Cost of Living Increases

Emma Hardy Excerpts

Tuesday 25th April 2023 Commons Chamber

[The Chief Secretary to the Treasury (John Glen)]

I beg to move an amendment, to leave out from “House” to the end of the Question and add:

“welcomes the Government’s action to halve inflation, grow the economy and reduce debt; supports the Government’s extensive efforts to support families up and down the country with the cost of living through significant support to help with rising prices, worth an average of £3,300 per household including direct cash payments of at least £900 to the eight million most vulnerable households; notes the use of a windfall tax on energy firm’s profits to pay around half of the typical family’s energy bill through the Energy Price Guarantee, also notes the fact that the Government has frozen fuel duty for 13 consecutive years to support motorists; welcomes the expansion of free childcare to all eligible parents of children aged nine months to four years old; and notes that Labour will fail to grip inflation or boost economic growth, with their plans for the economy simply leading to unfunded spending, higher debt and uncontrolled migration.”

Even in times of economic challenge, this is a Government who prioritise helping families face down the cost of living. I think Members across all sides of the House recognise that having come through the covid crisis, families and businesses across the country have felt additional global headwinds. After two decades of low inflation, the world has been confronted with fast-growing prices. We are not alone. While we tackle this, our friends in Ukraine are at war and we are supporting them diplomatically, militarily and economically. We have faced down those challenges while supporting our economy and, because of the action we took, we avoided a recession. Our sensible, credible economic plan is working. The International Monetary Fund said we are on the right track, unemployment remains very low by historic standards, and measures in the spring Budget deliver the largest permanent increase in potential GDP that the Office for Budget Responsibility has ever scored in a medium-term forecast, as a result of Government policy.

[Emma Hardy (Kingston upon Hull West and Hessle) (Lab)]

I realise that this will bring back painful memories for the right hon. Gentleman, but he may recall that the previous Prime Minister crashed the economy. The UK has been uniquely impacted. The issues with Ukraine and covid are impacting the rest of the world, but they are impacting the UK in a slightly different way because of the previous Prime Minister’s actions. I know that the right hon. Gentleman wishes to erase all memory of that, but he must acknowledge that her actions have had a consequence, and the British taxpayer is still paying the price.

[John Glen]

I value all my colleagues. The previous Prime Minister’s insights into the growth imperative in this economy were right.

--- Later in debate ---

[Emma Hardy (Kingston upon Hull West and Hessle) (Lab)]

I wonder whether Government Members need to work on their lines a bit because they seem to be saying, “There was nothing we could do—there has been a war in Ukraine and covid.” That leads us to ask, what is the point of them really if there is nothing they can do when there is a pandemic and when our country is in need?

The defining question for people to hold in their minds as they vote in the election is this: “Do I really want another five years of this?” In everything, in every way, the 13 failed years of Conservative Government and Lib Dem coalition rule—the Lib Dems do seem to forget that they were part of it for five years—have failed our country and prevented us from reaching our potential. If growth had continued at the same rate as it did under a Labour Government, we would have an extra £40 billion for our public services.

But what makes me really angry about this Government is the way in which they have made too many people feel like this is as good as it gets, that we do not deserve to have good public services, or that good public services are beyond our reach. In the next elections, they are relying on people giving up hope—hope that our country can be so much better than it is today.

When Labour left office, public satisfaction in the NHS was the highest it had ever been. We were so proud of our achievements in the NHS that, in the 2012 Olympics, we put it on show for the whole world to see. That was how much we celebrated it, but not only have this Government broken our NHS—they are revelling in breaking the people who are working for it. They are telling working people in this country that their ambition to not just survive, but actually live a life, is beyond their reach, however small they may think it is. They tell them instead, “No, strive instead for 30p meals. That is as good as you are going to get under this Government—30p for your meal and that is it.”

If people want more than that, that is when all the cheerleaders will have a go. If they want to work with their trade unions to fight for a better salary so they can afford a bit more to eat, that is unreasonable; it is so unreasonable that this Government introduced legislation to stop workers being able to come together to fight for the salaries that they actually need. When we look at our international comparators, we see that the French are 10% richer and the Germans are 19% richer, and that is a result of this Government. They are continuing to fail us. Our country is seeing what happens when low-paid workers are told by this Government, “Go and get another job.” Well, they are going to go and get another job in adult social care, and look at what has happened there.

The last Labour Government achieved so much: the longest period of sustained low inflation since the 1960s, low mortgage rates, the national minimum wage, 14,000 more police in England and Wales, a cut in crime of 32%, child benefit up by 26%, 36,000 more teachers and 274,000 more support staff. That is what the last Labour Government achieved. This Conservative Government can judge the Labour party on our record, and on 4 May, the public will judge the Conservatives on theirs. [Hon. Members: “More!”] I will save it for next time.