Economy Update

Rachel Hopkins Excerpts

Thursday 26th May 2022 Commons Chamber

[Rishi Sunak]

I thank my hon. Friend for his support and join him in paying tribute to our fantastic citizens advice bureaux for the fantastic work they do. He makes a good point, which is one reason why the payment will be staggered into two tranches. It will not come all in one go: the first tranche will come in July and the second later in the autumn. That will help to address the issue that he raised.

[Rachel Hopkins (Luton South) (Lab)]

Energy-intensive businesses and sectors such as automotive manufacturing are facing huge challenges due to soaring energy prices. Companies such as Vauxhall in Luton South need some specific support to keep plants running efficiently and to keep people in skilled jobs. Can I hear from the Chancellor a commitment to our manufacturing sector and what support he will provide to it, as it is so critical to our UK economy?

[Rishi Sunak]

I do believe that the sector is important to our future, which is why it is being supported with a very significant tax incentive to invest with the super deduction, which we have said we will replace when it expires next spring with further support. Indeed, our energy-intensive industries benefit from around £2 billion of direct intervention with their energy bills.