Kemi Badenoch
Main Page: Kemi Badenoch (Conservative - North West Essex)Department Debates - View all Kemi Badenoch's debates with the HM Treasury
(3 years, 5 months ago)
Commons ChamberAs the Chancellor reaffirmed at the Budget, the Government are increasing the national living wage by 2.2% from £8.72 to £8.91, an above-inflation pay rise. The Government remain committed to their ambitious target for the national living wage to reach two thirds of median earnings by 2024 provided that economic conditions allow. The Treasury will continue to work closely with Cabinet colleagues to ensure that we reach this target.
In welcoming the Government’s generous economic support packages and the increase in the national living wage, may I just ask the Minister to consider further increasing it ahead of inflation in the years ahead to help achieve our one nation agenda and ensure that work pays? I suggest that, combined with an effective and controlled immigration policy, that will also encourage businesses to invest in their workforce and in research and development generally, which will help to improve productivity.
I thank my hon. Friend for his question. He should know that the Government remain committed to ensuring that work pays and to helping to end low pay. As he knows, investment to raise productivity is vital for long-term sustainable growth in wages. I am sure that his request is one that we will consider, as always, in future Budgets. Taxes and minimum wages are always under review, but this Government are absolutely focused on levelling up. We have set out our plan to build back better, which will drive economic growth that levels up the whole of the UK through significant investment in infrastructure as well as skills and innovation.
The hon. Gentleman will know we are carrying out an alcohol duty review that will look at all these decisions in the round, and I am very happy to speak to him in more detail specifically about any particular schemes or requests that he has.
The Government are supporting these businesses through new restart grants—a one-off cash grant of up to £6,000 per business premises for non-essential retailers in England—and up to £18,000 for hospitality and leisure businesses. They will also benefit from a five-month extension of the coronavirus job retention scheme, a further 12 months’ relief from business rates and a new UK-wide recovery loan scheme. Tony’s Deli, which my hon. Friend mentioned, and other businesses serving hot food can also enjoy a 12-month VAT cut at 5% until the end of September, and at 12.5% until the end of March.
We are committed to improving skills in the economy and levelling up productivity across England. That will be achieved through our lifetime skills guarantee and further reforms, which will create jobs and opportunity across the country, supporting us to build back better from the coronavirus pandemic. We will provide further detail and a full conclusion to the review of post-18 education and funding at the next comprehensive spending review. I thank my hon. Friend and the Open University for their engagement on this so far.
Freeports will be national hubs for international trade, innovation and commerce and they will regenerate communities across the UK. The Ministry for Housing, Communities and Local Government led a fair, open and transparent selection process to determine successful freeport locations in England. Unfortunately, as with any competitive process, there will always be those that are unsuccessful, and I am afraid there are no plans to designate other freeports in England. Freeports are part of a wider package of UK Government support, which invests in skills, infrastructure and innovation at local, regional and national levels. As part of that package, Blyth was awarded £11 million through the future high streets fund in December and is also one of 101 towns eligible for up to £25 million funding from the towns fund.