(2 weeks, 1 day ago)
Commons ChamberI congratulate all hon. Members who have made their maiden speeches today. The economic inheritance from the last 14 years could hardly have been any worse. Conservative Governments have serially undermined our public services: they stripped them of funding, made it harder to deliver and demoralised dedicated public servants. The impact of their political choices could not have been clearer. In multiple crises, which spanned from our NHS and social care to local authority services, schools, prisons, policing and criminal justice, housing and universities, instead of reinvesting to rebuild, they promised billions of pounds of entirely unfunded tax cuts in a desperate bid to cling on to power. They have been the vandals of our public services and our economy, and they have left this new Labour Government with a colossal and daunting task to restore and rebuild.
I welcome the Budget, which seeks to fix the foundations and begin the restoration that is needed. I regret that the actions of the previous Government mean that the road to recovery is so long. The additional £1 billion in the Budget for SEND is as welcome as it is essential. The crisis in the SEND system is the biggest current challenge in the education system, with far-reaching consequences for children and families who are being let down, schools that cannot meet the needs of their pupils, and local authorities that are being driven to the edge of bankruptcy by the costs. I urge the Government to ensure that SEND remains at the forefront of discussions in the comprehensive spending review, because £1 billion, while welcome, is only a third of the current in-year deficit in the SEND budget. The statutory override, which protects local authority general fund accounts from SEND deficits, is due to come to an end in March 2026, and local authorities will soon need certainty about what will happen after that date. Without a clear plan, more local authorities will be issuing section 114 notices—that is not something that the Government can allow to happen.
As a constituency MP, I want to use my remaining time to raise two other issues arising from the Budget. The additional funding for the NHS is desperately needed. The allocation for individual areas and health trusts has not yet been made. I want to make a particular plea for capital funding for King’s College hospital. King’s is currently facing severe financial challenges, which it is working hard to address, but that is made harder by a lack of funding for the essential equipment that staff need to increase productivity and deliver the services that patients need.
Finally, while the additional injection of £100 million for social housing in London and changes to the regulations on right to buy are welcome, the crisis in London is so deep that the Government must turn their attention to the local housing allowance, which must keep pace with rents in London to avoid even more families being forced into temporary accommodation, with knock-on consequences for local authority budgets.
The Budget seeks to fix the foundations and undo the damage that the Conservatives have done. There is much more to do, but the Budget is a very welcome first step on the road. I am pleased to vote for it today.
(2 months, 2 weeks ago)
Commons ChamberAs I have said in response to previous questions, we are looking at that with Treasury colleagues. In opposition, we made commitments to introduce a fairer business rates system. Work on that is being led by Treasury colleagues, who will bring forward proposals in due course.
Forty-seven per cent of the United Kingdom’s total trade is with the European Union, and improving trade is a central part of the Government’s ambition to reset our relationship with Europe. Ministers have already been engaging positively on trade issues with our EU and member state counterparts, including EU Executive Vice-President Dombrovskis, German Vice-Chancellor Habeck and Italian Minister Tajani. The Government are seeking the practical changes needed to ensure smoother trade between the United Kingdom and Europe—for example, on mutual recognition of professional qualifications, which have already been mentioned.
Goods exports to the European Union are still 11% lower than in 2019, before the Brexit agreement took effect. Can the Minister confirm that, in seeking to grow the UK economy, the Government will take an evidence-based approach to the UK’s trading relationship with our nearest neighbours, and will take all possible measures to remove the barriers to trade that are holding our country back?
I thank my hon. Friend for her question and her observation on the character of trade in recent years. There has been better performance on services than on goods, but she is absolutely right to recognise the fall in goods trade with the European Union. Overall trade since 2018 has essentially flatlined. That is why the Government are determined to reset our relationship with the European Union more broadly. Within that broader objective, we will look specifically at the border in order to achieve less friction for trade.