My hon. Friend makes an excellent point. I hope I have made it clear from the Dispatch Box today that the constructive approach that we found easy to accommodate with the housing associations is absolutely open to representatives of London local government—indeed, we are already having some productive conversations.
Let me deal with starter homes. During the last 20 years, the proportion of homeowners under the age of 40 has fallen by a third.
I think the hon. Lady will agree, on reflection, that I have already been generous in giving way to London Members.
(9 years, 5 months ago)
Commons ChamberJust over five years ago, on Friday 7 May 2010, another emergency summit of Finance Ministers from across Europe was convened to save the economies of Greece, Spain, Portugal, Italy and Ireland from falling over like a row of dominoes. Here at home, unemployment was galloping away and had passed 2.5 million, 1 million more people than five years before. The Government had lost control of spending, spending nearly £150 billion a year that they did not have in the biggest structural deficit in the western world, which meant they had to borrow one pound in every four they spent. That very day, a note was waiting in the desk drawer of the Chief Secretary to the Treasury, telling his successor with brutal bluntness that “there is no money”.
The Cabinet Secretary had to intervene in the discussions between the political parties to impress on them the consequences of delay in forming a Government. As The Daily Telegraph reported that day:
“UK bond investors, facing huge borrowing demands from the Government this year, started selling…The fear stalking investors is that a delay in forming a coalition will set back plans to tackle Britain’s record Budget deficit, triggering a full-scale run on the pound.”
Will the right hon. Gentleman give way?
On that fateful day, in those dramatic circumstances, a Conservative-led Government did what history has regularly called on Conservatives to do and begin to pull the nation back from the brink of ruin after the disastrous denouement of a period of Labour Government. During the five years that followed, Britain’s prospects have been transformed, with the deficit cut by half, 1 million low earners taken out of income tax and spending on the NHS and schools safeguarded. More people are working than ever before in our history and Britain’s economy is the strongest growing in the western world. Thanks to the hard work and enterprise of the British people, our nation is on the rise again, but our task is far from complete. On 7 May this year, the British people looked at the past, looked to the future and asked us to finish the job. We are determined to repay their trust.
The Chancellor’s Budget puts our economic security first by cutting the deficit at the same pace as in the last Parliament until we have a surplus and ensuring that Britain pays its way in the world. It will help working people, support aspiration and boost productivity. It will reward work and allow people to keep more of the money they have earned. As the Chancellor said last week, the Budget is a new settlement for Britain.
Let me be frank: not every Budget goes according to plan. Some are cheered and others are jeered, such are the ups and downs of government, but it takes a special kind of genius to have an omnishambles Budget while in Opposition. I am sure that the whole House is eagerly awaiting the latest news from the hon. Member for Wolverhampton North East (Emma Reynolds) on whether the Opposition have a view on the Budget. Yesterday, the acting Leader of the Opposition announced that Labour would support the welfare cap and the restrictions on family tax credits, but within hours of her announcement three of the four leadership contenders—the right hon. Members for Normanton, Pontefract and Castleford (Yvette Cooper) and for Leigh (Andy Burnham) and the hon. Member for Islington North (Jeremy Corbyn)—denounced her and a policy that they had presumably agreed. We await the view of the hon. Member for Leicester West (Liz Kendall), but we have her representative on earth here—the hon. Member for Wolverhampton North East, who supports her campaign—and we want to find out whether the chaos is complete or partial. After the disarray of the last 24 hours, who could disagree with the hon. Member for Stoke-on-Trent Central (Tristram Hunt) when he said yesterday:
“The speed and rapidity with which we are beginning to be regarded as irrelevant…is really terrifying”?
We on the Government Benches have a settled view on the matters at hand. This afternoon, I will talk about two aspects of the Budget in particular: the opportunity that it offers to every part of the country to participate in our national success; and the imperative that it sets to move our economy to one of high productivity by addressing vital challenges, at the centre of which is building more homes.
I will give way to the hon. Member for Middlesbrough (Andy McDonald)—the Member for my home town.
I do agree, and I encourage my hon. Friend and his local business and civic leaders to make an application for an enterprise zone on behalf of his constituents. I am sure that that would further enhance the prosperity of the Northamptonshire economy.
The hon. Lady has been very patient, so I will give way to her now.
I am grateful to the Secretary of State for his generosity.
What would the Secretary of State say to the 19,000 families in Islington who are on the waiting list for social housing about how long they might need to wait to be rehoused?
I would say to the people of Islington that they should be pleased that the highest rate of affordable house building took place in the last Parliament, and that we will increase that rate during this Parliament.
(11 years, 3 months ago)
Commons ChamberIt is 20 months before the election and the Labour party cannot say whether it would keep or reverse the rise in VAT.
The Labour party established the beer duty escalator, the council tax escalator, the fuel duty escalator and the biggest escalator of them all—the deficit escalator. The deficit trebled in its last two terms in office and that all has to be repaid by the hard-working people of this country. The facts are stark: the deficit that we inherited equates to about £6,000 per household every year. Of course it is painful to find an average of £6,000 per household in revenues and savings, but that is the effect of the previous Government’s profligacy.
I will give way to the hon. Member for Islington South and Finsbury (Emily Thornberry) because she has been patient.
I wonder whether I might drag the right hon. Gentleman back from the political knockabout to the realities of life. A point was made earlier about the number of working people who are now dependent on housing benefit. Is he aware that the cheapest four-bedroom flat to rent on Rightmove yesterday cost £440 a week? Given that the minimum wage is £212 a week, how can people live?
Where has the hon. Lady been for the past three years? We have reformed the planning system. Since the national planning policy framework was adopted, which I had something to do with, planning permissions for new homes have risen by 22%. That is the action that is required if the problems that she identifies are to be solved.
The Labour motion talks about the standard of living, but no Government in living memory have done more to scupper the standard of living of ordinary working people in this country than the last Labour Government.