Oral Answers to Questions

Simon Kirby Excerpts

Tuesday 28th February 2017 Commons Chamber

[Matt Warman (Boston and Skegness) (Con)]

7. What fiscal steps he is taking to support the development of digital infrastructure.

[The Economic Secretary to the Treasury (Simon Kirby)]

The Government are taking action to give the United Kingdom the world-leading infrastructure that it needs. The Government-led £1.7 billion superfast broadband programme will extend coverage to 95% of UK premises by the end of 2017.

[Matt Warman]

From artificial intelligence to mechanisation, we live in a period of unprecedented technological change, and the Government should foster it in rural and urban areas. Can the Economic Secretary confirm that he will resist the calls of a new generation of Luddites for robots to be taxed?

[Simon Kirby]

I was going to make a joke about the Liberal Democrats, but as there are none in the Chamber I will merely reassure my hon. Friend that the Government have no current plans to introduce a robot tax.

[Helen Goodman (Bishop Auckland) (Lab)]

Current tax rules do not allow companies to set the cost of mathematical research against tax. That is obviously very out of date in an era of data science, and it does not apply to science and engineering. Will Ministers take this as a Budget representation, please?

[Simon Kirby]

We have significantly increased R and D tax credits; and, as a mathematician, I agree with the hon. Lady that maths is always important.

[Suella Fernandes (Fareham) (Con)]

8. What fiscal steps he is taking to support the development of long-term infrastructure.

--- Later in debate ---

[Stephen Timms (East Ham) (Lab)]

15. What options he is discussing with the City of London to secure passporting for UK financial services into the EU.

[The Economic Secretary to the Treasury (Simon Kirby)]

We are ambitious for a deal, and it is clear that it is in the interests of both sides to maintain reciprocal market access. The important thing, however, is the end result, rather than the mechanism.

[Stephen Timms]

A lot of jobs in the UK depend on EU banking passports. For example, US banks can locate subsidiaries in the UK and then trade freely across Europe. In the Minister’s view, what are the prospects for keeping all those jobs in the UK after Brexit?

[Simon Kirby]

We want to ensure that British companies have the maximum freedom to trade and operate within European markets, and financial services are one of the areas in which we will be seeking a bold, ambitious agreement.

[Mr Alan Mak (Havant) (Con)]

As the Minister continues his discussions on passporting, will he ensure that he maintains a dialogue with business associations and trade bodies such as TheCityUK, to ensure that we get the best possible settlement?

[Simon Kirby]

I can reassure my hon. Friend that the Treasury is very much in listening mode. We definitely want the best possible deal and we are clear that it is the end result, rather than the mechanism, that is important.

[Tommy Sheppard (Edinburgh East) (SNP)]

17. Whether his Department has made an assessment of the effect of the depreciation of the pound on levels of disposable income.

[The Economic Secretary to the Treasury (Simon Kirby)]

I am pleased to say that the Government are taking action to support the level of real disposable income per head, which is forecast to be 2.8% higher by 2021 than it was in 2016.

[Tommy Sheppard]

There can be few things more tragic than a Treasury in denial. As sure as night follows day, the collapse of the pound will lead to higher prices, particularly for food and household technology, so when will the Minister’s Department get its head out of the sand and bring forward proposals to boost disposable income, to help people to meet these rising costs?

[Simon Kirby]

Average earnings growth has now outstripped inflation for 27 consecutive months, and the Office for Budget Responsibility has forecast that real disposable income will be 2.8% higher in 2021 than it was in 2016.

[Mr Peter Bone (Wellingborough) (Con)]

Recent Office for National Statistics figures show that exports have grown and imports have fallen. Is that not good for jobs, the economy, and employment?

[Simon Kirby]

Yes, it is good for jobs, the economy and, indeed, the Scottish whisky industry.

[Lucy Powell (Manchester Central) (Lab/Co-op)]

T1. If he will make a statement on his departmental responsibilities.

--- Later in debate ---

[Roger Mullin (Kirkcaldy and Cowdenbeath) (SNP)]

T7. The systemic maltreatment of businesses, as exemplified by the Royal Bank of Scotland’s dash for cash, requires action. Does the Chancellor accept the case for imposing a duty of care on the banks, particularly in their dealings with small and medium-sized enterprises?

[The Economic Secretary to the Treasury (Simon Kirby)]

The Financial Conduct Authority has published a summary of the main findings of its skilled persons report on RBS’s global restructuring group. The FCA is carefully considering that, and it would not be appropriate for me to comment while the process is ongoing.

[Mrs Sheryll Murray (South East Cornwall) (Con)]

T4. I have been conducting a survey in my constituency with local campaigners Peter Booth and Nick Craker, and many people have raised concerns about road safety in our towns and villages. Can my right hon. Friend inform me of any additional funding for road safety improvement?

--- Later in debate ---

[Mr Philip Hollobone (Kettering) (Con)]

T9. For many of my constituents in Kettering even a small amount of household debt can turn out to be unaffordable and can turn into a personal financial nightmare for them and their family. When will the Treasury respond to the excellent “Breathing Space” proposals to help people who are trying to get on top of their household debts by giving them statutory protection from unscrupulous, ruthless lenders?

[Simon Kirby]

The “Breathing Space” proposals are being carefully considered by the Government and we will report on them shortly.

[George Kerevan (East Lothian) (SNP)]

Unsecured consumer credit is rising at a level last seen before the banking crisis. Does the Chancellor accept that that is unsustainable?