(3 years, 1 month ago)
Commons Chamber(4 years, 10 months ago)
Commons ChamberIt is a pleasure of sorts to follow the right hon. Member for Wokingham (John Redwood) and the hon. Member for Stone (Sir William Cash). On the issue of sovereignty and democracy, it is worth remembering something. The basis of the 2016 referendum was one person, one vote, one issue, and there was a clear majority then to leave. In 2019, we had another vote, a general election, and had that been counted on the same basis—one person, one vote—we would have had 14.5 million voting for the oven-ready Brexit on offer and 16.5 million voting for a people’s vote or remain. Obviously, that vote was on a different basis—on a constituency representation basis and on a number of issues—and the clear decision was for a Conservative Government with a majority of 80. That is clearly understood, but to try to conflate the two is wrong. In fact, there remains a compelling case that the oven-ready Brexit being railroaded through—in my view, a reckless Brexit that would undermine the sovereignty, power and financial and trading credibility of Britain—should go back to the public for a final vote.
I gently remind the hon. Member that during the election senior Labour people argued passionately that it was fine for a leave voter to vote Labour and that they were not all in favour of what he has just said, so I do not think he can say that in all cases the Labour vote was definitely a vote for remain or a second referendum.
To be clear, I said that the proposition was remain or public vote on the deal. The Labour party position essentially was that the oven-ready Brexit would be bad for Britain—it would make us more divided, weaker, poorer, more isolated and so on—and that we could put together a better Brexit that protected our jobs through trading alignment and our environment and workers’ rights through dynamic alignment of those conditions.
(7 years, 9 months ago)
Commons ChamberI do not disagree with that at all. I am very happy for the House to have a vote on whether the new deal is worth accepting, but that would be in the context of leaving the EU. I agree with my right hon. Friend the Prime Minister that no deal is better than a bad deal. If the best the Government can do is a bad deal, I might well want to vote against that deal in favour of leaving without a deal. That is exactly the choice that Government Ministers are offering this House. It is a realistic choice and a democratic choice. It is no choice to pretend that the House can re-run the referendum in this cockpit and vote to stay in the EU. We will have sent the article 50 letter. The public have voted to leave. If this House then votes to stay in, what significance would that have and why should the other member states suddenly turn around and agree?
If the right hon. Gentleman wants to maximise negotiating leverage, would it not be better to delay article 50 until after the elections of the new German Government in October and the new French Government in May? We will have only two years, so that would give us the power of having more time to negotiate while we are member, instead of giving that up. If we were to offer a referendum to the people before we trigger article 50, European countries might think that we could stay in, so they might come to the table before article 50 was triggered.
I do not think we should have two referendums on whether or not we leave. The issue is our future relationship. The House is perfectly capable of dealing with whether we accept the future relationship that the Government negotiate.
The point that Opposition Members and their amendments miss is that once we send the article 50 letter, we have notified our intention to leave. If there is no agreement after two years, we are out of the European Union. The right hon. Member for Gordon (Alex Salmond) rightly asked whether the notification is irrevocable, but he did not give his own answer to that. I found it very disappointing that the SNP, which takes such a strong interest in these proceedings, has no party view on whether it is irrevocable. Personally, I accept the testimony of both the Attorney General and the noble Lord who was the advocate for the remain side in the Supreme Court case that it is irrevocable. The House has to make its decision in light of that.
As far as I am concerned, this is irrevocable for another democratic reason: the public were told they were making the decision about whether we stayed in or left the EU. Some 52% of the public, if not the others, expect this House to deliver their wishes. That was what the Minister told this House when we passed the European Referendum Act 2015. Every voter in the country was told by a leaflet sent at our expense by the Government: “You, the people, are making the decision”. Rightly, this House, when under the Supreme Court’s guidance it was given the opportunity to have a specific vote on whether to send the letter to leave the European Union, voted to do so by a majority of 384, with just the SNP and a few others in disagreement. It fully understood that the British people had taken the decision and fully understood that it has to do their bidding.
(8 years ago)
Commons ChamberI admire the passion and enthusiasm of the hon. Member for Norwich South (Clive Lewis), but I would like him to reflect a little on what I put to him in an intervention: this is a unique moment in the House of Commons where Government and Opposition are completely united on something very fundamental. I strongly believe my right hon. Friend the Secretary of State and the Government he speaks for when they assure us that every right in the UK directly deriving from European law will be faithfully transferred into UK law and will be safe all the time they are governing this country from this Front Bench—and should the public decide at some point in the future to replace this Government with a Labour Government, I am quite sure they will offer exactly the same assurance.
It seems to me that we have for once got a wonderful understanding or agreement between the two parties. So I just ask the Labour party to understand that sometimes they have won—that sometimes they are in agreement with the Conservatives, and, as disagreeable as they may find that, surely it is cause for celebration that both main parties wish to advance employee rights, and have absolutely no wish to undermine employee rights that currently come from the EU and wish to offer the legal framework to protect them. So I repeat again: will the Labour party now agree to welcome and support the great reform Bill when it shows that all those crucial rights—not just the worker rights, but the environmental rights and the others they have mentioned—will be transferred?
But does the right hon. Gentleman not accept that if businesses face higher costs through tariffs and Britain wants to attract international inward investment platforming into Europe, it will move towards reducing costs in respect of public health and the environment and, in particular, workers’ rights, which are currently guaranteed through the European Court of Justice but will no longer be guaranteed other than in a sort of gentleman’s agreement here which is not sustainable in law?
That is another piece of evidence—of which there is so much—that it was not an advisory referendum. We know that from ministerial statements at the Dispatch Box, from the Hansard records of the passage of the legislation and from the leaflets that were sent to every household. That was one of the few things on which the remain campaign and the leave campaign agreed. Both stressed to the voters the fact that this was deathly serious, that it was their decision and that if they got it wrong, they might not like the answer. Indeed, the whole purpose of the remain campaign, as I saw it, was to terrify people. It worked on the premise that if we voted to leave, we would be out. I remember Mr Dimbleby announcing the final result on television—the BBC was a bit reluctant to get to that point, but it eventually did so—that we were out of the European Union. He did not say, “Oh, we’ve just had an interesting advisory vote and maybe some people in Parliament will now think they ought to do something about it.”
A lot of the Brexiters I have spoken to voted for Brexit on the basis that there would be lower costs—the figure of £350 million a week was mentioned—yet we are now going to tear up the deficit plans in the autumn statement. They also voted on the basis of continuing market access, which is now at risk from tariffs, and of lower migration, which is obviously going to go up in the next two years as people run in through the door. Does the right hon. Gentleman not agree that the British people should have a referendum on the exit package when they can see whether what they reasonably expected has come to fruition? They could then vote to leave if they wanted to, and if not, they could vote to stay in.
There is absolutely no point in having a referendum on the exit package. By the time we get to that point, we will already be leaving. The people have decided to leave. If we had a vote on the exit package and decided that we did not like it, the rest of the European Union would not say, “Oh, we’re very sorry, United Kingdom. We’ll improve your exit package.” Absolutely no way! They would say, “We are absolutely fed up with you, United Kingdom. You can’t make up your mind, you mess us around and you dominate the agenda with things we don’t want to talk about. You are out!” We have to understand that some of our partners have only a limited amount of patience. Some of them do not have very much patience already.
I regard my views and my vote as being those of a good European. I have always understood the full nature of the European project. It is a noble ideal to unite countries around a united currency, a political union and much more collaborative working. I also know that the British people, including myself, do not wish to do that. It is too close for us. That is why the British people have made the bold, heroic and sensible decision, as good Europeans, to say, “We don’t want to join the currency. We don’t want to join Schengen. We don’t want to join the next bit, which will be the political union.” So is it not good that Britain has honestly said—
(9 years, 5 months ago)
Commons ChamberWhat matters is the rate of change. The Labour Government were borrowing too much at a time when the economy was overheating and collecting a lot of tax revenue, and we have been trying to right that mistake ever since.
I think it would be helpful if, in this Parliament, we could have a more grown-up discussion about public spending and tax revenues than we were allowed in the last Parliament, because the meaning of austerity has shifted. It now has a narrower definition than the disaster that hit living standards and individual families in 2008. To the so-called progressive parties, austerity now means not increasing public spending as quickly as they think that it should be increased.
Let me remind the House what successive Red Books—Budget books—have told us about what happened between 2010 and 2015, and what they tell us will happen between 2015 and 2020, subject to the Chancellor’s Budget. It is very easy to remember. Between 2010 and 2015, the coalition Government increased total public spending by £1,000 per person per year, if the final year of those five years is compared with the starting point. The recently elected Conservative Government plan to do exactly the same: they wish to increase total public spending per head by £1,000 per person a year by the end of the current Parliament. That is not a huge rate of growth, but it is not an overall decline or a cut.
Because we inherited such an enormous deficit and could not continue to borrow on such a scale, we were—as a result of VAT increases and the general increase in revenue from some economic growth—charging people £2,000 a head more per year at the end of the last Parliament than the Labour Government did in their last year. This Parliament requires exactly the same increase, without any rate rises but coming from faster growth in the economy. The Red Book’s aim is that we should charge everyone £2,000 extra a year by the end of the Parliament than at the beginning. I think that that is a measured and sensible proposal to rescue us from enormous borrowing and a big debt hole, and I think it can work. I especially welcome the fact that, this time, it will require no tax rises.
The right hon. Gentleman may know that the number of people earning over £20,000 is now 800,000 lower than it was in 2010, and those higher-paying jobs have been chopped up into little part-time, low-wage, zero-hours jobs. That is why the tax revenues are not coming in and that is why debt as a share of GDP has gone from 55% to 80%. Admit it: you have failed.
That is a bit rich from the party that crashed the car and did all the damage to living standards in 2008. Would I like it to be going faster? You bet I would like it to be going faster, and so I am sure would the Prime Minister, but it has to go at a pace that can be achievable without taking risks and making it worse in the way that Labour did.
My party is not the party of low pay. We want people to be better paid. It is just that we have an economic policy that may deliver better pay; the Labour Government’s policy clearly did not, because they drove people out of work. They abolished the bonuses and they drove wages down by their dreadful recession, and that recession was caused by a combination of their mistaken economic policy and, above all, their mistaken misregulation of the banks. They should have stuck with the regulation of the banks we had before ’97. We never did anything like that with the banking system. We never had a run on a major bank under the Conservatives. We never had a big recession created by a banking crash. Labour needs to understand the history and understand that in future we have to follow different policies to try to avoid that.
I also wish to speak for England. I am very pleased that the Gracious Speech says that there will be early progress in making sure that those MPs elected for England can make more of the decisions that relate only to England. I hear that the SNP are already saying that that should be in legislation. I think it is entirely right that in the first instance it should be done by amending the Standing Orders of this House of Commons. It can be done simply and quickly, and it is judge-proof and it is proof against challenges from outside this place. If we want a sovereign Parliament, sometimes this Parliament has to act in a sovereign way, and surely we can be sovereign over our own votes and procedures.
(13 years, 7 months ago)
Commons ChamberOf course I welcome that. One of the big barriers to entry and to more effective competition for the large companies in Britain is the weight of regulation, which hits anyone who tries to start up a new business. I have done it in the past and I know what it feels like. One has to raise a lot more extra money because for six months to a year one is just trying to comply in many areas before one can trade. Yes, of course we want sensible regulation. We do not believe in an unregulated world. We believe in the law of contract. We believe that people should have a duty of care towards their staff and their customers, but if there are too many and too detailed competing types of prescriptive regulation, it puts people off and they say, “It’s too expensive. I can’t be bothered.”
But does the right hon. Gentleman agree that the issue for small business today is not so much regulation as liquidity and lending to SMEs by the banks? A constituent of mine, Alun Richards, is on hunger strike. He had a business with net assets and a limited amount of debt, and Lloyds bank came along and withdrew the debt. Now he is going bankrupt because he has no working capital. Does the right hon. Gentleman agree that that is disgraceful, particularly from a bank that is owned by the taxpayer? Poor old Alun Richards wants to run his business, not to be undermined by the banks. What are the Government doing about that?
Of course I agree that if there is a solvent and enterprising business and it is not getting proper banking facilities, that is very bad indeed. It is particularly bad if it is a state-owned or state-influenced bank that is responsible.
My final points are about banking, as time presses and many others want to speak. Of equal importance to the weighty matters covered by the Chancellor today will be the Vickers report and the Government’s response to it. I believe that we will have interim conclusions from Sir John Vickers on 11 April. We are not going to have fast, sustained, above-average growth in this country unless we sort out the banks a little more than we have done so far. All colleagues in the House are united in having individual cases where they feel a company could have been saved or could have grown more rapidly if only there had been more sympathetic or understanding bank managers and facilities. There is a problem with British banking serving the SME sector town by town, county by county. There is a lot of talent in the banks, concentrated at the national level and in the big national accounts. Many hon. Members like to knock those people, but they made an important contribution to the growth rate under the previous Government and to our economy.
I certainly hope that when we see the Vickers report and have a proper debate on it we will be able to find sensible ways of promoting much more competition in the domestic banking market. We need more competition on the high street for individuals and families and more competition in town centres for SMEs, which in previous generations probably had better and more direct relationships with local bank managers, who had a bit more authority to grant loans and make money available on judgment than is currently the case through the box-ticking, centralised computer systems.
In that case, and given the last intervention, does the right hon. Gentleman agree that perhaps the Budget should have introduced tax relief or tax credits for individuals wanting to invest in SMEs, because venture capitalists want too high a return and the banks are failing the small business sector? We want an inclusive economy. Surely there should have been some support for SMEs so that we could all invest in small businesses more effectively.
That is exactly what the Budget contained. I think there was a revamped and revised enterprise investment scheme and an improvement in the capital gains treatment for successful entrepreneurs. It is always nice for new people setting up small businesses to be able to dream, and why should those of them who are successful not keep the proceeds if they have created jobs and done so much?
The outcome of the Budget will depend on two important considerations: whether we can put enough measures in place along the lines that the Chancellor has laid out for promoting growth; and whether there is a happy and sensible resolution to the banking problems as they affect SMEs and the wider public in Britain. There has been much discussion of the big banks, the investment banks and all those sorts of issues, but we now need to laser in on how the banks serve local communities and the SME sector. We need a more pro-competitive answer. I have some thoughts on how we could do that, but will not detain the House with them because today is not the day for that. However, without such measures the Budget will find it difficult to deliver the very large figures for increased revenue on which the whole plan rests.