Dominic Raab
Main Page: Dominic Raab (Conservative - Esher and Walton)Department Debates - View all Dominic Raab's debates with the Department for Work and Pensions
(9 years, 9 months ago)
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Mr Spencer
Zero-hours contracts are not something that happened under this Government; they existed before we came to power. The Labour Government did nothing about them when they were in power.
I have met individuals in my constituency who have been offered a zero-hours contract. They took it up, went to work and became very successful. They were then offered a full-time career; they progressed through the management structure; and they are now earning a substantial salary. Zero-hours contracts can therefore sometimes be a gateway to a career.
The Government have to find a way to create such gateways, so that individuals can aspire to make their way through the system. One way of doing that is to create apprenticeships, and 2 million have been created under this Government. That is a way to give the next generation the skills they require to take up a career in the future.
Mr Dominic Raab (Esher and Walton) (Con)
I missed all the heat about part-time working. Does my hon. Friend recognise the official statistics showing that 74% of the new jobs created under this Government have been full time? The Chartered Institute of Personnel and Development has shown that job satisfaction among those who are on zero-hours contracts is the same as for any other employee.
Mr Spencer
Absolutely. Those statistics stand on their own.
The second way to help people, once they have succeeded in getting a job, is to cut taxes for those at the bottom of the pay structure, so that they pay no tax at all. The Government have been very successful in lifting those people completely out of the tax system.
The hon. Member for Wigan mentioned the friction between wages and inflation. Following the enormous crash under the previous Government, it is fair to say there were some severe challenges in terms of how inflation was moving forward and the ability of the economy to recover. We are now in a position where, of course, inflation is below the rate of increase in wages, so we have turned that corner and we are going in the right direction.
Mr Dominic Raab (Esher and Walton) (Con)
I will be as quick as I can, Mr Crausby, and try to stick to your time limit. First, I welcome the debate, even though the hon. Member for Wigan (Lisa Nandy) made a number of political points—
Mr Raab
Not at the moment—I said on a point of substance.
The key point is the systemic challenges that our economy faces. The fact is that our economy sank to 13th place from fourth place on the global competitiveness rankings, and has now climbed steadily but surely back up to 10th. That is the reason why we have job creation at a record high. If we really care about not just the economy but the most socially disfranchised, we have to care about the unemployed—the most vulnerable in our society.
Mr Raab
I am not going to; I will make some progress. The hon. Lady spoke for a considerable amount of time and we are very pressed for time. Unemployment has fallen from 8% to 5.8%. Youth unemployment is down. Overall, there are 1.7 million more people in work. If we care about the most vulnerable in our society, that is the critical section of society.
Lisa Nandy
I was simply about to say to the hon. Gentleman that had he been here for my speech and not been 45 minutes late, he would have heard that many of the families whose stories I recounted for those who were present are actually in work, or were in work when those problems arose. A story that he missed was about one of my constituents who was sanctioned for three months for being four minutes late for an appointment. The hon. Gentleman was 45 minutes late for the debate, and he does not seem to have suffered any adverse repercussions at all.
Mr Raab
I was following the debate, but unfortunately I was in a Committee, and I did give advance warning to Mr Crausby.
The key point that the hon. Lady needs to address is that all the policies that the Labour party is coming up with will stifle job creation. I gently point out to her that in her constituency, according to the House of Commons Library, unemployment doubled between 2005 and 2010, but has fallen by 63% between 2010 and the present day. Frankly, those facts tell us everything we need to know. When it comes to income tax—[Interruption.] She might want to listen as well as speak, because this is a debate, and I have listened very carefully to what she was saying—[Interruption.]
Mr Raab
If someone is earning between £10,000 and £15,000 under this Government, they are paying 54% less tax than they were under the last Government. If someone is a millionaire—we get lots of jibes on the Government side of the House about that—they are paying 14% more. When do we ever hear that referred to?
A lot of people have talked about poverty. If we look at the inequality Gini coefficient, we see that on elderly poverty, fuel poverty, the number of people not in education, employment or training, and child poverty—on every single statistical benchmark—the level of poverty or inequality is lower now than what the last Government left behind. Where is a little bit of honesty about that?
When it comes to affordable homes, the average annual rate of the creation of affordable homes is 50% higher under this Government than the last Government. The hon. Lady might have mentioned that in her speech. What about inflation, which eats away at incomes?
Mr David Crausby (in the Chair)
Order. Mr Raab did give notice that he would be late. If I am going to call Mr Lavery as well, Members are going to have to give Mr Raab the opportunity to speak.
Mr Raab
Thank you, Mr Crausby, I appreciate that.
Inflation is the other key indicator. It was at 3.4% in May 2010, but it is now down to 0.5%. That is not unalloyed good news—it is tough for savers—but it is incredibly relevant to dealing with cost of living issues, which I believe the hon. Member for Wigan cares strongly about. There is still much to do, but if we care about things such as energy prices, we should not be backing reckless interventions in the energy market that will just create spikes in retail prices. We should be investing in nuclear and shale—but was it five or six nuclear plants that were closed down under the last Government? Labour is going slow on fracking as well. Again, if we are serious about long-term issues relating to poverty in this country, those are the things we should be dealing with. If we care about food prices, we should welcome the competitive supermarket price wars that we have been seeing recently. We should be concerned about the £400 that the common agricultural policy adds to the average annual family food bill, but when do we ever hear from Labour MPs about that? We should be looking for freer trade and reform of the EU.
In conclusion, I welcome the debate, but it is important to shed some light, not merely some heat, on this contentious issue, which afflicts the most vulnerable in our society. The hon. Lady can shake her head all she likes, but the fact is that on almost every official indicator and almost every policy lever, this Government have done better than the previous Government. Not only is the economy doing better, but life is fairer for most people in terms of the things that Government can reasonably control. Those are the facts, like them or not.
Mr David Crausby (in the Chair)
I did say that I would call the Front Benchers at 3.40 pm. It has now turned 3.40 pm, but I am going to give Ian Lavery one minute. If he goes past it, I will interrupt him.