(2 weeks, 6 days ago)
Commons ChamberObviously it would be useful to have people with business experience in the Cabinet, if they are going to levy taxes on business. Sadly, the Government do not have that. My hon. Friend’s point about business confidence and the reaction from businesses goes to what the Minister was trying to say in his summing up about what the Conservative party would do. The way we raise more taxes is by enhancing business confidence, so that they invest, grow and make profits that can be taxed. This Budget has done precisely the opposite. Each and every day since the Budget, confidence in the financial competence of this Labour Government has been ebbing away. Less than one in four of the public now believe that this Government are handling the economy well.
The hon. Gentleman appears keen on polling. Can he talk us through the polling for Liz Truss and Kwasi Kwarteng’s Budget?
In the recent autumn Budget—it might feel like a long way away, but it was only a few weeks ago—the Chancellor made a decision to change the system of employer’s national insurance contributions. The purpose was to make the largest businesses make a contribution to fund the public services on which working people and businesses rely.
As part of the changes to national insurance, we have increased the employment allowance to £10,500, explicitly to protect small businesses. The changes mean that a quarter of a million employers will see the amount of national insurance that they pay get cut.
Does the hon. Gentleman seriously consider a GP surgery in my constituency with seven doctors and six members of staff to be one of the largest businesses, even though it is suffering from tens of thousands of pounds in extra costs and will have to lay people off, which will reduce capacity?
I thank the hon. Gentleman, because he makes an excellent point that I was hoping to come to later in my speech. The previous Government cut national insurance, and do you know what was also cut? The number of GPs in my constituency. It is more complicated than Members pretend; it is not “national insurance vs. GPs”. If it were that simple, I would have more GPs, not less, in Gateshead Central and Whickham. I would urge those who were enthusiastically cheerleading the previous Government to take a moment to think about that.
It is right to say that politics is far more complicated than soundbites. The previous Government, alongside their coalition partners, brought in austerity, which had a huge impact on small and medium-sized businesses, because it affected the spending power of working people. Does my hon. Friend agree?
I thank my hon. Friend for making that point. It is always worth reminding Members of all shades and stripes of the existence of the coalition Government. Quite often I hear the Liberal Democrats talk about 14 years of terrible decisions, but I am afraid that they have to own five of those years.
We have not heard the Opposition thank this Government for increasing the minimum wage—the words are “thank you”, by the way—to £12.21 an hour. As we have seen, when we increase the minimum wage and put more money in the pockets of working people of all stripes, we see more money spent on high streets and in local communities, and more thriving local businesses. I have been meeting local businesses recently, including Prism Coffee in Saltwell park—it does an excellent flat white, by the way—the Rare Drop in Low Fell, which has an absolutely fantastic selection of beers and cheeses, and my next-door neighbour, the owner of Creations and Alterations, who can do some work on your suit.
But what people in Low Fell have been speaking to me about recently is crime—retail crime and crime on our high streets—and we are going to tackle that by raising money and spending more on the police so that they can be not only a visible presence in our communities but solve crimes. For too long, break-ins have been ignored, and that is a fundamental problem for businesses. If they are having to spend £1,400 on getting shutters for their shop on the high street, that is a fundamental hit to their bottom line. If they are having the back door of their business kicked in every night of the week, whether money is stolen or not, that it is pushing up their insurance premiums and it is a hit to their bottom line. How do we tackle that? With more police on the streets, and we will fund that with this national insurance increase.
The Government will receive £10 billion from this intervention in the tax regime. How many times are they going to spend it?
I thank the hon. Member for his point. This is what is known as a balanced Budget, and we on this side of the House are going to do something remarkable. The amount of money that we raise will match the amount of money that we spend. I know that might seem alien to some of those on the Opposition Benches, but that is what we are going to do.
No, I have been more than generous in taking interventions so far.
It is amazing to see the anger that has been generated among Conservative Members. Let us remember their record, because it is important for the context. In government, they doubled the national debt, stagnated wages—which is awful for businesses, by the way, especially small businesses that rely on local people spending money—and caused a cost of living crisis. Their own Prime Minister, Liz Truss—remember the name?—delivered a Budget made up of £45 billion of unfunded tax commitments and crashed the value of the pound to its lowest ever value against the dollar. The British people suffered, waiting lists soared, schools crumbled, buses did not come on time or at all and we waited hours for ambulances or years for surgery.
I am concerned about GPs, because I am sick of people having to call at 8 o’clock every morning to demand an appointment for themselves or for their child, only to be told that there are no appointments that day. This Government will invest in our NHS to tackle the GP crisis, because that is what hurts working people. When people are unwell, when people cannot go to work and when there is crime in their communities, that has an impact on business. It is false to say otherwise, and we cannot continue having this debate. We are taking a balanced and, in my view, reasonable position, which is why I will be voting for the Bill this evening. We raise taxes and we spend the money on things that are good for society. We cannot pretend that we can do good things for society without raising the taxes to pay for them.
Like many Labour Members, I have a huge amount of experience of opposition. I have never sat on the Opposition Benches and I do not want to sit on them any time soon, but I have a huge amount of experience of the business of opposition, and I would gently offer some advice that I doubt will be taken. You are going to have to do a lot better than this if you want to convince—[Interruption.] Sorry, Madam Deputy Speaker, I do apologise. The Conservatives will need to do a great deal to convince the British people that they have heard the lesson that was given to them in July. If they continue in this vein of listening to only one side of the conversation—the one that they want to hear—they might not like the answer they get.
(1 month ago)
Commons ChamberI wish to associate myself with the comments of many other Members who congratulated my hon. Friend the Member for Amber Valley (Linsey Farnsworth) on her wonderful maiden speech. She spoke particularly movingly about the impact that being in this place has on our families. I am sure that all of us will be thinking of our friends and family as we think back on that speech.
I am proud to speak in support of the Bill. I am proud of the additional money that is being provided for the defence of Ukraine and its people. I am proud that the sum of £2.26 billion, as my hon. Friend the Member for Rushcliffe (James Naish) said, is in addition to the £3 billion that has been committed each year. I am proud, too, that this House stands for Ukraine and democracy, and in opposition to Putin and tyranny. That position is shared almost universally across this House, and certainly universally in this debate.
In my early contributions in this place, I have spent much of my time decrying the legacy of the last Conservative Government. I dare say I will do that a few more times, Madam Deputy Speaker, but I certainly will not be doing that on Ukraine. One area in which the last Government deserve real praise is their support for the Ukrainian people. In their darkest hour, this House and this country stood as one—in defence of Ukraine, in defence of democracy, in defence of freedom.
At a time when the opinion of politics and politicians is low, I think it speaks well of the House that we can come together on issues of such great magnitude. The support for the people of Ukraine under the last Government and under this Government make me proud to be British, and proud to be a Member of this House, because defending Ukraine, its independence and its way of life, is also defending our way of life. It is drawing a line in the sand and saying to those who wish to tear up our democracy and subvert our society that we will not stand idly by. I am sure that I am not the only Member to have stood at his or her local cenotaph on Remembrance Sunday or Armistice Day and thought of those who are fighting right now for their freedom and for their loved ones in Ukraine.
At the same time, we must not think that those who are taking on Russian aggression are solely those on the frontline. This war is being fought with more than just bombs, bullets and missiles. It is fought by the families who keep on living despite the presence of a dictator who wishes to snuff out the existence of their nation. It is fought by those who are willing to say, in this House and anywhere else where speech is free, that Vladimir Putin is an illegitimate tyrant. It is fought by those inside Russia who stand—or seek to stand—in democratic elections, knowing that the elections in which they stand are neither free nor fair, but doing so anyway. It is fought through the dignity and defiance of those nations who also stand on the border of the Russian aggressor state, wishing only to remain free. We must stand with them too.
Across the UK, including in Gateshead and Whickham, people have taken Ukrainian refugees into their homes. They have made them welcome. They too are part of the fight for dignity and democracy. Today we take the next critical step in that fight, at a time when, as has been said, it is more urgent than ever. We do not know when this war will end, but we do know that it must end, and how it must end: with a peace that is just for the Ukrainian. Slava Ukraini: glory to Ukraine.
We now come to the final Back-Bench contribution.
(3 months, 1 week ago)
Commons ChamberIn my constituency, there are approximately 2,600 pensioner households that do not receive pension credit—that is one of the legacies of the previous Government—but are entitled to it.
The Conservatives suggest that they would have rejected the pay review body recommendations, forgetting that one of the first acts of the Margaret Thatcher Government in 1979 was to accept the recommendations of the Clegg commission on pay comparability. If only the Conservative party had more courage today.
The winter fuel allowance exists because of a Labour Government: a Government who increased the value of those payments fivefold in 13 years, compared with an increase of zero under 14 years of the previous Government—a real-terms cut of 33%.
It is fascinating to hear the recent converts to the fight against poverty on the Opposition Benches, particularly the right hon. Member for North West Durham—sorry, Basildon and Billericay (Mr Holden)—yet they seem far quieter about the fact that the average food shop went up by £1,000 in the last Parliament, the average energy bill went up £400—[Interruption.] Listen and you might learn something. The average mortgage went up £2,880 because of your lot. [Interruption.] Apologies, Madam Deputy Speaker.
On a point of order, Madam Deputy Speaker. I seek your guidance. I was under the impression that in the Chamber we should refer to Members, Friends or even the constituency. Is that correct?
(4 months, 3 weeks ago)
Commons ChamberThe hon. Gentleman should blame the previous Government for not funding the commitments that they made. My right hon. Friend the Secretary of State for Health and Social Care will meet all the people affected, including those affected by hospitals with RAAC problems, as soon as possible. As a Leeds MP, I recognise the importance of new hospitals and ensuring that our hospital estate is fit for purpose, but we cannot spend money that we do not have.
The shadow Chancellor said the books were open and that the Office for Budget Responsibility had audited the Government’s figures shortly before the election. However, the chair of the OBR has today published a letter confirming he intends to launch a review into the preparation of the March forecasts, stating:
“We were made aware of the extent of these pressures at a meeting with the Treasury last week.”
I am only new here; perhaps the Chancellor can inform me how to get the shadow Chancellor to correct the record?
The OBR has just published a letter, as my hon. Friend said, which states:
“We were made aware of the extent of these pressures at a meeting with the Treasury last week”,
and goes on to state:
“If a significant fraction of these pressures is ultimately accommodated through higher DEL spending in 2024-25, this would constitute one of the largest year-ahead overspends against DEL forecasts outside of the pandemic years.”
This is incredibly serious. That is why I came to this House today to set out that £22 billion overspend compared with what the Government set out at the previous Budget. This letter from the chair of the Office for Budget Responsibility can leave no one in this Chamber in any doubt about the seriousness of the situation.