Oral Answers to Questions

Stephen Doughty Excerpts

Wednesday 14th June 2023 Commons Chamber

[The Prime Minister]

I thank my hon. Friend, who has long highlighted this policy. As he knows, after I took office, given the concerns that he and others had raised about the impact on the cost of living of this policy, we postponed its introduction. No final decisions have been made, but I will continue to take what he says very seriously in all our deliberations.

[Stephen Doughty (Cardiff South and Penarth) (Lab/Co-op)]

Q14.   Those at Citizens Advice Cymru have told me of the soaring numbers of people coming to see them who are struggling to afford housing. Last year, the monthly cost of a new mortgage on an average semi-detached house rose by 61%, and most fixed-rate mortgages that are ending in the current 12-month period were set at interest rates below 2%, so the crisis will worsen for both homeowners and renters. What advice does the Prime Minister have for my constituents who are suffering the consequences of Tory economic chaos? Should they cut back on food, switch off the gas and electricity, or get further into Tory-fuelled, expensive debt?

[The Prime Minister]

Our No. 1 priority is to halve inflation so that we can reduce the upward pressure on interest rates. The hon. Gentleman’s constituents should know that what would make that task absolutely worse is his party’s plans for tens of billions of pounds of unfunded borrowing, which would just exacerbate the situation. What I will say, however, is that homeowners who are worried can ask for help through the support for mortgage interest scheme, which has recently been adjusted. That support is available to them. And my right hon. Friend the Chancellor has spoken to the Financial Conduct Authority to ensure that banks treat all those in difficulty with the fairness and compassion that they need.