Business of the House

Kevin Brennan Excerpts

Thursday 19th January 2012 Commons Chamber

[Sir George Young]

I recognise the concern that my hon. Friend expresses. The Government have made it clear that as we reduce the deficit it is appropriate for those on higher incomes to make a contribution. Against that background, we announced that households with one or more higher rate taxpayer would forgo child benefit from next year. That remains our policy. We are looking at how it will be implemented and hope to make further announcements in due course.

[Kevin Brennan (Cardiff West) (Lab)]

May we have a statement later today from the Prime Minister on responsible capitalism? Peacocks, which is based in Cardiff, has gone into administration, as we heard earlier. RBS pulled the plug on the finance for the company, yet we hear that its chief executive, Stephen Hester, is to get a £1.5 million bonus. When will the Prime Minister actually do something about this, rather than giving the impression that he is busy doing nothing and working the whole day through to find lots of things not to do?

[Sir George Young]

It is not the case that the Government have done nothing about bankers’ bonuses. A moment ago, I outlined the action that was taken through Merlin to cap cash payments at £2,000 and to get bonuses on a downward trajectory. The hon. Gentleman will know that we finished consulting on executive pay in November. We hope to make an announcement very soon. His Government totally failed to take such action over 13 years.