Expansion of the Ultra Low Emission Zone

Debate between Geraint Davies and Gareth Bacon

Tuesday 20th December 2022 Westminster Hall

[Geraint Davies (Swansea West) (Lab/Co-op)]

I rise as chair of the all-party parliamentary group on air pollution —I am of course the Member of Parliament for Swansea West, but I was formerly the leader of Croydon Council and an MP for Croydon—to support the ultra low emission zone. I am horrified to see so many outer London Conservatives gambling with people’s lives for their own political survival. We are 70 years on from the great London smog, yet 4,000 people in London are dying prematurely, 11 every day, from air pollution. As leader of Croydon Council, I introduced the Tramlink, 26 km of light rail. When I was in Croydon, I had to regularly take my oldest daughter to Mayday Hospital with asthma attacks because of air pollution. Now, in Swansea, my children have not had to go to hospital.

[Gareth Bacon (Orpington) (Con)]

Is the hon. Gentleman familiar with the report produced by Jacobs entitled “ULEZ Scheme Integrated Impact Assessment”? If he is, how does he square his comments about Conservative Members from outer London not caring about people dying of air pollution with statements in that report such as this?

“The Proposed Scheme is estimated to have a minor (NO₂) to negligible (PM_2.5) beneficial impact on exposure to air pollution and achieving WHO Interim Targets across Greater London.”

[Geraint Davies]

I am glad the hon. Gentleman mentioned that, because the expectation is that the expansion of the ULEZ will reduce PM_2.5 in outer London by 16%. He should know, but I am sure he does not, that studies at Harvard University and a Max Planck Institute found that covid deaths increased by between 8% and 12% when there was a marginal increase in air pollution from PM_2.5—an increase much less significant than the fall that I mentioned. That is particularly relevant to poorer, more polluted areas and more diverse communities. We are talking here about life and death.

We know from studies done that there will be a massive reduction in PM_2.5 and Nox as a result of the expansion. Indeed, there will be a major contribution towards mitigating climate change. The scheme already reduces carbon dioxide emissions by 12,300 tonnes; an expanded one will reduce it by 27,000 tonnes. We will be saving lives and saving the planet. The truth is that if we do not act, we will end up with 550,000 more people unnecessarily getting pollution-related diseases in the next 30 years, at an estimated cost of £10.4 billion. We should move forward on this. People who are neutral, such as the chief medical officer Chris Whitty, who has just released a report on air pollution, very much commend what Sadiq Khan is doing to save lives, as does the United Nations.

As a result of the ULEZ, there are 21,000 fewer vehicles in inner London and 67,000 fewer non-compliant ones—the latter figure is three times the former—so there are fewer vehicles overall. The scheme affects only 15% of vehicles—the most polluting—and £110 million has been set aside for scrappage schemes to enable conversion. The other thing to bear in mind is that the Government a year ago passed the Environment Act 2021. I wanted them to use COP26 to enforce World Health Organisation air quality standards, but instead, a year on, the Government are saying, “Why do we not try to get PM_2.5 at 10 micrograms per cubic metre by 2040?”, as opposed to 2030, which was the previous deadline. The limit prescribed by the World Health Organisation is 5 micrograms, which Europe will achieve by 2030. We could achieve that here—this is a condition of doing so—with ultra low emission zones. Instead, the Conservative position is, “No, we will not bother with that. We will play politics with this, and continue to have 3,600 children every year in London going into hospital with asthma”, as my daughter did. That is unnecessary—and despicable, because it is avoidable.

[Geraint Davies]

I am pleased to hear that the hon. Gentleman supports trams. I very much agree that we should move forward with trams across London and elsewhere. As an aside, the tram system cost us £200 million at the time. It was a public-private scheme with £100 million of private money and £100 million of public. We could get 1,000 of those schemes and integrated transport across Britain for the cost of HS2, but that is controversial and off the point.

We should certainly take people with us; the YouGov poll shows that people support the extension of the ULEZ by a ratio of 2:1. It is very easy to go round knocking on people’s doors and saying, “Do you agree with Sadiq Khan’s attempt to tax you more in this despicable way?”, but if we do a neutral, objective study through YouGov, we find that people support it by 2:1.

[Gareth Bacon]

Will the hon. Gentleman give way?

[Geraint Davies]

Yes, I will. The hon. Gentleman can carry on with more of his science.

[Gareth Bacon]

Is the hon. Gentleman aware that the figures quoted by Conservative Members come from the Mayor’s own consultation, in which 66% of people said, “No, don’t do this”? That was despite being asked a load of leading questions about air quality. Despite that, it delivered a two-thirds opposition. That was not people knocking on doors; that was the Mayor’s own consultation.

[Geraint Davies]

So that we are clear about how these consultations work, the Mayor, a devolved Administration or whatever puts out a consultation that says, “Tell us what you think”, and then groups of people campaign around it. They put in their submission and await the outcome. YouGov takes a representative sample; it found that people are in favour by 2:1. That is the answer. The hon. Gentleman should read up on how these things work, rather than spouting off about how they do not.

In a nutshell, we are talking about ensuring better public health, and ensuring that we reach World Health Organisation standards in time. This is a critical part of moving forward, because London is a sort of death spot in terms of pollution. If we do not get London right, we cannot move together as a nation. We will end up with these ridiculously unambitious targets of 10 micrograms by 2040, instead of 5 micrograms by 2030. I very much agree with what the Mayor has done; best of luck to him.

Finance (No. 2) Bill

Debate between Geraint Davies and Gareth Bacon

Committee stage & Committee of the Whole House (Day 2)
Tuesday 20th April 2021 Commons Chamber

[Gareth Bacon (Orpington) (Con)]

As the Committee is aware, this year’s Finance Bill is presented at an unprecedented time in British peacetime history. The pandemic has hit the economy very hard, and the Government have not stood idly by over the past year. Extensive levels of economic interventions have been introduced to protect jobs, businesses and our people in order to help them through this pandemic. The impact of this on the state of the public finances has been drastic, with the budget deficit rising to £355 million in 2020-21 and our national debt rising to £2 trillion.

That is of course not a sustainable position, but, as we know, the tide is turning. The Government’s excellent vaccine planning, procurement and roll-out means that we can now see the end in sight. The economy and society have begun to open up, but we are not there yet. The Budget introduced by my right hon. Friend the Chancellor of the Exchequer in March therefore had to achieve a very delicate balance in maintaining high levels of economic support during the continuing global health crisis while also laying the groundwork to repair the public finances and support our economic recovery.

The part of our economy that is the housing market comes in both property sales and construction. I will address my remarks primarily to the decision to extend the temporary stamp duty land tax holiday. As my right hon. Friend the Minister said, when the pandemic struck and the first lockdown began in March last year, the housing market experienced a sharp decline in sales, falling by 43% in the second quarter of the financial year compared with the same period of the previous year. Historically, a sharp drop in transactions, if left unchecked, has led to a fall in the level of house building. The Government’s action in introducing revised thresholds at the lower end of the market, abolishing stamp duty on the first £500,000 of the purchase price and setting the level at 5% for the next £425,000, has greatly alleviated the problem. In my constituency of Orpington, the average house price is currently £528,000, and the Government’s intervention has reduced the level of stamp duty on an average transaction by 91%, leading directly to a strong recovery in the local housing market.

That recovery is also reflected in the picture nationally. According to HMRC figures, in the third quarter of the most recent financial year, housing sales increased exponentially on the previous quarter, and in the fourth quarter transactions were at their highest level since 2007. In the short term, that is extremely welcome because the Government have achieved their objective of stabilising the housing market and maintaining confidence in the construction market. By introducing an extension of the initial stamp duty holiday, followed by a tapering of relief, the Government have taken steps both to remove the danger of a cliff edge that could have reversed all the good work done in the latter half of last year and to prevent an unsustainable long-term boom in house prices. I believe that is the right approach at this juncture.

In the longer term, though, I urge the Government to take a long, hard look at the structure of stamp duty. Stamp duty thresholds have not kept pace with the rise in house prices, meaning that stamp duty has become a significant barrier to purchasing. That is particularly true in places such as Orpington, and even more so in other areas of south-east England in particular, where housing shortages are most acute. In the light of the strong link between house construction and housing transactions, coupled with the Government’s desire to ramp up house building and level up the country, a review of the wider stamp duty regime would bear consideration. However, that is an argument for another day, once the battle with the pandemic is finally won.

For the moment, I believe that the extension of the stamp duty until the end of June is the right move, and its tapering from the end of June until October is both proportionate and unwelcome. I will support the Government on the issue this evening.

[Geraint Davies (Swansea West) (Lab/Co-op) [V]]

The stamp duty holiday tells us all we need to know about the Government’s priorities. Amid an awful pandemic that has seen the highest death rates in the world, when something like 4 million people have been infected and many of them will face long covid, and when something like 7.6 million people are in hunger, we need investment in the wider economy to get us moving again. In fact, with the stamp duty holiday the Government have spent much of £5 billion, over two years, on second homes. That £5 billion could have paid for 5% increases in nurses’ salaries over 15 years, given that a 5% increase would cost £330 million after allowing for the recovery of the tax on the money given in the first place.

In any case, it is not clear that the stamp duty holiday was at all necessary to stabilise the housing market, because immediately as the pandemic began to hit, the Bank of England reduced interests rates and in so doing reduced mortgage costs, supported prices and increased landlords’ margins at a time when tenants were still required to pay their rents. Given that the Bank of England had already taken action to support the market, the stamp duty holiday simply increased house prices by something like 7% between July and December 2020. That is not the right priority, and it is certainly not the right priority to invest money in second homes for people who are basically making money out of that investment from taxpayers and boosting the prices that first-time buyers face. That is why in Wales, where we have a Labour Government, second homes were not included in the stamp duty holiday, which was quite right. I therefore support amendment 81. Indeed, in Wales, we have made provision so that there are no rough sleepers during this pandemic, whereas in England, of course, there are.

The stamp duty holiday will mean that first-time buyers will find it more difficult to buy a house because deposits will need to be bigger. We are moving to a situation in which young people who want to buy a house will almost always have to depend on their parents to do so, so the distribution of the opportunity to buy a house in Britain is getting worse and worse.

In a nutshell, this Budget should have invested in all our opportunities to raise productivity, increase the number of jobs, focus on the future and keep people healthy. Instead, it has been seen as an opportunity to focus on widening inequality unnecessarily. I very much support the Labour party’s amendments.