Budget Resolutions and Economic Situation

George Freeman Excerpts

Wednesday 28th October 2026 Commons Chamber

[Sir Mel Stride]

The hon. Gentleman should join us on the Conservative Benches, because we are the party that is standing four-square behind North sea oil and gas extraction. We do that for a very important economic reason.

It is right that the national minimum wage not going up by as much as it might otherwise have done will help business. The Leader of the Opposition welcomed that. We have also seen a lowering of business rates for some businesses. The mileage changes with HMRC will no doubt be slightly helpful, particularly for the self-employed.

However, the Chancellor also came forward with a reduction in the business asset disposal relief—he has halved it, making it less of an incentive for people to set up businesses. I looked at the figures in the Red Book, and it seems that there are £5 billion-worth of additional taxes on businesses across this forecast—an increase of £2 billion in additional taxes across inward investment into our economy.

In conclusion, the lights are flashing on the UK economy. We have huge challenges ahead, and it is not good enough simply to rely on saying that we can be steady as we go.

[George Freeman (Mid Norfolk) (Con)]

Like me, my right hon. Friend represents a very rural constituency. Was he shocked to hear the lack of any relief for rural areas, which are being hammered by disproportionately high energy costs? The Treasury’s own figures show that the risk of fuel poverty in rural areas is 150% higher than in cities. We heard about money for cities, but nothing for our rural areas and rural businesses, which are being hammered, and where we are seeing stagflation and inflation and taxes and interest rates going up. There was nothing for rural areas.

[Sir Mel Stride]

Absolutely. My hon. Friend is absolutely right. The absence of anything about farmers in the statement was palpable. One might think that the Chancellor might at least have said something about the farm tax, which is still hanging around the necks of our farmers up and down the country.