(5 days, 19 hours ago)
Commons Chamber
Chris Vince
I thank my hon. Friend, but I must disagree with him, because my next point was to say, in all sincerity, that I am a little bit disappointed with the Opposition motion, which I feel is particularly targeted at an individual. I recognise that the motion is about the Chancellor’s position and does not name her, so there is an attempt to talk about the role that she holds, rather than the individual. However, I just do not like the way that the motion singles out a particular person. I think it could have been worded in a way that made it more about the Budget process—but that is my view. I say that because I feel very strongly about the importance of political debate, but as I hope the Opposition have seen, I always try to avoid political attacks on individuals, and to be honest, the motion makes me feel uneasy.
I share the hon. Gentleman’s appreciation of the fact that the motion is about the post and role of a Minister, not about a local MP and a person. However, while he is dishing out sympathy and empathy, can I encourage him to think of his constituents and mine who are disabled, who thought for the longest time that they were going to lose their livelihood until the Government U-turned on that policy? Can I encourage him to worry about family business owners, who now have no idea how they will afford to pass their local growth-generating business on to the next generation—not to mention farmers, who are now scared to die?
Chris Vince
I thank the hon. Gentleman for his intervention. I do not think I could ever be accused of being devoid of sympathy. I became an MP because I genuinely and passionately care about making a positive difference to people’s lives. In fact, as Members across the House know, I previously worked in the charity sector and as a teacher. I got involved in those jobs because I wanted to make a positive difference to people’s lives.
One of the big things in the Budget—before I go completely off my speech—is the scrapping of the two-child cap. I recognise the concerns raised by Opposition Members about increased welfare spending—although, it went up on their watch too—but when I am presented with the statistic that over 1,000 young people will be taken out of poverty as a result of that policy, I find it very difficult to ignore.
On a lighter note, I would like to state—there will be collective relief across the House—that no members of my immediate or extended family have ever worked for the Treasury or the OBR. That said, like many Members across the House, particularly on the Labour Benches—I am glad that the deputy leader of the Liberal Democrats, the hon. Member for St Albans (Daisy Cooper), mentioned this too—I value the work done by the OBR and, in particular, its independence. Of course, as many Members have mentioned, it is extremely disappointing that the OBR’s “Economic and fiscal outlook” was prematurely accessed by external users before the Chancellor’s speech on Budget day. I am really pleased that the OBR responded to that very quickly. In its own words:
“It is also important to note that the EFO contains market-sensitive information, i.e. information that is not public and could have a material impact on financial markets. This is why, in the run-up to the delivery of the Budget, any leaks concerning the OBR’s forecasts, whether accurate (as in this case) or inaccurate, whether inadvertent (as in this case) or deliberate, are to be greatly deplored.”
This is a good Budget for residents and families in Harlow, with rail fare freezes; prescription fee freezes; additional investment in our local NHS, which I have covered previously, and which had sadly been neglected; a rise in the minimum wage; a rise in the state pension—yes, a brief mention of my mother, who is delighted—and, for the vast majority of residents in Harlow who do not own a property worth over £2 million, no increase in tax.
We saw in 2022 what happens when the OBR is bypassed in the Budget-setting process, but we must ensure that the IT that backs up this non-departmental public body is fit for purpose and that such mistakes do not happen again.
(11 months, 4 weeks ago)
Commons Chamber
Chris Vince (Harlow) (Lab/Co-op)
I start by thanking the Exchequer Secretary to the Treasury for all his work on the Bill.
The burden of tax has fallen disproportionately on the shoulders of working people for too long. Families across the country and in my constituency, who are already battling the cost of living crisis, have been left to carry the weight, while larger businesses and the wealthiest have been let off far too lightly. That cannot continue. This Labour Government believe in a fairer tax system, where larger businesses and the richest pay a little more in tax to help fund our NHS and our public services, which working people rely on. That is the right and fair choice.
The Tory record on investment in our NHS is terrible. I can see that in my constituency. Although Princess Alexandra hospital was on the list of 40 new hospitals proposed by the previous Government, when we came to power it turned out that the money for it was not there. I thank the Secretary of State for Health and Social Care for allowing me to constantly follow him around the Palace and lobby him on that point.
The decision on employer national insurance is difficult, but it is the right choice. Waking up on 5 July, we knew that we would have to take these difficult decisions, but in the long run we really will see the difference. Being tough now can bring about real change in the future.
It has not gone unnoticed that the small businesses and charities that form the backbone of our local economy need to be protected and valued. Here are a few things the Labour Government are doing to achieve just that. We have increased the employment allowance to £10,500 and expanded it to all eligible employers. As a result, we will see two remarkable things: the OBR expects 250,000 employers to benefit from these changes and an additional 820,000 employers to see no change at all. We are seeking to strike a balance.
My hon. Friend the Member for Earley and Woodley (Yuan Yang) mentioned Small Business Saturday. I recently visited a wonderful local charity called Stort Valley Gifting, a brilliant local business that sources local produce and makes up hampers. I have to declare an interest at this point, because that is where I am doing my Christmas shopping this year, but I would add that my predecessor, Robert Halfon, did the same thing.
Labour also recognises the vital role played by public sector employees in our schools, hospitals and councils. That is why we have committed to providing support for additional employer NIC costs, ensuring that our public services remain resilient and well-resourced not just for today, but for future generations. We can protect working people while making the wealthiest contribute their fair share, so that we all contribute our fair share. Everyone from every walk of life is included as these decisions are being debated and made. We can choose to invest in our NHS and our public services; we can choose growth and fairness; we can choose to rebuild the future for generations to come, instead of the instability that has held our country back for too long. If we want the benefits of this Budget, we must make the hard decisions to get there.
I rise to speak to defend Scotland’s NHS, including our GPs, hospices, care homes and nurseries, from this Labour Government’s national insurance tax hike, as well as to protect the charity and higher education sectors. I am proud of the amendments the SNP has tabled to the Bill to protect these vital services from the increase in national insurance contributions put forward by the Government. The fears are genuine and escalating over the job cuts and service reductions that will be the inevitable and plain and simple consequence of this fiscal madness.
We in the SNP have consistently highlighted the brutal impact that Labour’s tax rises will have on GPs, charities, care homes and other sectors, with organisations warning that deep cuts will be made to the services they provide—vital services that are no less essential to communities and individuals than secondary care services just because they are received in the community or from a charity. That is why we have tabled amendments 4, 5, 6 and 26 in my name and the names of SNP colleagues.
On higher education, the University of Edinburgh was last month reported to have opened a redundancy process for staff as a result of Labour’s tax hike, and Universities Scotland is warning of a potential £45 million tax burden for Scottish universities. Yet again, we see key sectors of the Scottish economy hammered by a London Treasury out of touch, out of ideas and, if this goes through, demonstrably out of control. Higher education, agriculture, and oil and gas are all demonstrably larger elements of the Scottish economy than they are of the English or UK economy. This Government, with NICs and other specific tax increases or allowance removals, are hammering particularly important elements of the Scottish economy. As usual, what England wants Scotland gets.
The Labour Government’s national insurance increase will be a disaster for Scotland’s healthcare providers, voluntary organisations, nurseries, universities and colleges, but who on the Labour Benches has come along to speak up for those organisations in Scotland? Nobody. Not one Labour Scottish MP made a speech to protect Scotland’s interests. But Labour MPs from Scotland were there to nod through and vote through the cut to the winter fuel payment, freezing Scotland’s pensioners; Labour’s bedroom tax, entrenching poverty in Scotland; Labour’s two-child limit, punishing the poorest in Scotland; taxing Scotland’s oil and gas sector to the brink of extinction; attacking Scottish agriculture; and gouging Scotch whisky. They were all here to make sure that that happened and to speak to that, so I will leave the people of Scotland to draw their own conclusions about this particular lack of activity from Scottish Labour MPs.