Oral Answers to Questions

Charlie Elphicke Excerpts

Tuesday 24th October 2017 Commons Chamber

[Elizabeth Truss]

The reason we have not seen the wage growth that we want to see is that we have an issue with productivity in this country. In order to raise living standards for everybody, regardless of whether they work in business or in the public sector, we need to make sure that we raise productivity. That is why we are investing in infrastructure and skills—doing all the things that the previous Government did not do to make our country more productive.

[Charlie Elphicke (Dover) (Con)]

Can my right hon. Friend confirm, for the avoidance of doubt, whether there is a pay premium for the public sector over the private sector?

[Elizabeth Truss]

There is not a pay premium. Public and private sector pay are roughly comparable, but in the public sector there is an average of 10% additional remuneration in terms of pension contributions.

--- Later in debate ---

[Mr Philip Hammond]

We are acutely aware that inflation has spiked, but the overwhelming majority of forecasters expect it to start to fall again in the new year. The spike in inflation has been driven primarily by the depreciation in the value of sterling last year, but I will take the hon. Gentleman’s comments on VAT as a representation for the Budget and will consider them carefully.

[Charlie Elphicke (Dover) (Con)]

T8. May I urge the Chancellor to reject the representations that we have just heard from the shadow Chancellor? Is it not the case that one cannot agree a price until one knows what one is paying for, and that only a fool would write a blank cheque with taxpayers’ money?