Infected Blood Compensation Scheme

Debate between John Glen and Caroline Lucas

Tuesday 21st May 2024 Commons Chamber

[John Glen]

I can assure David, and every individual affected, that we are doing everything we can to deliver this scheme as quickly as possible. We will also address the wider challenge to the culture of government and institutions in this country, and there will be an opportunity to discuss that in the coming weeks.

[Caroline Lucas (Brighton, Pavilion) (Green)]

I pay tribute to all those who fought so hard for justice for so long. It is impossible to imagine the pain and harm done to so many, including to some of my Brighton constituents who have shared with me their deeply harrowing stories.

The setting up of the Infected Blood Compensation Authority is very welcome, and I echo those who have called for the body to be made accountable to Parliament, but will the Government consider going further and potentially setting up an independent body to monitor and follow up all such recommendations and inquiries? Without such a mechanism, without such a body, there is a risk of a significant accountability gap, because no one is directly charged with the effective oversight of the implementation of all these recommendations.

[John Glen]

I thank the hon. Lady for her representations. That is certainly something that needs to be carefully considered in the context of all that Sir Brian has said.

One of the challenges on accountability is when recommendations made outside this place encounter the need for delivery. Sometimes that means that things have to be done slightly differently, but they meet the spirit of the recommendations. We need to make sure that, in the accountability mechanism, there is sufficient scope to recognise that challenge, otherwise we will be in a position of making false judgments. The spirit of what the hon. Lady says needs to be taken forward, and the Government need to reflect on that thoughtfully.

Autumn Statement Resolutions

Debate between John Glen and Caroline Lucas

Monday 21st November 2022 Commons Chamber

[The Chief Secretary to the Treasury (John Glen)]

I beg to move,

That—

(a) provision may be made increasing the rate at which energy (oil and gas) profits levy is charged to 35%,

(b) provision may be made reducing the percentage in section 2(3) of the Energy (Oil and Gas) Profits Levy Act 2022 (amount of additional investment expenditure) to 29%, and

(c) (notwithstanding anything to the contrary in the practice of the House relating to the matters that may be included in Finance Bills) provision may be made for and in connection with extending the period for which the levy has effect until 31 March 2028.

In the face of coalescing global headwinds, we have delivered an autumn statement that provides the fairest and most effective way through to brighter days. We must rebuild the economy and repair public finances after the covid-19 crisis, the Ukraine war and rising debt interest costs.

We are not alone in dealing with these economic challenges—the euro area is facing inflation of 10.6%, interest rates have risen higher in the US, Canada and New Zealand, growth forecasts have fallen more in Germany, and one third of the global economy is forecast to be in recession this year or next—but it is with honesty, integrity and compassion that we will deal with the challenges that we face. It is only by doing so that we will curb rising prices, restore faith in our country’s economic credibility internationally and, ultimately, deliver growth.

Our international reputation is vital because it has a large impact on the price we pay to borrow as a country, but I recognise that many hon. Members are concerned primarily about what this means domestically for their constituents. We want to be honest with the public about the challenge and fair in our solutions. What does that mean? It means a focus on stability, growth and public services.

To provide a shelter for those most at risk from the economic winds, we are uprating pensions and benefits in line with inflation next year, based on September’s figure of 10.1%, fulfilling our pledge to the country to protect the pensions triple lock. In April, the state pension will increase in line with inflation: an £870 increase, the biggest ever cash increase in the state pension. The benefits uplift will cost £11 billion and will mean that 10 million working-age families see a much-needed increase next year. To increase the number of households that can benefit from this decision, the benefit cap will rise with inflation next year.

To support those on the lowest incomes, we are increasing the national living wage by 9.7% to £10.42, its largest ever cash increase. To continue helping households to pay for their energy use, we will levy a new tax on electricity generators and an even higher tax rate on oil and gas companies, which have been gifted higher profits simply because Putin’s barbaric invasion of Ukraine sent prices soaring.

[Caroline Lucas (Brighton, Pavilion) (Green)]

Although the increase in the windfall tax is certainly welcome, the changes to tax reliefs from January of next year will mean that a company spending £100 on upstream decarbonisation will be able to deduct £109.25 when calculating its levy. In other words, the taxpayer will be paying money to the oil and gas companies, rather than the Treasury receiving net money. Can the Chief Secretary explain how on earth that can be justified, particularly when there is an economic crisis and we need to decarbonise?

[John Glen]

One of the guiding principles of taxation in that sector—of these windfalls—has been a desire to retain an incentive for capital investment. What the hon. Lady says is an enduring reality of what we have done.