Oral Answers to Questions

Edward Miliband Excerpts

Wednesday 27th November 2013 Commons Chamber

[The Prime Minister]

I am very glad to join my hon. Friend and I congratulate him on the work that he has done on this issue. Blacklisting is illegal and wrong. This sort of intimidation is wrong, just as intimidation of non-striking workers, or indeed managers, is wrong. I am happy to condemn both forms of intimidation and I hope that others will as well.

[Edward Miliband (Doncaster North) (Lab)]

Following his U-turn on payday lending, can I ask the Prime Minister why he has moved in two short months from believing that intervening in broken markets is living in a “Marxist universe” to believing that it is a solemn duty of Government?

[The Prime Minister]

As I have said, there are some dreadful practices that take place in the payday lending market. There are some very disturbing cases. And frankly, for 13 years, Labour did absolutely nothing about it. So I am proud of the fact that we have intervened to regulate this market properly, and we are also going to be putting in place a cap. But let me be very fair to the right hon. Gentleman: I followed very carefully his interview on “Desert Island Discs” and I think it is fair to say he is no longer a follower of Marx; he is loving Engels instead.

[Edward Miliband]

You would have thought the right hon. Gentleman would be spending his time trying to be the Prime Minister, Mr Speaker. What is surprising is that the Chancellor said, just a few weeks ago, that

“attempts to fix prices…crush endeavour and blunt aspiration”.

For the avoidance of doubt, can the Prime Minister reassure us that his U-turn had nothing to do with the prospect of losing a vote in Parliament the following day?

[The Prime Minister]

I am sorry that the right hon. Gentleman has had a slight sense of humour failure. I do not think that is a very good start to these exchanges. I have done a little bit of research, and in three years he has never asked me a question about payday lending—not once, not a single question. I have been asked about all sorts of things. Look, it is right to intervene when markets are not working and people are getting hurt. That is what we are doing. Labour had 13 years. They looked at a cap in 2004 and they rejected it. That was when the right hon. Gentleman was working in the Treasury. We have looked at a cap. We have looked at the evidence from Australia, Florida and elsewhere. It is the right thing to do and I am proud that we are doing it.

[Edward Miliband]

Even by the right hon. Gentleman’s standards, this is a bit rich. On 22 May 2012, the Government voted against capping payday lenders; on 4 July 2011 they voted against capping payday lenders; and on 3 February 2011 they voted against capping payday lenders. We were for it; they were against it. Now clearly, he wants to claim that this is a principled decision, so can the Prime Minister explain why the Government intervening to cap the cost of credit is right, but the Government capping energy bills is communism?

[The Prime Minister]

I feel like one of those radio hosts who say, “And your complaint is, caller, exactly?” We are taking action, but they did not. We are doing the right thing. The right hon. Gentleman should stand up and congratulate us. He wants to turn to energy, so let me turn specifically to that. The point is, we do not have control of the international price of gas, so we need more competition to get profits down and roll back the costs of regulation to get prices down. That is a proper energy policy. We know his version of intervention: take money off the Co-op and don’t ask any questions.

[Edward Miliband]

Here is the reality. This is not a minor policy adjustment—it is an intellectual collapse of the Government’s position. For two months, they have been saying that if we take action to intervene in markets it is back to the ’70s—it is Marxism—but now they realise that they are on the wrong side of public opinion. That is the reality. On energy, the Prime Minister must realise—[Interruption.]

[Mr Speaker]

Order. We will get through Question Time, however long it takes. I appeal to Members simply to calm down and think of the electorate, whom we are here to serve—very straightforward.

[Edward Miliband]

They are shouting because they have no answer, Mr Speaker. The Prime Minister must realise the gravity of the situation, as figures this week show that there were 31,000 deaths as a result of the cold winter, with about 10,000 as the result of cold homes. Can he explain how things will be better this winter than they were last?

[The Prime Minister]

What there will be this winter—and this is a vitally important issue—are the cold weather payments that we have doubled from their previous level. The winter fuel payment will be in place, as will the warm home discount, which helps 2 million people in our country. Last year’s increase in the pension of £5.30 a week will be in place. Every excess death in the winter is a tragedy, and there were 31,000 last year. The right hon. Gentleman might care to recall that when he was Energy Secretary there were 36,500.

[Edward Miliband]

I asked the Prime Minister a very specific question: how are things going to be better this winter than last? The reality is that prices will be higher this winter than last. For the average household, the British Gas bill went up £123 this week. It was also revealed that the profits of the energy companies were up 75% in the last year alone. Why, under his Government, is it acceptable for the British people to pay exorbitant prices to fund exorbitant profits?

[The Prime Minister]

What is intellectual incoherence is not to address the fact that there were 36,500 winter deaths when the right hon. Gentleman was standing here as Energy Secretary. That number was lower last year. What is intellectually incoherent is to promise a price freeze for 20 months’ time when we do not control the global price of gas—that is completely incoherent and a total con. When we are on the collapse of intellectual positions, more borrowing, more spending and more taxing are exactly the things that got us into this mess in the first place, and he remains committed to each and every one.

[Edward Miliband]

I will tell you what is the con, Mr Speaker. It is saying one thing before the election and another thing as Prime Minister. Here is what the hon. Member for Richmond Park (Zac Goldsmith) said about him. He likes reading out tweets, so perhaps he will listen to this one:

“‘If the PM can casually drop something that was so central to his identity, he can drop anything.’… #greencrap”.

That is this Prime Minister all over. The truth is that any action he takes on the cost of living crisis is because he has been dragged there kicking and screaming. On the cost of living crisis, he is not the solution—he is the problem. Nobody believes that he or his Cabinet have any sense of the pressures facing the people of Britain.

[The Prime Minister]

I think everyone can recognise a collapse when they see one, and we just saw one right now. Is it not interesting? The week before the autumn statement, and the right hon. Gentleman cannot ask about the economy because it is growing. He cannot ask about the deficit because it is falling. He cannot ask about the numbers in work because they are rising. People can see that we have a long-term plan to turn our country around, and people can also see him sitting in his room, desperate for bad news to suit his own short-term political interests.