, but let us be serious. I recommend that she goes away and looks at a rather good book that I have recently read called “Reckless Endangerment: How Outsized Ambition, Greed, and Corruption Led to Economic Armageddon” by Gretchen Morgenson. Read it and learn it, because that was what we came through.

The Chancellor’s remarks yesterday did not really touch on many of the issues that affect my community. The fact is that we have a hospital in danger that suffers due to a private finance initiative scheme. All the Chancellor said was that Labour was responsible for PFI. I have been here long enough to know that the great charm offensive on PFIs was led by John Major. PFIs were the fashion among Members on all Benches. As Chairman of the Education Committee, I saw good PFIs and bad PFIs, but I also saw a lot of smart City types who danced rings around local authorities and local health authorities and gave them a rotten deal. That is the truth of PFIs—there were good ones and bad ones, but a lot of City spivs made a lot of money out of them. Nothing that the Chancellor said yesterday will rescue my local hospital and health trust from that burden.

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[Dr Caroline Johnson (Sleaford and North Hykeham) (Con)]

There is much to digest in the Budget, so I shall focus on only a few of the announcements that were made. In line with the theme of today’s debate, I shall start with those on health.

As a children’s doctor, I work on the frontline of the NHS. Throughout my career, I have become increasingly concerned about the number of young people with mental health problems. More than half of those problems start before the child is 14, and 75% have started by the time the child is 18, so early intervention is critical to try to avoid crises further down the line. I therefore welcome the Government’s announcement of £2 billion more for mental health, which will ensure that every school has a dedicated mental health team to tackle what is becoming an epidemic of eating disorders, depression and self-harm among young people. It is a welcome step as part of the Government’s commitment to develop parity of esteem for mental and physical health problems. More work needs to be done to identify the cause of these problems so that they can be tackled earlier.

As my right hon. Friend the Secretary of State for Health and Social Care thinks about how to spend the Government’s £20 billion increase for the NHS, will he consider how much money is given to children with life-threatening and life-limiting disorders? Many of their families struggle from day to day, so extra money to help to fund children’s hospices, as well as the availability of respite care, would be most welcome.

I have spoken in the Chamber previously about the challenges facing ambulance services in rural areas. My beautiful constituency of Sleaford and North Hykeham covers some 433 square miles. Ambulances have to rattle along lots of little tiny winding roads, at speed, to get to patients. Increasing the number of ambulances available to East Midlands ambulance service would help.

Ambulances do not just travel by land. Air ambulances provide an incredible service to our most unwell patients. They are funded entirely by philanthropy, and such services are under constant pressure to fundraise so that they can buy and maintain aircraft and pay for staff. I welcome the Government’s announcement of £10 million of capital funding for air ambulance trusts, which will contribute towards these life-saving services.

For ambulances on the ground, the challenge is not just distance but the road network along which they travel. The additional £28 billion investment in roads will represent the biggest single upgrade of the network since the expansion of the first motorways in the ’60s and ’70s. I will continue to campaign for extra money to complete the Lincoln bypass, and to improve the A46/A17/A1 junction and areas of the A1 and A15, so that roads in Lincolnshire are safer and we can travel more smoothly.

The money for potholes has been mentioned by other right hon. and hon. Members. Potholes are a big problem in Lincolnshire, so I am pleased that extra money will be spent on them, particularly as winter is coming.

I am glad that the Government are investing in our physical infrastructure, but in the 21st century, digital infrastructure is also extremely important. We rely on the internet more and more in our daily lives, so the lack of high-speed broadband in some rural areas can create a real sense of isolation. Whether for the person who cannot download their papers, the small-business owner who cannot submit their taxes online or the studious schoolgirl who cannot complete her homework on the online maths platform, a poor internet connection affects all aspects of work, family life and opportunity for rural constituents. I am therefore delighted that the Government are providing an extra £250 million for high-speed broadband in rural areas. It will be a welcome boost, if it is ensured that the money is directed towards connecting the remaining 5% to 8% who are not yet connected rather than towards getting faster speeds for those who already have a reasonable connection.

A Government’s first responsibility is always the protection of their citizens. As we mark the centenary of the end of the first world war, we remember the sacrifices that were made by many, and also remember the sacrifices made every day by our brave servicemen and women. I participated in the Royal Air Force branch of the Armed Forces Parliamentary Scheme, through which I met many service people at all levels. I heard about their concerns and worries, and about the pressures they were facing. They do an incredible job in the most challenging and, often, the most terrifying of circumstances. It is vital that we provide them with the support that they need, and the Chancellor’s announcement of an extra £1 billion for our armed forces will help to ensure that our armed forces can continue to operate at the very highest level.

Finally, I welcome the Government’s commitment to making work pay. Increasing the work allowance and decreasing the taper rate further for universal credit will help even more people into work. Some 1,000 more jobs are created in the UK every day, and we also have one of the lowest unemployment levels in Europe, which affects young people in particular. Young people in this country have a much better chance of getting a job than those in other parts of Europe, which is something of which we should be proud.

Furthermore, increasing the personal allowance to £12,500, which fulfils our manifesto promise a full year early, allows people who have gone out to work to keep more of what they earn to spend as they wish. The best stability that someone can have is a monthly pay packet, and this Government’s effort will ensure that a record number of people have that stability.

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[Fiona Onasanya (Peterborough) (Lab)]

It is a pleasure to follow my hon. Friend the Member for Sheffield Central (Paul Blomfield) in this important debate.

It is important that we pay attention to the fact that the Prime Minister announced the end of austerity, yet yesterday it was announced that austerity is “coming to an end”. Which is it and when will this be? Austerity was a political choice, not an economic necessity. How will the Government alleviate and redress the devastating impact of austerity? Austerity has not tackled the deficit; rather, the onus of who pays has been shifted to teachers, police and nurses. After eight years of this Government’s hard austerity, too many people are suffering and too many vital public services are in crisis.

Yesterday, we heard not a penny announced for the day-to-day costs of schools, even though school funding has been cut by 8%; not a penny for regular policing, even though 21,000 officers have been cut and violent crime is on the rise; and not a penny for local councils to close the funding gap of £7.8 billion by 2025—and they are facing cuts of £1.3 billion next year, too. The Government are not fixing the fundamentals. Must it always take a tragedy to effect meaningful change?

Take a look at our fire service: rather than fighting fires, it is having to fight for funding. It is beneath contempt not to pay those who work in our fire service properly. Indeed, real wages are lower today than they were in 2010, while CEOs are paid 143 times the wage of the average worker.

The late Audrey Hepburn once said: “As you grow older, you will discover that you have two hands: one for helping yourself, the other for helping others.” When will the Government stop and realise that? Rather than help, the Government have shown again through the Budget that they know the price of everything, yet the value of nothing. Once again, they are saying, “Your price is way too high; you need to cut it, cut it, cut it, cut it.” It is like the emperor’s new clothes: the emperor seeks to describe an elegant, flamboyant gown that he is wearing, but he is actually completely naked.

This Budget does not mark the end of austerity. The NHS has experienced the slowest spending growth in its history. When the Government created the Budget, clearly ignoring the issues caused by their austerity, it seems they had 99 problems but did not consider the state of the NHS to be one if they believed that £20.5 billion was sufficient to repair the damage caused by eight years of under-investment.

According to the Health Foundation, the £20.5 billion promised is simply not enough. The £2 billion that has been announced for mental health is welcome, but it is half what is needed, and let me be clear: this is not new money and these are not new resources. These financial gimmicks fool no one. The Health Secretary has said that it would take a generation to establish parity of esteem under this Government. However, people with severe mental health conditions cannot afford to wait five years for meaningful action from this Government. Too many people, including children, are already waiting months to access the treatment that they need, leading to a devastating mental health crisis.

In my constituency, there has been a real-terms cut of 10.6% in adult social care, almost double the national average, and the Government consider their announcement of £650 million for long-term adult social care services an accomplishment when it is less than half what the King’s Fund estimates is required to meet demand. Nearly 1.5 million elderly people are not getting the care that they need—an increase of 20% in just two years. The sum of £84 million over the next five years to expand children’s social care programmes is pitiful compared with the £3 billion needed by 2025. Services are over- stretched, and the recent trends in the level of funding are unsustainable and unacceptable. The needs of Peterborough —my constituency—have been attended to on the cheap for far too long. As a consequence, cracks are beginning to appear in our services. Our needs have not been properly or adequately assessed, or indeed addressed, and the current settlement is blatantly below par.

[Dr Caroline Johnson]

Does the hon. Lady agree that one of the biggest challenges facing Peterborough hospital, which serves her constituency and in which I work, is the financial burden of the PFI that was used to build the hospital? It is a beautiful hospital, but so much money was spent on it that we are burdened with this PFI. It was a Labour Government who did that and we are now having to pay for it.

[Fiona Onasanya]

I thank the hon. Lady for her intervention. Yes, I know that very well about the PFI, which is why Labour is seeking to end PFIs. [Interruption.] Before she says that we signed it, I would like to talk about now and the fact that PFIs actually came in under John Major. Talking about now, Government are pursuing efficiency to the point of ineffectiveness. I end on this poignant note: investment now is lower in relation to GDP and we are ranked 22nd in the world. The time for warm words is over. Austerity has dire consequences and a little extra just will not cut it.