Oral Answers to Questions

Debate between Mel Stride and Alison McGovern

Tuesday 9th April 2019 Commons Chamber

[Mel Stride]

The year-on-year changes to the level of receipts from SDLT have reduced recently, but that is due largely to the fact that we have put a great deal of relief into first-time buyers’ relief, which is already helping 240,000 first-time buyers get on to the housing ladder.

[Alison McGovern (Wirral South) (Lab)]

However the Minister dresses it up on stamp duty land tax and other issues where the wealthy have seen their taxes cut, the impact on our economy is clear. Will he explain why stamp duty land tax reform is a priority rather than addressing the fact that in our country today one third of all families with a child under five are in poverty?

[Mel Stride]

It is most certainly not our priority to reduce SDLT for the very wealthy. In fact, the current levels—12% plus 3% if it is an additional dwelling—are high. I can also inform the hon. Lady that the amount we raised through stamp duty land tax in 2017-18 was twice the amount raised back in 2010-11.

Leaving the EU: Economic Analysis

Debate between Mel Stride and Alison McGovern

Wednesday 28th November 2018 Commons Chamber

[Mel Stride]

I think my right hon. Friend the Member for Loughborough (Nicky Morgan) is entirely right in her exhortation to the House about the importance of making sure that we fully digest the two documents that are being brought forward—and indeed, as she suggests, the announcement that will be made by the Bank of England at 4.30 this afternoon—and that we in turn review very closely the evidence that the Chancellor and others give to the Treasury Committee. We do not want to make the kind of mistake that the Leader of the Opposition made when he dismissed our deal without even having read a word of it.

[Alison McGovern (Wirral South) (Lab)]

I cannot help feeling sorry for Government economists today, because not only have they had people in the House disparaging their work, but what is more, they seem to have been asked by the Government to do what appears to be a spin job. May I ask the Minister whether the Chancellor of the Exchequer even asked the Government Economic Service what model could appropriately be produced based on the political declaration about the future that we are going to have to vote on?

[Mel Stride]

What I can tell the hon. Lady is that this analysis has been carried out, for example, not solely by the Chancellor or the Treasury, but right across Whitehall. Every Government Department has been involved in that. No direction as to the detail or what the outcome of the analysis should be has been made by Ministers, and it is important that I go on the record in this urgent question to defend those officials who are not able to speak for themselves in these circumstances and say that the Government have absolute confidence in them and their integrity.

Oral Answers to Questions

Debate between Mel Stride and Alison McGovern

Tuesday 6th November 2018 Commons Chamber

[Mel Stride]

As I say, we will come forward with a full and appropriate analysis. Of course, prior to the meaningful vote, the Government will ensure that there is appropriate time to fully debate all these matters.

[Alison McGovern (Wirral South) (Lab)]

Our country already suffers from brutal inequality, so will the Minister say whether that analysis will be broken down by region and sub-region so we can see exactly what the impact of Brexit will be on the communities we represent?

[Mel Stride]

As the hon. Lady will know, under this Government income inequality is far lower than it was under Labour. I am not going to start getting involved in a running commentary on the negotiations and the various impacts thereof, as that would not be helpful, other than to restate that a full and appropriate analysis will be provided to the House prior to the meaningful vote.

Oral Answers to Questions

Debate between Mel Stride and Alison McGovern

Tuesday 17th April 2018 Commons Chamber

[Mel Stride]

My hon. Friend uses the expression “play by the rules”. I should make it very clear to the House that those that do not play by the rules will be clamped down on by Her Majesty’s Revenue and Customs. We have brought in £175 billion in respect of clamping down on avoidance, evasion and non-compliance since 2010. We have, as my right hon. Friend the Chancellor has outlined, the lowest tax gap in our history, at 6%. Those who play by the rules will benefit from our pro-business policies: bringing taxes down, providing relief on business rates, and other measures such as the employment allowance, worth £3,000 for the first employee as a relief on national insurance contributions.

[Alison McGovern (Wirral South) (Lab)]

When it comes to employment and wages, and the impact that corporation tax cuts have had, we have heard a lot of crowing from Ministers this morning, but we all know that our economy is wildly different, depending on where people live. Has the Minister asked for a distributional analysis of the impacts that he has just been talking about?

[Mel Stride]

We have debated at great length the issue of distributional analysis, in this Chamber and around the Finance Bill and other measures. The hon. Lady will know that all tax measures are subject to TINs and to various assessments. We are also bound by the Equality Act 2010 when we take decisions in respect of taxation. As a Minister, I can assure her that I take my duties in that respect extremely seriously.

Oral Answers to Questions

Debate between Mel Stride and Alison McGovern

Tuesday 27th February 2018 Commons Chamber

[Mel Stride]

I thank my right hon. Friend very much indeed for that question. I can of course confirm that we remain entirely committed to the strength of our economy and to supporting businesses up and down the country, not least in our negotiations with the European Union. I have some responsibility for the customs part of the negotiations, and we are committed to making sure that goods and services move as frictionlessly as possible across the boundaries with the EU27 following our departure.

[Alison McGovern (Wirral South) (Lab)]

Mr Speaker,

“I believe that the best way forward is for Britain to renegotiate a new relationship with the European Union—one based on an economic partnership involving a customs union and a single market in goods and services.”

Those are not my words, but the words of the Secretary of State for International Trade and President of the Board of Trade on his website. What representations has the Minister had from the Secretary of State in support of our membership of the customs union and single market?

Taxation (Cross-border Trade) Bill

Debate between Mel Stride and Alison McGovern

2nd reading: House of Commons
Monday 8th January 2018 Commons Chamber

[Mel Stride]

The hon. Gentleman raises an important point, and it is one that I largely agree with. It is important that we maintain the existing arrangements that we have been brought into by virtue of our membership of the European customs union, which is exactly why we are in discussions with those countries to ensure that we have appropriate arrangements in place once we leave the EU and its customs union. Over and above that, there will be opportunities to forge trading relationships with other countries around the world, which we are prohibited from doing at present because of our membership of the EU customs union.

[Alison McGovern (Wirral South) (Lab)]

My constituents are today dealing with the news of yet more job losses at Vauxhall in Ellesmere Port. We are a place that manufactures, and we want to keep manufacturing, so can the Minister tell me and my constituents exactly what these opportunities are?

[Mel Stride]

The opportunities will be very significant indeed—[Interruption.] If the hon. Lady will allow me, I will attempt to answer her question. Of course our trading relationship with Europe is extremely important, which is why we are having negotiations with our European partners. It is important to us and to them to ensure that we maintain those relationships to the highest degree. However, a growing percentage of our trade is now taking place outside the European Union—certainly more than was the case five or 10 years ago—and the expanding markets of the future are not necessarily going to be the countries that constitute the membership of the European Union. To answer the hon. Lady’s question directly, the opportunities lie out there in China, India, the United States and other countries around the world with which we will be able to forge a freer set of trade agreements than we have been able to contemplate during our membership of the European Union.

Finance (No. 2) Bill

Debate between Mel Stride and Alison McGovern

Committee: 1st sitting: House of Commons
Monday 18th December 2017 Commons Chamber

[Mel Stride]

As the hon. Gentleman may know, the figure of 0.3% takes a static view of this policy and its effect on house prices. It does not take into account the supply side changes that I have mentioned. As we increase supply, prices will inevitably begin to fall. There is no single solution to this challenge and no magic bullet.

[Alison McGovern]

Will the Minister give way?

[Gareth Snell]

Will the Minister give way?

--- Later in debate ---

[Mel Stride]

The figures the hon. Gentleman chose to use were, I think, a range between £250,000 and £300,000, and he says there are 15 properties in that category. Of course, stamp duty kicks in at £125,000, so it is the range from £125,000 to £300,000 that we would actually be considering in that example.

First-time buyers are typically more cash-constrained than other buyers, and stamp duty requires cash up front, on top of a deposit and conveyancing fees, for purchases over £125,000. The Government think it is right to reduce the up-front costs that first-time buyers need to pay, giving them an advantage over the rest of the market.

[Alison McGovern]

I thank the Minister for giving way, but he simply did not answer the question from my right hon. Friend the Member for Warley (John Spellar), who quite legitimately asked him where the money from this cut is going. The Minister talked about the average gain that will be made. Will he tell us the average benefit to a first-time buyer in the west midlands?

[Mel Stride]

As I say, the average across the piece will be £1,700 per average first-time buyer. I also stated quite clearly that, in every region of the country, there will be those who benefit from this measure.

Oral Answers to Questions

Debate between Mel Stride and Alison McGovern

Tuesday 24th October 2017 Commons Chamber

[Mel Stride]

My hon. Friend raises an important point about complexity, which is why we continue to work with the Office for Tax Simplification to ensure that our tax code is as simple as it can be. But there is no doubt that, in upholding our exemplary record of clamping down on avoidance, evasion and non-compliance— £160 billion of revenue from 2010 to 2015—we make no apologies for having a tax code that works to support our public services.

[Alison McGovern (Wirral South) (Lab)]

Some 130,000 small and medium-sized businesses that export to Europe currently do not have to deal with any bureaucracy at our border to do so, but they could face such bureaucracy if the Minister’s colleagues have their way. Does the Minister think that that will be good or less good for British business?

[Mel Stride]

As the hon. Lady knows, we are in the middle of negotiations with our European partners. I am confident that, as the Prime Minister has expressed at every turn, we will secure a good deal for this country. In the context of our borders, that will mean that the situation will be as frictionless as possible, which will be good for trade, our country and our economy.