1 Cat Smith debates involving the Department for Business and Trade

Budget Resolutions

Cat Smith Excerpts
Wednesday 6th March 2024

(8 months, 3 weeks ago)

Commons Chamber
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Cat Smith Portrait Cat Smith (Lancaster and Fleetwood) (Lab)
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I hope it is not news to anybody in the Chamber that the public’s trust in politics and politicians feels very low right now. Many people have been telling me that they do not feel their voices are heard in politics. So, ahead of the spring Budget, I did a piece of work in my constituency, surveying my constituents and going to meetings of pensioners and groups of young people to ask them what their economic priorities are, and I have matched them against what we have heard in the Budget. I thank all the village newsletters and local papers that carried my survey, which means I have a detailed idea of what my constituents are concerned about.

If we listened to Ministers’ crowing over falling inflation in recent months, we would be forgiven for thinking that the cost of living crisis was over, but the 11% high in inflation was because of the decisions made by the Government and that mini-Budget. Responses to my survey from my constituents make it abundantly clear that the cost of living crisis is not over. In the hundreds of replies I received, more than 80% told me they are worse off than they were five years ago, so the message to the Chancellor must be that the cost of living crisis is not over but very much real, and people are really struggling right now.

High energy costs were the most frequently mentioned issue in the survey and have particularly affected elderly and disabled constituents I was told chilling stories by constituents about the steps they have taken to reduce their energy bills. Some have told me that they have turned off their hot water and heating completely, even on the coldest of days, due to the increased prices.

Other costs commonly mentioned were food prices and mortgages. My constituent Steven from Lancaster bought his first home last summer, but the mini-Budget and the spike in mortgage rates means that he is paying hundreds of pounds more out of his wages every single month. That is money he would like to spend on dental treatment—his NHS dentist closed—but he cannot. It is money that he needs to spend on his massively increased energy bills, but he cannot. That is a really good example of the problems faced by so many constituents in different circumstances.

Common themes that popped up time and again were pensioners struggling to make ends meet, people dependent on support from their parents or other family members to pay the bills each month, and people telling me they were just about managing but really struggling to meet one-off costs such as the car or the washing machine breaking down. As one constituent put it:

“We are not living; we are existing”.

I want better for my constituents, and I want better for the country.

A YouGov poll commissioned by the Joseph Rowntree Foundation found that three quarters of Brits are worried about the current levels of funding for public services. That was very much reflected in the concerns raised by my constituents. No one will be surprised to learn that most concern was reserved for the NHS, with longer waiting lists and the poor availability of NHS dentists coming up time and again. However, constituents also raised funding for schools, roads and public transport, and the local authorities who are really struggling to deliver those public services on the ground in my constituency. I pay tribute to all my local councils—Lancaster, Wyre and Lancashire—which are run by a variety of different political combinations but all facing incredibly difficult financial settlements.

There is real fear about the impact that reckless tax cuts could have on public services across Lancashire, coming on top of more than a decade of Tory austerity. In the survey, one constituent said:

“Tax cuts will not save our impoverished public services”.

I could not say it more clearly than that.

My constituents are also concerned about the levels of inequality we see across the UK. There is the idea that energy companies do not pay their fair share, and yet when constituents get their energy bills, they really struggle to meet them. One summed it up:

“Reducing taxes for the better off as a pre-election booster does nothing to help ordinary people with soaring food and heating bills.”

I can already see emails coming into my inbox from pensioners who are unhappy that the changes to national insurance do not benefit pensioners, who are really struggling. While the triple lock goes some way, it does not compensate for the rising cost of living and inflation spiralling out of control.

Janet from Pilling was desperately hoping to hear something from the Chancellor about redress for victims of sodium valproate. Both her sons live with lifelong disabilities having been harmed by the drug. She had held out hope, given that from his previous role as Chair of the Health and Social Care Committee, the Chancellor knows the heartache and financial cost paid by those victims. She is disappointed that there has not been an announcement today regarding redress, particularly because, as I understand it, the Government have had an early copy of the report on the subject by the patient safety commissioner for England for several months. I urge the Ministers on Treasury Bench to respond at speed to that excellent report and to do the deeds to match the Chancellor’s words on this matter.

On redress, I associate myself with the comments of my right hon. Friend the Member for Kingston upon Hull North (Dame Diana Johnson) on infected blood. I also want to raise the matter of the justice needed for victims of the Horizon Post Office scandal.

I have been contacted by many constituents who work in the hospitality sector, including Liz, who runs the fantastic Cafe Dolce in Lancaster. She highlighted the difficulties that many business face because of rising costs. She wanted tailored support for the hospitality sector, but I fear she will be disappointed with today’s offerings.

Are we better off now than we were 14 years ago? The resounding view from my constituency is absolutely not. Taxes are still rising, prices are still going up in the shops and mortgage rates are higher, and nothing that the Chancellor said today changes that. It is time for change. It is time for a general election.