Debate on the Address

Debate between Mark Tami and Tony Baldry

Wednesday 9th May 2012 Commons Chamber

[Tony Baldry]

The hon. Gentleman was so excited by my speech that he misheard me. I made no reference to the Government’s cutting interest rates. What I said was that the Government’s financial and economic policies had enabled us, and were still enabling us, to keep interest rates low, while also ensuring that our interest rates compared with those of Germany. I have absolutely no doubt that if we followed the economic policies advocated by Opposition Front Benchers, we would soon see interest rates, including mortgage interest rates, soaring as a consequence.

The Government have taken 2 million people out of tax, they have continued to freeze council tax, and—as I have already observed—they have cut corporation tax so that we can compete with the rest of the world. Moreover, notwithstanding the challenges at home, Britain is meeting its commitments overseas. We are behaving as one would expect of a permanent member of the UN Security Council, honouring our obligations in Afghanistan, seeking to reduce the threat of nuclear proliferation—particularly with Iran—and helping to bring greater stability to the horn of Africa. We are supporting democrats in Libya, and, through the Department for International Development, we are helping to tackle poverty around the world.

We should be proud that Britain is sticking to its aid promises. We are a friend to the world’s poorest, and giving aid represents the best of British values. Some 40 years after they first promised to give 0.7% of their national income in aid, rich countries are less than halfway there. Among the major economies, only we in the UK are on target to meet our commitments. Some of the more Poujadist elements of the press claim that public support for aid is diminishing. I suspect that that is because some two thirds of the public think that we spend up to 20 times more on foreign aid than we actually do. Once people know that our aid budget is just over a single penny in every pound spent by the Government, they are much more supportive.

Understandably, the Session of Parliament since the general election has been unusually long, but it is still impressive that the Government have passed more than 30 main programme Bills since the election to help to reduce the UK’s budget deficit and reform our public services. Their programme has been guided by the three core values of responsibility, fairness and freedom. The new Session will be shorter, so it will provide scope for fewer Bills. I do not think that there was any doubt on the doorsteps about what our constituents want us to focus on. They want us to continue to get the economy going, continue to improve the NHS, and continue to sort out welfare and education; and, importantly, they want us to demonstrate that we are on the side of those who are working hard and doing the best they can for their families.

One of the best-kept secrets of the last Budget is that the Chancellor raised personal allowances—the amount that people can earn before being taxed—so that 24 million middle-earning taxpayers will keep more of their money, and, from next April, 2 million low-paid people will not pay income tax at all. I can tell those who call for tax cuts that this year we have already made the largest tax cuts for more than a decade. I think everyone would agree that we should be doing all that we can to help families who are trying to do the best for themselves.

Of course we need to focus on jobs and economic growth. I am very glad that the proposals in a report by my constituent Adrian Beecroft for streamlining of the rules that make it hard for businesses to hire and fire employees are to be taken up. Redundancy rules, employment tribunals and rules about unfair dismissal all need to be changed, as Adrian Beecroft’s well-researched and well-argued report clearly demonstrates. We should be doing everything possible to encourage employers to expand and employ more people.

It is good news that the Government will reduce burdens on businesses by repealing unnecessary legislation and legislating to limit the state inspection of businesses. It is also good news that they will reform competition law in order to promote enterprise and fair markets. I think that many businesses will welcome the news that there is to be strengthened regulation of the financial services sector, and that the recommendations of the Independent Commission on Banking are to be implemented.

I also welcome the proposals relating to pensions. I think everyone agrees on the need to modernise the pensions system and reform the state pension, and on the importance of creating a fair and sustainable foundation for private saving. Governments must always seek to be on the side of those who save for retirement. I do not think that anyone seriously believes that it is possible to avoid reforming public service pensions in line with the recommendations of the Independent Public Service Pensions Commission.

As co-chair of the all-party parliamentary group on carers, I particularly welcome the news that a draft Bill is to be published to modernise adult care and support in England. The health White Paper of July 2010 promised legislation on adult social care in a second session of the present Parliament. We have all had plenty of time in which to read and digest the Dilnot report, which recommended a system under which people would pay the first chunk of nursing care costs and the state would pay after that. Given our increasingly ageing population, we need clarity, and cross-party talks have been taking place for a long time.

I also welcome the news that it is to be a draft Bill. Given such a major overhaul of social care legislation that needs to stand the test of time, and given the number of Select Committee reports on the issue, it is vital that we have an opportunity to get it right by co-operating with the Government, the Opposition and, indeed, every party in the House to produce legislation that seeks to achieve the right outcomes for everyone concerned.

[Mark Tami (Alyn and Deeside) (Lab)]

I agree about the need for cross-party agreement on care for the elderly. We do not want a repeat of what the Conservatives did when they were in opposition, however; they played games over this issue to try to gain short-term political advantage. What we need is a long-term solution.

[Tony Baldry]

I think we all want a long-term solution, which is why it is sensible for a draft Bill to be published so that everyone can agree the way forward, and so that when a Bill is presented to the House it has all-party support.

May I say in my capacity as Second Church Estates Commissioner that I welcome the introduction of a Bill to reduce the burdens on charities by enabling them to claim additional payments on small donations? Many Members of Parliament are involved in charities, perhaps as trustees or patrons. Church groups often rely on Sunday collections and small giving by large numbers of people. This move will allow extra support for charities.

Like all Members of Parliament, a fair amount of my constituency casework involves helping families with disabled children and children with special educational needs, so I greatly welcome the proposals in the Queen’s Speech to introduce measures to improve provision for such children, and the arrangements for supporting children in family law cases and reforming court processes for children in care. That is important, painstaking and detailed work that should improve the lives of many children.

I do not think too much should be read into the fact that the Queen’s Speech does not contain a specific proposal for a hybrid Bill on High Speed 2. The matter is now before the High Court, which is having to consider several applications on judicial review involving points of law on both the process and substance of the HS2 project. Notwithstanding any judicial review proceedings, however, I continue to hope that the Government will reflect that the economic case for HS2 simply does not stack up.

It is clear that in this Session of Parliament the Government will continue to strive for smaller government, freer competition and greater international trade, and they will continue to pursue policies that have been proven to work in the past and that will also work in the future.