Public Health Restrictions: Government Economic Support Debate

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Department: HM Treasury

Public Health Restrictions: Government Economic Support

Sharon Hodgson Excerpts
Tuesday 13th October 2020

(3 years, 6 months ago)

Commons Chamber
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Steve Barclay Portrait Steve Barclay
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I think we all agree in this House that we want to do all we can to get the virus down and get businesses open. We do not want businesses to be in tier 2 or indeed tier 3. We want to support them so that they are able to function as much as possible.

The timing of moving between different tiers is shaped by a range of factors—the number of positive tests, the amount of testing that is being done, the views of the local director of public health and the views of local leaders such as Andy Street. We all want to ensure that as many businesses as possible remain in tier 1.

Sharon Hodgson Portrait Mrs Sharon Hodgson (Washington and Sunderland West) (Lab) [V]
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Data out today shows that over 1,700 more people in my constituency were unemployed in August 2020 than in August 2019, and that is before the existing furlough scheme ends. With unemployment in the north- east already rocketing to 6.6%, the highest of any UK region, why is the Chancellor allowing damage not seen since Thatcher in the 1980s to befall my region?

Steve Barclay Portrait Steve Barclay
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The hon. Lady is usually one of the most constructive Members. To suggest that a pandemic that all countries are grappling with is down to some sort of ideological approach by the Government is not accurate. The Government have put in place a furlough scheme for eight months that stands very good comparison with those of other countries. We have more than £200 billion of measures to support businesses, including in her constituency, and that is not only to help retain people in jobs. From a peak of 8.9 million on furlough, more than half of those remained in employment through the job support scheme. We are ensuring that more businesses are able to bring their staff back. But at the same time we are being honest. Some businesses will not be able to survive. That is why we put £2 billion into the kickstart scheme. It is why we are tripling traineeships. It is why we put funding into apprenticeships, with a £2,000 sign-on. It is why we are bringing forward infra- structure investment. It is to create those jobs for her constituents.