Oral Answers to Questions Debate

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Department: Scotland Office

Oral Answers to Questions

Margaret Curran Excerpts
Wednesday 9th March 2011

(13 years, 8 months ago)

Commons Chamber
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John Bercow Portrait Mr Speaker
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Order. There is still far too much noise in the Chamber. It is very unfair on people asking questions and Ministers answering them.

Margaret Curran Portrait Margaret Curran (Glasgow East) (Lab)
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11. What discussions he has had with the Chancellor of the Exchequer on the effect on the economy in Scotland of the increase in the standard rate of value added tax.

David Mundell Portrait The Parliamentary Under-Secretary of State for Scotland (David Mundell)
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The Secretary of State and I have regular discussions with the Chancellor of the Exchequer on a range of issues. The VAT rise is a tough but necessary step towards Britain’s economic recovery.

Margaret Curran Portrait Margaret Curran
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Is the Minister aware of the sense of outrage throughout Scotland that on this Government’s watch, the increase in VAT means that low and middle-income families now pay a higher rate of tax on purchases and earnings than the banks are to pay on their profits? How can that possibly be fair, and why do the Government continue to insist that those with the least should pay the most?

David Mundell Portrait David Mundell
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I am aware of the sense of outrage, not just in Scotland but throughout the UK, at the state of the economy that the last Labour Government left us with, which has required such measures to be taken.