Oral Answers to Questions

Peter Bone Excerpts

Tuesday 8th June 2010 Commons Chamber

[Justine Greening]

I know that that argument has been made by the industry, and I am aware of its campaign on fair taxation. We want fair taxation. One of the Government’s key priorities is tackling the budget deficit, and ultimately the best way for us to support not just bingo clubs but other companies in Britain employing staff is to get the economy back on its feet, creating jobs so that people have money in their pocket to spend, including in bingo clubs.

[Mr Peter Bone (Wellingborough) (Con)]

18. What recent representations he has received on the level of the budget deficit.

[The Economic Secretary to the Treasury (Justine Greening)]

We have received a number of representations on the budget deficit, not least from many other European countries, which are now taking steps, as we are, to reduce their deficit—a point that still seems lost on the Opposition.

[Mr Bone]

I am grateful to my hon. Friend for answering my question and for her arrival at the Dispatch Box, which is very welcome on our side of the House. Will she take a representation from me on reducing the Budget deficit? Can the emphasis be put on cutting public expenditure, rather than increasing taxes? Does she have any idea of the proportion that will be raised by tax increases and by public expenditure cuts?

[Justine Greening]

We have said that we want to see the bulk of the deficit reduced by restraining public spending. I know that a number of other countries have taken proportions of roughly 80%:20% on restraining public spending and increasing taxes. We are particularly keen to cut out as much of the waste as possible. As we work our way through the previous Government’s horrific spending plans—not that they had any projections into the future—we will do our best to make sure that we do not just bring down our public spending, but use this opportunity to ensure that it delivers better public services for the public whom it is there to serve.

--- Later in debate ---

[Mr Peter Bone (Wellingborough) (Con)]

T7. In 2008-09, our contribution to the EU was £2.5 billion. This year it will be £6.4 billion. Why does every budget have to be cut except the EU’s, which can increase by 150%? Is it not a case not of ring-fencing, but of gold-plating?

[Mr Osborne]

I am sure that my hon. Friend will be glad to know that in my first ECOFIN I proposed to the Council that we freeze the EU budget, and there was support from other countries around the table. [Interruption.] If the hon. Member for Rhondda (Chris Bryant) is supporting an increase in the EU budget, he should tell the House.