Budget Resolutions

Tonia Antoniazzi Excerpts

Wednesday 30th October 2024 Commons Chamber

[Tonia Antoniazzi (Gower) (Lab)]

It is an honour to follow the Father of the House; I hope not to weary the House with my speech. Today, the Chancellor has been extraordinary in her strength and her ability to turn a really bad situation into a really good one. We cannot hide from the fact that we have had 14 years of Tory Government. While those on social media may say, “Oh, the Labour party is just slagging off the Tories for the last 14 years,” those 14 years are the reason I decided to stand to be a Member of Parliament. Having been the Parliamentary Private Secretary to the Chancellor when she was the shadow Chancellor, and having been the shadow Whip to the Treasury team, I know the integrity and seriousness with which they will have dealt with her first Budget.

The scaremongering of the Leader of the Opposition, pretending to be a man of the people, really sticks in my throat. I do not know how he has the audacity after 14 years of Tory Government. However, the Labour party and this Labour Government have promised change from the failure of the last 14 years, and the Budget shows our commitment to deliver that. The scale of the challenge is gargantuan, and I know that the Chancellor has made some tough but necessary decisions. Although inflation has subsided to around 2%, helping to boost household incomes, interest rates are predicted to be cut later in the year, extending household budgets a bit more. I need not remind the House that the inflation reached 11% under the last Government.

Today, I will wear a number of hats—metaphorically, of course. I am the Chair of the Northern Ireland Affairs Committee, and the chair of the all-party parliamentary beer group. [Hon. Members: “Hear, hear!”] It is very important. I am also the MP for a constituency where agriculture plays a huge role. Many of my farming constituents, and many farmers around the country, were concerned to hear speculation regarding the removal or upheaval of inheritance tax reliefs, including the agricultural property relief and business property relief. With many farmers still feeling the impact of the loss of direct payments, two years of severe flooding, high inflation and extremely volatile market conditions, the industry welcomed reassurances from Labour last year that agricultural property relief would not be changed.

Family farms are the backbone of the industry, especially in my constituency of Gower. Farming is in these people’s blood. They do not do it for financial benefit, because for many of them there is not much money in it. They do it because it is their life and their calling. The 100% rate of relief continuing for the first £1 million of combined agricultural and business assets to help to protect family farms and businesses is most welcome, but I would appreciate an opportunity to discuss with the Chancellor, the Secretary of State for Environment, Food and Rural Affairs or the Treasury team how we can ensure that family farms that may come just over the threshold can continue to play their role in our country, and how we can support them through the change and avoid any unintended consequences. I am hopeful that measures in the Budget will help the industry by driving ambition and investment. Investment in our agricultural sector will improve our food security and give farmers confidence in a Labour Government.

As well as agriculture, brewing and hospitality have a huge footprint in my constituency and across every United Kingdom constituency. These sectors support 1 million jobs, provide £17 billion in wages and deliver £34.3 billion of gross value added across the UK economy. The brewing and hospitality sectors are vital to the economic and social wellbeing of our communities across the United Kingdom; however, the industry remains under a great deal of pressure post the pandemic. Supported by a number of members of the all-party parliamentary beer group, I wrote to the Chancellor highlighting key areas in which the Budget could make a positive impact on the brewing and hospitality sectors.

First, the industry previously welcomed the Government’s pledge to reform the business rates system, and I welcome today’s announcement of the Chancellor’s commitment to permanently lower business rates multipliers for retail, hospitality and leisure properties from 2026-27. I acknowledge that the drop to 40% relief will cause concern, so I hope that the Chancellor or the Secretary of State for Business and Trade will work with the sector to address those concerns.

Secondly, the beer and pub sector is one of the highest taxed sectors of the economy in recent years. The industry has supported the alcohol duty review. The cutting of duty on draught products is a recognition of the commitment to pubs and smaller breweries. Again, I hope that concerns around the increase on non-draught products in line with RPI will be listened to. Finally, I am pleased to hear the Chancellor commit to ensuring that Northern Ireland receives its fair share, with an extra £1.7 billion received through the Barnett formula. I am personally delighted to read that £730,000 will be given to the Executive to support integrated education, and a further £45.8 million will be given to support the vital work of the additional security fund of the Police Service of Northern Ireland, and the Executive programme on paramilitarism and organised crime.

Aside from that, concerns have been raised with me about future funding applications for organisations in Northern Ireland—whether about the shared prosperity fund, the city deals, or, let us not forget, the poor execution of the levelling-up fund under the last Government. Community groups play such a vital role in Northern Ireland, and we must recognise that. The shared prosperity fund has been a lifeline for many organisations, and although it is continuing at a reduced rate, I welcome the fact that the Budget puts aside £1 million for community groups in Northern Ireland. The decision on the Causeway Coast and Mid South West city deals was paused during the pre-Budget spending review, so I am sure that the people behind those deals will be absolutely delighted with the announcement that they will go ahead.

I am hopeful that the Government will work well with our devolved Governments. As we have seen, the last 14 years have worked against the Labour Government in Wales. We must have the best outcomes for people across the United Kingdom. The increase in funding through the Barnett formula shows positive commitment to devolution. The Budget is difficult, but it is necessary. It is a once-in-a-generation Budget. It will, and it must, deliver the change that our constituents voted for. We will not go backwards; we will only go forwards. This country needs change.