Government Performance against Fiscal Rules

Frank McNally Excerpts

Monday 7th July 2025 Commons Chamber

[Darren Jones]

Let me point to the fact that wages are now increasing faster than costs—for the first time in many years. He also invited me to comment on childcare provision, which the Government agree is important to families, whether middle-class or otherwise. We have extended school-based nurseries and breakfast clubs in schools, and have subsidised childcare in nurseries across the country to help working families get to work and be able to afford to do so.

[Frank McNally (Coatbridge and Bellshill) (Lab)]

Following the election, I was deeply disturbed to discover that the close to £20 million of towns fund money that had been promised for Coatbridge by the last Government did not actually exist. It had been announced with much fanfare, but had not been budgeted for. However, thanks to this Government and their plan for neighbourhoods, that £20 million is now coming to Coatbridge. Does my right hon. Friend agree that we must never go back to the fiscal irresponsibility of the Conservative party, which was always keen to promise but always failed to deliver?

[Darren Jones]

I congratulate my hon. Friend on securing investment in his constituency from this Labour Government. He is right to point out that in the past his constituents have been given failed promises, whereas this Labour Government are delivering on their promises.

Oral Answers to Questions

Frank McNally Excerpts

Tuesday 1st July 2025 Commons Chamber

[Rachel Reeves]

I am sure that the relevant Health Minister would be happy to meet representatives of the hospice. The Health Secretary set out the settlement for hospices at the end of last year to compensate financially for the increases in national insurance, but those increases in national insurance are funding the NHS, which helps fund our hospices.

[Frank McNally (Coatbridge and Bellshill) (Lab)]

This Government delivered a record real-terms settlement for Scotland at the spending review, so it was deeply concerning to hear from the Scottish Government last week that there is a £2.6 billion black hole in the public finances, which could see NHS spend reduce by 12%. Does my right hon. Friend agree that the SNP’s long-standing record of fiscal mismanagement must end, and that Scottish Ministers must ensure that the funding gets to the struggling Scottish public services?

[Darren Jones]

This Labour Government in Westminster are delivering for the people of Scotland. As a consequence of our spending review, Scotland will receive an average of £50.9 billion per year over this Parliament—the largest real-terms increase in funding since devolution began. The only reason there is a black hole in the budget in Scotland is because of the SNP Government, and the people of Scotland need a new direction with a Labour Government in Scotland.

Oral Answers to Questions

Frank McNally Excerpts

Tuesday 21st January 2025 Commons Chamber

[James Murray]

One of the problems with the Liberal Democrats is that they support all our spending plans, but they do not support any of the tax changes to fund them. This is a prime example. When we talk about increasing employer national insurance contributions, we acknowledge that that was one of the toughest decisions we took at the Budget, but it was necessary to fix the public finances and provide support for those public services, which I note the Liberal Democrats are very keen to support.

[Frank McNally (Coatbridge and Bellshill) (Lab)]

T1. If she will make a statement on her departmental responsibilities.

[The Chancellor of the Exchequer (Rachel Reeves)]

When I became Chancellor, there was a £22 billion black hole in the public finances. We simply could not carry on like that, which is why I have taken control of our public finances and made growth the No. 1 priority of the Government to improve living standards.

In December, I launched the second phase of our spending review, where for the first time in 17 years every single pound of taxpayer money will be investigated line by line to ensure that it is being spent well. The spending review will set resource or day-to-day departmental budgets until 2028-29 and capital departmental budgets until 2029-30. On 11 June, when we conclude the review, I will present departmental budgets to the House.

[Frank McNally]

The recent drop in the rate of inflation is welcome news for those facing financial pressures across Coatbridge and Bellshill, as is the expectation that the UK will become the fastest growing economy in Europe. What further action is my right hon. Friend taking, working in partnership with Cabinet colleagues, to ensure that working families continue to see prices fall and living standards rise?

[Rachel Reeves]

I thank my hon. Friend for that question. I know that the cost of living has a deep impact on all our constituents, including in Coatbridge and Bellshill. Like my hon. Friend, I was pleased to see the reduction in inflation last week. The Bank of England’s independence is sacrosanct to carry on those efforts. In addition, we increased the minimum wage in the Budget, we have reformed universal credit to reduce deductions and we have extended the household support fund, all to help ensure that working families have more money in their pockets.