G20 Summit

Debate between Kwasi Kwarteng and John Bercow

Monday 25th June 2012 Commons Chamber

[Mr Speaker]

Order. I gently say to the hon. Member for Rhondda (Chris Bryant) that if he wishes to conduct a running commentary on our proceedings, he is welcome to apply for a job at Wimbledon over the next fortnight, where his services might—or, alternatively, might not—be required.

[Kwasi Kwarteng (Spelthorne) (Con)]

What assessment has my right hon. Friend made of France’s deficit reduction plan?

Amendment of the Law

Debate between Kwasi Kwarteng and John Bercow

Thursday 22nd March 2012 Commons Chamber

[Kwasi Kwarteng (Spelthorne) (Con)]

I am pleased to have the opportunity to speak in the Budget debate, because we had a significant Budget yesterday.

We have to consider what the Chancellor said in the Budget in the context of 10 years of Labour profligacy in public spending and in the context of the international economy. The Office for Budget Responsibility has been clear about the problems that face the British economy. There are structural problems caused by too much debt, which in turn was caused by too much spending. It is clear to everyone that spending more money or running a greater deficit would not help to get us out of this situation. The Government are doing what they set out to do and they are reducing the deficit. The Budget yesterday was a step in the right direction. We are trying to cut regulation and to encourage enterprise and aspiration. All that was clear in the Budget.

I would like to talk about tax cuts. The most significant tax cuts in yesterday’s Budget were not at the top end of the income scale, but at the lower end. It was an historic step to take hundreds of thousands of people out of taxation. It is striking that in this debate, the Labour party has made no comment about that. It has not given us the courtesy of saying that it agrees with the proposal, nor has it opposed it, yet it was the most significant move in the Budget.

There were other, perhaps more controversial moves, such as cutting taxes for wealthier citizens and subjects, which have created some debate. It is received wisdom, I think, that high taxes did not stimulate economic growth. Some Members will remember that there was a 98% super-tax in the 1970s, and we were a very highly taxed nation. Other Members were here when Nigel Lawson cut the top rate of tax from 60% to 40%. That was so successful that in 12 years, Labour did not touch it. It always accepted that 40% was a reasonable and good tax rate, not because it was friendly to the rich but because Labour’s leadership realised that there needed to be incentives to make the economy grow.

[Mr Speaker]

Order. I think the hon. Gentleman was referring to his noble Friend the Lord Lawson of Blaby. It would be good to preserve some of the courtesies of the House.

[Kwasi Kwarteng]

Indeed. I am very grateful to you, Mr Speaker, for putting me in my place. I will refer to him with proper courtesy with his title. The Budget in which he cut the top rate—the 1987 one, I believe—was the most significant in recent years, and only latterly have a series of political games been played and has the top rate been increased. Other Members have referred to that, and it is an elephant trap that the Government have mercifully dodged.

We have to consider the Budget in its national context, but also in an international context. It is no good our having worthy debates here without referring to what is going on in the rest of the world. I was very pleased to see that the Chancellor had finally realised that aviation capacity in the south-east is a massively important issue. The fastest-growing cities in the world need to have more connections. We will not be able to make money or trade with them without connections, and the Chancellor’s step of recognising the problem is mature and bold.

While we are focusing on spending and regulation, we have to realise that other parts of the world such as China, India, Brazil and places in the middle east such as Dubai have favourable regimes for business. If we are to compete seriously with those countries and their regimes, we will have to do an awful lot more even than we are doing to make ourselves competitive.

The Budget was excellent and a step in the right direction, although we need to do more to meet the targets that we have set ourselves. The Office for Budget Responsibility has said that it is looking for 3% growth in 2015 and, to meet that, we will have work an awful lot harder.

Housing Benefit

Debate between Kwasi Kwarteng and John Bercow

Tuesday 9th November 2010 Commons Chamber

[Kwasi Kwarteng]

I am grateful to the right hon. Lady for giving way. I have asked this question six times in the course of this debate. What is your view on the cap? Would you have one?

[Mr Speaker]

Well, the hon. Gentleman ought to be able to get it right the seventh time. The Chair has no view on the cap.

[Kwasi Kwarteng]

rose—

[Mr Speaker]

The hon. Gentleman has finished. That is the end of it.

Emerging Economies

Debate between Kwasi Kwarteng and John Bercow

Monday 14th June 2010 Commons Chamber

[Kwasi Kwarteng]

With respect, I am talking about the emerging economies, and the point about education is central to the debate. If the country is to improve and compete with other countries, we need much more rigour and discipline. That was palpably lacking in the Labour Government’s actions in the past 13 years.

We must approach the problem much more broadly. Britain was so successful in the past because we had a thriving economy. The industrial revolution powered Britain’s ascent to world dominance in many ways. Leaving a country economically crippled is the worst thing that we can do to our standing abroad. We must tackle our domestic economic situation before we can even begin to try to compete with emerging economies. I just wanted to put those broad points on the record, and to say that Labour failure has once again damaged—

[Mr Speaker]

Order. We are grateful to the hon. Gentleman. With the leave of the House, I call the Minister, Mr Henry Bellingham.