Employer National Insurance Contributions

Louise Jones Excerpts

Wednesday 4th December 2024 Commons Chamber

[Louise Jones (North East Derbyshire) (Lab)]

A former Conservative leader once had the famous phrase,

“There is no magic money tree.”

Sadly, that is a lesson that Opposition Members have yet to learn. Let us be clear about the economic situation that we are facing. In July, when the Conservatives left office, the tax burden was at a 70-year high, and they left us with a £22 billion black hole in our public finances. This is their legacy and they must live with it: confidence in public services is at an all-time low, and the tax burden at an all-time high. They could not even deliver on their promises in my constituency. If they had chosen to invest the money needed into our NHS, they would have seen the benefits. If they had invested the money in our schools, they would have seen the benefits. If they had funded our armed services to take on the challenges of tomorrow, we would all see the benefits.

Instead, when I look at the primary care centre in Clay Cross, I see hard-working health staff let down by the former Government. When I look at Killamarsh junior school, again, I see hard-working staff and young children let down by this former Government. As I speak to my former Army colleagues, I see no improvement in the situation there either, thanks to the former Government. We must take action. It is our duty as a Government to take the hard choices necessary. I believe that in the long run, this is a positive and necessary step for our UK economy, public services and workforce. National insurance contributions are the backbone of funding for our essential services such as healthcare and pensions, and my voters chose that.

[Kanishka Narayan]

The Vale of Glamorgan, and Wales more broadly, is full of small and micro businesses. The Office for National Statistics and the OBR have both told us that most small businesses and micro businesses will be better off or the same as before. The Vale’s businesses get not only better public services but a good tax set-up. Does my hon. Friend agree that this is a great Budget and a great proposition for small businesses in the Vale?

[Louise Jones]

I could not agree more. I have heard from so many small business owners in North East Derbyshire who are so thankful for the changes that we are making to support them.

If we fail to make these decisions today, we risk the prospect of cuts to crucial services or an increased burden on future generations, which would fall on the most vulnerable in society.

[Graham Stuart]

The hon. Member talks about cuts to vital services. Does she agree that no one would think less of the Government if they were to take £3 billion or £4 billion out of the £22 billion for the NHS and ensure that social care, hospices, GP surgeries and the like do not lose out, to have a holistic and positive input into the health service rather than the disjointed one that we are at risk of right now?

[Louise Jones]

I am sure that the health team will listen to all and any contributions, and will make a decision.

The Labour Government refuse to balance the books on the backs of the poor, workers or people striving for a better life.

[Wendy Morton]

Will the hon. Member give way?

[Louise Jones]

I am going to make progress, as I know other Back Benchers would like to speak.

Instead of austerity mark II, we choose to invest in our services, our children and the people who fight every day to keep us safe. These increases will strengthen our public services, promote economic stability and invest in the future of our workforce. They are an investment in our long-term prosperity, and I fully support them.