Oral Answers to Questions

Debate between Marcus Jones and Andrew Bridgen

Thursday 11th July 2013 Commons Chamber

[Mr Marcus Jones (Nuneaton) (Con)]

7. What steps he is taking to meet future energy demand.

[Andrew Bridgen (North West Leicestershire) (Con)]

9. What steps he is taking to meet future energy demand.

Amendment of the Law

Debate between Marcus Jones and Andrew Bridgen

Wednesday 21st March 2012 Commons Chamber

[Andrew Bridgen]

My hon. Friend is absolutely right; they have no credibility and will not confirm whether they would bring the rate back. I remind the House of the comments of their former leader, Tony Blair, who stated:

“I wanted to preserve, in terms of competitive tax rates, the essential Thatcher/Howe/Lawson legacy. I wanted wealthy people to feel at home and welcomed in the UK so that they could bring more business, create jobs and spread some of that wealth around.”

Whatever happened to new Labour? Even Mr Blair accepted that the top 1% of earners pay almost 30% of the taxes in this country, and many other countries certainly feel the same, but our top rate of tax was the highest in the 10 largest economies in the world.

[Mr Marcus Jones]

While my hon. Friend is on the subject of tax, will he join me in welcoming the comments of the Birmingham chamber of commerce today that the Chancellor’s tax reforms are a recipe for growth?

[Andrew Bridgen]

I certainly will. As my constituency is only 22 miles from Birmingham, I always listen to what its chamber of commerce has to say. I am sure that it also welcomes another signal that this country is open for business: the acceleration in the cuts to corporation tax. These changes will encourage business investment, support growth and create jobs. My only regret about the announced cut in corporation tax is that Ken Livingstone stands to gain from the devious arranging of his tax affairs. I also welcome the announcement of loans for young entrepreneurs, which displays a commitment, not always shown by the previous Government, to open up opportunities for young people who choose not to go to university.

We are all well aware of the over-complicated and incomprehensible tax system left by the previous Government. The Chartered Institute of Taxation stated shortly after the election:

“The UK now has the longest primary tax code, and one of the most complicated, in the world.”

We all know that this is stunts growth, and I welcome the tax simplification measures announced today in the Red Book, which abolish 28 reliefs and will make the tax affairs of small businesses, the lifeblood of our economy, much simpler. However, this Budget needs to be the beginning of the work on tax simplification, not the end. We have all become aware of the stamp duty loopholes that have been ruthlessly exploited through schemes such as subsale relief and individuals, through companies, avoiding stamp duty on multi-million pound houses. I welcome the action the Chancellor has taken to close this embarrassing loophole.

I welcome also the announcement on regional pay bargaining. The Opposition will argue that it widens the north-south divide, but I argue that the north-south divide is being perpetuated: areas have become so hooked and reliant on public sector jobs that the private sector, which cannot compete with the pay and conditions agreed nationally by the public sector, is stifled. We need more of our brightest and best to enter the private sector, which in many parts of the country struggles to compete with the pay and conditions on offer in the public sector.

I welcome the measures announced to help military personnel, particularly doubling the rate of council tax rebate and doubling the rate of family welfare grant. That is another example and extension of this Government’s commitment to the armed forces, and, although the announcement of £100 million of investment in military accommodation is long overdue, it will be welcomed by all service families.

We cannot tax our way into prosperity any more than we can borrow our way out of a debt crisis. This is a Budget that is symbolic of this Government’s principles—to promote fairness and to reward work and enterprise so that we can start to earn our way back to prosperity.