Nationality and Borders Bill

Debate between John McDonnell and Janet Daby

Consideration of Lords amendments
Tuesday 22nd March 2022 Commons Chamber

[John McDonnell]

More recently, a calculation was made of the sort of financial contribution that would be made to the country if we allowed people to work six months after they applied for asylum. At least £200 million would be put into our economy. We are denying ourselves these people’s ability to create wealth. I went through the same process when refugee Ugandan families turned up here in the time of Idi Amin; hon. Members may remember that. I have to tell the hon. Member for Ruislip, Northwood and Pinner (David Simmonds) that Hillingdon, then under the leadership of Terry Dicks, whom the hon. Gentleman will recall, was not kind to those refugees at the time. However, eventually those Ugandan Asians settled, and they made a huge contribution to this society, including a massive economic contribution, because we allowed them to use their talents and take up employment. Often, they created businesses. They made a great contribution, certainly in west London, as my hon. Friend the Member for Feltham and Heston (Seema Malhotra) can tell us.

I cannot understand the rationale for the Government’s approach. There is an argument that allowing employment will somehow add to the pull factor, but having to live off £5.40 a day is not the sort of pull factor that will attract millions to this country. We should look at the issue rationally, and recognise that the large number of people trapped in this poverty trap could contribute so much. That is why Lords amendment 7 needs to be looked at more rationally. Suffering cannot be part of our policy for dealing with the world refugee crisis—a crisis that will, as a result of climate change and other matters, become worse. We have to recognise that there will be movements of people. We have to accommodate that, and that is partly about making sure that those people are welcomed in a way that allows them to make an effective contribution to our society.

[Janet Daby]

I thank my right hon. Friend for making such a moving and significant speech about the plight of Afghan people. Why, in his view, are the Government not allowing Afghan refugees to make an economic contribution, although they absolutely could?

[John McDonnell]

I do not want to go over this too much, because other people want to come in on this debate, but there is a contradiction in our allowing Ukrainians, but not others, to work immediately. People can draw their own inferences from that. Inferences can be drawn from it that people in this House might not like. I ask hon. Members to contemplate that, to look at Lords amendment 7, and to think again. It is a beneficent amendment that will assist not only the individuals concerned but our wider community and economy.

European Union (Withdrawal) Act

Debate between John McDonnell and Janet Daby

Thursday 6th December 2018 Commons Chamber

[John McDonnell]

I watched the hon. Lady’s contribution to the previous debate; it was interesting how her words coincided with those of Government Members. The use of the words “best endeavours”, “ambitions” and “sought for” gave such uncertainty that it was impossible for the general public and others to understand the direction in which the Government are going in the long term. I concur with the hon. Lady’s view.

I must press on. It is not just Labour Members who are pointing out issues with the finance sector; Members from all parties are doing so, including some on the Government Benches. That view is backed up by economists of many viewpoints in their assessment of the Prime Minister’s deal—including, it seems, the Government’s own. The official analysis produced last week was far short of what was promised, as we said at the time. It took as its starting point the Chequers proposals, which have long been discarded. In doing so, it failed to live up to the standards of transparency that we should expect when engaging in critical decisions such as this.

Even in what they did publish, the Government admitted last week—as the Chancellor has again today, I believe—that their deal would make Britain worse off. In the closest scenario to the possible deal, we could see GDP nearly 4% lower as a result of the Government’s approach to Brexit. To put that in context, this year that would be around £83 billion. In the long term, the damage is likely to be even greater. Worryingly, the Chancellor described £83 billion being wiped off our economy as a “very small economic impact”. Maybe there will be many “little extras” to follow in future.

[Janet Daby (Lewisham East) (Lab)]

Does my right hon. Friend agree that the public’s view is that the economic impact of the deal is too high a price to pay? How does my right hon. Friend view that?

[John McDonnell]

What has happened is clear: the deal has not convinced the Government side and certainly has not convinced the people. It has not convinced a majority in the House so far.

The Government analysis estimated that the impact of trade barriers alone could mean an average drop in wages of 3%—£800 a year, in today’s terms. The regional growth impact is worst in our exporting regions such as the north-east and the west midlands. Other organisations have come to similar conclusions. The Bank of England said that GDP would be almost 4% lower by the end of 2023. The National Institute of Economic and Social Research put the damage at £100 billion in real terms.