The Growth Plan

Baroness Laing of Elderslie Excerpts

Friday 23rd September 2022 Commons Chamber

[Chris Bryant (Rhondda) (Lab)]

It must, surely, be the definition of chutzpah to come to the House of Commons and complain about high taxation and low growth, when the right hon. Gentleman voted for 15 increases in taxation and was the Business Secretary who took the UK into recession. It must, surely, be the definition of chutzpah to come to the House of Commons and say that he believes in sound money when he has just put £72.4 billion on the never-never credit card for the country.

Let me explain to the right hon. Gentleman why people in the Rhondda might think that he has got this wrong. We do not have any bankers begging for additional bonuses in the Rhondda. We do not have anybody, I would guess, earning more than £150,000 in the Rhondda, but we do have a lot of families whose energy bills have doubled this year, even after what he has done, and who will be going into energy poverty. They are seeing food prices go up by 15% and petrol prices locally go up even more. That is why we think he is a disgrace.

[Madam Deputy Speaker (Dame Eleanor Laing)]

Order. We need a question. If there is no question, the Chancellor of the Exchequer cannot answer.

[Kwasi Kwarteng]

I am not sure there was a question. We have to focus on growth. Through growth we get more tax revenue to pay for public services. That is a fundamental notion and that is what we are focused on.

--- Later in debate ---

[Gavin Newlands (Paisley and Renfrewshire North) (SNP)]

With your forbearance, Madam Deputy Speaker, I would like to pass on to the House the sad news of the passing of my predecessor, Jim Sheridan. He diligently served the constituents of West Renfrewshire, and then Paisley and Renfrewshire North, for 40 years. I am sure that all our wishes and thoughts are with his wife Jean and his family and friends.

Jim and I did not agree on everything, I think it is fair to say, but I am certain that we would have agreed wholeheartedly on the Chancellor’s shameful and regressive statement. Workers’ rights were important to Jim, as they are to me, so the thought of attacking those rights is to the Chancellor’s shame. He spoke of the riddle of growth, so I wonder if he could riddle me this: how is it that giving bankers yet more millions drives economic growth, but giving those on benefits a fair deal, or those on low wages a cost of living pay increase, drives inflation?

[Madam Deputy Speaker (Dame Eleanor Laing)]

Before I call the Chancellor of the Exchequer to answer the question, may I pass on to the family of Jim Sheridan, who was a much respected Member of Parliament for a very important constituency, the condolences of the whole House?

--- Later in debate ---

[Madam Deputy Speaker (Dame Eleanor Laing)]

Order. I think the hon. Lady has probably got the message that she is taking too long, but I cannot blame only the hon. Lady, because many people have taken too long. I have been quite lenient, because we have plenty of time today, but there is still a question of courtesy to the House. I hope the hon. Lady will just put her question now, please.

[Beth Winter]

The Chancellor has offered absolutely nothing for the majority of people in this country, who have been plunged into poverty and increased inequality. He has failed this country and neoliberal economic—

[Madam Deputy Speaker]

Order. I politely asked the hon. Lady just to put her question; can she not just put her question? Has she put it? I did not hear it.

[Kwasi Kwarteng]

Madam Deputy Speaker, I was not clear what the question was, but if the hon. Lady was suggesting that we have not helped people with our growth plan, I gently remind her that the energy intervention helps nearly everybody; that the reversal of the national insurance increase helps 28 million people and gives them £330 a year; and that accelerating the 1p cut in the basic rate gives £300 a year to the average worker. Those are substantial benefits that I am sure the hon. Lady’s constituents will appreciate.

--- Later in debate ---

[Kwasi Kwarteng]

That is a complete misrepresentation, or wilful misunderstanding, of our position. What we have done in the growth plan is protect millions and millions of vulnerable people. We have allowed them to keep more of their own money—I know that the hon. Lady is not necessarily in favour of that—and we want to drive growth and entrepreneurialism in our economy.

[Madam Deputy Speaker (Dame Eleanor Laing)]

And finally, the prize for perseverance and patience goes to Ian Byrne.

[Ian Byrne (Liverpool, West Derby) (Lab)]

We have a Budget for the 1% from a grim, bankrupted Thatcherite tribute act. One in three people in my great city are in food poverty now. I have constituents who are unable to put the heating on, take a hot shower or put a meal on the table—and that is with prices at current levels, which are meant to double from January. This statement does absolutely nothing for them, so will the Chancellor actually focus on the people who face a humanitarian disaster across all our communities, instead of playing to the rich bankers who bankroll his party? Will he meet and sit down with me to discuss how a right to food could right some of the wrongs in society?

[Kwasi Kwarteng]

As a Minister I have always been open to colleagues on both sides of the Houses and people have spoken to me. Regrettably, sometimes some of my conversations are leaked to the press, but I would be happy to speak to the hon. Gentleman on an issue of concern to his constituents.

[Madam Deputy Speaker (Dame Eleanor Laing)]

In a moment, I will call the Chancellor of the Exchequer to move the provisional collection of taxes motion, copies of which are available in the Vote Office. This is in accordance with Standing Order No. 51(2), on Ways and Means motions, which states:

“A Minister of the Crown may without notice make a motion for giving provisional statutory effect to any proposals in pursuance of section 5 of the Provisional Collection of Taxes Act 1968. The question on such a motion shall be put forthwith.”

Resolved,

That, pursuant to section 5 of the Provisional Collection of Taxes Act 1968, provisional statutory effect shall be given to the following motion:

Stamp duty land tax (reduction)

That—

(1) Part 4 of the Finance Act 2003 is amended as follows.

(2) In section 55(1B) (amount of stamp duty land tax chargeable: general), for Table A substitute—