Oral Answers to Questions

Debate between Tobias Ellwood and Huw Irranca-Davies

Tuesday 28th October 2014 Commons Chamber

[The Parliamentary Under-Secretary of State for Foreign and Commonwealth Affairs (Mr Tobias Ellwood)]

The Prime Minister raised that matter at bilateral talks with Iran during the UN General Assembly meeting. They were the first such talks to take place in many, many years. If Iran is interested in moving forward and participating in a more responsible attitude in the region, it is that sort of behaviour that needs to be curbed. We will continue placing pressure on the country to change its ways.

[Huw Irranca-Davies (Ogmore) (Lab)]

T4. There are massive asks on both the Palestinian and Israeli leadership in taking us to a place where we can have meaningful peace discussions. Will the Minister reconsider his earlier comment that the issue of settlement building was something of a distraction, and that we should not be fixated on it. It is no more a distraction than achieving peace in the region and security for the Israelis.

Capital Gains Tax (Rates)

Debate between Tobias Ellwood and Huw Irranca-Davies

Wednesday 23rd June 2010 Commons Chamber

[Mr Tobias Ellwood (Bournemouth East) (Con)]

I welcome you to your place, Mr Deputy Speaker. It is 20 minutes past 3, so I am surprised—but glad—to see you in your seat, because the England game against Slovenia has now started. I know that you have been to Slovenia many times, and it is great to see you here.

I pay tribute to the hon. Member for Strangford (Jim Shannon) on his passionate and balanced speech. I served in Northern Ireland and am aware not only of many of the challenges that hon. Members face over there, but of the opportunities. It is a pleasure to follow him, and I agree very much about the opportunities in the development and working of the cadets in bringing communities closer together. It is wonderful to see that initiative moving forward.

The hon. Member for Kingston upon Hull North (Diana R. Johnson), who has just walked out the Chamber, made an entirely negative speech. Yes, whichever party won the election would have faced challenges, but how can she stand there and simply demand more money for certain projects in certain parts of the country, without saying where it should come from? Labour Members have failed to understand the consequences of the election result. It was clear that nobody won, so why continue to look back at the manifestos of individual parties and ask, “Why are you now not doing this, or that?” We had to rise to the occasion and ask, “What is needed for the country?” We have to put aside our party differences and meet the challenge, which is to bring about stable government and leadership. The Liberal Democrats and the Conservatives were able to do that, but of course it meant a certain amount of compromise. So it is wrong to harp on about aspects of the manifesto and say, “Why haven’t you included this? Why haven’t you done that? You’ve gone against the people who voted for you.”

[Huw Irranca-Davies]

rose—

[Owen Smith]

rose—

[Mr Ellwood]

I see that that has prompted a reaction from Labour Members.

[Huw Irranca-Davies]

Does the hon. Gentleman accept that in the election there was a fundamental divide over the approach to the economic recovery, which was encapsulated in the manifestos of the two main parties that lost—the Labour party and the Liberal Democrats? The Tories did not win outright either, but those two significant parties both, at the time, agreed with Nick and Vince that we had to delay making the cuts until the recovery was ensured.

[Mr Ellwood]

I am grateful for that intervention because it gives me licence to underline the fact that, if we are to move into a coalition, there needs to be agreement, and it is a tribute to the parties and the leaders that in a short period they achieved something that, in countries such as Belgium, takes 100 days—forming a coalition grouping while all the horse-trading takes place. Yes, there are compromises and changes that were not expected during the election. However, according to the polls the country supports what we are doing.

--- Later in debate ---

[Mr Ellwood]

Here we go again. I give way to the hon. Member for Ogmore (Huw Irranca-Davies).

[Huw Irranca-Davies]

I thank the hon. Gentleman for raising that point, because I heard his party on many occasions in opposition deride winter fuel payments, child tax credits and child trust funds as a waste of money. Therefore, it was reasonable for us to scare the horses, and it was right that the Prime Minister was forced to do a dramatic U-turn.

[Mr Ellwood]

The hon. Gentleman makes an interesting point. We all understand that things are said in the Chamber that perhaps cannot be said outside. During the election, however, the Prime Minister, my right hon. Friend the Member for Witney (Mr Cameron), made it very clear that we had no truck with the idea of getting rid of the winter fuel allowance or free bus passes. He even said that in the debate with the then Prime Minister, and yet Labour still put out scaremongering leaflets. When we get into election mode, let us have a bit more honesty. Does the hon. Gentleman wish to intervene again or has he given up?

I also welcome the freeze on council tax, and I am pleased that Bournemouth borough council has met the rules on that. It is important that there is a relationship to encourage local councils to take more responsibility for their own matters, but to get rewarded for that by Government.

I am pleased with the initiatives on small businesses. They make up 90% of our economy, and we need to look after them. In places such as the south-west and Bournemouth, tourism is important—it is our fifth biggest industry—and we do not do enough to support it. Benefit will come from the lowest ever corporation tax—the main rate has been cut from 28% to 24%—and the cut in the tax rate for small companies from 21% to 20%. There has also been an expansion of the loans guarantee system, without which many good companies were frustrated in getting money from the banks. I am pleased that the Treasury Front-Bench team has realised that.

Fat government will also be reduced. A 25% reduction over the next four years will be very difficult, but government became bloated and far too centralised under Labour. I look forward to a much simpler set-up that gives more power to communities.

This Budget is the most dramatic and far-reaching since the war. Balancing the books must be a priority, but even in these tough times the Budget promotes a cultural shift in Britain, encouraging the individual, the family, the community and the country to take responsibility. Ensuring that the banking sector and financial services are better regulated to avoid a repeat of the economic downturn is long overdue. This Budget is an ambitious effort to reduce the nation’s borrowing and repair the damage created by the last Labour Government. Labour will no doubt claim that many of these radical measures can be avoided, while secretly knowing that, had they miraculously won the election, they would have had to implement the very same changes themselves.

Let me end by congratulating the Chancellor and his team on producing such a comprehensive and robust Budget. While recognising the difficulties that it will impose on the entire country, I believe that it is appropriate and overdue medicine to expedite Britain’s way to recovery.