Public Sector Pay Cap Debate

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Department: HM Treasury

Public Sector Pay Cap

Stephen Kerr Excerpts
Wednesday 5th July 2017

(6 years, 10 months ago)

Commons Chamber
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Elizabeth Truss Portrait Elizabeth Truss
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Those firefighters, police and others in the emergency services have done a tremendous job, and I am sure we are all extremely grateful to them for regularly putting themselves on the line of danger. The hon. Gentleman is right to point that out.

What does productivity mean? I talked earlier about empowering people on the frontline to be able to make decisions and do things more quickly. When I talk to nurses and teachers, they sometimes say that they want less bureaucracy so that they can get on with the real jobs that they have been employed to do, and that is why more police are spending more time on the frontline. Productivity means giving people more job satisfaction—spending more of their time doing the job that they have come in to public services to do—and that is why we are reforming public services and seeing improvements.

Stephen Kerr Portrait Stephen Kerr (Stirling) (Con)
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Does my right hon. Friend agree that it is vital that the Government should continue to balance fairness for public servants and fairness for taxpayers who pay for public services?

Elizabeth Truss Portrait Elizabeth Truss
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We need to ensure a continual balance in being fair to the people working in public services—giving them the training and opportunities they deserve, and paying them fairly—while at the same time making sure that they will be able to continue to work in those public services in the future. If we look at what happened in Greece when the deficit got out of control, we can see that there was a 36% reduction in spending on the health service. [Interruption.] Members on the Opposition Front Bench may groan, but they should look at the facts about what happens when unfunded spending commitments are made. Let us be clear: the Institute for Fiscal Studies has said that Labour’s spending plans would lead to the highest levels of taxation we have ever seen in peacetime Britain. Theirs are not moderate but extreme proposals that would lead to people losing their jobs.