Oral Answers to Questions
Rob Roberts Excerpts(10 months, 3 weeks ago)
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Jeremy Hunt
I do not know the details of the issue raised by the hon. Lady, but I assure her that the Treasury is ferocious in its determination to ensure that every penny of the public’s money is spent wisely.
Mr Rob Roberts (Delyn) (Ind)
The Chief Secretary to the Treasury (Laura Trott)
I will write to the hon. Gentleman.
Economic Growth
Rob Roberts Excerpts(11 months, 3 weeks ago)
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Mr Rob Roberts (Delyn) (Ind)
It is a pleasure to follow the hon. Member for Newcastle upon Tyne Central (Chi Onwurah) as we debate long-term economic growth in all parts of the United Kingdom.
I cannot help but address a sentiment that has long lingered in the hearts of many in north-east Wales and my constituency: it often feels as though we are a bit invisible and forgotten by both Westminster and Cardiff Bay, and as a constituency we long for our voices to be heard and our potential to be unleashed. It is essential that both the UK and Welsh Governments acknowledge the challenges faced by regions like ours and respond with tailored policies and investments. We need infrastructure development, improved access to education and skills training, and targeted support for local businesses and industries. Only through those measures can we unlock the true potential of the regions that have been overlooked for far too long.
Across my home county of Flintshire, residents in all towns and villages see investment from the Welsh Government going into south Wales, they watch the news and see the UK Government investing in the north-east of England, and they yell at their TV screens, “What about the north-east of Wales?” We must strive for a future not where prosperity is confined to a select few, or to constituencies where Governments of whatever colour want to shore up support with investment, but where instead prosperity flows to every corner of the country, empowering individuals, families and communities to thrive.
With that in mind, I will first touch on the exciting opportunity that lies within the heart of region: the Flintshire and Wrexham investment zone bid. This collaborative endeavour holds immense importance and significance to both areas as they join forces to unlock their true potential and pave the way for a brighter future. Not only does the local authorities’ collaborative working call for praise; the manner in which the bid is being spearheaded by local industry and partnership, especially the fabulous Joanna Swash from Moneypenny in Wrexham, who is chairing the bid, shows exactly what can be achieved when frameworks are put in place that businesses can take advantage of.
The impact of the investment zone bid may be transformative to the region, not only by generating direct employment but by creating a ripple effect, creating opportunities, fostering entrepreneurship and driving economic growth in industries and supply chains across the region. We should embrace the bid, which I support wholeheartedly, as the zone will mean that we can all witness the remarkable transformation that awaits both Flintshire and Wrexham.
Secondly, devolution is holding back Wales. Every week—we have heard it several times today—Opposition Members shout things like, “You’ve had 13 years and it’s just getting worse.” I politely ask them to reflect on how Labour has been in power in Wales for 26 years and outcomes are worse in almost every measurable way. In 1997, average incomes in Wales and Scotland were almost identical; in 2023, Wales finds itself with incomes 20% lower than our northern British friends. It has become clear for a multitude of reasons that power must be taken back into hands of the UK Government, and I shall table a Bill to allow a referendum to take place to get rid of devolution in Wales as soon the parliamentary schedule allows.
Returning power to Westminster does not mean abandoning the unique identity and cultural heritage of Wales; on the contrary, it would allow for a more cohesive approach to governance, with decisions made in the best interests of all citizens in mind, rather than just those south of Welshpool. In fact, when that was put to the First Minister of Wales at the Welsh Affairs Committee recently, he did not even try to deny that that was happening. We must get back to focusing on outcomes rather than process. It does not matter where decisions are made or who makes them; what matters is that they are the right ones. People currently trundling to work at 20 mph in Wales down roads that are full of holes and crumbling because the Welsh Government will not repair them or build any new ones know that it is the outcomes that matter, not the process.
Devolution in Wales has been a resounding failure. The Welsh Government have proven incapable of delivering on its promises, leaving our nation lagging behind in critical areas. It is time to recognise the shortcomings of devolution and take the necessary steps to rectify the situation for the good of everyone in Wales.
The core principles of conservatism call for reducing taxation, removing regulatory burdens, increased empowerment, increased entrepreneurship and opportunity, and community collaboration. It is time to shift our focus towards empowering individuals, restoring personal responsibility and minimising state interference in people’s lives. That includes removing superfluous levels of government that add nothing to the lives of the people we are here to serve.
Autumn Statement Resolutions
Rob Roberts Excerpts(1 year, 11 months ago)
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Jonathan Ashworth
I did not actually say that. I know that the right hon. Gentleman is disappointed with the Government’s plans and that the previous Budget, of which he was so much in favour, was decisively rejected by the money markets. That shows what happens when we allow the Conservatives to be irresponsible with the public finances.
I now turn to social security and pensions. In fairness, the Chancellor responded to our pressure and honoured the triple lock, which I welcome. I hope that the House will recall and accept that I always give credit where it is due and I always work on a cross-party basis when we agree on things. I always agreed with our man in the jungle, the right hon. Member for West Suffolk (Matt Hancock), when he wanted to put us into lockdowns. I never went as far as the new Chancellor on lockdowns—he wanted much more severe restrictions—but I was always prepared to work cross party with the Government, so I am pleased that they have honoured the triple lock.
The impact of freezing the personal tax allowance at £12,500 or so, however, is that half a million more pensioners will be pulled into paying tax. Over the coming years, it is predicted that, because of the freeze on the personal allowance, 2 million extra pensioners will be pulled into paying tax. So pensioners with little income beyond the state pension—those who have done the right thing and saved all their lives—will be paying more in tax under the Conservatives.
Rob Roberts (Delyn) (Ind)
When the Labour Government left office in 2010, the personal allowance was £6,475. Adjusted for inflation, that would be £10,200 today. Under this Government, it is still £12,570, which is significantly more than would have been the case under Labour adjusted for inflation.
Jonathan Ashworth
I take it from that that the hon. Gentleman supports pensioners paying more tax as a consequence of the decisions in the autumn statement.
On social security payments for working age adults, the Chancellor again, in fairness, listened to the arguments that were made and uprated benefits in line with inflation. That is important, because this year, those on benefits and pensioners have seen a real-terms cut. The Secretary of State for Work and Pensions said earlier today that it was important for payments to be increased to make up for the real-terms cuts that they have experienced this year.
As always, however, the devil is in the detail. The Chancellor has uprated the headline rates and we also understand that many of the additional allowances within the benefits system have been uprated, although we do not know that for certain; we are assuming that only because Martin Lewis tweeted it based on what the Treasury press office had told him. As far as we are aware, the Secretary of State has not confirmed it to Parliament—I just asked the Library and we still do not have an official confirmation—so when the Minister sums up, perhaps he can confirm that the different allowances and reliefs within universal credit will be uprated in line with inflation. I would welcome it if those allowances were uprated, but not all of them have been, have they? The local housing allowance rates, for example, are frozen at 2020 levels at a time when private rents are rising at record rates. The consequence is that rents will swallow up the increase in universal credit for many of the poorest families. That is why Shelter has concluded that the freeze means that
“The boost to benefits will be built on quicksand”
and has warned that homelessness will increase this winter.
Sir Edward Leigh
No, we have heard from the hon. Lady. I want to get through my remarks as quickly as possible.
As there are these disincentives to work, people say that we need mass migration. We are told by the bosses of the NHS that they cannot fill all the vacancies, so we need more mass migration. Mass migration is deeply unpopular with the British public. It is particularly unpopular with those who are working hard, particularly those on relatively low wages. They see their wages are kept down by employers who will always get people in from abroad. We have to defeat this argument as a Conservative Government that the way to achieve growth is through mass migration. That is the easy way to achieve growth. The best way to achieve growth is through high productivity, encouraging people to work.
May I follow my hon. Friend the Member for Redditch (Rachel Maclean) on the subject of channel migration? Frankly, the Government must grip this. It is utterly destabilising. We have thousands of people pouring across the channel, making the Government look incredibly foolish. We could solve the problem: we need to get out of the Human Rights Act and out of the refugee convention. We need to have our own Bill of Rights and ensure that when people land on these shores, they can be detained, arrested, dealt with quickly and deported, because it is utterly debilitating to our reputation.
We have heard a lot about the NHS. The fact is that the country has been increasingly weighed down by an ever-increasing benefit bill, and we are pouring, every year, more and more of our gross national product into the NHS. I do not have private health insurance; I rely entirely on the NHS, as does my family. People of my age are now frightened. Up to now, Conservative Governments have assumed that the NHS was very popular. I can assure Members that it is not very popular at the moment when we are facing these enormous delays. If a person has a non-urgent condition, they can be required to wait for up to two years. Then we are told that the NHS is the supreme example of healthcare in the world. We all recognise the wonderful work that our doctors and nurses do, but I read today that perhaps up to 50,000 people working in NHS quangos and other NHS bodies never actually see a patient. That organisation is riddled with low productivity, waste and incompetence, and we must learn from what other countries are doing, because someone elderly is much better looked after in Italy, France, Germany and Sweden. Indeed, in his statement the Chancellor recommended what is happening in Sweden and Singapore, and all those nations have social insurance policies. Under our system, someone pays taxes all their life, and when they get to a certain age and have a medical condition they are told to join the back of the queue. In France, Germany, Italy or Sweden, they have rights, and the Government have to address that. We cannot just go on repeating the mantra that the NHS is the best health system in the world. It simply is not. Its outcomes on cancer and in many other areas are lagging behind those of similar nations.
As well as considering social insurance, one simple thing that the Government could do—I have suggested it many times—is what Ken Clarke did in the last Conservative Government and provide tax relief for those of pensionable age who take out private health insurance. We could at least give some guarantee that if the NHS fails to deal with someone’s case within a year, or two years, the Government will fund them to go private.
Rob Roberts
Does my right hon. Friend agree that the NHS is a problem generally? We have three different Governments in charge of the NHS in the UK, with Labour in Wales having the worst record of them all. Does he agree that it is not a problem of Government funding or who is in charge, but the fact that the structure and the way that we run the NHS generally across the whole UK is just not workable in modern times?
Sir Edward Leigh
No, it is not workable, and I welcome the fact that the Health and Social Care Secretary appears to be trying to think creatively about that. We need radical surgery in the NHS. We pay taxes all our life, and we demand that when we have a health condition, we are not required to wait for two years. There must be a way forward. We cannot just put more and more sticking plasters on the NHS when NHS bosses ask for an ever greater proportion of national wealth. We have to take tough decisions.
Of course pensions have to keep pace with inflation. I benefit from the triple lock, but long-term the triple lock is utterly unaffordable and will bankrupt the nation. Of course pensions this year should go up with inflation, but what happens next year or the year after, when we deal with inflation and earnings start rocketing up? Will pensions then keep pace with earnings? We have to be honest with people, and I think people are prepared to listen to Conservative Governments who are prepared to take difficult decisions.
Why are we still proceeding with vanity projects such as HS2? Why are we not prepared to take difficult decisions to maximise energy resources, for instance with fracking? Why are we delaying spending cuts? Apparently the autumn statement is responsible and we are dealing with inflation, but the spending cuts are not happening this year. They are happening the year after next—why is that? We cannot postpone difficult spending decisions until after the next election. We should be moving towards a more dynamic and—dare I say it?—a more Conservative direction. People who voted Conservative in 2010 voted for a low-tax, deregulated economy.
We have heard a lot of people talking about benefits, but I want to speak on behalf of middle England, and people who spend all their life saving for their mortgage and their pension pot—striving. More and more—8 million—have now been dragged into being higher taxpayers. Those people should also have a voice, and people in this Chamber should represent the strivers of this nation, and those who work hard and pay tax all their life, with an ever greater burden falling on their shoulders. These are not rich people or people with the broadest shoulders.
I am now going to say something even more unpopular. We cannot load a marginal tax rate of 60% on the people who earn, say, between £100,000 and £125,000—middle managers, consultants and young entrepreneurs—and say we are going to create wealth. That is not what the Conservative Party is about. We are the heirs, not of Gordon Brown, but of Margaret Thatcher.
Decline is not inevitable. Brexit gave us the freedom to deregulate our economy, to make it a dynamic, low-tax, Conservative economy. That is the challenge we face. We must have confidence in ourselves and not accept that we are going to just stagnate forever into a kind of sub-social democratic and poor economy.
Rob Roberts (Delyn) (Ind)
It is a pleasure to follow the hon. Member for Tiverton and Honiton (Richard Foord) highlighting issues in Devon around local authority funding, NHS waiting times and ambulances. I must gently tell him that he should try experiencing those things in Wales, where they are all under the control of the Labour Government and are markedly worse in every single area.
When the previous iteration of this Government were in charge, the Opposition shouted for the independent Office for Budget Responsibility to produce forecasts. They demanded them in this Chamber and in every media interview on every channel at every opportunity. The Government were being reckless, they said, because they did not have a forecast from the OBR accompanying their plans.
Let us see what the OBR said to the autumn statement delivered by the Chancellor on Thursday. It said that global factors are the primary cause of current inflation. What did the Opposition say in response to the statement? They said it was caused in No. 10. The OBR, whose words they rightly insisted we should wait for and give credence to, disagrees with that position.
For the past 12 years, we have talked about the £153 billion annual deficit left by the last Labour Administration, and the note left by Labour’s outgoing Chief Secretary to the Treasury saying “Sorry, there’s no more money”. Not only was it clearly all a big joke to them, as that note confirmed, but all we heard was, “It’s not our fault, it’s global forces.” Now, in the aftermath of one of the biggest global health crises in history and in the midst of a disgusting war in eastern Europe at the behest of a madman, suddenly economic problems are nothing to do with global forces—no, it is all caused in No. 10, apparently, as they are so fond of saying. It is pathetic, it is nonsense and it is taking the British public for fools.
Fortunately, the good people of Delyn and the public at large can see through the mudslinging that has sadly become synonymous with politics these days and recognise from the calm reassurance of the Chancellor at the Dispatch Box last week that, while difficult measures had to be taken, the measures could have been much more hard-hitting than they are. I commend the Chancellor not only for reducing the axe to a knife, but for also ensuring that pensioners are protected from the worst of the inflation. In my constituency of Delyn we have around 25% more pension claimants than the average constituency, so that has been of particular importance. I thank him for listening to the pleas of my pensioners.
Alongside the good news, there are some inevitable challenges. Freezing the personal allowance and the thresholds for the other bandings will bring more people into each tax bracket and will be an additional challenge for household budgets. However, I am not sure that I have heard it pointed out in this debate or in media coverage that when Labour left office in 2010, the personal allowance was £6,475. Adjusted for inflation, that is equivalent to £10,219 today, so even with the freeze for another few years, the current personal allowance of £12,570 is still significantly ahead of inflation. It has meant that hard-working households keep an extra £470 of their income each year. That is a record to be proud of, even if we have to go through difficult times in the immediate future.
I turn briefly to defence, although I am not by any means a defence specialist. Several hon. Members on both sides of the House have mentioned figures of 3%, 2% or 2.5%. That baffles me and baffles my constituents, because the armed forces need a certain number of tanks, ships and planes and a certain number of people. None of those things is ever measured in percentages. They are all measured in pounds.
The Ministry of Defence does not need more resources when GDP increases, nor does it need less money whenever GDP may fall. The threat is the threat. Fighting over 0.5% of GDP just means that we never address the amount actually needed in pounds sterling. It is a perfect example of the political obfuscation endemic in this place, on all sides, because 3% of GDP one year might be the same amount as 2.5% in another year. We virtue-signal that we are supporting our armed forces, when the reality of the cash going into the MOD budget may tell an entirely different story. People in Delyn and across the country are wary when we give some figures in pounds and others in percentages: they think that we are trying to pull a fast one and avoid talking about the real issues. Perhaps the Minister can take back to the Department the need to be consistent and clear with information and keep our constituents properly informed.
Dr Whitford
Does the hon. Gentleman recognise that he is criticising exactly how his colleague spoke when he was boasting about how 10% of GDP is now spent on the NHS? The UK’s GDP, income and economy are considerably smaller because of the impact of what has been going on, so I think he needs a word with his colleague.
Rob Roberts
I have no issue with anything that the hon. Lady says. I cannot be responsible for other people’s comments, but the hon. Lady is 100% correct. The needs of the services are the needs of the services. It makes no difference whether GDP goes up, down, sideways or bloody diagonally: the needs are what they are. I completely agree with the hon. Lady.
It is excellent news that Wales is to receive an additional £1.2 billion in Barnett consequential funding, but sadly we have had to learn to temper our excitement, particularly in north Wales, because the extra funding is in the hands of the Labour Administration in Cardiff Bay, whose maps do not seem to show that Wales exists north of the valleys.
As I walked around the market on Mold’s high street on Saturday morning, people were unanimous. I spoke to Fergie, Carol, Dave, Karen and others, whose comments were all very similar. They said that the Government provided a huge amount of support during covid and have done everything they can to help in the current climate. They told me that any Government would have had to do the same. The incredible confluence of circumstances in the global picture over the past couple of years means that we need to get back to a calm, measured and sensible approach to repair the damage of covid and of Putin’s war. People recognise that the Government neither can nor should try to fix every issue in everybody’s lives. The people of Delyn understand and appreciate the steps that the Chancellor has taken to mitigate the impact. I commend him for what he has done in the face of overwhelming economic pressure.
Public Health Restrictions: Government Economic Support
Rob Roberts Excerpts(4 years ago)
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Steve Barclay
We have addressed this already in a number of questions. The point is that it is not simply two thirds; it is dynamic, aligned with universal credit, which then moves to top that up. The package of support, which is above that provided by many of our European comparators, is, if combined with universal credit, at 88% in many circumstances, not 67%.
Rob Roberts (Delyn) (Con)
Stevie the Sweet—not everyone’s pet name for the Chief Secretary, but Stevie who has the sweet stall on Mold market in my constituency—yelled at me as I walked past on Saturday. “Oi,” he said, “that Boris and Rishi and all the Treasury team are all right by me.” That is the story up and down my Delyn constituency, where my small business owners commend the work done by the Treasury and the support they have been given during this pandemic. Does my right hon. Friend agree that, when businesses in our tourism sector are being effectively locked down by draconian travel measures put in place by the Welsh Government, perhaps we need to step in and assist them a little more —for example, Greenacres and Tree Tops caravan parks in my constituency?
Steve Barclay
One of the strongest benefits to businesses in Wales, and indeed across the United Kingdom, is the broad shoulders and ability of the UK Treasury to act on behalf of the entire United Kingdom. That is a huge strength and it has helped to enable schemes such as furlough and others to be of benefit to businesses in Wales. On the measures put in place by national Governments, the more that is done through the Joint Biosecurity Centre with consistency, the better. But obviously, that is a decision for the Welsh Government.
Protection of Jobs and Businesses
Rob Roberts Excerpts(4 years, 1 month ago)
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Nicola Richards (West Bromwich East) (Con)
The Treasury paid out nearly £14 million in business grants in my constituency, instant cash that was vital to keeping businesses going during a situation that none of us wanted or could have foreseen. I must also mention the fantastic eat out to help out scheme. It has been widely welcomed by my constituents. Pubs and restaurants from Great Barr to Greets Green and from Friar Park to Newton have taken advantage, serving up 91,000 discounted meals in total across the constituency. In August, I had the pleasure of visiting the Sportsman, the Yew Tree, the Island Inn and the Cricketers Arms, to name just a few, and of course, I took my team to the amazing Red Lion.
Everywhere I went, the Chancellor’s support was hugely appreciated, and 13,400 jobs in West Bromwich East were supported by the furlough scheme. Over the summer recess, I visited Rimstock, Guest Truck and Van, and Sheldon Clayton Logistics—all brilliant businesses in West Bromwich East that benefited from the furlough scheme. It was a genuine lifeline for many businesses. However, a phasing-out of the furlough scheme is ultimately the right thing to do now. The scheme has rightly supported millions since it was introduced, but we cannot continue to run a labour market where people’s jobs are completely dependent on the state making them viable. I have listened with great interest to the Opposition, and it is not clear which sector they want to support, how long for or at what cost. I fear that the shadow Chancellor did not know either.
The Opposition seem to have also neglected to mention that it is not just in this country that support measures are coming to an end this autumn. Italy, Japan, the Netherlands, Spain, Canada, Denmark, Norway, New Zealand, Sweden and Switzerland have all announced that their equivalent wage support schemes will be phased out over the coming months. The Bank of England’s chief economist hit the nail on the head when he said that extending the furlough scheme meant
“prolonging the inevitable in a way that probably doesn’t help either the individual or the business.”
He is right.
We need to turn our attention to providing new opportunities for people. We must bring the public finances back under control. I am a big fan of the Chancellor’s kickstart scheme, and we need to go further for young people. We are looking at an entire generation of young people who have had their early career stalled through no fault of their own. That is where the Government need to step in, and it is also why I support the Prime Minister when he says that young people need to get back into the office because it is they who benefit from peer support, guidance, role models and progression.
Rob Roberts (Delyn) (Con)
I wonder, having listed all the countries that my hon. Friend did just now, whether she would take issue with the Opposition’s mention of France, which has a youth unemployment rate of nearly 19.5%. Should we therefore not really take any lessons from the French on how to run a successful jobs market?
Nicola Richards
I agree with my hon. Friend’s assessment of the situation.
I have a constituent who runs a firm called Sandwell Pest Control Services which is already looking to take on a young person in an administrative role through the kickstart scheme. That is just one example of the urgency many businesses are feeling to get going again. Last December, the people of this country came out en masse to reject the Opposition’s vision for the economy. The British people ultimately know that, as a hero of mine once said,
“eventually you run out of other people’s money”.
In West Bromwich East we want sound public finances. The Government stood up for jobs and our economy when it was needed the most, and they will drive forward our recovery from here in a responsible way that brings the public finances under control through competent Conservative policies.
Patricia Gibson
What Opposition Members are asking for is an extension of temporary support. Does the hon. Gentleman share my concern that Government Members are characterising that as a request for permanent support? The premature withdrawal of this support means that tens of thousands of viable jobs will be lost for want of an additional temporary extension. To characterise us as asking for permanent support is shameful.
Chris Elmore
I agree with the hon. Lady. It is rather concerning to hear the hon. Member for Delyn (Rob Roberts) shout, “How long for?” when he knows full well that the aviation industry in north Wales is the bedrock of what jobs there are in aviation. I am sure that his constituents will be interested to hear that he has very little interest in extending anything for the jobs in his constituency. I very much agree with the hon. Member for North Ayrshire and Arran (Patricia Gibson).
Surely, if the Government’s mantra of “Global Britain” is to continue, we need an aviation sector that can become a global economic hub once the global economy begins to recover. If there is little to no aviation sector left, and no highly skilled jobs, as the hon. Lady mentioned, what is it that we will become global Britain of? We will have no economic hubs in the aviation sector through which to support it.
I am conscious of the time. I have mentioned already that my constituents cannot cope with more deindustrialisation. It will be like deindustrialisation on steroids if there is not intervention from the UK Government and the furlough scheme is not extended. We need to protect the highly paid, highly skilled jobs that exist across the south Wales economy. For the Government to say that it is too complicated—“We can’t do this; we can’t do that”—just is not good enough. Constituents know it is not good enough, and they will repay that tenfold at the ballot box when it comes to future elections.
Let me raise one final point with the Minister. The Welsh Government have announced a lockdown in the Caerphilly county borough. Insurance companies and organisations that link to insurance say that it is not a recognised lockdown, so constituents cannot get support; they cannot make insurance claims. May I ask the Minister, on this technical point, to work with the Welsh Government to ensure that where lockdowns happen in any of the nations of the UK, the economic support is there from those sorts of insurance companies to ensure that people who have to self-isolate can do so?
Mark Eastwood (Dewsbury) (Con)
I refer Members to my entry in the Register of Members’ Financial Interests.
The decisions taken by the Government to protect jobs throughout the coronavirus emergency have been bold and decisive—and all within sound public finances. The support has been unprecedented; there are few schemes, even among the world’s most-developed economies, that can compare with the support provided by the Government.
Businesses across Dewsbury, Mirfield, Kirkburton and Denby Dale have shown extraordinary resilience in the face of this pandemic by innovating and diversifying into other business sectors. For instance, in Dewsbury, the Rugby Clothing Company, which normally makes high-quality rugby kids, has had great success in manufacturing corporate face coverings and is supplying businesses far and wide. Looking ahead, we need to see more such innovative approaches to the difficulties businesses face. We need to explore ideas outside the economic textbooks. Eat out to help out was not a conventional policy response to the struggles of cafés and restaurants, but it has been an outstanding success up and down the country.
Rob Roberts
I completely echo my hon. Friend’s sentiment about Eat Out to Help Out, which has provided over 30,000 meals in my Delyn constituency. I know that he has a background in furniture manufacturing, and I have some furniture manufacturers in my constituency. Does he have some ideas for things that could help the sector as it continues to recover?
Mark Eastwood
I thank my hon. Friend for that point. As it happens, I am coming on to my background in furniture. My background is in furniture manufacturing. Furniture and bedding have been at the forefront of Dewsbury’s manufacturing resurgence, employing hundreds of people across the constituency. Around 60% of the UK population sleep on something made in Dewsbury. [Laughter.] Interesting fact.
The British Furniture Confederation is soon to launch its “Buy British” campaign, urging consumers to buy the best, buy British and save jobs. This is an excellent campaign, which places a focus on the value of British manufacturing and highlights the importance of retaining these high-quality jobs. Every £1 million spent by consumers buying British furniture could secure an additional 50 manufacturing jobs and many more in retail. I therefore urge manufacturers and retailers, not just in furniture but in all industries, to consider taking up this campaign to get the public into shops, buying British goods and supporting jobs.
Furthermore, with the announcement of major capital projects, the Government could look at widening the scope of public sector contracts to assist British businesses through this period, whether through the supply of furniture, the provision of services or even stationery. That would assist companies such as Shackletons in my constituency, which employs more than 80 people and supplies high-quality furniture to the struggling care home sector. Its products could easily be supplied to the NHS and other social care facilities if the Government were to consider relaxing procurement frameworks. In addition, we could reduce barriers to innovation and look at reducing burdens on employers to encourage job retention. I look forward to seeing bold ideas from the Government to boost businesses, encourage employment and incentivise innovation.
Finally, the message that I would like to put out to the people of this country, and in my constituency is: buy the best, buy British and save jobs.
Saqib Bhatti
I thank the hon. Member for her intervention. If we look at the quantum of the package, it has helped to protect the economy at its most difficult time, and I will come on to that.
As a Conservative, I never thought that we would be in a position where we would pay up to 80% of anybody’s salary—80%—yet the Chancellor stepped up and did what needed to be done, not once but twice. Since then, 9.6 million people have been furloughed and £30.9 billion has been given to over 1.2 million businesses. It was rightly lauded as extraordinary, because extraordinary times need extraordinary measures.
But that was not the only measure. There was the coronavirus business interruption loan scheme, the bounce back loan scheme, the rates relief, the business grants, the self-employed income support scheme, the mortgage holidays, the protection from evictions, rental holidays, tax deferrals, VAT cuts for hospitality and larger grants for the hospitality sector. These are just the ones that I can get in in a few breaths, Madam Deputy Speaker.
Rob Roberts
I thought I would give him a moment to catch his breath after listing all the interventions that we have provided. Does he agree that the Opposition are a bit rich to lecture us on not providing enough support, given all the things that he has just listed?
Saqib Bhatti
I could not agree with my hon. Friend more. I remember that the hon. Member for Ogmore (Chris Elmore) said that we would hear about it at the ballot box, but we have heard the British public’s verdict on the Labour party’s economic policy. We heard it in 2010, 2015 and 2017, and we heard it decisively in 2019. I will never forget the feeling of disbelief and deep disappointment that I had when I first read the note that the right hon. Member for Birmingham, Hodge Hill (Liam Byrne) left in the Treasury when Labour were last in Government, saying that there was no more money left. Thank God we are a far cry away from the recklessness that we saw under the last Labour Government, and that is why I will be opposing the motion.
Stamp Duty Land Tax (Temporary Relief) Bill
Rob Roberts ExcerptsMonday 13th July 2020
(4 years, 3 months ago)
Commons ChamberRead Full debate Stamp Duty Land Tax (Temporary Relief) Act 2020 View all Stamp Duty Land Tax (Temporary Relief) Act 2020 Debates Read Hansard Text Read Debate Ministerial Extracts Amendment Paper: Committee of the whole House Amendments as at 13 July 2020 - (13 Jul 2020)
Rob Roberts (Delyn) (Con)
I am confused as to how the hon. Gentleman draws the conclusion that somebody will be worse off from paying exactly the same as they otherwise would have done. The hon. Member for Liverpool, Walton (Dan Carden) said exactly the same thing—that first-time buyers will lose out. They will not lose out. They were exempt before, and they will still be exempt. It is poor form on his part to mislead first-time buyers into thinking that they are being penalised in some way by this measure.
Madam Deputy Speaker (Dame Rosie Winterton)
I hope the hon. Gentleman is not accusing the hon. Member for Warwick and Leamington (Matt Western) of misleading anyone.
Matt Western
Thank you for your help in clarifying that point, Madam Deputy Speaker. What is happening is very simple. The hon. Gentleman is suggesting that there is an advantage that there is certainly not, because what will happen is that those who would have gained the benefit—in other words, those who are below the threshold—will see others who can afford a higher cost pay more, therefore possibly precluding them from purchasing a property. As a result of this measure, I think we will see higher house prices and higher rents. At a time when there is pressure on wages and probably a significant spike in unemployment coming up, that is a real concern. I also think that the benefits will be felt more in the south-east and London.
There is a huge squeeze on the availability of mortgages right now. I am not sure to what extent the hon. Member for Delyn (Rob Roberts) is familiar with it. I am not hugely familiar with it—I will be open and honest—but my understanding is that the availability of mortgages is under pressure. First-time buyers are struggling to get hold of mortgages, for which they need a much higher deposit than they would have needed three or six months ago. They are now looking for a deposit of 15%. Back in my day, it was possible to get a mortgage with a deposit of a couple of per cent., or maybe even 0%, such was the need to get the housing market going at the beginning of the 90s.
The handling of this has not helped. Clearly there was a need for sectoral schemes and stimulus to help the wider economy, but this seems to have been rushed out. These advantages for second home owners, buy-to-let landlords and so on seem to have been slipped out after the Chancellor’s announcement. I do not think that this will be to the benefit of first-time buyers, and that is a massive disadvantage of the whole scheme. It will potentially worsen the housing crisis, and I echo the point made by the hon. Member for South Thanet: there is a real risk of a cliff edge come the end of March next year.
I would like to see these moneys being redirected into social rented council houses, because we desperately need to address this crisis. That would have been terrific. I am not sure that the public will really welcome this, because it is a short-term benefit, and there are much wider issues in the economy that need to be addressed. I urge the Government to rethink this strategy and bring forward measures for the wider economy—particularly, as I keep saying, for the manufacturing sector.
Rob Roberts (Delyn) (Con)
It is a pleasure to follow my hon. Friend the Member for Keighley (Robbie Moore).
As we continue to move forward out of lockdown, it is important that we support and revitalise the housing market, helping those getting on or moving up the property ladder, as well as protecting jobs within the sector and the supply chain. I support this Bill to cut stamp duty temporarily for many current and future homebuyers. This will hugely benefit those looking to access the housing market as nearly 90% of people, as we have heard, will pay no stamp duty at all as a result of this change.
Yet in my Delyn constituency, we have a sense of unfairness. Just eight miles across the border into Wales, we will not be able to benefit from the changes in this Bill simply due to our location. In Wales, land transaction tax, the Welsh equivalent of stamp duty, penalises first-time buyers already. It incentivises young people to move out of Delyn and similar constituencies down the England-Wales border to places that are more accessible and more affordable, taking their economic activity with them to the detriment of our Welsh towns and communities.
Rob Roberts
My hon. Friend makes an excellent point. The hon. Member for Liverpool, Walton (Dan Carden) mentioned that the Chancellor had a cunning plan. Well, Labour’s very own Baldrick must be running things in Wales, where live property viewings can take place only after the property has been unoccupied for 72 hours, though quite how that works in getting properties moving is beyond me.
Buyers are already being encouraged to purchase property in England rather than in Wales, and I would urge the Welsh Government to follow the lead of my right hon. Friend the Chancellor in supporting the housing market and matching the stamp duty measures announced in this place. This will not only boost the local economy and housing market, but make it easier and more affordable for first-time buyers in Wales. As always, if this policy is adopted by our friends in Cardiff Bay, it will probably be two weeks later, it will probably be called something slightly different. Instead of changing the stamp duty threshold to £500,000, it will be labelled “amending the land transaction tax lower limit to half a million pounds”—anything to give the shockingly poor Labour Administration in Cardiff the ability to say that it is their policy and they can determine the wording.
I would say to the First Minister that if he does his regular job of prevaricating on this measure, a massive volume of property transactions will be lost and we will drift even further into more of the economic difficulty that Labour has presided over in Wales for two decades. He should stop sitting on his hands, and do something for the people of Wales to ensure that we can move forward with as minimal a loss of economic activity as possible. I look forward to the Senedd elections in May next year, when the people of Wales can rightly get rid of this appalling Labour Government.
Moving on, data from HomeOwners Alliance suggest that the average time it takes to sell a property, from listing to completion, is about six months. I appeal to my right hon. Friend the Minister to consider extending this scheme from nine months to 12 to 15 months, because restricting it to nine months runs the risk of a measure designed to be a stimulus primarily just providing a windfall to people who are already engaged in the market, rather than attracting more properties into it. An extended stamp duty holiday past next March will also aid the long-term recovery of the housing market, preventing a boom scenario that could slow down when the scheme finishes. As the Government are rightly serious about supporting both buyers and jobs within the whole housing industry, increasing the term to 12 to 15 months will allow construction companies and house builders to make informed and strategic decisions about how to move forward beyond that period, and will in turn assist the long-term economic recovery of the market.
That being said, I welcome the changes the Bill introduces. I believe that temporarily scrapping stamp duty on all homes under £500,000 is the right thing to do to boost confidence and encourage growth in the housing market, and I again urge the Welsh Government to take forward similar plans as soon as possible.
Covid-19: Economic Package
Rob Roberts Excerpts(4 years, 5 months ago)
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Rishi Sunak
As I have just said, and have said previously, this is a UK scheme. It applies equally to all regions, nations and sectors of the country. It is generous in its length, extending all the way to October, and I believe that provides sufficient runway and support to businesses wherever they might be in this country. But I thank the right hon. Lady for her warm wishes.
Rob Roberts (Delyn) (Con)
I commend my right hon. Friend and the Treasury team for bringing together the economic support package that has given businesses and families across the UK the support they need during the lockdown. Obviously, it is one of the most comprehensive packages in the world and my constituents are pleased that when they needed help this United Kingdom Government had their back. Can my right hon. Friend assure me that the work is in progress so that businesses, particularly in the tourism sector, are prepared for when the lockdown restrictions are eased, as it is a significant element of Delyn’s economy?
Rishi Sunak
May I start by thanking my hon. Friend for everything he is doing not just for his constituents but in providing advice to me, using his own experience about how best we can support the economy and businesses at this time? I very much appreciate all the time and effort he has put into that and hopefully he can see the fruit of some of that work in the announcements that have been made. I can also give him that assurance on the tourism sector. That work is under way. The report talked about setting up a taskforce. I look forward to hearing his thoughts. I know how important it is to his constituency and others. The Culture Secretary and I look forward to engaging with him, creating a plan to make sure as many businesses as possible can safely open as soon as they can.
Tax Avoidance and Evasion
Rob Roberts Excerpts(4 years, 8 months ago)
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Rob Roberts (Delyn) (Con)
Thank you, Madam Deputy Speaker, for calling me in this Opposition day debate, which, judging by the Benches opposite, Opposition Members did not know about at all.
There has been a lot of discussion, Madam Deputy Speaker, about large corporate entities and taxation so I will talk a little bit about taxation from a personal point of view, because it is often the case that lots of smaller transactions from a large number of individuals can also make a significant difference. In my previous life as a financial planner, I very much did things along the lines of capital belonging in the hands of the people to give them the power to shape and determine their own futures. Our taxation system is something of a Frankenstein’s monster. The hon. Member for Glasgow Central (Alison Thewliss) was right earlier when she said that we tinker around the edges. I agree that we tinker around the edges in many ways. The wholesale, scrapping and rewriting of the entire system would be absolutely preferable, but it is a massive undertaking that no Government would ever do, so unfortunately we will always be restricted to tinkering around the edges.
That tinkering inevitably leads to the wonderful law of unintended consequences, loopholes and other things that appear, but despite all that, as a financial planner I always used to say to people that paying tax was a privilege. In many countries around the world there are people who would be delighted to be able to have their own businesses and to thrive, grow and pay tax, as we do. So it is a privilege, but everyone should pay their fair share, and that word “fair” is thrown around very easily these days. It is a very esoteric concept. It is a little bit in the mind of the beholder.
There has to be a point—a sweet spot—where there is no incentive to avoid taxation, and we saw it perfectly when we reduced the highest rate of tax from 50% down to 45%. The amount of revenue generated actually increased and there has to be a point where the incentive is gone. Fairness is not a concept that is available only to the Opposition Benches. What about the concept of fairness to the individual who went to university, stayed on for a master’s degree, started off at the bottom of an organisation, works 80 to 100 hours a week, sacrificing time with their families and lots of other social benefits so as to carve out a successful career, climbed the ladder and got to high levels of income and found that the taxation system was punitive and a punishment on success? It is not hard to see why the highest earners take steps to mitigate their tax levels.
As a financial planner, I always ensured that all the legitimate tax breaks were used—the simple things such as the ISA allowance, pensions allowances or capital gains tax allowances. Then, for people who have particular approaches to risk, there are vehicles such as enterprise investment schemes and venture capital trusts. That word “allowance” crops up all over the place in our tax code. There are legitimate ways to mitigate tax. We encourage it. Governments of all colours and descriptions have encouraged legitimate tax mitigation for decades, and it is important that we realise that the vast majority of the public engage in legitimate tax avoidance every day through pensions and ISA investments. We need to change the language we use a little bit to ensure that avoidance and evasion are treated and understood very, very differently.
Let us be clear that every £1 of evaded tax is £1 less for our vital public services. Everybody across this House and, more important, in the country, recognises that clearly. This Government are tackling the issues, and for Opposition parties to decry those efforts is just disingenuous. During the shadow Chancellor’s opening remarks, Opposition Members yelled, “Ten years, 10 years”, when we talked about our measures to fix the economy. Damn right it took 10 years. How long was it supposed to take? What would be reasonable from where we were in 2010? The tax gap was 7.3% previously, now it is 5.6%. There was an annual deficit of £153 billion; it is now an absolute shadow of that.
The Labour party complaining about 10 years is like people going around setting fires and then complaining that the fire service do not put them out quickly enough. It is nonsense, especially when, in the past two years, Labour Members have voted against various measures that would have helped tackle tax avoidance, evasion and non-compliance. If you will pardon the pun, Madam Deputy Speaker, the hypocrisy is a bit rich.
Oral Answers to Questions
Rob Roberts Excerpts(4 years, 10 months ago)
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Rishi Sunak
I fully agree with the hon. Member’s comments. That is why we are funding violence reduction units, which start to build partnership working at a local level between social services, police and local authorities. The Queen’s Speech contained a Bill that will further strengthen that duty on local authorities, police and other partners to work together to deliver the benefits that he rightly observed.
Rob Roberts (Delyn) (Con)
The Chancellor of the Exchequer (Sajid Javid)
We are delivering on our five-year NHS settlement confirmed in January 2019, which is the largest cash injection in our public services since the second world war and will provide the NHS with an additional £33.9 billion more per year by 2023-24 compared with 2018-19. The settlement will shortly be enshrined in law.
Rob Roberts
Flint Community Hospital in my constituency of Delyn was closed by the Betsi Cadwaladr health board back in 2013, with the loss of a minor injuries unit and several important community beds where the elderly especially were able to recover from surgery close to their friends and family. Despite this being devolved to the Welsh Government, what hope can my right hon. Friend give to the people of Delyn and Flint that funds will be available so that such vital services in the community can be resurrected?
Sajid Javid
My hon. Friend will know that the NHS is this Government’s No. 1 spending priority. I just wish that it was the same for the Labour Government in Wales, who have let down Welsh people time and again, especially when it comes to healthcare. In the recent spending round in September, the Welsh Government received an additional £600 million, much of which can be put to good use in the NHS system in Wales. I hope that they are wise enough to help the Welsh people and, in particular, to look again at resurrecting Flint Community Hospital.