Direction of Government

Lord Redwood Excerpts

Wednesday 2nd September 2026 Lords Chamber

[Baroness Smith of Basildon (Lab)]

The Prime Minister is good on hope and optimism, and I like to think that the Prime Minister may follow in my footsteps. I was reflecting earlier that it was 10 years ago that I gave a lecture on the benefit of hope and optimism in politics; perhaps it had some impact—perhaps not. The whole purpose of having optimism and growth is because, if people are optimistic about the future, if they believe their lives will get better and believe their children’s lives will be better than their lives, that galvanises them into an energy that the country benefits from. Part of that is economic growth, but part of it is the democratisation issues that the noble Lord, Lord Purvis, referred to. It is people feeling they have some control over their lives and their future and can have an impact on decisions about how they live and how they work. It is not just an abstract concept.

I was interested in what the noble Lord, Lord True, said, because, on the one hand, he said there was nothing different and then he talked about all the new initiatives that had come forth from the new Prime Minister; both cannot be true. But when the Prime Minister is talking about these initiatives, he is talking about concrete change to let people know that they can have a greater say in their lives—in how they work, how they live and where they live. That will help our economy to grow and bring the economic growth needed if we are going to deliver on these changes.

[Lord Redwood (Con)]

Why do the Government not rule out any tax rises in the next Budget, given the disaster of the previous two Budgets when speculation about tax rises and actual tax rises destroyed jobs, drove up unemployment, closed businesses, undermined confidence and abolished hope?

[Baroness Smith of Basildon (Lab)]

I am always intrigued when the party opposite talks about disastrous Budgets, because I remember one very pertinent one. But I think the noble Lord is on to something with one of the things he said, and a very interesting debate on the economy this morning on Radio 4 raised it. He talked about the speculation and the discussion before the Budget. Part of the radio debate was that it does not happen to the same extent in other countries at all; it is something very peculiar to the UK. It does have an impact and, as much as it would be very nice to be able to give him an answer and say I can rule this in and rule that out, it adds to the fuel of speculation. One of the reasons the Government have brought the Budget forward to 28 October is to try to limit that time for speculation, so that you get a complete answer. I hear calls from the party opposite, “Can you rule this in, can you rule that out, can you say this, will you commit to that?” No, but there will be a Budget, and everything will become clearer.