Oral Answers to Questions Debate

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Department: HM Treasury

Oral Answers to Questions

Kirsty Blackman Excerpts
Tuesday 21st May 2019

(5 years, 6 months ago)

Commons Chamber
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John Glen Portrait John Glen
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Conversations are going on among Treasury Ministers. The Chief Secretary has heard that representation, and announcements will be made in the autumn Budget.

Kirsty Blackman Portrait Kirsty Blackman (Aberdeen North) (SNP)
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In evidence to the Work and Pensions Committee, the Child Poverty Action Group said of the two-child cap:

“You could not design a better policy to increase child poverty than this one”.

Will the Minister use the spending review to ditch that policy?

John Glen Portrait John Glen
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We spend £95 billion on working-age benefits, hardship payments, benefit advances and budgeting loans. Obviously all matters are under review in the context of spending decisions, which will be made clear in the autumn Budget.

Kirsty Blackman Portrait Kirsty Blackman
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That is not good enough. Analysis by Cambridge Econometrics states:

“In all of the Brexit scenarios, real wages for low-pay workers are depressed due to increases in prices and reduced levels of productivity, due to skills shortages and lower industry investment.”

Faced with this child poverty double-whammy, does the Minister agree that it is no surprise that the Tories are set for an absolute drubbing on Thursday?

John Glen Portrait John Glen
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I listen to the Office for Budget Responsibility, which is forecasting sustained real-wage growth for every one of the next five years. The latest statistics capture household income up to April 2018, but since then we have had a year of real-wage growth.