Budget Resolutions and Economic Situation

Priti Patel Excerpts

Friday 23rd March 2012 Commons Chamber

[Priti Patel (Witham) (Con)]

Over the years, Conservative Chancellors have stood at the Dispatch Box on Budget day and outlined great programmes of reform to transform the economy, modernise the country, improve lives and restore Britain’s standing in the world. That is exactly what our current Chancellor of the Exchequer did in his Budget on Wednesday. He has had to reverse the socialist doctrine of an over-bloated state fuelled by the last Labour Government’s binge-spending, which resulted in an unprecedented economic crisis.

I fully support this Government’s aim to earn our way out of the economic crisis. I support the Budget principle of rewarding work, backing business, and being on the side of those who aspire to do better for themselves. I also support the introduction of the new enterprise allowance, which will help young people not just get into work, but start up enterprises. Importantly, I also support the principle of sticking to the plan to deal with Labour’s debts.

This will also be seen as a historic Budget, with the largest increase in the personal tax allowance ever, which will benefit 24 million ordinary families throughout the country. Most basic rate taxpayers will gain £220 every year. This Government will have taken 2 million low-paid people out of tax entirely.

The foundations of our economic strength were left to crumble by Labour, but this Chancellor has put forward strong and credible plans to rebuild our economy. Just as the reduction in the main rate of corporation tax to 22p sends a resounding signal to the rest of the world that would-be foreign investors are welcome in Britain, so this country needs a Government who are committed to reducing the overall tax burden and letting low, middle and high earners keep more of what they earn in their pockets. The Labour party may not, for all we know, like the idea that people should be free to spend their money as they like, but my constituents want to be able to control more of their money—the money that they earn—rather than have the state raid their pockets and waste their money on an over-bloated public sector.

In addition to the scandal of leaving the country with the biggest ever national deficit, the Labour party failed to serve the country well, and certainly failed to serve Essex well, on infrastructure investment. In Essex, our infrastructure desperately needs investment, with the A120 being a case in point. It is the 10th most dangerous road in the country, and I am sorry to report that last week a young constituent of mine was very badly injured in an accident on this dreadful road. Despite being one of the largest large net contributors to the Treasury, Essex was left behind under the previous Government. The Labour Government were prepared to profit from the labours and endeavours of hard-working Essex families and businesses, but were never prepared to put anything back. With a record like that, is it any wonder that voters there refused to return a single Labour MP to the House of Commons and have made Essex a Labour-free zone? I hope that the Government will look to fast-track and implement mechanisms to bring inward investment in our infrastructure. In particular, I would welcome the opportunity to work alongside government to examine the financing models for roads such as the A120.

Whether through supporting small and medium-sized enterprises, attracting foreign investment or helping hard-working families by providing the largest increase in the personal allowances in 30 years, this Budget is giving this country’s economy the strong foundations it needs for future growth and economic prosperity.