31 Philippa Whitford debates involving HM Treasury

Oral Answers to Questions

Philippa Whitford Excerpts
Tuesday 5th September 2023

(10 months, 2 weeks ago)

Commons Chamber
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Andrew Griffith Portrait Andrew Griffith
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I welcome the hon. Gentleman to his position. He has had a feisty morning reading his Walworth Road brief. Let me offer him the opportunity to correct the record, because Labour has spent the past 12 months talking down our economy but it is now larger than it was when we entered covid and it has recovered and grown faster than the economies of both France and Germany.

Philippa Whitford Portrait Dr Philippa Whitford (Central Ayrshire) (SNP)
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4. What recent assessment he has made of the potential impact of withdrawal from the EU on the economy.

Alison Thewliss Portrait Alison Thewliss (Glasgow Central) (SNP)
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5. What recent assessment he has made of the potential impact of withdrawal from the EU on the economy.

Jeremy Hunt Portrait The Chancellor of the Exchequer (Jeremy Hunt)
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Good morning, Mr Speaker. Brexit was a choice made by the British people and it remains a big opportunity for the economy. Rather than relitigating that debate, this Government are committed to embracing those opportunities.

Philippa Whitford Portrait Dr Whitford
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Prior to the EU referendum, the Bank of England warned that Brexit would seriously damage the UK economy, weakening the pound and causing inflation. The Government have now delayed import checks on animal and food products for the fifth time, because the costs would add to inflation. Does that mean the Chancellor finally accepts that Brexit is contributing to the UK’s cost of living crisis?

Jeremy Hunt Portrait Jeremy Hunt
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No, but of course we are sensitive about the timing of introducing those changes because of cost of living pressures. I am sad to have seen, since we last met in the House, the hon. Lady announce that she is stepping down; we have much in common on patient safety. On the NHS, she will know that because of Brexit an extra £14.6 billion is being directed to public services every year, including the NHS and including in Scotland.

Cost of Living

Philippa Whitford Excerpts
Tuesday 16th May 2023

(1 year, 2 months ago)

Commons Chamber
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Dave Doogan Portrait Dave Doogan
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The hon. Gentleman is right, and I will get to that in my conclusion. It did not escape my notice that in talking up Brexit the Government came up with the most abstract and niche policy affecting almost nobody.

On future growth, the IMF forecasts that UK GDP will fall 0.3% in 2023—the lowest figure in the G7 and it is the only member expected not to see growth in 2023. Total real-terms pay fell 3% between December 2022 and February 2023 alone, largely due to inflation and low public sector pay increases. On trade, UK goods exports to the EU remain below 2019 levels, but imports of goods from the EU, despite Brexit, were 1.4% higher in 2022 than in 2019. If it is taking back control to end up with a £92 billion trade deficit with the trading bloc that those people were trying to extract themselves from, I am not certain Brexit is going as well as they would have us believe. I smell a rat.

If the macro numbers do not add up—which they do not—I only have to look to my constituency to see the real cost of the Tory Brexit, which Labour will not oppose, on my fishermen and farmers. Fishermen now have to jump through umpteen bureaucratic hoops to get the same fish, caught in the same grounds, exported to the same market in France as before, when they just had to put it on a lorry. The system is in a state of stability and is working but, as Government Members will know, increased bureaucracy is a drag on trade.

Philippa Whitford Portrait Dr Philippa Whitford (Central Ayrshire) (SNP)
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In my constituency, the fleet catches nephrops—lobster and langoustine. Some 85% of the catch used to be in a Paris market the next day. In January 2021, fishermen got nothing out, and they are still getting less for what they catch because they cannot get it there quickly enough. In our small fleet, we are seeing boats sold and two have already been scrapped. There will be fleets that disappear because of these arrangements—so much for “a sea of opportunity”.

Dave Doogan Portrait Dave Doogan
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My hon. Friend is absolutely right. Her fishers, on Scotland’s west coast, are encumbered by the access of all four nations to each other’s waters which the United Kingdom has come up. That is fine if fishermen are in Cornwall, and it is not too troublesome if they are in Peterhead, Arbroath or Montrose. If they are on the west coast of Scotland, they have to go through all the bureaucratic hoops to get their catch into the EU, but if they are in Northern Ireland, they can fish the very same grounds and get the catch directly into the market. A genius bit of organising, that was.

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Patrick Grady Portrait Patrick Grady
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My hon. Friend is right to raise those concerns. We hear the drumbeat against the hard-won powers of devolution, which used to enjoy consensus, and we see the centralising tendency of all Westminster Governments. Whatever their shape, they want to centralise power here in the House of Commons. Labour has been promising reform of the House of Lords for more than 100 years, and it has been in power once or twice in that time without making a vastly noticeable difference. I disagree with the expectation that anything will change significantly. There will be an interruption, a brief interlude, as there always is, before the UK reverts to a Tory Government for whom Scotland has not voted.

Philippa Whitford Portrait Dr Whitford
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Through the United Kingdom Internal Market Act 2020, this Government basically drove a coach and horses through devolution, and the Labour Benches were notably empty during that Act’s passage.

Patrick Grady Portrait Patrick Grady
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They are notably empty this afternoon, too. My hon. Friend is correct. That will continue to be the case as far as Scotland is concerned, because I have every confidence in the SNP continuing to return a majority of seats in Scotland for as long as we are in Westminster. That future will be short-lived because, as the 78% of voters in Glasgow North who voted to remain in the European Union and the 50%-plus who voted for independence in 2014 already know, it is now up to Scotland to choose a different path.

Scotland will have, and has always had, the right to choose to become, once again, a member of the community of nations in its own right. The reality is that when the majority of people in Scotland are prepared to vote for independence, Scotland will become an independent country. No Supreme Court, no Westminster Parliament and no constitutional convention made up by the Better Together campaign will be able to stop that.

With the full powers of independence, we will not need to spend resources mitigating the impact of failed UK Government policies of whatever colour. We will be able to support and empower everyone who calls Scotland home, and we will be able to work with like-minded nations to build a fairer and more peaceful planet for everyone: the early days of a better nation in the early days of a better world.

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Christine Jardine Portrait Christine Jardine
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When my constituents come to me, what they complain about is not that they might have to pay that amount for prescriptions were it not for the Scottish Government; they complain about the burden they face every day at the moment. Businesses complain to me about the Scottish Government. Constituents regularly complain to me that they do not understand why the Scottish Government are not doing something about the state of our NHS and not doing something to provide a better education for their children to give them a better chance in life. That is what my constituents complain about.

As for Brexit, I agree with the SNP that it is doing immense damage to our economy, making life incredibly difficult for business and increasing the burden on families. What surprises me is that the SNP fails to recognise that to take Scotland out of the UK would be to repeat and amplify that damage to Scotland’s economy, income and households. Why does the SNP want to inflict the same damage again? Of course independence is its solution to everything—

Philippa Whitford Portrait Dr Whitford
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Will the hon. Lady give way?

Christine Jardine Portrait Christine Jardine
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Not at the moment, thank you.

When the hon. Member for Paisley and Renfrewshire South (Mhairi Black) was talking about bad Governments making bad decisions, I had to bow to her expertise as a member of the SNP, because when it comes to bad Governments making bad decisions, it is in a class of its own. One has only to look at the mounting bill for the ferries, at the burden of business rates, which I have mentioned, at the state of our NHS, and at the state of our education.

Philippa Whitford Portrait Dr Whitford
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The hon. Lady keeps referring to the NHS and education. Public funding is required to support those. It is common in this place to talk about failing on health and on education. All four health services are struggling after the pandemic, but A&E waiting times and cancer waiting times in Scotland are still significantly better than in the other three health services. Closing the attainment gap helps young people have a better future, and both at highers and in positive destinations, that gap has closed by two thirds while the SNP has been in power. As for this nonsense that somehow she expects public services to be better but with less taxation, she needs the same reality check as those on the Government Benches.

Christine Jardine Portrait Christine Jardine
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I thank the hon. Lady for her intervention because, like the rest of SNP, she talks a good game but often forgets that those of us on these Benches live and have constituency surgeries in Scotland, and we know the reality of the queues of people every week complaining about the public services in Scotland. I know that the SNP blames Westminster for that, but SNP Members always overlook the fact that the Scottish Government have had record amounts of money. I do not for one moment believe that the UK’s economic stewardship at the moment is the best it could be—it falls far short, as I have mentioned—but it is rich of the SNP not to recognise the mistakes it has made.

I do not believe anyone in this House, in any party, is not concerned about the cost of living crisis, inflation or the energy prices we all face. Where we differ is in our solutions. The hon. Member for Paisley and Renfrewshire South offered us the “I” word, which I am not surprised came up in this debate. I suspected that might have been what it was about all along. I offer three alternative “I” words: incompetence, inability and ineffectiveness. The voters will take all of them into account the next time they go to the ballot box in a general election. They will apply those words to both Governments and their stewardship of our economic wellbeing. At that point, we will see change, because the people of Scotland have had enough and they want a Government—two Governments—who are competent, able and effective.

Marion Fellows Portrait Marion Fellows (Motherwell and Wishaw) (SNP)
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The cost of living crisis affects disabled people far more than it does the general population. I make no bones about repeating parts of the speech that I made this morning in Westminster Hall, because I think that they bear repetition. I have had numerous briefings from a variety of disability organisations telling me that this Government have continuously failed disabled people, their carers and their families; that they are tinkering around the edges of a cost of living crisis that is affecting millions of people across the UK; and that the impact of this crisis affects those with disabilities, their carers and their families even more seriously.

This morning, I opened my iPad and the first story that I read in the news was about a man stealing formula milk for his baby, because his wife and he could no longer continue to dilute the formula that they gave to their baby. I wish that this was an isolated incident but, as many here today will no doubt testify, this is not just a feckless couple who are doing it all wrong; this is real life in the UK today, and it is even worse for disabled households.

Scope’s recent “Disability Price Tag” report showed that in 2023, the cost of being disabled has risen to £975 per month for a disabled household. That figure includes disability benefits such as personal independence payment, which was designed to offset the additional costs associated with being disabled. It is a £300 per month increase on the 2016-17 figures, when the additional costs were £675. Scope has recently warned that the figure could increase to £1,122 per month if it is updated to accommodate the inflationary costs for the period 2022-23.

The bottom line is that this Government’s support for those with disabilities has been wholly inadequate throughout the cost of living crisis. Disability Rights UK has said that the cost of living payments that this Government have given “don’t touch the sides.”

Philippa Whitford Portrait Dr Whitford
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The two welfare Acts in 2012 and 2016 really changed social security across the UK. Does my hon. Friend agree that one big failure was not to do cumulative impact assessments? What has been the impact on a disabled woman who is a lone parent with three children of being hit by changes to disability benefit, the two-child limit, the benefit cap and the benefit freeze?

Marion Fellows Portrait Marion Fellows
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My hon. Friend is absolutely right. The Government do not take into account real lived experiences and people with multiple differences, such as being a woman, being disabled and being a single parent. It just is not good enough.

Disabled people often face higher costs for their gas and electricity. Many disabled people say that they need more heating to stay warm—most of us here can recognise that—and others say that they have to use extra electricity to charge up items of assistive technology. My parliamentary assistant went to a drop-in session and came back to my office almost in tears, having spoken to a parent who requires three separate machines to keep their child alive overnight, but who could not afford to pay the associated electricity costs. Even with the cap that the Government have tried to put on electricity prices, the extra £150 does not help.

Disabled people have been suffering for years, and if we give someone a percentage of a very small amount, it is still a very small increase. According to the professional association for social work and social workers, 7 million people—almost half of those living in poverty in the UK—are either disabled or live with someone with a disability. The Trussell Trust says that half of those using food banks are disabled.

I know that the Government do make some effort—I congratulate the Minister for Disabled People, Health and Work, whom I spoke to this morning—but they do not get the bigger picture. When something like this cost of living crisis rears its ugly head, it drives the most vulnerable in our society into further debt and further difficulty. Something that I have not yet mentioned is that anyone with a food allergy or anyone who requires special food is in an even worse state during this cost of living crisis.

The SNP has consistently called on the Government to uplift universal credit—to increase it by £25 per week—and extend it to all means-tested legacy benefits. I refer to those people who went through the covid-19 pandemic and got no additional costs. That is just not right and we need to look at it. The Government need to do their job properly and actually help people.

The Scottish Government are trying to make things better. Our adult disability payment and the child payment, which has recently been doubled and will hopefully be increased even more, help families and disabled people much more than what is happening in the rest of the UK. However, as my hon. Friend the Member for Angus (Dave Doogan) has said, there is a cost to this, which is that folk like me pay more tax. I have yet to meet a constituent who tells me that they object to paying more tax to help folk less well off than themselves. It may just be that Motherwell and Wishaw is a beacon of light, but I do not think so. The Motherwell and Wishaw constituency is built on old mining communities—coal and steel communities—and the people there tend to know what it is like to be in poverty, but they also know that helping each other is the sign of a civilised society.

The health and disability White Paper raises the spectre of more disabled people facing sanctions. Can we really believe that, in the 21st century, we are going to sanction disabled people? They will have to move on to universal credit, and then not only will they not get what they are entitled to, but any increases will be barred under that punitive regime. This Government are also very bad at signposting. Let me cite as an example pension credit, the uptake of which has been disgraceful.

I am watching my time carefully, but I will briefly reflect on what the Prime Minister was doing today with the Farm to Fork summit at No. 10. That seems to me a lamentable effort to mitigate the disaster that has been Brexit for the economy and for the food supply chain. The Government were warned often during the Brexit debates, many of which I was able to attend.

It is not good enough. Scotland needs and wants to go back into the European Union. Many people in Scotland still believe that is the best way forward for this country and we want to follow the example of countries such as France that put blocks on prices to keep things cheaper for people during a cost of living crisis. This country is in a terrible state. Scotland is in a terrible state in terms of people suffering with the cost of living.

It is almost inconceivable that the Lib Dems and the Labour party are backing a hard Tory Brexit. They do not want to say how awful it has been for people right across the UK and what it has done for food prices—

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Drew Hendry Portrait Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)
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I thought you were going to give me an instruction to sit down there, Mr Deputy Speaker, but thank you for allowing me to speak in this cost of living debate.

The shadow Secretary of State, the hon. Member for Edinburgh South (Ian Murray) and I share an allegiance to a football team, and when we go to some stadiums, particularly for the big events, we often look across and see the empty seats, and go, “Did the opposition come dressed as seats?” I look behind him today, and wonder if the rest of his party have done the same. But no—they have not bothered to turn up because, as the hon. Member for Leicester East (Claudia Webbe) has just pointed out, this is an issue about whether people can afford to heat their homes or to eat. In fact, it is worse than that, because in Scotland during the winter we had people who could not afford to heat their homes or to eat. This is an important thing that we should have seen the Labour party turn out for, but of course we did not.

When it comes to Brexit, what about the harms? We have heard about quite a lot of the harms today in this Chamber. My colleagues have covered a number of them—from the economy and trade to the impact on our population, education, rights and devolution, as well as on the cost of living and the cost of food. As my hon. Friend the Member for Edinburgh North and Leith (Deidre Brock) pointed out, when food price inflation goes up, it disproportionately hurts the least advantaged in our society and the poorest. However, it is worse than that, because food price inflation on basic foods is actually higher than the headline rate. It goes up even more, and these are the basic staples that people rely on, yet Labour Members could not even bother to turn up to discuss that with us in this debate.

The Brexit that has been forced upon us is the gift that Scotland didnae want and that keeps on giving misery. It keeps on delivering misery across Scotland for people. I will just mention some of the things it affects. Of course, Labour Members now support Brexit. In fact, as we heard from the Labour leader, if that “sounds Conservative”, they just “don’t care” about it. Brexit has made sure that GDP is 4% lower across the UK. There has been an £800 per year increase, on average, in the cost of living. By the end of last year, according to the London School of Economics, Brexit had already cost nearly £6 billion across the UK in higher food bills, and some £100 billion in lost economic input. When it comes to business, the British Chambers of Commerce has said that more than half its members have faced difficulties because of Brexit. It quotes one of its members saying:

“Leaving the EU made us uncompetitive”.

That is the fairly standard comment that it gets from its members.

The cost in human capital has been tremendous for us. Before Brexit, 6% to 9% of care home staff used to be EU nationals, and now we are struggling to find spaces in care homes for people because we cannot get the staff. The UK Government are doing nothing—nothing—about getting that sorted out. They are doing nothing to solve the misery for people who need that kind of support. Of course, we have the unemployment rate at a record low in Scotland, at 3%, so where are we supposed to get the people? Brexit has starved us of the human capital we need.

We have heard the I-word, and I thought the hon. Member for Edinburgh West (Christine Jardine) was going to talk about Ireland—independent Ireland—which over the next two years will have a €27 billion surplus, but no, she did not want to do that. She did not want to talk about the success stories of those small independent countries with fewer resources than Scotland that have stayed in the European Union and grown as a benefit of that.

On energy, I want to reflect on an issue I raised with the Secretary of State for Energy Security and Net Zero about the higher energy tariffs we face in the highlands and islands of Scotland. I said that we needed to do something about that, and I offered to work with him to see what we could do. But no—the answer I got back is that geographic circumstances are the issue: the distances involved result in higher costs of distribution than in other places in Britain. Well, that is rich, because we export our renewable energy around the UK. The distances do not matter when that advantage is being taken, do they? It only matters that it costs us more in Scotland, and the Government are not willing to do anything about it.

Similarly, people are struggling in rural communities with the off gas grid regulations, because they pay a much higher premium for their energy than anywhere else and probably have to use more electricity at a higher rate than for mains gas, and of course face higher costs for liquid petroleum gas and for heating oil as well. The answer I got back on that from the UK Government was, no; their aim is to protect suppliers before people. It is not good enough for them to just wash their hands of a situation where people are struggling, particularly in rural communities, with exorbitant costs to heat their homes during the winter.

I am grateful for the mention earlier of my campaign on credit balances. People are struggling, but electricity companies hold on to their money, in credit, sometimes thousands of pounds—one pensioner in my constituency was nearly £2,000 in credit, yet the company was looking to increase her direct debit even though she had that money with them for safekeeping or use. That money should be returned to people—but, no, that is not going to be done either. What we get back is, “Customers can ask for that money back.” Some people are of course too frightened to look at their bills because of the costs they are facing, while others do not know about this or are intimidated, and some people are told by electricity companies that they cannot get that money back or they can get only a portion of it back. People have rights, and they should be fulfilled. They should be able to get their money automatically returned; it should not be kept on credit balances for companies to use for their own ends. That is exacerbating poverty for people.

I am grateful to the hon. Member for Edinburgh West for raising the issue of business rates. The small business bonus has been mentioned, and we have 100,000 businesses in Scotland that pay no rates whatsoever; if our aim is to help people in Scotland, including small businesses, we should realise that there are a lot of micro and small businesses across rural communities, and that directly assists them.

So too do the actions we take on child poverty. The child poverty rate across the UK is 27%: in Wales it is 34%; in England it is 29%; in Northern Ireland it is 24%; and in Scotland it is 21%. The Institute for Fiscal Studies says that among the poorest 30% of households, incomes are boosted by around £2,000 per year in Scotland compared to England and Wales.

There are transformational policies to help people: free bus travel for young people in every part of Scotland; the expansion of free high-quality childcare to 1,140 hours, available for three and four-year-olds, and to two-year-olds from lower-income households; the best start foods grant, which helps with the cost of buying healthy food for families with young children; and three best start grants, which could be pivotal in a child’s life—for low-income families, £600 for the first child and £300 on the birth of a later child. There is also the Scottish child payment, the baby box, the free childcare extension, free school meals, free bus passes and much more from the Scottish Government to help out.

Philippa Whitford Portrait Dr Whitford
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Does my hon. Friend agree that the problem with 13 years of austerity is that austerity may make the Treasury balance sheet look good in the first year but it starves local economies because people have no money to spend, so we see boarded-up high streets, and in the end that reduces the tax take to Government, so it simply does not work?

Drew Hendry Portrait Drew Hendry
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My hon. Friend is exactly right that it starves communities, and, worse than that, it starves families—it starves children. It starves people of the opportunity we could give them, because we do not have the advantages that we should and would have if we had the powers to make the decisions we need to make.

Autumn Statement Resolutions

Philippa Whitford Excerpts
Monday 21st November 2022

(1 year, 7 months ago)

Commons Chamber
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Andrea Leadsom Portrait Dame Andrea Leadsom
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The hon. Gentleman is exactly right. It is easy to assume, if someone knows how heating systems work, where energy comes from and roughly what the bills will be, that it is all manageable. If the consumer does not have that information, however, and all they see is that bills and energy prices are skyrocketing, the obvious answer is simply to switch the energy off. That is disastrous for many elderly people.

Philippa Whitford Portrait Dr Philippa Whitford (Central Ayrshire) (SNP)
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Does the right hon. Lady not recognise that, within the windfall tax system, there is a rebate for R&D and investment, but only for companies that are investing in fossil fuels? In the autumn statement the Chancellor put a bigger hit on electricity generators, which in Scotland are almost completely renewable electricity generators. Surely we should be pushing all those companies to invest more, so that we get to net zero more quickly.

Andrea Leadsom Portrait Dame Andrea Leadsom
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The hon. Lady is right to raise the issue of how those capital allowances are offset. As I understand it—I will genuinely look into what she says—none of the big oil and gas operators is investing only in fossil fuels. Having talked to many of them over many years, I know that they are all transitioning to net zero. Some of the biggest oil companies are now some of the biggest supporters of offshore wind and solar projects. She makes good point, however, and if she is correct, I would absolutely agree.

We all know that there are so many possibilities for new sources of renewable energy. Let us not get hung up on fossil fuels versus renewables. There are so many renewable sources and zero-carbon sources, including offshore wind and Hinkley Point C zero-carbon energy, and small modular reactors are being created and prototyped here in the UK. There are so many possibilities, including with deep geothermal, coalmine water and heat networks in new housing developments. There are so many opportunities that I wish the Government were faster to look into.

The Government should certainly make the case much more strongly for the continued use of natural gas. Even the Climate Change Committee acknowledges that to generate sufficient electricity for the transition will require the use of gas until an adequate baseload capacity from reliable low-carbon sources is reached. From hydrogen to wave power, and from geothermal energy to nuclear fusion, there are so many energy sources that can tackle the energy trilemma: the triple whammy of trying to keep the lights on, keep bills down and decarbonise.

The Government have done a great job with the autumn statement—the balance was right—but where energy is concerned there is so much more to be done to provide nuance on how people can help themselves and how we can move much faster down the road to transition in a way that will be a net gain for us all and that addresses the energy trilemma.

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Rob Roberts Portrait Rob Roberts (Delyn) (Ind)
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It is a pleasure to follow the hon. Member for Tiverton and Honiton (Richard Foord) highlighting issues in Devon around local authority funding, NHS waiting times and ambulances. I must gently tell him that he should try experiencing those things in Wales, where they are all under the control of the Labour Government and are markedly worse in every single area.

When the previous iteration of this Government were in charge, the Opposition shouted for the independent Office for Budget Responsibility to produce forecasts. They demanded them in this Chamber and in every media interview on every channel at every opportunity. The Government were being reckless, they said, because they did not have a forecast from the OBR accompanying their plans.

Let us see what the OBR said to the autumn statement delivered by the Chancellor on Thursday. It said that global factors are the primary cause of current inflation. What did the Opposition say in response to the statement? They said it was caused in No. 10. The OBR, whose words they rightly insisted we should wait for and give credence to, disagrees with that position.

For the past 12 years, we have talked about the £153 billion annual deficit left by the last Labour Administration, and the note left by Labour’s outgoing Chief Secretary to the Treasury saying “Sorry, there’s no more money”. Not only was it clearly all a big joke to them, as that note confirmed, but all we heard was, “It’s not our fault, it’s global forces.” Now, in the aftermath of one of the biggest global health crises in history and in the midst of a disgusting war in eastern Europe at the behest of a madman, suddenly economic problems are nothing to do with global forces—no, it is all caused in No. 10, apparently, as they are so fond of saying. It is pathetic, it is nonsense and it is taking the British public for fools.

Fortunately, the good people of Delyn and the public at large can see through the mudslinging that has sadly become synonymous with politics these days and recognise from the calm reassurance of the Chancellor at the Dispatch Box last week that, while difficult measures had to be taken, the measures could have been much more hard-hitting than they are. I commend the Chancellor not only for reducing the axe to a knife, but for also ensuring that pensioners are protected from the worst of the inflation. In my constituency of Delyn we have around 25% more pension claimants than the average constituency, so that has been of particular importance. I thank him for listening to the pleas of my pensioners.

Alongside the good news, there are some inevitable challenges. Freezing the personal allowance and the thresholds for the other bandings will bring more people into each tax bracket and will be an additional challenge for household budgets. However, I am not sure that I have heard it pointed out in this debate or in media coverage that when Labour left office in 2010, the personal allowance was £6,475. Adjusted for inflation, that is equivalent to £10,219 today, so even with the freeze for another few years, the current personal allowance of £12,570 is still significantly ahead of inflation. It has meant that hard-working households keep an extra £470 of their income each year. That is a record to be proud of, even if we have to go through difficult times in the immediate future.

I turn briefly to defence, although I am not by any means a defence specialist. Several hon. Members on both sides of the House have mentioned figures of 3%, 2% or 2.5%. That baffles me and baffles my constituents, because the armed forces need a certain number of tanks, ships and planes and a certain number of people. None of those things is ever measured in percentages. They are all measured in pounds.

The Ministry of Defence does not need more resources when GDP increases, nor does it need less money whenever GDP may fall. The threat is the threat. Fighting over 0.5% of GDP just means that we never address the amount actually needed in pounds sterling. It is a perfect example of the political obfuscation endemic in this place, on all sides, because 3% of GDP one year might be the same amount as 2.5% in another year. We virtue-signal that we are supporting our armed forces, when the reality of the cash going into the MOD budget may tell an entirely different story. People in Delyn and across the country are wary when we give some figures in pounds and others in percentages: they think that we are trying to pull a fast one and avoid talking about the real issues. Perhaps the Minister can take back to the Department the need to be consistent and clear with information and keep our constituents properly informed.

Philippa Whitford Portrait Dr Whitford
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Does the hon. Gentleman recognise that he is criticising exactly how his colleague spoke when he was boasting about how 10% of GDP is now spent on the NHS? The UK’s GDP, income and economy are considerably smaller because of the impact of what has been going on, so I think he needs a word with his colleague.

The Growth Plan

Philippa Whitford Excerpts
Friday 23rd September 2022

(1 year, 9 months ago)

Commons Chamber
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Kwasi Kwarteng Portrait Kwasi Kwarteng
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I think the hon. Gentleman has got the mathematics slightly wrong. The business support is for six months, and the household support is for two years. Those are two things that need to be disaggregated. On long-term pricing, of course, nobody in this room—indeed, nobody in the world—has any idea what the price will be in two years, so it would be misleading to put a price on that.

Philippa Whitford Portrait Dr Philippa Whitford (Central Ayrshire) (SNP)
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It is not just the American President; the dogs in the street know that trickle-down economics does not work. This statement pushes money into the pockets of bankers in the City of London and big fossil fuel companies. It will kill high streets. It will take money away from local economies. To make the entire UK economy dependent on one big city while strangling everywhere else is the opposite of levelling up. The Government’s “Growth Plan” document claims, on page 32, that the price cap will

“bring the average household bill down to £2,500”.

That is still £600 more than it is now, and double what it was in January. What will the Chancellor do to help people right now? In particular, will he cut VAT on fuel, as Germany has done?

Kwasi Kwarteng Portrait Kwasi Kwarteng
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The investment zones and our ability to incentivise investment will help a whole swathe of communities across the UK. The reversal of the national insurance increase and bringing forward the 1p reduction will also help thousands and thousands, if not millions, of our constituents.

NHS Pensions and Staffing

Philippa Whitford Excerpts
Wednesday 13th July 2022

(2 years ago)

Commons Chamber
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Dan Poulter Portrait Dr Dan Poulter (Central Suffolk and North Ipswich) (Con)
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I draw the House’s attention to my entry in the Register of Members’ Financial Interests as a practising NHS hospital doctor, although I am not personally affected by the issues I am about to raise.

I think we would all agree that following the pandemic, the NHS is facing unprecedented challenges in delivering patient care. The current demands on the system are too high to be met by the existing workforce and resources alone, and while the Government rightly seek to increase the NHS workforce by training more doctors, nurses and other frontline clinical staff, it is equally vital that we retain the existing workforce. Simply put, losing senior and experienced staff at this time would be an unmitigated disaster for the NHS and the patients it serves.

One of the biggest threats to the retention of the most senior and experienced NHS staff is the punitive and unfair interplay between long-standing Government pension taxation policies and the NHS pension scheme. Those policies, and the punitive financial penalties that result from them, will cause many senior NHS workers to take drastic steps such as reducing hours, leaving leadership roles or taking early retirement. These pension penalties will result in senior and long-serving NHS workers aged 59 or 60 potentially losing over £100,000 from their pension pot if they delay retirement by one year, rather than retiring this year. That is resulting in senior and experienced NHS workers being advised by actuaries and accountants to reduce their working hours in order to avoid being hit by huge pension tax bills that will see them working for little pay, or in some cases no pay at all.

Philippa Whitford Portrait Dr Philippa Whitford (Central Ayrshire) (SNP)
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Obviously, I too was a doctor until recent years.

This is an issue for all four health services across the UK, and is taking away people with the knowledge, skills and experience to not just look after patients but teach. Is the underlying problem not that when this policy was introduced in 2015, the talk was about preventing tax avoidance? It is not possible to play games with a final salary scheme. It was never open to doctors to play games with their pension, and therefore it is simply the wrong policy for the wrong group of people.

Dan Poulter Portrait Dr Poulter
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The hon. Lady is absolutely right. There were some further unintended consequences of the Finance Act 2004, which I will come to in a moment, but doctors, nurses and healthcare professionals cannot chose the rate at which they contribute to their pensions—they have to contribute at a fixed rate. There is no choice, so unintentionally, we find ourselves in a situation where senior healthcare professionals are facing punitive, eye-watering annual charges on their pensions worth tens of thousands of pounds. That cannot be right.

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Richard Fuller Portrait The Economic Secretary to the Treasury (Richard Fuller)
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Thank you very much, Mr Deputy Speaker.

Let me begin by thanking my hon. Friend the Member for Central Suffolk and North Ipswich (Dr Poulter) for securing the debate and for the points that he has raised. I also note the contributions of the hon. Members for Central Ayrshire (Dr Whitford), for Strangford (Jim Shannon), for Llanelli (Dame Nia Griffith), for Carmarthen East and Dinefwr (Jonathan Edwards) and for East Dunbartonshire (Amy Callaghan), who made, forcefully, the point that this is an issue that affects all parts of the United Kingdom.

Because these issues are complex and my hon. Friend rightly set them out in full in order to put them on the record, I am rather short of time, so, if I may, I will move rather quickly in responding to some of my hon. Friend’s recommendations. Let me add that I shall be happy to follow this up with other Members who have spoken if they want to raise specific constituency points.

I think that everyone present has noted the pressures on our NHS. Indeed, before taking on my new role, I spent a considerable amount of the last six months with my own GPs. I know that the issues relating to pressures on GPs are complex, including the overall questions of compensation and burnout, and my hon. Friend rightly mentioned the issue of abuse of NHS staff, which has occurred to a shameful degree over the last six months and which no member of our health service should ever have to deal with.

However, my hon. Friend focused on the issue of pension tax and the NHS, and made three specific recommendations. The first concerned the differential use of CPI figures, and he was right to raise that issue, because it is the spike in inflation that has laid bare some of the problems in the way in which calculations are made. The issue relates to the disparity between the CPI figure used for uprating the opening value of a member's benefits and the CPI figure used to assess revaluation in public service schemes. This effect is particularly notable in the NHS pension scheme, where accrued benefits are adjusted upwards each year by CPI plus 1.5%—which, to be fair, makes it one of the most generous pension schemes available.

I understand that this difference in figures will lessen the headroom that scheme members have in their annual allowance calculation. That may cause more members to exceed the annual allowance, and cause those who already routinely exceed it to exceed it by more, with the result that some may receive annual allowance tax charges. The British Medical Association has asked the Government to amend the Finance Act 2004, so that the CPI figures used in uprating the opening value and the figure used for revaluation in public service schemes are the same. However, there are some further issues that must be considered in this discussion, which my hon. Friend may not have mentioned.

First, the Government have a duty to balance support for all pension savers across the United Kingdom. The use of September CPI to measure inflation in the year before the tax year is a well-established feature that is used across the tax system. Any changes would impact all pension savers, not just NHS staff.

The current approach provides certainty to individuals at the start of the tax year about what their opening pension value will be for annual allowance purposes. I appreciate that, for those with a defined benefit pension alone, this certainty may not be seen as much of an advantage. However, for others across the country who may have some defined benefit accrual but are now saving into a far less generous defined contribution scheme, this certainty allows them to plan their finances and pension contributions for the coming year.

Philippa Whitford Portrait Dr Whitford
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Will the Minister give way?

Health and Social Care Levy

Philippa Whitford Excerpts
1st reading
Wednesday 8th September 2021

(2 years, 10 months ago)

Commons Chamber
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Jesse Norman Portrait Jesse Norman
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The overall fiscal approach is set out in detail in the document that has already been referenced by the hon. Member for Sheffield South East (Mr Betts). We will be presenting a Bill in due course, which will have further explanatory notes and a tax information and impact note associated with it, and of course we have a Budget in which the wider fiscal position will become clear, so the House is not going to be short of information about how this will land.

Finally, if I may, I will just remind the House why this levy is so important. As the Prime Minister and the Chancellor set out yesterday, the levy will enable the Government to tackle the backlog in the NHS. It will provide a new, permanent way to pay for the Government’s reforms to social care, and it will allow the Government to fund our vision for the future of health and social care in this country over the longer term.

Philippa Whitford Portrait Dr Philippa Whitford (Central Ayrshire) (SNP)
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I thank the Minister for giving way. I have two points. He talks about the Government’s vision for health and social care, but with their obsession with outsourcing, that does not match the Scottish vision for health and social care. This is a devolved area. Why is the Minister not using tax, which the Scottish Government control? We have already been slagged for three years in this place for putting a penny on income tax bands to fund health and social care in Scotland. Why is he hitting Scottish taxpayers again, and taking power away from the Scottish Government?

Jesse Norman Portrait Jesse Norman
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Nothing could be further from the truth. All parts of the UK need a long-term solution to fund this health and social care position sustainably, including Scotland and the Scottish Government. Scotland’s own Audit Scotland has said that more money is needed in the Scottish social care system, and an independent review of adult social care said that more money needs to be provided. Of course, there is a Union dividend from that policy, in that Scotland, Wales and Northern Ireland will benefit by an average of 15% more than is generated by their residents. That is £300 million a year on average.

The Government have acknowledged that this policy involves a breach of the manifesto. They have done so directly, they have done so plainly, and they have done so honestly. But I would put it to the House that, in a deeper sense, this measure serves to redeem a promise and discharge an obligation. It is a profoundly Conservative thing to do, to provide for future generations without increasing our borrowing, without increasing spending, and in way that is sustainable and grips a nettle that for too many years has been ignored by the Labour party. With that in mind, I commend the motion to the House.

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Alison Thewliss Portrait Alison Thewliss
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I would be very curious to know why that is. I was going to read out that very quote, because even three former Conservative leaders, including a former Prime Minister and three more former Chancellors, have spoken out against this move. To complete the quote that my hon. and learned Friend mentioned, this person, an anonymous member of the Conservative party, said:

“Putting up National Insurance would be morally, economically and politically wrong.”

They went on to say:

“After all that’s happened in the last 18 months they can’t seriously be thinking about a tax raid on supermarket workers and nurses so the children of Surrey homeowners can receive bigger inheritances.”

Well, yes indeed they are.

Philippa Whitford Portrait Dr Whitford
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Is it not the case that the talk is about making life better for social care staff, but actually, they are exactly the people who will lose £1,000 a year in the universal credit cut and will now face this extra cost?

Alison Thewliss Portrait Alison Thewliss
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My hon. Friend is absolutely right. They are the people who can least afford it and who have worked the hardest through this pandemic, who this Government should be thanking, not taxing.

We are being asked to vote today on measures that the Institute for Fiscal Studies has described as “better than doing nothing”, which is about as charitable an analysis as is possible of this policy.

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Alison Thewliss Portrait Alison Thewliss
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We already spend more per head on the NHS than is spent in England. We already have better services in Scotland than in England. This policy is an entirely regressive form of taxation that does nothing for the hon. Gentleman’s constituents and does nothing for mine.

Philippa Whitford Portrait Dr Whitford
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Scotland already spends 43% more per head on social care, which allows us to be the only nation that delivers free personal care and has extended it to people under 65. That was why we raised the extra 1p on tax, for which Scots are already paying and from which they are already gaining. That should be controlled by the Scottish Parliament.

Alison Thewliss Portrait Alison Thewliss
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My hon. Friend speaks the absolute truth. There is a huge contrast between what the Government propose and what is already being delivered in Scotland.

Some have said, “What’s your alternative?” Well, fixing England’s social care crisis is not for the SNP to decide, quite frankly. Having heard evidence when I sat on the Select Committee on Communities and Local Government some years ago, I know that successive UK Governments have failed to act and have ignored the evidence as difficulties mounted. Now the Prime Minister has come to this House in haste, shamelessly using covid as cover.

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John Lamont Portrait John Lamont
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These proposals will result in Scotland’s NHS and services that our constituents use getting a billion pounds extra each year to help deal with the backlog of treatment, the GP shortages and the whole catalogue of other issues that Scotland’s NHS is dealing with. It is nonsense to pretend that social care is not an issue in Scotland as much as it is in the rest of the United Kingdom. Indeed, the SNP Scottish Government in Edinburgh has called for action on social care in the past. They have said that they intended to increase investment in social care in Scotland, but they have also been clear that their plans required extra resources. Their planned reforms

“can only be delivered with increased investment.”

Their independent review of adult social care said

“more money will need to be spent on adult social care over the long term.”

Further to that, Audit Scotland recognised that “more investment is needed”. The Scottish Government admitted in their August 2021 consultation that the proposals for a new national care service were not yet funded.

Philippa Whitford Portrait Dr Whitford
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In Scotland, as I said earlier, we already spend 43% per head more on social care. If the hon. Gentleman is moaning about Scotland, he can perhaps imagine the problem here. Scotland has a plan: the Feeley review, the national care service, a human rights approach and extending free personal care and free provision to all home care. What we are not happy about is the idea that suddenly the Prime Minister will meddle in a completely devolved area of health and social care, and we will have the same outsourcing and fragmentation that England has struggled with since 2012.

John Lamont Portrait John Lamont
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Nothing in this plan undermines the devolution settlement. This plan provides our constituents with more investment for NHS services across Scotland. What the hon. Lady seems most upset about is this United Kingdom Government delivering that resource for something that the Scottish Government had previously asked for, and she admits that, which is frankly astonishing. It is beyond belief that the SNP opposes these proposals, which would raise much-needed extra resources for the NHS and the social care sector in Scotland. Scotland, Wales and Northern Ireland will benefit by an additional £2.2 billion a year as a result of the levy and an equivalent increase to dividend tax rates.

There is a clear Union dividend from this policy. Scotland, Wales and Northern Ireland, taken together, will benefit around 15% more than is generated from their residents, equivalent to around £300 million a year. The hon. Ladies and Gentlemen on the SNP Benches shake their heads. How on earth can they justify opposing this extra money coming into Scotland? Scotland will receive £1.1 billion in extra funding over the coming year.

We must ask why the SNP is so opposed to this extra money coming to Scotland and our NHS. That is certainly what my constituents in the Scottish borders are asking. They have witnessed the remarkable job that our NHS heroes have been doing during the covid-19 pandemic, but they also recognise the massive challenges now facing Scotland’s NHS: delayed operations, GPs under pressure, rural health services being withdrawn and waiting lists growing and growing. Yet, when offered extra funding from the UK Government to help address that and to tackle the social care crisis, the SNP says no. The SNP says no to extra funding for Scotland’s NHS.

Philippa Whitford Portrait Dr Whitford
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Rubbish.

John Lamont Portrait John Lamont
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The hon. Lady says “rubbish”. Should I say “rubbish” to my constituents who have had their operations delayed time and again and those who cannot get access to a GP in their surgery because of decisions made by the Scottish Government, who blame a lack of resource and repeatedly blame the UK Government for not funding them enough? Here we have it: £1 billion more coming to Scotland and the SNP says no. It is typical SNP grievance politics. It is not about solutions or making the lives of our constituents better; it is about grievance, grievance and more grievance. The NHS in all four parts of the UK needs significant investment to tackle the lasting effects that covid-19 has had on services and we must work as one United Kingdom to tackle the collective challenge.

It is also true that the SNP Scottish Government have not prioritised investment in the NHS during their time in office. As I referenced earlier, the IFS has noted that, in the last 10 years, spend on health in Scotland has increased by just 1.2% as a proportion of total expenditure compared with 3.6% in England on a like-for-like basis. Therefore, despite all the spin we hear from SNP Members, Scotland’s NHS needs this extra investment.

Some in the SNP have been complaining that the policy is some sort of attack on the devolution settlement. That is utter, utter nonsense. It is true that devolved Administrations will be required by law to spend their share of the revenue raised by the levy on health services in 2022-23 and, from April 2023, on health and social care services. It is also true that some elements of the new revenue will be spent directly by the UK Government for the benefit of all four nations, including on purchasing vaccines to help defeat the virus. However, there is no requirement for the Scottish Government to implement the same policies as the UK Government. The devolution settlement is protected. So the SNP is really going to oppose this extra funding coming to Scotland’s NHS and social care services.

I very much welcome the announcement. It has been a tough decision for the Prime Minister and the Government, but it is the right decision. More funding for our NHS and social care services should be welcomed by everyone in the House. It baffles me completely why the SNP so strongly opposes it.

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Jane Hunt Portrait Jane Hunt (Loughborough) (Con)
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The question of how to deal with the worsening social care problem has been put off for too long. Indeed, the Labour party shunned its responsibility when in government and refused to make the difficult decisions to put social care on a sustainable footing.

Peter from Loughborough said in an email to me that it is

“long overdue to try and fix the social care problem. Governments of both parties have pushed this into the long grass time after time and it cannot be put off forever.”

The Conservative manifesto pledged to build cross-party consensus on an answer to solve the problem. Clearly, this has not been possible. It has therefore been left to this Government to make the tough decisions, which I know the Prime Minister has not made lightly as the Conservatives are the party of low tax.

Philippa Whitford Portrait Dr Whitford
- Hansard - -

I welcome the hon. Lady’s reference to the aim to create cross-party consensus. We have heard that said repeatedly. I am the health and social care spokesperson for the SNP, and the Labour spokesperson and I did not receive so much as an email. To say that consensus could not have been built is wrong. It could have been built, and we could have had discussions before yesterday.

Jane Hunt Portrait Jane Hunt
- Hansard - - - Excerpts

That is not my understanding. Maybe it is the case, I am not sure. [Interruption.] Forgive me if it is the case.

The Government have made proposals to raise much-needed funds to deliver on important commitments such as upskilling the social care workforce, strengthening the adult social care system, tackling the elective backlog in the NHS as it recovers from covid-19, funding a 3% pay rise for our fantastic nurses and implementing a cap on adult social care costs. These aims all have widespread support across the country.

I could mention many cases that have been referred to me over the years of elderly people who are afraid to come out of hospital because they know they are not well enough to live independently but are afraid to move into the care system because of the cost.

In yesterday’s speech on social care costs, the Prime Minister said:

“from October 2023 no one starting care will pay more than £86,000 over their lifetime, and no one with assets of less than £20,000 will have to make any contribution from their savings or housing wealth—up from £14,000 today.”—[Official Report, 7 September 2021; Vol. 700, c. 155.]

The Office for National Statistics states that between 2014 and 2016, the most up-to-date figures I can find, the average inheritance was £11,000 per person, which fits in well with what we are trying to develop so that people are enabled to leave something for their family.

Finally, alongside this additional funding, we need to look at the overall finances and management of the NHS to identify where savings can be made, so that money is put where it is needed most—frontline services. That is particularly true in respect of waste generally. For example, GP statistics show that 173,165 people did not attend their appointment last year, costing £5.1 billion. Those are some of the things we need to look at. However, I will support this measure tonight, for the reasons I have set out.

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Philippa Whitford Portrait Dr Philippa Whitford (Central Ayrshire) (SNP)
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I am pleased to follow the hon. Member for Dartford (Gareth Johnson), because I do welcome the fact that this debate is happening and that there is an attempt to find a solution to something that absolutely has been kicked down the road. However, I am very disappointed that despite the rhetoric there was no attempt at cross-party contact or to achieve consensus and agree a long-term solution.

I also feel that this proposal is regressive. It will hit lower-paid people, including the key workers we were clapping for just 18 months ago. It will hit the younger generation, who have been hit from multiple directions and will not have the benefits that we have been lucky enough to have in our lifetimes. It will stifle recovery because it is simply a tax on jobs. Like previous social security cuts driven by Tory austerity, it will take money out of local economies and remove spending power. That means increasing poverty—the single biggest driver of ill-health.

In Scotland, that will impact on our aim to have a wellbeing recovery from covid. That is why we object to this measure and why we object to the Prime Minister saying that he will direct how the spending is used. Income tax would have been a fairer method. It is paid by wealthy pensioners, as I will probably be in a few years’ time. It is paid more by people who earn more. It does not hit wealth, but there other taxes that could have been used to do that. The Scottish Government already took action in 2018 by adding a penny to all our tax bands so that we had more money for health and social care. We do not just provide free prescriptions; we are the only UK nation that provides free personal care, and in 2019, that was extended to those in need below the age of 65. That is something to which other nations within the UK should be aspiring. It allows people to stay at home and to have greater independence, and that is how we should be looking on it. The Feeley review, which the Scottish Government commissioned, asks us to turn it around, to stop seeing social care as a burden and instead to see it as a way of allowing the people affected, whether due to disability or age, to still be part of our society.

We object to the undermining of devolution, because it is the Scottish Parliament that has responsibility for the strategy of health and social care. Our health and social care landscape is quite different. Not only do we have free personal care; we also still have a unified, public NHS. We have been integrating with social care since 2013, so to say that suddenly we will hand that control over to the Prime Minister—I am sorry, but that will not wash. The national care service proposal from the Feeley review recognises that we already pay the living wage and we pay for overnight sleepovers. What we actually need for social care in all four nations is to develop social care as a career, so that people stay there and commit to it. It is not just a job that someone does until they can get on the checkout at Tesco. It is a simple fact that above all other careers, care is delivered by people, for people. That is where any plan should start. If there is focus on the workforce, we may end up with a care service that we can be proud of and that will deliver for all constituents.

0.7% Official Development Assistance Target

Philippa Whitford Excerpts
Tuesday 8th June 2021

(3 years, 1 month ago)

Commons Chamber
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Philippa Whitford Portrait Dr Philippa Whitford (Central Ayrshire) (SNP) [V]
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The Prime Minister has declared his aim to secure an agreement of the G7 to vaccinate the world against covid by the end of next year, but it is hard to see how he will have the brass neck to push such a proposal when the UK will be the only one in the room cutting overseas aid. The overall budget is being cut by a third, but covid funding masks the drastic cuts to core projects, including on the health and education of women and girls, which the Government claimed was a key policy, as well as those delivering humanitarian aid and addressing HIV/AIDS, conflict zones, famine relief, refugees and child education. It is hard to believe that the Government think it is remotely reasonable to slash funding for water and sanitation in the middle of a pandemic.

Even if funding is restored in a couple of years, the staff, researchers, experience, knowledge, networks and infrastructure of many of those projects will have been lost. The Chancellor has justified the cuts by highlighting the cost of the pandemic, but what does he think it has been like for low-income countries that were struggling even before they were hit by covid?

The UK is also hosting COP26, but any promises by the Minister responsible, the COP26 President, the right hon. Member for Reading West (Alok Sharma), will have little credibility, because when he was International Development Minister he made commitments that the UK has now abandoned. In 2019, he promised more than £100 million a year for the global polio eradication initiative, only for the funding now to be cut by an eye-watering 95%. The World Health Organisation has estimated that 80 million children are at risk from infectious diseases such as diphtheria, polio and measles owing to the disruption of immunisation caused by the covid pandemic, so vaccination projects should not face cuts. They need extra support to fund the necessary catch-up programmes. We must not allow the re-emergence of polio and other infectious diseases to take a toll on the children of low-income countries.

Covid is a global crisis and it calls for a global response. So far, the international community has struggled to live up to its warm words of last spring, but the UK is alone in cutting aid at such a critical time. Low-income countries have received less than 0.5% of all covid vaccines delivered so far, and the UK is one of those blocking the sharing of intellectual property and technology. This will prolong the pandemic for all of us and delay the economic recovery of low-income countries, and the UK Government must not compound the problem by removing support from some of the most vulnerable in the world. I support the call to restore overseas funding, and I do not believe that it can wait until next year. The covid crisis is now.

Leaving the EU: Impact on the UK

Philippa Whitford Excerpts
Wednesday 17th March 2021

(3 years, 4 months ago)

Commons Chamber
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Philippa Whitford Portrait Dr Philippa Whitford (Central Ayrshire) (SNP) [V]
- Hansard - -

Some MPs on the Government Benches seemed to think they were speaking in the first debate. While they still cling to the idea of a post-Brexit fairy tale, other MPs from right across the UK have highlighted the chaos caused by Brexit and the lack of preparation for the end of the transition period.

It is not just that Scotland rejected Brexit, but that the UK Government made such a complete bourach of implementing it. In the run-up to the 2019 election, the Prime Minister repeatedly boasted that he had an oven-ready deal. Despite this clearly not being the case, he refused to extend the transition period, even in the middle of a pandemic.

Although the Government spent millions on adverts telling everyone to “Get ready for Brexit”, there was precious little information on exactly what to get ready for. The necessary IT systems were only launched in December, and the Government have now had to delay the start of their own customs and border checks on imports. Although this gives an additional grace period for importers, it puts UK exporters at a huge disadvantage to their European competitors.

It is clear the Government are hoping to blame the impact of Brexit on covid, but recent ONS data shows a much greater fall in post-transition exports to the EU than during the first covid lockdown last spring. January saw a 50% drop in the export of dairy products, a 59% drop in the export of meat and a staggering 83% fall in seafood exports to Europe.

Seafood is the biggest UK food export, and it is dominated by the Scottish fishing industry. I had actually taken the trouble to read the fisheries section of the trade deal at Christmas, and it was clear to me that there was little movement of quota from EU to UK fishermen for most species, and with no ability to swap quota with their EU counterparts, Scottish fishermen would actually be able to attach less of the popular species such as cod and haddock.

The Prime Minister claims that his deal is both tariff-free and avoids all non-tariff barriers, but I think most exporters, including skippers and fish processors in my constituency, would beg to differ. Our local catch is dominated by lobster and langoustine, 85% of which goes to EU customers. In January, the chaos made it almost impossible to export fresh or live seafood to Europe, and most local skippers had to just stop fishing, as they were already paying to freeze fish that they could not get to market.

Despite boats being tied up for weeks in the harbour, the UK Government have made eligibility for their compensation scheme so narrow that most will not qualify for any financial support. Even now, exports are taking three days instead of one, and many exporters are getting less than half their normal prices. Some on the east coast have resorted to landing their catch directly into Denmark to cut out export delays. Unfortunately, this also cuts out the onshore fishing sector, such as fish markets, processors and exporters. The Paymaster General says that she is looking for solutions to Brexit problems. May I gently suggest that the UK Government reconsider their decision to turn down a veterinary agreement with the EU, thereby reducing the sanitary and phytosanitary checks that are causing border delays? The Prime Minister’s understanding may not be too clear, but this is exactly what is meant by non-tariff barriers.

Food and drink are not the only products to be affected. Leaving the European Aviation Safety Agency has already had an impact on pilots and is now increasing costs for aerospace companies. It is not just European customers who do not yet accept the UK Civil Aviation Authority’s certificates; global customers do not recognise them either, and they expect European Union Aviation Safety Agency—EASA—certification. Inter-tec, an aerospace company in my constituency, has had to establish an office in Ireland to maintain its EASA design organisation approval. As well as EASA registration, costing £3,800 per year, it has now had to pay over £11,000 to register with the Civil Aviation Authority, and it faces paying another £11,000 every year in exorbitant annual fees that are three times those of EASA.

With the aerospace industry suffering from the impact of that pandemic, it is hard to understand how the Government think these businesses can survive, let alone thrive in the UK. Such manufacturers are also exposed to the Prime Minister’s other great fallacy: that there are no tariffs in the UK-EU trade deal. Even a cursory perusal of the section on rules of origin shows that manufacturers such as aerospace or electronics, which use a high proportion of non-UK components, will face tariffs when they export their finished goods into the EU.

In addition to the direct harm of Brexit, it is being used as an excuse to undermine devolution. The United Kingdom Internal Market Act 2020 can now be used to force lower food safety and environmental standards on Scottish consumers, while a return to direct rule on infrastructure spending means that UK Ministers, rather than the Scottish Government, will get to decide about Scotland’s priorities. This could result in Scotland’s infrastructure budget being squandered on a white elephant of a tunnel to Northern Ireland, despite the lack of political support for it in either country or any evidence of economic benefit. For Northern Ireland, the problem is not with the ferries but with the Brexit bureaucracy inherent in the Prime Minister’s withdrawal agreement.

Brexit is a litany of broken promises, with claims that there would be little impact on trade and no change for EU citizens. Even last January, the Prime Minister promised young people that the UK would stay in the Erasmus scheme. The loss of freedom of movement undermines Scotland’s attempt to deal with the demographic challenge of an ageing population and creates workforce issues in public services right across the UK. There has already been a 90% drop in the number of EU nurses coming to the UK, while the Home Office’s health and care visa does not even cover all care workers.

The Government’s hard Brexit bears little resemblance to the sunny uplands eulogised in 2016, and makes a mockery of the promise made during the Scottish independence campaign, “Vote no to stay in the EU”. The other broken promise was that “Scotland is an equal partner in a family of nations”. Well, that has not held up very well, as we saw the 2016 compromise proposal from the Scottish Government dismissed within weeks. The Prime Minister has treated Scotland’s wishes and interests with contempt, and he is already boasting that he plans to ignore the democratic will of the Scottish people.

MPs from other parties have criticised SNP support for the EU, but that just suggests they have not looked at the difference between the two Unions. The outcome of the vote that happened earlier this afternoon and that which will happen at the end of this debate serve to illustrate how even a clear majority of Scottish MPs are simply overruled in this place. This contrasts with the EU, in which countries work as partners and are involved in making decisions. I believe it is only as sovereign nations in their own right that the countries of the UK could avoid having decisions such as Brexit forced on them against their will and could instead choose to work together on common goals. It is only with independence that Scotland and the other UK nations will ever be equal partners on these islands.

UK-EU Future Relationship Negotiations and Transition Period

Philippa Whitford Excerpts
Monday 7th December 2020

(3 years, 7 months ago)

Commons Chamber
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Urgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.

Each Urgent Question requires a Government Minister to give a response on the debate topic.

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Penny Mordaunt Portrait Penny Mordaunt
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I can give my hon. Friend those assurances. The team have done a tremendous job, and I know the detail they have gone into on each sector on that issue. It is helpful that my hon. Friend has reiterated the importance of those matters to his constituents this afternoon.

Philippa Whitford Portrait Dr Philippa Whitford (Central Ayrshire) (SNP) [V]
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Even if there is a deal at this eleventh hour, it will be very thin, inflicting customs costs and delays on sectors that are already struggling to survive covid. The Minister has called on businesses to get ready, but the Government’s own IT systems are not ready; indeed, the fish export service will go live just two days before the end of transition. Does the fact that this Government are having to plan military flights to bring in medical supplies, including the vaccine, not make them pause for thought before such an act of self-harm?

Penny Mordaunt Portrait Penny Mordaunt
- Hansard - - - Excerpts

It is right that we prepare for every possible contingency. There are all sorts of things that we have not mentioned this afternoon that are part of the Government’s in-tray—all sorts of contingencies that we have to think about. In the Cabinet Office, for example, I look after cyber issues. There are many things that we have to think about and many things that we have to prepare for, and it is right, particularly on medicines and medical devices, that we ensure that we have every contingency in place.

However, I would also point out to the hon. Lady that the border operating model and many things that businesses will need to do to get ready are not contingent on the final negotiations going on. We have invested heavily in support services for traders, businesses and citizens, and it has been right to do so. Again, if colleagues have issues with their constituents or businesses, please talk to me and I will do my best to get an official to talk to the business and put it in touch with the many webinars that are going on to help support businesses and citizens to make this transition.

Covid-19

Philippa Whitford Excerpts
Monday 11th May 2020

(4 years, 2 months ago)

Commons Chamber
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Philippa Whitford Portrait Dr Philippa Whitford (Central Ayrshire) (SNP) [V]
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I would first like to express my sympathy for all those who have lost a loved one to covid during this epidemic, and to pay tribute to the millions of healthcare staff, key workers and volunteers who have shown that community spirit is alive and well.

Unfortunately, the foundation of this crisis has been 10 years in the making. A decade of Government austerity has taken its toll on health and social care services in England and, through cuts to devolved budgets, right across the UK. The pandemic is unprecedented in our lifetimes and poses a real challenge for every single Government on the planet, but it has been No. 1 on the risk register in the UK for more than 10 years.

In early February, the Government claimed to be fully prepared, yet more than three months on, they are still failing to supply sufficient PPE to protect their healthcare staff. Moreover, testing and contact tracing are still not fully up and running, yet they are lifting the current restrictions. In 2016, Exercise Cygnus highlighted the lack of PPE and ventilators, yet there has been a 40% reduction in the value of the stockpile. The management of it was outsourced to a private company, and we hear that 45% of items in the stockpile are out of date, including 80% of respirator masks. Last June, the new and emerging respiratory virus threats advisory group advised the Secretary of State for Health and Social Care to add gowns to the stockpile. Why was that not done? Is that why Public Health England guidelines, which were issued to all four nations, did not include gowns for staff in covid-positive wards outwith intensive care? Two hundred healthcare staff have died. We need to pay tribute to them, but it should not have happened. None of them were from intensive care units, the most dangerous setting, which shows that full PPE actually works. But now we hear that even ICU doctors in England report struggling to get gowns. There is no point in joining the Thursday clap for carers if you are not willing to protect staff. The excuse for the lack of gowns is that the stockpile was only planned for an influenza pandemic. This is a civil contingency measure, so why would you plan for only one virus? It is not as if this is the first coronavirus outbreak. We had the severe acute respiratory syndrome outbreak in 2002 and the middle east respiratory syndrome outbreak in 2014, and they were both much more lethal.

The Prime Minister set five tests for easing lockdown. The Government clearly are not yet meeting No. 4. Scotland’s NHS has had central procurement and logistics for years and has its own stockpile, but the challenge for all Governments is achieving ongoing supply in the presence of high global demand. Yet the overseas offices of the Department for International Trade have apparently been advised not to assist the Scottish, Welsh or Northern Irish Governments in PPE procurement. Provision of PPE is a devolved responsibility. Why would the UK Government want to undermine those Governments’ efforts to protect the patients and staff in devolved health services?

The Secretary of State for Health prides himself on having ramped up testing to 100,000 on 30 April, but that was only by counting 40,000 tests that were, as we say, “in the post”. I wonder if they are counted again when they come back in. The level, sadly, has not been maintained. One issue being reported is delays in getting results back. It is also the case that the result is not always reported back to the GP or the hospital if it is a staff member. It is not just about how many tests. The World Health Organisation advises that testing, contact tracing and isolation is critical to breaking the chains of infection and controlling the epidemic. Unfortunately, in February, that just was not in place and we ended up with the lockdown as an emergency measure because we could not identify who we should isolate.

Understanding easing the lockdown involves difficult decisions, but we need to be aware that the virus has not changed. We hear all the time about the mystical R number guiding the way out of lockdown, but it is an estimate of how many people are infected by each person with the virus. It has three components: the ease of transmission from one person to another; how long a person is infectious; and how many contacts they have during that time. Ease of transmission is a balance between the infectiousness of the virus and the susceptibility of the population. Covid-19 is very infectious and, as a new virus, the population had no immunity. We can reduce transmission through the personal hygiene measures—I would just emphasise that that should include not shaking hands—but 50% of the spread is asymptomatic and that is the reason to advise the use of face coverings to reduce droplet spread from people without symptoms.

The way to decrease susceptibility is with a vaccine, but that will take time. In early March, the Government seemed to get side-tracked over the idea of herd immunity. I was chair of the all-party group on vaccinations for all and I totally understand the aim of herd immunity, but it is usually achieved with an effective and safe vaccine, not by letting a dangerous disease just rip through the population, especially when we have no proof of how long any covid immunity would last. The duration of infectiousness is about five to seven days and we cannot change that, but one of the problems is that covid patients seem to become infectious about two days before symptoms.

Finally, there is the number of contacts. That is the key thing we can manipulate in one of two ways: either by isolating everyone in a lockdown, which is a blunderbuss approach because we could not identify who we should be isolating; or by isolating just cases and their contacts, so they have no contact with others. That requires strong public health teams to provide testing, tracing and isolation of every single case to control the spread. That should be put in place during lockdown, while people have relatively few contacts, and before lifting restrictions.

The Prime Minister set out a roadmap last night for easing lockdown in England if five tests are met. No. 3 is a sustained fall in new cases, but the UK is still hovering over 4,000 new cases a day, and that is just the ones that are proven by a test. No. 4 is the secure provision of testing and PPE, and neither of those criteria has been met. Telling people to go out to work is not a baby step, especially without clear workplace and transport safety measures—we only have to look at photographs of London transport this morning to see that. If the Prime Minister had wanted more people to leave home, I gently suggest that a “Stay apart” message might have been a bit more helpful. Crucially, local public health teams must be in place to monitor the impact of any changes so that they can spot early warning signs of a local outbreak and take action, and that is not the case.

None of the devolved nations is ready to come out of lockdown. In Scotland, the number of cases is falling, but we do not consider it low enough to be sure that there is no risk of a rise in infections. I know that the political decisions on the next steps are difficult, and I do not underestimate the mental, social and economic impact of lockdown or the misery it is causing. However, a second surge of covid cases would lead to many more deaths and put us right back to square one.