Oral Answers to Questions

Debate between George Osborne and Jacob Rees-Mogg

Tuesday 1st March 2016 Commons Chamber

[Mr Osborne]

I know that Russia Today is the favoured channel of the Labour leadership, but this is Treasury questions. We are raising with the European Union—this is another example of where being part of a bigger club helps—the possibility of getting a pan-European agreement for country-by-country public reporting so that we can see what multinational companies are paying in different countries. Of course, our ability to achieve that is amplified by being part of the EU.

[Mr Jacob Rees-Mogg (North East Somerset) (Con)]

If my right hon. Friend’s rather apocalyptic view of our leaving the European Union is correct, was it not irresponsible and inaccurate of the Prime Minister to say that he ruled nothing out prior to the completion of the most unsatisfactory renegotiation?

[Mr Osborne]

We have secured a renegotiation that I think addresses the principal British concerns about our membership of the European Union, and now we can advocate membership of this reformed EU. I think we will be stronger, safer and better off in that European Union.

Tax Avoidance (HSBC)

Debate between George Osborne and Jacob Rees-Mogg

Monday 23rd February 2015 Commons Chamber

[Mr Osborne]

Unfortunately for the hon. Lady, the Labour party had 13 years when they had a Labour Chancellor standing at this Dispatch Box able to introduce all these things she talks about. As I have said, we are looking very seriously in the Budget at what further action we can take to tackle not just those who evade their taxes, but those who facilitate that evasion.

[Jacob Rees-Mogg (North East Somerset) (Con)]

Does this question itself show the danger of eliding tax avoidance and tax evasion? There is no obligation on anybody to pay more tax than the law requires and even the most respectable families have schemes of arrangements to minimise things like death duties, whereas tax evasion is a very serious criminal offence which should be come down on with the full force of the law.

[Mr Osborne]

rose—

Autumn Statement

Debate between George Osborne and Jacob Rees-Mogg

Thursday 5th December 2013 Commons Chamber

[Mr Osborne]

I would say to his constituents, and anyone else, that times have been incredibly difficult for this country because we had the deepest recession in this country’s modern history. We had a 7% fall in GDP, which makes the country poorer. I argue that the best way to help that family, and many other families, is by keeping mortgage rates low and ensuring that more and better jobs are created in the economy, and that people can work longer hours if they want to. All those things are happening because we are standing behind our businesses and have control of our public finances. We are now investing in the next generation to ensure that that family can have a brighter future.

[Jacob Rees-Mogg (North East Somerset) (Con)]

Somerset celebrates the fact that the iron Chancellor has shown his true mettle. Following his comments about the dynamic effect on corporation tax, will he consider whether that may have an effect on other taxes, and will he look to the dynamic effects of tax cuts in future statements?

[Mr Osborne]

My hon. Friend is assiduous in his observation of these matters, and he will have spotted the first step in a quiet revolution. The Treasury has produced a dynamic model for tax reduction—in this case, for corporation tax. At the moment that sits alongside the static, more orthodox, model that the Treasury has always used. That dynamic model—which we have made available and will, of course, be subject to scrutiny—shows that reductions in corporation tax not only increase investment in this country, but as a result cost less than the scorecard method we normally suggest. We certainly intend to roll out that approach, as they say, to other taxes.

Oral Answers to Questions

Debate between George Osborne and Jacob Rees-Mogg

Tuesday 12th March 2013 Commons Chamber

[Mr Osborne]

We are increasing capital spending more than in the plans we inherited from the Labour Government. This Government are spending more on roads than the previous Government did and, of course, the deficit has come down by 25%.

[Jacob Rees-Mogg (North East Somerset) (Con)]

Although article 153(5) of the treaty on the functioning of the European Union may be esoteric to some, it is rather important because it prohibits the European Union from running an incomes policy. It seems to me that the bonus limit is an incomes policy; it is not a power of the European Union and therefore ought to be resisted by the Government by all possible means. Will the Chancellor take it to the European Court of Justice?

Economic Policy

Debate between George Osborne and Jacob Rees-Mogg

Monday 25th February 2013 Commons Chamber

[Mr Osborne]

We are very clear that if we lost control of the country’s credibility in the international markets, as Labour would, interest rates would go up and families would pay more. The truth is that because of the credibility of our economic policy, interest rates are low and have stayed low today.

[Jacob Rees-Mogg (North East Somerset) (Con)]

I wonder whether I may remind the Chancellor that Standard & Poor’s is facing proceedings from the United States Government for fraud and that Moody’s is likely to follow? Moody’s has just downgraded a country whose debt is all denominated in its own currency, which is a fiat currency. That is absolutely nonsensical. Will he therefore join me in citing Lord Chesterfield and telling them that they are foolish people who do not even know their own foolish business?

[Mr Osborne]

I think that it was Lord Chesterfield who provided advice to his son in that famous book, and I am sure that the advice included, “Don’t spend more than you’ve got.”

Sovereign Grant Bill

Debate between George Osborne and Jacob Rees-Mogg

Thursday 14th July 2011 Commons Chamber

[Jacob Rees-Mogg (North East Somerset) (Con)]

Will my right hon. Friend confirm that in the theoretical circumstance that a new monarch decided to keep the Crown Estate revenues, it would be open to such a monarch to do so?

[Mr Osborne]

I think that that is pretty unlikely and pretty theoretical, to be honest. Since 1760, it has been an established precedent that the monarch hands over the revenues of the Crown Estate to the Government of the day. There are many powers that we vest in our monarch. The Queen has wisely, like her predecessors, chosen not to use those powers. As I say, I think that that question is pretty theoretical.

Oral Answers to Questions

Debate between George Osborne and Jacob Rees-Mogg

Tuesday 12th October 2010 Commons Chamber

[Mr Osborne]

Quite frankly, being in opposition involves choices, just as being in government does. The right hon. Gentleman talks about the Budget; there is a simple choice before the House today, which is whether we proceed with a graduate tax. Lord Browne’s report says that such a tax would add £3 billion to the deficit and would not produce savings until 2041. That is a real choice on the deficit before us today. The right hon. Gentleman is the shadow Chancellor and opposes a graduate tax; is he going to assert his authority over Opposition tax policy?

[Jacob Rees-Mogg (North East Somerset) (Con)]

5. Whether he has assessed the merits of returning responsibility for debt management to the Bank of England.

Financial Services Regulation

Debate between George Osborne and Jacob Rees-Mogg

Wednesday 16th June 2010 Commons Chamber

[Mr Osborne]

I agree with every word that my hon. Friend said.

[Jacob Rees-Mogg (North East Somerset) (Con)]

May I declare an interest, as I am regulated by the Financial Services Authority? Does the Chancellor agree that boom and bust is part of the human condition, we will never get away from it, and the best that regulation can do is ameliorate extremes, not stop boom and bust altogether?

[Mr Osborne]

I am not sure whether the Labour party in opposition will keep its promise to abolish boom and bust, but it proved pretty disastrous in government. All of us welcome the fact that my hon. Friend will no longer be regulated by the FSA, and instead will be regulated by the Whips Office.

Office for Budget Responsibility

Debate between George Osborne and Jacob Rees-Mogg

Monday 14th June 2010 Commons Chamber

[Mr Osborne]

We are providing support to the economy, first, by providing a transparent account that commands international confidence, and secondly, by committing to a clear plan to reduce the budget deficit and taking in-year measures that have commanded international confidence. That has led to a reduction in market interest rates for this country and given enormous support to the economy.

The final point that I would make to the hon. Lady is this. Let us not forget the situation that we inherited: the largest budget deficit in the developed world; rising unemployment; industry that had been brought to its knees; business investment that had collapsed. That is the situation that we are trying to recover from.

[Jacob Rees-Mogg (North East Somerset) (Con)]

Will the Chancellor consider asking the Office for Budget Responsibility to think about tax cuts to help economic growth, thereby bringing our budgetary system into a better situation?

[Mr Osborne]

Sir Alan will give evidence to the Treasury Committee when it is formed, but one of the things that the Office for Budget Responsibility will do is cost Budget measures, including the impact of tax and spending changes. That will revolutionise how Budgets are put together, as well as how the House can scrutinise them, because hon. Members will be able to see that the costings are independently verified, rather than being ones that the Chancellor has signed off.