Economic Growth: East of England

Sandy Martin Excerpts

Wednesday 10th October 2018 Westminster Hall

[Sandy Martin (Ipswich) (Lab)]

We all welcome the new trains on the region’s railways, but they will clearly not be able to perform as well as they might unless we also get infrastructure investment in the track itself. Furthermore, does the right hon. Lady agree that one of the things holding back parts of our region is the extraordinary and anomalous cost of our rail tickets? Some parts of the region are some of the most expensive places anywhere in the country to get to by train per mile.

[Priti Patel]

The hon. Gentleman is absolutely right. Our constituents as rail passengers are paying some of the highest fares in the country, which also means that we are cross-subsidising other railway networks elsewhere, without reaping money that should be coming back into our own rail lines. That is exactly the purpose of the taskforce—to argue for that infrastructure investment.

Greater investment in digital and broadband has been touched on, so I will not cover that, but it is essential, in particular for connectivity in the rural economy. Instead, I shall end with some comments on fiscal measures, because the debate has come about as a pre-Budget discussion. We want to invest in key infrastructure to boost productivity and jobs, but the Government should also look at fiscal measures to support the economy not only in our region but throughout the economy. That means cutting the tax burden to unleash more job creation and to give entrepreneurs and investors more scope to invest.

More than 80% of my constituents work for SMEs. A worrying trend is politicians constantly looking to introduce tax rises to solve the country’s problems. The Government need to use the tax system to encourage and nurture the entrepreneurial spirit, instead of punishing entrepreneurs. We need to be much more dynamic about addressing that issue, as well as looking at business rate reform and support for our high streets and town centres—frankly, we are seeing their death. In a county that has two airports, we need to look at slashing air passenger duty; it is a cost that affects passengers as well as businesses. We could develop many more flight routes as we trade our way around the world post-Brexit.

Fundamentally, when we get to the Budget and the comprehensive spending review, we must review the tax burden on businesses and do everything possible to ensure that we support enterprise and growth across the east of England.