Budget Resolutions

Keir Starmer Excerpts

Wednesday 6th March 2024 Commons Chamber

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

There we have it: the last desperate act of a party that has failed—Britain in recession, the national credit card maxed out and, despite the measures today, the highest tax burden for 70 years. This is the first Parliament since records began to see living standards fall, as confirmed by the Budget today. That is the Conservatives’ record, and it is still their record—give with one hand and take even more with the other. Nothing they do between now and the election will change that.

Over 14 years, we have seen our fair share of delusion from the Conservative party: a Prime Minister who thinks the cost of living crisis is “starting to ease”, an Education Secretary who thinks concrete crumbling on our children deserves our gratitude, and a former Prime Minister who still believes that crashing the pound was the right path for Britian. Today, we have a new entry into this hall of infamy: the Chancellor, who breezes into this Chamber—in a recession—and tells the working people of this country that everything is on track. Crisis? What crisis? Or, as the captain of the Titanic and the former Prime Minister herself might have said, “Iceberg? What iceberg?” Smiling as the ship goes down, the Chuckle Brothers of decline dream of Santa Monica—or maybe just a quiet life in Surrey, with the Chancellor not having to self-fund his election—while the crew behind them scramble around for a GB News lifeboat.

If only it were not so serious. The story of this Parliament is devastatingly simple: a Conservative party stubbornly clinging to the failed ideas of the past, completely unable to generate the growth that working people need, and forced by that failure to ask them to pay more and more for less and less. As the desperation grows, the Conservatives torch not only their reputation for fiscal responsibility, but any notion that they can serve the country, not themselves—party first, country second, while working people pay the price.

Food prices are still 25% higher than they were two years ago. Rents are up by 10%. It will cost an extra £240 a month for a typical family remortgaging this year, because the Conservatives lost control of the economy. They sent interest rates through the roof, and they made working people pay. They should be under no illusion: that record is how the British people will judge today’s cuts, because the whole country can see exactly what is happening here. They recognise a Tory con when they see it, just as they did in November—give with one hand and take even more with the other.

People have been living through this nonsense for 14 years. They know that the thresholds are still frozen, dragging more and more people into higher taxes. They know that a Tory stealth tax is coming their way in the shape of their next council tax bill. The Levelling Up Secretary has told not just this House but every house in the country that he is coming for their council tax—give with one hand, Gove with the other.

Most insultingly of all, the British people know the only cause that gets this lot out of bed is trying to save their own skin. Take the desperate move, after years of resistance, to finally accept Labour’s argument on the non-dom tax regime. Has there ever been a more obvious example of a Government who are totally bereft of ideas? If they are sincerely in support of that policy, the question they must answer is: why did they not do it earlier? Why did they not stand up to their friends, their funders and their family? If they had followed Labour’s example, 3.8 million extra operations and 1.3 million dental emergency appointments would have taken place by now, and there would have been free breakfast clubs for nearly 4.5 million children. If instead this is just another short-term cynical political gimmick, honestly, what is the point? What is the point of a party that is out of touch, out of ideas and nearly out of road?

We saw this last year as well, when only Labour’s policies on the cost of living made the difference. I say to those on the Conservative Benches who are now a little downbeat about another intellectual triumph for social democracy, I say, “Get used to it!” With this pair in charge, it will not be long before you are asked to defend the removal of private school tax relief as well. The harder they try with cynical games like that, the worse it will get for them, because the whole country can see exactly who they are. Fighting for themselves. Politics, not governing. Party first, country second.

Because we have campaigned to lower the tax burden on working people for the whole Parliament—and we will not stop now—we will support the cuts to national insurance. But I noticed that in 2022 when the Prime Minister was Chancellor, he made this promise:

“I can confirm that…in 2024, for the first time…the basic rate of income tax will be cut from 20p to 19p”.—[Official Report, 23 March 2022; Vol. 711, c. 342.]

Having briefed all week that an income tax cut was coming, that promise is in tatters. Of course we support the fresh investment in our NHS, although I have to note that the Chancellor, when he was Health Secretary 10 years ago, promised to make the NHS paperless by 2018. I know the Prime Minister’s fondness for Elon Musk extends to an enthusiastic embrace of his Community Notes on fact checking, so I will say this bit slowly: Labour supports the fuel duty freeze. That is our policy. I look forward to the Prime Minister’s acknowledgement of that in the coming days. We ask the Chancellor to set out how he will ensure that the policy gets passed on to hard-pressed families at the pump.

For all the fanfare around the tax measures today, this straightforward story remains true: taxes at a 70-year high; the British people paying more for less; and an unprecedented hit to the living standards of working people. This is the first time the Government have gone backwards over a Parliament, and they were cheering that. The reason is equally simple: there is no plan for growth. How can there be? The Chancellor can say “long-term plan” all he likes, but—[Interruption.] Last year he announced 110 growth measures. He said that we had “turned a corner”, but where are we now? Britain is in recession, with an economy smaller than when the Prime Minister entered Downing Street—the textbook definition of decline. That is their record. After 14 years, who do they think feels better off?

Productivity is flat, mortgages are through the roof, house building is off a cliff, worklessness is rising and rising, homelessness has never been higher, crime goes virtually unpunished, children cannot see a dentist and there is sewage in our rivers. Billions and billions of taxpayers’ money has been wasted, including £7 billion by the Prime Minister on covid fraud alone and £500 million on the Rwanda scheme that has achieved precisely nothing. I can keep going. We have a railway line that will never reach our great northern cities. In fact, it might not even reach central London. Billions upon billions for a white elephant without a trunk, while today we learn that taxpayers are picking up the bill for the Science Minister’s libel. And all the time, one thing is growing: the waiting lists in our NHS, now standing at nearly 8 million.

The Government have had 14 years. They are running out of road. This is what decline looks like, and the complacency they have shown today takes your breath away. Britain deserves better than this. Britain deserves a real plan for growth; an end to 14 years of stagnation; wealth creation across the whole of the country; and higher living standards for working people. This is the mission we need, but yet again, what we got was the same tired old formula, the sticking plasters, the chopping and changing, and the party-first, country-second politics with no repudiation of the utterly discredited idea that economic growth is something that the few gift to the many.

Even then, the Chancellor’s Back Benchers are owed an explanation. He says that Britain has grown more quickly than countries such as Germany over the last 14 years, but I am sure they will be shocked to learn that this is a statistical sleight of hand. When it comes to GDP per capita—the growth that makes the difference to the pockets of working people—the Government’s record is much worse. Indeed, in per capita terms our economy has not grown since the first quarter of 2022—the longest period of stagnation Britain has seen since 1955. In fact, the Chancellor invited us to look at those figures. The Office for Budget Responsibility has said that GDP per capita will be 0.75% lower in 2028 than was forecast in November last year. That was the number he said we should watch: 0.75% lower in 2028. The Government can call this a technical recession, but there is nothing technical about working people living in recession for every second the Prime Minister has been in power. This is a Rishi recession.

If Conservative Members really want to know what hides in the Chancellor’s spreadsheets, they will see that it is only the record levels of migration they have delivered that have prevented an even deeper decline. That is the record they must stand on at the election. While we on these Benches do not demean for a second the contribution that migrants make to a thriving economy, it is high time that the Government were honest with the British public about the role migration plays in their economic policy, because right now, in terms of growth, that is all they have. There is nothing else. No plan to get Britain building again with a reformed planning system. No ambition to invest in clean British power for cheaper bills and energy security. No inclination to move away from insecure low-paid jobs and strengthen employment rights so that we can finally make work pay.

Where is the urgency on affordable housing? How can the Government look at Britain now and not see that as a massive priority? Never again will they be allowed to pose as the party of home ownership and aspiration, although I have to say, given the disaster that has befallen their childcare plans, perhaps that is for the best. The cost of childcare is a huge challenge for millions. Parents need the Chancellor to deliver on his promise. It seems that he has been taking lessons on marketing from the Willy Wonka Experience in Glasgow: all is not as it seems. With just over three weeks to go, he has to come clean, because up and down the country parents need to know: will they get their entitlement in April, or is this just another of the Government’s reckless promises on governing? Headlines over delivery. Promises without plans. Policies that unravel at the first contact with reality. The lesson is crystal clear that those who broke our economy cannot be trusted to repair it. The Tory credit rating is zero. It is time for change with Labour.

That is what today’s Budget should have been about: a last chance for the Government to show that they understand the economic reality of our volatile world, that global supply chains can be weaponised by tyrants like Putin, that a sticking-plaster approach to public investment will cost Britain more in the long run, and that trickle-down nonsense means that working people pay the price. It could even have been a moment of contrition, a reflection on their fiscal recklessness or perhaps an apology for the ridiculous chaos that they have inflicted on businesses, communities and investors in this country. And yet there is still no stable industrial strategy, still no national wealth fund to crowd in private investment, still no urgency on speeding up critical infrastructure projects and no recognition that they have left in tatters our standing as a country that always keeps its promises.

And if they do not like that accusation, they should look no further than the grotesque spectacle of the Government ducking their responsibility to the victims of the infected blood and Horizon scandals.

“This is one of the greatest miscarriages of justice in our nation’s history.”—[Official Report, 10 January 2024; Vol. 743, c. 288.]

Those were the Prime Minister’s words just two months ago. Today, justice has been kicked beyond the general election. Britain can see exactly who they are, and the reality is that there is no path to economic stability and no way to a calmer, less chaotic politics with the Conservative party in power, because chaos is now their worldview.

It is a mindset that sees Britain’s problems as opportunities that the Conservative party can exploit, whether, like the Chancellor, it is out of desperation because they cannot solve them, or whether, like the right hon. and learned Member for Fareham (Suella Braverman) and the right hon. Member for South West Norfolk (Elizabeth Truss), it is because they have no intention of solving them. For a party this weak and divided, the end result is always the same: a vicious downward spiral with chaos feeding off decline and decline feeding off chaos, while working people pay the price.

The British people know that this will not stop. Five more years and it will only get worse. There will be no change of direction without a change of Government, and that leaves Britain as a nation in limbo, unable to shake off the Tory chaos that dragged us into recession, loaded the tax burden on to the backs of working people and maxed out the nation’s credit card.

Britain deserves a Government who are ready to take tough decisions, to give our public services an immediate cash injection, to stick to fiscal rules without complaint, to fight for the living standards of working people and to deliver a sustainable plan for growth. We say to the Chancellor and the Prime Minister that it is time to break the habit of 14 years, to stop the dithering, the delay and the uncertainty, and to confirm 2 May as the date of the next general election, because Britain deserves better and Labour is ready. [Interruption.]

[Madam Deputy Speaker (Dame Eleanor Laing)]

I will not demand silence now, as this is the moment for cheering.

I call the Chair of the Treasury Committee.

Oral Answers to Questions

Keir Starmer Excerpts

Wednesday 8th March 2023 Commons Chamber

[The Prime Minister]

My hon. Friend is right that there is still more work to do to tackle problems with the sector. We are making progress in implementing changes. Park home owners’ rights are now codified in writing with the site owner, and should those obligations not be met, residents can take site owners to a tribunal. Local authorities also now have powers to take enforcement action, and we will continue to support them to improve protection for park home residents everywhere.

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

Today, on International Women’s Day, we celebrate the successes of women in our society. It is a crying shame that, as we do so, we face legislation that drives a coach and horses through our world-leading modern slavery framework, which protects women from exploitation. In the last decade, this Government have introduced five plans to tackle illegal immigration—five utter failures. The problem just gets worse with every new gimmick. The Home Secretary says the public are

“sick of tough talk and inadequate action.”

Does the Prime Minister agree with her assessment of this Government’s record?

[The Prime Minister]

What the right hon. and learned Gentleman fails to recognise is that there is a global migration problem. We are not alone in facing these challenges. It is precisely because, across Europe, the numbers are escalating to the extent they are that we have brought forward new plans, and because we are determined to ensure that this remains a compassionate and generous country and that that is done fairly and legally. That is why we will break the criminal gangs. We have announced new agreements with Albania and France, tougher immigration enforcement and now new legislation that makes it clear that if you come here illegally, you will be detained and swiftly removed. But what we have not heard is the right hon. and learned Gentleman’s plan. We know what it is: it is open-door immigration and unlimited asylum. While he may be on the side of the people smugglers, we are on the side of the British people.

[Keir Starmer]

If the Prime Minister was serious about stopping the boats, he would steal our plan on stopping the boats, smash the gangs, sort out the returns and clean up the utter mess. [Interruption.]

[Mr Speaker]

Order. I am going to hear this, and nobody is going to—[Interruption.] I wouldn’t if I were you. I think we have heard enough. I want to hear the questions and the answers. They will not be interrupted.

[Keir Starmer]

Nobody on the Labour Benches wants open borders. Those on the Conservative Benches have lost control of the borders. The Prime Minister promised the country that the Bill will stop all small boat crossings, no ifs, no buts. It sounds like more talk, so in the interests of adequate action, when will he achieve that?

[The Prime Minister]

We will be implementing the plan as soon as we can pass it through Parliament, so I look forward to the right hon. and learned Gentleman’s support. The reality is that he has been on the wrong side—[Interruption.]

--- Later in debate ---

[The Prime Minister]

The right hon. and learned Gentleman has been on the wrong side of this issue his entire career. He described all immigration law as “racist”, he said it was a mistake to control immigration and he has never, ever voted for tougher asylum laws. It is clear that while he is in hock to the open border activists, we are on the side of the British people.

[Keir Starmer]

When I was in charge of prosecutions, I extradited countless rapists and the conviction rate for people smuggling was twice what it is today. I voted against the Prime Minister’s legislation last time because I said it would not work. Since it became law, the numbers have gone up: he has proved me right. He should be apologising, not gloating. The Prime Minister says the Government will detain people who are not eligible to claim asylum here and then return them. Well, they already tried that under the last legislation. Last year, 18,000 people were deemed ineligible to apply for asylum—that is the easy bit, the talk—but as for the action, Prime Minister, how many of them have actually been returned?

[The Prime Minister]

As a result of the plans we have brought forward, we have almost doubled the number of people returned this year. The right hon. and learned Gentleman talked about laws—[Interruption.]

--- Later in debate ---

[Mr Speaker]

Order. We will continue. When you keep shouting, it prolongs things. Some of you are trying to catch my eye. When you are disappointed, I do not want any complaints. Let us get through these questions, so we can get some Back Benchers in.

[Keir Starmer]

All that nonsense because the Prime Minister does not want to answer the question. He knows what the answer is. The number is 21. I thought he was a man of detail. The number is 21—21—people out of the 18,000. What happens to the rest? They sit in hotels and digs for months on end at the taxpayer’s expense. Last year he promised to end the hotel farce—that is the talk—but because of his mess there are thousands of people who cannot claim asylum and cannot be returned, so where does he actually think they are going to end up?

[The Prime Minister]

The right hon. and learned Gentleman talks about the pressure on our asylum system, but we have a clear plan to stop people coming here in the first place. Labour Members have absolutely no plan on this issue because they simply do not want to tackle the problem. We introduced tougher sentences for people smugglers—they opposed it. We signed a deal with Rwanda—they opposed it. We are deporting foreign offenders as we speak—they oppose it. [Interruption.]

[The Prime Minister]

In fact, the right hon. and learned Gentleman opposed every single step of what we have done to try to stop the problem. We know his only contribution to this debate—in his own words:

“We will defend free movement.”

That is the Labour party for you.

[Keir Starmer]

The Prime Minister stood there last year saying exactly the same thing. We said that it would not work; the Government passed the law and the numbers went up. Absolutely deluded. He cannot say where they will return people, because they spent £140 million on Rwanda and it does not work. They cannot say how they will return people because the Bill does not come with a single new return agreement. They cannot say when they will fix the mess because it is more talk, more gimmicks and more promises to be broken. A few months ago, I put to the Prime Minister that of the people who arrived on small boats, only 4% had been processed. He stood there and said that that was unacceptable. What is the number now?

[The Prime Minister]

As a result of what we have done, there are now 6,000 fewer people in the asylum case load backlog. We are hiring more caseworkers and we are increasing their productivity. Again, the right hon. and learned Gentleman is mistaken when it comes to returns, because we have returns agreements with India, Pakistan, Serbia, Nigeria and—crucially—now with Albania, where we are returning hundreds of people. Our position is clear: if you arrive here illegally you will not be able to claim asylum here, you will not be able to access the modern slavery system and you will not be able to make spurious human rights claims. That is the right thing to do. The right hon. and learned Gentleman is going on and on about process and hiding behind it because he does not want to confront the substance. We are the party of fairness. He represents the party of free movement.

[Keir Starmer]

I thought that the Prime Minister was supposed to be a man of detail, but he has gone to all those lengths to avoid the detail. He knows the answer to the question—less than 1% of those who arrived by boat have been processed. [Interruption.] He shakes his head, but that is the Government’s own statistic. On his watch, processing of those boats cases has gone from “unacceptable”, in his words, to almost non-existent. Does that not tell you everything you need to know? After 13 years, small boat crossings are higher than ever; claims are unprocessed; the taxpayer is paying for hotel rooms. Criminal gangs are running, laughing all the way, to the bank. The asylum system has been utterly broken on his watch.

This is the Government’s fifth Prime Minister, their sixth immigration plan and their seventh Home Secretary. After all this time, all they offer is the same old gimmicks and empty promises. I do not agree with the Home Secretary on very much, but when she says that the Tories are “all talk and no action,” she is spot on, is she not?

[The Prime Minister]

Illegal immigration enforcement—up. The amount of people processing claims—up. The backlog is down. The number of returns agreements is up. Hundreds of people have been returned to Albania, and now we have new laws to detain and deter illegal migrants. It is clear what we stand for. We are doing what is right: we are acting with compassion, we are acting with fairness and we are acting to respect the laws and borders of our country. We are delivering on what we said. It is crystal clear from listening to this that it will be the Conservatives, and only the Conservatives, who stop the boats.