Budget Resolutions and Economic Situation

Janet Daby Excerpts

Tuesday 21st March 2023 Commons Chamber

[Janet Daby (Lewisham East) (Lab)]

I have spoken in every Budget debate since I entered this place, and the fiscal statement under the Government of the right hon. Member for South West Norfolk (Elizabeth Truss) was the absolute worst. Thirteen years of Tory Government have brought us to a place where every public institution in our country is in crisis. We see that in strike action from civil servants to teachers and ambulance drivers—the list goes on. It tells us that the Government are consistent at failure.

Although there are some positives in this Budget, it comes across as a Tory manifesto launch that borrows much Labour policy. The Government should be concerned about the low growth of our economy. The OBR downgraded the UK’s long-term growth forecasts, and forecasts by the OECD suggest that we could be the only G7 economy to be in recession this year. In response, the Conservatives gave a £1 billion tax cut to the richest 1% of earners through changes to pension allowances.

Staying on the subject of low growth, it is undeniable that the Government’s Brexit deal has also contributed to this. The food on our shelves has become scarce, while food prices have rocketed. Work and research opportunities are under threat.

Like the Brexit deal, our immigration and asylum system is failing. The Government treat refugees and asylum seekers with contempt. The huge expense of that lies at the Government’s doorstep because they have failed to get a European returns agreement and to process asylum applications. There is still no safe route for asylum seekers.

On the subject of children and young people and the Budget, I am pleased that the Government have listened to Labour’s call for investment in childcare. However, the real test for the policies will be whether childcare is more affordable and more available, and whether they deliver the economic growth that our country desperately needs. Many headline measures will only be fully rolled out after the next election, and some not until 2026, if at all. It was also disappointing that the Government did not listen to the call for more money for school buildings. Neither did they focus on the real increases in the cost of school meals.

The Government have lacked in investment in green jobs, such as wind energy, and that is greatly disappointing. Neither have they tackled high private rents and mortgage costs, or the cost of living crisis. I look forward to the Minister’s response to the issues raised today.