Budget Resolutions and Economic Situation

Debate between Richard Drax and Angus Brendan MacNeil

Thursday 16th March 2023 Commons Chamber

[Richard Drax (South Dorset) (Con)]

I welcome the hon. Member for West Lancashire (Ashley Dalton) to the House, and I refer the House to my entry in the Register of Members’ Financial Interests.

We are the party of low taxes, or we are nothing. It is a core Conservative value that we believe people should keep more of their money. In that regard, I commend the Chancellor for scrapping the pensions allowance. It is rather strange that the Opposition are wailing about it when they themselves wanted to remove it, albeit just for doctors. This reform will not just help doctors, but help to retain headteachers, police chiefs, senior officers in the armed forces, air traffic controllers, prison governors and many others.

However, what concerns me is the tax pressure on those who receive less. We are still facing the highest burden of taxation since the end of the second world war. I fear we are falling into the socialist trap of raising expectations that the Government will provide all the answers; they cannot, and should not try to. The consequence is higher and higher taxes to pay for services such as extra childcare. I entirely endorse the excellent speech by my right hon. Friend the Member for Camborne and Redruth (George Eustice) on the problems that this policy could raise. While welcomed by many, it fails to recognise that if families paid less tax, they would have more disposable income to pay for services such as childcare, rather than relying on the Government. Raising the tax threshold, especially at the higher rate, would help in that regard. The insistence that the Government can spend people’s money better than them is not our philosophy.

I accept in full that we are paying a heavy price for locking the country down during the pandemic, and now dealing with a major war in Europe, but this is not the time for faint hearts and overcaution, especially with a general election looming. For we know—we have just heard—where Labour will take us: myriad new taxes, a rise in existing ones, and a party driven sadly by the few, not the many, and by envy, punishing those who work hard and want to provide for their families. Let us stop reinforcing Labour’s values and start reminding the country of ours.

On that note, despite the many calls for corporation tax not to be raised from 19% to 25%, the increase will go ahead. Despite being mitigated by some capital allowances, it is a regressive and regrettable move. This after the Chancellor pledged to reduce corporation tax to 15% last year when he stood for the leadership of our party—how right he was then. Yesterday’s Budget rightly placed great emphasis on growth, and while I am all for getting people back to work, I am not in support of a tax hike on those who create the jobs in the first place. Beyond that, the increase will be a major and negative factor for companies deciding where and how much to invest. Let us not forget that the corporation tax of our nearest competitor, the Republic of Ireland, is a meagre 12.5%. As my right hon. Friend the Member for Wokingham (John Redwood) said of an earlier Chancellor:

“Lawson brought intellectual self confidence and energy to the task of being Chancellor. He fearlessly slashed income tax and corporation tax rates. Extra revenue poured in as growth improved.”

Surely that is what business needs: a visionary Conservative Government committed to creating an environment that gives wealth creators the incentives to take risk and create the prosperity and jobs that all of us in this House want. Unfortunately, that is not evidenced when we look at the oil and gas industries.

[Angus Brendan MacNeil (Na h-Eileanan an Iar) (SNP)]

Will the hon. Gentleman give way?

[Richard Drax]

I will not, because we do not have time and others wish to speak.

Because of pandering to the green lobby and unachievable targets, oil and gas companies face punitive tax rates such as the 50% corporation tax rate and a 35% windfall levy. As the war in Europe has reminded us, energy security is paramount. Over-reliance on supply from overseas has left many countries—not just us—vulnerable to fluctuation in prices and supply. Regrettably, we are a long way from ending our reliance on fossil fuels, so surely it is common sense to encourage investment here at home, not to increase our carbon footprint by importing from abroad.

Before I conclude, I must mention defence. While the extra £11 billion over five years is to be welcomed, it is not nearly enough, with little—if any—of that money going to our conventional forces. This at a time when the world is increasingly unstable. Arbitrary figures for defence spending plucked out of thin air by both sides demean our armed forces and us in the House. In the face of some very real threats, a thorough appreciation needs to be undertaken and the defence budget set accordingly. To be an effective NATO partner, we need the mass to sustain a prolonged and major confrontation. Right now, we do not have it.

I conclude on a point of caution. As I hinted strongly at the start of my speech, this over-reliance on Government to provide the solution to everything must stop. It is simply unsustainable. Our Conservative Government would do well to recall the words of JFK in his inaugural address:

“Ask not what your country can do for you—ask what you can do for your country.”

UK’s Withdrawal from the EU

Debate between Richard Drax and Angus Brendan MacNeil

Wednesday 27th February 2019 Commons Chamber

[Richard Drax]

I absolutely agree with my hon. Friend, who is immensely knowledgeable on all these matters.

The House needs to clarify where it stands. I have seen many amendments and I suspect there are more to come, because that is the way that the Government are now playing their hand, for fear of Parliament’s taking control. Do MPs wish to leave the EU, or do they wish to stay in? That is the question. Some hon. Members are very concerned about no deal, and are tabling amendments in the genuine interests of our country, but for others they are a fig leaf for their wish to remain in the EU. How can we take no deal off the table and let the Prime Minister walk naked to the conference table? How can we do that? It is the last negotiating tool that a Prime Minister has.

We know that the EU always takes it to the last minute. Brinksmanship—that is the name of their game. And let us be honest: do any of us in this House think that we shall strike a fair deal before we leave? I do not think so, because the EU does not want us to go, and is making it clear that it wants to make it as hard as possible for us to leave.

Unfortunately, the behaviour of many in this House is signalling to the EU complete and utter chaos—no sense of purpose, no unity. Imagine if 650 MPs had said, “We are right behind the people of this country, and respect their decision.”

[Angus Brendan MacNeil]

rose—

[Richard Drax]

I shall not give way. I only have a very short time and I would like to continue, if I may.

Imagine if that had been the case—if everyone in this House had been backing leaving the EU. I would suggest that negotiations with the EU over the past two years would have gone very differently. Now we are facing what some would describe as a cliff-edge, although I would disagree with that description. As the right hon. Member for Leeds Central (Hilary Benn) asked, will moving exit day to April, May or June change the direction of travel—what we are trying to do? No. And in June there will be more amendments, and more efforts by Members in this place to stop us leaving the EU.

So we have to make up our minds. Are we going to leave with a fair deal? The backstop has been mentioned and, as we know, the backstop could go on indefinitely. We will be out of the EU, but with no one at the table. We will be at the mercy of the EU, we will be subjugated, we will be law takers. This is madness. We need a fair deal, and let us fight for it together. Together, we will get the fair deal. We are divided here, and the EU must be sitting back—the Champagne is out, the Chablis is being drunk, the lobsters have been consumed—and why? Because the EU is looking at the chaos in this place. United we stand: united we will get a fair deal, and we will get out of the EU.

Navitus Bay Wind Farm

Debate between Richard Drax and Angus Brendan MacNeil

Monday 15th June 2015 Commons Chamber

[Richard Drax (South Dorset) (Con)]

What a pleasure it is to be in the Chamber with you in the Chair, Madam Deputy Speaker. It is the first time I have spoken while you are in the Chair, so it is a double pleasure.

Before I begin, I want to thank several important contributors to today’s debate. Dr Andrew Langley, founder of the Challenge Navitus campaign, has provided me with information, updates, analysis and photographs over a number of years. Bournemouth Borough Council has made its extensive, commissioned research available. Mike Unsworth, the wind farm’s project director, has been most accommodating. Of course, there are also my fellow Dorset MPs, several of whom are in the Chamber.

We are faced with the daunting prospect of a giant wind farm off Dorset’s coast. Navitus Bay is a joint venture between two foreign energy companies: EDF and Eneco. Together, they formed Navitus Bay Development Ltd, which will hereafter be known as the developer. As with every infrastructure project of national significance, the proposals have been examined in depth by the Government’s Planning Inspectorate. Its recommendations have been passed to the Secretary of State for Energy and Climate Change and a decision is due by 11 September.

The purpose of tonight’s debate is to impress on the Government the contentious nature of the wind farm and how many people are opposed to it. I am most grateful that the Minister of State, Department of Energy and Climate Change, my hon. Friend the Member for South Northamptonshire (Andrea Leadsom), is in her place and I welcome her to her role.

The plan is to erect 121 giant wind turbines, each 193 metres tall. The nearest will lie a mere 9 miles off the resort of Swanage in my constituency. The wind farm will generate power for 700,000 homes. It will occupy 153 sq km, which is an area the size of Bournemouth, Poole and Christchurch combined. A second, smaller so-called mitigation option for 78 turbines was submitted very late—I want to underline that—in the process.

Both proposals are hugely unpopular. The Planning Inspectorate received more than 2,000 interested representations during the examination period. That is more than twice the number received in respect of the Brighton Rampion project and the highest number for any proposed offshore wind farm the inspectorate has handled. In a test sample over nine days in February, 97% of emailed submissions to the inspectorate were found to be against Navitus Bay.

[Mr Angus Brendan MacNeil (Na h-Eileanan an Iar) (SNP)]

Does the hon. Gentleman agree with me and many people in the highlands of Scotland that locational price modelling causes distortions in the market? I can hear from what he is saying that the idea of these things being built is not very popular in south Dorset. Such things might be more popular in other areas, such as the Tiree Array, but locational price modelling makes it expensive to connect to the grid from some parts of the coast, whereas other parts of the coast are almost given a subsidy. That is distorting the market, seemingly to the detriment of his constituents.

Recall of MPs Bill

Debate between Richard Drax and Angus Brendan MacNeil

Tuesday 21st October 2014 Commons Chamber

[Richard Drax]

I concur entirely with my hon. Friend. As always, his words are wise and should be listened to by us all.

I am concerned by some of the comments that colleagues have made. Disparaging remarks have been made about MPs, the system, this place and our democracy itself. Members have said that we have somehow undermined democracy.

[Mr MacNeil]

The hon. Gentleman has used the word “democracy” a few times. As I am sure he and everybody else knows, democracy comes from the Greek for the rule of the people. If we believe in democracy, what can be wrong with the recall Bill?

[Richard Drax]

If the hon. Gentleman will hold on for a few moments, I will hopefully answer his question.

--- Later in debate ---

[Richard Drax]

I agree entirely. What will restore faith in this place is us—the parties and individuals that make up this great place. It is our duty to do that, and I do not think we need a recall Bill to prove that point.

As I have said, the Bill, sadly, is a knee-jerk reaction. The hon. Member for Clacton asked why it has taken four and a half years to come to this place, and I wonder—no doubt I shall be shot down by the three party leaders and many of my colleagues—whether because it was a knee-jerk reaction, in time people have thought, “Is this actually a sensible Bill?” I think they have come to the conclusion that in the main it is not, although at the time it may have seemed attractive, and to a certain extent it may have appeased the electorate. Will it solve the problem? I do not believe it will.

There is some logic to the Government Bill. Apparently, there are no rules and regulations if we get a custodial sentence under 12 months. If we do receive a custodial sentence—there have been various examples of that—it means there are big questions to be asked, and in a sense the Bill covers that. The right hon. Member for Holborn and St Pancras said he was concerned about the figure of 10%, and asked about the other 90%. Again, I entirely concur with that point.

I also agree with every word the right hon. Gentleman said about the amendments proposed by my hon. Friend the Member for Richmond Park. I have a lot of respect for my hon. Friend, but I do not agree with any of his amendments for all the reasons I have set out. I shall not repeat them, but I would like to point out what the letter we all received from Cabinet Office Ministers, dated 20 October 2014, says in explaining the intention of the Bill:

“In formulating their proposals the Government has examined international models which allow elected representatives to be recalled on any grounds. The recall model proposed in the Government’s Bill fits with and goes further than Parliamentary democracies similar to ours—Australia, New Zealand and Canada do not have recall in their main legislatures.”

I do not like comparisons with other countries. They are always dangerous. One of the many reasons why the eurozone is such a complete flop is that all the countries are so different and cannot be put in the same straitjacket. The same principle applies here.

I shall move on briefly to another point that counters the Bill. We are all elected by our local associations. Each party has its own system. Were I to commit an offence that constituted serious misconduct, I have no doubt—I am sure colleagues on both sides of the House would have no doubt—that I would be summoned to the local association office to explain myself. That is the local face of our party. The local associations select us and they have the power to deselect us. In that conversation, if my chairman was to say to me, “Richard, up with you we shall not put any longer”, I hope that, if my action had been so heinous, I would have already resigned. However, if I had not resigned I would be pushed. If the chairman did not do the job then, along with the party hierarchy, the party should be prepared to say to the sitting MP, “Up with this we will not put.”

That leads to a question. Let us say the polls are against the party and the sitting MP and suddenly there is a potential by-election. Every instinct in the parliamentary party would say, “For heaven’s sake, a by-election is the last thing we need in that seat.” But this is where honour, responsibility and all the things we must show to the public that we have come in; and I believe that we do have those things. The party hierarchy should say, “Tough. We may lose this seat, but the sitting MP has committed such a heinous crime that we have to get rid of him or her and have a by-election.” Those are the sort of people who should be making these decisions. They should not be made by legislation.

[Mr MacNeil]

If we think back to the expenses scandal, is the hon. Gentleman saying that nothing dishonourable happened among any Member still in this House?

[Richard Drax]

I am not quite sure I got that, because I am so staggered by the question. Perhaps the hon. Gentleman could rephrase it, because it did not make sense.

[Mr MacNeil]

Is the hon. Gentleman saying that during the expenses scandal nothing dishonourable happened—he has said so much about honour—among any Member who was subsequently re-elected?

[Richard Drax]

I am not sure I have ever said that. In fact, I have said the opposite. If people have behaved—let us take the expenses scandal—in a dishonourable way, they should go, yes.

[Mr MacNeil]

Have they all gone?

[Richard Drax]

Ah. That is another question. I am not going to look back with hindsight. I was not even here. We are where we are, and I do not believe that a recall Bill would have made any difference in this instance. The expenses scandal has unfortunately caused all of us in this place to look backwards. The point has been made to me on many occasions, in spite of the fact that I was not here. Even now, the shadow of that appalling time hangs over this place. We have to shake it off and put it behind us. People have paid and some have gone to jail. We should move on in a way that allows us, as the responsible adults and grown-up politicians we are all meant to be, to please the electorate in the way they want to be pleased: by behaving in an honourable fashion.