Budget Resolutions and Economic Situation Debate

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Department: HM Treasury

Budget Resolutions and Economic Situation

Cheryl Gillan Excerpts
Monday 21st March 2016

(8 years, 9 months ago)

Commons Chamber
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Cheryl Gillan Portrait Mrs Cheryl Gillan (Chesham and Amersham) (Con)
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It is a pleasure to follow the right hon. Member for Birmingham, Hodge Hill (Liam Byrne). He claims everything for the Labour Administration in Birmingham, but he cannot claim that they had anything to do with High Speed 2 finishing in the city. Sadly, HS2 goes through my constituency and causes a great deal of grief.

It is a pleasure to welcome the Budget, and I do so in the knowledge that the British economy is far stronger because when we came into government in 2010—albeit as a coalition Government—we took difficult decisions, and the British people reacted positively to a Conservative vision for the country. They reacted by starting businesses, creating jobs, and embracing a long-term economic plan. The phrase “long-term economic plan” is oft mocked for its repetition, but it is responsible for the emergence of sound public finances that provide the security that people want—a welfare state that works, an NHS free at the point of need, a good education system, and security in old age, all of which we have on offer in the UK.

I wish to mention a couple of points that perhaps have not featured in other people’s contributions, and to thank the Chancellor for two announcements in the Budget that are personal to my constituency. First, for several years I have worked with my constituent Peter Dodd and with Zero-m to gain a lower clean fuel duty rate for aqua methanol. This fuel, which produces virtually no particles, or NOx, and much reduced carbon dioxide, should now be able to play a great part in reducing street-level pollution in our cities. The tax changes had been postponed for bureaucratic reasons, together with a new Treasury review of a 2013 European Court of Justice ruling—another example of how the EU holds back innovations in the UK, because the measure could have been introduced much earlier.

I was therefore delighted when the Chancellor announced the new reduced rate at the originally planned 7.90p per litre, which is a significant reduction from the standard rate of 57.95p and will be introduced from 1 October 2016. That will enable aqua methanol to be brought to the market, since it will finally be on a level playing field with other clean burning natural gas based fuels, such as compressed and liquid natural gas.

Secondly, I currently chair a cross-party limb loss forum that is working to improve access, quality and research in prosthetics and wheelchair services, as well as rehabilitation. We are pleased to welcome the announcement of £1.5 million of investment in sports prosthetics for children, as well as a fund to develop innovative prosthetics for the NHS. Pace Rehabilitation is a company with a base in Chesham in my constituency, and it works across the board with people with limb loss. Its attention to detail and ability to tailor its work to meet individual needs is exceptional, and I have been privileged to meet amputees who, thanks to its work and that of many others, can live their lives to the full and even ski, cycle and snowboard again. Indeed, I understand that Pace prostheses have been walked to both ends of the world.

Today is a day for the Department for Communities and Local Government. Like other councils, Buckinghamshire County Council remains concerned about the impact of the Budget. A large worry is the prospect of further cuts downstream to meet the Chancellor’s Budget surplus targets, particularly in the light of recent developments. The council has applied for a four-year settlement that would help to alleviate the uncertainties, but there is no guarantee that it will be forthcoming. There are concerns about the impact of the small business rates relief announcements, so I hope that during the consultation the compensation that DCLG officials have indicated will be forthcoming will be confirmed.

The announcement that all schools will become academies is also causing concern, particularly among those in the area of special educational needs. What does it mean for the role of local authorities in providing additional support for those with special educational needs if they have no power over any of their local schools? Could we have clarity from the Minister about how support for SEN will work?

Finally, I am concerned about the implications of these measures on social care, and the National Autistic Society, with which I work, is facing concerns about the future of care homes and companies. Will the Chancellor provide an assessment of the gap in care funding between now and 2020?

All in all I welcome the Budget, but I could save the Chancellor a great deal of money and fuss. There is one project that could be axed that would put a lot of money into Treasury—and that, of course, is HS2.

None Portrait Several hon. Members rose—
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Harriett Baldwin Portrait Harriett Baldwin
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I will not as I have very little time, but I will get to the hon. Gentleman’s point. The list continues: Chesham and Amersham, Henley, Harrow West, Wealden, as well as Southampton, Test, and Bromley and Chislehurst, Washington and Sunderland West, Hazel Grove, North Norfolk, Warrington South, Dulwich and West Norwood, and Aberdeen North. A number of common themes came up in those speeches. Almost everybody welcomes the business rates cut and the help for the self-employed. This is a Budget that puts our small business job creators front and centre. Many points were made about northern infrastructure, so I draw everyone’s attention to page 77 of the Red Book. I am not referring to Mao’s little red book on this occasion. Page 77 gives a list of projects, including £130 million of road repair funds to deal with the damage caused by Storm Eva and Storm Desmond, in Cumbria and elsewhere.

A number of colleagues mentioned devolution and the impact on business rates. I can confirm that local government will be compensated for the loss of income as a result of the business rates measures announced in the Budget with a section 31 grant. The impact will be considered as part of the Government’s consultations on the implementation of 100% business rate retention in summer 2016.

Cheryl Gillan Portrait Mrs Gillan
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Will the Minister give way?

Harriett Baldwin Portrait Harriett Baldwin
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I would love to give way, but I have not got time to do so. The NHS was discussed by a number of colleagues, and I am sure that they welcome the record amount of cash going into our NHS, thanks to our strong economy. A number of colleagues welcomed the fairer funding for schools and the ultimate devolution of power to academies. I can confirm that an extra £1.6 billion is going into schools, with no change at all to the special educational needs obligations on schools. [Interruption.] We have heard a fair number of rants, whinges and lectures from the Opposition tonight, but we will take no lectures from the party that crashed the economy in the first place. We will take no lectures from the Labour party, whose plans, had we followed them, would have led to—

Cheryl Gillan Portrait Mrs Gillan
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On a point of order, Mr Speaker. I wonder whether you could advise me on something. I have asked the Minister, who is speaking so ably and fluently at the Dispatch Box about a Budget, certain elements of which have been well welcomed on both sides of the House. I have asked her to give way on two specific points that I raised in my contribution to this debate. Could you advise me whether it is in order for the Minister to decline, on account of the amount of time left for speaking, when a considerable number of minutes are left until 10 o’clock?

John Bercow Portrait Mr Speaker
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It is a matter for the judgment of the Minister, but the discontent of a former Cabinet Minister has been registered.

Harriett Baldwin Portrait Harriett Baldwin
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In that case, I will simply commend this Budget to the House.

Ordered, That the debate be now adjourned.—(Julian Smith.)

Debate to be resumed tomorrow.

Cheryl Gillan Portrait Mrs Gillan
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On a point of order, Mr Speaker. I wish to seek your guidance on the next item on tonight’s Order Paper. I gather that Standing Order No. 9(6), which deals with sittings of the House, states:

“After the business under consideration at the moment of interruption has been disposed of, no opposed business shall be taken, save as provided in Standing Order No. 15 (Exempted business).”

As I read it, the Order Paper contains a sittings motion on the business of the House on the High Speed Rail (London - West Midlands) Bill and if it comes to the Floor of the House after 10 pm, it does not have to be debated. It is possible to object to that business of the House. Of course, Mr Speaker, you will appreciate that I raised a point of order earlier—[Interruption.]

John Bercow Portrait Mr Speaker
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Order. It is fairly uncharacteristic of one of the Whips on duty, the hon. Member for Croydon Central (Gavin Barwell), who normally behaves in a most seemly manner, but the amount of noise he is making prevents me from attending to the right hon. Lady’s point of order, which I am keen to hear, so she will doubtless now continue.

Cheryl Gillan Portrait Mrs Gillan
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If this motion is heard after 10 o’clock in this House, I want to confirm that there is no debate, that a Member can object to it and that the Government can bring it back and put it on the Order Paper on the following day. It is important that we understand that anybody who chooses to object to this piece of business on the Order Paper is not impeding the Government at all, as it is perfectly in order for them to bring it back on to the Order Paper tomorrow, and indeed, if it is objected to tomorrow, it can be put on the Order Paper the following day, but without the penalty of taking time out of the very valuable debate that I have been trying to get extended and would want to protect in terms of the measly three hours the Government have given us.

John Bercow Portrait Mr Speaker
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The interpretation by the right hon. Lady is entirely correct. I trust that she is satisfied with that matter.