Oral Answers to Questions

Debate between John Stevenson and Danny Alexander

Tuesday 10th December 2013 Commons Chamber

[Danny Alexander]

What this—[Interruption.] The hon. Member for Islwyn (Chris Evans) should pipe down. What this Government recognise is that infrastructure relies on both public and private sector investment. The Labour party seems to have forgotten that the private sector is involved in delivering infrastructure. Total infrastructure investment in this country is higher in this Parliament than it was in the last.

[John Stevenson (Carlisle) (Con)]

T9. Individuals, households and businesses in my constituency must live within their means. Does the Chief Secretary agree that that is exactly what Governments need to do and that one of the reasons for our current budget deficit is the fact that the previous Government did not run a surplus in the good years?

[Danny Alexander]

I wholeheartedly agree with my hon. Friend that Governments must live within their means. It is because the previous Labour Government did not do so that we have had to make so many difficult decisions to get this country back on the right track, which is what we are doing.

Oral Answers to Questions

Debate between John Stevenson and Danny Alexander

Tuesday 11th September 2012 Commons Chamber

[John Stevenson (Carlisle) (Con)]

14. What assessment he has made of the effect on the cost of living of the increase in the personal allowance.

[The Chief Secretary to the Treasury (Danny Alexander)]

In this year’s Budget, we announced a £1,100 increase in the personal allowance for 2013-14—the largest ever cash increase. The combined increases that the coalition has announced will reduce the tax paid by a typical basic rate taxpayer next year by £350 in real terms and £546 in cash terms.

[John Stevenson]

Given that the policy of significantly increasing the personal allowance has been hugely successful, would the Chief Secretary agree that the long-term goal should be to link the personal allowance with the minimum wage, thereby ensuring that anybody on the minimum wage does not pay income tax?

[Danny Alexander]

I am grateful for my hon. Friend’s endorsement of the policy. The coalition Government have committed to increasing the personal allowance to £10,000—a policy that was on the front page of the Liberal Democrat election manifesto—but I agree that the long-term objective, which I and my party share, should be to link the personal allowance to the minimum wage. However, a considerable cost would be attached to that.

Oral Answers to Questions

Debate between John Stevenson and Danny Alexander

Tuesday 24th April 2012 Commons Chamber

[Danny Alexander]

Of course I did read the explanatory notes. The right hon. Gentleman will know that we have listened to the representations in favour of extending the consultation period and have extended the deadline to 18 May to enable individuals such as him, and his constituents, to make representations as part of that consultation.

[John Stevenson (Carlisle) (Con)]

3. What recent representations he has received on reducing the budget deficit.

Oral Answers to Questions

Debate between John Stevenson and Danny Alexander

Tuesday 21st June 2011 Commons Chamber

[John Stevenson (Carlisle) (Con)]

5. What recent estimate he has made of the size of the structural deficit.

[The Chief Secretary to the Treasury (Danny Alexander)]

The independent Office for Budget Responsibility published its latest forecast on the structural deficit in the March economic and fiscal outlook. The OBR forecast shows the structural deficit was 7.4% of GDP in 2010-11.

[John Stevenson]

I thank the Minister for that answer. Does he agree that one of the main reasons we are experiencing financial difficulties and the large budget deficit is the simply that for a number of years prior to the recession the Labour Government were borrowing money while other, prudent economies were repaying debt, and that has exacerbated our problems now?

[Danny Alexander]

I am grateful to my hon. Friend for that question, and he makes an important point. This country was running a structural deficit from 2002 onwards, so his analysis is exactly right. However, that was not the only problem with the previous Government’s policy, of course; another was their abject failure to regulate the banks and deal with the financial system. That is a further major cause of the problems we face.