Oral Answers to Questions Debate

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Department: HM Treasury
Tuesday 11th December 2018

(5 years, 11 months ago)

Commons Chamber
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Derek Thomas Portrait Derek Thomas (St Ives) (Con)
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1. If he will take steps to increase funding for sporting infrastructure in Cornwall.

Robert Jenrick Portrait The Exchequer Secretary to the Treasury (Robert Jenrick)
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The Government’s investment in sport is delivered through Sport England, which has invested £9 million in sport and physical activity in Cornwall since 2013, including £3 million for sports facilities.

Derek Thomas Portrait Derek Thomas
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Dare I say, Mr Speaker, that your tie today is a fine one?

The Minister will be aware that I have been working with stakeholders in Cornwall for 10 years now to deliver a stadium for Cornwall. A stadium is not only about sport, although we should celebrate Cornish sport, it is also about the health and wellbeing of children and adults right across the county of Cornwall. We have been working hard and we are nearly there with the money; what more can the Treasury do to deliver on this fantastic opportunity?

Robert Jenrick Portrait Robert Jenrick
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I know that my hon. Friend has campaigned for a new stadium for Cornwall since even before he was elected. At his instigation, I met the Cornwall Council officer responsible for the project last week. With the Department for Digital, Culture, Media and Sport, we will continue to work closely with partners in Cornwall and Sport England to seek a means to bring this exciting project to a successful conclusion. We appreciate that, as the most remote team on the mainland, the Cornish Pirates deserve a fitting home for the future.

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Robert Jenrick Portrait Robert Jenrick
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That was very tenuous. Once a new stadium has been built in Truro, perhaps people will not need to go to Plymouth to support Argyle. We are supporting grassroots sports in several ways—for example, the soft drinks industry levy has ensured that more than £500 million of additional funding has gone into school sport and into the health and wellbeing schemes that are delivered, along with breakfast clubs, in our primary schools.

Maria Caulfield Portrait Maria Caulfield (Lewes) (Con)
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2. What fiscal steps he is taking to support the high street.

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Lord Swire Portrait Sir Hugo Swire (East Devon) (Con)
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11. What recent discussions he has had with the airline industry on air passenger duty on UK domestic flights.

Robert Jenrick Portrait The Exchequer Secretary to the Treasury (Robert Jenrick)
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The Government meet regularly with the airline industry to discuss a range of issues, including the future of air passenger duty and the domestic aviation market. I met a number of UK-based airlines earlier in autumn prior to the Budget.

Lord Swire Portrait Sir Hugo Swire
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I make no apologies for continuing to lobby Treasury Ministers on the iniquity of air passenger duty and the discriminatory application of it to Flybe, based in my constituency at Exeter airport, which is the UK’s largest domestic carrier. Will the Treasury look again at Flybe and its particular set of circumstances?

Robert Jenrick Portrait Robert Jenrick
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My right hon. Friend is nothing if not persistent, but we are not able to vary air passenger duty under EU state aid rules for different regions of the United Kingdom, including the south-west. That will change, or may, depending on the final state of things once we have left the European Union, but we have taken action in government: we have frozen short-haul rates for eight years in a row and exempted children going on family holidays, including to the south-west.

Jim Shannon Portrait Jim Shannon (Strangford) (DUP)
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I thank the Minister for his response. He is well aware of the issue for Northern Ireland—the disadvantage that we have and the advantage that the Republic of Ireland has. Dublin airport has grown tremendously over the last period of time, so has he had any opportunity to speak to those in charge of Belfast International airport or Belfast City airport to gauge their opinion on how we can grow the economy?

Robert Jenrick Portrait Robert Jenrick
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My right hon. Friend the Financial Secretary visited Northern Ireland earlier in the year and met representatives of the aviation sector. We announced at the Budget that we will be proceeding with a technical working group to look into and analyse further the remaining issues with respect to the hon. Gentleman’s proposal to devolve air passenger duty in Northern Ireland.

Julie Elliott Portrait Julie Elliott (Sunderland Central) (Lab)
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13. What assessment he has made of the fiscal effect of the EU withdrawal agreement on the manufacturing sector.

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Jack Brereton Portrait Jack Brereton (Stoke-on-Trent South) (Con)
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15. What steps he is taking to support businesses and entrepreneurs.

Robert Jenrick Portrait The Exchequer Secretary to the Treasury (Robert Jenrick)
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This Government are determined to make the UK the best place in the world to start a business. We are keeping taxes low and helping businesses and entrepreneurs to access the support that they need. We have cut corporation tax to the lowest rate in the G20 and made changes to business rates that will be worth over £13 billion by 2023.

Jack Brereton Portrait Jack Brereton
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I thank the Minister for that response. Walker’s Nonsuch, a family business in my constituency since 1894 and England’s finest toffee producer, enthusiastically welcomed the increased annual investment allowance. Does he agree that it is essential to continue to reduce tax on companies so that they invest in new equipment, increase productivity and create more jobs?

Robert Jenrick Portrait Robert Jenrick
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My hon. Friend is absolutely right. While the Labour party wants to increase taxes on business, including on small businesses, we are cutting them, and the increased annual investment allowance will enable businesses such as the one in his constituency to invest in plant, machinery and new technology to drive it to future success.

Rachael Maskell Portrait Rachael Maskell (York Central) (Lab/Co-op)
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The broken business rates system is having a seriously detrimental impact on our high streets, and that is seen right across York. Will the Minister meet me and York Retail Forum to discuss the impact it is having on York and, in particular, the proposals it wants to see on turnover tax?

Robert Jenrick Portrait Robert Jenrick
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I would be happy to meet the hon. Lady. We announced in the Budget that 90% of smaller retailers, including many in her constituency, would see a 30% reduction in their business rates, and the future high streets fund is designed exactly for communities such as the one she represents.

Robert Courts Portrait Robert Courts (Witney) (Con)
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Does my hon. Friend agree that keeping the VAT threshold at £85,000 demonstrates that the Government are firmly on the side of West Oxfordshire’s small businesses?

Robert Jenrick Portrait Robert Jenrick
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My hon. Friend is absolutely right. The VAT threshold in this country is high by international standards. We have retained it at that level to support small businesses, which this Government will always champion.

James Frith Portrait James Frith (Bury North) (Lab)
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Small businesses and subcontractors are still carrying the can for the collapse of Carillion. In the light of Interserve’s latest trouble, can the Minister update us on his Department’s liaison with it as a client, and say what level of risk the taxpayer and small businesses have been put to by Interserve’s latest attempts to stay afloat by refinancing its debt for equity?

Robert Jenrick Portrait Robert Jenrick
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The hon. Gentleman raises an important question. My right hon. Friend the Minister for the Cabinet Office is working closely on this matter, as he did with respect to Carillion. We want a wider base of companies supplying the Government and the public sector, to ensure that we have a resilient public sector in the eventuality that such situations happen again.

Liz McInnes Portrait Liz McInnes (Heywood and Middleton) (Lab)
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17. What discussions he has had with Cabinet colleagues on the adequacy of funding allocated to local authorities for children’s services.