Oral Answers to Questions

Simon Baynes Excerpts

Tuesday 19th March 2024 Commons Chamber

[Nigel Huddleston]

I thank the hon. Gentleman. It is precisely because of the complexities involved that we will have the consultation. I am sure that his views and those of his constituents will be warmly welcomed in that.

[Simon Baynes (Clwyd South) (Con)]

8. What fiscal steps his Department is taking to help increase the level of business investment.

[The Exchequer Secretary to the Treasury (Gareth Davies)]

At the autumn statement in 2023, the Chancellor set out ambitious growth packages designed to boost business investment, including making full expensing permanent and a tax cut to companies of over £10 billion a year to ensure we have one of the most generous capital allowances in the world. With further growth-enhancing measures set out in spring Budget 2024, the Office for Budget Responsibility estimates that Government policy announced at the past three fiscal events is expected to increase the size of the economy by 0.7% by 2028-29.

[Simon Baynes]

Like my hon. Friend the Member for St Ives (Derek Thomas), I was delighted to see the increase in the VAT threshold from £85,000 to £90,000 in the Budget. That will help small businesses invest for the future, such as the Two Doves café and gift shop in Overton, which is popular with people from both Clwyd South and North Shropshire. However, given the vital importance to small businesses, will my hon. Friend prioritise increasing the VAT threshold again in the next fiscal intervention?

[Gareth Davies]

My hon. Friend comes to this House with significant business experience, so when he talks, we certainly listen, and I am delighted to hear that he was pleased with the VAT threshold increase. I can tell him that, in addition to what I said to my hon. Friend the Member for St Ives (Derek Thomas) about the £90,000 threshold, this level is higher than that of any EU member state and is the joint highest in the OECD. Many of his businesses will be among the 28,000 that will benefit from the increase, so we have no plans at this stage to change it.

Oral Answers to Questions

Simon Baynes Excerpts

Tuesday 5th September 2023 Commons Chamber

[David Duguid (Banff and Buchan) (Con)]

7. What progress he has made on the introduction of investment zones.

[Simon Baynes (Clwyd South) (Con)]

15. What progress he has made on the introduction of investment zones.

[The Chancellor of the Exchequer (Jeremy Hunt)]

Investment zones are part of our industrial strategy to make sure that the benefits of our national strengths in our five growth priority sectors are spread throughout the UK.

[Jeremy Hunt]

I know that the Acorn carbon capture, usage and storage project is based at St Fergus in my hon. Friend’s patch, and that Banff and Buchan is within the north-east of Scotland region, which is one of two eligible areas and has been a long-standing global centre for excellence in clean energy, so I wish him every success as those discussions with the Scottish Government continue.

[Simon Baynes]

Does the Chancellor agree that my constituency of Clwyd South, that of my hon. Friend the Member for Wrexham (Sarah Atherton) and the rest of north-east Wales represent one of the best candidates for a new investment zone? Will he also consider making this cross-border, given our very close economic, commercial and cultural ties with the north-west of England?

[Jeremy Hunt]

I know there are some great businesses in my hon. Friend’s constituency—I much enjoyed meeting Robin and Helen Jones of Jones’ Village Bakery at a recent reception in No. 10, and I know they are going from strength to strength. I holidayed in Clwyd last year, and from the top of Moel Famau I saw a very impressive offshore wind farm. I completely agree that there is enormous potential in Clwyd for clean energy and, as discussions continue about investment zones, I wish him every success as well.

Cost of Living Increases

Simon Baynes Excerpts

Tuesday 25th April 2023 Commons Chamber

[Tulip Siddiq]

I thank the hon. Member for her intervention. She is absolutely right. This Conservative fantasy just does not match up to the reality on the ground.

Instead of putting forward a comprehensive plan for growth, successive Conservative Chancellors have made hard-working families pay for their economic failure. The Conservatives have become the party of tax rises for the hard-working majority. Since 2019, the British people have been hit with 24 tax rises. It is the highest tax burden in 70 years. Earlier this month, we saw council tax bills rise above £2,000—some Members might think that is funny; it is not funny for my constituents—for the first time, as the Chancellor effectively forced councils to put up rates by reducing their funding. That saw families who were already struggling hit with an additional average tax hike of 5.1%—[Interruption.] If Conservative Members have something to say, instead of chuntering from a sedentary position, they should intervene. They should not shout from the front.

[Simon Baynes (Clwyd South) (Con)]

Will the hon. Lady give way?

[Tulip Siddiq]

With pleasure.

[Simon Baynes]

Earlier, the hon. Lady mentioned fair work. Does she agree that the rise in unemployment under the last Labour Government from 2.1 million to 2.5 million, and the 45% increase in youth unemployment, is far removed from fair work?

[Tulip Siddiq]

May I remind the hon. Gentleman that the last Labour Government introduced the first minimum wage, slashed child poverty and slashed pensioner poverty because we grew the economy—something this Government have failed to do?

--- Later in debate ---

[Simon Baynes (Clwyd South) (Con)]

I take this issue very seriously. Clearly, families across the country are feeling the pinch at the moment. We in this House are all keen to address the issue in a constructive and sympathetic manner.

I am delighted that 9,100 families in Clwyd South will receive £301 from the Government as the latest cost of living payments begin to be sent out today. That cost of living payment is being made to more than 8 million families on means-tested benefits across the UK. It is the first of three cost of living payments that will, together, total £900. Some families will receive £1,350 of support. Those payments will be accompanied by a £150 payment for people on disability benefits, and a £300 payment for pensioners at the end of 2023, on top of winter fuel payments.

That is part of a much larger programme by the Government to support vulnerable people in these difficult times. Indeed, the cost of living package to help the most vulnerable has been worth £94 billion. A key part of this is addressing inflation. As the Chief Secretary to the Treasury said, we expect inflation to halve by the end of this year, so the issues that we have at the moment and to which the hon. Member for Hampstead and Kilburn (Tulip Siddiq) referred will mitigate themselves, and we will see inflation come down later in the year.

I am proud to represent a Government who, in these difficult times, have gone out of their way to support people, as my hon. Friend the Member for Poole (Sir Robert Syms) said in his excellent speech. I will not go back over the pandemic and the invasion of Ukraine, but as he said, those issues put exceptional pressure on the UK economy, and Labour Members need to take that on board and at least acknowledge it in their remarks, which, so far, they seem not to have done.

We have to be realistic about what we can do to help people in a time of crisis. I am pleased that we are extending the energy price guarantee, at £2,500, for three months from April to July, which will help families to save an average of £160 on their energy bills. The extension means that, thanks to Government support, families will have saved £1,500 on their energy bills since October 2022. I strongly support a number of other measures: the uprating of benefits and the state pension in line with inflation protects the most vulnerable households; freezing fuel duty for a 13th consecutive year saves the average driver about £200; extending our household support fund to more than £2 billion ensures that local authorities can support the most vulnerable in their communities; raising the national living wage by 9.7% increases wages by an average of £1,600 for 2 million low-paid workers. Those measures will support the most vulnerable in our society.

I intervened earlier on the Labour Government’s record on unemployment between 1997 and 2010. During that period, the number of unemployed people increased from 2.1 million to 2.5 million, and there was a 45% increase in youth unemployment. As we have seen in a number of comments—

[Madam Deputy Speaker (Dame Rosie Winterton)]

Order. I call Alex Davies-Jones.

Finance Bill

Simon Baynes Excerpts

2nd reading
Monday 28th November 2022 Commons Chamber

[Simon Baynes (Clwyd South) (Con)]

The Government have made some tough but fair decisions to restore economic stability and tackle inflation. To achieve long-term, sustainable growth, we need to grip inflation, balance the books and get debt falling as a share of GDP. But even with the changes outlined in the autumn statement, which will take effect through this Finance Bill, the UK tax system remains competitive, with a lower tax burden than Germany’s, France’s and Italy’s and the lowest headline rate of corporation tax in the G7. Of course, the UK also has the lowest unemployment rate for almost 50 years.

The hon. Member for Ealing North (James Murray) referred to the Office for Budget Responsibility, which expects the package to reduce peak inflation and unemployment. It also notes that GDP will be 1% higher due to these measures. The Bank of England expects the package to help tackle inflation and keep interest rates lower for borrowers and mortgage holders. All that is vital to ensure sustained public service support and investment in the years ahead, and it is on those two issues that I would like to focus my comments briefly this afternoon.

On public services, the Chancellor’s proposals will increase taxpayer funding for the NHS and schools by an extra £11 billion over the next two years. Looking in more detail, the additional £7.7 billion for health and social care in the next two years means that, despite the challenging economic circumstances, the Government are providing £2 billion to £3 billion in additional funding for the NHS in each of the next two years to bring down ambulance waiting times, tackle the covid backlog and improve access to GPs. The Chancellor is also providing £2.8 billion next year and £4.7 billion the year after for adult social care, which will double the number of people leaving hospitals on time and into care by 2024, addressing unmet needs and boosting low pay in the sector. I call that a compassionate series of policies.

I am pleased that the chief executive of NHS England has said that the extra funding that the Chancellor is making available for the NHS is

“sufficient funding for the NHS to fulfil its key priorities”

and

“shows the government has been serious about its commitment to prioritise the NHS.”

The £4 billion in additional funding for schools will increase the schools budget by £2 billion this year and £2 billion next year. That will mean that the Government have fulfilled their pledge to restore per-pupil funding to record levels, with real-terms per-pupil funding rising at least to 2010 levels, which is more than Labour has pledged to give schools.

The Chancellor’s proposals maintain public capital investment at record levels, delivering more than £600 billion of investment over the next five years. Contrary to the remarks by the hon. Member for Leicester East (Claudia Webbe), the Government remain committed to key national infrastructure projects, such as high-speed rail, Northern Powerhouse Rail and Sizewell C. I am pleased that the £1.7 billion levelling-up fund is protected, particularly as I have seen in my own constituency of Clwyd South the unfolding benefits of our successful £13.3 million levelling-up fund bid; it is benefiting numerous projects along the Dee valley.

The Finance Bill also ensures that research and development funding is protected and reformed. It reconfirms the Government’s ambitions on research and innovation by recommitting to increasing publicly funded research and development to £20 billion by 2024-25.

[Anna Firth (Southend West) (Con)]

Does my hon. Friend agree that every pound invested in the private sector in research and development returns 25% back every year forever, and that every pound spent by the Government on research and development is met by a 20% increase in research and development in the private sector? Does he agree that this is a down payment on high-paid jobs and growth for the future?

[Simon Baynes]

I could not agree more with my hon. Friend. Indeed, it goes to the point made by the hon. Member for Warwick and Leamington (Matt Western) about productivity. It is through such investments in research and development and supporting major capital projects that we can drive up productivity over the coming years.

As a Welsh MP, I am particularly keen to strengthen the Union of the United Kingdom, and I welcome the £3.4 billion of additional funding for the devolved nations. There is an extra £1.5 billion for Scotland, £1.2 billion for Wales and £650 million for the Northern Ireland Executive. I am also pleased to see that the Government have announced funding for the feasibility study for the A75 in Scotland, the advanced technology research centre in Wales and a global trade and investment event in Northern Ireland. Making sure that the whole United Kingdom can grow and increase its productivity is a central theme of this Finance Bill and the autumn statement.

In conclusion, the Bill has my full support. It shows that we do not have to choose between a strong economy or good public services—with a Conservative Government, you get both.

Energy (oil and gas) profits levy

Simon Baynes Excerpts

Tuesday 22nd November 2022 Commons Chamber

[Simon Baynes (Clwyd South) (Con)]

The Chancellor and the Prime Minister took the tough decisions necessary in the autumn statement to restore economic stability and tackle inflation. The UK Government understand that inflation makes everyone poorer, which is why it is right that their No. 1 priority is to grip inflation. Like many countries around the world, as has been mentioned many times in this debate, the UK is facing profound economic challenges from the illegal invasion of Ukraine and the covid pandemic.

We spent more than £400 billion supporting 14.5 million jobs during the pandemic. It is right that we start to pay it back now, rather than leaving it for future generations to pay the price. I am very pleased, like many Conservative Members and, I suspect, many Opposition Members, that the Government are standing by the most vulnerable, by uprating benefits in line with inflation and keeping the pensions triple lock. Those decisions are of great importance to my constituents in Clwyd South, as they have said to me in person and in many items of correspondence.

Much as I respect many Opposition Members, particularly the hon. Member for Newport West (Ruth Jones), whom it is a pleasure to follow, they have given us precious little evidence of their alternative policies. My suspicion is that, if they are honest, they probably agree with most of the autumn statement.

A key point in this debate is that Labour’s plans, as they stand, would lead to an annual fiscal black hole of £148 billion, which equates to £5,474 per household. Labour has racked up £160 billion of annual spending commitments and only £11.2 billion of annual revenue increases across a five-year Parliament. I accept that the Opposition are reluctant to set out detailed spending and taxation policies at this stage in the electoral cycle, but it is incumbent on SNP, Labour or Liberal Democrat Members to say what they would do, in clear and evidenced terms, as an alternative to the Government’s policies.

Importantly, this Government’s tough decisions allow us to increase spending on schools and the NHS. We are providing £4 billion of additional funding to schools and £7.7 billion of additional funding to the NHS and social care sector over the next two years.

The hon. Member for Hampstead and Kilburn (Tulip Siddiq) claims that Labour would run everything a lot better, particularly the NHS, and I urge her to look at what is happening in Labour-run Wales. In the Welsh NHS, one in four people is on a waiting list of one type or another, whereas the figure in England is one in eight. I am a Member of Parliament for a north Wales constituency, and it is exceptionally difficult for my constituents to have a health service with one of the lowest levels of performance in the whole UK. If that is the shape of what Labour promises across the UK, it needs to go back to the Welsh Government to say that the Welsh health service should be run a lot better for my constituents and for the people of Wales.

I am also very pleased that defence spending will continue to exceed 2% of GDP, which is critical when we are supplying huge support to the Ukrainian people. I pay tribute to the leaders of my party who, over a number of years, have put the defence of this country, and the support of allies such as Ukraine, front and centre of their policies.

I am also pleased by the Government’s fair approach to taxation, which shields small businesses from tax rises and maintains the lowest headline rate of corporation tax in the G7, after it has risen to 25%. Further reforms to employer national insurance contributions have been announced, but small businesses will be protected from these increases through the small profits rate and employment allowance. Again, that is crucial to my constituency, which has a strong sector of small and medium-sized businesses. I am delighted that the Government are protecting their prospects and all that they provide for their communities in employment and gainful work, as that is also crucial.

Windfall taxes on energy companies have been much discussed, but those have also been extended and increased. That is a crucial part of the autumn statement. It is only fair that companies that have made genuine windfall profits as a result of the war in Ukraine make an additional contribution to pay for the support we have outlined. I think everyone accepts that the energy price guarantee is crucial, and the Government have announced more than £12 billion of additional targeted support to help the most vulnerable households. That is at the heart of this statement and the compassion contained in it. It is right that the Government are continuing to provide this year’s cost of living payments. Next year, we will provide extra one-off payments of £900 for the 8 million households on means-tested benefits, £300 for pensioners, £150 for disability benefit recipients, and through the energy price guarantee the average household will save a further £500, to help with their energy bills.

The difficult but necessary decisions that have been taken elsewhere mean that it is welcome that we are able to protect the pensions triple lock in full and to uprate benefits in line with inflation. Those were two crucial things that many Members from across the whole House were keen to see included in the autumn statement and they have been fully honoured, and that is of critical importance to my constituents and to people across the country. As has been mentioned, it is welcome, including for my constituents, that the Government are increasing the national living wage to provide £1,600 extra per annum to 2 million low-paid workers. From 1 April 2023, the national living wage will increase by 9.7%, to £10.42 an hour for workers aged 23 and over. As a representative of this Government, I am proud of that.

Time is marching on, so let me say finally that of particular importance in my constituency is the continuation of the levelling-up fund, as that is a crucial help to places such as Clwyd South. We were fortunate enough to be granted a £13.3 million levelling-up fund bid, which is going to transform many parts of the Dee valley in my constituency, but I want other constituencies to benefit across the whole UK, whether they are represented by Conservatives or by Opposition Members. This must be protected and I am delighted that the £1.7 billion levelling-up fund has been protected. Round 2 of the bids will continue as planned, and at already announced funding levels. That means that at least £1.7 billion-worth of projects will be announced shortly.

In conclusion, the autumn statement delivers on stability, growth and the protection of public services, in a skilful and compassionate way. Therefore, it commands my full support.

Autumn Statement

Simon Baynes Excerpts

Thursday 17th November 2022 Commons Chamber

[Jeremy Hunt]

As the hon. Lady knows, the economy has been growing faster than France, Germany, Italy and Japan over the last 12 years, so that is not a fair characterisation. What I am able to do, because of the difficult decisions we have taken today, is largely protect the capital budget, which means we can do more to improve infrastructure to Hull and other parts of England. That is the right thing to do. I would just say to her that if we did not take the difficult decisions we are taking today, we would never be able to improve our transport infrastructure. We do not want that, which is why we are taking difficult decisions that her party is not supporting.

[Simon Baynes (Clwyd South) (Con)]

I congratulate the Chancellor on his skilful and compassionate autumn statement. I welcome the additional funding of £1.2 billion for Wales. Can the Chancellor reassure vulnerable residents in my constituency that Government assistance with their very high energy bills will continue as long as it is needed, so we protect them to the very best of our ability?

[Jeremy Hunt]

That is absolutely what we want to do, and that is why today we are announcing that the energy price guarantee will continue, supporting my hon. Friend’s constituents in an average household by about £500 during the course of next year. Going forward, because these are multibillion pound programmes, we need people to work together with the Government to also improve their energy efficiency. The other thing the Business Secretary will announce shortly is a long-term energy independence and energy efficiency plan which, if we implement it, will bring down the average fuel bill by another £500.

The Growth Plan

Simon Baynes Excerpts

Friday 23rd September 2022 Commons Chamber

[Kwasi Kwarteng]

It is not ideology; it is a practical focus on growing the economy, so we have a more prosperous country. That is what Governments should be doing. The socialism of the Opposition parties—I do not know whether the hon. Lady represents that—is not going to work.

[Simon Baynes (Clwyd South) (Con)]

I congratulate my right hon. Friend on his focus on growth in his statement. Will the Government consider a cross-border investment zone in the Welsh borders, covering north-east Wales where my constituency is located and part of north-west England, given the very close economic inter- relationship between the two areas?

[Kwasi Kwarteng]

As I have said to other colleagues, my right hon. Friend the Secretary of State for Levelling Up, Housing and Communities is very much engaging with local councils on where investment zones can be located, but I am very happy to speak to my hon. Friend about the possibilities for locating investment zones in the region he suggests.

Downing Street Parties: Police Investigation

Simon Baynes Excerpts

Tuesday 25th January 2022 Commons Chamber

[Michael Ellis]

No one is proved to have done what the hon. Member alleges.

[Simon Baynes (Clwyd South) (Con)]

It is absolutely right for there to be a full investigation into these matters, just as it was right for the police to investigate the cash for honours scandal under the Blair Government. Can my right hon. and learned Friend assure me that the police will, of course, be given full co-operation on these matters, just as the Cabinet Office investigation has been?

[Michael Ellis]

I can assure my hon. Friend that full co-operation will be accorded to the police as and if they ask for it.

Government Response to Covid-19: Public Inquiry

Simon Baynes Excerpts

Thursday 22nd July 2021 Commons Chamber

[Simon Baynes (Clwyd South) (Con)]

The covid-19 outbreak has been one of the most significant and consequential periods of our lifetimes. It has led to a tragic loss of life in this country and around the world. We salute the fortitude and courage of the British people and the bravery of our NHS and key workers, which means that we have now passed the peak of deaths and hospitalisations.

I am very pleased that this inquiry will have full powers under the Inquiries Act 2005 and will have the ability to compel the production of relevant material and to take oral evidence in public under oath. I support this approach, rather than having a non-statutory inquiry, as it allows statutory safeguards to be put in place and ensures that it is carried out to the highest standard.

I must emphasise, however, that the pandemic is not over. The threat of new, more transmissible covid variants remains, as is only too clear to us all, and the Prime Minister has warned of a likely surge in cases this winter. That is why the right time for an inquiry is spring next year. I understand calls for an inquiry to be held sooner, but this timetable will avoid inadvertently distracting those whom we continue to need this year in the fight against the virus. Furthermore, lessons are being learned all the time by the Government and health authorities during the pandemic, and measures are being implemented accordingly. So we are dealing with an organic, rather than static, response to the crisis.

I fully support the approach of the Committee’s report, which makes it clear that resorting to blaming individuals is not conducive and we should be looking to learn lessons to guide our response to future pandemics and to the ongoing covid-19 pandemic. As other speakers have said this afternoon, this inquiry should be forward looking in its approach. It is, of course, vital to ensure the impartiality of the chair and that the inquiry will have the widest possible consultation and engagement. Having the highest levels of confidentiality is also of particular importance, particularly when we are looking at the personal experiences of people who have suffered as a result of covid-19.

As a Welsh MP, I am particularly interested in how the inquiry interacts with the devolved Administrations, which was touched on by my hon. Friend the Member for Thurrock (Jackie Doyle-Price). We need to ensure that the inquiry can take into account the full scope of the UK response to the pandemic, in my constituency, in the rest of Wales and in the rest of the UK. The report recommends that each of the devolved nations must

“establish its own inquiry. This is because most aspects of the response to the pandemic are devolved matters but doing such also ensures proper attention is granted to each of the nations’ response”.

The problem is that so far the Welsh Government have refused to hold their own inquiry. If the UK Government are prepared to incorporate a thorough assessment of the handling of the pandemic by the Welsh Government and by the other devolved Administrations in their inquiry, as part of a truly UK-wide approach, that would have my support, not least because it would be a welcome recognition of the vital importance of the Union of the UK in fighting covid, particularly in the development and roll-out of the very successful vaccination programme. But this approach must not inadvertently result in the Welsh Government and the other devolved Administrations being less rigorously assessed in the inquiry. With power comes responsibility for all Governments to account fully for their actions in an open and transparent way.

LGBT Conversion Therapy

Simon Baynes Excerpts

Monday 8th March 2021 Westminster Hall

[Simon Baynes (Clwyd South) (Con) [V]]

It is a particular honour to follow that very moving speech by the hon. Member for Livingston (Hannah Bardell). Today I received an email from my constituent, Madeline Dhesi, to thank me for my card wishing her a happy 18th birthday, which she is celebrating today. She asked me to speak today in support of the campaign to ban conversion therapy, particularly as articulated by Stonewall Cymru to both her and me. I am honoured to speak in this debate on Madeline’s behalf and on behalf of many of my other constituents in Clwyd South who have written to me with views similar to those of Madeline.

The speakers who have come before me have articulated with passion, emotion and clarity the barbarity of conversion therapy, which is an alarmingly widespread practice that seeks to erase, repress, cure or change an individual’s sexual orientation and/or gender identity. I hope very much that we can end soon the possibility that conversion therapy can currently legally take place in medical, psychiatric, psychological, religious and cultural communities in the UK.

I am glad that the Prime Minister has taken a clear position and has stated that conversion therapy has no place in a civilised society. Put simply, being gay, lesbian or bisexual is not an illness to be treated or cured. I am deeply concerned by the long-term impacts of this practice on victims, both mentally and physically. There are clear links between conversion therapy and an increased risk of suicide. As my hon. Friend the Member for Carshalton and Wallington (Elliot Colburn) said in his powerful opening speech, the issue has cross-party support, and the call to ban conversion therapy is backed by those in the health, counselling and psychotherapy industry.

Numerous countries have already banned conversion therapy and have taken action to tackle that abhorrent practice. The Government have been clear that such a practice has no place in our society, and that they will take action to prevent these activities from continuing. I know that Ministers are considering all legislative and non-legislative options in order to end conversion therapy practice for good, but I hope that the debate will accelerate the Government’s move to legislate for that ban, and therefore enable us to continue to progress towards a world where everyone can live without shame or fear of their sexuality and whom they love.