Budget Resolutions and Economic Situation
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The Exchequer Secretary to the Treasury (Priti Patel)
I pay tribute to all right hon. and hon. Friends and Members who have spoken in this debate. Some of them have spoken for the last time, and we should note their distinguished service. Their contributions will be missed in the next Parliament. I will particularly miss their wisdom and guidance
This is a Budget that rewards hard work, cuts taxes for millions of people and empowers families and businesses. It gives people more incentives to save and greater choice over how they spend their savings and pensions. It is a Budget based on a long-term economic plan that is working. It is a plan that is growing our economy and providing a better future for our country; that has given more people the chance to get on in life, with record numbers of people in employment; and that is providing more security for the long term, with the deficit down and our national debt starting to fall as a share of the economy.
Five years ago, our economy had suffered a collapse greater than that seen in almost any other country. Today, alongside jobs, growth, new business start-ups, new housing zones, enterprise zones, support for savers and for people who aspire to own their own homes, we have lower inequality, child poverty down, pensioner poverty down to record lows, the gender pay gap smaller than ever, and the number of students from disadvantaged backgrounds at university at a record high. The stability that we have put in place has taken Britain from austerity to prosperity.
Listening to the contributions of Opposition Members, I was struck by their complaining that the economic recovery is not taking place fast enough in their eyes. I have heard their message, but it was they who crashed the British economy. It was on their watch that the debt-fuelled economy was created, that manufacturing halved as a share of the national economy and that the gaps between the north and south and between the rich and the poor grew ever larger. Yet their complaint is consistent: the Government are not fixing their appalling legacy fast enough.
This afternoon, we have heard, from constituency to constituency—from Newcastle upon Tyne East to Croydon North to Blaenau Gwent to Luton South to Islington South and Finsbury to Poplar and Limehouse—from Labour Members who have opposed every single measure undertaken by this Government to put us back on the path to recovery. Let me respond to some of the points that have been made in this wide-ranging debate.
Housing came up consistently. Since 2010, more than 200,000 affordable homes have been delivered. Council house building starts are at their highest level in 23 years. In the year to December 2014, 250,000 new homes were granted planning permission. In London alone, £1.1 billion has been provided to the Greater London authority to deliver affordable housing zones. Labour Members may complain, but their complaints are actually a demonstration of the failure of Labour local authorities to deliver housing.
Priti Patel
Actually, it is not nonsense. It is a failure on the part of Labour.
Emily Thornberry
Will the hon. Lady tell us how many affordable homes the Mayor of London has built in Islington? I do not mean homes at 80% of market rent; I mean truly affordable homes that have been built by the Mayor of London in Islington. If she has that figure, she will realise that what she has been saying is nonsense.
Priti Patel
I will correct the hon. Lady. It is not nonsense. The money has gone to the Greater London authority to deliver affordable new homes. She said that the Help to Buy ISA would not help her constituents. It is projected to help 190,000 people in London buy their first home over the next five years. Of course, the average first-time buyer is a basic rate taxpayer.
We have heard complaints that the North East combined authority is not doing enough. Let us be clear: more people are employed in the north-east then ever before. We have heard about Croydon. There has been £7 million of funding in Croydon and the GLA is delivering 4,000 new homes and 10,000 new jobs. Those are positive and proactive measures that are transforming people’s lives.
When it comes to job creation and job growth—
Priti Patel
The hon. Gentleman will recognise that I do not have time to give way.
In every single region of the United Kingdom, unemployment has fallen over the past year. We should put to bed the desperate myth of the Labour party that the new jobs are somehow second-tier jobs. That is an insult to the British public. Some 80% of the jobs are full time and 80% of them are in skilled occupations. Each and every one of them represents one more person standing on their own two feet. The Budget delivers for every single region of our great nation, whether it is by helping manufacturing in the midlands, connecting the south-west or growing the economy.
I would like to pay tribute to a number of Government Members. My right hon. Friend the Member for Bexhill and Battle (Gregory Barker), my hon. Friend the Member for South Suffolk (Mr Yeo), my right hon. Friends the Members for Somerton and Frome (Mr Heath), for Havant (Mr Willetts) and for Uxbridge and South Ruislip (Sir John Randall), my hon. Friend the Member for Bury St Edmunds (Mr Ruffley), my right hon. Friends the Members for Banbury (Sir Tony Baldry) and for South East Cambridgeshire (Sir James Paice) and my hon. Friend the Member for South Thanet (Laura Sandys) are all distinguished Members who have made substantial contributions to the House and to this afternoon’s debate. They covered some of the key Budget points that affect their constituencies. They drew on their expertise from their time in the House or from their time as Ministers to speak in detail about infrastructure, energy, jobs, education and higher education.
My right hon. and hon. Friends also spoke about the prudent financial management that this Government have introduced through our long-term economic plan. It is this Government who have set out long-term economic plans for every region in the United Kingdom. It is this Government who are committed to investing in the whole of the United Kingdom. It is this Government whose long-term infrastructure plan is connecting our regions.
My hon. Friend the Member for Milton Keynes South (Iain Stewart) mentioned the housing growth and infrastructure growth in his constituency. I will come back to him on the personal pension allowance, which he asked me to do. We are allowing the local leaders in our communities to make the key growth-delivering decisions in their areas, rather than making top-down decisions from the centre. We are recovering from the worst recession since the second world war. We are turning the country’s finances around, improving the lives of hard-working families, and putting more of people’s hard-earned cash back into their pockets where it belongs. We are increasing living standards, with real household disposable income revised up to increase by 3.7% this year, and to keep on rising—[Interruption.] As ever, the Labour party sneers when it comes to discussing living standards and household incomes. [Labour Members: “What?”] Well, let us be clear: the best way to improve living standards is to get people back into work and boost productivity and growth. This Government have delivered the highest levels of employment ever. Unemployment is down to 1975 levels—it has fallen at its fastest and was down by just under 500,000 in the year to December 2014. We are putting Britain back on its feet, and this Budget marks a step in delivering prosperity to all corners of our country.
The choice our country faces is between returning to the economic chaos that Labour Members were part of under the previous Government, or sticking to the long- term economic plan that will deliver for the constituents of the hon. Member for Islington South and Finsbury (Emily Thornberry) and every Member of this House. In this Budget we choose the future and are taking another big step on the road to a stronger economy.
As I close this debate I thank all hon. Members for their contributions this afternoon, and in particular I send—[Interruption.] I hoped for a degree of courtesy and civility at this point. I send my best wishes to all right hon. and right hon. Members who have made their last contributions in the Chamber today. I thank you, Madam Deputy Speaker, for your time overseeing debates and the civil way you have handled them, and I commend the Budget to the House.
Ordered, That the debate be now adjourned.—(Greg Hands.)
Debate to be resumed Monday 23 March.