Budget Resolutions

Debate between Tulip Siddiq and Nusrat Ghani

Wednesday 6th November 2024 Commons Chamber

[Tulip Siddiq]

The right hon. Gentleman has intervened 18 times. I shall not give him another chance.

Let me continue. That is the only way that we can really fix the foundations. Of course, that involves taking tough decisions, particularly on spending and taxation, but I will take no lectures from those who were content to levy a £22 billion pound tax on this country’s future, and, through their unfunded spending commitments, attempt to undemocratically bind the hands of a future Government. Well, guess what? This Government will do things differently. While the previous Government allowed investment in our country to fall to its lowest level on record, this Government will put investment at the heart of everything that we do.

That is why we held the international investment summit in October—to show firms at home and abroad that Britain is open for business once more. That is why we have introduced a new fiscal rule—the investment rule—which, alongside appropriate guardrails provided by the OBR and our new stability rule, means that this Government can meaningfully invest in our country’s future.

Of course, investment means taking a long-term view. As anyone who has bought a property, built a business or raised a family will know, the early days are always the hardest. But if they take the hard calls now, in time they will get back far more than they put in. I pick those examples deliberately, but with regret. The sad truth is that, for working people—particularly young people—up and down the country, home ownership, entrepreneurship and starting a family have never been more distant. This Budget will start to change that.

Our manifesto made a clear commitment to get Britain building again. This Budget puts the first shovels in the ground, with a commitment to spend an average of 2.6% of GDP on public sector net investment over the course of this Parliament. This will include an additional £500 million in new funding for social and affordable homes, which brings total investment in housing supply to more than £5 billion and supports the delivery of tens of thousands of new homes.

We will build more than just homes; we need to build communities. Infrastructure is key to tying those communities together while ensuring that they plug into the wider economy. [Interruption.] The shadow Foreign Secretary asks how. If she listens, she will learn, so she should pay attention. Getting our country moving again will be key to growing the economy. [Interruption.] She should not chunter from the Front Bench. She needs to listen, because our commitment to infrastructure investment will help us to do so—by, for instance, increasing local roads investment by £500 million in 2024-25. These are the things that the previous Government failed to do, but we will deliver for our country. For working families, that means less time wasted dodging potholes and more time for the things that actually matter. Of course, infrastructure helps not just families but firms. In an increasingly volatile world, Government should play an important role in securing our energy supply so that firms can price that into their business plan.

We heard powerful and authentic maiden speeches today from my hon. Friends the Members for North Ayrshire and Arran (Irene Campbell), for Stoke-on-Trent North (David Williams) and for Sherwood Forest (Michelle Welsh). We will see them as huge assets to Parliament. Some of them mentioned that their families did not think that they would get here; I am really pleased that their families were wrong.

I will finish by echoing something that the shadow Minister, the hon. Member for North Bedfordshire (Richard Fuller), said. It is not often that I agree with him, but he said that we had choices. The truth is that we did have choices, and guess what? We chose to act. In 10 years’ time, the country will look back on this Budget as the moment when we got Britain’s future back. In the future, the economy will have grown because at this moment we chose to prioritise a healthy workforce; we will have record levels of investment because we prioritised fiscal and economic responsibility; and people will have more money in their pockets because we prioritised protecting hard-working people’s payslips. The merry-go-round of austerity and economic irresponsibility is over. We made a choice—a choice to rebuild Britain.

Question put and agreed to.

Resolved,

That income tax is charged for the tax year 2025-26.

And it is declared that it is expedient in the public interest that this Resolution should have statutory effect under the provisions of the Provisional Collection of Taxes Act 1968.

[Madam Deputy Speaker (Ms Nusrat Ghani)]

Let me explain what will happen next. I am now required under Standing Order No. 51(3) to put successively, without further debate, the Question on each of the Ways and Means motions numbered 2 to 62, and the money motion on which the Finance Bill is to be brought in. These motions are set out in a separate paper distributed with today’s Order Paper.

The Deputy Speaker put forthwith the Questions necessary to dispose of the motions made in the name of the Chancellor of the Exchequer (Standing Order No. 51(3)).

2. Income tax (main rates)

Resolved,

That for the tax year 2025-26 the main rates of income tax are as follows—

(a) the basic rate is 20%,

(b) the higher rate is 40%, and

(c) the additional rate is 45%.

And it is declared that it is expedient in the public interest that this Resolution should have statutory effect under the provisions of the Provisional Collection of Taxes Act 1968.

3. Income tax (default and savings rates)

Resolved,

That—

(1) For the tax year 2025-26 the default rates of income tax are as follows—

(a) the default basic rate is 20%,

(b) the default higher rate is 40%, and

(c) the default additional rate is 45%.

(2) For the tax year 2025-26 the savings rates of income tax are as follows—

(a) the savings basic rate is 20%,

(b) the savings higher rate is 40%, and

(c) the savings additional rate is 45%.

And it is declared that it is expedient in the public interest that this Resolution should have statutory effect under the provisions of the Provisional Collection of Taxes Act 1968.

4. Income tax (starting rate limit for savings)

Resolved,

That—

(1) For the tax year 2025-26 the amount specified in section 12(3) of the Income Tax Act 2007 (the starting rate limit for savings) is “£5,000”.

(2) Accordingly, section 21 of that Act (indexation) does not apply in relation to the starting rate limit for savings for that tax year.

And it is declared that it is expedient in the public interest that this Resolution should have statutory effect under the provisions of the Provisional Collection of Taxes Act 1968.

5. Income tax (appropriate percentage for cars)

Resolved,

That (notwithstanding anything to the contrary in the practice of the House relating to the matters that may be included in Finance Bills) provision may be made taking effect in a future year increasing the appropriate percentages mentioned in sections 139 to 142 of the Income Tax (Earnings and Pensions) Act 2003.

6. Capital gains tax (the main rates)

Question put,

That—

(1) In section 1H of the Taxation of Chargeable Gains Act 1992 (the main rates of CGT)—

(a) omit subsection (1A) (which sets out the rates for residential property gains accruing to individuals),

(b) in subsection (3) (which sets out the rates for gains accruing to individuals that are not residential property gains or carried interest gains)—

(i) for “10%” substitute “18%”, and

(ii) for “20%” substitute “24%”,

(c) omit subsection (4A) (which sets out the rates for residential property gains accruing to personal representatives),

(d) in subsection (6) (which sets out the rates for gains accruing to personal representatives that are not residential property gains or carried interest gains), for “20%” substitute “24%”,

(e) omit subsection (7) (which sets out the rates for residential property gains accruing to trustees), and

(f) in subsection (8) (which sets out the rates for gains accruing to trustees that are not residential property gains or carried interest gains)—

(i) omit “Other”, and

(ii) for “20%” substitute “24%”.

(2) The amendments made by this Resolution have effect in relation to disposals made on or after 30 October 2024.

(3) If an asset is transferred on or after 30 October 2024 under an unconditional contract made before that date, the disposal is, despite section 28(1) of the Taxation of Chargeable Gains Act 1992, to be treated for the purposes of the amendments made by this Resolution as taking place at the time the asset is transferred (rather than at the time the contract is made) unless the contract is an excluded contract.

(4) A contract is an excluded contract if—

(a) obtaining an advantage by reason of the application of section 28(1) of the Taxation of Chargeable Gains Act 1992 was no purpose of entering into the contract, and

(b) where the parties to the contract are connected persons, the contract was entered into wholly for commercial reasons.

(5) A contract is not to be regarded as an excluded contract unless the person making the transfer makes a claim which includes a statement that the contract meets the conditions to be an excluded contract.

(6) But no claim is required if the total amount of—

(a) the chargeable gain accruing on the disposal, and

(b) the chargeable gains accruing on all other disposals made under excluded contracts, does not exceed £100,000.

(7) For this purpose the amount of any gain accruing on a qualifying business disposal is to be taken to be the amount of the gain under section 169N(2) of the Taxation of Chargeable Gains Act 1992.

(8) If the person making the transfer makes—

(a) a claim under section 169M of the Taxation of Chargeable Gains Act 1992 in relation to a qualifying business disposal (business asset disposal relief), or

(b) a claim under section 169VM of that Act (investors’ relief) in relation to a disposal, section 169M(2) and (3) of that Act, or (as the case may be) section 169VM(1) and (2) of that Act, apply to a claim under paragraph (5) in relation to the disposal as they apply to a claim under the section concerned.

(9) In this Resolution “qualifying business disposal” has the meaning given by Chapter 3 of Part 5 of the Taxation of Chargeable Gains Act 1992.

(10) In this Resolution any reference to the transfer of an asset includes its conveyance.

And it is declared that it is expedient in the public interest that this Resolution should have statutory effect under the provisions of the Provisional Collection of Taxes Act 1968.

Sustainability and Climate Change (National Curriculum)

Debate between Tulip Siddiq and Nusrat Ghani

Wednesday 27th October 2021 Westminster Hall

[Tulip Siddiq (Hampstead and Kilburn) (Lab)]

I should just say that I am not the shadow Minister on this subject, but the shadow Schools Minister, my hon. Friend the Member for Hove (Peter Kyle), is on a Bill Committee, which is why I am covering today. I want to thank him and the shadow Secretary of State for Education, my hon. Friend the Member for Stretford and Urmston (Kate Green), for their help in preparing for this debate. I will pass back any points made today, so hon. Members can rest assured that everyone’s comments have been heard and noted.

I thank my hon. Friend the Member for Nottingham East (Nadia Whittome) for securing this important debate, which is also very timely, as everyone has mentioned. I pay tribute to her for the work she has done to highlight the importance of embedding climate change and sustainability in everything we do, including education, and for all the organisational work she has done for this campaign, not least bringing a delegation of young, bright people from the Teach the Future campaign to Parliament yesterday. I am delighted that some of them are in the Public Gallery: Scarlett, Stella, Tess, Yasmin and Charlie are very welcome to Parliament, but we also need them to educate us, as many Members have said during today’s debate.

My hon. Friend made many good points, but I particularly want to pick up on one of them, which was about how the education system is not preparing children for climate change. It is failing them, which is a damning verdict on the education system that we are living with, and of what the future holds for a lot of our children. I also want to take a minute to say that my hon. Friend may be generation Z, she may be the youngest Member of the House, and she only joined in 2019, but we can already see the impact of all the work she has undertaken. When Opposition Members start paying tribute to her for her work on the Environmental Audit Committee—that does not always happen in this House—we realise the strength of her capabilities, so I give her a huge “Well done” for having secured this important debate.

My fellow millennial Member, my hon. Friend the Member for Sheffield, Hallam (Olivia Blake), talked about the importance of teaching not just young people, but adults as well, about climate change and sustainability. That point was echoed by the hon. Member for Twickenham (Munira Wilson), who said that a lot of adults do not even know what we are talking about—I know that I could do a crash course on this topic as well.

Turning to the topic at hand, many Members from both sides of the House who spoke today talked about how we need to do more to embed climate change within the curriculum. When I go to my local schools, teachers and school leaders are already aware of that need, and some amazing work is going on around the country to engage with pupils about climate change. However, the onus cannot just be on them, which is another point that has been made in the debate. The Government, and we as politicians, have to help them.

One example of that is the Eco-Schools green flag programme, which many schools, nurseries and colleges are a part of. It consists of seven steps that education institutions can take to focus their communities of pupils and staff on the climate emergency, including putting environmental issues in learning plans and choosing texts in subjects such as English that will explore those issues. That work has been supported by education unions, who to their enormous credit have been pushing the Government to recognise that we are in a climate emergency, and that we have to pay more attention to it and put it at the top of our agenda. I pay tribute to the National Education Union, the National Union of Students and the University and College Union in particular for all their hard work on this issue, including promoting Climate Learning Month in the run-up to COP26, which as we all know starts next week.

There was a lot of talk about schools in this debate, and how they are being innovative in their teaching of environmental issues. From school veg patches that teach children about sustainability as well as healthy eating, to planting trees to mark achievements and celebrations, our schools are leading the way in creating a more sustainable, greener future. Our curriculum should empower that work, and we should be supporting those schools. The right hon. Member for Islington North (Jeremy Corbyn) talked about local gardening projects in schools in his constituency. I join him in paying tribute to Islington Council, which is doing an enormous amount of work on this, as well as the councils in my constituency, Brent and Camden Councils, which are doing similarly impressive work.

At the risk of this debate sounding like a north London takeover, I also pay tribute to my hon. Friend the Member for Brent North (Barry Gardiner), who talked about taking a holistic approach to this issue. I wholeheartedly agree: we cannot just have a box-ticking exercise, but have to look at this properly and make sure there is an integrated way of teaching. I also pay tribute to him for his important work on the APPG for nature, which does not get recognised so much in this House, but is a crucial part of the work we do in Parliament.

If we are going to transform education, we must support our educators to do so. Embedding climate change within the curriculum will mean new training for teachers and teaching assistants. At Labour conference, the shadow Education Secretary, my hon. Friend the Member for Stretford and Urmston, announced that we would give all teachers a right to continuing professional development, with £210 million extra per year for CPD, which could certainly be used to deliver this kind of training. I would like the Minister to pick up on this issue and say whether that proposal is something his Government might consider.

However, we have to recognise that this is not just about the curriculum. We should be looking to make our school estate and all our school environments eco-friendly and fit for the future. That point was eloquently made by my hon. Friend the Member for Norwich South (Clive Lewis), and my right hon. Friend the Member for Islington North (Jeremy Corbyn) also spoke about young people demanding that their school buildings be sustainable. If any Members have been to speak in schools, they will recognise young people’s passion about that.

What does concern me—I wonder whether the Minister will answer this—is that at a time when we need to be upgrading our school buildings as part of our national effort to get to net zero carbon emissions, since 2010 the capital spending on schools has been cut by 44%. That worries us. As my hon. Friend the Member for Salford and Eccles (Rebecca Long Bailey) said, our education system must prepare children and young people for the jobs of the future, which will be shaped by our transition to net zero.

The Labour party has announced plans for 400,000 green jobs. It is essential that we equip young people to develop the skills for those employment opportunities as we go into the future. That cannot happen only in schools, but it does require climate education and green skills to be embedded in further and higher education. That is why we welcome the new report from the Association of Colleges, “The Green College Commitment”, which recognises the need to go much further to embed those skills across courses. Will the Minister consider that carefully?

The leader of the Labour party has described climate change as

“the biggest long term threat we face”,

and from this debate it sounds like many Members agree. Tackling climate change is at the heart of our agenda and our manifesto as we move forward. However, the reality is that those who are most affected by the impact of climate change are those who are going through schools, colleges, nursery and early years education right now. We must act more strongly if we are to stem the tide of climate decline and protect the younger generations from catastrophic consequences. I really hope that the warm words we are hearing from the Government are finally translated into tangible progress at COP26 next week.

My hon. Friend the Member for Salford and Eccles also spoke about the brutal cost that young people will bear. There is a harsh reality to that. The hon. Member for Strangford (Jim Shannon) talked about leaving something behind for his five grandchildren. That is how I feel about my children; I feel that we need to leave something of the planet behind, and to prepare our children and young people for the challenges of the future.

That is why embedding learning about climate change and sustainability into our curriculum and our education system is vital; that is why this debate is vital; that is why we must equip young people with the skills they need to work in the green industries of the future. Far more innovation is needed from the Government when it comes to education and skills. It is crucial if we, as a country, want to leave the world in a transition to net zero. I hope that the Minister has been listening to the many important points raised in this very good debate. I also hope that the Minister will meet my hon. Friend the Member for Nottingham East, as she requested.

[Ms Nusrat Ghani (in the Chair)]

May I remind colleagues that for any messages that need to be shared with other Members, it is best to do so through the doorkeepers or the Parliamentary Private Secretaries rather than the Clerks.