Budget Resolutions

Lindsay Hoyle Excerpts

1st reading: House of Commons
Thursday 1st November 2018 Commons Chamber

[Jess Phillips]

rose—

[Mr Deputy Speaker (Sir Lindsay Hoyle)]

Order. The hon. Lady knows as well as I do that you cannot stay on your feet if the Minister is not going to give way. [Interruption.] You do know that. Oh come on now, you could not have done that six months ago.

[Elizabeth Truss]

I have only two minutes left, Mr Deputy Speaker, and I am afraid I cannot give way. Labour’s tax hikes would cost jobs and its war on enterprise would crush the very people who make this country great.

The past eight years have been tough, but Monday’s Budget marked a new era. It is about more jobs than ever before. It is about businesses succeeding. It is about wages going up. It is about people keeping more of what they earn. It is about people feeling better off in their everyday lives. This is a Budget for a confident, optimistic British future that puts more money in people’s pockets, frees enterprise to invest, and paves the way for a high- growth, high-aspiration post-Brexit Britain. I commend this Budget to the House.

Question put, That the amendment be made.

--- Later in debate ---

And it is declared that it is expedient in the public interest that this Resolution should have statutory effect under the provisions of the Provisional Collection of Taxes Act 1968.

[Mr Deputy Speaker (Sir Lindsay Hoyle)]

I am now required under Standing Order No. 51(3) to put successively, without further debate, the Questions on each of the Ways and Means motions numbered 2 to 80, on the motion on Finance (Money), and on the motion on which the Bill is to be brought in. These motions are set out in a separate paper distributed with today’s Order Paper. I must inform the House that, for the purposes of Standing Order No. 83U, and on the basis of material put before him, the Speaker has certified that in his opinion the following motion relates exclusively to England, Wales and Northern Ireland and is within devolved legislative competence: motion 3, on Income Tax (main rates). Should the House divide on this motion it will be subject to double majority voting.

The Deputy Speaker put forthwith the Questions necessary to dispose of the motions made in the name of the Chancellor of the Exchequer (Standing Order No. 51(3)).

2. CORPORATION TAX (charge for financial year 2020)

Resolved,

That (notwithstanding anything to the contrary in the practice of the House relating to the matters that may be included in Finance Bills) provision may be made charging corporation tax for the financial year 2020.

3. Income tax (MAIN RATES)

Resolved,

That for the tax year 2019-20 the main rates of income tax are as follows—

(a) the basic rate is 20%,

(b) the higher rate is 40%;

(c) the additional rate is 45%.

And it is declared that it is expedient in the public interest that this Resolution should have statutory effect under the provisions of the Provisional Collection of Taxes Act 1968.

4. Income tax (Default and savings rateS)

Resolved,

That—

(1) For the tax year 2019-20 the default rates of income tax are as follows—

(a) the default basic rate is 20%;

(b) the default higher rate is 40%;

(c) the default additional rate is 45%.

(2) For the tax year 2019-20 the savings rates of income tax are as follows—

(a) the savings basic rate is 20%;

(b) the savings higher rate is 40%;

(c) the savings additional rate is 45%.

And it is declared that it is expedient in the public interest that this Resolution should have statutory effect under the provisions of the Provisional Collection of Taxes Act 1968.

5. Basic rate limit and personal allowance for tax year 2019-20

Question put,

That—

(1) For the tax year 2019-20, the amount specified in section 10(5) of the Income Tax Act 2007 (basic rate limit) is “£37,500”.

(2) For the tax year 2019-20, the amount specified in section 35(1) of the Income Tax Act 2007 (personal allowance) is “£12,500”.

(3) Accordingly, for the tax year 2019-20—

(a) section 21 of the Income Tax Act 2007 (indexation of basic rate limit and starting rate limit for savings) does not apply in relation to the basic rate limit, and

(b) section 57 of the Income Tax Act 2007 (indexation of allowances) does not apply in relation to the amount specified in section 35(1) of that Act.

And it is declared that it is expedient in the public interest that this Resolution should have statutory effect under the provisions of the Provisional Collection of Taxes Act 1968.

--- Later in debate ---

[Carolyn Harris (Swansea East) (Lab)]

On a point of order, Mr Deputy Speaker. There are sad reports that the Minister for Sport, the hon. Member for Chatham and Aylesford (Tracey Crouch), has resigned as a direct result of the Chancellor of the Exchequer’s Budget. Will someone on the Treasury Bench confirm whether that is true? If it is, I want to put on record my support for the Minister’s work and to thank her for the job she has done. Will the Chancellor confirm to the House whether this is the first time that a member of the Government has resigned during the votes on a Budget as a direct result of a Chancellor’s policies?

[Mr Deputy Speaker (Sir Lindsay Hoyle)]

As the hon. Lady is well aware, that is not a point of order for the Chair, but it is now on the record for all to know.

[Yvette Cooper (Normanton, Pontefract and Castleford) (Lab)]

On a point of order, Mr Deputy Speaker. On Tuesday, the Home Office told the Home Affairs Committee that there would be additional checks by employers on EU citizens in the event a no-deal Brexit. However, the Home Secretary appears to have told the media yesterday that there would not be any such checks and that there would be a transition. Today it appears that No. 10 has told the media both that there will be no checks, and also that free movement is starting straight away, and that planning is continuing so nothing is certain. Have you heard anything from the Home Office about whether a Minister will come to the House to clarify this chaotic mess? With five months to go, will you use your offices to ensure that somebody either from the Home Office or from No. 10 tells us what on earth is going on?

[Mr Deputy Speaker]

There are a couple of things to say. First, that matter is now on the record, ensuring that everyone is aware of it. Secondly, the power lies with the Chair of the Home Affairs Committee to invite Ministers, the Home Secretary or whoever back before the Committee to make a clarification. People will have noted what is being said, and I am sure that we will get an explanation before long.

[Stephen Doughty (Cardiff South and Penarth) (Lab/Co-op)]

Further to that point of order, Mr Deputy Speaker. This is not the first time that the Home Affairs Committee has received misleading, contradictory evidence from Home Office Ministers. It is deeply unacceptable that information is not being clarified by a statement to the House or in a letter to the Committee, but appearing in mysterious email communications with outside organisations and to the media. What can we do to get a Minister here to explain what on earth is going on at the Home Office?

[Mr Deputy Speaker]

There are obviously many alternative options and avenues to go down, such as an urgent question on Monday. I know that the Chair of the Home Affairs Committee will not leave the matter at that, and I think that different approaches will be being used by Monday.

[Robert Courts (Witney) (Con)]

On a point of order, Mr Deputy-Speaker. The hon. Member for Bootle (Peter Dowd) complained of not having advance sight of the Budget. If my understanding is correct, that is only the convention for the spring statement, not for the Budget. Can you confirm that advance sight has only happened once in 20 years of Budgets, 13 of which were covered by Labour Budgets?

[Mr Deputy Speaker]

The Government decided not to provide an advance copy, so that was a Government decision. What people will believe is the norm, they will believe, but others will say that it is not the norm. For clarification, somebody said on Facebook that the Opposition did not receive a copy but I did, and unfortunately for the person who said that, I am the Chairman of Ways and Means, and the Budget has been delivered to the person in that position for over 100 years. It was not delivered me to personally, but to the office that I hold.

[Lyn Brown (West Ham) (Lab)]

Mr Deputy Speaker, you have given me some information that I did not know before.

[Mr Deputy Speaker]

Excellent. At least I can be helpful to the House.