Spring Statement

Caroline Johnson Excerpts

Wednesday 26th March 2025 Commons Chamber

[Rachel Reeves]

My hon. Friend is absolutely right that her constituents—all our constituents—depend on economic stability. It ensures that they know how much they will pay on their rent and mortgages; it ensures that they are not caught out, when they go to the shops, by prices constantly rising. That is why, as a Government, we have said that the No. 1 thing we need to achieve in order to grow our economy is economic stability, which is why I am so pleased that the Bank of England has been able to cut interest rates three times since the general election and the OBR has forecast that inflation will fall rapidly to 2.1% next year, and then 2% in the years after that.

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

Schools face a huge rise in costs imminently due to the rise in national insurance contributions. Headteachers had been reassured by the Government that schools would be recompensed with money to cover these costs, yet Sir Robert Pattinson academy in my constituency—a great school—finds itself £33,000 short. Will the Chancellor commit to ensuring that Sir Robert Pattinson, and indeed all the schools in my constituency, is given enough money to cover her jobs tax?

[Rachel Reeves]

Public services, including schools, have been compensated for the increase in national insurance, but I am happy for the hon. Lady to get in touch with me or the Education Secretary to set out the case of that school.

The only reason we have been able to put record investment into our schools is because of the stability we have returned to the economy, including the tax increases that we had to bring forward last year in order to provide that extra money for our public services, including the schools in the hon. Lady’s constituency.