Debate on the Address

Meg Hillier Excerpts

Wednesday 17th July 2024 Commons Chamber

[Dame Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)]

It is a pleasure to follow the right hon. Member for Kingston and Surbiton (Ed Davey), but I confess I am a little disappointed with him because today he walked into the Chamber. He could at least have tried a bungee jump or maybe freewheeling on a bicycle. I applaud him for his efforts in the campaign; they kept us all entertained and, looking at the number of Members on the Liberal Democrat Benches, clearly paid dividends.

I welcome and thank my hon. Friends who proposed and seconded the Humble Address, but I say to my hon. Friend the Member for Bootle (Peter Dowd) that he may be the youngest of eight, but I am the second of 10. New Members of the House will hear a lot about Big Brother, but I can tell them that they have a big sister here to support them; I am sure my hon. Friend will support them too. After 19 years in this place, I know my way around a bit, although I too still get lost, so they should not be worried about that.

I was delighted to hear the speech of my hon. Friend the Member for Vauxhall and Camberwell Green (Florence Eshalomi). I first came across her when she was a Member of the London Assembly. I knew then that she had something special about her and we saw that here today.

I draw the House’s attention to my entry in the Register of Members’ Financial Interests. I spent nearly a decade chairing the Public Accounts Committee in this place, in the last Parliament and the previous two. In that role, I saw many egregious examples of incompetence, bungling and waste, whether it was water companies, school buildings with reinforced concrete and other things falling down, the running sore of rail infrastructure, the national embarrassment of defence procurement and the scandal of personal protective equipment procurement during covid. Time and again, we saw Government bungles, poorly drafted contracts, lack of oversight, dodged responsibility, endless excuses, and the taxpayer picking up the tab. No wonder people were so angry at the election. No wonder they voted for change and for my right hon. and learned Friend the Prime Minister.

Now the true extent of the Tory mess is coming to light. As my right hon. Friend the Chancellor has revealed, it is even worse than we thought. She has opened the books, looked under the bonnet and seen the true extent of the mess that is now for a Labour Government to clear up. The previous Government partied, squabbled and helped their mates, but they did not fix the roof when the sun shone. They trashed the joint. From austerity to the PPE scandal and Trussonomics—remember that?—they weakened the fundamentals of our economy and stretched our public services to breaking point.

In my annual report, which was one of my last reports as the Chair of the Public Accounts Committee, I listed what I called the “big nasties”, some of which the Chancellor is revealing to us now: 700,000 pupils are in schools that are not fit for purpose; there were in fact far fewer new hospitals than the 40 that were much vaunted and they were never going to be delivered to the promised timetable; and the gaping hole in our defence budget. I certainly applaud the approach of this Government, and it seems some consensus from the Opposition Benches, that we need to see an increase in defence spending.

The consequences of the mess that has been left behind by the previous Government are human. According to the House of Commons Library, nearly one fifth of children in my borough of Hackney live in absolute poverty. Four in 10 children in Hackney live in poverty after housing costs are taken into account, according to the Joseph Rowntree Foundation’s recent figures. My constituency is in the top 5% of English constituencies with children who are income deprived. That is the shameful legacy of 14 years of failure.

In one of the world’s greatest and richest cities—a bus ride from the financial powerhouse of Liverpool Street—no child should be cold or hungry, or lack a winter coat or decent shoes. Schools in Hackney have kit rooms for the children who turn up without the requisite uniform and lend it for the day in return for a token like their Oyster card. No parent should be having to skip meals to feed their kids, which is happening too often in Hackney and elsewhere in the country. No child should be arriving at school with a rumbling tummy, which is why I welcome the breakfast clubs that we already have in Hackney and the fact that one of the first acts of this Labour Government will be to make sure that every child in primary school has a decent breakfast.

When we talk about stagnant wages, low productivity, flattening growth, lack of investment in skills and schools, the abolition of Sure Start, and the gig economy, there is this human cost. Right now, in a Hackney school, there is a hungry child whose huge potential is being wasted, whose opportunities are stunted and whose life chances are hobbled. When I first arrived in this place 19 years ago, I had to tell people about the good things that were going on in Hackney, because people had written off my borough as a poor and deprived area where things did not happen. Now people think of the Shoreditch hipster, the tech companies and the city fringe, but underneath that there is this huge poverty and opportunity being stunted for our children. This is the mess that this Government now have to clear up.

Another example of that is the housing crisis. A safe, warm and affordable place in which to live should be, and is, a basic right. We all need a roof over our heads before we can do anything else in our life—whether it be study, work, or bringing up our families—yet, after 14 years, my constituents face a housing crisis whatever the tenure.

According to Hackney council, the median household income in Hackney is just under £36,500 a year, yet the median house price in my constituency—which has doubled since 2010—is £610,000. For those who have not caught up on the maths yet, this means that a house costs more than 16 times the median household income. According to the Land Registry, the average first-time buyer in Hackney paid just under £600,000: over half a million pounds for a first-time buyer. Well, that’s not most first-time buyers, is it? It is the lucky few who either have a very good job, or have got help from the bank of mum and dad or other family members. I do not deny them that help, but it should be an opportunity available to all.

It is utterly ridiculous that we are in this situation. Young professionals with double incomes are simply unable to afford a deposit to get a place of their own and are often stuck living with family members into their 30s. Others are forced into rented accommodation, with no security of tenure and rents so high that there is no spare money to save to get on the housing ladder.

According to the work of the Public Accounts Committee, around 13% of privately rented properties—589,000 properties—pose a serious threat to health, so landlords are getting the rent but landing their tenants in hospital with lung diseases, mental illness or physical injury. I hope the Chancellor’s ears are pricking up, because the Public Accounts Committee estimated that this situation costs the NHS £340 million a year. That goes to the broader point: economic inefficiency, child poverty, the housing crisis and failing public services all cost us more money. The economics of decline is an expensive business, but—we see hope now, with this Labour Government—investment in jobs, homes, schools, skills, roads, the NHS and tackling crime saves the public money down the line. As I was often saying when I had the honour of holding the role of Chair of the Public Accounts Committee, a penny of waste is theft from working people’s pockets, and a fair economy is also an efficient one.

I warmly welcome the measures in this King’s Speech under a Labour Government; how nice it is to say those words after 14 years. Since 5 July my colleagues in the Cabinet—I was about to say the shadow Cabinet; old habits die hard—including Labour Secretaries of State, have moved into action from the inertia of what went before, and that means that we are on the road to recovery. It is going to be a long haul, but I welcome the measures to support start-ups and tech companies, particularly as I represent Shoreditch, where so many are based; to revive skills; to modernise our health services, particularly prioritising mental health; to get more teachers into Hackney schools; and, crucially, to build more affordable homes.

We need many affordable homes in inner London, in constituencies such as mine, where social housing is the only option for so many people. Only last week, a woman came to my surgery who had four children in a one-bedroom flat, and her elderly, sick father had had to come to live with them. That is how the family lived —four children in a one-bedroom flat—and it is not uncommon at all. We need to drive change to deliver housing around the country, but particularly in the inner city.

I also recognise the lead and step change in tackling the issue of net zero to decarbonise our economy with investment in renewables, insulation, carbon capture, and green jobs—things I have examined a lot over the last decade and on which we have seen the previous Government fail so often.

Above all, I welcome the commitment of His Majesty’s Government—our Labour Government—to kickstart growth in our economy. Without steady, sustainable economic growth and without the proceeds of growth fairly shared across the nation, we will continue our national decline. Instead, in this King’s Speech, we are offered a hopeful prospectus for change, the prospect of progress, and a new sense of national renewal and hope after 14 years. We know it will not be easy, nor will it be as quick as we all impatiently want it to be. As a former Minister and having been a member of the Public Accounts Committee for 13 years, I know that modernisation and reform can be frustratingly slow. I have seen many good ambitions frustrated by poor delivery.

If I may proffer a word of advice for those on the Treasury Bench, finding themselves newly surrounded by eager officials, many of whom came in front of my Committee, and red boxes, it is this: “Please stay focused. Look up at that horizon. Think of the people who sent us here, who voted for that change you want to deliver and we all want to see. Keep an eye on that guiding goal of growth. Test every proposition that comes across your desk against that simple question, ‘Does this promote or hinder growth?’”

Successful government, as the Prime Minister said, is mission led. Of course we want to tackle poverty, build homes and transform our NHS, but the main mission is growth, because without that we cannot deliver any of the others.

[Mr Speaker]

I call the leader of the SNP.