(10 years, 6 months ago)
Commons ChamberIndeed. That is part of the strategy and, as we can see, it is beginning to work, with more house building now being undertaken and more people being able to afford a home.
The next thing we need is more domestically supplied energy and cheaper energy. The two go together, felicitously, so if we can get a bigger energy sector extracting oil and gas in Britain—onshore and offshore—we will have more jobs, some of which will be higher-paid jobs, but also access to cheaper energy. I am very pleased that the Government are going to get behind the shale gas revolution. It is already transforming the American economy, creating higher living standards for many and producing the much lower gas prices that are pricing Americans back into competitive jobs in industry vis-à-vis Europe and Asia, where the price of energy is high. We need the same here.
We need to make sure that all people setting up their own business, or who have already set up their own business but have not taken on many or any employees and are now thinking of doing so, should feel that that is possible and feasible. If we have too much regulation and control—much of it well intentioned, no doubt—the very bright or able can still run a business, because they know how to handle that regulation and control and can get proper advice, but other people find it far more difficult. They are put off, thinking, “I really do not understand all this. I don’t know what it’s all about.” Anything that my right hon. Friend the Prime Minister can do to make it much easier for people to start their first business and then to take on their first employee will be extremely welcome and will promote the recovery.
My right hon. Friend is making a very eloquent case about how the best and most sustainable means of raising the standard of living is by developing sustainable jobs. Does he agree that one of the most damaging things we could do is to raise the tax on jobs as represented by employer’s national insurance contributions? That is being considered by Labour Front Benchers, but it would be hugely damaging.
That is quite right. The point has been made before. Lower taxes on enterprise and effort are generally a good thing. We want people to keep more of the money they make or earn when they set up businesses or get good or better jobs, and we also want to make sure that the Government do not deter employers from creating more jobs by over-taxing work.
I am pleased that the Gracious Speech refers to the need for more and better roads. In the past 15 years, our road building has fallen well behind what needs to be done to support the economic recovery and to promote industry, commerce and more jobs around the country. I look forward to seeing the detailed proposals.
What I primarily wish to do this afternoon is to speak for England. [Interruption.] I am glad that at least two hon. Members agree with that proposition. We speak too little for England in this House of Commons; yet a majority of us are English Members of Parliament.
(11 years, 11 months ago)
Commons ChamberI am rather pleased that our benefits system is a lot more generous than those afforded in eastern Europe, but I also want to make sure that we do not open ourselves up to paying a large number of benefit bills to people from more or less anywhere in the European Union who come here because they have worked out that we have a generous system compared with theirs. That would seem extremely unfair, very tough on British taxpayers and ultimately self-defeating, because people who were working hard and had talent and enterprise would say, “I can’t afford to pay the tax rates in Britain to pay for benefits for everybody else, so I’ll go somewhere else to do my work.”
My right hon. Friend made an interesting and important point about eligibility. Does he agree that one of the most pernicious legacies of the last Government was that their tendency to hand out, increase and widen the eligibility for welfare payments has meant that, when the payback comes, the most vulnerable people in our society tend to be hardest hit? We are doing everything we can to target benefits at those who need them most. For example, there are 600,000 disability claimants. Increasingly, we know that small groups of people desperately need the benefits but that many receiving them do not.
I quite agree. I would like to see a more generous regime for disabled people, as my hon. Friend rightly says. To pay for that, I have come up with suggestions both on getting more people back into work, which is the best way, and on dealing with the issue of eligibility so that only our own deserving cases get the generous treatment that we rightly expect.
In summary, the policy is not easy. Ministers have to watch to make sure that it does not become unintentionally more penal. We want much more work on the side of promoting jobs and growth because we come here to eliminate poverty, not to make it worse. It is also time for the Opposition to join the serious conversation about how we tackle these obstinate and difficult issues, given that the high-level aims—getting rid of poverty and making it more worth while to work—are, mercifully, shared across the House.