Oral Answers to Questions

Elizabeth Truss Excerpts

Tuesday 29th January 2019 Commons Chamber

[Patrick Grady (Glasgow North) (SNP)]

6. What discussions he has had with the Secretary of State for Scotland on the economic effect on Scotland of the UK leaving the EU customs union and single market.

[The Chief Secretary to the Treasury (Elizabeth Truss)]

The Prime Minister’s deal delivers the ability to negotiate free trade agreements with third-party countries and to protect trade with the EU. So I suggest that the SNP backs the deal, rather than try to stop Brexit.

[Patrick Grady]

Will the Minister confirm that we do not actually know any of the full economic effects because the Treasury has not conducted an economic analysis of the Prime Minister’s deal? On that basis, can it really be the Government’s view, as the Environment, Food and Rural Affairs Secretary told me a couple of weeks ago, that other European countries will be looking enviously at the UK’s position?

[Elizabeth Truss]

It is an absolute cheek for SNP Members to claim that there is an issue with our deal, given that they want to break up the UK. Some 61% of Scotland’s external sales are actually to the rest of the United Kingdom.

[Kirstene Hair (Angus) (Con)]

In Scotland, goods exports to non-EU countries are higher than those to EU countries, so does my right hon. Friend agree that because of the trade deals that this Government are seeking to strike, Scotland will benefit from that growth?

[Elizabeth Truss]

My hon. Friend is correct. Of course, Scotch whisky is one of our flagship exports right across the world. We have the opportunity to renegotiate some very high tariffs and make it even more of a bestseller.

[Bill Esterson (Sefton Central) (Lab)]

The Government’s deal was rejected by a record vote in the House. Business leaders in Scotland and across the UK want the Government to rule out any prospect of no deal, and the Chancellor told business leaders that that was possible, so why have the Government not ruled out any prospect of no deal?

[Elizabeth Truss]

It is important that we keep no deal on the table to get a better deal from the EU. I strongly encourage the hon. Gentleman to support our deal as the best way to take no deal off the table.

[John Stevenson (Carlisle) (Con)]

Quite clearly, the Union of the UK is vital to the prosperity of Scotland and the border area. Does the Chief Secretary to the Treasury agree that Government initiatives, such as the borderlands growth initiative, also make a vital contribution to the prosperity and success of the region?

[Elizabeth Truss]

My hon. Friend makes a good point. The borderlands deal is an important way of stimulating growth across the border area, although it would also help if the Scottish National party Government followed through in Scotland on things such as the tax cuts we have introduced elsewhere in the UK.

[Stephen Metcalfe (South Basildon and East Thurrock) (Con)]

7. What progress his Department has made on reducing the deficit since 2010.

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[Robert Halfon (Harlow) (Con)]

8. What plans the Government have to make capital funding available for new hospitals.

[The Chief Secretary to the Treasury (Elizabeth Truss)]

We have committed £3.9 billion of capital investment by 2023 to transform and modernise NHS buildings. We are also increasing the NHS budget by 3.4% a year, while keeping taxes low for working people.

[Robert Halfon]

Despite the hospital having outstanding staff and the extra moneys that have gone to Princess Alexandra Hospital in Harlow, the building is in a very bad state and not fit for purpose and we desperately need a new hospital. Will my right hon. Friend use the moneys from the excellent £20 billion extra money for the NHS and work with the Health Secretary to make sure that we get a new hospital for Harlow?

[Elizabeth Truss]

I thank my right hon. Friend for his question. In December, we allocated £9.5 million to the Princess Alexandra Hospital to help to improve the emergency care pathway, but I recognise that there are further issues. Of course we are in discussions with the Department of Health and Social Care and these issues will be looked at in the spending review.

[Chris Bryant (Rhondda) (Lab)]

It is not just about capital spending; it really is, in relation to acquired brain injury, for instance, also about making sure we have enough people to follow on from the work done in the new trauma centres to make sure there is proper neuro-rehabilitation and local authorities have enough money to provide decent housing for people. Will the right hon. Lady look at this in the round? Will she make sure that we are not letting people down? We can have as many wonderful hospital buildings as we want, but in the end we need people to treat people.

[Elizabeth Truss]

That is one of the reasons—rising demand—that we have put extra money into the NHS: up to £20 billion per year. But as part of the spending review we will be looking across the board to make sure that services are integrated and we are investing to get the best possible results for people.

[Kerry McCarthy (Bristol East) (Lab)]

9. What plans he has to tackle child poverty.

[The Chief Secretary to the Treasury (Elizabeth Truss)]

We are working to tackle the root causes of poverty by getting people into work and giving children the best possible education. A record number of children are now in working households and there are 630,000 fewer children in workless households than there were in 2010.

[Kerry McCarthy]

A number of Members have been involved in the children’s future food inquiry, and we have heard some shocking stories recently about children going to school hungry, packed lunches consisting of maybe two slices of white bread with nothing in between and worse stories. What is the Treasury doing to help the UK to meet the sustainable development goal on zero hunger because it seems at the moment that it is doing very little?

[Elizabeth Truss]

I point out to the hon. Lady that 1 million fewer people are now in absolute poverty than in 2010, including 300,000 fewer children, but of course we continue to look at the best way to help children in school—I know that the Department for Education is looking at this—to make sure that children are properly nourished.

[Mr Gregory Campbell (East Londonderry) (DUP)]

The Treasury could tackle child poverty, attack the bureaucracy and help lower-paid workers across the economy in the UK by raising the level at which people begin to pay national insurance contributions as well as tax, thereby assisting local people in the economy across the United Kingdom.

[Elizabeth Truss]

We are working to make sure that those on the lowest incomes keep more money in their pockets, so at the Budget we increased the amount working families will be getting on universal credit by £630 and we cut basic rate tax, to the benefit of £130, for families on those incomes.

[Several hon. Members rose—]

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[Elizabeth Truss]

One of the reasons we introduced UC was to make sure that work always pays and we have been continually working to make the system better, reducing the taper rate. Of course we continue to look at that as we roll it out.

[Lyn Brown (West Ham) (Lab)]

For heaven’s sake. In the last two years of the Labour Government, the number of children living in absolute poverty fell by 400,000. In the next seven years of Tory rule, it fell by only 100,000. At this rate it is going to take 28 years for the Tories to achieve what Labour achieved in two, and one and a half centuries to end child poverty, even without this Government’s blooming Brexit disaster. Does the Minister not understand—this ain’t success, or doesn’t she care?

[Elizabeth Truss]

If we are going to trade statistics, at the end of the last Labour Government, 20% of young people were unemployed and 1.4 million people were on welfare and left on the scrapheap. We have record employment and the lowest unemployment since the mid-1970s. The way we are going to solve the issue of poverty is to help people get on, help people get into work and get our education levels up.

[Sir Desmond Swayne (New Forest West) (Con)]

10. What recent contingency plans he has made to prepare for the UK leaving the EU without a deal.

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[Wera Hobhouse (Bath) (LD)]

14. What recent discussions he has had with the Secretary of State for Education on the adequacy of funding for adult education.

[The Chief Secretary to the Treasury (Elizabeth Truss)]

We fully fund adults to take English and Maths to level 2. From 2020, we will also be funding them for basic digital skills. Those are the vital skills that people need to get a job and get on in life.

[Wera Hobhouse]

In the last 10 years, total enrolment of adults in further education colleges has dropped by 62%, including at Bath College in my constituency. Enrolment in health and social care is down by 68%; in engineering, it is down by 68%; and in construction, it is down by 37%. Does the Minister agree that this situation is of huge concern and that the Treasury must look at serious reinvestment in adult skills as part of the upcoming spending review?

[Elizabeth Truss]

We do fund the core courses that are going to help people get work and get on in life, but we also provide adult learner loans so that people can help shape their own future. In 2017-18, we spent £220 million on those loans.

[Alex Chalk (Cheltenham) (Con)]

T1. If he will make a statement on his departmental responsibilities.

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[Mr Speaker]

There is a lot to be said for Essex. The right hon. Lady and I can agree about that.

[The Chief Secretary to the Treasury (Elizabeth Truss)]

Mr Speaker is right: the only way is Essex. My right hon. Friend the Member for Witham (Priti Patel) is a great champion of the fantastic county of Essex, and she will have noticed that the Ministry of Housing, Communities and Local Government has already launched a fair funding consultation on local government spending. In the spending review, we will, of course, look at the different funding streams and make sure they are fair for all parts of the country.

[Helen Jones (Warrington North) (Lab)]

T2. In the north, we face years of disruption on the trans-Pennine line, but there is no money for electrification. In London, the Government bail-out Crossrail to the tune of £1.4 billion, in addition to what they have already spent. When is the Chancellor going to act to tackle these inequalities in transport infrastructure spending, which are damaging the economies of the north of England?

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[Bim Afolami (Hitchin and Harpenden) (Con)]

What is the Treasury’s view of the idea of opportunity zones to help to revitalise some of the more disadvantaged parts of our country, particularly in that they differ from enterprise zones because they involve a capital gains cut rather than other types of tax relief?

[Elizabeth Truss]

I congratulate my hon. Friend on his article proposing new ideas. He raises one example of some of the exciting prospects for the post-Brexit economy that will help to revive some of the industrial areas throughout Britain.

[David Hanson (Delyn) (Lab)]

Does the Chancellor of the Exchequer have any plans to meet Tom Enders, the chief executive of Airbus, to discuss his view that no deal will be disastrous for the UK economy?

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[Mr Jim Cunningham (Coventry South) (Lab)]

When is the Chancellor going to make money available to address the shortage of police officers in the west midlands? We are 3,000 short. I regularly have representations from residents in Finham, Willenhall and St Michael’s about the high increase of crime in their areas. When is the Chancellor going to make funds available to replace these officers?

[Elizabeth Truss]

As the hon. Gentleman will recognise, the recent police grant funding statement provided extra funding, both from grant and from precept, into the police, meaning funding will be going up in real terms.

[Anna Turley (Redcar) (Lab/Co-op)]

Sirius Minerals already employs more than 800 people in North Yorkshire and Teesside in the world’s largest polyhalite mine, but to bring 50 years of growth and job opportunities to our region, it needs a Treasury guarantee on its funding. Will the Chancellor make that guarantee available today and unleash a whole new era of jobs and opportunities in my area?

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[Philip Davies (Shipley) (Con)]

When will the Chancellor give some much-needed money to our police forces?

[Elizabeth Truss]

As I have just pointed out, we have given extra grant funding to the police forces. We are also achieving better efficiencies in conjunction with the Home Office, and we have covered the cost of additional pensions as well.

[Rushanara Ali (Bethnal Green and Bow) (Lab)]

Workers at Dyson, Jaguar Land Rover and Ford are among the casualties of the threat of no deal. Given the number of jobs at risk, is it not time for the Chancellor to get off his backside and ask the Prime Minister to rule out the threat of no deal and to stop holding Parliament and the country to ransom?