Oral Answers to Questions

Keir Starmer Excerpts

Wednesday 12th October 2022 Commons Chamber

[Mr Speaker]

I call the Leader of the Opposition, Keir Starmer.

[Keir Starmer (Holborn and St Pancras) (Lab)]

May I join the Prime Minister in her comments about Sir David? She spoke for the whole House when she made those comments. I know how deeply his loss was felt on the Government Benches, and we extend our best wishes across the House at this important time.

I also want to send my heartfelt condolences to the families of all those who tragically lost their lives in Creeslough last week. Donegal is a special place for my family and me, and across the House. The people there are in all our thoughts.

This morning the Business Secretary toured the television studios arguing that the turmoil in the markets had nothing to do with the Prime Minister’s Budget. Does the Prime Minister agree with him?

[The Prime Minister]

We have taken decisive action to make sure that people are not facing energy bills of £6,000 for two years. We remember that the Opposition are only talking about six months. We have also taken decisive action to make sure that we are not facing the highest taxes for 70 years in the face of a global economic slowdown. We are making sure that we protect our economy at this very difficult time internationally. As a result of our action—this has been independently corroborated—we will see higher growth and lower inflation.

[Keir Starmer]

Avoiding the question, ducking responsibility, lost in denial—it is no wonder investors have no confidence in her Government. This is why it matters: a few weeks ago, Zach and Rebecca from Wolverhampton were all set to buy their first home. Then the Government’s borrowing spree sent interest rates spiralling and their mortgage offer was withdrawn. I met them last week. They are back to square one: unable to buy, devastated and sick to their back teeth with excuses and blame shifting. Does the Prime Minister understand why Zach and Rebecca are completely furious with her?

[The Prime Minister]

The fact is that when I came into office, people were facing energy bills of up to £6,000 per year—[Interruption.] Well, I am sorry; Labour Members are shouting, but the right hon. and learned Gentleman is opposing the very package that we brought in with the energy price guarantee. That was the major part of the mini-Budget that we announced. He has refused to confirm whether he backs our energy price guarantee for two years, which protects families not just this winter but next winter. We are seeing interest rates rising globally—[Interruption.] They are rising globally in the face of Putin’s appalling war in Ukraine. What we are doing is helping people with lower stamp duty, helping people with their energy costs, reducing inflation with our energy package and keeping taxes low. I notice that the right hon. and learned Gentleman had a Damascene conversion last night when he backed our cut to national insurance.

[Keir Starmer]

The economy is in turmoil. People are really worried. This is really not the time to descend into nonsense attacks about last night. There is no point in trying to hide it; everyone can see what has happened. The Tories went on a borrowing spree, sending mortgage rates through the roof—they are skyrocketing by £500 a month—and for nearly 2 million homeowners, their fixed-rate deals are coming to an end next year. They are worried sick, and everybody in this House knows it. They will not forgive; they will not forget; and nor should they. When will the Prime Minister stop ducking responsibility, do the right thing and reverse her kamikaze Budget, which is causing so much pain?

[The Prime Minister]

Last night, the Labour party supported bringing down national insurance. Is he really—[Interruption.]

--- Later in debate ---

[Keir Starmer]

The Prime Minister knows very well that, on this side, we voted against the national insurance rise in the first place. She voted for it, so who is doing the U-turn? Honestly.

Last week, the Prime Minister was forced to U-turn on her unfunded tax cut for the super-wealthy. This week, she is beginning to realise that she needs to extend the windfall tax, one step behind the CEO of Shell, but she is still going ahead with £18 billion of tax cuts for the richest businesses, and they did not even ask for it. She has still gift-wrapped a stamp duty cut for landlords, just as renters feel the pinch, and she is still holding out tax cuts for those who live off stocks and shares. Why does she expect working people to pick up the bill for her unfunded tax cuts for those at the top?

[The Prime Minister]

I notice the Leader of the Opposition is still not saying whether he supports our energy price guarantee. This is very relevant, because it is the biggest part of our mini-Budget. The fact is that all the Opposition have said is that people should be supported for six months. Does he think that, in March, pensioners should be facing very high energy bills? That is what will happen if he does not support our energy price guarantee.

[Keir Starmer]

The Prime Minister is not even attempting to answer the questions now. I gently remind her that the idea of freezing energy bills was a Labour idea that she took on. During her leadership contest the Prime Minister said, and I quote her exactly:

“I’m very clear I’m not planning public spending reductions.”

Is she going to stick to that?

[The Prime Minister]

Absolutely. [Interruption.] Look, we have almost £1 trillion of public spending, and we were spending £700 billion back in 2010. We will make sure that, over the medium term, the debt is falling, and we will do that not by cutting public spending but by making sure we spend public money well. The right hon. and learned Gentleman talks about our spending on the energy price guarantee, which he does not seem to support, but the reality is that he cannot criticise us, on the one hand, for spending money while, on the other hand, claiming we are cutting public expenditure. [Interruption.]

[Keir Starmer]

Conservative Members can cheer. I hope they listened very carefully to that last answer, because other people will have listened very carefully. Who voted for this? Not homeowners paying an extra £500 on their mortgage. Who voted for this? Not working people paying for tax cuts for the largest companies. Who voted for this? Not even most of the MPs sitting behind her, who know they cannot pay for tax cuts on the never-never. Does she think the public will ever forgive the Conservative party if it keeps on defending this madness and goes ahead with its kamikaze Budget?

[The Prime Minister]

What our Budget has delivered is security for families for the next two winters. It has made sure we will see higher economic growth, lower inflation and more opportunities. The way we are going to get our country growing is through more jobs, more growth and more opportunities, not through higher taxes, higher spending and his friends in the unions stopping hard-working people getting to work.