Oral Answers to Questions Debate

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Department: HM Treasury

Oral Answers to Questions

Lindsay Hoyle Excerpts
Tuesday 3rd September 2024

(3 months, 2 weeks ago)

Commons Chamber
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Jacob Collier Portrait Jacob Collier (Burton and Uttoxeter) (Lab)
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Pubs are the lifeblood of our local communities. In my constituency, the home of British brewing, we are blessed with wonderful pubs—

Lindsay Hoyle Portrait Mr Speaker
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Order. Unfortunately, supplementary questions must be linked to the main question.

Jacob Collier Portrait Jacob Collier
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Oh—sorry.

Lindsay Hoyle Portrait Mr Speaker
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Don’t worry. I now call the shadow Minister.

Nigel Huddleston Portrait Nigel Huddleston (Droitwich and Evesham) (Con)
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I congratulate the Chancellor and the entire Treasury team on their appointments. We have always had civil, albeit occasionally robust, interactions, and I am sure that will continue, but it is now our job to hold them to account for the important decisions they make at the Treasury. During the election, Labour promised on more than 50 occasions not to increase taxes on working people. Does it now recognise that working people have pensions too, and can the Chancellor give those people, who are saving for the future, peace of mind by confirming that the Government will not increase taxes on pensions in the upcoming Budget?

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Tim Farron Portrait Tim Farron (Westmorland and Lonsdale) (LD)
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Investment in our rural economy must focus heavily on rewarding our farmers for the food they produce and the environment they protect. The last Government ringfenced £2.4 billion a year for England to support our farming sector. Through indifference or incompetence, they underspent by £100 million last year and betrayed our farmers in doing so. Will the Chancellor confirm to me, my farmers and this House that she will not bake in that underspend, which was the fault of the last Conservative Government, and that she will at least commit to ringfencing what is already invested in farming? If not, hopefully she will back the Liberal Democrats’ call to back £1 billion extra into farming so that we can feed our—

Lindsay Hoyle Portrait Mr Speaker
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Order. Mr Farron, please do not take complete advantage. I think you have slightly strayed from the original question. Chancellor, if you want to have a go at it, by all means do so, but I will understand if you do not.

Rachel Reeves Portrait Rachel Reeves
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The rural economy plays an incredibly important role in our economic prosperity as a country, and boosting food security and biodiversity is obviously incredibly important to a whole range of this Government’s objectives. I will ensure that the Secretary of State for Environment, Food and Rural Affairs hears loud and clear the message from the hon. Member, and I am sure he will include it as part of his submission to the spending review on 30 October.

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Rachel Reeves Portrait Rachel Reeves
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The Government have committed to the triple lock not just for this year, but for the duration of this Parliament. That means that pensioners are £900 better off than they were a year ago. Based on September earnings and inflation data, we will uprate pensions next year by whichever is higher: 2.5%, inflation or average earnings. We are ensuring that pensioners get the pensions that they are entitled to and have contributed to.

Lindsay Hoyle Portrait Mr Speaker
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I call the shadow Minister.

Laura Trott Portrait Laura Trott (Sevenoaks) (Con)
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Ten years ago, the now Chancellor argued in this House that winter fuel payments should be means-tested and cut for “the richest pensioners”. The Chancellor’s 10-year campaign has now come to fruition and she has proposed removing the winter fuel payment from pensioners on just £13,000 a year. Does she still think that a pensioner on £13,000 a year is rich?

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Danny Chambers Portrait Dr Chambers
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Over the past few weeks, I have been inundated with questions from the people of Winchester about the cuts in the winter fuel allowance, and it seems as though people from all parts of the House are getting similar correspondence. Although I totally understand that there are many wealthy pensioners who do not rely on the winter fuel allowance to heat their homes, a large proportion of pensioners live on or near the poverty line and will be plunged into crisis this winter. Given the huge strength of feeling in all parts of the House, will the Chancellor reconsider her decision? If not, will she at least commit to a vote and a debate in the House about how we best protect our most vulnerable—

Lindsay Hoyle Portrait Mr Speaker
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Order. Sorry, I have to get through the Order Paper. Put in for an Adjournment debate. Minister, I think you got the gist.

James Murray Portrait James Murray
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I thank the hon. Member for his comment, but as my right hon. Friend the Chancellor set out, the state pension is £900 more this year than it was last year, thanks to the triple lock. We have committed to maintaining the triple lock as the foundation of state support for pensioners throughout the rest of this Parliament. Energy bills are lower this year. It is crucial that he and other Members across the House support our goal to increase the take-up of pension credit. If we make sure that all pensioners who are eligible for pension credit take it up, they will thereby receive the other benefits, including the winter fuel payment, to which they are entitled.

Lindsay Hoyle Portrait Mr Speaker
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I call the shadow Minister.

Gareth Davies Portrait Gareth Davies (Grantham and Bourne) (Con)
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During the general election, the Labour party committed to bring down energy bills by £300. Now that the election is over, energy bills are going up by some 10%. On behalf of the British electorate, especially the 10 million pensioners who are having their winter fuel payment taken away, I ask the Minister to confirm to the House that the £300 cut is still Labour policy. If it is, specifically how is the £300 calculated, and when will it be delivered?

James Murray Portrait James Murray
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I thank the shadow Minister for his comment and welcome him to his new place. He referred to the cost of energy. As we know, the cost of energy is substantially lower than it was this time last year, but we are under no illusions about how much more we need to do to make sure that energy bills are truly affordable and that we tackle the cost of living crisis. That is why we have set to work straight away in establishing Great British Energy, alongside our national wealth fund, which will help to invest in the clean energy sources of the future and bring down energy bills for good.

Lindsay Hoyle Portrait Mr Speaker
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I call the Lib Dem spokesperson.

Sarah Olney Portrait Sarah Olney (Richmond Park) (LD)
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We know that the Government have inherited a mess, and that at the centre of that mess is a £22 billion hole left in the public finances by the previous Government, but that cannot be allowed as cover for measures that cause suffering for the most vulnerable in society. The Chancellor will have heard Lib Dem colleagues talk about the hardship that the scrapping of the winter fuel allowance will mean for their constituents, so can she assure us that she will give her full support to measures to boost the uptake of pension credit? Most crucially, will she give the House the opportunity to have a proper debate and a vote on this cut, which will have such an impact on so many?

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Rachel Reeves Portrait Rachel Reeves
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That is the purpose of elections, and at the last election, this Government achieved a sizeable majority for our missions, including growing the economy, improving living standards and making working people better off. We have just got started, and that is what we are absolutely determined to do, in order to deliver on the mandate we got on 4 July.

Lindsay Hoyle Portrait Mr Speaker
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I call the shadow Minister.

Alan Mak Portrait Alan Mak (Havant) (Con)
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The Institute of Directors’ latest economic confidence index shows that optimism about the economy fell back to minus 12 last month, following a three-year high of plus 7 in July. Can the Chancellor explain how Labour’s tax rises on working people, businesses and pensioners will contribute to economic growth when the economy is already going backwards under this Labour Government?

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Rachel Reeves Portrait Rachel Reeves
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Let me respond directly on the issue of Ukraine. In my first couple of weeks in this job, I had the pleasure of meeting Minister Marchenko from Ukraine, and made a commitment to him to go ahead with the extraordinary revenue acceleration programme. It is important that we work together across the House to support the Ukrainian people against the Russian invasion. In the previous Parliament, Labour always supported the Government when they took action to support the Ukrainian people, and I hope that that cross-party support can continue.

Lindsay Hoyle Portrait Mr Speaker
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Can I remind everybody that this is topical questions? I have a big list to get through. Rachael Maskell will give us a good example.

Rachael Maskell Portrait Rachael Maskell (York Central) (Lab/Co-op)
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T4. In York, the average rent rise of 11.9% exceeded the state pension rise by £380 this year. With the loss of the cost of living payments and winter fuel payments, and the increase in the energy price cap and cost of living, pensioners are frightened about how they are going to keep warm this winter, as am I. In changing the eligibility for the winter fuel payment, how will my right hon. Friend protect pensioners above the pension credit threshold to prevent cold, ill health or worse this winter?

Rachel Reeves Portrait Rachel Reeves
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The basic state pension is worth £900 more than it was a year ago, and will go up again in April next year because of the triple lock, which we have committed to for the duration of this Parliament. We have already written to York council and are working with local authorities across the country to boost take-up of pension credit, because this Government, unlike the last Government, are determined to ensure that 800,000 people entitled to pension credit actually receive it.

Lindsay Hoyle Portrait Mr Speaker
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I call the shadow Chancellor of the Exchequer.

Jeremy Hunt Portrait Jeremy Hunt (Godalming and Ash) (Con)
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When the Chancellor was sitting on the Opposition Benches she repeatedly attacked cronyism, so will she tell the House whether she told the Treasury permanent secretary that Ian Corfield had made a donation to her before she got him appointed as a director in the Treasury—yes or no?