Budget Resolutions

Debate between Mark Harper and Andrew Mitchell

Wednesday 27th October 2021 Commons Chamber

[Mr Harper]

I took an intervention from the hon. Gentleman because I anticipated what he might say. I listened carefully to the Chancellor, and he set out a Budget that delivers not just for every part of England but for every part of our United Kingdom. We on this side of the House—and I think, to be fair, those on the Labour Benches—want to ensure that we keep our country together. We are spreading opportunity to every part of the United Kingdom. I listened carefully to the Chancellor, and this Budget delivers a significant increase in resources to the Scottish Government. I hope that they spend those resources wisely, although given their track record, I am pretty confident that they will not.

[Mr Andrew Mitchell (Sutton Coldfield) (Con)]

Will my right hon. Friend give way?

--- Later in debate ---

[Mr Harper]

Let me make a little more progress, then I will of course give way to my right hon. Friend.

I thank the Chancellor for agreeing to the levelling-up bid made by my constituents. It was a partnership bid by Hartpury University and Hartpury College, Forest of Dean District Council and Cinderford Town Council, and it focuses very much on improving opportunities for my constituents. They worked collaboratively with me and my office, which put me in a strong position to make the case to Ministers, including the Chancellor, and it got us a really good result today. This was a real Forest team effort. Does my right hon. Friend still wish to intervene on me?

[Mr Mitchell]

indicated dissent.

[Mr Harper]

I see that he is allowing me to make some progress.

We have a strong track record in my constituency. We got money from the Getting Building Fund last spring for the Construction Skills Accelerator Centre, which will improve skills and productivity in the construction industry. That centre will be completed and opened this December, which demonstrates turning around Government support and money in partnership with the private sector and delivering real change on the ground very quickly indeed.

I also welcome what the Chancellor set out on alcohol duty. That will be particularly welcomed by small producers in my constituency, especially our fantastic cider makers, including Severn Cider. Also, picking up on the theme of leisure, retail and hospitality, the 50% reduction in business rates will be a tremendous benefit to that sector, which was hard hit throughout the pandemic. That extra resource will be very welcome. Also, £175,000 from the community ownership fund has enabled the Rising Sun pub in Woodcroft to be saved and to become a really strong community asset.

Turning to the Budget themes overall, I think the Chancellor’s focus on fiscal responsibility and sound money is incredibly important. This is not about ideology; it is the key to our future prosperity. It is because we took sensible, difficult decisions between 2010 and 2019 that, when the pandemic hit last year, we were able to spend what was required to protect jobs and to defend people across our country. If we had not taken those difficult decisions, we would not have been in a position to respond accordingly. It is important to focus on sound money because inflation is a real threat, and it is a threat to the poorest. That is why it is important for the Chancellor to keep control of the public finances—I am pleased that he has done so today—and of the level of investment to drive up productivity. I agree with all those speakers on our side of the House who have pointed out that we have to deliver productivity in order to ensure that we can have high wages without driving up inflation. That is absolutely critical.

Finally, I want to focus on a few themes from the Budget. The spending that we rolled out last year on the pandemic, particularly on protecting jobs, keeping unemployment low and reducing the long-term impact of covid, will turn out to be one of the wisest decisions that we took. It has been welcomed by my constituents, and I think that our decision to minimise the economic impact of the pandemic will be something that we will look back on and be thankful for. That decision does of course mean that we have grown the size of the economy. We have had to put up taxes, which I am not comfortable with and nor is the Chancellor, but it was necessary and we would have regretted doing anything differently.

I welcome the Chancellor’s significant reduction in the taper rate for universal credit. This will ensure that work pays. It will encourage everybody on universal credit to get into work—we are seeing a record number of vacancies in the economy—or, if they are in work, it will make it absolutely worth their while to take on extra hours or increase their skills to earn extra income. That is the right set of incentives.

In closing, to stick to the Chair’s informal time limit, I will focus on the Chancellor’s final remarks on the size of the state and the direction of travel. I am pleased he has set out an ambition for this Government to reduce the size of the state, enabling people to take more responsibility for themselves. It was necessary to grow the state to deal with the pandemic, but he has set out a clear direction of travel on empowering individuals. I am pleased to back that mission, and I am pleased to support the Budget.

I commend the Budget to all Conservative Members.