BBC Funding

Debate between Lucy Frazer and Alun Cairns

Thursday 7th December 2023 Commons Chamber

[Lucy Frazer]

I wish to correct the hon. Lady: we are not cutting the BBC’s budget but increasing it, by 6.7%. What we are not doing is increasing it by 9%. She will know from speaking to companies or households in her constituency whether those companies have had a 9% increase in their funding. Have the Government had a 9% increase in their funding? We are creating a careful balance to ensure that we support the BBC with this rise of 6.7% to provide those services, while thinking carefully about the cost of living and bills for households up and down the country.

[Alun Cairns (Vale of Glamorgan) (Con)]

I thank my right hon. and learned Friend for her statement on restricting the increase in the BBC licence fee. I also recognise the reassurance she has given S4C, which is facing a particularly challenging time and needs stability. As she said, the licence fee still raises £3.8 billion. Departments, local authorities and most public organisations have to publish details and invoices in respect of sums in excess of £500. I have tried on two occasions in the House to introduce legislation to force the BBC to do the same. Within the review, will she consider how we can increase transparency and scrutiny of the £3.8 billion that is spent, so that we can introduce better efficiency gains and scrutinise closely where money might be wasted?

[Lucy Frazer]

My right hon. Friend makes an interesting point. I do not think it will form part of this review, but it is an interesting point that I will reflect on and consider further.

North Sea Oil and Gas Producers: Investment Allowances

Debate between Lucy Frazer and Alun Cairns

Monday 6th June 2022 Commons Chamber

[Lucy Frazer]

The hon. Lady mentions that Labour has been calling for this levy since January. She will know that January was not the right time to introduce it because we did not know then what the price cap would be. Ofgem estimated that in the week when this announcement was made. She will also know that in January, inflation was not at 9%. The Chancellor has taken this decision carefully, considering the circumstances and not just making policy on the basis of ideology.

I am sure the hon. Lady will know that Labour has made £100 billion of spending commitments, with less than £10 billion fully funded. That would almost double our current borrowing. We Conservative Members are aiming to ensure that we are fiscally responsible with taxpayers’ money.

Let me respond to two other points that the hon. Lady made. First, she will remember that when the policy was announced, we said we had estimated that it would raise £5 billion for the package of measures that we had put forward to support people with the cost of living—as she said, that is what we are talking about today. Secondly, she mentioned the importance of reaching our net zero targets. She will know that the UK, under this Government, has already decarbonised faster than any G7 economy, and that there are many other tax levers for green energy, including the super deduction and research and development tax reliefs. She will know that we are consulting on broadening the emissions trading scheme and that we have committed £1 billion to a carbon capture and storage infrastructure fund, as well as £140 million to the industrial decarbonisation and hydrogen revenue support fund. We are ensuring that we tax extraordinary profits at the same time as protecting those who are struggling with the cost of living.

[Alun Cairns (Vale of Glamorgan) (Con)]

Two weeks ago, my right hon. Friend the Chancellor announced a package of support that is far more generous than what the Labour party ever proposed. It is focused on the immediate pressures that families are facing up and down the country. It is also funded by the energy profits levy, which focuses on and offers support and relief for future investment. Does my right hon. and learned Friend agree that we need not to only provide support in the immediate term, as the Chancellor demonstrated, but to look to the future energy security needs of the United Kingdom?

[Lucy Frazer]

My right hon. Friend makes an important point, and that is one reason why we set out the Prime Minister’s energy security strategy recently. My right hon. Friend also makes the important point that our package is more generous to those who are vulnerable. Under our package, the lowest-income households will receive double what Labour was proposing—£1,200, compared with £600. Hard-working families will receive £550 under our proposal compared with the £200 that they would have received under Labour’s proposal.