Autumn Statement

Debate between George Osborne and Lord Beith

Thursday 5th December 2013 Commons Chamber

[Mr Osborne]

First, all receipts from any of these tax measures are now independently audited by the Office for Budget Responsibility, so there is an independent audit. The truth is that some of these taxes turn out to raise less than we hoped, and some raise more. For example, we are getting less from Switzerland, and we are speaking directly with the Swiss Government about that, but the deal with Liechtenstein is bringing in more money than was forecast. Some of the other measures we have taken—for example, to prevent the avoidance of stamp duty on residential property, particularly in London—are raising more money than forecast.

On the OECD, the United Kingdom and the Prime Minister have led the effort at international level to get international rules on base erosion and profit shifting to make sure that there is a global response to a global problem.

[Sir Alan Beith (Berwick-upon-Tweed) (LD)]

Do not cutting tax on low pay, helping small business, freezing the petrol tax and getting from recession into growth show what can be achieved when two parties are prepared to work together and take the tough decisions that Labour would not have had the courage to take?

[Mr Osborne]

I agree with the right hon. Gentleman. In 2010, there was a hung Parliament and the potential for political paralysis in this country, but two political parties from different political traditions came together. It is a remarkable testament to the strength of this Government and the leadership of the Prime Minister and the Deputy Prime Minister that we can put together these complicated, difficult autumn statements, with difficult decisions being taken on things such as the pension age, public expenditure in Whitehall and tax avoidance. We can do that together; of course, I would rather do it alone, but that is up to the British people in the next election.

Autumn Statement

Debate between George Osborne and Lord Beith

Wednesday 5th December 2012 Commons Chamber

[Mr Osborne]

I do not think that the right hon. Gentleman has the right figures. We are increasing the amount recovered from taxes that should have been paid from £13 billion under the Labour Government to £20 billion. That £7 billion increase, plus the £2 billion that I have announced today, makes a £9 billion increase in the taxes that should have been collected and that we are now collecting. I hope he will welcome and support that. By the way, we have also got rid of the situation that happened when the current Leader of the Opposition and the shadow Chancellor were in the Treasury, in which people in the City were paying lower tax rates than the people who cleaned for them. We have dealt with that problem.

[Sir Alan Beith (Berwick-upon-Tweed) (LD)]

Will the Chancellor note that businesses in the north-east will welcome the announcements that he has made today, including that of the removal of bottlenecks on the A1 south of Newcastle, but that there will be concern that he has not yet announced any progress towards dualling the A1 north of Newcastle, a project that his own party promised in 1992?

[Mr Osborne]

I am glad that my right hon. Friend welcomes the decision to increase the A1 to motorway standard between the M25 and Newcastle. He makes a powerful point about the A1 north of Newcastle, and I can tell him that the Chief Secretary to the Treasury is also a powerful advocate of that road scheme. It is one of the things that the Department for Transport will look at as well, so it is certainly not off the cards. What I have committed to today is the dualling of the A1 up to motorway standard all the way to Newcastle.

Financial Assistance (Ireland)

Debate between George Osborne and Lord Beith

Monday 22nd November 2010 Commons Chamber

[Mr Osborne]

What I am proposing is a bilateral loan to another sovereign nation as part of an international package. Of course, I am doing it to provide stability for the entire UK economy, including the economy of Sheffield. I believe the steps that we have taken in the past six months to move this country, with the highest budget deficit in the G20, out of the financial danger zone provides the platform for economic growth, as it does for the rest of the UK.

[Sir Alan Beith (Berwick-upon-Tweed) (LD)]

Does the Chancellor realise that our constituents were very angry indeed at having to bail out mismanaged British banks, and will be even angrier at having to bail out even more irresponsibly managed Irish banks? Will he not have to give a clearer picture of some of the consequences for the British economy if such action is not taken?

[Mr Osborne]

I make two observations. The first is that this is a loan to a sovereign nation state and, barring a really extraordinary turn of events, we would expect Ireland to pay us back. So we are making a loan to another sovereign nation that we fully expect to be paid back. The long history of international packages shows that the IMF and others get their money back in almost all circumstances. This is a loan that we can afford to make and which we will get back. Secondly, there is a broader observation about banking systems in Ireland, the UK and elsewhere. They became vastly over-leveraged and vastly over-borrowed and they were very badly regulated. The assurance that I can give my constituents and those of the right hon. Gentleman is that we are sorting out the regulation of the UK banks. We hope that the Irish Government are now dealing with the situation of the Irish banks. They were interconnected with the UK and made a lot of loans in the UK, and it is in the interests of us all that we sort out the Irish banks as well.