Budget Resolutions

John Lamont Excerpts

Wednesday 26th November 2025 Commons Chamber

[Fleur Anderson (Putney) (Lab)]

I thank the Chancellor for her Budget, and the whole Treasury team for the conversations I have had with them about aid, our high streets and child poverty. It is a pleasure to follow the hon. Member for Harwich and North Essex (Sir Bernard Jenkin), although we absolutely do not agree on the significance of Brexit. Neither do we agree that the Truss fiasco was a short-lived little incident; its effects have been very long term on my constituents and on the country, and it has made this Budget a far harder one for the Chancellor to agree, but she has risen to the challenge. As a member of the Foreign Affairs Committee, I look forward to looking at the changes in the aid and defence budgets, and I welcome the commitment in the Budget to return official development assistance to 0.7% of GNI in the future.

This Budget is good news for my constituents in Putney, Southfields, Roehampton and Wandsworth town. It has fair taxes that will mean investment in families, strong public services and a growing economy. There is an increase in the minimum wage and the state pension. Businesses will be supported with innovation. Small and medium-sized enterprises will be supported to provide free apprenticeships for under-25s. I have been looking into the impact of the transformation of the business rates system on my high street, and on high streets up and down the country. High streets will be protected through the introduction of permanently lower tax rates for retail, hospitality and leisure properties. That will benefit 3,790 properties in Wandsworth, which is very good news.

I welcome that we will be getting back £400 million from the dodgy covid contracts, and a cut to the cost of living with £150 off energy bills. I also welcome that £18 million will be spent on playgrounds, which are vital because they are places where so many children spend so much time. The increase in plastic packaging tax is good for the environment and for reducing our reliance on plastic, which is made from and uses fossil fuels. I also welcome that £29 million in fines taken from water companies will be spent on cleaning up rivers, lakes and seas—this is all really good news.

I note that the lower Thames crossing is being paid for, but my constituents will ask, “When will the reopening of Hammersmith bridge be paid for?” The bridge is a major London crossing that has been closed for six years. Across my constituency, we look forward to having more conversations about that with the Secretary of State for Transport and the Chancellor.

I will focus my remarks on welcoming the change to the two-child benefit cap. The change will lift 450,000 children out of severe hardship across the UK and will directly benefit 2,310 children in my own constituency. As the Chancellor said, the cost of leaving the cap in place is to the child, but it is also to the public services that they use and to our wider community, and there is a future cost to the economy. It has been eight long years since this cruel and unnecessary policy was brought in, and it has punished families and increased poverty ever since.

I have been on the child poverty taskforce for over a year, championing the work done by the Government to really drill down into what can make the most difference—and it is scrapping the two-child benefit cap. Children must be able to thrive no matter where they are born in the UK, and scrapping the cap will allow them to do so. The policy drove families into severe hardship, as I saw for myself in my constituency. Its removal is not only a moral imperative but an economic necessity. It makes sense in every way.

The Trussell Trust’s latest figures have exposed the scale of the crisis. In Putney alone, 5,991 emergency food parcels were distributed between April last year and March this year. That is a 7% rise on the previous year, so there is real need to scrap the two-child cap. It will make a huge difference and will result in the largest expected reduction in child poverty over a Parliament since comparable records began in 1997. That kind of dramatic change in our country is the reason I became a politician—this is what I want to see.

The change will be welcomed not only by the families who are directly affected, but across our whole community. It will mean that more children have a better start in life and that wealth will be more fairly distributed in communities. So many measures in the Budget mean that wealth distribution is going in the right direction, which is what our country needs after 14 long years of austerity. We are now seeing an end to that, and families will see the change and the benefit.

[John Lamont (Berwickshire, Roxburgh and Selkirk) (Con)]

The hon. Lady is speaking about the measures that she supports in the Budget. I wonder about her views on the council tax surcharge. I had a quick look at the websites of estate agents in her constituency, and I can see that dozens—if not hundreds—of properties will be affected by the council tax surcharge. Does she support the measure and what is her message to her constituents who will have to pay that extra tax?

[Fleur Anderson]

It is estimated that about 4% of homes will be affected in my constituency. I have really looked into this matter, and the surcharge being added to their bills is a fair way of redistributing our tax. This surcharge applies to a very small number of people who are able to afford it. What do we get in return? A fairer society, better public services and the NHS, which people will be using. We get all those benefits in return for a minimal surcharge that will be fairly distributed. Doing this through council tax, instead of in the other ways that were talked about, is fairest.

Across the many changes in the Budget, we are looking for good things for our families, for businesses and for hard-working people. We are looking to make their lives better, bring down their bills and increase income. The increase in skills is such a necessary part of this Budget. This is a welcome Budget for Putney, for London, and for the country.

--- Later in debate ---

[Robbie Moore (Keighley and Ilkley) (Con)]

This Budget was dead on arrival. We were promised that the last autumn Budget was a once-in-a-generation event, but I suggest that the Chancellor may want to correct her record on that claim. Despite setting out to find growth, she has flatlined the economy and tanked employment. Indeed, we now know that Labour will raise taxes by more than any Parliament has raised them since the 1970s. All sectors are being impacted, not only those in hospitality but manufacturing and engineering—the sectors, and the organisations, that grow growth. Our hospitality sector and high streets are the backbone of my constituency, but the cost of doing business is spiralling out of control, not helped by the previous Budget, which hiked employer national insurance contributions and significantly reduced business rate relief, and by an energy policy that is crippling everyone from manufacturers to those in hospitality. Rather than helping businesses—for example, by axing business rates on our high streets, as those of us on the Conservative Benches are committed to doing—the Chancellor has offered them absolutely no ladder at all to get out of the hole that she has created for our small businesses.

A month or so ago, I held a roundtable at New Brook Street Deli in Ilkley in my constituency, when Ilkley Brewery, The Little Teahouse and many other businesses came along specifically to raise the challenges around increases in overheads, which they simply cannot pass on to their customers. This Budget does nothing at all to help them. Indeed, it almost seems like this Government look at those businesses as if they were separate from the families who work for them, but when we make it more expensive to employ someone, it is the workers who end up paying through lower wages, fewer hours or potentially having no job at all. Given that those in my area are subjected to council tax increasing by 10%, and that Labour-run Bradford council will increase it by a further 5% next year, there is less disposable income for people to spend.

This Budget has ignored the pleas of businesses to let them get on with the job that they want to do and achieve the growth that they aspire to achieve. The Chancellor has slashed investment allowances and pushed up fuel duty for every hard-working Brit in this country, and that is not the way forward for growth. Of course, the increase in fuel duty will negatively impact rural areas much more than others, because there are further distances to travel.

Then there is the challenge with inheritance tax, which has not really been addressed at all by the Chancellor today. Small family businesses, including family farms, got just one mention by the Chancellor today, despite the Government unleashing the most devastating tax changes in a generation on these businesses last year. The changes to agricultural property relief and business property relief are set to wreak havoc not only on big multinationals, but on small family businesses. Many farming businesses are going to be negatively impacted.

[John Lamont]

My hon. Friend is making a powerful speech about the flaws in this Labour Government’s Budget. Does he share my concerns about the many farmers who were outside Parliament today to express how strongly they are opposed to the impact of inheritance tax changes on their business? It is very telling. I know he was there as well, but I did not spot any Labour Members listening to the concerns that farmers expressed today. Does he also share my concerns about the ban that the Met police imposed on the rally, which had been planned for weeks? Last night they decided to cancel it.

[Robbie Moore]

I absolutely agree. The fact that the Met police cancelled today’s pre-organised Budget day protest and rally at the last minute is an absolute disgrace. I was proud to be out on Whitehall today with many of our farming community and my Conservative colleagues. We share their anxiety and concern that the changes to inheritance tax that this Labour Government are imposing will have a negative impact not only on our farming businesses, but on the wider supply chain. It is absolutely catastrophic.

However, it is not only our farming businesses that are being impacted but many family businesses, such as Fibreline in Keighley, which employs about 200 people. It has already worked out that its BPR liability will be in the hundreds of thousands of pounds. The options that many of these businesses have are to sell plants or machinery, or to lose control of the business for which they have worked for generations by selling shares. That is not progressive, and it does not give any hope to our family businesses. That is why it is absolutely devastating to see that the Chancellor could not even be bothered to engage with family businesses in the run-up to this Budget over the last year, so that they could get their viewpoints across. Yes, I agree with my hon. Friend the Member for Berwickshire, Roxburgh and Selkirk (John Lamont) that it was a disgrace that not one Labour MP was out in Whitehall today to stand side by side with the farming businesses that Labour Members claim to be representing. Many of them represent rural constituencies.

Today’s Budget is heartless. After a year of anxiety, uncertainty and desperate pleas, the Prime Minister and the Chancellor have shown pure ignorance today, and this while the Government are yet set to spend £1.8 billion on a digital ID policy that nobody I have ever spoken to wants. When it comes to aspiration, why on earth would any young entrepreneur looking at this Budget want to stay in this country, and create the growth that the Chancellor is after and the local economic activity that we desperately need across areas such as Keighley and Ilkley?

The message we have heard loud and clear from this Labour Government today is, “Don’t save for your future or for your pension, because Labour will tax it; don’t bother working hard to get that pay rise, because Labour will tax it; don’t take the leap of setting up your own independent business, because Labour will tax it; and don’t you dare die holding assets, because Labour will tax them.” In fact, just about the only thing this Budget does positively is not incentivise anyone to work, but how does that deliver for the economy?

Given the crippling, tax-raising Budget that has been put before us, how on earth is the Chancellor aiming to create growth? She still has not addressed the key issues that many of our constituents have been raising with this Labour Government. Last year’s Budget, delivered by this Labour Chancellor, walked the country up the fiscal plank, which was cheered on by many Labour MPs on the Government Benches. I fear that today’s Budget, again cheered on by many Labour MPs, will leave the whole country sinking into the sea.