Middle East: Economic Response

Debate between Rachel Reeves and Emma Foody

Thursday 21st May 2026 Commons Chamber

[Rachel Reeves]

I have happy memories of having fish and chips with my hon. Friend in her constituency several years ago. I can confirm that the VAT for children’s meals, be they in a pub, hotel, restaurant or café, will be cut from 20% to 5% between 25 June and 1 September. We will monitor the impact of that on tax revenues, and the number of people going out for dinner. We envisage that this measure will have a cost to the taxpayer, which is why we are funding it by ending the tax loophole whereby some companies were using losses overseas to offset their corporation tax here in Britain.

[Emma Foody (Cramlington and Killingworth) (Lab/Co-op)]

Families across my constituency will be relieved to hear the measures set out by my right hon. Friend, whether that is the freezing of fuel duty, free bus travel for young people this summer or the suspension of tariffs on essential food items. All those actions will be greatly welcomed by families worried about the impact of the Iran war on household finances. Can the Chancellor set out how much she envisages these measures combined will save families in the north-east? Will she keep measures, including on energy bills, under review, ahead of the winter?

[Rachel Reeves]

People in more rural areas, such as some of my hon. Friend’s constituents, will particularly benefit from the freeze in fuel duty and the free bus fares for kids. We think that the changes in fuel duty have already saved people around £100 a year, and we expect the same sort of benefit thereafter. Drivers of heavy goods vehicles will benefit by up to £912 through those changes. The bus fare changes are unlimited free bus travel for five to 15-year-olds, and we can add in the savings on days out and meals out. All these things are unlimited; people can go on a bus as many times as they like, and they can take their kids out for a meal and benefit from that reduction in VAT as much as they like. We want people to have an enjoyable summer, worrying less about the costs and thinking more about making happy memories.

Oral Answers to Questions

Debate between Rachel Reeves and Emma Foody

Tuesday 27th January 2026 Commons Chamber

[Emma Foody]

Ministers will be all too aware of my campaign to unlock improvement at Moor Farm roundabout, which is currently holding back growth across the north-east and causing misery to local people on a daily basis. The Government have rightly taken steps to ensure that my region gets its fair share of investment through changes to the Green Book and place-based business cases, but will the Chancellor meet me ahead of the road investment strategy to ensure that we finally get this long overdue investment in a critical piece of north-east infrastructure?

[Rachel Reeves]

My hon. Friend has been a tireless campaigner for the Moor Farm roundabout, which holds back both commuters and businesses, and therefore both growth and prosperity. I will continue to work with her on this. I know that the roundabout is now being properly considered for inclusion in the road investment strategy and I would be happy to meet her to discuss that further.

Oral Answers to Questions

Debate between Rachel Reeves and Emma Foody

Tuesday 8th April 2025 Commons Chamber

[Rachel Reeves]

I would be very happy to arrange a meeting for the hon. Lady with the relevant Minister to discuss some of those specific issues around retirement properties. She makes a really important point. We need to make it easier for people to downsize to free up those properties, including in the private sector, so that more homes are available for families.

[Emma Foody (Cramlington and Killingworth) (Lab/Co-op)]

5. What steps she is taking to increase economic growth in the north-east.

Oral Answers to Questions

Debate between Rachel Reeves and Emma Foody

Tuesday 29th October 2024 Commons Chamber

[Emma Foody (Cramlington and Killingworth) (Lab/Co-op)]

T9. Residents in my constituency are still feeling the pinch in their pockets and pay packets from Liz Truss’s disastrous mini-Budget. It is vital that this Government fix the foundations of our economy to deliver proper public services and a rise in living standards. Can the Chancellor tell me how she will deliver this for the north-east and for people across the country?

[Rachel Reeves]

My hon. Friend is right to draw attention to the disastrous impacts of the Conservative mini-Budget just over two years ago, which is still having an impact on people’s lives as they pay higher mortgage bills. This Government have committed to return sustainability to the economy and to working with business to reform our planning system, our pensions system and our skills system. We have already brought in £63.5 billion of private sector investment to grow our economy in all parts of the country and deliver the jobs and better wages that constituents in Cramlington and right across the country need to see.