National Insurance Contributions (Secondary Class 1 Contributions) Bill Debate

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Department: HM Treasury
Stuart Anderson Portrait Stuart Anderson (South Shropshire) (Con)
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It is a pleasure to speak so high up on the list and to follow the hon. Member for Loughborough (Dr Sandher). I believe I will have different views from him in this jobs tax debate.

Manifesto commitments are very important. As politicians, we go out to the public and tell them what we are going to do. I heard time and again the phrase, “We will not raise taxes”, which Government Members will finish with “on working people”—I will come to the definition of “working people” shortly—so why are we now in a debate discussing national insurance contributions and how they will rise?

I have a couple of questions for the Minister. When the Chancellor looked at the figures and the OBR forecast, did she either not spend enough time on them, or did she not understand them? I am keen to understand that. Also, in the access talks, when Labour sat with the civil service, they were told about everything that was happening. At what stage did they then realise that the figures were completely different? They were not. Labour was able to see behind the scenes and the Chancellor had a full view, through which they could go to the British people and tell them they would not raise taxes—yet here we are today with a debate on raising taxes for working people.

I met a group of working people—I define them as working people—made up of almost every publican in Ludlow. They deal in hospitality at the highest level, given that Ludlow is the fine food capital of the UK; indeed, I invite Members to come and see that great quality. I sat with those members of the hospitality industry. Some had been in it for a few years and many for a decade or two. They knew the trade in South Shropshire and know hospitality exceptionally well, having worked year on year and created a great reputation. They are at the stage where their turnover is the same, their footfall is roughly the same, but they cannot see, as of next April, how they can make a profit. We can argue backwards and forwards about what we think. I am listening to my constituents, in a town, who almost unanimously agree that they cannot see a way forward when the Budget comes into play next year.

Chris Curtis Portrait Chris Curtis (Milton Keynes North) (Lab)
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Under the last Conservative Government, 10 pubs closed every single week. Before the hon. Member talks about our record, will he apologise for the record of the last Conservative Government, which was incredibly damaging to businesses, particularly hospitality businesses, across the country?

Stuart Anderson Portrait Stuart Anderson
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I thank the hon. Member for his intervention. I am pretty sure the Chancellor has just said, “Hold my beer, I will make that 20 pubs a week.”

My constituents are really struggling with this Budget. They cannot see a way forward and are pleading with me to lobby the Government to say that this will not work for them. These are people who know what works for them inside out. They do not own massive businesses, but many of them employ more than four people. They may not have the broadest shoulders, but they have worked for many years to make things work. Businesses are struggling not just in Ludlow, but across my constituency. Small Business Saturday is coming up, and I am hearing business after business saying that they are finding it impossible to see a way forward next year.