National Insurance Contributions (Secondary Class 1 Contributions) Bill Debate

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Department: HM Treasury

National Insurance Contributions (Secondary Class 1 Contributions) Bill

Richard Tice Excerpts
2nd reading
Tuesday 3rd December 2024

(3 months, 3 weeks ago)

Commons Chamber
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Mark Ferguson Portrait Mark Ferguson (Gateshead Central and Whickham) (Lab)
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In the recent autumn Budget—it might feel like a long way away, but it was only a few weeks ago—the Chancellor made a decision to change the system of employer’s national insurance contributions. The purpose was to make the largest businesses make a contribution to fund the public services on which working people and businesses rely.

As part of the changes to national insurance, we have increased the employment allowance to £10,500, explicitly to protect small businesses. The changes mean that a quarter of a million employers will see the amount of national insurance that they pay get cut.

Richard Tice Portrait Richard Tice (Boston and Skegness) (Reform)
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Does the hon. Gentleman seriously consider a GP surgery in my constituency with seven doctors and six members of staff to be one of the largest businesses, even though it is suffering from tens of thousands of pounds in extra costs and will have to lay people off, which will reduce capacity?

Mark Ferguson Portrait Mark Ferguson
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I thank the hon. Gentleman, because he makes an excellent point that I was hoping to come to later in my speech. The previous Government cut national insurance, and do you know what was also cut? The number of GPs in my constituency. It is more complicated than Members pretend; it is not “national insurance vs. GPs”. If it were that simple, I would have more GPs, not less, in Gateshead Central and Whickham. I would urge those who were enthusiastically cheerleading the previous Government to take a moment to think about that.

National Insurance Contributions (Secondary Class 1 Contributions) Bill Debate

Full Debate: Read Full Debate
Department: HM Treasury

National Insurance Contributions (Secondary Class 1 Contributions) Bill

Richard Tice Excerpts
James Murray Portrait James Murray
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I am not clear from the right hon. Gentleman’s intervention whether he finally accepts that we inherited a £22 billion black hole when we entered government. I know that several of his colleagues have sought to rewrite history, but the facts are there. We inherited a completely unsustainable fiscal situation, with pressures and a £22 billion black hole, and we had to take difficult but necessary decisions to remedy that. It was important to do so, because without the basic fiscal responsibility and economic stability that a Government should deliver, investment, which is the basis for growth, will not happen.

Richard Tice Portrait Richard Tice (Boston and Skegness) (Reform)
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The Minister speaks about facts. Is he aware of the fact that when the Labour party won the election, the economy was growing, and is he aware of the fact that it is now shrinking?

James Murray Portrait James Murray
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I am very aware of the fact that we inherited an economy and a fiscal situation in a mess. That was completely unsustainable, and it was our duty as a Government to address it. No responsible Government could have let things carry on as they were, with the fiscal situation the way it was. That is why we took the action we did.