The Economy and Work

Heidi Allen Excerpts

Thursday 26th May 2016 Commons Chamber

[Sir Edward Leigh]

We can certainly try it, but the difficulty is that we would have parish councils, district councils, a county council—which, by the way, the Conservatives have controlled for most of the last 100 years —an elected mayor, a police and crime commissioner, a Member of Parliament and a Member of the European Parliament. It would just be too much, frankly. Too many jobs for the boys!

[Heidi Allen (South Cambridgeshire) (Con)]

Would my hon. Friend consider jobs for the girls too?

[Sir Edward Leigh]

Absolutely. My hon. Friend has made some important contributions to our debates in the past year and I welcome what she says. I know that she has taken an interest in tax credits, and I believe that we have to make more progress in cutting welfare in order to cut the deficit, but it is probably a mistake to cut the welfare benefits or tax credits of people who are already on small incomes and depending on their tax credits. We have to give plenty of warning if we are going to do that. That is surely the lesson that we should learn from the debate on the raising of the pension age for women. We should have given proper notice of that. We did give 20 years’ notice, but we did not write to every woman saying, “Dear Mrs Jones, your pension age will be increased in 20 years’ time.” That is what we should have done, and we should learn from that.

On the point made by the hon. Member for Dundee East (Stewart Hosie), I am an enthusiast for lower regulation and lower taxes, but we have the longest tax code in the world, and there is still much progress to be made in that regard. My right hon. Friend the Chancellor knows, because I have said this to him again and again, that I hope he will try to simplify the tax and benefit system with every Budget he introduces. I hope that he will strip away allowances and converge taxes so that we no longer have armies of accountants advising people how to avoid tax. We have made all too little progress on simplifying and converging our tax system. I know that it is difficult. I know that we cannot do it all in one step. I know that we cannot have an absolutely flat tax system because the top 1% of earners pay 25% of all taxes. I know all that, but we should make more progress every year in simplifying and merging the tax system.

Before I sit down, the Chancellor talked about announcements that have been made today, but there was an important announcement on immigration figures. The fact is that we still have net migration of 300,000 people into this country every year. It is absolutely unsustainable. We welcome people from eastern Europe coming to work here. I more than any other welcome Polish people and their culture of hard work. However, net migration of 300,000 people a year, fuelled by the imposition of the living wage on businesses and by an unreformed tax credit system, is simply unsustainable, particularly for London and the south-east. There is a vision of Britain leading the world towards free trade, controlling its own borders and proclaiming the supremacy of Parliament, and that is why, on 23 June, I for one shall be voting to leave the European Union.

--- Later in debate ---

[Heidi Allen (South Cambridgeshire) (Con)]

Somebody once told me that there is no such thing as luck. Luck, they said, is a place where opportunity and preparation meet. Many of us in this Chamber will have grown up with everything pretty much sorted: a stable family, a decent household income, a great education and good health—that perfect mix that prepared us to control our lives and to make use of opportunities that came our way.

When we talk about a life chances strategy, therefore, we are talking about identifying the things the Government can do to plug the gaps for individuals who are not as fortunate as us and for whom one of those key ingredients is missing. I applaud the Prime Minister for making this one of the essential themes in his work. It is certainly why I came into politics. Now we have the challenge of translating that policy aspiration into detail. That challenge is huge, not just because we are still recovering from economic turbulence, but because one of the solutions cannot be so easily measured, nor have metrics attached. People transform the lives of others, with hearts, heads, promises, support, mistakes sometimes, but above all trust.

Returning to my premise that this is all about opportunity and preparation, Government can certainly develop policy to provide the opportunities, and they have done that very well already, with an improving economy, record levels of employment, an increase in the minimum wage, transformation of the benefits system, investment in the NHS, and help to buy schemes. Admittedly, we would all agree that we have much more to do on affordable housing, especially in constituencies like mine, and we are still uncovering the enormity of the mental health challenge, but overall those policies will provide those essential opportunities, and many millions of people are benefiting from them already. Focusing on the preparation part of the luck equation, how do we help those who do not have those building blocks? When I think of all the people I know who have transformed their lives, the single common denominator has, without fail, been another person. There may have been Government interventions in the mix somewhere—a grant to set up a business, perhaps—but alone that would not have been enough. When you really need to turn your life around, you need another human being to help you.

Every Government Department has a role to play. Ministers need to identify where people touch their Departments and embed the big society in their areas of responsibility. The Department for Communities and Local Government has been fantastic on troubled families. Croydon Council is doing amazing work to break down internal silos to put the best interests and potential of its residents at the heart of everything it does. I applaud the Department for Education for its work on local employees being mentors for children. What about the parents, too? Think of Billy Elliot’s father! Our GPs are also at the heart of this support, but Lord knows, they are at breaking point and they may need the extra funding to be provided now.

Another army of mentors and champions is desperate to help this revolution—those in the third sector, almost totally frozen out of the Work programme but desperate to get involved. We should bite their hands off and bring their expertise to the centre of this debate. One thing they have in abundance, far more than any politician or Government, is trust in the people they want to help.