Debate on the Address

Chris Bryant Excerpts

Wednesday 9th May 2012 Commons Chamber

[Mr Davis]

I take my hon. Friend’s point, although I believe the greater problem would be legislative gridlock if too much legitimacy were given to the House of Lords. The simple fact is that over the course of the past century, these Houses have managed a pretty effective balance without crippling government. The position that we have arrived at still needs reform, but very careful reform.

[Chris Bryant (Rhondda) (Lab)]

I agree with the right hon. Gentleman that we have to consider two things hand in hand, the composition of the House of Lords and its function. Although I am passionately in favour of an elected second Chamber, one of my criticisms of the draft Bill is that clause 2 will not reinforce the primacy of this Chamber. Some kind of concordat would have to be agreed by both Houses and written into their Standing Orders. Does he accept, though, that the current situation is unsustainable? We already have far too many Members down the other end of the building, and if there is no reform, there will be another 200. There will be more than 1,000 Members, the vast majority of them appointed by party leaders on a party Whip. Surely that is unsustainable.

[Mr Davis]

I agree with the last point, but the hon. Gentleman should not let the best be the enemy of the good.

I will finish my points about the Lords, because I want to talk about two other significant issues of justice and freedom. For me, the test is to look back and see what would have happened in the past decade if we had introduced whatever new reform we will come up with. As the Deputy Prime Minister will be only too conscious, in the past decade the Lords have stopped the curbing of jury trials and a number of other measures, including the extension of detention without charge. That would not have happened if we had had too politically similar a House of Lords. When the House considers the matter in some detail, my test will be whether a reform will achieve the same check on the Government.

--- Later in debate ---

[Tony Baldry]

Since the general election the Labour party has engaged in a wonderful exercise in propounding the motif that cuts are being made too far and too fast. In his autobiography, the former Chancellor of the Exchequer responsibly acknowledges the mistakes made by the last Labour Government. Opposition Members, however, have tried to develop a line that will enable them simultaneously to go around the City of London saying “We are being sensible and responsible about the deficit and about the need to reduce public spending” and, when campaigning, to present the impression privately, on the doorstep of every household in the country, that, given their own way, they would not reduce any individual item of public expenditure. That is a circle that the Opposition cannot square, and until they get real in explaining to the country and the markets how they will actually tackle the budget deficit, they will not be taken seriously as an Opposition, let alone as a Government in waiting.

We must never forget that the present Government inherited a budget deficit of 11%—bigger than Greece’s, bigger than Spain’s, and bigger than Portugal’s. We all know that if we do not deal properly with our debts and with the nation’s deficit it will be impossible to keep interest rates low, and that, quite apart from the benefit that low interest rates provide for businesses and those paying mortgages, they offer us the best prospects of getting out of our present difficult economic situation.

The Government and the Chancellor inherited a deeply dysfunctional economy in which, all too often, the taxes generated by the financial and property sectors in the south paid for higher public spending in the north. As Sir Mervyn King so tellingly testified in his speech last week, it was an economy in which the City had been poorly policed, and in which growth was too dependent on debt. Making clear that we intended to have a credible fiscal plan has helped us in Britain to maintain our top international credit rating and has brought interest rates to record lows, making family mortgages and business loans cheaper. Sticking to the deficit plan means that, having inherited a deficit larger than those of Spain or Greece, we have interest rates similar to those in Germany. Indeed, the IMF’s latest forecast for the UK expects it to grow faster than France or Germany. In considering where we are now, we should not forget that the recent Budget cut taxes for 24 million working people.

[Chris Bryant]

Will the hon. Gentleman give way?

[Tony Baldry]

I love the hon. Member for Rhondda (Chris Bryant)! He left the Chamber for a considerable period, has been back for two seconds, and now wants to intervene. However, because he is very supportive on Church matters, I am happy to give way to him.

[Chris Bryant]

So much excitement was being engendered by the hon. Gentleman that I felt the need to return to the Chamber. Then I started to listen, which is where I made my mistake. I think the hon. Gentleman said that the present Government had cut interest rates. Can he tell us when they did so? My understanding is that they have been entirely flat since they changed under a Labour rather than a Conservative Government.

[Tony Baldry]

The hon. Gentleman was so excited by my speech that he misheard me. I made no reference to the Government’s cutting interest rates. What I said was that the Government’s financial and economic policies had enabled us, and were still enabling us, to keep interest rates low, while also ensuring that our interest rates compared with those of Germany. I have absolutely no doubt that if we followed the economic policies advocated by Opposition Front Benchers, we would soon see interest rates, including mortgage interest rates, soaring as a consequence.

The Government have taken 2 million people out of tax, they have continued to freeze council tax, and—as I have already observed—they have cut corporation tax so that we can compete with the rest of the world. Moreover, notwithstanding the challenges at home, Britain is meeting its commitments overseas. We are behaving as one would expect of a permanent member of the UN Security Council, honouring our obligations in Afghanistan, seeking to reduce the threat of nuclear proliferation—particularly with Iran—and helping to bring greater stability to the horn of Africa. We are supporting democrats in Libya, and, through the Department for International Development, we are helping to tackle poverty around the world.

We should be proud that Britain is sticking to its aid promises. We are a friend to the world’s poorest, and giving aid represents the best of British values. Some 40 years after they first promised to give 0.7% of their national income in aid, rich countries are less than halfway there. Among the major economies, only we in the UK are on target to meet our commitments. Some of the more Poujadist elements of the press claim that public support for aid is diminishing. I suspect that that is because some two thirds of the public think that we spend up to 20 times more on foreign aid than we actually do. Once people know that our aid budget is just over a single penny in every pound spent by the Government, they are much more supportive.

Understandably, the Session of Parliament since the general election has been unusually long, but it is still impressive that the Government have passed more than 30 main programme Bills since the election to help to reduce the UK’s budget deficit and reform our public services. Their programme has been guided by the three core values of responsibility, fairness and freedom. The new Session will be shorter, so it will provide scope for fewer Bills. I do not think that there was any doubt on the doorsteps about what our constituents want us to focus on. They want us to continue to get the economy going, continue to improve the NHS, and continue to sort out welfare and education; and, importantly, they want us to demonstrate that we are on the side of those who are working hard and doing the best they can for their families.

One of the best-kept secrets of the last Budget is that the Chancellor raised personal allowances—the amount that people can earn before being taxed—so that 24 million middle-earning taxpayers will keep more of their money, and, from next April, 2 million low-paid people will not pay income tax at all. I can tell those who call for tax cuts that this year we have already made the largest tax cuts for more than a decade. I think everyone would agree that we should be doing all that we can to help families who are trying to do the best for themselves.

Of course we need to focus on jobs and economic growth. I am very glad that the proposals in a report by my constituent Adrian Beecroft for streamlining of the rules that make it hard for businesses to hire and fire employees are to be taken up. Redundancy rules, employment tribunals and rules about unfair dismissal all need to be changed, as Adrian Beecroft’s well-researched and well-argued report clearly demonstrates. We should be doing everything possible to encourage employers to expand and employ more people.

It is good news that the Government will reduce burdens on businesses by repealing unnecessary legislation and legislating to limit the state inspection of businesses. It is also good news that they will reform competition law in order to promote enterprise and fair markets. I think that many businesses will welcome the news that there is to be strengthened regulation of the financial services sector, and that the recommendations of the Independent Commission on Banking are to be implemented.

I also welcome the proposals relating to pensions. I think everyone agrees on the need to modernise the pensions system and reform the state pension, and on the importance of creating a fair and sustainable foundation for private saving. Governments must always seek to be on the side of those who save for retirement. I do not think that anyone seriously believes that it is possible to avoid reforming public service pensions in line with the recommendations of the Independent Public Service Pensions Commission.

As co-chair of the all-party parliamentary group on carers, I particularly welcome the news that a draft Bill is to be published to modernise adult care and support in England. The health White Paper of July 2010 promised legislation on adult social care in a second session of the present Parliament. We have all had plenty of time in which to read and digest the Dilnot report, which recommended a system under which people would pay the first chunk of nursing care costs and the state would pay after that. Given our increasingly ageing population, we need clarity, and cross-party talks have been taking place for a long time.

I also welcome the news that it is to be a draft Bill. Given such a major overhaul of social care legislation that needs to stand the test of time, and given the number of Select Committee reports on the issue, it is vital that we have an opportunity to get it right by co-operating with the Government, the Opposition and, indeed, every party in the House to produce legislation that seeks to achieve the right outcomes for everyone concerned.

[Tony Baldry]

I think we all want a long-term solution, which is why it is sensible for a draft Bill to be published so that everyone can agree the way forward, and so that when a Bill is presented to the House it has all-party support.

May I say in my capacity as Second Church Estates Commissioner that I welcome the introduction of a Bill to reduce the burdens on charities by enabling them to claim additional payments on small donations? Many Members of Parliament are involved in charities, perhaps as trustees or patrons. Church groups often rely on Sunday collections and small giving by large numbers of people. This move will allow extra support for charities.

Like all Members of Parliament, a fair amount of my constituency casework involves helping families with disabled children and children with special educational needs, so I greatly welcome the proposals in the Queen’s Speech to introduce measures to improve provision for such children, and the arrangements for supporting children in family law cases and reforming court processes for children in care. That is important, painstaking and detailed work that should improve the lives of many children.

I do not think too much should be read into the fact that the Queen’s Speech does not contain a specific proposal for a hybrid Bill on High Speed 2. The matter is now before the High Court, which is having to consider several applications on judicial review involving points of law on both the process and substance of the HS2 project. Notwithstanding any judicial review proceedings, however, I continue to hope that the Government will reflect that the economic case for HS2 simply does not stack up.

It is clear that in this Session of Parliament the Government will continue to strive for smaller government, freer competition and greater international trade, and they will continue to pursue policies that have been proven to work in the past and that will also work in the future.

[Chris Bryant]

On a point of order, Mr Deputy Speaker. On 25 April, I told the House that the Leveson inquiry had published certain information regarding meetings that had been held between Rupert Murdoch and the Prime Minister. I believed at the time that that was the case, but it has subsequently turned out not to be true. I have, of course, apologised to Lord Justice Leveson, but I thought I should take this opportunity to apologise to the House as well. I hope the apology will be accepted. I had no intention of misleading the House; that was purely inadvertent.

[Mr Deputy Speaker (Mr Nigel Evans)]

I am grateful to you, Mr Bryant, for your point of order and for putting that apology on the record.