Budget Resolutions

Rupert Lowe Excerpts

Wednesday 6th November 2024 Commons Chamber

[Rupert Lowe (Great Yarmouth) (Reform)]

This is a Budget of the public sector, by the public sector, for the public sector. Neither the Chancellor nor the Prime Minister was able to define a “working person” with any clarity in various confused and stumbling attempts. Does the definition include the entrepreneurs who take risks, invest money, employ “working” people, work hard themselves, and collect VAT, national insurance and pension contributions—which they gift-wrap and pay to the state—as well as paying corporation tax on any residual profits? If not, why not?

However, we can now see that that is irrelevant, as the massive increase in employers’ national insurance contributions and the equally venal cut in the payment threshold from £9,000 to £5,000 is a huge tax on employment in the private sector, which, unlike the state, cannot print money in taxpayers’ collective name to cover any budget shortfall. This will mean that the private sector will employ fewer people by design, and will reduce pay rises, increase prices, invest less, and pay less corporation tax. It is a disaster for a Government to hand out taxpayers’ money like confetti, without proper checks and balances, taking hard-working taxpayers for fools. This Budget is only possible because quantitative easing has allowed the state to grow without justification, nurturing the culture of central planning, misguided net zero obsession, and all the elements of collectivism that took a generation to destroy the Soviet Union. The Chancellor has landed a knockout punch on private sector entrepreneurs.

It is not only small businesses that suffer. The farming industry, already in a parlous state, has been further undermined by revised death tax amendments. If a rethink of this lunacy is not forthcoming, the continuity and long-term investment required to provide this over-populated island with a degree of food security will be destroyed by forced sales of land on death. Farming is a tough, vocational career, and the average age of farmers is now over 60. The same is true for family businesses, which are also set to suffer disruptive death taxes. The backbone of Britain’s nation of shopkeepers is being broken by socialist design. As Winston Churchill presciently observed,

“I contend that for a nation to try to tax itself into prosperity is like a man standing in a bucket and trying to lift himself up by the handle.”