Budget Resolutions

Margaret Greenwood Excerpts

Tuesday 12th March 2024 Commons Chamber

[Margaret Greenwood (Wirral West) (Lab)]

This Budget has failed to address the acute challenges that our country is facing. After 14 years of Conservative rule we have appalling levels of poverty and inequality, and vital public services have been brought to their knees, but instead of being presented with a Budget to inspire hope that the conditions in which so many people are living could be turned around, we were treated to the sight of a blasé Chancellor with a pitiful offer.

More than 14 million people in the United Kingdom are living in poverty, including more than 2 million pensioners and 4 million children, and a million of those experienced destitution in 2022; but the Chancellor threw them crumbs in the form of a measly six-month extension of the household support fund. Does he think that after September there will, by some miracle, no longer be people who need help with the cost of food and utilities? It is an insult.

In February, the former Prime Minister Gordon Brown said:

“In years to come…people will be asking how it was that government walked by on the other side when thousands of children were suffering abject deprivation, and failed to support them in their hours of need.”

This is a damning indictment of this Government. The Chancellor’s treatment of pensioners was shameful as well. Paul Johnson, the director of the Institute for Fiscal Studies, has said that they will be “substantial net losers” from the Budget. He explained:

“Well over 60 per cent of pensioners now pay income tax. Income tax changes will leave most of them £650 a year worse off by 2027, and over £3,000 a year worse off if they are higher rate tax payers.”

Why is the Chancellor punishing pensioners in this way?

The Chancellor had the audacity to claim that the Government have a plan for better public services, despite knowing full well that Conservative Governments over the past 14 years have inflicted brutal cuts and that more are planned for the years ahead. Torsten Bell, the chief executive of the Resolution Foundation, said:

“The £19 billion of cuts to unprotected public services after the next election are three-quarters the size of those delivered in the early 2010s. The idea that such cuts can be delivered in the face of already faltering public services is a fiscal fiction.”

Yet again, the Tories are heaping the misery of austerity on the country.

Local authority funding has been decimated under the Conservatives. Figures from the House of Commons Library show that Wirral saw a 28.6% real-terms drop in settlement funding between 2015-16 and 2023-24. In Wirral West, we have lost Woodchurch swimming pool and leisure centre, as well as council-run libraries in Hoylake, Pensby, Irby and Woodchurch. In Wirral overall, we saw a 54% drop in real-terms spending on services for young people between 2012-13 and 2022-23. There have also been cuts to emergency services: we now have around 380 fewer police officers in Merseyside than we did in 2010; and we have about 270 fewer firefighters. In Wirral, there are no legal aid contracts to support people on housing or social security matters, leaving people without access to justice. Where was the funding to address the devastating impact of years of austerity? Communities in Wirral have been left high and dry by the Tories.

The underfunding of the NHS continues, despite the fact that waiting lists are at over 7.6 million, leaving people suffering in pain, with thousands stopping work as a result. I would like the Minister to explain why the Government have gone back on their commitment to expand the provision of fracture liaison services. The Royal Osteoporosis Society’s “Better Bones” campaign calls for £30 million a year for universal fracture liaison coverage. That would save the Exchequer money in the long run, keeping people healthy rather than seeing them join NHS queues and become reliant on social security.

We still see no realistic plan to address the crisis in adult social care. Last year, research by Age UK found that 1.6 million older disabled people have unmet care needs and that 36,000 fewer older disabled people are receiving care than in 2017-18. Skills for Care, the workforce development and planning body, estimates that an average of 9.9% of roles in adult social care were vacant in 2022-23—equivalent to approximately 152,000 vacancies. The Government also continue to ignore the more than 7 million adults in England who are functionally illiterate, which is a form of deprivation that goes unanswered. According to the latest report from the IFS, total spending on adult skills in 2024-25 will still be 23% below 2009-10 levels.

This is a Budget from a Government who lack any ambition to serve the majority across the country. The Conservative legacy is one of decimated public services and appalling levels of poverty and inequality. It is time for them to step aside. It is time that we have a Government who will give an immediate injection of funding to public services and ensure that no one suffers poverty.