Oral Answers to Questions

Derek Twigg Excerpts

Tuesday 4th November 2014 Commons Chamber

[Danny Alexander]

The rate of growth of real wages has been low, and that needs continued attention in the months and years to come. However, I hope that the hon. Gentleman would join me in welcoming the fact that millions of our fellow citizens are now in work as opposed to being unemployed, as they were under the Labour Government. We now need to work to make sure that we increase business investment, enhance productivity, and make sure that the benefits of the economic growth we are seeing are shared as widely as possible. I think that he and I would agree about that.

[Derek Twigg (Halton) (Lab)]

15. What recent comparative assessment he has made of growth in average earnings and the rate of inflation since May 2010.

[The Financial Secretary to the Treasury (Mr David Gauke)]

Inflation is at 1.2%—lower than at any point since 2009. We appreciate that times have been tough for families in recent years, but as the Institute for Fiscal Studies has said, that is

“a direct but delayed result of the 2008 recession”.

Since May 2010, this Government have taken decisive action to support families. We have increased the personal allowance, frozen fuel duty and council tax, and cut energy bills. In the past year, unemployment has fallen at the fastest rate since records began, and the proportion of workless households is lower than it ever was under the previous Government.

[Derek Twigg]

For how many months under this Government have wages risen faster than prices?

[Mr Gauke]

We have gone through a difficult period, but, as I said, that is

“a direct but delayed result of the 2008 recession”.