Covid-19: Economy Update

Patrick Grady Excerpts

Thursday 22nd October 2020 Commons Chamber

[Rishi Sunak]

My right hon. Friend is right that the Mayor, Andy Street, has been vocal, and rightly so, in highlighting the particular impact of the tier 2 restrictions on the hospitality industry. That helped inform our decision to act today, with speed and scale, to provide support to those businesses, which will be warmly welcomed in his area.

[Patrick Grady (Glasgow North) (SNP)]

I wonder if the Chancellor regrets ruling out of hand the SNP’s calls in the spring for a universal basic income. Will he calculate what impact a minimum income guarantee like that would have had for employers, employees and the self-employed alike, and what the overall cost would be, compared with the billions he is finding for all these myriad schemes? Will he calculate the long-term costs of millions more on universal credit and other social security benefits, with the consequences of that on the economy and society?

[Rishi Sunak]

The Government do not agree with the universal basic income. It would not be right to provide money to millions of people who have absolutely no need of it; that would just detract our resources, which are targeted on those in most need, as has been our approach throughout the crisis.

With regard to universal credit and welfare, the Government believe that the best way to help people is to provide them with work and opportunity. That is why all our efforts are targeted on providing that support to protect as many jobs as possible while recognising that we cannot protect every single job. That is why we have also strengthened our safety net, with billions invested in universal credit and local housing allowance and, crucially, funding provided for new opportunities through training and apprenticeships to help people find fresh opportunity and a brighter future.