Income tax (charge)

John Hayes Excerpts

Tuesday 17th March 2020 Commons Chamber

[Peter Aldous]

My hon. Friend is spot on. To make the most of this opportunity, we need to invest in infra- structure—in port infrastructure, markets and processing factories. That would be so much help to coastal communities that have been left behind.

In Lowestoft, we are close to the main cluster of offshore wind farms in UK coastal waters. We are also an area of the southern North sea UK continental shelf, which has an important role to play in the transition to the low-carbon economy, and where there will be an enormous amount of work in the decommissioning of gas and oil facilities over the next decade.

The Budget places much emphasis on free ports. It is good news that the Government recognise the important role that ports play, but it is vital that free ports add to the UK’s trade, making our ports more attractive than their international competitors, rather than diverting business from one UK port to another.

Coastal communities along the East Anglian coast face a significant challenge from coastal erosion and storm surges. The sea does not just damage homes and businesses; ultimately, it destroys them. The Lowestoft flood defence scheme will remove that threat. At present, it is only part funded, so it is good news that the Budget recognises the threat of coastal erosion, provides an additional £5.2 billion for flood defences and includes an undertaking to carry out a review of the Green Book.

[Sir John Hayes (South Holland and The Deepings) (Con)]

I wonder whether my hon. Friend might add to his thinking on this subject support for the internal drainage boards, which do such great work in the fens in particular, including in his constituency. Will he implore the Government to ensure that the Environment Agency works with the drainage boards rather than against them, as I am afraid it sometimes does?

[Peter Aldous]

I thank my right hon. Friend for that intervention. I have internal drainage boards in my constituency, although I sense they may not be such big players as those in the fens in his constituency. From what I see of them, however, they are the ones who know the local area best and are best placed to come up with tailored, bespoke solutions.

--- Later in debate ---

[Ben Everitt]

The intervention may have been long, but it was well put and I appreciate it. In broad terms, my hon. Friend’s point was that we must not forget the other traditionally more productive parts of our economy. Interestingly, Milton Keynes is part of the south-east and people overlook the fact that we sit as almost the gateway to the north. A journalist from The Economist telephoned me last week and told me that Milton Keynes was the most productive part of the UK. I said, “Do you mean not including London?” and he said, “No. When you look at the OECD measures, they take in the whole of London, which includes the suburbs in Greater London, and actually, Milton Keynes comes out as more productive.” I therefore welcome any intervention that draws attention to the fact that we should be investing in the productive parts of our economy as well as levelling up the slightly less productive parts.

I warmly welcome the £500 million to roll out a fast charging network for electric vehicles over the next five years, ensuring that drivers will never be more than 30 miles from a rapid charging station. During the general election I was privileged to have a visit from the Secretary of State for Transport. We visited a charging point so that he could charge his electric car—he is very on brand, is our Transport Secretary. After a photo-op, he said, “Show me some transport infrastructure that needs a bit of investment.” I took him to junction 14 of the M1, which really does need an upgrade. We stood there, watching the traffic go past, and then we went to an island in the middle to make a little video, saying how much it needed an upgrade. Then, like life imitating art, we having stood there saying that the transport infrastructure needed an upgrade, suddenly all the world’s traffic came off the M1 and zoomed up junction 14. We were marooned on that island in the middle of an M1 slip road.

Now, our Transport Secretary, being an energetic fellow, cannot be held down for long. After a few moments he set off down the slip road, running—in fact, our Transport Secretary does not run; he scampers. Fortunately, my social media adviser was there to film the entire thing. He pulled out his camera just as our right hon. Friend was sprinting down the road, merging with the traffic in order to cross it. The video is available for parties, for a small fee.

[Sir John Hayes]

As a Member who lacks a social media adviser, and as the pioneer of the Government’s electric car policy, I am delighted that my hon. Friend has welcomed the additional charging points, for which I take the lion’s share of the credit.

The point that my hon. Friend is making about productivity is critical. The Government’s commitment to skills and to research and development, through the Budget, will allow us to tackle the prevailing macro-economic challenge facing this country and most of the west: the productivity gap.

[Ben Everitt]

I thank my right hon. Friend for that intervention. Of course, the productivity gap is core to levelling up.

Speaking of gaps, I have to declare an interest before moving on to the next important section of my speech: I am a councillor. The next section includes the perennial election-winning issue of potholes. The Chancellor has announced additional funding—£2.5 billion over the next five years—to fill millions of potholes across the country, which will make a huge difference for the many people who spend hours each week travelling on poorly maintained roads. That will speed up journey times, reduce vehicle damage and make our roads safer.

The Government are investing record amounts in improving and expanding our transport infrastructure—triple the average of the past 60 years. The Chancellor has announced £640 billion of capital investment in roads, railways, communications, schools, hospitals and power networks over this Parliament. I know that many of my colleagues will join me in welcoming this investment not just for the large national infrastructure projects, but for local roads, regional railways and urban transport. We will be increasing bus journeys. We will be reducing the cost of transport for young people, workers and those in retirement. We will have a modern and well-maintained road network.

I am a big fan of this Budget, as Members have probably noticed, but there is one piece that I was surprised to see in there. It is my single criticism of the Budget, so please bear with me. The small print of the supporting documents for the Budget contained an allocation of £94.6 million for a housing infrastructure bid to build 5,000 homes east of the M1 in Milton Keynes. That housing infrastructure bid is an indicative commitment to fund, subject to continuing local commitment, which is how the bidding process works for housing infrastructure fund bids. “A continuing local commitment” is news to me. Anyone who looked at my postbag and my inbox would not find a continuing local commitment; they would find quite the opposite.

That is not to say that people in my constituency are anti-growth. Far from it: Milton Keynes is a growing place. It is growing because it is a great place in which to live and work, in which to grow a family and grow a business. However, we must have the right houses in the right place at the right time. There is a balance to be struck. We need to get this right. We have a choice between growing local jobs and becoming a dormitory. If we get the right houses in the right place at the right time, we will incentivise pure economic growth—local, productive growth—but if we get it wrong and build too many houses, Milton Keynes will be cursed by the very benefit of being only 32 minutes away from London on the train. If we build too many houses too quickly we will become a dormitory for jobs elsewhere, and that is not what we need.