Commons Chamber

Thursday 29th October 2026

(began 1 day, 19 hours ago)

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None Portrait Q5. What discussions her Department has had with the Northern Ireland Executive on minimising disruption to road users during essential roadworks. (901771)
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Jim Shannon thank you, Mr. Speaker. Two days running on the Order Paper time to buy a lottery ticket. Question number five. >> Mr.
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None Portrait Q6. What steps she is taking to improve passenger rail services. (901772)
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Dave Robertson thank you, Mr. Speaker. Speaker. >> And good morning. Question number six, please. >> Thank you.
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Alan Campbell Portrait Rt Hon Sir Alan Campbell MP, Lord President of the Council and Leader of the House of Commons (Tynemouth, Labour)
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November. Remaining stages of the Sporting Events Bill, followed by consideration of a carry over consideration of a carry over motion relating to the Railways Bill, followed by consideration of Bill, followed by consideration of a carry over motion relating to the Cyber Security and Resilience Network and Information Systems Bill. The House will then rise for the November recess at the conclusion of business on Wednesday, conclusion of business on Wednesday, the 4th of November and return on Tuesday the 10th of November, when the business. For the week commencing the 10th of November will be Tuesday, the 10th of November.

Second Reading of the Financial Services and Markets Bill. Wednesday, the 11th of November. An opposition day debate on a motion in the name of the official opposition subject yet to be announced. Thursday the 12th of November. General debate on the 10th anniversary. Sorry. The 110th anniversary of the battle of the Somme, followed by a general debate on the Nolan principles. The subject for these debates

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determined by the Backbench Business Committee. And Friday the 13th of November. Private Members' Bills Jesse

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Norman. Yeah, yeah, yeah. I thank the leader very much for that update. Mr. speaker, as the that update. Mr. speaker, as the House will be aware, this is a day of very mixed feelings. We mourn of very mixed feelings. We mourn the deaths and the injuries sustained in the Spanish high speed rail disaster yesterday. But in a
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Jesse Norman Portrait Rt Hon Jesse Norman MP (Hereford and South Herefordshire, Conservative)
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rail disaster yesterday. But in a far happier vein, it's impossible not to celebrate the triumph of Harry Kane in the Ballon d'Or. The first British winner for 26 years

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and of giant killing Fleetwood Town in conquering Arsenal in the Carabao Cup. Yeah yeah yeah.

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Yeah yeah yeah. Just in time for Halloween. Mr. speaker, we learned that the SNP government in Scotland has government in Scotland has assembled an army of nearly 800 ghost workers on the public payroll, ghost workers on the public payroll, costing taxpayers £27 million a year. The jobs have vanished, but year. The jobs have vanished, but the salaries remain. One of these people has been non-working in the NHS for 17 years. That's the SNP in a nutshell. Mr. speaker, needless to say, the Scottish Government have no plans to change this state of affairs. Hundreds of people being paid to pretend they have jobs.

It's the perfect metaphor for this Labour government. And so to the Chancellor of the Exchequer, who spoke after the usual orgy of pre briefings to the media yesterday and avoided, I have to say to his credit, some of the more lunatic ideas of his colleagues. He tried his best, Mr. Speaker, but frankly, Harry Kane, Fleetwood Town, Fleetwood Mac would have done better with that Budget. It was a Budget for a May general election, not the future of Britain. As Helen Miller of the Institute of Fiscal Studies put it. There was, quote, lots of fiddling, but no clear, coherent vision.

It means that disposable household incomes are falling. The tax burden is at historic peace times. High highs, growth forecasts are falling, with not even the whiff of a strategy for growth yesterday. Worse still, as the noted economist Paul Johnson pointed out, the Budget implied back end loaded spending cuts in most areas of public service spending of 2.6% per year between 2028 to 9 and 2031 to 32. His verdict was, quote, this is not honest politics nor honest economics. His words, not mine. And Mr. Johnson, I think it's well known, is not a conservative. But there's something even more troubling here.

Britain is walking a fiscal and monetary and a security tightrope. And yet again, the government's response has been to postpone difficult decisions, spin the plates, ladle on the fudge and hope that nothing goes wrong. And now we have a speculation persisting speculation, despite attempted rebuttals that the Prime Minister may call a general election. What an extraordinary abdication of responsibility that would be. The message would be this yes, Britain faces profound economic and international uncertainty. So let's add a little extra disruption to it with an entirely unnecessary election more than two years before one is required.

And while we're at it, let's reopen the constitutional turmoil of another EU referendum to boot. The British people would surely say, we gave you Labour people. A majority of more than 170, to sort out the country's issues. You have replaced your own Prime Minister and your Chancellor. You have failed to deliver the change you promised, and now you want another election because you're

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simply too frit to make the decisions required. Yeah yeah yeah. Britain needs growth. It needs

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Britain needs growth. It needs stability. It needs financial strength. It needs national security. Instead, it's getting short term fixes, deferred decisions and political manoeuvring. This is not a strategy for governing Britain. It's an absolute failure of leadership. The Chancellor couldn't even meet his own test for defence spending, over own test for defence spending, over which he supposedly resigned. Mr. speaker, the Prime Minister has talked endlessly of his desire to, quote, rewire the state. The Chancellor said the same in terms yesterday. We've got a huge debt burden, stretched public services, rising interest rates, growing defence commitments.

There is the escalating threat of external shocks Ukraine, Iran, inflation, AI, trade wars, extreme weather, another pandemic. So will the leader now explain in his usual candid way, without prevaricating or blaming others, why these two men have demonstrated absolutely zero interest in actually taking any of the serious decisions

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required to address these issues. Thank you, Mr. Speaker. First of

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Thank you, Mr. Speaker. First of all, can I join with the shadow leader in sending our deepest leader in sending our deepest condolences to the people of Spain in the aftermath of the horrendous in the aftermath of the horrendous train crash which occurred yesterday, taking the lives of 68 people as well as injuring many people as well as injuring many others. And I'm sure, as he said, the thoughts of the whole house with all those affected. Last week,
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Alan Campbell Portrait Rt Hon Sir Alan Campbell MP, Lord President of the Council and Leader of the House of Commons (Tynemouth, Labour)
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Mr. Speaker, across the UK we saw we saw some of the some very severe we saw some of the some very severe and stormy weather. And I want to send condolences to the families of those loved ones who lost their those loved ones who lost their lives. But also to thank all the emergency service workers who've been working hard to mitigate the been working hard to mitigate the effect of the storms. I'm also saddened to hear of the passing of Sue Holt. She was a much respected member of the staff of this place in the Inter-Parliamentary Relations Office.

And I know the whole House will want to send condolences to her family and friends at this time. Further to the tributes made last week, Mr. Speaker, and your words this morning, I'd also like to add my best wishes again to Tom Goldsmith, who, after 30 years outstanding service to the House, is retiring from the office of Clerk of the House today. I'd also like to pay tribute, Mr. Speaker, to Kerry King, who, after 43 years in the civil service and 19 years as head of Secretariat and deputy clerk of the Privy Council, is leaving her role.

 This week, Kerry was appointed a lieutenant in the Royal Victorian Order in the 2023 New Year Honours. In recognition of her services to the Privy Council, and I have greatly valued her advice and guidance in my role as Lord president of the Council and I wish her well. And as the shadow Leader of the House has said, entirely different matters. I want to congratulate Harry Kane, who this week became the first English player to win the Ballon d'Or since Michael Owen in 2001. And as he said, I'm sure members across the House will join with me in sending congratulations on this well deserved win.

And I'm sure as as as I did, found his comments as he accepted the award. Very moving. And I think young people who are looking at Harry Kane will see someone entirely committed, not just to the sport, but to family and and everything else, and that he really is a hero to many people. And I wish him well. Mr. Speaker, there will be no business questions next week. So I do want to mention Remembrance Sunday on the 8th of November, as we take pause to honour those who gave their lives in defence of our freedoms, let us remember the extraordinary debt that can never fully be repaid.

Turning to the comments of the shadow Leader of the House, the Chancellor set out a very clear plan yesterday in the Budget, which gives families and businesses some breathing space from rising costs and supports Britain's economic growth, not least the £100 payment to 20 million households in council tax bands A and D in England also support for businesses taking around 70,000 more retail, hospitality and leisure businesses out of business rates altogether. And at the same time, Mr. Speaker, supporting the housing market with measures for the first time for first time buyers, social housing and cutting unnecessary costs and delays for house builders, we have also reaffirmed our commitment to end homelessness for good.

I have to say on the other comments that he made, I found him uncharacteristically unfair. I think about the events of yesterday and on the question of Pre-briefing, I was struck and pleased in light of what we said over a period of time, at how little pre-briefing there was about the Budget and how disciplined the Chancellor, his team and indeed everybody else was in making sure that it was this House that heard for the first time the contents of that Budget. He mentions the issue of household income, and the government is not complacent, Mr. Speaker, about the challenges that we face going forward, and I have I listened very carefully to what has been said about the potential for household income going forward, but I just gently remind him and others opposite, Mr.

Speaker, that 14 years of conservative government and people were worse off at the end than they had been at the beginning. And that is the first time, Mr. Speaker, in history that that happened. So we're not going to take any lessons from the right hon. Gentleman or indeed anyone else. He will know, because it is true that this government faces international pressures. There are headwinds that we need to face, and I think a little bit more understanding of that would be appreciated. And despite all of that, the projection still is that the economy will grow.

It won't grow as fast as we want it to grow. That is why the measures in the Budget were there to try and make sure that in getting the foundations right, we then get on with growth as quickly as possible. We will be doing all we can. But I would also gently point out, without being complacent, that the predictions about growth in this year were lower than it has actually turned out is the case. But we will see what happens, not least in the Middle East. It is noticeable, Mr. Speaker, that when a number of very credible organisations talk about the state of the economy, not least the OBR, the IMF and the IFS, that one of the things that they pick out is not a lack of political stability, but the fact that the government has a majority, it has a Prime Minister with a very clear vision of where he wants to take this country, not just not just, Mr.

 Speaker, in making sure that we in this place do everything that we can to boost the economy, but to make sure that no regions and no towns and cities are left behind, which is why devolution is so important. He talks about defence. We're spending £14 billion more on defence than the previous administration they were spending during their time in office, the lowest amount since the end of the Cold War. The Prime Minister set out a very clear timeline yesterday in which he committed, again, the government to a 3%, spending 3% on defence, and also that we will meet our NATO commitments.

So what happened yesterday was a recommitment to those things, and we are on in line, on track to deliver all of them. And my final point is this, Mr. Speaker, the right hon. Gentleman talks about an election, and the Prime Minister was very clear in what he said in the last few hours about the how he sees the possibility of an election. And and actually, I just say to the party opposite, if they are looking

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for a general election, be very careful what you ask for. Douglas McAllister very much.

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Douglas McAllister very much. Mr. speaker. May I ask the Leader of the House to join me in congratulating my constituent, congratulating my constituent, Connor Mcelwaine, who has completed an extraordinary 18,000 kilometre an extraordinary 18,000 kilometre cycle ride from Canberra Avenue in Dalmore to Canberra, Australia. Over the course of nearly a year,
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Bobby Dean Portrait Bobby Dean MP (Carshalton and Wallington, Liberal Democrat)
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Liberal Democrat spokesperson Bobby Dean. >> Thank you, Mr. Speaker. Can I say at the start that we share our thoughts with the victims and families of those involved in the train crash in Spain? And I also train crash in Spain? And I also want to add to the congratulations to Harry Kane and say, on behalf of all Tottenham Hotspur fans that he all Tottenham Hotspur fans that he is one of our own. It is tempting to get into the Budget, but I haven't spoken in the debate yet and I fear that if I start now, I might run out of things to say.

There were, of course, a record number of measures in the Budget yesterday, but they had the lowest cumulative value that we've seen in decades, and I think that makes it the most extravagant display of looking busy for the boss in history. Moving on to other events, Mr. Speaker, this week, on Monday, we saw that the AI debate was bumped off of the agenda. And I'm afraid that I think this makes Parliament look slightly ridiculous. We last debated AI properly in this chamber back in 2023. And in terms of how the technology moves on, that is light years ago.

Instead, on Monday, we debated the performance of Royal Mail, an important issue, but one that was only debated the week previous in Westminster Hall. And critics are now saying that this exposes how this House sometimes spends more time engaging on popular local issues than some of the complex challenges that our country faces. Now, my own view is that we must make time for both of these things. We need to make sure that we tackle those important local issues in our constituency, but also rise to the challenges of our time. There are huge questions to answer on the growth opportunity presented by how we get it adopted widely across the country, but also on the safety concerns and the threat of superintelligent models to our society.

These are critical questions for this Parliament to engage with. And so I ask the House, will he make time for a debate in government time as urgently as possible, so that colleagues can engage with these big questions of our time?
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Alan Campbell Portrait Rt Hon Sir Alan Campbell MP, Lord President of the Council and Leader of the House of Commons (Tynemouth, Labour)
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Hear, hear. Thank you. >> And can I say from the outset that I always find the hon. Gentleman's comments, both honest and brave, and admitting that he's a Tottenham Hotspur fan is characteristic of him. In terms of the postponement of the debate, I the postponement of the debate, I do understand his his frustration and indeed the frustration of others. But as he said, the the the first debate attracted a huge amount of attention. There were two important debates in front of the House. I will make sure we try to make sure that the number of statements are balanced, but we've got to balance that with making sure that the House is kept updated.

 I am in committed to finding time, as much time as possible for the backbench Business Committee, and I'm sure the chair of the committee, who is in his place, will have heard the desire of the hon. Gentleman for a debate. And on a wider point, he does make some relevant points, Mr. Speaker, about the way that we use time here, and he will know that the modernisation committee is looking currently at how best we use time in this place. He raises the issue of AI safety, and the Budget delivers the government's most ambitious AI package yet, investing £700 million to tackle the risks of AI.

And it will. And we will place AI at the centre stage at the G20 presidency when I expect that the House will be given ample time before that happens. Actually to debate those issues and we will be working towards up the summit, hopefully agreeing a single set of global principles and standards on AI. And the government is clear where there is further necessary work. We we will we will do that. And in terms of making time for a debate, he makes a very important point about the link between AI and growth, and I have just announced a further three days of the Budget debate.

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with a bit of ingenuity, I'm sure he or the others can make those points during that debate. Well.

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Well. Thank you very much, Mr. Speaker. I was shocked and appalled when a peaceful Hindu festival in Wakefield, the weekend before last, was attacked by masked individuals, leaving two people injured. There were children and families present,
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Bob Blackman Portrait Bob Blackman MP (Harrow East, Conservative)
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tribute to the late Sir John Hannam, who was the MP for Exeter from 1970 to 1997. He was also the secretary of the 1922 Committee from 1987 to 1997, and indeed he died at the ripe old age of 97, and I'm sure we will join together in sending our condolences to his family. Now, the House won't have long to wait, provided the Leader of the House allocates this time because the debate on the emerging risks of advanced AI, which of course had to be withdrawn because of the sheer number of speakers there were for both debates on Monday.

If we are allocated the 19th of November, we will allocate that date for that, for that important debate and also a debate on International Men's Day, which actually coincides with the date as well, in terms of the Westminster Hall business, on Tuesday, the 3rd of November, there'll be a debate on the findings of the Melbourne Review on the 10th of November. When we come back, there'll be a debate on antisocial behaviour, and I remind the House that that debate will start at 1130 rather than 930. And on the 12th of November there'll be a debate on fire and rescue services, suicide prevention training, followed by a debate on VAT policy for the hospitality sector.

Further debates will proceed from Westminster Hall will be announced in due course. Now, Mr. Speaker, in addition to Remembrance Sunday, which will commemorate during that that recess period, it is also Diwali. And so I'm sure the whole House will join with me in wishing all Hindus, Sikhs and Jains Diwali for the event and also happy, peaceful, prosperous and above all else, healthy Hindu year which follows. However, if you're a Hindu in Pakistan, you're in serious trouble at the moment. We. As an all party group for British Hindus, we received a report from inside UK just last week on the plight of Hindus in Pakistan.

This makes horrific reading and I would ask the leader to get a foreign foreign. Either the Foreign Secretary or Foreign Affairs Minister to come to the House and tell the House what the government is doing to safeguard minority communities, not just in this country, quite rightly, but also in countries where they are a minority and severely oppressed.
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Alan Campbell Portrait Rt Hon Sir Alan Campbell MP, Lord President of the Council and Leader of the House of Commons (Tynemouth, Labour)
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Thank you, Mr. Speaker. Let me >> Thank you, Mr. Speaker. Let me thank the hon. Gentleman, as ever, as chair of his committee, for the hard work that he does, and indeed the the rest of the committee, and the the rest of the committee, and I want to join him in paying tribute to Sir John Hannan, who was a distinguished member of this House, and we send our condolences to his friends and to his family. I thank him for what he said about backbench business going forward and the matter of the AI debate. So the hon.

Member for Carshalton and Wallington shouldn't underestimate the influence that he has in this place because he's he's got half an answer, if not the whole answer of exactly when it will be. But I will look at allocating time. The chair will know. I will do my very best to do that. I also want to send my best wishes to the Hindu community for Diwali. As ever, the hon. Gentleman raises very important concerns about social cohesion and faith groups, not just in this country but indeed abroad. I want to thank the Hindu community for everything that they do in our local community, but in fact across the country, and put that on record.

But I also will raise his concerns with the FCDO. He has raised these matters before. The government takes the treatment of minority communities and particular faith communities very seriously indeed, and I will raise it with FCDO colleagues and see at some point if seeks.
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Alan Campbell Portrait Rt Hon Sir Alan Campbell MP, Lord President of the Council and Leader of the House of Commons (Tynemouth, Labour)
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Thank you, Mr. Speaker. The hon. Gentleman is an assiduous campaigner for Saint Andrew's campaigner for Saint Andrew's Hospice and related issues, and I recall a particularly moving speech recall a particularly moving speech that he gave on hospice care during the terminally ill adults end of life bill and I pay tribute to him for that. We are supporting the hospice sector with £125 million funding boost, alongside £80 million for children's hospices over the next three years, but I do understand the continuing concern in the sector. I will make sure that the relevant department hears his concerns, but I would also remind him that we've got three days of Budget debate.

I'm sure

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he's been long enough to be able to weave hospice funding Into a contribution. Should he catch your eye?

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catch your eye? Should that come? Thank you, Mr. Speaker. My constituency of Broxtowe residents constituency of Broxtowe residents have reported to me dangerous have reported to me dangerous racing, speeding and other forms of anti-social behaviour on the A52 near Bardwell's roundabout. I've near Bardwell's roundabout. I've continually raised this with the Highways Agency, Nottingham City Council, Nottingham County Council and with Nottinghamshire Police to no avail. Would the Leader of the no avail. Would the Leader of the House support me and assist me in bringing together the relevant Ministers, so we can get those Ministers, so we can get those agencies together to secure safety on that stretch of the road?
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Marie Tidball Portrait Dr Marie Tidball MP (Penistone and Stocksbridge, Labour)
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I've been going to Penistone I. >> Was a child. >> This 110 year old art deco cinema is the jewel in the crown of our town. Yet the reform led our town. Yet the reform led Barnsley Council has decided to shelve the 1.8 million principal shelve the 1.8 million principal town's funding that was going to be used to build a second screen, a new cafe and bar area and make the cinema accessible throughout. Reform's decision is indefensible. This was ring fenced funding with planning permission already granted and a procurement notice published. My constituents agree with over 5500 of them signing my petition calling for the council to reverse its reprehensible decision.

Will the Leader of the House advise me on how I can best work with the Secretary of State for culture, Media and Sport to ensure generations of local people can continue to enjoy our treasured

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community asset for another century to come. Thank you, Mr. Speaker. My friend is a fantastic advocate for her constituents, and she's right to raise this important matter. I'm to raise this important matter. I'm afraid it's just the latest example of reform led councils letting down the people that they are supposed to be representing. With ring fenced funding secured with planning permission in place and a planning permission in place and a procurement notice published, there really is no excuse for reform on this matter, and I will raise this with colleagues at DCMS and ensure that she gets the meeting that she seeks.

seeks.
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Jim McMahon Portrait Jim McMahon MP, Parliamentary Under-Secretary (Housing, Communities and Local Government) (Oldham West, Chadderton and Royton, Labour )
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that we will create those strong foundations. We know reorganisation foundations. We know reorganisation is difficult, but we also believe that it's worth it. The decisions that we take now will be the building blocks for how this building blocks for how this country is governed for generations to come. And our vision is clear. Mayoral and authorities, underpinned by strong unitary councils with real powers to take decisions in the interests of their communities. On the 7th of September, the Secretary of State announced a review of the programme to ensure that it was robust and aligned with this government's priorities.

Since then, we have listened to local leaders, sector partners, mayors and members of Parliament, and I want to place on record our thanks to them for the work that they have done and for engaging constructively. Consensus will not always be possible, but I know that all of us are putting forward arguments for what we believe are the best for the different areas of England. I am committed to hearing all those views before coming to final decisions. I also want to take a moment to recognise the impact on councils, on councillors, on their staff, and I appreciate their desire for clarity.

Today I can provide some clarity on what comes next. I can announce to the House that the first phase of the review is now complete. I have tested the programme framework, including whether the criteria set out in February last year continue to support the government's priorities. I have concluded, on the basis of the programme that it is robust and I've concluded that the existing criteria are correct, both on their own terms, and that they continue to support the government's policy agenda. We are content that we can take forward local reorganisation in line with existing criteria.

In concluding this review, I have also considered the best way to bring clarity quickly while making sure that each area receives a deep and full of considerations that they all deserve. So we will inform councils of outcomes at the earliest possible opportunity. This means that some areas will get outcomes quicker than others. And so today I am therefore able to give further clarity on some of the 14 areas who had decisions in July. The Secretary of State and I have carefully considered all the proposals and the evidence for these 14 areas. Following that initial consideration.

We are minded to implement, subject to representations in a process and parliamentary approval. The following proposals in five areas firstly in East Sussex and Brighton and Hove. The two unitary proposal, including boundary changes requested by Brighton Hove City Council, except for the parish of farmer. The one unitary proposal in Gloucestershire. The three unitary proposal in Oxfordshire, including boundary changes and the two unitary proposal in Warwickshire. Alongside the two unitary proposal in Worcestershire. These decisions are for the same council structures that were previously announced in July, but they are new decisions following full and thorough consideration before final decisions are taken.

There will be a minimum of a three week period during which those who are interested may make further representations to me. The start and end dates for this period will be confirmed very shortly, as well as further detail on how councils and other interested parties can make representations. Any final implementation decisions will be subject to the normal parliamentary approval in the remaining nine areas announced in July. We're going to take more time, and we'll use the coming months to further consider proposals submitted before coming to a view to give council clarity on the legal status of the existing decisions.

We are withdrawing the decisions announced in July for the following areas for Derbyshire and Derby, for Devon, Plymouth and Torbay, for Hertfordshire, for Kent and Medway for Lancashire, Blackburn with Darwen and Blackpool for Leicestershire, Leicestershire and Rutland for Lincolnshire, North Lincolnshire and North East Lincolnshire. For Nottinghamshire and Nottingham, and for Staffordshire and Stoke on Trent. I want to be absolutely clear that this is not a reflection on the work underpinning those proposals. I can now set out the plan for the final phases of the review. The review will now focus on the 15 areas that are due to have minded two decisions.

Those are in no particular order. The nine areas I have just mentioned, the four areas were withdrawn in September. Cambridgeshire and Peterborough and West Sussex. To be clear, all options and proposals in these areas will remain under consideration and I will approach all those with an open mind. As such, it should be not assumed that the same proposal would be automatically selected. It is important to allow the process to run its course and to allow full and proper consideration. We will move faster where we can, and some of the remaining areas may receive an outcome decision before others.

I commit to coming back to the House with updates for another set of areas by Christmas, and every area will have an outcome by early next year. Turning to local elections. As we set out in September, the elections scheduled for May 27th will now go ahead to existing councils. This means that elections to new councils will be May 2028, followed by a vesting day of April 2029. This is for all areas apart from Surrey. I have also heard concerns about the cost of uncertainty, and we appreciate that areas have incurred costs in good faith. All areas will receive half of that transition funding that they were previously due, and that equates to £450,000 per new unitary previously announced.

These guaranteed payments will be made in the coming weeks regardless of the review's outcome. Cambridgeshire and Peterborough and West Sussex will also receive £500,000 per area after final decisions. We will pay any remaining balance depending on how many councils are chosen. I have also heard from members across this House about the pride, about the history and identity sitting behind our cities and our counties, city status and ceremonial matters play a valuable role for local pride, and so we will work with areas to make sure that city status is preserved following reorganisation and subject to final decisions.

We will continue to work with places to protect their city status by working through all the options, including bringing forward legislation where necessary. Apologies. I've been struggling with the code for about a week, and usually when a Minister kind of comes up in the morning with a croaky throat, it's a result of a long night of karaoke. But I'm afraid this is the result of this is a result. I'm afraid of LGR conversations back to back all morning, which doesn't carry quite the same fun or rhythm to it. But nevertheless, I want to continue to use this moment to build consensus and to deliver a programme that we work together between central government and local government, because this programme has to be a joint effort.

It's a foundation of rewiring how our country works and getting the foundations in place to devolve new powers and functions in every area. This government will be an active and reliable partner, and we stand ready to work with councils to support them to deliver these significant changes. I promise to keep the House updated,

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and I commend this statement to the House. Regardless of the croaky voice, I was paying attention because it

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I was paying attention because it covers my constituency of Wealden in East Sussex. Shadow Secretary Katie Lam. Yay!

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Yay! Thank you, Madam Deputy Speaker. It gives me no pleasure whatsoever to say that from start to finish, this government's

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to finish, this government's approach to local government reorganisation has been nothing short of a farce. Yeah. The government first promised to

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The government first promised to publish its English Devolution White Paper in November 2024 that was delayed until December 2024, with affected councils given three weeks over Christmas to decide whether or not to delay local
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Katie Lam Portrait Katie Lam MP (Weald of Kent, Conservative)
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elections. Last year, after the right hon. Member for Ashton-under-Lyne was forced to resign from Cabinet, her successor and, as it turns out, her predecessor assured us that reorganisation was not taking and would not take any longer than would not take any longer than planned and that election scheduled for May 2026 would go ahead. The government confirmed this twice in government confirmed this twice in November 2025. Yet the very next month, they announced that elections in some parts of the country would be pushed back as far as 2028. Two weeks later, again in the run up to Christmas, the then local government Minister invited another wave of postponements in January of this year, despite having promised not to delay elections in November, the then Secretary of State announced legislation to propose to postpone 29 elections the next month.

Days before the department was due to answer for its behaviour in court. Those postponements were withdrawn. Naturally, the taxpayer was left to pick up the tab for all of these delays. A bill which runs into the tens of millions of pounds. This U-turn was announced during recess so that members of Parliament had to wait to question Ministers in March. It was another set of announcements and another set of legal challenges. In June, it was revealed in a Pre-action letter issued by the department that Ministers had ignored official advice over reorganisation plans. In July, just days before the right hon.

Member for Makerfield became Prime Minister, the previous Secretary of State announced a whole new set of reorganisation plans, with many members given essentially no time to scrutinise the sweeping changes that were set to be imposed on their areas. We still haven't seen the advice which informed those decisions. Can the Minister confirm today, in the interest of transparency, that this advice will be published and in September, following updated and privileged legal advice, the current Secretary of State withdrew decisions for Essex, Hampshire, Norfolk and Suffolk and paused plans in most of the rest of the country. What a complete joke, Madam Deputy Speaker.

Today the Minister talks of giving councils clarity, yet goes on immediately to say that all options and proposals remain under consideration and that he approaches all decisions with an open mind. He cannot be serious. We are two and a half years into this process. Madam Deputy Speaker, with years in opposition to planet. Why have these decisions not yet been made? How can we still be at the stage of keeping an open mind? And what clarity exactly have we gained from this statement? The vast majority of councils are none the wiser after what we have heard today.

He talks of allowing the process to run its course, and of giving full and proper consideration to each decision. But can he set out what will actually be taken into consideration? What role have party political objectives played in determining new local government boundaries? Has the government received at any point during the process legal advice which indicates that political considerations were given undue weight in deciding new council boundaries? And when can the councils, which have been left in the dark by today's announcement, expect some kind of verdict from the government? Which areas will hear by Christmas?

What does early next year actually mean? Given this government's record on meeting its own deadlines, I am sure the Minister will forgive me for my scepticism. The real world results of this endless delay are plain to see. People across the country are left without any sense of which council will be providing services in the year and years to come. While councillors and council officials have spent millions of pounds of taxpayers money planning and preparing for new authorities, which may never materialise. So notwithstanding the announcement that the Minister has made today on funding, can he provide an estimate today of the total cost of this government's shambolic local government reorganisation?

How much of that cost has been eaten by legal fees? The money spent on this farcical reorganisation process should have been spent instead on resurfacing roads, collecting bins and maintaining parks. Core local government functions that people actually care about. For all the Prime Minister's talk about local government, this whole approach to devolution has shown nothing but contempt for local democracy. Local voices have been ignored in the drawing of new council boundaries, overridden instead by party political considerations again and again. Labour's approach to local government has been about imposing more government, pushing up tax and stacking the deck in a cynical

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effort to gain political advantage. They should be ashamed. Yeah.

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Mr. McMahon. I think the first thing I'll say is that the concerns about the implications of the delay on implications of the delay on councils and councillors and the officials that have been working on these schemes, we don't take for these schemes, we don't take for granted. We know that the pause was disruptive, and we know that people put a lot of work into the put a lot of work into the proposals that they did and in the transitional work that they did ahead of the new unitary councils.

 But equally, it would have been wrong for government not to have taken into account the legal status
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Jim McMahon Portrait Jim McMahon MP, Parliamentary Under-Secretary (Housing, Communities and Local Government) (Oldham West, Chadderton and Royton, Labour )
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of those that were in court, and not use that as an opportunity to review the programme overall, which review the programme overall, which was the decision that we announced in September. And that was the right thing to do, to give clarity to the programme, to move forward to the programme, to move forward with confidence and to make sure that we are reviewing the criteria, the process, the decision making, the evidence base and where needed to come to fresh decisions. Now, from my perspective, I play this absolutely with a straight bat. I want to do it with integrity.

And it's important to say that there are no government proposals on the table here. The only proposals that are Minister can consider are those that councils themselves have submitted during the process. Now our job is to make sure that we test the evidence base. We test the assumptions we take into account local opinion. We test the alignment with public service boundaries. We test the financial modelling, and through that work we determine on balance. And by the way, there is no perfect solution for quite large parts of England that I have seen, but that doesn't mean we can't get it to be the best it can be.

And so our job in making that decision is to do that in a objective way and with an open mind, which is why I can't understand the frontbench on the other side, criticising what is objectively the right thing to do. The idea that we predetermine in a legal process what we believe to be the outcome that we most desire, and railroad that through, would be entirely the wrong thing to do. And all of the vulnerabilities with LGR that she speaks about are features of previous rounds of LGR that the then conservative government undertook on a fairly regular basis.

There is no decision that government takes that isn't open to a legal challenge. If somebody wants to, to move that challenge, and the government themselves on LGR found that they were in court defending previous decisions. Cumbria was a good example of that, where the government were taken to court, that was heard by a judge, and the government had to explain why it came to the view that it did. So we should not pretend that somehow a legal challenge represents a fault in the system. But it is a pause for thought, and that's a pause that we have taken to make sure that it is right going forward.

On the questions about how will this going forward? So what there isn't in this approach is the the previous kind of punching up of areas. So there isn't like a tranche one, 2 or 3 quite deliberately. What we are going to do is to work through them as quickly as possible. And the commitment that we've made is that rather than waiting, I don't know, for an artificial date, a particular point in time, if we can come forward earlier with a with a few, we should do that rather than waiting for the whole programme to be confirmed a bit a bit later on in that process.

And then finally, on the point of costs and how much has been incurred. So there are different ways of looking at this. There are the costs of producing the proposals. Well, that isn't abortive because those proposals are real today. And those proposals will be considered as part of the new process. So those are not wasted costs at all. And those are normal costs to be incurred in reorganisation. There are costs of transfers. So once the decision is made actually preparing the ground to move to these new shadow unitaries. But that is required whatever decision is made in whatever counter.

So that is not abortive work either. What we do accept is that the decision to pause and ask areas to ask staff to stop working on these proposals has led to a cost incurred by these authorities that would not have been incurred hadn't we decided to pause that programme? And it's on that basis that we have decided to release the money that we have, and I think that's the right thing to do. You know, we believe strongly in central government and local government working in partnership together and us being respectful to each other. And if councils say that we have incurred costs that we would not otherwise have incurred, is quite right that governments say,

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we're willing to meet you halfway. Cat Smith thank.

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You, Madam Deputy Speaker. I thank the Minister for his statement, but there remains some statement, but there remains some confusion in Lancashire, and I hope the Minister is able to clarify a few things. The moving away from few things. The moving away from the different tranches suggests now that there is no timetable for what might happen in Lancashire. My might happen in Lancashire. My councillors are asking me for some clarity on a timetable for Lancashire. Can I also seek reassurance that this means that Lancaster will not lose its city status in any part of this status in any part of this reorganisation, and that the building blocks for doing this reorganisation doesn't have to be strictly on borough councils.

For example, Wyre Borough Council, which was already an amalgamation of other councils, might want to of other councils, might want to say look in different directions.
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Pippa Heylings Portrait Pippa Heylings MP (South Cambridgeshire, Liberal Democrat)
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Minister explain why MPs representing effective areas were not briefed before today's announcement? And even now, after announcement? And even now, after months of confusion over local government reorganisation, delayed elections and significant abortive elections and significant abortive costs. Councils and communities are still waiting for certainty. Local authorities, many in dire financial positions following years of underinvestment, have spent time and money in good faith preparing and money in good faith preparing these proposals according to the government's criteria and timetable, only for those timetables to shift repeatedly. And in my constituency of South Cambridgeshire, one of the fastest growing areas in the country, businesses need certainty to invest and plan.

Councils need certainty to set budgets and deliver services, and council staff deserve clarity about their future. Yet today's statement leaves Cambridgeshire and Peterborough yet again waiting a decision while other areas move ahead. So when will the Minister finally provide a clear and stable timetable for Cambridgeshire and Peterborough, and for other areas that are still awaiting decisions? Finally, following the chaos of withdrawing decisions, pausing reorganisation and reviewing the programme following updated legal advice. Can the Secretary of State even guarantee that what she is announcing today is legally sound? And will she now publish that legal advice for to demonstrate that?

Thank you.

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Mr. McMahon. So working backwards, the the reason why we carried out the review was to make sure that we were satisfied as Ministers who are making the decision that the making the decision that the decisions were being made in a rational way, with the evidence based secured, and that where there based secured, and that where there were questions outstanding that we tested that in the process, because obviously we were not the Ministers
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Jim McMahon Portrait Jim McMahon MP, Parliamentary Under-Secretary (Housing, Communities and Local Government) (Oldham West, Chadderton and Royton, Labour )
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obviously we were not the Ministers who made the July decisions. And so coming back in, we need to be absolutely sure that what we put our name to is correct. And we're doing that in point now. Now, that may mean in many areas that actually the same conclusion is reached, but importantly, it'll be reached as a fresh decision. So we are going to go through that, which is why it's taken time. And actually, had we come here and said, you know what, we've completed the whole programme review, the Financial Review, and we've done every single county in England outstanding in a few weeks.

I think you would have cast doubt on just how much time we have given to each of the counties and the proposals. So we are determined to make this robust, for it to be right and to put the time needed to make sure that we fully go through the proposals, the consultation, the financial assessment and where local areas are put forward an argument in support of their proposal. We are testing that line by line, and I'll give you an example. If a local authority is requesting a boundary change or to grow their boundaries and is predicated on matters like housing numbers or economic growth or travel to work areas, I want to see that.

I want to see the travel to work map. I want to see the urban development form in the way that it takes in that particular place, etc. so, so we are testing those to make sure that we are satisfied. But I do return to the point I made. I haven't seen a single proposal that I consider to be the perfect proposal, but it's our job to make sure with that, that we've received, that we try and get the best possible proposal. And that's the work that we are undertaking. On the point about Cambridgeshire and Peterborough, and obviously it applies to West Sussex as well, that they essentially go into the same pool.

So I wouldn't assume necessarily that because they were at the end of the decision making process on the previous round, that you're at the end of the process. On the current round, we'll make a decision on which ones we're going to bring forward shortly. And on the point about legal advice, and it was mentioned by the opposition front bench as well, it's obviously long standing government policy

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that we don't publish that legal advice. I need members to have much shorter questions. The minister's

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answers to be on point as well. David Williams thank you, Madam Deputy Speaker. When I'm out listening to residents around Kidsgrove and residents around Kidsgrove and surrounds, what they tell me is they want good public services delivered efficiently into a high quality. But a two tier system causes constant confusion. So if a resident wants to raise issues about the local park, then go and about the local park, then go and speak to the borough council. Have a question about your local library? Go and speak to the county council.

Lead a pothole. Speak to your
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Jim McMahon Portrait Jim McMahon MP, Parliamentary Under-Secretary (Housing, Communities and Local Government) (Oldham West, Chadderton and Royton, Labour )
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that we approach with an open mind. So there is no further requirement on councils to do that front work. However, we are going to introduce a minded two process. So when the a minded two process. So when the decisions are made, there will be minded to decisions and the idea of that is I do think we need to rebuild good faith in local rebuild good faith in local government, where if areas have concerns about the proposal that we believe ultimately is the minded believe ultimately is the minded two decision, but it is not quite right for an area or there are concerns about potential implementation or what it means for local communities.

There has got to be something in the process where government is open to listen to

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that, and we believe that is best done through this minded process. So. Geoffrey Clifton-Brown.

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Thank you, Madam Speaker. Can I warmly welcome the Minister's statement today and his announcement that Gloucestershire will be one unitary authority. This will be one unitary authority. This will produce better administration and better value for money. However, can I ask him to explain to my can I ask him to explain to my constituents why we are having an election next May on the existing councils, which will gradually lose councils, which will gradually lose power as it moves towards the following election the next year? Why can't we simply have an election next May on the shadow unitary authority?
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Jim McMahon Portrait Jim McMahon MP, Parliamentary Under-Secretary (Housing, Communities and Local Government) (Oldham West, Chadderton and Royton, Labour )
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three weeks for interested parties to make representations. What that means. And then obviously then we need to consider then our response to it and kind of do any more development from that. That will mean that the 27 election just won't be possible. The other thing to, I think, have in mind is that even though we are doing our best to tie this down and for it to be robust, any decision of government can be challenged in court, including the one in Gloucestershire. And I think the worst outcome, actually, is that we pretend that May 27th is an option where we're going to get to the end of the 92 decision in January.

It's going to take a couple of months then to look at it. That would be no time at all for a returning officer and political parties even to find candidates, potentially for the new shadow unitary. If there's a chance that that decision could be jarred in that process, I think would probably be the worst outcome. So it's it will take a bit longer is is a fact. But actually, I think

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that does give more certainty to councils to prepare for it. And Chris Webb. After.

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After. Which I will call Steve Darling. Chris Webb.

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Chris Webb. Knows my frustration with LGR and the original outcome. And I. Know the Member for Blackpool

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Know the Member for Blackpool North and Fleetwood and the member Fylde all agree that the outcome that it came for Blackpool South and wire to merge as one authority and wire to merge as one authority was the worst outcome possible with the challenges that we face in the
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Jim McMahon Portrait Jim McMahon MP, Parliamentary Under-Secretary (Housing, Communities and Local Government) (Oldham West, Chadderton and Royton, Labour )
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Community Empowerment Act requires us to bring forward before Christmas, neighbourhood governance arrangements and what we want to arrangements and what we want to try and do is have a unit government within a council, so we hardwire it and mainstream it so that local councillors are given that local councillors are given the respect of being frontline councillors with powers and resources to get things done in their area. But that which we can their area. But that which we can do at a bigger level that we do, do that in a in a different way. Can I just say, and I know he didn't mean this, but to be clear, the Reform Party is not taking the government to court.

Local authorities have

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decided to issue claims, and we need to make sure that we're not using local authorities for party political reasons. Amanda Hack thank you, Madam

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Amanda Hack thank you, Madam Deputy Speaker. I thank the Minister for his statement, and he will know. I've been calling for devolution settlement for Leicester, settlement for Leicester, Leicestershire and Rutland, which I was pleased was confirmed in the Budget yesterday. However, we know that local government reorganisation is going to be key to long term strategic growth in our communities, so it is our communities, so it is disappointing to hear of this withdrawal at this moment, but I have more concerns about how this uncertainty will impact our communities and our hard working colleagues across local councils.

 colleagues across local councils. How will those local authorities be supported in Leicester, Leicestershire and Rutland in light Leicestershire and Rutland in light of this change, to make sure this doesn't disrupt their long term aim for excellent services to my residents.
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Jim McMahon Portrait Jim McMahon MP, Parliamentary Under-Secretary (Housing, Communities and Local Government) (Oldham West, Chadderton and Royton, Labour )
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Mark Garnier like my hon. Friend the Member for North Cotswold. I agree that the idea of merging six district councils and one county council into one unitary authority for 650,000 people is a good idea. It has a lot of efficiency. So in a country like Worcestershire, where we have 630,000 people, six district councils and one county council, how on earth are the Minister come to the conclusion that it was a good idea to split the County Council in two, and have a North and a south divide in a

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county that's smaller than Gloucestershire. Well, through the process. What

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Well, through the process. What we don't do is to align a entirely separate legal decision in a neighbouring county with the one neighbouring county with the one that's being made next door. All we can do is to receive it on the the proposal basis that we receive. Now. proposal basis that we receive. Now. These are these are not always easy decisions, and they're always a matter of balancing competing interests. And as I said before, interests. And as I said before, there is no perfect proposal yet that I've seen. But we're trying to do is to get the best possible one.

 And we're trying to do that both in Gloucestershire. We tried to do that in Worcestershire and all the others that we've announced today, others that we've announced today, but equally we are reminded to pause and if he wants to make representations in that time, I'd be very happy to receive them. be very happy to receive them.
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Jim McMahon Portrait Jim McMahon MP, Parliamentary Under-Secretary (Housing, Communities and Local Government) (Oldham West, Chadderton and Royton, Labour )
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So we publish the criteria at >> So we publish the criteria at the start of the process and that criteria stands. It is an unweighted criteria. And the idea unweighted criteria. And the idea there is it gives us the freedom to take into account that England is very diverse, and what's right for one county might not be right for the other, but equally, these have got to be, in the end, as sustainable as possible. They've got to take into account the balance of efficiency and identity in the same way. But these are not easy decisions. But the point he makes about the opportunity to have a modification proposal, we're now at the point where we receive the proposal, so there's no additional window to do that.

And the consultation, obviously in places has carried out. However, in all of these decisions, there will be minded to process so he and others can make those representations. But I'm very happy. In cases such as Cambridgeshire and Peterborough and

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also in West Sussex, to confirm, in a bit more detail in writing to members shortly. OK.

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Thank you, Madam Deputy Speaker. As many people have said, this process has been a shambles, but I do welcome that. You're going to have the minded two with time for people to come back and give their people to come back and give their views. Although I want this process sorted quickly, that timetable has sorted quickly, that timetable has to be enough for a real consultation. And bear in mind all
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Tony Vaughan Portrait Personal statement Tony Vaughan KC MP (Folkestone and Hythe, Labour)
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harassment policy. I accept those findings in full. At a small gathering to thank my former colleague for her work establishing the constituency office, I initiated a hug. I assumed that she was content to be hugged, but I did not ask, and the hug was unwelcome to her. Later that month, while out of the office, intending to join an online meeting that was not in my diary, I took my former colleagues phone from her hand without her consent to join that meeting. She immediately challenged me and took the phone back. It was not mine to take.

The next day, two calls with my former colleague and me were ended abruptly while I was trying to find the venue for a constituency appointment, one of them deliberately by me after entering a live church service. Regrettably, I never explained why these calls had ended as I ought to have done as a result of these behaviours. My former colleague was upset and humiliated. My behaviour had a real and continuing impact on her and her family and I am truly sorry for this. I was the employer of my former colleague. There was an imbalance of power between us and I was not sufficiently alert to it as a behaviour.

Code requires the responsibility for behaving in a way that was mindful of that imbalance was mine and not hers. I also recognise that behaviour like this could well impact on somebody who is vulnerable, whether or not that is known. That is why respect and courtesy must come first. In every interaction I have with others. Since these events, my approach has changed. I am more alert to the need for sensitivity to those I work with. I have undertaken further training, including 1 to 1 training going forwards. I will be mindful of the need for both courtesy in my dealings with staff, including in times of stress and for my personal attention when staffing problems arise.

I made mistakes and I breached the policy. I apologise unreservedly to my former colleague

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and to this House. The clerk will now proceed to be

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the orders of the day. Ways and Means adjourned. Debate on question.

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on question. Now the question is as on the Order Paper, and I call the shadow

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Chancellor, Andrew Griffith. Yes. Thank you. Thank you, Madam Deputy Speaker.
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Andrew Griffith Portrait Andrew Griffith MP (Arundel and South Downs, Conservative)
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he would have done a better job. He might be right. It's not too late. If he resigns again, he might get his chance to be the Chancellor. But all the while, Madam Deputy But all the while, Madam Deputy Speaker, Britain has a debt problem. Britain has a defence problem. Britain has a defence problem. Britain has a growth problem. And apparently we learned yesterday there is nothing the Chancellor can there is nothing the Chancellor can do on the big challenges. What has this Budget actually done? It does not reduce borrowing. Total debt has gone up. It does not properly fund defence.

They still haven't set out how 3% will be funded. No they haven't and it doesn't cut taxes to get the economy growing.

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Instead they're putting taxes up again. I'll give one. Deputy Speaker I am grateful to

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Deputy Speaker I am grateful to the right hon. Gentleman for giving way. He spoke there about this country having a defence problem. I wonder if you could elaborate about the context of that defence problem, perhaps reflect upon the fact that might have something to do with our investment has left us with poor morale in the British Army, unprecedented levels of poor morale unprecedented levels of poor morale and underinvestment in terms of leaving the British soldiers unequipped to do the basic job of

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defending our country. In interventions should be short question.

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question. Andrew Griffith well, thank you, Madam Deputy Speaker, and if time allows, I'm very happy to go into great detail about the record of great detail about the record of defence on this House. We were proud once Russia invaded Ukraine to stand with the people of Ukraine, to reboot the funding, to reboot to reboot the funding, to reboot the funding for defence and the test that the Chancellor failed wasn't my test. It was his own test. It was the Chancellor who resigned because his previous Chancellor and Prime Minister would not give our armed forces the proper funding that our defence.

Yesterday we needed decisive action and all they delivered was a Budget of ducked decisions. The Chancellor has taken to heart the idea of why do today what you can put off to next year or the year after? And as a result, let's be clear Britain will be less secure, less fair and poorer for it. Now, I'd be remiss. I'll give away.

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One says. On the 14. Years of. Tory. Government. Our armed forces were reduced to a size smaller than any time since Napoleonic wars. How. How secure

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are we? During his time in power. Madam Deputy Speaker, when I can make some progress and we've got plenty of time to to talk about defence, it's a very no no in. I've got I've got a very good answer. In 2010, his party wanted to reduce and cut further our armed forces. We were the party. We were the party that will always stand behind our armed forces. Madam Deputy Speaker Madam Deputy Speaker, let me make some progress, because this is a debate about the whole of the Budget, and there will be plenty of opportunity to talk about defence.

 Let me make some progress and we can come back to that. Let me let me be gives the government some credit for some of the few positives in the Budget. The Chancellor was right to U-turn on his party's manifesto commitment to equalise the youth rate of the minimum wage. 1 in 6 young people under this government are looking for a job and can't find one. Shame on them. And equalising the youth minimum wage would have made a desperately tough situation harder. He should have gone further and halved the jobs tax for young people, as we would have done.

He was also right to ignore those on his backbenches who wanted to raise capital gains tax. In fact, it wasn't just the backbenches, it was the defence Secretary. He was also calling for that. So thank goodness the Chancellor did not listen to him. It would have meant many more wealth creators joining the thousands who have fled our country under Labour. Madam Deputy Speaker, the public wasn't asking for much from this Budget. And yet even their lowest expectations have not

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been Met ordinary people wanted the government to get a grip on out of government to get a grip on out of control welfare spending. They wanted a Budget that properly funded defence. They wanted the funded defence. They wanted the government to tackle the deficit. Tax cuts for their families to be Tax cuts for their families to be better off, that would have been real breathing space. Against all and any of those tests, the and any of those tests, the government the Budget has comprehensively failed. It could have been a moment, Madam Deputy Speaker, when a Chancellor resolved to live within our means.

Instead, this government will have added do they know the number more than £300 billion worth of borrowing over the course of this Parliament? Borrowing is up in every single year of the forecast. The national debt now stands at the equivalent of £100,000 for every household, and it's set to grow by a quarter in the next five years. Britain is walking along a fiscal cliff edge, and the government has decided this is the moment to close their eyes. Yesterday, the OBR confirmed the government is spending £124 billion a year on interest alone, up £14 billion more than the government spends on defence, policing and prisons combined.

Money going straight out of the door to our creditors. It was so out of control that the Bank of England, in the run up to this Budget, was forced to make an extraordinary £200 billion intervention to try and reduce the cost. And still the 30 year gilt rates rose above 6%. It's not fair. Madam Deputy Speaker, it's not fair to our children or to their children. We cannot continue to kick the can down the road to future generations of taxpayers. And instead of getting a grip, the Chancellor doubled down. He repeated his predecessor's mistakes and cut the fiscal headroom to just £15 billion, the equivalent of just three and a half days of public spending.

Is that recklessness why the Defence Secretary wants us all to have three days worth of stockpiled food? Sauvignon blanc. The Chancellor said in his conference speech. Chancellor said in his speech the levels of debt are an assault on our common sense, an affront to our values. That was just a month ago. So what's changed? He's now raising debt in every single year of the forecast. A month ago, it was an affront to his values. Now it's front and centre in his Budget.

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Yeah yeah yeah. Very good. The Prime Minister may not care about the debt we hand on to the next generation, but he really ought to, as should Labour's faithful little helpers, the faithful little helpers, the Liberal Democrats, so enraptured by Liberal Democrats, so enraptured by Europhilia, so desperate to crawl back into the clutches of Brussels back into the clutches of Brussels that they haven't noticed a glaring problem. The nation's figures tempting the nation's figures are so poor. The nation's figures are so poor that we couldn't rejoin the EU even if we wanted to. EU rules say that a member country's national debt should be under 60% of GDP.

Yet the UK is approaching 100%. The EU's deficit limit is 3%, yet the UK is one and a half times that. And despite all that debt, the Chancellor still hasn't found the money to properly fund 3% of GDP on defence. And while we welcome that, the government is finally funding its own defence Defence investment Plan. It's not good enough. No serious person disputes. Of course I will. Of course I will.

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Is the hon. Member aware. That when. Defence spending. When Labour left.

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When Labour left. Office in 2010 was 2.5%, it fell

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Office in 2010 was 2.5%, it fell below two. Under 2% during the conservative government and is now set to rise to 3.5%. Does he understand the correlation between Labour governments and increased

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defence spending? The Labour whips have clearly been doing their history lessons. But history lessons, Madam Deputy Speaker, are not going to defend our country. The threat is real. The Defence Secretary is running around telling us to put food under our beds to store water. The issue is now and that is why the Chancellor himself resigned, saying it was inadequate that he didn't fund the 3%. Nobody challenges that. Nobody challenges that. I'll give I'll give way. I'll give away one last time. Madam Deputy Speaker.

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I thank the hon. Gentleman for giving way. And actually, there is an element of agreement, because in our Budget yesterday we agreed to our Budget yesterday we agreed to get 3% of GDP on defence by 2030, as did as did as did the hon. Gentleman's mini Budget back in 2022. But does he agree the difference between our Budget and difference between our Budget and his Budget is that we'll actually get to the spending review next year to be able to deliver it, and

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it will last longer than 47 days. Madam Deputy Speaker I mean, they they try so hard. The hole in their Budget is gaping wide open. And the problem, Madam Deputy Speaker, is it's not just us on this side of the House that can see that hole. It's our adversaries around the world leaving ourselves open, not properly funding our armed forces. Isn't going to solve, isn't going to scare anyone in Moscow. And it's not going to deter Tehran.

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Absolutely. The defence Secretary has resigned once before. We know he is resigned once before. We know he is not against resigning. Perhaps he could resign again on principle. Today we on this side of the House Today we on this side of the House are used to Labour making their promises. But to break the promises that they made to our armed forces that they made to our armed forces is a new low. And if the Chancellor had any dignity yesterday, he would have resigned.

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have resigned. Resigned over 3%. He hasn't got a plan. Despite their failure to fund defence, they've still raised the tax burden to the highest level on record, higher than in the aftermath of World War Two, higher than even the Member for Leeds West and Pudsey raised it to. Who remembers how this government had no plans to put up taxes? How is that working for the third Budget in a row, the tax burden is set to rise. All told, taxes are going up by a total of £75 billion a year, higher next year, higher the following year, higher in every single year of the forecast.

Even the Prime Minister's former economic adviser, Andy Haldane, now says that Britain is taxed out. He also called the Chancellor penny wise, pound foolish. I'm not even sure about the penny wise bit, to be honest. And where will that money come from? Families, small businesses, the self-employed, farmers, the people who work hard want to get ahead. And why? To pay

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for those who don't. Those who could work but choose not to. Yeah. The damage doesn't just stop

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The damage doesn't just stop with the tax bill itself. It's the disincentives in the economy that disincentives in the economy that do the most harm. Two years ago, the Chancellor stood at that the Chancellor stood at that despatch box and raised taxes on jobs. Now we're in a jobs crisis. jobs. Now we're in a jobs crisis. Over 170,000 jobs lost since July 2024. All because Labour don't understand that if you tax something, you get less of it. Now they're raising taxes on the banks who provide mortgages, loans to small businesses and pay interest to savers.

Chancellor might think it's just a bank tax, but we know like every tax, it will end up being paid by ordinary working people. Higher mortgages, lower returns on savings and bank branch closures in every constituency and

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every high street, and fewer jobs in this country. Yeah. The Budget also has a vindictive

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The Budget also has a vindictive tax rise on people who have done the right thing, who have done what governments have always told them governments have always told them to do. But this government wants them to do to save money. And yet, them to do to save money. And yet, for many, up to £0.49 in every pound of interest on hard earned savings will now be taken by the savings will now be taken by the Chancellor. It's the same story on landlords who've already been on tax under attack from this government, and the OBR says that rents will go up as a result.

Madam Deputy Speaker of all that this Budget was missing. The lack of welfare reform stands out the most, or at least so we thought, because this morning the Chancellor told the BBC that there will be welfare cuts before the election. Perhaps a Treasury Minister could come to the House and clean up the Chancellor's mess. His Budget hasn't even survived 24 hours. Last week, the Prime Minister called the benefits bill a moral outrage. He was right then, but he's not doing anything about it now because those on the other side of the house are too afraid to say enough is enough.

They don't have the courage to get a grip of welfare because they're worried it would cost them their jobs. Madam Deputy Speaker, Thanks to the Taxpayers Alliance, we know that for more than half of all Labour MPs, the number of benefit claimants in their constituency is larger than their majority. It's true for the Chancellor. It's certainly true for the Defence Secretary and it's true for the right hon. Member for Northampton North. They will not get welfare under control because it would cost them their seats, their own interests before the country and making progress. Don't you worry, Speaker.

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Order! Fascinated as we all are, there are many people hoping to

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are many people hoping to contribute this afternoon, so hopefully we'll be coming to a conclusion soon. Andrew Griffith Madam Deputy

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Andrew Griffith Madam Deputy Speaker, I read, I read, I read that this Budget had some of the most measures in it of any Budget, most measures in it of any Budget, but also that they were the most inconsequential. I will try and crack through a few other things. crack through a few other things. I'll tell you who else is there. All chuntering. I'll tell you who else is interest. They're putting first the trade unions, because while they're raising taxes on everybody else, they're handing out over £40 million over the next two years to a union learning fund.

I can't even begin to imagine what they'll be learning around how to run rings around the health secretary, what to do with those extra days off from working a four day week, how to keep public sector pay rises twice as high as in the private sector? That's probably about right, he says. How to keep the Conservatives out. That's probably exactly what they're doing.

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It's a political bung to their political allies. As public money. And you said

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As public money. And you said it's money. There we go. It's ridiculous. It is ridiculous. Madam Deputy Speaker, ridiculous. Madam Deputy Speaker, while families face tough choices, we're in a cost of living crisis. This government uses its Budget to This government uses its Budget to tax people and hand money to the trade unions. Now, it wasn't just the Budget we heard yesterday, the Budget we heard yesterday, Madam Deputy Speaker. It was also the Office of Budget Responsibility figures. And they really do show us just how bad things are. For the first time ever, the government is planning to spend over £0.45 in every pound in the economy.

Government spending goes up every year of the forecast, and debt is up every year of the forecast. And all the while, it's official that living standards are down. Real household disposable incomes are set to be lower next year than when Labour took office, £1,500 lower at the end of this Parliament than they were forecast to be under the Conservatives. And it's not hard to understand why inflation is up. Interest rates are soaring, unemployment is up again and the one off £100 the government is putting in bank accounts won't touch the sides for most people, given the cost of interest of interest, cost of increase in that.

 So the only thing that will put us on a path out of this decline and deficits is growth. We understand the value of growth. The Prime Minister has got his history entirely wrong. The mistake this country made was not to choose markets over socialism. In 1970. It was not electing Mrs. Thatcher, it was giving up all that we achieved in the 80s and 90s. In conclusion. In conclusion, Madam Deputy Speaker, she's very firm. Madam Deputy Speaker, this Budget will go down as one of history's great missed opportunities not to undo 40 years of neoliberalism, but to undo the damage.

In the first two years of this government. The mistakes made by the Member for Leeds West and Pudsey, who is now busy job hunting and discovering herself for the first time, what it's like to receive rejection after rejection yesterday was a chance to put Britain back on the right track, and the Chancellor blew it. Higher taxes, higher spending, higher borrowing, lower growth, lower living standards, fewer jobs. I hope the Chancellor kept the receipt for this Budget, because I think he's going to want to return it. The British people know this is not the Budget we need.

This is a great country whose potential is being held back. But we've got a Chancellor who ducks his choices and a Prime Minister who wants to take us back to the 1970s. You can't tax and regulate your way to growth. National security really does matter more than Social Security. And only by tackling the deficit can we back away from the

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fiscal cliff edge and do the right thing by future generations. I call the Defence Secretary of

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I call the Defence Secretary of State Wes Streeting. Thank you, Madam Deputy Speaker.

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Thank you, Madam Deputy Speaker. I'm proud to open this Budget debate on behalf of the government. Proud of the leadership of the Proud of the leadership of the Prime Minister and the Chancellor, who is offering this country breathing space today and fresh

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breathing space today and fresh hope for the future. Amen. Madam Deputy Speaker, before I
13:35
Wes Streeting Portrait Rt Hon Wes Streeting MP, The Secretary of State for Defence (Ilford North, Labour)
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turn to that, I do need to talk about the threat this country faces, one that sabotages our economy, one that sabotages our economy, that pushes out misinformation, that attempts to undermine people's trust in government. For once, trust in government. For once, Madam Deputy Speaker, I'm not talking about the Russians, but the Russians, not least the shadow Chancellor opposite, who I fear is part of a Russian sleeper cell operating in the shadows of the Conservative Party. He didn't say much about his plans today, but I don't think we need to look very far. In fact, there is a book out that tells us all about the secret plans.

He's no doubt saving up for the next manifesto bank job it's called, written by one Liz Truss. He he knows her well. Madam Deputy Speaker, this is the Liz Truss for whom he helped write the mini Budget which crashed our economy and damaged Britain's reputation, and which he still says contained and I quote, lots of good things. Maybe, Madam Deputy Speaker. That's why when I tried to obtain a copy of the bank job this morning, I found there were no books available in bookshops for miles around.

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Presumably the shadow Chancellor has gone around and bought them all. Up.

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Up. Just in case someone might find out exactly what they stand for, out exactly what they stand for, because that is the danger, Madam Deputy Speaker. They walk among us, the Russians, hiding in plain sight, deep cover sleeper agents masquerading as responsible fiscal masquerading as responsible fiscal conservatives. But we will not be fooled. Madam Deputy Speaker, we remember when the shadow Chancellor cheered her on, and we all know the consequences of their misjudgements. And if we're not careful, Madam Deputy Speaker, the Russians are coming, and they're winding up to play their own band of roulette with our public finances once again.

 But all joking aside, Madam Deputy Speaker, I think it is genuinely appalling that the arsonists have the audacity to complain as the firefighters are clearing up their mess. Never forgive, never forget and never let the Tories do it again. In fact, in one of the low points of an otherwise dull and inaccurate contribution to this chamber, he had the audacity to level low level blows against my right hon. Friend the Member for Leeds West and Pudsey. Let me just point out that despite the shocks that the economic global shocks this country faces, the security threats of a kind we have not faced in generations.

The IMF earlier this month upgraded their growth forecasts for Britain for 2026. The IMF said. The IMF says, and I quote, that the UK stands out among G7 nations, and it credited the government's responsible approach to handling the public finances. That is the legacy of my right hon. Friend the Member for Leeds West and Pudsey, and I pay tribute to her leadership, her experience and

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her hard headed stewardship of our economy. Order. I can tell that the Defence Secretary has had his Weetabix Secretary has had his Weetabix because he is very loud at the despatch box, and he has to be loud because there's so much heckling.

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Can everybody just calm down a little bit? Wes Streeting thank you madam. They can shout all they like, Madam They can shout all they like, Madam Deputy Speaker, but the fact is that the former shadow Chancellor restored the confidence of the restored the confidence of the markets after they trashed Britain's reputation with their catastrophic mini Budget. She created the platform for our Labour government to invest in public services, protect the most vulnerable, foster innovation and navigate the headwinds of the last two years. And during her time as Chancellor of the Exchequer, she established a record that the conservative front bench couldn't begin to touch.

Those are the facts, and nonetheless, against the backdrop of the enormous challenges this country faces, as the Chancellor set out yesterday, he is taking action to tackle the cost of living to give households breathing space today help for 20 million households to help heat their homes this winter. Freezing fuel duty to keep down prices at the pump, helping with the everyday cost of the weekly shop so that people have more money in their pockets. Action on energy bills, the minimum wage, the national living wage, the State Pension all going up to help people out and no one, Madam Deputy Speaker, no one is suggesting that these measures solve everything for everyone, everywhere, all at once.

 But people can see that we are doing everything we can as fast as we can to give people breathing space today and fresh hope for the future, to show that this government and this Prime Minister has got their backs to show that as a nation, we can still do big things. That government can make a difference to people's lives, that Britain is a country we can still believe in. And that's important. As we look beyond the optimism of the first 100 days of this new government and our new Prime Minister to the brighter future that lies ahead for our country, if we make the right choices.

Because, yes, we face great challenges, but the character of a nation isn't defined by the challenges it faces, but how it chooses to respond and be. In no doubt, it is a choice. We choose not to be daunted by the scale of the challenge, but to be motivated by it. To face the future not with fear, but with confidence. To choose hope. We choose it because we know what hope can do. Look at what this Labour government has been delivering in the past two years. Half a million children out of poverty waiting lists down by a quarter of a million, the asylum backlog down 60% in a year.

Small boat crossings at their lowest in six years, the fastest growing economy in the G7 in the first half of this year. Free breakfast clubs feeding 680,000 children, six train operators brought back into public ownership and defence, spending up by £14 billion compared to the Conservatives final year in office. Lots done, lots more still to do, but so many reasons to believe that our best days lie ahead. I'll

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Secretary. For giving way. As he's talking about defence spending, could I just take him to the Red book? Page just take him to the Red book? Page 31, paragraphs 2.5 and 2.6? I'm sure one of his Treasury colleagues will have a copy. He will see it as 10.3 billion of Reprioritisation to 10.3 billion of Reprioritisation to fund that, alongside 4.7 billion, of which 3 billion is capital cuts of which 3 billion is capital cuts elsewhere, 1.7 billion from the reserve. So of course he'll get the 1.7 from the the reserves.

Has he been told by the Treasury where that 3 billion of capital savings is coming from? How much of it, if any, is coming from his department? And can he assure the House that the government is on track on the over 10 billion of efficiencies, given that the Institute for government and many others say that is highly unlikely to be delivered?

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Defence Secretary Madam Deputy Speaker, I can absolutely confirm that thanks to the responsible choices made by the Chancellor and his predecessor, we do have headroom to weather shocks. The headroom to weather shocks. The Chancellor is drawing on that. But in terms of capital Budget reprioritisation across government, reprioritisation across government, it is absolutely true to say that across the Cabinet, members have been willing to prioritise within been willing to prioritise within their own capital programmes in order to fund defence, so we can be absolutely clear beyond any doubt, Madam Deputy Speaker, that this is a Chancellor, this is a Prime Minister.

This is a team that chooses to prioritise defence. I bet he wishes he made the same choices when he was Chief Secretary to the Treasury, leaving our armed forces hollowed out and underfunded. And Madam Deputy Speaker, it was another great Healey, my predecessor, Denis Healey, who said that without strong defences we have no houses, we have no hospitals, we have no schools. We have a heap of cinders, the first duty of any government to keep our country safe is a greater and more urgent challenge than it has been for generations. The gravest dangers of the 20th century are returning.

Armed with the technologies of the 21st. Britain faces growing threats from state sponsored terrorism. Sabotage and hostile acts are designed to disrupt our lives, undermine our security and spread fear. And yesterday the Chancellor gave his response to those threats at this despatch box, delivering more support to the front line for freedom in Ukraine, plugging the £4.7 billion gap in the Defence Investment Plan, confirming our unshakeable commitment to NATO to spend 3.5% of GDP by 2035. But going even further, with a new target reflecting Labour's commitment to fund defence spending at 3% of GDP by 2030.

That is the commitment the Chancellor made at this despatch box yesterday. That is a record the Conservatives can't even begin to touch. But I look

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forward to him defending the indefensible. I just wanted to bring the Defence Secretary back to his comments about the defence investment plan and it being fully funded. The Red book says that there's a reallocation of capital spending that's 145 million this year, 2.1 billion next year. Could you just outline where that reallocated capital spending will

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come from? Defence Secretary I've just set out, Madam Deputy Speaker, and it's there in the Budget. It is there. The government have reallocated the from capital programmes across government to make sure defence is fully funded. And what is so disappointing, Madam Deputy Speaker, and this has become a running theme of the leadership of the Leader of the Opposition. It's a running theme. When we sat on that side of the House in opposition, I remember Keir Starmer always making a virtue of standing with the government on issues of national security and defence, constructively challenging where we needed to.

But standing with the government, this lot can't help but try and score petty party political points at the expense of defence and national security. And what is even more extraordinary is the enormous brass neck. When you look at their record, just look at it. The smallest army since the Napoleonic Wars. Every single recruitment target missed morale fell to a record low of 40%. Almost every equipment programme over Budget behind schedule often boast defence spending, facing a real terms cut between 2010 and 2024 fell from 2.5% of GDP to 2.3%. And, in the words of their own defence secretary, the armed forces left hollowed out and underfunded.

And now they have the audacity to turn up and criticise a Labour government that is investing more,

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investing more quickly and cleaning up their mess, I can. Order.

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Order. Mr. Detected, not good behaviour. And Mr. Cartlidge, after yesterday, I thought you would have had a much quieter voice. I can't hear the

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quieter voice. I can't hear the Secretary of State. Can we just let him continue? Secretary of State. Doesn't know.

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Doesn't know. I mean, madam, Madam Deputy Speaker, I'm trying to make my voice heard from the despatch box. voice heard from the despatch box. But as I've said from my first day as Defence Secretary, I trust this Chancellor to give us what we need to keep our country safe. Yesterday demonstrated why, and his Budget proves why Labour can be trusted on defence. We are delivering the. It does say here because I wrote it. We are delivering the biggest sustained increase in defence spending since the end of the Cold War. That was Labour's record before the Budget.

This Budget takes us even further and next year's spending review will take us further still. What a. What a contrast with the abysmal record of failure staring us in the face across the House of Commons today. I appealed in my first statement to this House for national unity on national security. I actually think it is important that our allies and our adversaries know that we agree far more than we disagree on. We all believe we should spend more on defence. We all believe we should stand with Ukraine. We all believe we should invest in homeland security.

What a pity, then, that the Leader of the Opposition and her ragtag band of political vandals choose to play politics with national security. To do that in the current environment is bad enough to do so after their abysmal record in government takes some

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brass neck. But maybe the hon. Gentleman wants to defend it. I'm grateful to the Secretary of

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I'm grateful to the Secretary of State for giving way, but he's aware that there is no plan to aware that there is no plan to ensure that that target in 2030 is met. And at a time when we've actually got short term cuts in operational spending, the Secretary of State must feel a certain amount of disappointment that we don't of disappointment that we don't have a firm plan in place, because if the Treasury don't sign off the numbers, then nothing really

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happens. That's true, isn't it? I just don't know what they've got to moan about. Madam Deputy got to moan about. Madam Deputy Speaker, we came into government. We came into government with the abysmal inheritance we face. We chose we chose straight away to invest more in defence, to clean up invest more in defence, to clean up their mess. We've now gone even further than the 3.5% NATO commitment by 2035. By choosing to set our own target of 3% in 2030. And that's not just about the future. It is built on our record. In our first two years, defence spending has gone from 2.3% of defence spending in a moment.

But we have gone. We have gone. Just so we're clear, when we came into office, we've gone from spending 2.3% of our GDP on defence to 2.7% next year, so it is very clear we are on the right trajectory. That is not a record that they can speak to. I don't know how they've got the I don't know how they can be so shameless, but let's find out if it's true that he has a plan for 2030. Why did the Labour chairman of the Defence Select Committee say yesterday in reaction to the Budget, and I quote him, some of the key decisions on defence spending have lamentably been delayed until next year's spending review.

There is a cost to inaction, investment in our nation's defence and security cannot be kicked into the long grass. Our adversaries are not bound by fiscal years and spending

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cycles. Why did the Labour chairman of the defence committee say that? Yeah.

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Yeah. Secretary of State response can I just point out, there are so many people wishing to contribute, so hopefully his speech will be coming

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hopefully his speech will be coming Secretary. Madam Deputy Speaker, I've been. Too. Generous with my interventions,

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Generous with my interventions, but let me just take that point head on. I think that is completely unfounded criticism. Actually, I unfounded criticism. Actually, I don't care if he's the chair of the Defence Select Committee. I say it, I'd say I'd say it. I'd say it directly to the chair of the committee, and I'm sure I'll get the chance to, and I'm sure I'll get the chance to say it to the entire committee. It would be fair criticism. It would be fair criticism if this government had not already made decisions. That is leading to the fastest increase in defence spending since the end of the Cold War.

Not not in future years. Already on the basis of our first two years. And I'm sure that the chair of the Select Committee is a good friend. And I'm sure, I'm sure, just as I can take his criticism on the chin, he will take mine. I will gladly accept criticism where I think it's fair, Madam Deputy Speaker, but I will robustly reject it where I think it is wrong. And, Madam Deputy Speaker, I'm taking your taking your advice on timing. Let me just say, I've referred to the 14 years record of the last conservative government.

Let me contrast it with what I have presided over in the last 14 weeks. Armed forces recruitment showing its longest run of growth for half a decade. 400 contracts signed worth £4 billion, £400 million for spy drones for the Army, £135 million for Royal Navy torpedoes, £700 million for next generation fighter jets, over £8 billion for our nuclear submarine fleet. We've launched the UK six attack submarine and the first ever space quadrant. We've returned gun barrel manufacturing to the UK for the first time in decades. We're backing British industry to build the docks for our nuclear subs.

We've increased monitoring of Russian vessels in the English Channel, provided 50,000 apprenticeship opportunities for young people. Welcome record breaking investment in Scotland, deployed our armed forces to help Saudi defend from Houthi attacks, bolstered support for Ukraine. Signed a landmark deal to access cutting edge battlefield data, strengthened our NATO alliances. As I visited Washington, Paris, Copenhagen, Warsaw, Reykjavik and Kyiv mobilised with our allies in the Ukraine Defence Contact Group. The E5 of the Joint Expeditionary Force hosted our friends from Italy, Japan, Canada, Australia, Qatar and Oman, as well as the NATO secretary general. And in case the opposition missed it, as their leader seemed to yesterday.

On top of the biggest sustained increase in defence spending since the end of the Cold War, we set out our own target to spend 3% of GDP on defence by 2030. That is our record. That is a record the party opposite cannot begin to touch a government that actually puts its money where its mouth is, strengthening our armed forces, strengthening our alliances, strengthening our industrial base, backing Britain by buying British. That is how you defend this country, not with the gimmicks and grandstanding of the party opposite. By making this country ready with our allies to fight and win, so that our adversaries think twice about launching an attack in the first place.

Madam Deputy Speaker, the truth is that this is a more dangerous world, and that makes greater investment essential. But delivering what the Chancellor announced yesterday requires choices and trade offs. That's why we'll make sure that every pound that we invest is well spent to make sure it creates jobs and opportunities, not just the Ministry of Defence, but the Ministry of Growth and the Ministry of Opportunity helping to deliver the Prime Minister's domestic agenda stronger regional economies, a rebuilt industrial base, good jobs and better opportunities for the next generation. A more resilient United Kingdom built by the British people to keep Britain safe.

Spending on our on defence is a measure of our commitment, but capability is a measure of our credibility. That is what this Labour Budget, rooted in our values, does. It gives breathing space to working people. It gives us fresh hope for the future, and it strengthens the security upon which we all depend. Building a Britain ready to fight and building a country worth fighting for. That is our record. That is our plan. And that's why I'm proud to stand at this Dispatch Box and commend and

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commend the Budget to the House. I call the Liberal Democrat spokesperson, Joshua Reynolds. Thank you.

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Thank you. Madam Deputy Speaker. After years of government chaos and failure, we can only end the brutal failure, we can only end the brutal cost of living crisis and fix our broken public services. If we get broken public services. If we get the economy growing. We need a real growth plan with Europe at its heart. So Labour must fix the Conservatives botched Brexit deal by joining the single market and negotiating a new customs union and using the billions of pounds that that raises to cut people's taxes and cut people's bills. Already. Already. I'll give way to him.
13:55
Joshua Reynolds Portrait Mr Joshua Reynolds MP (Maidenhead, Liberal Democrat)
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I'm very grateful to him giving way, given the fact we heard from the shadow front benches that we don't meet the criteria to rejoin the EU, how does the Lib Dems suggest we get round that problem?

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I thank the hon. Gentleman for his intervention. I would potentially suggest he needs to listen to what I said in the listen to what I said in the previous 30s, because what I said was we need to join the single market and negotiate a new customs

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union. I did not say we need to rejoin the European Union. Well. First, the the first thing that

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First, the the first thing that we would do was to fix the biggest brake on our economy, and that is the botched Brexit deal. It puts up barriers for every business that barriers for every business that trades with our largest single market small firms and Maidenhead tell me how they now spend more time filling in forms than they do filling in orders. Some have simply given up trading with Europe altogether. That is, lost trade, lost jobs and lost revenue. We would rip up the government's red lines, build a new growth and defence partnership with Europe, including single market and customs union, and we would grow our economy, according to independent research.

Those measures would bring in £27 billion a year in extra tax revenue by the end of the parliament, and we would give those proceeds back to the people who earned it by raising the tax free personal allowance to £15,000, and by raising the higher rate threshold to £56,000, taking 2.5 million of the lowest paid out of income tax altogether and putting £650 back in people's pockets. It was the Liberal Democrats that raised the personal allowance. Before we can do it again. That is how you cut tax responsibly. You need to grow your way to get there.

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I'll give way. Thank the hon. Gentleman. Would he wish to add his thanks to the he wish to add his thanks to the Chancellor for the new low income tax free allowance for pensioners, ensuring that they can keep their State Pension and their hard earned pension.

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pension. I think the hon. Lady will find there is an anomaly within the Chancellor's proposals, where there Chancellor's proposals, where there is going to be a 54% tax rate for certain pensioners on certain incomes. Now, I don't necessarily that 54% tax rate for pensioners is the right thing to be doing. The second thing that we as Liberal Democrats would do would be make fairer choices about who pays. This Budget does go back once again to savers taxing savings on property incomes and savings incomes go up by another two points. That's on top of the two points that were announced last year.

So the retired couple that have put money away all of their lives, and the family that are saving for their deposit will be taxed more. The government is giving savers a little bit with one hand, but is taking with another. There is a fairer option, though, because of the high interest rates and the way that Bank of England's quantitative easing programme works, the Treasury is handing billions of pounds over to the big banks every year. This is a windfall that the banks did nothing to earn, and it's a windfall that banks keep, and businesses at our villages and our towns are paying price.

Our plan to claw back some of that money would raise £5 billion a year on average. And that has never been needed more because, as UK hospitality confirms, the hospitality sector pays £0.82 in business taxes for every pound that it makes, making it the highest in our economy and double that of the banks in my constituency. We have felt that more than ever. Just last month, the Crown in Burchett's Green that was ranked amongst the 50 best gastropubs in the country closed its doors. The owner blaming staff costs, rent, business rates and VAT, said enough was enough.

If a pub like this cannot make the numbers add up, what hope is there for cafes, restaurants and pubs across the country? That is why we would use some of that bank windfall tax to cut VAT for the hospitality sector, where it needs it most. The third thing we would do would be to

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take our security seriously. And I'm I'll give way. It's a slight irony what he's

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It's a slight irony what he's just said. He wants to cut the VAT on pubs, yet he wants to get closer on pubs, yet he wants to get closer to the European Union. That would not allow us to cut VAT on our own

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individual country. Isn't there a slight contradiction there? Once again, the hon. Gentleman

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Once again, the hon. Gentleman is confusing single market and customs union with rejoining the European Union. I am glad that the Defence Secretary is in his place today because just days ago he did say that we need to be ready for war by 2030 within a thousand days. And I take that warning seriously, and I hope that his colleagues do, too, because yesterday the Chancellor set the target for 3% of GDP on defence by 2030, and the plan to pay for that will come in next year's spending review. So the money that is needed for the issues and the compromises that he describes will not be coming until next year.

Madam Speaker, no government can meet a 1000 day deadline on a funding plan that currently doesn't exist, which is why we Liberal Democrats have proposed defence bonds. Our plan would raise £20 billion over two years ring fence to rebuild our armed forces, starting now. Inside of the defence secretaries. 1000 days not after them. Meanwhile, the government is funding its defence investment plan by cutting budgets across Whitehall. Earlier this year, departments were told to cut 1% from their capital budgets to pay for the first £10.3 billion of the dip. Now the remaining 5 billion, they must find another 1% on top of that, and as has already been mentioned, we do not know where these cuts will be coming from.

So families right across the country want to know which capital projects are going to be cut. Will it be the rebuilding of our crumbling schools? Will it be our leaking hospitals? Where is that money going to come from? So we are asked to choose between security and growth, but we need both. So the government urgently needs to make the case for defence bonds. So we have the money as soon as possible to rebuild our defences. And by building that capacity alongside our European partners, every pound would go further, supporting skilled jobs and British businesses within the supply chain.

We've also set out how to keep that investment going for the long term, which is the digital services tax. We would raise the digital services tax from 2 to 10%, bringing in billions of pounds a year from the tech and social media giants by 2030. These are some of the most profitable companies in the world, and it is only fair that they pay their fair share. Our plan shows how and it is fully costed. Defence bonds will provide the money up front and the higher digital services tax will sustain it year after year. Together, they were paid to expand the British shipbuilding and build more frigates to protect our waters.

Our European neighbours are investing billions in their own defence industries, and Britain must be at the heart of that, not watching from the sidelines. That is why we need our new growth and defence partnership with Europe, buying together, building together and defending our continent together, ensuring that as British shipyards, engineers and factories that win jobs and investments from European contracts. Because if we are shut out, then those jobs go elsewhere. Madam Deputy Speaker, this Budget is a holding pattern Budget. It is not the growth Budget that we all needed. But there is a better way growth with Europe, fairer taxes that ask the big banks rather than hard pressed savers, to pay their share, lower bills for every household and a serious plan for our security.

That is what fiscal responsibility looks like. We need to grow our economy, cut people's bills and cut people's

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taxes. Ruth Cadbury thank you very much, Madam Deputy Speaker. This Budget Madam Deputy Speaker. This Budget gives my constituents and people up and down the country much needed
14:03
Ruth Cadbury Portrait Ruth Cadbury MP (Brentford and Isleworth, Labour)
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then, from my perspective as Transport Committee chair, I am pleased the Budget delivers on house building, more council and house building, more council and social housing as too many families in Hounslow, Brentford and Isleworth are living in temporary housing and the new Your First Home scheme, which will support many who are earning but don't have a deposit to get on the housing ladder. And on this the Treasury listened and and have raised the sale price cap for the scheme in London. Thank you. Over the past year, I've met businesses across my constituency restaurants such as Sam's Waterside, coffee shops such as Baluchis in Isleworth and Hounslow to small specialist manufacturers Ormiston Wire and Newmont Engineering.

Their common message to me has been that costs, particularly energy and business rates, are too high. So I'm really pleased that the Chancellor has committed to taking more businesses out of paying business rates 900 each in Hounslow and in Richmond boroughs, and frozen business rates for many more businesses. Madam Deputy Speaker, I also know that to support businesses, we need to get more money into people's pockets. So increasing the National Living wage and the minimum wage, addressing energy bills, keeping its commitments on tax and introducing the new pension tax allowance, among many others in this Budget, are all very much welcomed by my constituents, and I welcome that.

London now has the fiscal devolution that our city has long deserved, and brings London more into line with other world cities. It allows the mayor to kick start projects across the capital and one one of which includes the west London orbital, a much needed rail line linking Hounslow to Hendon via Old Oak Common opening up development and employment opportunities across a swathe of west to north London. Now Deputy Speaker as chair of Transport Select Committee, I want to mention several other transport related elements in the Budget that I welcome the government's work to bring international rail services to Stratford.

Increasing rail, which will increase rail connectivity and choice, and the work to address the costs for EV drivers using public charging points. The decisions on fuel duty, which not only benefit car drivers but save a light goods drive a light goods vehicle driver £472 on average and the average HGV driver nearly £4,000 per year. Given the impact that fuel prices are having on the critical logistics sector, we all end up benefiting from these changes. Building rail infrastructure costs far more to build per km in the UK than in any equivalent economy, and I refer to my committee's February 26th report on rail investment pipelines boom and bust, we called it.

So I welcome the announcement of the review of rail infrastructure costs and to the publication of the more extensive infrastructure pipeline. The review's terms of reference responded to many of the issues discussed in our inquiry. How investment certainty, with clarity about what point costs are fully understood and when funding will be committed. This drives efficiency, safeguards workforces and enables skills planning. Investment is certainly is needed. Investors certainly need to have their concerns allayed. These come from the rail supply chain and their investors. Now, although this work is restricted to rail, the scope of the government review is otherwise very similar to the CMA review of road and rail procurement.

So I would like to know from the government how will the two relate to each other. And additionally, in its report in its response to our report, the government strongly denied there was such a thing as boom and bust in investment. So I do express the hope that the review will be more open minded on that front. Madam Deputy Speaker, I'm glad the Chancellor has heard the pleas from owners of airports and the private rail infrastructure, such as Saint Pancras and H. S one. They're concerned about the exceptional and unpredictable rateable value increases, and I hope that a rational and predictable system can replace the current mess that is holding back long term investment in our rail and aviation infrastructure.

I welcome the work the Treasury is doing to enable the Prime Minister's drive for devolution and partnership with local leaders, Northern Powerhouse Rail and a whole host of local transport projects that will deliver local growth across Britain. And finally, the Chancellor is also backing British bus manufacturers with a new look at bus procurement. Very welcome indeed. I will conclude, Madam Deputy Speaker, by thanking the Chancellor for tackling the big issues that face our economy and for delivering a Budget that

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delivers both for constituents and the whole economy. Here.

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Here. Sir Geoffrey Clifton-Brown. Madam Deputy. Speaker, thank you for allowing me to catch your eye in this me to catch your eye in this important Budget debate. I listened to the Defence Secretary, and I thought he absolutely embedded his comedic skills, and some of what he was saying would have been better
14:09
Geoffrey Clifton-Brown Portrait Sir Geoffrey Clifton-Brown MP (North Cotswolds, Conservative)
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was saying would have been better said on have I Got News for You, rather than in this chamber. So what we've got in this Budget, it's a tragic opportunity. It's a tragic opportunity to fix the fundamentals of this economy. Our debt is at a record level. The tragedy about that is that we are paying more than Greece in the rate that we are paying on that debt, 5.31%, and that will add an additional interest on servicing that debt. Just the increase on the interest of £14 billion alone. Now, the debt, the amount we're paying to service that debt is the third largest.

If it had been a government department, the Department of Work and Pensions Budget is about 246 billion. Sorry, it's at around 344 billion. And this doesn't even cover the amount of income tax that we are raising totally in this country, which is 330 billion. In other words, income tax doesn't pay all of our DWP bills. The second highest department is £226 billion. So I welcome the Chancellor saying he will meet his fiscal rules by the end of this Parliament, but that involves the national debt falling by the end of the Parliament. If I were a betting man, I doubt very much whether he will meet that rule.

Now on one of the one of the saddest things about our economy at the moment is inflation is going up. And before they start to scoff at that, it's one of the most important measures of the lot because it affects everything. It affects all of our cost of living, everything from our fuel costs to our energy costs, to our mortgage costs, all affected by inflation. So the one thing we ought to be doing is trying to get down the rate of inflation. And one of the saddest things about inflation is that my constituents, many of whom live off the gas grid, have to pay for heating oil.

And heating oil has gone up by 75% in the last year. Imagine that if you're on benefits and they're getting very little help out of this Budget to meet

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that. Currently, 13% of 16 to 24 year olds. Pounds per person if you're eligible.

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eligible. My hon. Friend has made his point very well. Let's hope that's read into the record. Currently, 13% of 16 to 24 year olds are neither in employment, education or training. We should be focusing relentlessly on creating opportunities for young people and supporting businesses that employ supporting businesses that employ them. Sadly, this Budget, as I say in a minute, does not do that. When sickness benefits pay more than the minimum wage, what is the incentive to work sectors such as tourism and hospitality, which provide opportunities in every part of the country, every constituency, but especially in rural areas, are facing significant economic pressures, and at least one pub a week nationally is closing the rates.

Relief offered by the Chancellor in this Budget may have help a minuscule amount, but this is unfair, offset by the increase in the minimum wage and particularly VAT costs that those businesses face. Now I want to turn to the kernel of what the Defence Secretary was saying and turn to defence, solemnly promised by this Prime Minister and the previous Prime Minister, that we would not only get to 2.7% quickly, we would actually have a path to 3%. Now there is no path to 3%. The only path that I can see is that departmental budgets will be cut, and it hasn't yet been tied down.

What will actually have to come out of those department? What services will come out of those departments to pay for that 2.3% real cuts in those departments? And there was no clarity on this in our Budget yesterday. Surely if the Labour Party and the government keep boasting about they're going to go to 3%, the least they owe the British people is a path of how we're going to get there, at least not only the 3%, but the 3.5% in the in the following Parliament, which is a great deal of money. Importantly, as General Sir Richard Barrons has said recently, we don't own the clock.

In other words, we don't know when our adversaries are likely to launch some form of attack on us. And we do know that the Ministry of Defence is not able to place the orders it needs. For example, in some of the bigger equipment, like F-35s, or when are the F-35s going to come? The defence secretary shakes his head. They're still in the queue. They can't be manufactured for us because we haven't made the solid commitment as to when we want them and that a particularly that delays in procurement particularly affects some of our smaller defence companies because they don't have the cash flow.

I now want to turn to AI. Now, AI is something that I raised in an intervention yesterday. This is one of the most important things the Chancellor could have done for this country yesterday, was to provide a proper path. How we, the government in every single department, was going to operate digital and AI more effectively so that he could increase productivity and the machinery of government changes that the government has undertaken in the last year. Don't give the pack, which I chair, any confidence that the government has a real policy on digital AI and how they're going to produce these mechanisms, use this technology properly.

A year ago, digital policy was in the Cabinet Office, then it was transferred to DSIT. DSIT was abolished. Now it's in DCMS. The department, which historically has been used to dealing with sport and culture, not the important matter of AI. So without this priority, it's difficult to see how this government is really going to make this digital policy work. Now, when my hon. Friend, as I said in the intervention yesterday, the Member for Godalming and Ash started in his Budget to give some significant sums to the Department of Health, the Defence Secretary's former Department of 3 billion to transform their digital equipment.

That was the start of what we should have been doing for every single department, and I don't know how the government are going to meet their efficiency targets unless they actually start to introduce proper AI, actually get rid of some of our legacy equipment, which is the defence Secretary knows only too well, is more vulnerable to cyber attacks. I now want to turn to local government reform, and I was very pleased to have the announcement this morning that Gloucestershire is going to be one unitary authority. That is good news, but we're only going to get any increase in finances for our local authority if we can come up with devolution and it's.

And there was no link to how Gloucestershire was going to move from local government reorganisation into a strategic authority, and we need to have that, because otherwise we're not going to be able to take advantage of some of those financial advantages. In the closing minutes of my speech, I just want to talk about the civil service pension scheme. And here there is a good news story in which I'm going to praise the government. We have had five hearings on the Public Accounts Committee into the dreadful mess that Capita has left. That scheme. Five hearings where every single deadline has been missed.

And that is not good enough for those poor 1.7 million members of that scheme. So the government have done a really good thing. Last week I wrote to the Pensions Minister about the problem of if Capita did not pay out a lump sum within two years, they would be taxed on that sum at their highest rate. The Minister met me fairly quickly. I raised it on the floor of the House on Monday and bingo, I got a letter yesterday saying that the law was going to be changed in the Budget. Now I do pay tribute to the government and the Pensions Minister for that very quick action.

That was the just thing to do. Those pension scheme members will not have to keep worrying about whether they're going to get their full lump sum or not. So in conclusion, Madam Deputy Speaker, this is a sadly wasted opportunity, and we look forward to future budgets actually giving us a path how we can have a better economic future. One of the economic measures that we had in the Budget yesterday was the growth of 1.2%, which all the government, the Chancellor's crowing about, but actually 1.2% historically is not enough to keep spending at the rate the government is.

We need more measures to help business. We need a proper taxation policy, and then this country will start to grow. Madam Deputy Speaker Thank you.
14:18
Chris Webb Portrait Chris Webb MP (Blackpool South, Labour)
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Yeah. minute time limit, Chris Webb. >> Yesterday, the Chancellor affirmed this government's commitment to good growth in every commitment to good growth in every postcode. And as the MP for a town that has been neglected by previous governments, I welcome this investment in communities like mine because it's desperately needed. Through years of austerity and economic decline, places like Blackpool were asked to do more with less again and again until there was nothing left to cut. I believe with the right investment and with local people in the driving seat, no community needs to feel left behind again.

Many of my constituents have already welcomed the cost of living measures. This Budget has set out £100 household energy payment for eligible households in council tax bands. A to D means 97% of households in my constituency will feel that benefit. Freezing fuel duty rates and extending the £0.05 cut to July 27th, along with more generous smile rates for people who use their own vehicles for work, will make a real difference to the tradesmen and care worker alike in Blackpool. Taken together, along with a welcome increase in minimum wage, these are tangible changes that will have an impact on my constituents pockets.

But improving people's lives means improving their environment to. People want to walk out their front doors and be proud of where they live, not be met by boarded up buildings. High streets are the beating heart of our communities, and hard working businesses should be able to thrive on them. The Derelict Buildings Fund, announced alongside the Budget, lets us bring prominent long term vacant buildings back into productive community or commercial use. After campaigning hard in this place for funding to tackle blight of derelict buildings in Blackpool, I'm delighted we've been allocated the 1.35 million from that fund.

This is the type of investment we have to make count and I'll be leading on this work locally, and I want local residents to tell me the buildings that matter most to them, or what projects are back with the potential to transform the area. This is exactly what we mean when we talk about putting power back into every postcode, and it's another step to building a better Blackpool. It's right that this Labour government is now committed over £40 billion to the biggest house building programme in a generation, with an extra 1.5 billion committed in the Budget at the end of last year, 11,844 people in Bradford were waiting for social housing.

So I urge Ministers not to overlook, like their predecessors did, to ensure we get a share of additional homes to meet the scale of our need. And I welcome the Chancellor's additional £432 million to ensure people sleeping rough have a route off the streets, off the streets. Figures from Blackpool Council show that applications from people seeking help with homelessness in 2425 were running nearly three times the national average. But we must make sure that safe accommodation, alongside the practical help, addiction and housing support people need to rebuild their lives and stay off the streets for good.

We have fantastic homelessness and reach organisations across Blackpool, just like Streetlife, whose youth advisory group I welcomed in Parliament last week. They told me that they need wraparound support for us to see the whole person. Unfortunately, the odds have been stacked against our young people. We face serious concentrations of deprivation and poor health, and the demand on services for children and families. Blackpool currently supports nearly three times the national average of children in care compared nationally. Yet despite the immense pressure, Blackpool Council has significantly improved its children's services, where we were recently graded outstanding by Ofsted thanks to the tireless work of frontline staff and dedicated leadership, and councillors Jim Hobson and Kath Benson, alongside the leader of Blackpool Council, Councillor Gwynn Williams.

We joined. She's joined me in urging the government to commit to dedicated children and families. Transformational investment package for Blackpool so that we can work together on the work that's already been done to bring down the numbers of children in care. We stand ready to work with the government to make our town a national example of prevention led children's services reform. I have told this House on numerous occasions that I truly believe when Blackpool succeeds, Britain succeeds. If we can fix the problem of a town at the sharp end of the many statistics, we can fix them anywhere.

We are now a town on the cusp of change. We have a wealth of creativity and culture and the ambition to be the city of culture in 2029 that I believe, could be the connecting tissue between all the areas of the good work being done. So in conclusion, Madam Deputy Speaker, briefing room is needed, and this Budget and this Budget provides some of that. But we must scale up the ambition and the speed of the projects. Blackpool's motto is progress. It's a town that's pioneered so much and has kept moving even through deep spending cuts.

We're on the right path. What we need now is a

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government that walks with us. Seamus Logan you, Madam Deputy

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Seamus Logan you, Madam Deputy Speaker, I want to begin by asking the House, when I heard the Chancellor's speech yesterday, is Chancellor's speech yesterday, is that it? Is this the government's best shot? If the Prime Minister is best shot? If the Prime Minister is planning to go to the country in the back of this and I say, bring it on. Yesterday the Chancellor it on. Yesterday the Chancellor delivered the gravest betrayal of the just transition in my constituency and in Scotland, Grangemouth, Mossmorran and now Saint Fergus. This looks like Thatcherism on steroids. Anyone seeing a pattern here?

The Chancellor didn't even have the courage to spell it out in yesterday's Budget. With loss of government support for Acorn in the
14:24
Seamus Logan Portrait Seamus Logan MP (Aberdeenshire North and Moray East, Scottish National Party)
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weeds of the Red book. While its so-called mature CCUs projects in so-called mature CCUs projects in England and Wales get the go ahead. The Labour government's paltry offer to Scotland amounts to merely saying how loan or equity investments can support the continued development of future CCUs, specifically mentioning the Acorn site. In other words, the project will no longer be considered for direct government considered for direct government money as part of the government funded track process. I am not taking interventions. There are a lot of people want to know. Thank you. With the Labour government prioritising 9.4 billion in England and Wales, and not even managing 200 million for the Acorn project in the Scottish cluster, rhetoric once again fails to match reality and instead reveals treachery in cold blood.

I was promised a final investment decision by the previous Chancellor at the Dispatch Box. Where is that promise gone today? Trust in this UK government from Scotland lies in tatters as they renege on their commitment to the green transition and reindustrialisation in the North east of Scotland, task forces reports, roadmaps, decisions to be made in the future. Jam tomorrow. As one newspaper put it this morning the sound we heard yesterday was the can being kicked down the road. The Chancellor calls it capital Reprioritisation but his fancy phraseology hides the truth. Existing capital remains prioritised in Teesside and Merseyside.

Merseyside. Why not Acorn in Scotland, the Scottish cluster and the UK's net zero future and thousands of jobs in Scotland rely on this ability to cut industrial emissions, providing the country's only viable CO2 transport and storage solution. Without it, key industries including energy, chemicals and manufacturing face mounting costs, a loss of competitiveness and a major risk of job losses. Meanwhile, as the cost of living, the cost of food, fuel and energy spirals upwards, Scotland remains trapped in an economic doom loop. Under Westminster control, we estimate £650 million will be removed from our Budget next year.

Where is this breathing space for households? At a time when energy bills will soon be more than £1,000 higher than promised, the Labour Party's gas price hike will disproportionately increase costs for people in Scotland. And what about the many people who rely on home heating oil in my constituency and across Scotland, who will not benefit from changes on standing charges? Where is the help for those households facing enormous hikes in heating costs? I know the members opposite don't like to hear it, Madam Deputy Speaker, but I'm still going to say it. Where are the transformative measures on child poverty?

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I am struggling to hear the hon. Gentleman, please let us be able to hear the words that come out. Seamus Logan Madam Deputy

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Seamus Logan Madam Deputy Speaker, where are the transformative measures on child poverty? The UK government only has poverty? The UK government only has to look to Scotland for inspiration and innovative policies to combat child poverty, such as no, such as child poverty, such as no, such as the Scottish Child Payment. Where's West? Where's Labour's equivalent? West? Where's Labour's equivalent? Where's the full windfall tax on the banks? 3% for 15 months just won't cut it. 46 billion profit made in 2024. I've already said no interventions. Thank you. Where's the help for the Scottish whisky industry? Why is there nothing in fiscal drag and tax thresholds?

Why

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is there nothing in VAT reduction for A small hospitality businesses.

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A small hospitality businesses. Of course, the extent of the Barnett consequentials remain to be Barnett consequentials remain to be seen. Devolution is fine for mayors, Madam Deputy Speaker, but what we need in Scotland is a fresh start need in Scotland is a fresh start with independence. That's why we. And then that's why we in the SNP And then that's why we in the SNP choose Scotland, not this tepid version of a Chancellor's Budget, a waste of opportunity, a betrayal of our energy workers, a hopeless stab in the back for struggling families robbing Peter to pay Paul.

I'll conclude, Madam Deputy Speaker. Channelling the words of T.S. Eliot, words written more than a hundred years ago, this Budget wasn't so

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much a bang, but a whimper. Before I call the next speaker, can I just remind people that are trying to heckle from the back benches? At the same time as trying to catch my eye, they may want to

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be mindful. Dame Siobhain McDonagh. Thank you, Madam Deputy Speaker. I welcome the Chancellor's Budget, I welcome the Chancellor's Budget, particularly the additional £1.5 billion for social and affordable housing, taking the government's housing, taking the government's investment to more than £40 billion. The only lasting solution to our housing crisis is to build more homes, particularly more council homes. But I want to address a crisis that cannot wait for those homes to be built. The almost 200,000 children across the country who will spend tonight homeless. And in London, that figure is 1 in 30 children or one in every school class.

They are not sleeping on the streets. They have a roof over their heads, but they are homeless. As chair of the all party parliamentary group for households in temporary accommodation, I see the national picture and the scale of the homeless crisis we face. But as the MP for Mitcham and Morden, I see the faces behind those statistics week in, week out at my constituency advice surgery. I see families living in a single room, parents desperately trying to keep their children at the same school. Children without anywhere to do their homework or cooking facilities where their parents can prepare a proper meal and temporary accommodation, is increasingly anything but temporary.

Earlier this year, my APPG published research into child mortality in temporary accommodation. Between 2019 and 2025. 104 children died in cases where temporary accommodation was identified as a possible contributing factor to their vulnerability, ill health or death. 76 of these children were babies under the age of one, and every one of those numbers is a child whose future has been taken away, and a
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Siobhain McDonagh Portrait Dame Siobhain McDonagh MP (Mitcham and Morden, Labour)
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family who will never recover from that loss. We must never accept that inevitability, inevitable that inevitability, inevitable consequence of homelessness. But there is also a serious financial argument for tackling this crisis. London councils are spending more London councils are spending more than £5.5 million every single day on temporary accommodation. Much of the money is spent securing accommodation from private providers, often at considerable expense, without creating the permanent housing assets that councils so desperately need, and the cost of unsuitable temporary accommodation does not end with the council's housing Budget. It is felt in our schools, our NHS and other public services through disrupted education, worsening health and the additional support that families so often need.

That is why we must consider the full cost of homelessness to the public purse, not simply the price. The price of providing a roof over someone's head. I welcome the Chancellor's additional £432 million to tackle rough sleeping, but homelessness is not confined to our streets. The Budget recognises this and confirms the government ongoing value for money. Review of homelessness funding will examine temporary accommodation. That review must consider how councils acquire more suitable accommodation locally, reducing their reliance on costly private placements. But we cannot wait until 2027 to improve conditions for children living in temporary accommodation today.

Every child deserves somewhere safe to sleep, somewhere to do their homework and somewhere their parents can prepare a proper meal. These are not luxuries, but the most basic requirements of a home. The Chancellor's additional in investment in social and affordable housing is a welcome commitment to tackling the root causes of homelessness, but building the homes we need will take time for the children growing up homeless tonight. Time is something we cannot afford to waste. We must ensure that the government's ambition to end rough sleeping is matched by an ambition to end child homelessness.

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Yes. Charlie Dewhirst. Thank you, Madam Deputy Speaker. Fiscal responsibility means living within our means. Every household across East Yorkshire and up and down the country knows that you cannot spend more on the family credit card than you earn, racking up debt with little more than the up debt with little more than the hope of a future pay rise. Yet that is exactly what this government is doing with our country's credit doing with our country's credit card. A credit card taken out in my constituents names. After Labour crashed the economy in 2008, they left a deficit of 10%.

They were spending 10%. Madam Deputy Speaker, £160 billion more on the country's credit card each year than the country earned. Only the Conservatives fiscal responsibility was able to fix Labour's mess and steadily wrestle that deficit down. And even after the exceptional need to support jobs and businesses through a global pandemic and the
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Charlie Dewhirst Portrait Charlie Dewhirst MP (Bridlington and The Wolds, Conservative)
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Ukraine war, that deficit rose to 4.4%, less than half of the legacy 4.4%, less than half of the legacy left by Labour in 2010. And here we are again, with Labour's fiscal are again, with Labour's fiscal irresponsibility and no plan to deal with the deficit. Labour are borrowing £308 billion more than borrowing £308 billion more than the plan they inherited in 2024. Under this government, the national Under this government, the national debt has surged through the £3 trillion mark for the first time ever. This spending cannot go on. This government needs to get borrowing down.

It needs to get public spending down. It needs to get welfare down, and it needs to get people's taxes down. Next year, the tax burden will reach a historic high of 37.9% of GDP. Under this government, and it is set to surge from there. So where is this money going? Madam Deputy Speaker, I'd like to address briefly some of the issues around the mismanagement of public money in the civil service. This government, to their credit, pledged to reduce the size of the civil service. But bad news because the headcount has risen by 11,000 people since they took office.

But cutting the headcount is not their only broken promise. Last year, they put out a press release promising, promising they would instruct civil servants to stop what Labour themselves called wasteful spending, namely banning government branded merchandise and away days in externally hired venues rather than using freely available government buildings. Yet DEFRA spent £20,000 on an away day at the Cumberland Hotel in March, the same month, DCMS spent £2,000 on an away day at the British Museum. The following month, April 2026, the Cabinet Office spent over £33,000 hiring the Hartwell House Luxury Hotel and Spa and its swanky restaurant with 2020 page, 20 page wine list for another retreat for its top tier of civil servants.

I must confess, Madam Deputy Speaker, I was slightly confused. The Cabinet Office Minister admitted this in a written answer to my hon. Friend the Member for Kingswinford Kingswinford and South Staffordshire, because when I asked the question, I got the response. In the calendar year, the Cabinet Office was not has not held any departmental senior civil servants away days. Moving on, Madam Deputy Speaker, the Crown Prosecution Service spent £37,000 on away day at the four star Manchester Marriott Hotel. The Department for transport managed to spend £9,000 on an away day at the Foreign Office and 4000 £14,000 on an away day at the two offices.

The Northern Ireland Office spent £4,000 meeting in a castle. Department for Education, had an away day for £27,000 at a grade two listed building in Sheffield, while the Ministry of Justice spent another £34,000 on away day at a theatre. The Treasury, who we might hope would be holding the purse strings a little tighter. Madam Speaker held two away days, one at the British Museum and spent £25,000, excluding VAT. DESNZ held three offsite away days, two at four star hotels, costing a total of over £50,000, and the Department for business also spent £50,000 on three, including one at the Emirates Stadium, citing that there was no alternative available venue.

The MoD and Foreign Office couldn't tell me whether they had any way it would cost them too much to answer the question, so I dread to think how many away days they've had. And unfortunately, the Women and Equalities Office hasn't even bothered to reply to me, so I assume they've got lost on an away day at a nice spa hotel. I would go on, Madam Speaker, but really the the list, the list goes on and on. And we get to merchandise the Cabinet Office alone, who actually banned all of this, spent £4,000 on t shirts, stickers and commemorative coins we could go on about.

We could move on to number ten. But I think, as we know, Madam Deputy Speaker, it is nothing more than a vanity project. In conclusion, it is time to bring back common sense and fiscal responsibility. Taxes are at a record high. Growth is down, borrowing is higher, debt is up and living standards are down. We cannot keep spending more on the country's credit card than we earn. Wealth must be created before it can be distributed by our businesses, our entrepreneurs and those who go to work every day. There is no such thing as government money.

It is taxpayers money and labour are addicted on spending other people's money, not creating it. We, the Conservatives, want to see Britain richer, more prosperous and thriving. And to paraphrase the excellent point made by the Leader of the Opposition yesterday, our country is overspent, overborrowed, overtaxed and drowning in an out of control welfare system. What a pickle we

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are in. Madam Deputy Speaker. Callum Anderson madam. Deputy Speaker, I'm very happy

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Deputy Speaker, I'm very happy to contribute. To today's debate, and it's a pleasure to particular to follow my hon. Friend the Member for Brentford and Isleworth, Blackpool South and Mitcham and Morden. I South and Mitcham and Morden. I welcome this Budget for three reasons. First, it maintains the fiscal discipline that is a strategic imperative, and I think the fact that sterling and the FTSE indexes and ten and 30 year gilt yields have remained stable over the last 24 hours, is a signifier of that. And given the risks that the UK economy faces, be it barriers to trade, the imposition of tariffs rising or volatile and rising energy costs and higher borrowing, government borrowing costs everywhere, it is really important that this Budget has remained within the fiscal rules.

And second, it does provide families, households and businesses in the towns and villages and cities that make up the Buckingham and Bletchley constituency. Genuine
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Callum Anderson Portrait Callum Anderson MP (Buckingham and Bletchley, Labour)
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breathing space. Breathing space as they manage ongoing cost of living they manage ongoing cost of living measures 34 pressures 34,000 households in council tax bands A households in council tax bands A to D will receive £100 household energy payment. Even more will feel energy payment. Even more will feel the extension of the electricity, VAT, VAT car businesses on Queensway in Berkshire, in the high streets of Buckingham and Winslow, will gain from the higher small business rate relief threshold rise agricultural businesses in north Buckinghamshire benefit from the extended red diesel duty cut. But while the absolute.

While an absolute imperative. Fiscal responsibility should never be an end of itself. Which is why. The third reason that I welcome this Budget is because it does what my right hon. Friend the Chancellor sought out to do, which is to back those bloody minded entrepreneurs. But it's not just me saying that it is. Business groups such as start up coalition and UK Private Capital that are saying it too, because fiscal responsibility enables governments to help the people who are building Britain's next generation of national champions and globally consequential companies, be that in AI or defence, clean energy, life sciences or advanced manufacturing.

They are driving the economic growth. They are driving the job and wealth creation, and ultimately, they are also underpinning the soldering capabilities of the UK. Growth in every postcode is absolutely the right objective and that means we need entrepreneurs in every postcode. And today is undoubtedly a better day and a better Britain to build a company than it was yesterday. So when it comes to helping people start a business, reading the trading, raising the trading allowance from £1000 to £3000 is a strong signal that young people, and particularly young people, can realise their dreams here in the United Kingdom.

When it comes to scaling businesses, we know that we've known for a long time that that is where Britain can do much more, needs to go further, more quickly. And so expanding the capacity of the British Business Bank and National Wealth Fund, including deploying £5 billion over the next four years into defence, recognises the role that public capital has to play in acting as a cornerstone investor. Alongside our deep pools of private capital, all £3 trillion of it to. But after. But for all the blood, sweat and tears that goes into building a business, we also have to give founders a genuine reason, a genuine reason, a compelling reason beyond patriotism alone to remain anchored here and stay here.

And that's why the founders relief is so welcome. And I know that's what many business groups have been arguing for and advocating for across government and Westminster for some time, because we'll be giving entrepreneurs more, greater levels of quantum that they can build and scale scale here, and they will be rewarded. And just as importantly, it will strengthen them to reinvest their wealth there and recycle their expertise and their experience into more ventures into the future and growth and wealth creation and fiscal responsibility are intrinsically linked. Growth is the ultimate stabiliser of the of the public finances through stronger receipts that will help reduce the Budget deficit and reduce our borrowing costs in the long run.

And that will give us flexibility to let people keep more of what they earn and invest in things that are particularly important to us here, be it investing in our national security, our schools and our police. This Budget is a very welcome step in the right direction. There's much more to do, and I look forward to the ten year plan and the spending review in the long run.

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And I welcome this Budget. I call Sarah Olney. Thank you very much, Madam Deputy Speaker. There are many elements of the Chancellor's Budget which I welcome his commitment to fiscal devolution, his promise to end rough sleeping, and the additional assistance for people to pay their energy bills. But there were many significant omissions and missed opportunities. Instead of freezing fuel duty, he should have listened to Liberal Democrat calls to cut it. Instead of promising reform to carer's allowance in four years time, he should have delivered it now. And instead of flirting with the EU, he should have committed to beginning negotiations to rejoin the single market and a new UK EU customs union for our young people.

The Chancellor has moved away from Labour's manifesto commitment to equalise the minimum wage and living wage, while failing to address the student loan bubble, which is at bursting point, or to scrap his predecessor's damaging NICs rise, which is keeping young people out of work for working people. He failed to address wage compression and follow Liberal Democrat calls to increase the personal allowance and to raise a higher rate income tax threshold. This reform is vital for the 110,000 Londoners who are being dragged into the higher tax bracket. So while there are measures which can be welcomed in this Budget, there are many missed opportunities, and the Liberal Democrats will push the government to be more ambitious and to deliver on their promise of providing people with the help they need during the cost of living crisis and the unaffordably high cost of doing business.

Not enough is being done to support small businesses who are struggling, particularly regarding the cost of employment. In retail alone, employment costs have jumped by 6.5 billion since the 2024 Budget. Unemployment levels are alarmingly high. 25% of young Londoners are not in employment, education or training. The government must start making it easier for businesses to provide opportunities, particularly
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Sarah Olney Portrait Sarah Olney MP (Richmond Park, Liberal Democrat)
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to young people, as they begin their working life, moving to decoupled gas and electricity decoupled gas and electricity prices is a welcome step, and we welcome the short term relief, which many households will receive to ease energy costs this winter. to ease energy costs this winter. But the government has failed to address the issues facing many businesses. The cost of energy for businesses. The cost of energy for our industrial sector, our dependence on other countries for fuel makes us all vulnerable to international turmoil. Household international turmoil. Household energy bills remain a third higher than before the war in Ukraine, and the average UK resident and small business are being hit by these rises.

The ongoing war in Iran reminds us yet again of the importance of secure and reliable energy sources. The best way to cut energy bills is to invest in home grown renewable power. Make UK set out the ruinous effect which industrial electrical costs have on investment, and they have highlighted the continuing lack of action to address the costs and the risks now associated with taking on workers. The manufacturing sector accounts for 2.6 million jobs and 42% of UK exports, and the government must listen to their calls to reduce energy bills much more urgently than the ten year schedule set out in the Chancellor's speech, the British Chamber of Commerce and the chief executive of the Food and Drink Federation have echoed these calls, highlighting that the energy support, which is available to certain manufacturing sectors, does not apply to food and drink businesses.

It is time for the UK to lead within Europe again on security, working closely with our democratic European allies so that we can support Ukraine and our European partners during peace and war. Our trade relations must also be adjusted to reflect the geopolitical realities which we face. The government must remove their self-defeating red lines and be bolder by introducing a new EU. UK customs union Ministers must take advantage of the upcoming UK EU summit to maximise opportunities of closer trading with the European Union and mitigate the risks and damage caused by schemes such as Made in Europe.

The Liberal Democrats have always championed fiscal devolution, and I welcome that this Budget will legislate for the Mayor of London to set up a successor to the Elizabeth Line business rate supplement. Anyone who has used London's train network recently will acknowledge that it is in need of upgrades, whether it be persistent cancellations on the district line or the discomfort of using the central Line, commuters in London deserve better. That being said, the business rate supplement remains quite a limited way of raising funds. The government has seemingly constrained it to only apply to the west London, Orbital and Bakerloo line extension.

So while I welcome this as a step in the right direction, I will continue to champion further fiscal devolution for the capital. I am concerned to see that the Home Office and the Department for transport are set to face funding cuts, while taking into account the caveat, the figures are adjusted due to lower employer pension contributions. The Home Office faces £1.2 billion in cuts next year, and then another 1.2 billion cut the following year, while the DFT will lose out on £100 million over two years. And two of the most common issues I see in my inbox are concerns around policing and transport.

So this is a huge concern to my constituents. Lastly, on an issue which has been declared a matter for London and Londoners by the Prime Minister, come to the question of Heathrow expansion, still a question yet to be answered. The Budget Red book states. On Heathrow, the Transport Secretary will provide an update as soon as possible. If the Prime Minister is true to his word, why does the decision on a third runway still seem to lie in the hands of the government? It is a white elephant project which has not had the support from the majority of Londoners and must be scrapped.

Thank you, Madam Deputy Speaker.

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Alex McIntyre thank you, Madam Deputy Speaker. Yesterday, the Budget, the Chancellor's and this government's priorities were clear government's priorities were clear delivering breathing space for families and businesses in Gloucester this winter in the midst of global headwinds from wars in of global headwinds from wars in Ukraine and the Middle East, and starting to tackle the big issues facing our country on defence, on facing our country on defence, on social care, on energy bills, to build fresh hope and optimism for the future. A future that delivers real change for Gloucester residents. The cost of living crisis remains the number one concern for families and businesses in my city, so I welcome the down payment made by the Prime Minister this summer.

Reintroducing the £2 bus fare cap, scrapping VAT on electricity bills and cutting business rates for our pubs. And yesterday I was pleased that the
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Alex McIntyre Portrait Alex McIntyre MP (Gloucester, Labour)
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Chancellor went further. The £100 household energy Payment will be paid 50,000 households in paid 50,000 households in Gloucester this January, providing much needed help in the coldest months, freezing fuel duty and months, freezing fuel duty and increasing the minimum wage above inflation will help. Now the Chancellor acknowledge these measures won't solve the cost of measures won't solve the cost of living crisis alone. But this is a vital first step with the Prime Minister's ten year plan coming later this year and the spending review next spring. And I ask the government throughout all of this to keep hardworking, Gloucester families at the front of their minds when they're going through those processes.

But breathing space is not just for families. It is also needed for the small businesses that are the beating heart of our city. For too long, our local high streets have been punished by an outdated business rate system by freezing rates in real terms for retail, hospitality and leisure properties, and providing that 20% cut for our pubs and live music venues. We are taking decisive action and by increasing the small business relief, almost 60% of businesses on our streets will be taken out of business rates altogether. I also welcome the government's new hope on the High Street strategy.

It aligns with the great work done by Andrew Hearn at Gloucester City Council on our City Master Plan. It is an ambitious plan for our city and we must be ambitious. But I must draw the House's attention to the immediate roadblock that we face at home in Gloucester. Gloucester City Council is, for all intents and purposes, entirely broke. Years of mismanagement have forced the council to rely on an emergency bailout from the government just to keep the lights on. And to make matters worse, following a recent vote of no confidence in the leader of the council, the Lib Dem Cabinet of the council have walked away and the council is now operating without any political leadership whatsoever.

 My constituents cannot afford for Gloucester's regeneration to be held hostage by local political chaos and bankruptcy. The city centre desperately needs investment, officers need political certainty and the businesses of Gloucester need a reliable, functioning partner to unlock the growth that this Budget makes possible. So I ask the government today, what support can the government provide to my constituents to get Gloucester back on track? How can we, at a national level, bypass this local vacuum of leadership to ensure that our city centre gets the investment it so desperately needs, and that our national growth strategy is not blocked by local government failure?

Turning to growth, I want to make sure that Gloucester businesses truly benefit from our national economic strategy. Small businesses need a reliable place in the national supply chain. When we invest, we must buy local, build local and grow local. Nowhere is that supply chain more crucial than in our national security. Gloucestershire has a proud, deep rooted footprint in the defence, cyber security and aerospace sectors and I'm proud that this government is fully funding the Defence Investment Plan and putting ourselves on a firm path to reaching 3% of GDP on defence spending by 2030, and I urge the government to ensure that this historic investment flows directly to innovative SMEs in Gloucester like Avon Metals, Cherry and White and the very businesses engineering the technologies that keep our country safe.

Madam Deputy Speaker, this Budget fundamentally recognises that the people closest to problems should have the power to solve them. It promises greater control over local economic futures, and it is clear that devolution is the key to unlocking Gloucester's immense potential. Sadly, due to a lack of consensus from local leaders, Gloucestershire is being left behind. There is only one option that makes long term sense for Gloucester, and that is for us to join the West of England Combined Authority. I am in complete cross-party agreement with Lisa Spivey, the Liberal Democrat leader of Gloucestershire County Council, on that.

And in the meantime, we need a Gloucestershire Foundation strategic authority to unlock investment in my city. I ask the government to meet with me to deliver that. In closing, every decision in this Budget shows that we have shut the door on the reckless, unfunded promises of the Shadow Chancellor's past and that we reject the dangerous rhetoric of reform. Who has pledged to slash public funding in 100 days without any detail, would decimate our hospitals, our schools and our police. And they're not here again today. We are choosing a different path. Gloucester has an incredible future ahead of it, provided that we get the devolution and investment that we deserve.

We can build new council homes, we can rebuild our high street, and we can finally deliver the fresh hope that

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our great city deserves. Steve Barclay thank you, Madam Deputy Speaker. The Defence Deputy Speaker. The Defence Secretary opened today's debate by praising the former Prime Minister and the former Chancellor, which may come as a surprise to them both, may come as a surprise to them both, given that earlier this year he resigned from government, saying in his resignation letter he couldn't serve alongside them because of the serve alongside them because of the lack of direction and drift. And it's less than a year since the benches opposite cheered and waved benches opposite cheered and waved their order papers.

Rachel Reeves Budget. And it's striking when you look at today how much continuity there is in measures that they
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Steve Barclay Portrait Rt Hon Steve Barclay MP (North East Cambridgeshire, Conservative)
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cheered yesterday, despite being so unhappy with the previous Chancellor. And I thought by Chancellor. And I thought by illustrating that I would just highlight certain phrases and words that we hear from the benches opposite on a regular basis, starting with perhaps the most frequent, which is the need to have frequent, which is the need to have no austerity and end to austerity, which is a constant refrain. I can see the frontbench nodding, so they'd be surprised, Madam Deputy they'd be surprised, Madam Deputy Speaker, to say that in the OBR, page, both 21 and at page 114, it talks about the fact that there's an £11 billion shortfall from the year after next for departments there other than protected departments such as health, they've already said they want to commit to defence.

I don't think the party that stands saying 24 hours to save the NHS is going to cut the health service going into an election, but perhaps that's their policy. But if not, they're going to be cutting unprotected departments by, according to the OBR, 2.6% in those final three years. Now, there's also a paradox of that, because it's only last week that the Defence Secretary came to the House to say there's urgency and national resilience, and yet the departments like Mhclg that would deliver that national resilience. Will there be the same ones that are facing unprotected cuts?

And so the benches opposite are chairing a Budget in which there is austerity baked in. Now, it may be the shade ahead. So it may be that they've been told by the Labour whips, don't worry, because the spending review will fix that. Well, I know having run a spending review, spending review allocates the funds. It doesn't decide on the quantum. Now, it may be that they say, well, don't worry because there'll be an election and there may be. But the Prime Minister yesterday was saying the opposite. So either they believe a Budget that has austerity baked in, or they think that the spending review is going to fix this, or they don't believe the Prime Minister and think an election will avoid the issue entirely.

But it's an odd position for people that come to the chamber talking about an end to austerity, who are then chairing a Budget where it is literally in the numbers in the Red book. The second paradox is they talk about green space, and one of the areas of continuity with last year's Budget, literally certain policies, like a £0.02 on property income tax, is a repeat of last year's 2P4P in all, both starting at the same time April next year. And the OBR makes clear that that will lead to fewer people entering the rental market, fewer landlords and prices going up.

They have a bank tax, again, repeating a trick of the former Chancellor who thought, if I tax employers with national insurance, it won't go through into a jobs tax. So we've got a bank tax on the basis that that will be more palatable. But don't take my word for it. The times leader, I think it was the 16th of October, said it will be a tax on growth. And again, one of their favourite advisers, Lord O'Neill, said, and I quote, it will hobble growth. So you've got a

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Budget which is premised on creating. Of course, arguably. My constituency labour for

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My constituency labour for giving way. I just wonder, in the context of his criticism of the tax changes to banks, how he responds to, I believe, the chief executive

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to, I believe, the chief executive of Barclays, describing changes along the lines of what we've made as bearable. Well. Of course it will be bearable

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Of course it will be bearable for him because he won't take it from his bonus. He will take it by adding it to the mortgage rates and the loan rates that he charges the hon. Member's constituents. Does he honestly believe that the bankers are going to take it from their own bonuses, or does he think they're going to pass it on to constituents and to consumers? And indeed, that is exactly what the times. That is exactly what Lord O'Neill and many others have commented. So it's a displaced cost that will add and constrain businesses. He took.

This government talks about wanting growth in every postcode, but making it harder for businesses to access capital will make it harder for them to expand. So again, we have a measure which continues, as with landlords and approach taken by the previous government. And then we have a lack of consistency, even Madam Deputy Speaker with the Labour conference just last month, last month's conference, as the frontbench pointed out, the Chancellor talked about how he was aghast at the idea of debt. What the OBR document makes clear is it's adding just from the Budget measures, 8 billion of debt this year alone, and that's not a loan.

 That's on top of the 11 billion of additional debt that flows from interest rates and inflation. So again, a government that says it wants to reduce debt has a Budget that is adding to debt and adding to it debt in a way that will further constrain the growth in every postcode that it sells. I'm out of time, unfortunately, Madam Deputy Speaker, but I suspect in a few months time, as with the last Budget, they cheered. Once the detail becomes more known, once they see how it goes against many of the equities that they say they stand for, we will find this Budget disowned in exactly the same way that the last one was.

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Speaker. My. My apologies for.

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My apologies for. My malfunctioning technological malfunction there. Madam Deputy Speaker, when I was first elected to this place as the proud member for Glasgow South West, many of my constituents lived in a lot of constituents lived in a lot of financial uncertainty, whether it was the financial uncertainty that was accompanied by having over 6000 was accompanied by having over 6000 kids living in relative poverty, whether it was the financial uncertainty of many of my constituents not having had a decent wage rise for over ten years, whether it was the financial uncertainty borne by the proud shipyards of Govan being able to fill their order books.

But very quickly, Madam Deputy Speaker, I was proud that I was part of a government and a friend of a Chancellor. The hon. Member for Leeds West and Pudsey, that helped to eliminate some of that uncertainty by giving the fastest wage growth in a year much greater
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Zubir Ahmed Portrait Dr Zubir Ahmed MP (Glasgow South West, Labour)
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than had happened in the previous ten years. By lifting the two child cap that took thousands of kids in my constituency out of poverty and probably benefited the local economy in my constituency to the tune of £4 million, and also by securing the type 26 frigate contract that will give certainty to govern shipyard workers for to govern shipyard workers for generations to come. Madam Deputy Speaker, it is not only in the large policy areas that this Liberal government does its work, it is at its best when, at the ground level, it feels the pain of ordinary people trying to get by and not being able to live the lives that they were promised by their forefathers.

And in that sense, therefore, Madam Deputy Speaker, I'm very proud of the current Budget and the current direction that my hon. Friend the Chancellor has taken, particularly in relation to energy bills. We are committed through this Budget to making sure that immediately, 90% of my constituents will feel the benefit of £100 off their energy bills. That 100% of my constituents will now be absolved of the need to pay standing charges on their energy bills, and all of my constituents will also have VAT eliminated off their electricity bills. We cannot. No country, no government can insulate our citizens from the pressures of global markets and global conflict.

But we can do as much as we can, and I believe we are doing as much as we can in regards to energy bills and making that the space, creating that space for being able to live more comfortably, happily give way.

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In giving way and talking about doing everything we can. The Budget doing everything we can. The Budget has gas and oil receipts as one of the ways of bringing in some of that funding. Page 93 of the Orb report explicitly says that Rosebank is banked in as being

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Rosebank is banked in as being granted. Is he in support of Rosebank? Scott Arthur Zubir Ahmed. The hon. Gentleman will know

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The hon. Gentleman will know that this is a quasi judicial process. It is. And it would be remiss of it would be remiss of me. It would be remiss of me. It would be remiss of me to to be making making undertakings that my hon. Friend, the Secretary of State of Energy, is responsible for. But I gently remind him that those calculations have been baked in for many, many years, is not some kind of new reference to the assumptions in this year's OBR report. And the hon. Gentleman knows this very, very well and has been a little bit mischievous, I think, in his in his questioning, if I return to my if I if I return to my principal point around around giving breathing space, it is not only families and individuals and breathing space.

Madam Deputy Speaker is businesses, small businesses on the high street. And I'm really proud that before this Budget and during the course of this Budget, we are lifting many, many more businesses on the high streets out of the need to pay business rates. Now in Scotland, hon. Members may be aware that that saving will not be automatic. It is at the discretion of the Scottish Government and I would in this chamber, you know, plead with them to make sure that the Barnett consequentials of that decision is is translated into savings on business rates for ordinary high street businesses, including pubs, because the hon.

Friend, the Prime Minister, made that undertaking during the summer to reduce business rates for music, music, clubs and pubs. And that, as far as I know as yet, has not translated into a similar policy statement in Scotland. And I know pubs in my constituency of Glasgow South West, which runs around many of the underground stations in Glasgow and sometimes, you know, students and other people like to do what was called the Clockwork Orange pub crawl across those pubs. We would crave and benefit from, from those savings, and I would urge the Scottish Government to pass them on with immediate effect.

Madam Deputy Speaker, these are all interventions that make life a little bit more bearable and easier. And I know for some members choosing between social and personal economic security and the national security of our nation are somehow binary choices, but they are not. One very much is reliant on the other. And that's why also we are committed to making sure that our defence spending hits the targets in 2030 and 35 that our NATO allies expect. And again, my constituency, I am proud, is contributing to the defence of our nation, whether it is through the shipyards and building the type 26 frigates that will be patrolling our seas to the more novel technologies and the drones that are being designed also in my constituency.

And it is a moment, I think, to reflect upon the fact that we, on this side of the House are proud of investing in defence. It is not taboo to invest in defence, as sometimes has been espoused by the by the Scottish Green Party or the Scottish National Party. We should be proud that we are at the forefront in Scotland or being defending our nation, and we will always invest in it and I am grateful that finally that the SNP has relented and also matched our funding to two defence technical colleges in Scotland to be able to defend our nation.

In closing, Madam Speaker, I would just say this, that this Prime Minister and this Chancellor, when I have spoken to them, understand Scotland, they feel the needs of Glasgow South West and that is why the Budget that they have delivered will give them breathing space for today, but also, more importantly, hope for tomorrow.

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A Susan Murray. Thank you, Madam Deputy Speaker, and it's a pleasure to follow the hon. Member for to follow the hon. Member for Glasgow South West. The Chancellor has said his Budget carries through the vision of the Prime Minister, with much still to come in his ten with much still to come in his ten year plan and the spending review next year. So there is still an opportunity to change the fiscal policy, which could help to achieve the government's own housing targets and help councils, targets and help councils, developers and communities to revive town centres and bring back into use derelict and long term empty buildings.

I'd like to start today by congratulating the Friends
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Susan Murray Portrait Susan Murray MP (Mid Dunbartonshire, Liberal Democrat)
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of Campsie High Kirk, the first group in Britain to take ownership group in Britain to take ownership of an A listed heritage building through the Kings and Lord Treasurer's Remembrancer Ownerless Treasurer's Remembrancer Ownerless property transfer scheme. It's their work that has led me to raise this issue today, and I'm incredibly proud to have them in Mid Dunbartonshire. The Mid Dunbartonshire. The organisation has taken a derelict, a listed church with plans to renovate it for community use. Yet nearly every piece of work they carry out on the site will be charged that at 20% until recently, Scotland's historic churches could claim back VAT on their peers through the Listed Places of Worship grant scheme.

That scheme has now closed and the fund has been that it and the fund that replaced it covers England only. The UK government says Scotland's share of the money has gone to the Scottish Government, yet no fund has been set up to spend it. So even the buildings that could once claim the 20% back are now caught. Will the Minister take up with the Scottish Government and press for a fund to be created? But it's not just community groups that face this hurdle in restoring our historic sites. Should a developer wish to restore a similar historic building as housing, they would pay VAT at 5% if the conversion qualifies or the full 20% if it does not.

Meanwhile, if they were to demolish the building and start anew, they would pay no VAT on the new homes. The government's explanation is that zero rate on new homes is there to stimulate the construction of new homes, but I think the truth is that it shouldn't matter whether a home is new or not, if any building is lying long term, vacant or derelict, bringing it back to a habitable, eco friendly condition gives us the same same benefit as building a new house. On top of that, restoring a building preserves the character and heritage of an area, saves carbon by reusing existing materials rather than making and transporting new ones, and often meets less local opposition.

We all know how difficult it can be to get permission to build a new home, and we all know the impact a derelict property can have on a street. HMRC has told my office that it does not hold figures on how much VAT it raises from building, repair and restoration, before ruling anything out, the Treasury should be able to tell this House what the tax brings in. So with that in mind, I have three asks of the Treasury. First, I urge the Minister to investigate and publish how much VAT is raised each year on the renovation, renovation and repair of historic buildings.

Second, will the Treasury assess the case for treating renovation, repair and conversion in the same way as new build? And third, will the Treasury confirm that Scotland will benefit from its fair share of the Derelict Buildings Fund? Our historic buildings help us make our communities what they are. The tax system should help people save them and bring them back into use, not charge them more to repair than to

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build new. Thank you. Richard Baker thank you, Madam Deputy Speaker. I hold the Member Deputy Speaker. I hold the Member for Aberdeenshire North and Moray East in high regard, I do. He's no longer in his place, but I thought longer in his place, but I thought it was very telling that he wouldn't take any intervention on his contribution because the Scottish National Party are desperate to paint the gloomiest possible picture of this Budget. possible picture of this Budget.

But their argument doesn't hold because the reality is for Scotland
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Richard Baker Portrait Richard Baker MP (Glenrothes and Mid Fife, Labour)
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and for my constituents, this Budget is full of measures which are going to be very widely are going to be very widely welcomed for my constituents in Glenrothes and Mid Fife measures Glenrothes and Mid Fife measures such as scrapping standing charges for gas and extending the freeze on fuel duty, are going to be fuel duty, are going to be extremely welcome. I am delighted that the Budget also means pensioners will see their State pensioners will see their State Pension rise by nearly £500 a year, and they've also acted to ensure pensioners only receiving an income will not have to pay income tax on it.

I will obviously make the case again to Ministers for the nearly 850 retired miners in my constituency who are members of Miners Pension Scheme. I do hope Ministers will now act swiftly to ensure all the funds and the pension now go to retired miners. But we have to also remember that the context for every pensioner in my constituency is action to increase their pension and also action on rising energy prices, which have, of course, as we approach another cold Scottish winter, being a subject of deep concern for my constituents and we are the £100 energy payment being introduced for households in council tax bands A to D.

It's particularly welcome and thank goodness the SNP actually has seen sense on one thing and are ensuring that this policy will be implemented from this government in Scotland. In my constituency, it means nine out of ten households will benefit vital relief in terms of the rising energy prices we face because of the global challenges we. We have. This is the real practical support for families the Prime Minister promised and which this Budget delivers. The Budget not only provides breathing space in tough times, it also sets out investment, which brings huge opportunities for the future of our communities.

In Glenrothes and Mid Fife. The prospect of skilled work and good jobs for our young people, along with the Defence Secretary, I thought, gave an excellent speech at the start of this debate. The Chancellor has committed the funding for the Defence Investment Plan. His decision that the contract to build the new dry docks for Faslane will be built not in a foreign shipyard, but here in the UK, is a wonderful opportunity for the methyl yard in my constituency. Saved from closure by this government. If the new dry docks are built by the skilled workforce at methyl, this will secure the long term future of the yard and drive their recruitment even higher.

 Methyl is a community with a proud industrial history, but with high levels of social deprivation, and this is a wonderful opportunity for reindustrialisation in our part of Scotland. And it's not only in defence where there is such potential to grow our local economy. We're thriving renewable energy businesses and the decision to proceed with the jackdaw project has been widely welcomed in the Scottish energy sector because it will provide employment in an industry whose workforce will be vital if we are to succeed in making the transition to renewables and sustain skills and employment in our energy sector, not only in energy, not only in defence, but the £18 million pledged to the University of Edinburgh to boost our national capacity to design and test our own semiconductor chips is a decision which will be warmly welcomed across the Forth in Fife, where industry leading companies such as Classic, Wafer Fab and Semi Fab are based, with highly expert staff exporting their products right across the globe.

Another example of how we are taking advantage of the revolution in AI to ensure it is secure, and also providing the economic benefit which can be realised for many of our high tech, high skilled industries which are located in Scotland as well. This is a Budget for breathing space, a Budget to protect our economic stability, a Budget for investment in the future of our communities. And I commend the Chancellor for recognising not only the challenges we face as a country and offering families respite from them, but also the many opportunities we have to strengthen growth in our economy, in our economy in the future.

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Yeah. So, John Whittingdale. Thank you, Madam Deputy Speaker.

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Thank you, Madam Deputy Speaker. Before I turn to the Budget, I would just like to take this opportunity to pay tribute to Sue opportunity to pay tribute to Sue Holt, whose death the speaker announced to the House this morning. I'm a member of the OSCE I'm a member of the OSCE Parliamentary Assembly delegation, a former leader, and I've worked with Sue over quite a long period. with Sue over quite a long period. She was always immensely cheerful and efficient, and her death came as a real shock to us all, and I send my condolences.

Now, turning to the Budget, at least there is
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John Whittingdale Portrait Rt Hon Sir John Whittingdale MP (Maldon, Conservative)
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one part of the Budget I would like to welcome, which is the continuing support being given by this government to Ukraine. That is something which was initiated under the last government, indeed, over the last government, indeed, over ten years ago, long before the full scale invasion by Russia, we have continued to maintain it. It is a continued to maintain it. It is a cross-party matter and therefore that support is very welcome. But one of the reasons why it is so one of the reasons why it is so important that we support Ukraine is because Ukraine is our front line, and the threat to Ukraine is not just a threat to that country, it is a threat to all of us.

And that is a reason why it is essential that we need to be increasing, increasing our defence expenditure now. Now the Chancellor has recommitted to the 3% of GDP by 2030, but that is still some way off. And we've heard from the Secretary of State about the immediacy of the threat. And it is a matter of some concern that whilst we're still debating how we are going to get to 3%, our allies like Denmark, Estonia, Latvia, Lithuania, Norway, Poland are already exceeding that 3% and planning to spend more. And perhaps one of the reasons why we have not been able as yet to explain how we are going to meet that target is because the essential measures to fund it.

In other words, addressing the welfare Budget again have been ducked by this by this government. We await the outcome of the reviews by the Minister and by Sir Alan Milburn. But in the meantime, we are now reaching a position where 6.7 million people are now claiming out of work benefits. That is, creating a situation which is not just unaffordable, it is actually immoral that so many of working age are out of work and instead are living on benefits. And we have a situation in this country where all the economic signals for the long term are heading in the wrong direction, borrowing going up, our national debt already standing at $1,000,000,000,003 trillion and scheduled to increase further tax levels, are the highest in our history and regulation, which the Chancellor claims he wants to bring down.

We understand today that the Employment Rights Bill, according to the OBR, is going to result in unemployment of over 5% next year. That situation has the effect that it destroys incentives to work. It drives away investment. It causes entrepreneurs to leave the country. It is an unsustainable situation. And yet nothing in this Budget does anything to give confidence that those things are going to be reversed. Now, I would quickly like to refer to a couple of measures I raised with the Prime Minister in his first statement. The situation in our high streets, where so many businesses have been hit by not just the increase in business rates, but the increase in national insurance contributions in energy costs, costs in the minimum wage.

And whilst the measure to increase the threshold for business relief is of some small help, it is nothing like sufficient to help those those businesses which are struggling to survive. I regret that there was no mention of VAT, which was something that UK hospitality have identified as the critical measure, which could help because they are having to compete with countries like France, Spain and Italy, who levy rates half of those here. I want very quickly to mention hair salons, which the Chancellor talked about. They are so often facing unfair competition by an exactly identical looking salon next door, where the chairs are rented out and actually staffed by people classing themselves as self-employed.

That is actually depriving the Treasury of of proper revenue, whilst also creating unfair competition. I hope that's something that the Treasury will listen to. I'm sorry that yet again, it is the gambling sector that is that used as the sort of cash cow, and I refer the House to my entry in the member's register. But the. By increasing tax on gambling yet again, the effect is going to actually hit our high streets even harder because a lot of betting shops are going to be driven out of business. Of course. Yes, of course,

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I'll give way. I'm grateful. He's been a staunch. Defender of. Ukraine for. Many years in this House. So

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Many years in this House. So would he agree with what President Zelensky said yesterday, as reported in The Sun, when he reported in The Sun, when he advised this government to prioritise UK defence spending and to do so without further delay? The Zelensky knows something the government doesn't.

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I'm extremely grateful to my constituency neighbour for making an excellent point and giving me another minute. He is absolutely right that President Zelensky once again has spoken words that if only the government would listen to, and it is absolutely right that we should increase our support and expenditure on defence. Finally, he and I both represent relatively rural constituencies, and again, I regret the fact that the Budget had no mention of the harm being done to the agricultural sector through the family farming tax, nor did it provide any help to those constituents, and I have many.

I know he does as well, who are off the grid and rely on heating oil. They will not benefit by the abolition of the standing charges, and yet they have faced huge increases. Perhaps the only thing to celebrate in this Budget, really, is the fact that the Chancellor didn't listen to those behind him who wanted to go even further. With a wealth tax and a mansion tax and an increase in capital gains tax,

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and long may that continue. He listens to us and not to them. Liz Twist thank you, Madam

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Liz Twist thank you, Madam Deputy Speaker. I welcome the opportunity to speak in today's opportunity to speak in today's debate on the Budget and to talk about some of the things that will affect my constituents. This Budget affect my constituents. This Budget does indeed bring a breathing space needed by families, workers and needed by families, workers and small businesses across the country. Built on the bedrock of fiscal discipline and helping families to deal with high living costs.

And most notably, of course, I look at energy costs and across Blaydon and Consett constituency, over 92% of households will benefit from the Household energy payment,
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Liz Twist Portrait Liz Twist MP (Blaydon and Consett, Labour)
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delivering £100 directly to help with bills this winter for households, alongside the extension households, alongside the extension of 0% VAT on electricity. And many of these houses, Madam Deputy Speaker are, of course poor quality and poorly insulated, so it's particularly welcome for local particularly welcome for local motorists, tradespeople and commuters. Extending the £0.05 fuel commuters. Extending the £0.05 fuel duty cut keeps daily costs down, and many constituents have written to me about this now, I recently heard when talking to the Northeast Chamber of Commerce that our local businesses were concerned about operating with the current system of taxes for our high street businesses.

The £1 billion business rates package ensures that over 52% of retail, hospitality and leisure properties across the North East will pay no business rates at all next year, giving independent traders room to plan and room to invest.

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Now, alongside the 35% business rates relief for pubs, the new rates relief for pubs, the new guest beer legislation gives local landlords the right to serve locally brewed beers on tap, supporting independent North East brewers like five Firebrick Brewery brewers like five Firebrick Brewery in Blaydon and 13 Moose in Brighton, who have all spoken to me about

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who have all spoken to me about these issues. I will give way. I very much thank my hon. Friend for giving way and like her, I have small breweries in my own constituency, including the Saltaire Brewery, the Goose Eye Brewery and Salt. Does she agree with me that with rising energy costs, this £110 million annual alcohol duty relief for small brewers is very welcome from the Chancellor.

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There are indeed welcome moves in this Budget, and I know that the guest beer was one that was guest beer was one that was particularly wished for. And so turning to regional growth, I want. I warmly welcome the new 1.5 I warmly welcome the new 1.5 billion borrowing facility for strategic authorities announced yesterday, and Gateshead. These devolved borrowing powers will allow us to move forward with the transformation of Gateshead Quays development, backed by £24 million in enabling funding from North East Mayor Kim McGuinness, essential site preparation and infrastructure work can now begin once these loans allow us to start investing in full, Gateshead will gain a world class venue featuring a 12,500 seat arena and international conference centre, and the North East Combined Authority estimates that this ambitious development will attract over a million visitors every year, generate a £70 million annual boost to our local economy and create 2000 good local jobs.

Now I want to set the record straight on the International Investment Summit. The Budget announces that the next International Investment summit in spring 27 will take place in Newcastle. Madam Deputy Speaker, I must gently correct the record for the Treasury. As the Chancellor announced in his speech yesterday, that major summit will actually be hosted on the south side of the town right in Gateshead. I look forward to seeing Tyneside on the global stage and as we prepare to welcome global investors, my firm hope is that the investments announced at the summit stay directly in Gateshead and the surrounding area, helping to further fund our local regeneration and economic growth and benefiting my constituents on the Gateshead side and beyond.

To and the blatant side and beyond to opportunities in employment and and other jobs. So it will affect the whole of Gateshead, not just the quayside. Now, there's a little notice measuring there about preventative. Peter. I think it is. And so in the announcement, and I particularly welcome the creation of ring fenced preventative expenditure Peter Dowd establishing a spending category for early intervention at spending review to make later stages. Now, we don't have much detail on this, but I'm going to get my bidding quite early. And what I want to see is that we see an investment in preventative measures, which affects all departments for suicide prevention and for mental health.

This is a really important issue and one Madam Deputy Speaker that I come back to regularly, and I will the Treasury bench that I will be referring to this many times in the future so that you don't lose the message. So if you could take a note now, that would be helpful. Now, extensive research conducted by Samaritans and Minds demonstrates that every single suicide prevention prevented saves our economy roughly 1.46 million. We can't reduce lives to figures on a spreadsheet, but it shows that investment in preventative work on mental health and suicide prevention is well worth the money.

Now, across County Durham, 878 local properties will benefit from the real terms. Business rates freeze alongside 377 in Gateshead, and to help our young people gain high quality skills and secure good careers, new apprenticeship, brokerage funding and expanded apprenticeship services will support businesses and SMEs to hire and train the next generation, and the derelict buildings from two will help us in both sides of my constituency to make a difference

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to our high Street. Karen Bradley and it's an honour to follow the hon. Lady from to follow the hon. Lady from Blaydon and Consett. And can I join my right hon. Friend from Maldon in paying tribute to Sue Holt. I was paying tribute to Sue Holt. I was in Strasbourg with her only a few weeks ago when she was taken ill, and it was a great shock to all of and it was a great shock to all of us to learn about what had happened us to learn about what had happened to her. I want to cover.

In the Budget that relate to my constituency, the Home Affairs Committee and also my constituency. But I realise I have limited time, so I will race ahead and it's pretty quick. In fact, on the home affairs side of things, because there wasn't very much in the Budget about the home affairs side of things. In fact, there was only one mention in the speech, which was £15 million over three years for a misogyny prevention fund,
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Karen Bradley Portrait Rt Hon Dame Karen Bradley MP (Staffordshire Moorlands, Conservative)
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which we let see what that actually involves. But I do worry that involves. But I do worry that priority is being given to perpetrators. And where is the money for victims? Because actually money for victims? Because actually a victim centred approach on violence against women girls is essential. And the government has already said that £1 billion needs already said that £1 billion needs to be spent on tackling violence against women and girls during the against women and girls during the life of the strategy. So in the Red book, I think it said that there's a the government is prioritising £55 million of funding over two years to accelerate delivery, advance against women and girls strategy.

55 million out of a billion, again, does not sound too much. The things that weren't mentioned but actually are related to Home Affairs. Two inquiries that were conducting at the moment, one on work based immigration. I'm interested in the work that the government is doing on apprenticeships, etc. but I would urge them to look at the work we did with demos on deliberative, a piece of deliberative democracy, looking at the public's attitude to workplace immigration, because there they will find there's some really interesting insights around the need to prioritise skill upskilling UK workers to take job vacancies, not just looking to overseas to fill vacancies.

And also we are doing a piece of work on the impact of serious and organised crime on local neighbourhoods. And it's really interesting what my right hon. Friend from Maldon said about the high street, because what we've seen is the hollowing out of the high street as a result of some of the measures that the government has taken on national insurance and business rates, etcetera, has left a vacuum which is being filled by organised criminality, and they are filling our high street in a way that is inappropriate and we don't want it. So I would urge the government to deal with that.

 Moving to my constituency issues, I welcome the £100 for A to D council tax payers. We have a disproportionately high number of bands A to D in Staffordshire Moorlands and so there will be more affected by that than perhaps other constituencies. But there was nothing on those that rely on heating oil, and they won't benefit from the reduction in the standing, the abolition of the standing charge for gas. They really do need help. The price of heating oil is hideous, and as we come into winter, the numbers that have been quoted to me about the price to fill a tank for heating oil is astonishing.

Again, I join my right hon. Friend in commenting about there was nothing about hospitality and tourism as a member of Parliament for Alton Towers and other great local attractions, including the Peak Wildlife Park, I know how much they have. They've welcomed the reduction in VAT over the summer, but how much they want to see that made permanent. And also there was nothing for farmers and it would have been very heartening if the government, if the Chancellor had mentioned something about the family farm tax, to give farmers the respite that they need. Turning to other matters on local government reorganisation, this is something that the government tells us we need to have in order that we can benefit from so many of the measures in the Budget.

I would just say, again, as I said in the statement, if we're going to have a mayor, we don't need to reorganise the structure of our local government as well. Let's let that time and effort by officials and councillors be spent on delivering services, and let the mayors have that strategic overview. That I think would be a much better approach. I also want to raise a project called the Peak Cluster, which is a proposal that to enable the cement industry to continue in the Peak District by carbon capture, and it's transporting the carbon from the Peak District to Morecambe Bay.

This is of great concern. Firstly, how much carbon is going to be emitted in building these pipelines that are going to go underneath the Peak District, Cheshire and others to get out to Morecambe Bay when the carbon can then be put into a empty gas field, it would surely just be better to allow the cement industry to continue in the United Kingdom, producing cement in a cleaner way as possible, without the need to build this pipeline and all the environmental damage that's going to cause. And my final point was to welcome the comments that were made around new battery storage and solar farms, and needing to be connected to the grid.

Immediate to start with. That will be very welcome for many of my constituents.

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I'm calling Sam Carling, after Sam. Thank you very much, Madam Deputy Speaker. High energy costs are one of the biggest issues facing my constituents, as well as the small businesses. Our economy the small businesses. Our economy needs to thrive, so I'm delighted that in this Budget, the Chancellor has announced that standing gas charges, which we all know just charges, which we all know just aren't fair, will be removed. That comes on top of cost of living policies already announced by the Prime Minister, such as removing Prime Minister, such as removing VAT from electricity bills, a measure which the Chancellor has now extended on top of a direct £100 household energy payment to eligible band ER to band D households.

And on top of the £150 taken off energy bills by measures at the last Budget. These things add up and focusing on energy costs
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Sam Carling Portrait Sam Carling MP (North West Cambridgeshire, Labour)
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is the progressive thing to do. The poorest 10% of households pay the greatest share of their money on greatest share of their money on energy at over 12%, and so these measures provide support to those most in need, the families and most in need, the families and particularly the children in poverty in North West Cambridgeshire and across the country. Indeed, the whole Budget country. Indeed, the whole Budget reflects progressive principles. 80% of households, all bar the top 80% of households, all bar the top 20%, will have more money in their pockets from this Budget. The ninth decile breaks about even, and then it's only the top 10% that are being asked to pay that little more.

And it really is only a little more 0.1% of their income. This is very much the labour way, but all the support we are providing must of course be paid for. And a key part of that will come from delivering growth and we are delivering growth. Our economy was the joint fastest growing in the G7 in the first half of this year, and that comes alongside the news that the IMF forecasts that we are set to deliver a bigger reduction in borrowing over the next few years than any other G20 country. And we're one of only two G7 countries to cut our deficit this year, despite all of the global headwinds that we face.

And in many ways, I feel sorry for the Conservatives here because they have a very difficult job of reading a red book full of good news and trying to make it sound bad. And I welcome the discussion in the Budget about lowering business costs, both through business rates, reliefs and freeze. We've heard a lot of criticism that there's nothing in this Budget for hospitality businesses, but about 50% of retail, hospitality and leisure businesses in the east of England won't be paying any business rates at all. And through reforms to regulation, will be saving businesses up to £5.6 billion a year.

If we hit the target that we have set out, can I encourage the government to ensure that that also applies to our life sciences sector? I've spoken previously in this chamber about options for reforming clinical trial regulation, such that we save business and NHS time and money and attract more investment, not by necessarily cutting regulation, but by streamlining it and reducing duplicated effort. There's an awful lot of different regulators that look after clinical trials at the moment, and I do think there's a lot of potential to streamline some of that down and really save a lot of money and just bring in more investment into that area.

I want to talk briefly now about one more area I would have liked to see more work on, and which I hope the government might consider going forward in the spending review, and that is gifted and the tax exemptions given to charities. There's very little scrutiny over that expenditure, which is sizeable, with over £5 billion of reliefs for charities in the tax year to April 2026. And of course, the vast majority of charities spend that money well and on good causes. And that is to be commended. But due to fundamental problems in the law, it is far too easy for organisations that provide very little or no benefit to the public or in some cases, even active harm to obtain charity status and in so doing claim public money through gift aid and tax exemptions.

And that damages the whole sector and those within it that do such good work. For example, in July 2025, The Guardian reported that the charitable trust transferred £5.7 million to support an illegal settlement in the occupied West Bank. In theory, therefore, the UK taxpayer could have funded an illegal settlement by over £1 million in gift aid through that transaction alone. The fact that that was permissible under our current system clearly shows that major reform is needed, including Treasury rules, and that significant amounts of taxpayer money could be saved, because that's not an isolated example.

There are many similar organisations, taxpayer funded charities that are preaching horrendous misogyny, homophobia and other hatred. That's a monumental waste of our constituents money, which we could be redirecting both towards our public services and also to to tackle violence against women and girls. At the same time, I know that's a priority for this government. It's showing that through measures in this Budget, like the £15 million announced to create a misogyny prevention fund, which will have a real impact. But measures like that are hugely undermined when the taxpayer is subsidising major organisations who, for example, as reported, was earlier this week there was a mosque in whom in which preachers were advising husbands that they could hit their wives.

I also became aware just yesterday of a church with awful posts on their website denying the existence of marital rape and all sorts of other horrendous misogyny. That one again had an income of £5 million. A million of that could be taxpayer funding. So that has got to stop,

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and I implore Treasury Ministers to consider what options they have to ensure it does. Steve Darling. Thank you.

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Thank you. Madam Deputy Speaker. Torbay has one very sad accolade that it is one very sad accolade that it is the most deprived constituency that has a Liberal Democrat MP, and so has a Liberal Democrat MP, and so therefore the cost of living crisis is close to my heart. The fact that is close to my heart. The fact that the government reduced fuel bills for some people is is welcome. But it is a small step and there were other opportunities on the table that the Liberal Democrats highlighted that could have helped people with the fuel crisis that is set to bite really deep come the new year, when those bills go up.

Also, I'm only too aware of the challenges that people have getting out and about in a rural county such as Devon, and further support
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Steve Darling Portrait Steve Darling MP (Torbay, Liberal Democrat)
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that the Liberal Democrats identified, sadly, were left on the identified, sadly, were left on the table. As our spokesperson said earlier on in the debate. It is about growing the economy, about growing the economy, unshackling ourselves by using what opportunities there are for us and not choosing to keep to those red lines is extremely important. On the upside, I'd like to celebrate use this opportunity to celebrate the fact that one of our. The oldest pub in Torquay is set to reopen tonight. The hole in the wall and I'm. And I'm delighted that my uncle Drew Million will be performing there on a Thursday and a Sunday night, and I wish I was home in time to be joining them.

But on a more negative note, I'm disappointed, as I'm sure many others are within this chamber, that the temporary cut to VAT that we campaigned for to help our hospitality industry and tourism was sadly not part of the Budget. That opportunity still sits there, and it would give us a boost in a number of different ways. Again, as colleagues have already highlighted, the National Insurance hike has hit that industry, even raising the levels where it kicks in would be helpful, particularly for NEETs and helping young people into those opportunities of their first job in in the hospitality industry.

Again, hospitality is in fear of the overnight levy. And this is the irony is that you look at the VAT rates that you're seeing in Italy, Spain or France, and it's 10% here, it's 20%. So applying an overnight levy is quite perverse in those situations. Unless you have that VAT cut. That then puts us more on a level playing field. And I've even had scouting associations who run a campsite in Torbay concerned that scout groups and similar youth facilities could be hit by such a visitor levy. My number one priority as the MP for Torbay is Torbay Hospital and the rebuild of it.

And so its chair. Madam Chair, it's somewhat disturbing that only £190 million was added in to the Budget to support our NHS. That doesn't even cover the rebuild of Torbay Hospital. That is desperately needed. So I would hope that the Chancellor would continue to push hard on supporting our NHS. In conclusion, I would like to welcome the changes that have been made, the taper that were set that is set to be applied to Carer's Allowance. That is a significant step in the right direction. However, a four year delay in this implementation is is a bit of an indictment on the DWP that it's going to take that long.

And then finally, a £1 for pound approach of the taper of taking back earnings over this amount. Surely there's an opportunity more generous in the long term as this emerges. Thank you, Madam Deputy Speaker.

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Doctor Jeevun Sandher. Thank you, Madam Deputy Speaker. I'm going to give a slightly different Budget speech today, different Budget speech today, because I think this Budget we have here shows a very different, not just in material terms as to what this government is doing, but also a moral difference between our two sides. Because of us on this side of the chamber, it's always been clear. Indeed, our founding values are that every single person in this country should be able to live
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Jeevun Sandher Portrait Dr Jeevun Sandher MP (Loughborough, Labour)
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this country should be able to live a decent life, and that out of that, we build prosperity for all and for others, that only some should be able to afford a decent life. A vision that's not just a just materially poorer, but morally poorer as well. Now, Madam Deputy Speaker, I I've written budgets in to Treasury in Somaliland. I've seen really difficult budgets. And make no mistake, this was a difficult Budget at an incredibly difficult time. We faced existential challenges and affordability, crisis of burning planet, war in Europe, all of it coming at the same time.

And underneath it all, a question that underlines our politics will be able will we stand together, stronger together, to meet this moment? Or will we fall apart, divided, weaker and poorer? And for us, we made our choice in this Budget that we will see every single person, every single family, and every single place do even better than before of families, of workers, of business and yes, of government. Working in partnership to create prosperity. That is why in this Budget, we reduced energy bills so families could afford the basics. Yes, but also because we know when families have more in their pockets, they spend more down the shops and that helps their local businesses.

We help businesses as well, not just with the things that they require the roads, the skills, the investment in energy. But on top of that as well, the rate cut, giving them a bit of breathing space as we go into what we all know will be an incredibly difficult winter ahead. And of course, for government being able to raise the funds that we need in the fairest way possible, yes, but also in the way that does not damage prosperity. And that is why we have a windfall tax. Yes. On the banks who have made huge profits in the past few years, but also windfall tax on oil and gas giants, because when they're making tens of billions of pounds from Iran and Ukraine, we make the choice that says we will use some of that money to help cut down bills for people in our constituencies, in our communities, and, yes, across our country.

We don't just know this works because it is working because we are the fastest growing economy in the G7. We know it works because it's what our past tells us as well. We know that it was Bevan's alliance of labour and capital that helped win the Second World War. We know that Attlee built common prosperity based upon common sacrifice, all of it from common endeavour. Blair and Brown, who renewed a nation, all of that built upon this fundamental ideal that we hold in our founding membership cards, and indeed today, that we achieve more by standing together through our common endeavour.

But, Madam Deputy Speaker, there are those who believe differently from us, who believe that we should be allowing oil and gas giants and banks to make huge record windfall profits and leave it there and not try to help every single person in this country. We've also seen that reform who support racist thugs, masked people on our streets will use those kind of tactics to distract from the fact that they want to give their crypto billionaire mates tax cuts. That is who we stand against. And that is the ideal that we stand against on these benches.

Yes, Madam Deputy Speaker, we choose a different path. The British people are better than that. But the anger, the division, but also the penury that it leads to, we know on our side what we've always known and seen throughout our history, that we build prosperity for all, that we stand together when each of us can stand tall, that a nation is only strong as each of its people have a stake in it, and they have a stake in that nation. If life is affordable for all. That is the choice we have made in our history, in our greatest moments.

That was the choice that helped us win a war, rebuild it, rebuild our nation after that war. And it was the same choice that build prosperity in our past, indeed, prosperity in our present. That is what this Budget represents. That's the choice that we make. And, Madam Deputy Speaker,

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every single one of us is so proud of it. Thank you. Point of order. Madam Deputy

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Speaker. Point of order. Sam Carling. It's just come to my attention that the Member for Rayleigh and Wickford made a particularly nasty age related comment during my speech, and I just wanted to see if speech, and I just wanted to see if perhaps if that was in order. And b, if you might like to say that so that his young constituents can
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Bob Blackman Portrait Bob Blackman MP (Harrow East, Conservative)
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Thank you, Madam Deputy Speaker, and a pleasure to to follow honourable colleague opposite. The honourable colleague opposite. The overriding question after the Chancellor sat down yesterday was, Chancellor sat down yesterday was, is that it? And indeed, most budgets managed to survive 24 hours before they fall apart. His Budget yesterday lasted about 24 minutes before it fell apart, as the Leader of the Opposition literally eviscerated it. Quite rightly, and indeed, the verdict this morning suggests that living standards are going to fall during the duration of this government and indeed that over the 2010 2020 period. Household income increased by 12% in this decade, it's likely to only increase by 2%.

That demonstrates that this government and this Chancellor is making Britain poorer. We have to remember as well that there are baked in tax increases from the previous Chancellor that are kicking in now. And I want to look at four particular areas of of the Budget where there are missed opportunities. First, for young people. As my hon. Friend the Member for North Cotswolds pointed out, there's nothing in this Budget for young people. There's a million young people not in education, training or education or work. There could have been an opportunity to reduce national insurance contributions for those aged recent graduates under 25.

No action. As a result, graduate unemployment is dramatically up. There could have been action on reducing the amount of interest that students pay on their student loans. That was promised but not delivered. And the energy costs. For example, a lot of young people in London will share houses in bands E to F. Those. Those young people will get no relief from the £100 drop in the ocean energy costs that's dished out. What there are are clearly taxes on savers. Taxes on banks, taxes on landlords. That means that rents will go up, which means that young people will end up paying the price.

So indeed, for most landlords, there is a problem because they can't sell their properties because of the inflated stamp duty that applies, and therefore the amount of supply will reduce. I also note that the issues around smoking or cessation of smoking were not mentioned once in the Budget, but unbelievably, smoking cessation in the National Health Service is being cut. Well, there are still 4.9 million smokers out there who desperately want to quit, but they will not get the support under this government that they desperately need. That cost the economy £53.2 billion every year through lost productivity, health care, social care and smoking related fires.

So, ladies and gentlemen, Madam Deputy Speaker, it is a big issue here that young people are being hit. Older people are being hit. I welcome the extra money on enabling every rough sleeper to have a roof over their head. The commitment was, of course, that they'd be taken off the streets before Christmas. It's now watered down. They'll be given an offer of somewhere to sleep. But at the same time, the number of people who are homeless or rough sleeping is actually increasing. So far from dealing with the problem, the government is not actually addressing it properly.

It's good news that the Vagrancy Act has been scrapped, and we celebrated that two days ago. And there's much more we can do to help people who are in this extremely vulnerable position. As I mentioned earlier this week. We still await the implementation of the Supported Housing Regulatory Oversight Act that I implemented three years ago that would help vulnerable people from being being prevented from being exploited. There are concerns straight away on one of the government's moves to bring in empty buildings back into use. Now the key there is who's going to pay the cost?

Where's the money coming from when councils have already got overstretched budgets and dealing with the local authorities? The £100 council tax rebate doesn't fix the core spending issues for those of us that follow these things. The average increase in council tax last year at band D was £111. So the £100 that some people are going to get back will disappear when the council tax increases come in this year. So indeed the problem now at local authority level is that the demand led services, which of course are not in control of local authorities, continue to spiral.

I welcome the fact that the government has given a three year settlement, but it's still not going to be sufficient. And in many cases, it's going to lead to huge council tax increases and cuts in services. So all in all, Madam Deputy Speaker, this Budget is a series of missed opportunities that

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could have been so easy to solve. I call Adam Jogee, after which

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I call Adam Jogee, after which I'll be reducing the time limit to three minutes. Adam Jogee. Thank you very much, Madam Deputy Speaker. Very grateful to Deputy Speaker. Very grateful to you. Here's despite me having edited lots out, but I will try to edited lots out, but I will try to read through my scribbles in this. In this Budget, His Majesty's Government is taking the necessary Government is taking the necessary steps to make everyday life that little bit easier for people back home in Newcastle, Madam Speaker, and thank goodness. And those steps in that determination stand in stark contrast to the chaos, instability and nonsense that we see at Staffordshire County Council.

This week we received news that Staffordshire County Council is on to its fourth leader at County Hall since the county council elections in May 2025. It's an uninspiring and unfunny game of musical chairs, and my constituents in Newcastle
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Adam Jogee Portrait Adam Jogee MP (Newcastle-under-Lyme, Labour)
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deserve much better. Madam Deputy Speaker, our community is a great place and is home to good, hardworking, decent people. They hardworking, decent people. They deserve every little bit of help announced yesterday to make life that little bit more manageable. And there was much to welcome. I'm And there was much to welcome. I'm pleased that more than 40,000 homes in my community will receive the £100 payment that we've heard from £100 payment that we've heard from colleagues across the House to help with their energy bills. Extended the 0% rate of VAT on electricity the 0% rate of VAT on electricity bills until July 2027.

We finally acting on gas standing charges, and there was more good news on fuel duty, too. We're taking more businesses out of paying business rates by increasing the small business rates relief threshold. Important to for retail, hospitality and leisure businesses in my community. And in fact, these changes, Madam Speaker, will mean that around 52% of all retail, hospitality and leisure properties in the West Midlands will now no longer pay business rates at all. This will go some way to helping the much loved and much used pubs and restaurants in our town centre and communities, as well as boosting our local economy and keeping local people in work.

We saw action on paternity leave which will make the system fairer. Excellent and I welcome the £55 million worth of funding that's available that will be made available to accelerate the delivery of the Violence Against Women and girls strategy. That's really important stuff, and I look forward to working with the Chancellor and colleagues from coalfield communities to finally deliver the justice that our coal miners deserve.

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Hear, hear. And whilst I will never shy away from my concerns with local from my concerns with local government reform and the impact that it would have on my community, I am delighted that the government has announced that a new male has announced that a new male strategic authority for Stoke on Trent and South Asia is on its way. This will be in power. It will be an investment and decision making closer to those of us who live, learn and work in Newcastle-under-Lyme and that's to be welcomed. I'm just saying, I've be welcomed. I'm just saying, I've got a bit more time on the speaker.

Since I was elected. I've seen I've seen up close. It would be, it would be, it would be it would do a disservice to my constituents not to use the time. Madam Speaker, since I since I was elected, I have seen up close how our local authorities have passed the buck at every stage, and my constituents have suffered because of it. And these changes now mean with a male strategic authority that we have the opportunity to fix a broken transport system, to invest in our young people, and to boost the resilience of our region, all with our local communities at the heart of that process.

Madam Deputy Speaker, this Budget is one part of helping communities like mine recover from years of delayed dither and de-industrialisation. We owe it to the hard working, skilled people who built our town and the young people who will move it forward to keep pushing for better. We have a proud history, a strong identity and huge potential, and with this Budget, we have begun the journey of reinvesting power and control into communities like mine. And I'll continue to do everything I can as a Newcastle-under-Lyme voice here to make sure that their voices are heard as loudly and proudly, too.

And there's a minute and 23 seconds back to you.

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Madam Deputy Speaker. On a three minute time limit, doctor Luke Evans. Thank you, Madam Deputy Speaker,

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Thank you, Madam Deputy Speaker, and I had to check that the Chancellor had said what I thought he had, and it was referred to again today by the Defence again today by the Defence Secretary for saying this is the first 100 days of a government and a new ten year plan. Well, by my a new ten year plan. Well, by my calculation, the government has been in for 847 days, with the
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Luke Evans Portrait Dr Luke Evans MP (Hinckley and Bosworth, Conservative)
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been in for 847 days, with the third Budget being delivered yesterday and over a quarter of the way through the last ten year plan. So rather than this being a baby Budget and a fledgling government, it's more an adolescent government. And this really is a bum fluff Budget. It's got wispy bits. It's got patchy bits, but actually no one really knows what it is, where it's going. And even if it should be there. And you can see that by the fact that we've had 98 announcements within it. One of the records, but also per value for those projects, it's also the lowest on record.

Now, I was pleased when I saw the Budget, that there were some bits that I'd been working on that have finally come into fruition. First of all, pensioners being taken out of paying tax on their State Pension. Also, the freeze in fuel duty. But these are the kind of things that were already warned about and put in by a Labour government, a hole dug by a Labour government that they've had to half fill. And this is exactly what we see with the NEETs situation. Young people in record unemployment. And certainly when we compare it to the EU average, over a million people not being able to to get through into their jobs.

And what does the government do? Well, it put on that toxic concoction of tax increases, red tape, and now it turns around and says, we'll give you £3,000 to take someone on. We'll get out the way. It'll be far simpler to let businesses take on and grow as they need. And the same applies for the hospitality industry, the leisure industry. It's welcome that the government has made some changes here on their rates. But of course, remember, they took away their support in the first place and put up the rates and added the toxic concoction in on top.

So this is the hole that's been half filled, and we see it time and time again. We often hear about the money that went into the NHS, but also remember it was taken away on the jobs tax that hit the likes of hospices, care homes, GPS, pharmacies all feeling it. And even with the energy aspect, £100 has been given. But we know that Ofgem say the cap is going to be up over £400 increase. Remember, Labour promised £300 lower bills when they came into office. So I hope we do see this beard grow into some full bushy shape now, whether it's Keir Starmer's continuation or Andy

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Burnham's new direction. The hon. Gentleman knows better than to refer to the Prime Minister

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than to refer to the Prime Minister by name. Doctor Luke Evans. Forgive me. The Member for Makerfield and his new direction with a lovely new moustache.

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with a lovely new moustache. Nadia Whittome thank you, Madam Deputy Speaker. I welcome many of Deputy Speaker. I welcome many of the measures in the Budget policies to lower energy bills and the food shop support for our high streets that every penny of the Mineworkers Pension Scheme surplus will go to former miners, and our continued
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Nadia Whittome Portrait Nadia Whittome MP (Nottingham East, Labour)
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commitment to support Ukraines defences. The government is absolutely right to double the fund to end rough sleeping, and the to end rough sleeping, and the extra 1.5 billion for 10,000 social and affordable homes is very welcome. I'm glad that the government is tackling this issue with such ambition. However, if we with such ambition. However, if we are to reverse 40 years of neoliberalism, we must apply that same ambition to every area where same ambition to every area where people are struggling. We've got the deepest poverty levels in 30 years rents and mortgages, food prices and bills are spiralling and wages simply are not keeping pace.

Despite the increase in funding in the in recent years, public services are still under severe pressure. We cannot expect people to endure this fall in living standards to keep going without. While the super rich get richer. Now I recognise that the government is in a difficult position as a result of the global economy, but it's the government's job to shield people from those shocks and to build stronger protections for the future. And that is why we must be bolder in taxing wealth. We could fairly raise billions of pounds to fund our public services, to strengthen social security, and to renationalise essentials like water and energy.

Now, I welcome measures to tax banks and to raise property income tax. But we must go further, including impactful measures like reforming capital gains tax. The current system encourages people to convert labour income into capital gains, hoarded wealth and leave the UK without paying their fair share. This could raise £20 billion a year, enough to fund a national care service. We could expand national Insurance contributions to cover investment, income and partnerships that could raise £6 billion a year funding local housing allowance rates increasing, and we could replace council tax and stamp duty with a proportional property tax that could raise £5.6 billion a year, leaving most people better off.

And, of course, an annual wealth tax at 2% for individuals who have wealth over £10 million, that could raise £24 billion a year As the Chancellor said, we need fresh hope for the future. But hope cannot come from words alone. We cannot paper over the cracks in a rigged economic system, and it's this Labour government's duty to fundamentally transform our economy so that it's just resilience and shifts wealth and power back to

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working class people. Christine Jardine. Thank you

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Christine Jardine. Thank you very much, Madam Deputy. Speaker, and it's a pleasure to follow. The hon. Member from Nottingham East.

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Nottingham East. It's fair to say that all budgets are keenly awaited, speculated upon and then scrutinised in great detail. Some scrutinised in great detail. Some herald landmark decisions like the initial Covid response package in initial Covid response package in March 2020. Others live in infamy, like the mini Budget, which crashed
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Christine Jardine Portrait Christine Jardine MP (Edinburgh West, Liberal Democrat)
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the market in 2022. But this one, this one is more difficult because this one is more difficult because to categorise it, coming as it does at a time when the unpredictability of the White House and Trump's of the White House and Trump's provocation of foreign wars creates an instability both in the international markets and for international markets and for families here in the UK, and massive uncertainty, which is why the £15 billion for Ukraine is so the £15 billion for Ukraine is so important for theirs, for ours and for Europe's defences. But there is also much more I welcome in this Budget, and partly because this is not the time for disagreeing, for disagreeing sake or point scoring.

The people of this country have massive problems facing them with energy prices and the cost of living, and it is down to us to work together to do to fix them. So any measures to bring down the crippling cost of energy bills and remove the unfairness of gas standing charges and give families a little headroom in the cost of living crisis should be endorsed. And we must remember that Welsh supermarket shelves are filling with luxuries for too many people. This winter will be about keeping warm and keeping the children fed, and for businesses they will also struggle.

So I was delighted to see funding from gambling and vape shops to support other high street businesses, and to ask the banks that the British taxpayer who bailed them out two decades ago can now expect the favour to be returned. And there will be no surprise to anyone in this place that the impetus to create a better working relationship with the EU is one that I heartily endorse, as I do the £80 million for advanced chip development, led by Edinburgh University and the £6 million for Glasgow Scottish Events campus. But I worry, as most Scots do here, that many of the measures in this Budget, for which there will be £600 million of consequentials for Scotland, will disappear into that black hole created by the Scottish Government and the £5 billion shortfall shortfall the Budget now faces.

But the Chancellor said yesterday that this was a Labour Budget for the worker, the sole trader, the parents at the school gate, the young person desperate to start their first job or business. Those are the people who will decide which category this Budget falls into. They are the ones who will decide whether their lives are better. And when we come out of this storm that the Chancellor talked about, we will see whether this tanker, which will take a long

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time to turn around, whether it is facing in a direction that the families in this country will welcome. Thank you.

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Thank you. Chris Hinchliff thank. You, Madam Deputy Speaker. In our era of perma. Meta poly. Crisis.

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Crisis. The decisions the Chancellor. Has taken. To provide our country with a little breathing space will be welcome news to many space will be welcome news to many of my constituents. The longer term question that remains is what we mean by good growth, because mean by good growth, because looking back over the last two decades, it has proven perfectly possible for GDP growth to happen.
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Chris Hinchliff Portrait Chris Hinchliff MP (North East Hertfordshire, Labour)
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And yet, for almost everyone's lives to simultaneously get harder, our country will drift until our country will drift until politicians are able to give a meaningful definition of good growth for the whole country can growth for the whole country can strive for and mobilise around. Fortunately, Madam Deputy Speaker, we don't have to reinvent this we don't have to reinvent this wholly anew for ourselves. The greatest economic mind our country has ever produced, John Maynard Keynes has left us many of the Keynes has left us many of the answers that we have been fumbling for nearly 100 years ago.

He warned that a focus on the wrong priorities would keep us forever in a pit of want. In other words, chasing the chimaera of infinite and exponential increases in consumption completely misses the point of what economic policy should achieve. From Keynes's time to today, there has been nearly a six fold increase in UK GDP per Capita. We have more than enough wealth to ensure every one of our constituents is meaningfully employed, can afford decent food, is well housed and yet hardship, reliance on food banks and the housing crisis don't just persist, but in many ways continue to worsen.

Madam Deputy Speaker, when Keynes wrote about the economic possibilities for his generation's grandchildren, I don't think this is what he had in mind. We may have a growing surplus of AI slop. We have all the poisonous social media one could possibly want to consume, and we have the jolly good fun of casino capitalism that doesn't actually produce anything. But what we lack is safe, comfortable and genuinely affordable homes for millions of people. What we lack is food that is both affordable and nutritious for all, and what we lack almost everywhere outside London is a public transport network that can reliably get you from where you are to where you need to be.

And the reason for this economic failure is straightforward. We have not had the self-confidence and determination to mobilise our enormous resources to actually meet our fundamental problems. Keynes was absolutely right when he argued that we already have all the resources and technical means to erase economic need in our country. What we have lacked is the organisation to use them that are literally trillions of pounds managed by UK pension funds and asset management schemes. If we directed just a fraction of this to investing in our actual priorities, our country could finally hop off the nauseating merry go round chasing growth that endlessly forces us to make trade offs which have brought our natural world to the brink of collapse.

And I will end on this. Madam Deputy Speaker, the fundamental fact about all our lives is that they are transient, the promise of consuming more every year than the last is irrelevant to making the most of the time we are each allotted.
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Julian Lewis Portrait Rt Hon Sir Julian Lewis MP (New Forest East, Conservative)
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Sir Julian Lewis. >> And the Defence Secretary, who started. Off the debate today, is undoubtedly a versatile and an undoubtedly a versatile and an entertaining politician, but I think he did himself a little less than full justice in being so than full justice in being so casually dismissive of the remarks made by the Labour chairman of the Defence Select Committee. For the record, I have found the hon. Gentleman for Slough to be both thoughtful, knowledgeable and patriotic, and he deserves to be listened to just as his predecessors in the role, including me, were listened to with, I believe, respect by conservative governments, even when we were criticising them and criticise them.

 We did. As long ago as June 2018, the Defence Committee published a report entitled Beyond 2% HC818. For those nerds who are interested in looking it up, and this called for a level of defence expenditure approaching the figure of 3% of GDP, which the United Kingdom still maintained as late as the mid 1990s. Now, the mid 1990s were six years or so after the fall of the Berlin Wall. And when the government keeps saying, as the Chancellor said yesterday, and as the Defence Secretary repeatedly said today, though not taking interventions on it, that he was so proud to be part of a government that had was behind the biggest increase in defence spending since the end of the Cold War.

The question you have to ask them is how much do they think this country spent on defence during the Cold War? Because when the Cold War was over, the threat diminished. The threat is now high. It's high as it ever was during the Cold War and during, for example, the 1980s, as I've said many times, we spent between four and a half and 5% of GDP calculated by today's method of calculation on defence. Now, in June 25th, the Hague Summit Declaration actually called for NATO members to spend 5% by 2035, consisting of 3.5% on core expenditure and 1.5% on wider defence related items.

We are already beginning to hear how the 3.5%, or even the 3% are going to be made up by creative accounting. Let us bear in mind the 3.5% are core defence and the creative accounting elements, if they're lucky, deserve to be included in the 5%. But that's it. Speaker.
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Chris Murray Portrait Chris Murray MP (Edinburgh East and Musselburgh, Labour)
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I am so pleased to support a Labour Budget that is backing Labour Budget that is backing Scotland and backing Edinburgh, despite the best efforts of the SNP to talk down its benefits and talk to talk down its benefits and talk down my city, I welcome in particular the announcement of importance to my constituency. £18 importance to my constituency. £18 million for a UK advanced Chip design Academy at Edinburgh University. This is how you build hope for the future. Modern iPhones contain at least a dozen chips designed in Edinburgh and Edinburgh. Researchers helped design a crucial sensor used in iPhone cameras, billions of which are now produced worldwide.

Consider this remarkable statistic from the historian Chris Miller. Last year, in a single year, the semiconductor industry manufactured more chips than humanity produced. Of all other manufactured products combined throughout human history, artificial intelligence may appear digital, but it depends on something profoundly physical chips, semiconductors and the infrastructure that powers them. We cannot afford to watch from the sidelines. Will the United States, Taiwan and others lead the field? Thanks to this Budget, Edinburgh will join them in the future. I have argued for years that Edinburgh can be one of the great powerhouses of the British economy, provided we have a government willing to back its potential.

But for too long we have had an SNP government letting us down at every turn. Edinburgh is the lowest funded per head local authority in Scotland. There are more homeless children in Edinburgh than in the whole of Wales. They hoard money in Holyrood and starve Scotland's capital city. Yesterday we heard a Labour Chancellor reject that. Make the decisions that will help Edinburgh thrive. Support for entrepreneurs for start ups, scale ups and founders will mean that innovation of Edinburgh researchers pushes us into the future. Yet the SNP's position on Labour's investment in Scotland is absurd in the extreme.

We heard the Member for Arbroath and Glens attack the renewal of standing charges on bills. Despite having advocated that policy in this chamber only months earlier, the Scottish Government's Budget is 12.4% higher. Even setting aside new responsibilities since Labour came to office, we have delivered £8 billion extra for Scotland's Budget. Where has that money gone? Why are my constituents still facing waiting lists, homelessness and potholes? It is because the SNP are so keen to look for grievance they can't even work out. They've been given more money. Labour is delivering for Edinburgh. What is holding us back is an SNP government with no plans, no conception of what Scotland's capital city can do, and no notion of how to use government to improve people's lives.
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Neil Shastri-Hurst Portrait Dr Neil Shastri-Hurst MP (Solihull West and Shirley, Conservative)
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Thank you. >> Madam Deputy. >> Speaker. >> And it's a pleasure to follow the hon. Gentleman, although I suspect we will have slightly different assessments of this particular Budget, because, in my view, this Budget is a thin gruel view, this Budget is a thin gruel of a Budget with its 98 measures, which are tinkering at tax and spending. It's not reminiscent of the Emperor Nero in Rome, fiddling as it burned, because this is ultimately a Budget of delay. It is kick the big decisions into the long grass. It's anaemic in terms of its assessment and forecasts for growth, and it is quite simply not setting out a compelling vision for our economic future.

And there is a cost, Madam Deputy Speaker, of that inertia. And there are two areas where I think that is very, very obvious. The first, of course, is in defence, and we are living in an increasingly unstable world. It is negligent. It is a failure of duty of government not to properly fund our armed forces, and a consequence of having a plan for a roadmap for 3% is that you actually have no strategy whatsoever. And I'm afraid the absence of that plan from this particular Chancellor especially does nothing to enhance his credibility in front of the British public and the markets.

The second area that I'll touch on very briefly is welfare, and I'll touch on it briefly, because there was barely any mention of it in yesterday's Budget. And yet welfare spending is predicted to go up by 19 billion this year. And by 2030 132, the total welfare spending is anticipated to be £431 billion. Madam Deputy Speaker, that is utterly unsustainable. There is, however, one area that I want to concentrate on, and that is a particular hidden tax measure within this Budget, and it's buried at section 6.147 of the Red book. But it does have enormous implications for those who are self-employed and pay their tax under self-assessment.

I'm one of those individuals from my historic earnings at the bar and my aged debt. But what this new proposal will end up doing is that individuals will be paying their taxes, perhaps on a monthly, perhaps on a quarterly basis. It's unclear as of yet, but it will almost certainly draw into that measure 50% tax returns being brought forward in terms of when they are paid. Now, there is an obvious effect for the Treasury in year one of this measure. It will increase more than £1.3 billion in terms of receipts. By year three it will be 1.8 billion.

But it will be ruinous for the individuals concerned, because they will end up paying tax on issues that they have not yet received. It doesn't reflect the seasonality of payments, and it is, quite frankly, a rather silly policy that has been cooked up by those that have no

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understanding of business at all. Yeah.

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Anna Dixon Deputy Speaker In yesterday's Budget, we saw the Chancellor putting in place Chancellor putting in place measures that will put money back into the pockets of my constituents in Shipley, support our brilliant in Shipley, support our brilliant independent businesses and deliver for carers and families across Bingley, Shipley, Baildon and the
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Anna Dixon Portrait Anna Dixon MP (Shipley, Labour)
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surrounding villages. Now this Budget does so without endangering the strong economic foundations that were laid by the previous Chancellor. My right hon. Friend the Member for Leeds West and Pudsey, and I'd like to echo the Defence Secretary's tributes to her for her action to restore economic stability after the Tories economic chaos against a global backdrop of uncertainty. So tricky balancing act for the new Chancellor, rebuilding our public services and maintaining fiscal discipline. But this Chancellor and this Budget got that balance right. Delivering security at home with better public services and security from threats abroad. So, Madam Deputy Speaker, I echo with others and welcome the new energy bills breathing space, which will give 36,500 households in Shipley £100 payment this winter.

I'm also incredibly proud that after years of campaigning, the Carer's Allowance Cliff edge will be abolished and replaced with a taper. So carers who earn just a little over the earnings limit will no longer lose their entire allowance. Carers should never be penalised for working an extra shift. That unfairness ends under a Labour government. I share our new Prime Minister's ambition to reform adult social care, to ensure that disabled adults and older people get the care they need. And so I look forward to the spending review and hope that his ambition will be matched by the Chancellor's in the spending review.

And briefly, I would like to echo the Member for Blaydon and Concerts. Enjoyment about the pedal. The new protected prevention spend. It may seem a little geeky, Madam Deputy Speaker, but this could prove transformative. Let's stop paying for failure and crisis and instead invest in early intervention. And just one example where this could make a huge difference is in hospice and end of life care. If we funded our local hospices like Marie Curie and Sue Ryder, who are currently reliant on charitable funding, they could expand community support. This would deliver reductions in inappropriate and unnecessary hospital admissions at end of life, saving money in the NHS and ensuring more people die at home and in the community.

And finally, I welcome the defence spending and hope that some of the fantastic, innovative defence SMEs in Shipley like radio design and slipstream engineering, can use it to grow high skilled jobs. In my area. This is a fantastic Budget. It shows that the Labour government is listening to people in places like

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Shipley backing workers, carers and our local businesses. Thank you. Terrible.

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Terrible. Thank you. Madam Deputy Speaker. So the Chancellor started his remarks by praising the previous Chancellor. Yesterday he said, I quote, she brought fiscal discipline to this country and she took the decisions required to took the decisions required to boost investment. Apparently. But what are you admitted is actually more telling. That is that she more telling. That is that she increased tax on business. She crippled farmers with taxes, the ballooning welfare bill and the
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Sarah Bool Portrait Sarah Bool MP (South Northamptonshire, Conservative)
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ballooning borrowing. If this fiscal discipline was as good and so great, perhaps she still herself so great, perhaps she still herself might have been delivering that Budget yesterday. He also talked, too, of giving Britain some too, of giving Britain some breathing space on the cost of living and the cost of business. If this is breathing space that I see, this is breathing space that I see, he needs to be very careful of the misrepresentation. That Budget was a faulty inhaler at best. I am concerned, particularly on some of the measures within the Budget. On devolution, there was a lot of discussion, Madam Deputy Speaker, about devolution.

However, for an area like Northamptonshire, we are not being considered at the moment and battling for any provisions around mayors. So we are battling at the moment to be able to be considered as a unit of six. It is currently looking at Blmk and. And it's such a and it's so important when so many decisions are apparently going to be devolved to these authorities, that Northamptonshire has its right place within these discussions. So I do hope that we can continue to make the case for Northamptonshire to be part of that. I also want to briefly just touch on some of the comments that were made around defence.

Now defence of this realm is absolutely essential and we all know how vital it is that we get to 3% of our GDP by 2030. Now, I think it is incredibly shocking, some of the comments that was made by the Secretary of State for defence earlier on these ventures, asking for detailed questions about how we will achieve that spending, should not be dismissed and joked about. It is absolutely right that this is the chamber and this is the place where those questions are answered. So I would ask that the the Secretary of States reconsiders his approach for the next time the opposition ask these questions.

And it's particularly because the Chancellor, when he was Secretary of State for defence, resigned on exactly the reason that we couldn't necessarily reach 3% a target is all that was mentioned yesterday. And I'd like to just remind everyone of the definition of a target. It is something you aim for. What we actually need is a full on commitment here and now. The Budget was given the title which said about a fresh hope for the future. This is not about hope for the future. This is about this government. Delivering hope is a little bit, as I say, like a rocking chair.

It gives you something to do, but it gets you absolutely nowhere. So I would just words.
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Mark Sewards Portrait Mark Sewards MP (Leeds South West and Morley, Labour)
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Yeah. Mark Sewards thank you very much, Madam Deputy Speaker. In the short time available to me, I'll just go through a few things in this Budget that I think will genuinely help my constituents, and genuinely help my constituents, and also a few areas that I think the government should go further. Starting with household bills. I certainly won't be alone in this certainly won't be alone in this House in finding that most of my constituents are genuinely worried about the pressure of household bills. It's definitely welcome that standing charges have been scrapped from gas bills, that the VAT and on energy bills has been suspended for longer, and the new £100 household energy payment is being introduced.

That's going to benefit 40,000 properties in my constituency alone. And it is welcome breathing space, but it cannot be the summit of our ambitions on energy bills or indeed on bills more generally. That's why I welcome the long term direction set out on energy by the Chancellor yesterday. But I do want to assure my constituents and give fair warning to the front bench that I will be asking for more support if bills do not come down quickly enough in the short and medium term. It's also welcome as well to see the support given to businesses.

 Nearly half of all businesses in Yorkshire and the Humber will not pay business rates following the announcements yesterday, but alongside that immediate support for families and businesses, the Budget did make some investments in my home city of Leeds, not least the £200 £200 million extra to transform Leeds train station. Now there's lots in that. There's a new bridge over the platforms, there's three new entrances, there's bigger and better concourses. But when I went through this with my wife, Alice yesterday, she was very quick to remind me she's absolutely right. The improvements to the lifts are incredibly overdue.

They are so painfully slow that you have to factor 15 or 20 minutes extra into your journey if you have a pram or if you have a wheelchair. And I have to say, as somebody who has a five year old, a two year old and another one arriving in a few weeks time, I welcome that investment into our lifts, and I can't wait to spend the money to make them just that little bit faster for anybody with a pram. I do also welcome the £15 million being given to Leeds College of Building for their new new campus on the South Bank.

That is going to be used by my constituents. It's going to give them benefits. It's going to give them a chance to start a new career in an area where we have skill shortages already, and in the very short time available to me. I will also say that as chair of the Yorkshire and North Lincolnshire APPG, we were about to put out a report calling on the government to give fiscal devolution to the regions to allow mayors to keep more of the tax revenue that we raise centrally. Very pleased to see that the Chancellor has beaten us to the Punch and announced that.

And I do know that the Prime Minister considers Lord Blunkett to be a personal mentor and hero to him, and he has also been a mentor and hero to our APPG. So I'll just say that he took what was in our report, gave it to the Prime Minister, and that's how it ended

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up in the Budget statement. And that's my story, and I'm sticking to it. Yeah. Yeah, yeah.

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Yeah, yeah. Kevin Bonavia thank you, Madam Deputy Speaker. This Budget comes at a time when conflict in Europe and the Middle conflict in Europe and the Middle East, not of our choosing, not of our making, has hit cost of living our making, has hit cost of living here at home hard while the threats facing our country make investment
16:25
Kevin Bonavia Portrait Kevin Bonavia MP (Stevenage, Labour)
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in defence and national security more important than ever. And as today's debate opened on our side of the Defence Secretary, I want to make a further point. Economic security and national security go hand in hand, and this is particularly important in my constituency of Stevenage, where the aerospace and space sectors are a vital part of our local economy. Indeed, as I've said many times in this place, over a quarter of satellites and space have components made in my town of Stevenage. But to have that security in the long term, we have to make sure people get through the attack on our cost of living now.

 And that is why this Budget has so much for that breathing space to help restoring energy bills. We have the £100 household energy payment that will help 36,000 homes in Stevenage and our villages. We have the extension of the VAT cut pensioners. The lowest income pensioners, will not be paying income tax as a result of this Budget and our businesses, our retail, hospitality, leisure businesses and Stevenage will benefit from the real terms increase in the next two years. These, taken together all help. And it's no good. The opposition belittling any of those. And when it comes to security, as your opposition have accepted, the Defence Investment Plan is fully funded.

That means our defence industry can now get on and provide the equipment and the support that our armed forces need. We are united in this House in supporting Ukraine, and I'm glad we all welcome the extra support for Ukraine. But the opposition had ten years in government, sorry, 14 years in government. And they lecture us about defence now. In that time, I've already said our armed forces were belittled. The Member for New Forest East talked about looking at the last government increasing defence spending, then never did it. You never did it. And now they say they will cut welfare.

They will. Welfare ballooned under the last government now and they say they're going to cut 30 billion. No plans. They ask us for a plan. They ask us for a plan. Nothing from them. So why should we believe a word from them? Madam Deputy Speaker, this is a time to think about that breathing space for our constituents, and I commend this Budget to the House.

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Which brings us to the front bench contributions, Shadow Minister Mark Francois. Yes.

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Thank you, Madam Deputy Speaker. It's a pleasure to sum up for His Majesty's opposition this afternoon. Perhaps I can begin on a consensual Perhaps I can begin on a consensual point by pointing out that, yet again, as we are debating these important economic matters, important economic matters, including the defence of the realm, there is no Member of Parliament from the Reform Party present. They
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Mark Francois Portrait Rt Hon Mark Francois MP (Rayleigh and Wickford, Conservative)
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from the Reform Party present. They have taken no part in this debate at all. We know they don't do Thursday afternoons, and they certainly don't do defence either.

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Will you give way on that point. Very quickly? Does he believe it's because there are prayer cards were taken

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there are prayer cards were taken out of place and that's why they can't be here? No, I think it's because they're desperately trying to find someone, desperately trying to find someone, anyone to go to one of their press conferences. Now, according to the Red book, working age welfare Red book, working age welfare spending would increase to 221.5 spending would increase to 221.5 billion in 20 31, 32. That's almost a quarter of £1 trillion, and an increase of over £57 billion since 20 1425. The Prime Minister famously said at the despatch box just a few weeks ago that national security can't come at the expense of Social Security.

And that really is a segue to what I principally want to say this afternoon. What the Chancellor announced yesterday was not a detailed programme for how to spend 3% of GDP on defence, but just a plan to have a plan which is not really a plan at all. He promised to begin work his words on how this would be achieved by the time of the spending review next year. The Labour government has already had two years to answer this question. So why do they need a further year now? When Labour published the Strategic Defence Review, the SDR in June 2025.

All three authors of the review, led by Lord Robertson, a respected former former, a respected former secretary general of NATO, were absolutely adamant that the bill for implementing their recommendations was a minimum of 3% of GDP on defence. So unless and until the government definitively commit to spending this money, it's very difficult for our armed forces to realistically deter a war with any aggressor in particularly the Russians, not the Russians. At the time of SDR, we were told this level of detail will be provided in the subsequent Defence Investment Plan. The House has promised this in the autumn, then by Christmas, then by the New Year.

They're in the spring and it was only finally published in late June 2026. Nevertheless, when the dip was eventually published, the government then kicked the can down the road for a second time and still failed to provide a definitive date of when and, crucially, how this country would spend 3% of GDP on defence. Indeed, the then defence secretary, now the Chancellor, famously resigned, seemingly on a point of honour because the government had failed to give a date for 3%. I have here, Madam Deputy Speaker, his resignation letter dated the 11th of June, and I quote from it directly after explaining to you that I would not be able to accept a settlement that does not give our forces the resources they need.

I'm now left with no other option than to submit my resignation as your Defence Secretary. It is also worth recalling that the then Veterans Minister, the member, the hon. Member for Birmingham Selly Oak, resigned in company with him partly over this and also because of his very severe reservations over the Northern Ireland Troubles Bill, a wicked bill which he famously described as not fit for purpose. Now, miraculously having resigned as defence Secretary when the Prime Minister then fell, the right hon. Gentleman for Rawmarsh and Conisbrough was immediately reincarnated as the Chancellor of the Exchequer. However, he then found himself with the boot very much on the other foot.

Now, given his understanding of defence and the solemn terms in which he wrote his letter, it was not unreasonable to assume that, having now seized control of the bridge at the Treasury, he'd be ideally placed in order to meet his own request to name the date for 3% and how to finance it. Otherwise, why did he resign? So I'm genuinely deeply saddened to see that yesterday he failed his own test. All we were offered was an offer to produce a plan for 3% in the government's spending review, which will take place next year. So, in other words, a man who seemingly resigned on a point of honour when he had the perfect chance to put that problem right, completely ducked it.

Yeah. All that Labour have done is kick the can down the road for a third time, so our armed forces cannot realistically plan, because they do not know how much money they will really have to spend in this nation's defence. And they're now going to have to wait at least another year before they do. But the house didn't take it from me. Chris Evans, the political editor of the BBC and summarising the Budget on the 6:00 news last night, said the biggest questions this government still faces, such as the long term funding of defence.

This Budget didn't answer. In fact, Madam Deputy Speaker, it's even worse than that because when the. The Defence Secretary agreed the SDR. He also signed up with the Treasury for almost £11 billion of efficiency savings. This was a labour deal, the first impact between two warring government departments. But the effect of those in-year efficiency savings or spending cuts in pub English is now proving debilitating for our armed forces. The in-year cuts were some £2.5 billion in the previous financial year, and they're now 3.5 billion in this year, 2627, for instance. One of the reasons it took nearly a month to get HMS Dragon to Sea was because of maintenance cuts that occurred under this efficiency savings program, we now see the vast bulk of the Royal Navy tied up alongside the quayside, partly because of maintenance issues, but also to save money.

For many months we had a period where not a single one of our nuclear attack submarines was at sea. And before the Minister intervenes and chides me for discussing submarine movements on the floor of the House, I'm not. I'm discussing the absence of submarine movements on the floor of the House. We've also seen army exercises cancelled on Salisbury Plain and flying hours reduced for some of our RAF pilots. These are exactly the wrong things to be doing if we're trying to send messages to Vladimir Putin, a former KGB colonel, to deter him from further adventurism, for instance, in the Baltic states yesterday, and I'm afraid, Defence Secretary, I'm going to quote him again, the Labour chairman of the defence committee excellently summed it all up by saying some of the key decisions on defence spending have lamentably been delayed until next year's spending review.

There is a cost to inaction. Investment in our nation's defence and security cannot be kicked into the long grass. Our adversaries are not bound by fiscal years and spending cycles. He should know again. Yesterday we even learned from the depths of the Budget Red book, that the Chancellor has effectively cut the overall MoD Budget by £1 billion in each of the next two years by pocketing reduced spending estimates on MoD pensions for the Treasury, rather than allowing the MoD to retain the cash and spend it on bolstering our defences. The Treasury has described these two £1 billion cuts in the defence Budget as an accounting adjustment.

Well, it's Enron accounting, it's smoke and mirrors and it only helps our adversaries and not our armed forces. On defence housing, there's a similar story. I served for some five months on the Armed Forces Bill committee. When we were told repeatedly that the money for this purpose would not be raided for short term efficiency savings. In fact, the hon. Member for Birmingham Selly Oak told us on the 18th of March during committee, I quote, the 9 billion has been ring fenced. It has absolutely been secured for defence housing. Nothing in the process will stop us getting on with the job of making these improvements and getting the job done.

We have made that commitment not just to the armed forces community, but the nation. We have said it in the House and we will see it through. That's completely unambiguous. So imagine our anger when we then saw a letter from the permanent Under-Secretary to the chairman of the Public Accounts Committee, dated the 25th of September, who says not only will some 850 million of that money now be deferred to the next Parliament, but also an additional 1 billion of upgrades to single living accommodation for soldiers would now be deferred as well. So what the government have done is they've cut nearly £2 of that investment in this Parliament in a desperate attempt to meet exactly the Treasury imposed efficiency saving targets that they swore blind to us for five months.

They would not do so. In summary. The Defence Secretary who opened this debate neglected to mention the MoD's 3.5 billion of efficiency savings target for this year. He talks about being ready for war within 1000 days, while at the same time imposing crippling cuts on the operations and training of our armed forces who were there to deter war in the first place. Civis pacem para bellum. The Budget totally failed to answer the question of how the government will actually spend 3% of GDP on defence, and they're listening in Moscow, in Beijing, in Tehran and in Pyongyang.

This is a dereliction of duty by a government who will the ends but don't will the means who talk tough but act weak, who let down the people of this country, who won't defend them properly, and who must be held to account at the ballot box for their abject failure in defence of the realm.

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Minister Lucy Rigby. Thank you, Madam Deputy Speaker, and I'd like Madam Deputy Speaker, and I'd like to thank. All right and right hon. Members for their contributions to this Budget debate, and it's an this Budget debate, and it's an honour to respond on behalf of the government. Yesterday, the Chancellor delivered a Budget which will steer Britain through a period will steer Britain through a period of global volatility and through the economic storm, which has increased pressures on families and
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Lucy Rigby Portrait Rt Hon Lucy Rigby KC MP, The Economic Secretary to the Treasury (Northampton North, Labour)
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increased pressures on families and firms across this country. It was a Budget that doubled down. Madam Deputy Speaker, on our fiscal discipline. It's one that strengthens our economic resilience and our national security, making responsible choices in an uncertain world. It's a Budget that offers households and businesses breathing space from cost pressures in the here and now, and a Budget which makes critical structural changes that will drive our future prosperity. And, Madam Deputy Speaker, over the course of today, one moment, the Defence Secretary and right hon. Members on this side of the House, including the hon.

Member for Buckingham and Bletchley and for Blaydon and Consett, have rightly emphasised the importance of our commitment to fiscal responsibility. Fiscal responsibility, Madam Deputy Speaker, underwrites every promise this government makes to the British people and as was made clear yesterday in this Budget, the Chancellor has met his fiscal rules and for the first time, this government is meeting them. In the third year of the forecast. The headroom against the stability rule is £15 billion, rising to £22 billion in 2030 31. Last year we cut borrowing to its lowest level in six years, and the OBR's Effo confirms that borrowing will fall over the forecast.

And, Madam Deputy Speaker, you'll you will forgive me, Madam Deputy Speaker. You'll forgive us on this side of the House for taking the advice of the shadow Chancellor with not so much a pinch of salt, but a whole bucket, because not only is he the architect of the mini Budget, but he maintained just a few weeks ago that the mini Budget, as the Defence Secretary said, contained lots of good things. So maybe he would like to tell us what those good things were. Were there the sky high mortgages for millions of people right across this country, including in my constituency.

Was it the disastrous market impact? Was it the cratering of our international reputation, which what were what were the good things? Madam Deputy Speaker, Britain's economic reputation was so badly damaged under the party opposite that the IMF publicly warned them to change course. And I know you can tell, Madam Speaker, they don't like they don't like being reminded of that. Of course they do. And the shadow armed forces Minister doesn't like that either, because he was the one of the mini budgets chief architects and indeed the most ardent fans. The reality is that the contrast between their approach and ours could not be

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clearer. I will give way. Talking about structural problems and difficulties. We've just had a press release come out just had a press release come out from the Labour Party, which says exclusive Chancellor tells Christian Guru-murthy Labour will not bring welfare bills down in this Parliament. Does she stand by that are.

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that are. Madam Speaker, we are reforming welfare and the Prime Minister has made clear today the welfare Budget made clear today the welfare Budget ballooned under the party opposite. The Prime Minister has been very clear today that the welfare bill will come down, the welfare bill will come down. So, as I said, the contrast Madam Deputy Speaker between our approach and theirs could not be clearer. The IMF forecast earlier this month that our deficit would be the lowest in the G7 by 2029. And, Madam Deputy Speaker, fiscal strength matters because our economic security and our national security are inseparable.

That is why this Budget strengthens Britain's capacity to withstand global volatility. It funds the Defence Investment Plan right by reprioritising capital budgets so that Britain can respond in a more to a more dangerous world. It strengthens our defence industrial base and it supports skilled jobs across the country. And it also, as has been pointed out by the right hon. Member for Maldon and the hon. Member for Edinburgh West. Point of order Steve Barclay.

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The Chief Secretary, has just said at the despatch box that the welfare Bill will come down. The BBC has been reporting, following the Chancellor saying the same thing this morning, that number ten thing this morning, that number ten and the Treasury have informed the media that that is not the case and the welfare Bill won't be coming the welfare Bill won't be coming down. So how do we ensure that the House gets the true position? House gets the true position? Because it's rather hard trying to keep up with the fact that it keeps changing.
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None Portrait Points of Order
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Can I thank the right hon. Member for his point of order?

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Full well that that is not a matter for the chair, but I'm sure the Treasury bench has heard the point. He made. Minister thank you, point. He made. Minister thank you, Madam Deputy Speaker and Madam Deputy Speaker, let me talk now about energy security, because it's about energy security, because it's part of our national security, too. We're reforming our energy system so that Britain is less exposed to volatility, will freeze new policy costs on bills pending a comprehensive cost control comprehensive cost control framework. We're accelerating investment in the grid, and we're procuring clean power only where it lowers bills and can connect properly and Madam Deputy Speaker.

When it comes to our public services, this government has stabilised spending after years of underinvestment by the party

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opposite and spending will continue. I will. Grateful. I'm sure she can confirm to the

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I'm sure she can confirm to the House that she is a Treasury Minister, because I have here the press release issued by the Treasury, which says for immediate release, exclusive Chancellor John

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release, exclusive Chancellor John Healey tells Christian Guru-murthy Labour will not bring welfare bills. To order.

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To order. Mr. Francois we refer to him as the Chancellor, not by his name Mark. Francois I apologise, I was I was reading the press release but I accept your admonition anyway. It says that the bloke who is in charge of the Treasury has told Christian Guru-murthy that Labour will not bring welfare bills down in the Parliament, and the Economic Secretary to the Treasury to give her a correct title, just said that they will. So who's right? Is it

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the hon. Lady or her boss? Because they can't both be, can they? Yes. Madam Deputy Speaker, the Prime

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Madam Deputy Speaker, the Prime Minister confirmed earlier today that we will bring the welfare bill down as soon as possible. And I'm very happy. I'm very happy. I'm very happy to confirm that. And as very happy to confirm that. And as I look, as the Chancellor said yesterday, Madam Speaker, when it comes to public services, we will insist on reform, on prioritisation and on value for money as well,
16:45
Lucy Rigby Portrait Rt Hon Lucy Rigby KC MP, The Economic Secretary to the Treasury (Northampton North, Labour)
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because that is what resilience looks like. It looks like sound public finances, secure energy, public finances, secure energy, strong defence and a state which is able to act when the country needs it to. And Madam Deputy Speaker, as it to. And Madam Deputy Speaker, as hon. Members have made clear, including the hon. Member for Gloucester, for Shipley and for Gloucester, for Shipley and for Leeds South West and Morley, the measures in this Budget will provide breathing room for families and businesses now, whilst also and businesses now, whilst also helping to bring bills down over the long term.

Madam Deputy Speaker, we know that the pressures when it comes to energy are not just felt by families, but they're felt by businesses too. And that's exactly why we're increasing the small business rate relief threshold for retail, hospitality and leisure properties, taking around 70,000 more businesses out of business rates altogether. And for other businesses in the sector, rates will be frozen in real terms for two years. We're supporting, Madam Deputy Speaker, High streets and the businesses that give them life. We're backing pubs, clubs and music venues. We're reducing the supply side barriers that firms repeatedly tell us hold them back.

Energy costs, low infrastructure decisions, red tape and access to finance. And because of our commitment to fiscal responsibility, all of these measures are fully funded. I will give way.

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I very much thank my hon. Friend for her closing remarks and responding to the points raised during the debate, I would ask that she just confirm that business rate relief will not apply to the vape shops that are popping up on our high streets and blighting our high streets.

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streets. Madam Speaker, I can and, Madam Speaker, let me move now, because upon that commitment to sound finances is our plan to double down on the conditions that will allow for the growth that is going to drive this country's future prosperity. We are determined that Britain will be an even better place to start a business, to scale it and then to stay. And a new Founders Relief will offer a 10% capital gains tax rate on eligible lifetime gains of up to £10 million. For founders of high growth companies. We're doubling the sea salt limit, and we're tripling the trading allowance to and recognising that artificial intelligence is the defining technology of our time.

It's already turbocharging productivity. We're putting more than £700 million behind, making it safer, more secure and easier to adapt. And I'm pleased to confirm to the hon. Member for North Cotswolds that we will continue to safely adopt AI within the public sector, improving public services and productivity while securing better value for taxpayers. And now, Madam Deputy Speaker, the Chancellor also talked yesterday about significant change to our energy policy because we know that affordable, secure energy is a platform for growth. So by accelerating grid connection, controlling costs and lowering electricity bills, we will strengthen industrial competitiveness and unlock investment across the country.

And then, Madam Deputy Speaker, we're also putting our public finance institutions at the heart of Britain's growth mission, with an additional £20.4 billion of capital for the National Wealth Fund and the British Business Bank. Madam, let me conclude by saying in the first half of this year, our economy was the joint fastest growing in the G7 alongside the United States. The OBR has raised its forecast for growth this year to 1.2%. Whole economy, investment, business, investment and productivity are all up now that progress is being tested by global pressures, we know, and that is exactly why the Chancellor has delivered a Budget that will steer us through the storm.

It's a Budget underpinned by fiscal discipline. It provides support to families and firms. Now it will strengthen our resilience and it will put this country on the better, more secure and more prosperous course that the

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British people deserve it. I beg to move that the debate be

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I beg to move that the debate be now adjourned. The question is that the debate

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The question is that the debate be now adjourned, as many are as of that opinion, say aye. Of the contrary. No, I think the ayes have contrary. No, I think the ayes have it. The ayes have it debate be resumed. What day?

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resumed. What day? Monday, 2nd of November.
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16:52
Cat Smith Portrait Cat Smith MP (Lancaster and Wyre, Labour)
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years as a member of Parliament here, this continues to be an issue which affects so many and for which justice still feels so far away. I don't intend to spend much time, given the history of this House, debating the topic of going through the history of the drug, which has been used to treat epilepsy and bipolar disorder since the early 1970s. But I will briefly, for the benefit of anyone who's perhaps tuning in for the first time, go over the brief facts of what happened. The drug is a teratogenic which was known to be teratogenic from the time it was first licensed, and despite this, doctors were initially advised that the risk did not justify, and I quote, did not justify discouraging a woman who needs anticonvulsant treatment from having a child or changing a satisfactory drug regime.

When the epilepsy is well controlled. And the result of that has been playing catch up ever since. With the valproate Pregnancy prevention programme only being launched following tireless campaigning from women affected, such as my constituent Janet Williams, who is in the gallery tonight along with her friend and colleague Emma Murphy in 2018. Securing that pregnancy prevention plan. It's. It's difficult to calculate the number of children that have been exposed to valproate in utero since since 1973. Licensing. The Patient Safety Commissioner has made an estimate of around 14,000 for the period from 1972 to 2017.

In England, diagnosis often gets picked up when clinicians are perhaps. In some cases, parents recognise facial dysmorphic, dysmorphic features and children born with foetal valproate spectrum disorder can have a wide range of physical and mental health symptoms, including but not limited to, weak muscles, visual problems, hearing difficulties, difficulties with balance, social anxiety, low energy, heightened sensitivity to noise, and difficulties in regulating emotions. But one of the biggest health conditions facing people with foetal valproate spectrum disorder is autism, and. But also a significant number will also have attention deficit hyperactivity disorder, ADHD, dyspraxia, sensory processing disorder, and epilepsy.

It can affect children in very different ways in some of the most severe cases. And I know the hon. Gentleman has got a constituent who's very severely affected. The individual can end up bedbound and very severely disabled. And for some children it may be more of a an issue with the autism and

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sensory processing. Does anyone want to. I'll give way. I thank the hon. Member for

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I thank the hon. Member for giving way and thank her for introducing this long awaited debate. My constituent, Karen Buck, whose daughter, Bridget Doyle was whose daughter, Bridget Doyle was born, paralysed. His bedbound. She suffers from autism, and the reality is that there are many reality is that there are many victims out there that suffer from a variety of conditions. As she quite rightly points out. Not least, of course, is spina bifida as well, which she hasn't just mentioned. And I think the problem here is that the court case, which was established to try and get recompense for those victims, had legal aid withdrawn back some 20 years ago.

Unfortunately, although commitments have been made time and time again to help those people, these mothers are now coming to the advanced end of their lives and the children they've supported will desperately need support when their lives end. Does she think there's a

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need for now a proper compensation scheme? I thank the hon. Gentleman for raising his constituent Karen's raising his constituent Karen's case with her daughter, Bridget, and I would entirely agree with him and I would entirely agree with him that the time is now. I think that you raise. He raises an important point, Madam Deputy Speaker, about point, Madam Deputy Speaker, about the fact that because this scandal has been going on for so long, you know, the drug first licensed in know, the drug first licensed in the 1970s, inevitably means that the the babies that were harmed are no longer babies.

They're not even children. They're adults with disabilities. And their parents are, you know, getting older every year. And the reality is for many of those parents, and when I speak to them, one of the biggest anxieties is around the fact that who's going to look after their children when they no longer can. And that's why we need to see compensation paid out, I believe, sooner rather than later, because it's already, frankly, been too long and turn into the case for compensation. If I may. I think the case for redress from from the government, for the families affected by this maladministration has been conclusively made.

You know, this is not the first debate we've had in this chamber about this, but nor is it even the first review in 2020. The Cumberlege review, which was established by the previous Prime Minister, Theresa May, she found that the states and manufacturers have an ethical responsibility to provide ex-gratia payments to those who have experienced avoidable damage. These payments should be made to cover costs such as travel to medical appointments, respite breaks or emergency payments, where a parent has to stop working to cover care. And I pay tribute to the former Prime Minister for her work on this issue, because she really was a doughty campaigner on

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this. And I give way to my friend. I thank the hon. Member for giving way, and I have constituents giving way, and I have constituents also affected by the sodium valproate issue. And does she agree valproate issue. And does she agree with me that it's a double injustice, first of all, that the injustice, first of all, that the parents, Emma and Janet, had to fight to get recognition and change fight to get recognition and change in the. The prescription of sodium valproate, and then have had to fight again to get compensation for Smith.

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I would totally agree with my friend, but I'd go further still. You know, when you have a child You know, when you have a child with additional needs, the last thing you need is to be fighting a national campaign for justice. You already have enough on your plate already have enough on your plate trying to cope with your child and make sure your child's access and the support that they need without the support that they need without having to run a national campaign. But that's been the reality for many of these parents, primarily many of these parents, primarily mothers who have children that have been harmed by valproate.

That's exactly what they've had to to go on and do do. So to go back to my points about the history of the reviews that have been done into this scandal, the in back in 2022, the the then conservative government initially rejected the recommendation that I've just set out. However, in 2020, it did have a change of heart by the then health Minister. I remember Maria Caulfield. She was tasked. The Patient Safety Commissioner to provide options for financial risk. And that felt like a real step forward for the campaign at that point. And the commissioner produced the Who's report in February 2024, and it reiterated what we already know, which is that the government has a responsibility to create an ex-gratia redress scheme providing financial and non-financial redress for those harmed by valproate.

The Hughes report recommended that the government should create a two stage.

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I beg to move that this House do now adjourn. The question is that this House

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The question is that this House do now adjourn, and before I call the hon. Member again, I would just like to say what a pleasure it is

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to see the Clerk of the House in his position for his last ever adjournment debate. Cat Smith yes.

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Thank you, Madam Deputy Speaker. The Hughes report recommended that the government should create a two stage financial redress scheme comprising of interim scheme and main scheme, with the instrument payments commencing in 2025. And for those that are paying attention, we'll realise that that's somewhat late now. She further recommended that these payments should be made by an independent body, which commands the confidence of patients, and I think that point is particularly important to make to the Minister. For the patients that have been harmed, have lost so much confidence that the importance of the independence of the body that would administer this would be able to give those patients confidence that it was being done properly.

So where are we today? So we've had both the Cumberlege review and the Hughes report stressing the need for speed when responding to this issue, and that is to a large extent, as my friend has set out, due to the time and nature of the scandal, we now have a cohort of adults with foetal valproate spectrum disorder, whose parents are increasingly finding it difficult to support their needs due to their own health and care requirements. And sadly, we're now over two years on from the latter, and the government has yet to formally respond to it.

And this is despite the clear recommendation that interim payments should have commenced last year. The previous Secretary of State for health, the Member for Ilford North, did do a television interview with ITV, Granada's Lisa McNally, in February of this year, in which he indicated that he wanted to commence compensation payments before the end of this parliament. So it's therefore troubling that in answers to parliamentary questions from myself and colleagues that the government's line today remains, and I quote, a decision to provide compensation has not yet been made. And I think I just want to say, Madam Deputy Speaker, in response to the written parliamentary questions that myself and colleagues have been putting in, it is feeling increasingly frustrating that it feels like when Ministers see a written parliamentary question come in and see the word valproate, there's almost a stock answer that gets lifted off the shelf, and that gets given to us as members.

And speaking to some of the victims recently, they've told me they feel quite gaslit by some of the answers to written parliamentary questions and written parliamentary questions, which just keep referring back to the same answer again and again. We really do need to make progress with this issue. So does the Minister understand the considerable distress, such as uncertainty and inconsistency causes? So will she today make unequivocally make clear that the government accepts the case for financial redress for the victims of sodium valproate, and put in place a clear timetable for delivering that financial redress. And if the Minister needs any more persuading, I know that she she's she's a good Minister, and I know that she'll want to do the right thing here.

But if she needs any more persuading, Madam Speaker, I would like to say that by tuning in to the BBC two at 9:00 on the 9th of November, she'll be able to see the screening of mums v Big Pharma, which is a. Produced by the same makers as the Post Office scandal. And it really does show the human side and the human cost to this scandal for so many families, some of whom are in the the gallery here tonight. And it's really just sort of a perspective of basically two Lancashire mums that have absolutely had enough and are fighting for justice.

And if I know one thing about Lancashire women is that when we've got our teeth into something, we do tend to stick at it and we will persevere. But particularly for Janet Williams, who's been campaigning for justice since 1996, it really is time that justice was was brought forward for these victims. In addition to the conversations I've had with victims of the scandal, I've also heard concerns raised by those living in Scotland, Wales and Northern Ireland and the government. They feel that the government hasn't necessarily engaged as well with victims in the devolved nations, and part of that will be the nature of the the health being devolved to those nations.

But the reality is, as well as health is a devolved matter, the regulations of human medicines and medical products does remain reserved, and those victims in the devolved nations to deserve to be taken seriously and brought with English victims on that journey towards redress, both financial and non-financial redress. The government has previously put in place UK wide schemes for redress, such as uninfected blood, and I know the Minister is well aware of that. So will the government therefore commit to working closely with victims from Scotland, Wales and Northern Ireland as and the devolved administrations on this matter?

I have to give way.

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I very much thank you. For giving way and for her campaigning on behalf of the campaigning on behalf of the victims of this particular scandal. I wondered if she was aware of the report from the Public Accounts Committee making recommendations about government compensation schemes. We looked at schemes schemes. We looked at schemes including the infected blood scandal, and they suggested that these schemes needed to be designed these schemes needed to be designed with the victims and that there should be independence in the way there is for infected blood. And I hope that the Minister, in responding to you, will also take note of that report and how such compensation scheme could be set up so that it provides quick redress for victims, and the way she hopes.

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I thank the lady for her intervention there and commend her for the work that she does, along with others on the committee, and with others on the committee, and that report is absolutely right to stress the independence in order to stress the independence in order to give confidence to the victims, but also a scheme designed with victims, because these are families that because these are families that have already had so much done to them that it's important when it comes to redress. They are part of comes to redress. They are part of the solution and designing that solution.

And that's that's part of the process of redress. That's part of the the justice is that they're no longer having things done to them, but a part of designing the

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solution to resolve things. It'd be a pleasure to give way to my friend. Thank you.

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And apologies. Madam Deputy Speaker, for being late to the debate. It caught me somewhat by

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It caught me somewhat by surprise the early start. But as she's away and you, the hon. Lady, she's away and you, the hon. Lady, may have touched on this already. The Hughes report is an excellent report, and that gave a blueprint for how a redress model could be, you know, put in, put in place, right down to the amounts and how that could, you know, be facilitated. Does my hon. Friend agree with me that it's been over two years since the Hughes report? I know there's been a change of government, but this government's been in for a good over two years now.

Does she agree with me? It's about time that the government came forward and accepted the report.

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I thank my friend for intervention and thank her as well for the work she's done over a for the work she's done over a number of years on this issue, and she's been a doughty campaigner on sodium valproate and has the confidence of many of the victims confidence of many of the victims and is very well thought of. And I would I would say that I would entirely agree with what she says entirely agree with what she says about the Hughes report. It is a very good report that should have been enacted already, and it's been enacted already, and it's frustrating that we've been waiting as long as we have on this.

There was many things as well as the redress, but also about the non financial redress in that report. And as part of that, of course, now we've got the pilot clinics that are taking place in Manchester and in Newcastle we have pilot clinics supporting children and adults that have been affected by valproate. But these are pilots unlike some of the other clinics. So it's with mesh for example. Those clinics are permanent clinics and they're able to provide psychological support as well. For those that are victims of valproate, the clinics are still still in trial, and we don't have have clinics outside of the north of England.

And obviously, as the north of England. MP, I'm very glad that the clinics are sort of local to me, but the reality is that victims of valproate live right across the United Kingdom, and that you shouldn't become a postcode lottery of where people can access support. And so can the government. Update the House, perhaps about whether or not these are going to be made permanent and perhaps expanded to cover a wider geography, rather than just the north of England. And finally, I suppose, would the Minister commit to meeting with me and victims, especially those from the campaign organisation, in fact, discuss in detail the government's long term intentions in this area, because many of these victims feel like they've been in the dark for, for an awful long time about what's happening in labour.

We've been in government here since 2024, and I think the time has come when the feet can no longer be dragged and justice needs to be done, and redress needs to be put in place. And the families that have been affected are owed no less than that. Madam Deputy Speaker well, I'm so glad you're in the chair tonight, because you, too, have been a doughty supporter of these victims. And I know you two are very fondly thought of, especially by those in the public gallery tonight for your support on this. And, and I'm really grateful that there have been interventions from both sides, because this truly is an issue which cuts across party politics, because regardless of what colour one has, you cannot fail to see the injustice that has been done to these families.

And I personally would like to see it be a Labour government that delivered this redress to these victims. You know, this scandal has been going on since the 1970s, that the time has passed for just talking about this. We need to start acting and doing things. The families that have been affected are frankly, owed it nothing less. And I hope that in the minister's reply, she will give them some hope tonight because I'm told that hope is back.

So let's make sure that means something by having some hope from the Dispatch Box tonight.
17:10
Diana Johnson Portrait Rt Hon Dame Diana Johnson MP, Minister of State (Department of Health and Social Care) (Kingston upon Hull North and Cottingham, Labour)
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Thank you. >> Thank you, Madam Deputy Speaker. And can I also say how nice it is to see the Clerk of the House in his place, and I want to pay his place, and I want to pay tribute to his very long service in this place and wish him the very best for the next chapter. Yeah. And I also, of course, want to start by congratulating my hon. Friend, the Member for Lancaster and Wyre on securing this important debate. And thank all the hon. Members who have contributed to this sensitive and important topic. We've had. The Member for Blaydon and Consett.

My hon. Friend for Shipley, my hon. Friend for Washington and Gateshead South and the hon. Gentleman for Harrow East, all making very important contributions. And again, I would also like to reference, Madam Deputy Speaker, I know you're a long standing supporter of this issue as well, and I know that my hon. Friend has been working tirelessly for many, many years on behalf of her constituent, Janet Williams, and all the campaigners and the families, including Emma Murphy, who my hon. Friend referred to, and to make sure that women's and families voices are heard and that they are at the heart, really, of the discussions and the debates that we have.

And I also agree with my hon. Friend about the perseverance of women. And there's clear perseverance here. Indeed, and I have been very moved by the stories that I've heard, both before I came into office. And the more I look into this matter, I think the more tragic it appears to be. And I will be watching that television programme on the 9th of November, which my hon. Friend referred to now as my hon. Friend, would expect. Since becoming the Minister for Public Health and Patient Safety, I have been briefed by officials on the Hughes report and the progress that we've made so far.

I. Of course, I am very pleased to meet with my hon. Friend and the families affected. Of course, I'm happy to do that. I'm also very determined to make progress on the government's response to the Hughes report, and I will, of course, work closely with devolved governments in doing that because, as has been said in the contributions today, this affects all parts of the United Kingdom. So we need to work together. Now. My predecessor, the my hon. Friend the Member for Glasgow South West, established a direct line with the Patient Safety Commissioner to start to drive this work forward, and I think that was the right approach, and I look forward to meeting Professor Hughes shortly.

I am conscious that it has been more than two years since Professor Hughes published her report, and more than five years since the Independent Medicines and Medical Devices Safety Review was issued by Baroness Cumberlege. And we know the lives of women, children and their families have been profoundly changed. Their voice must be heard as we address the issues with, I think, the

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urgency that is demanded. We must all. Yeah. Happy to. Yes. Very much for giving way. And

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Very much for giving way. And thank you, Madam Deputy Speaker. My constituent, Matthew Cox has foetal constituent, Matthew Cox has foetal valproate. Valproate syndrome. And this time last year he wrote to the Prime Minister. It took several months to get a response. He wrote months to get a response. He wrote again to number ten in March this year. I wrote to the Health secretary in July this year. secretary in July this year. There's been no responses. And the response that Matthew did receive for someone with learning difficulties was not an appropriate response. I wonder if she take Matthew's case away specifically and make sure that he does get the response that he's been looking for.

He and his mum welcome the hope that a new Labour government

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brought on this issue. It is really essential that we we deliver for them. Thank you. Of course, I will take that away.

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Of course, I will take that away. And can I just say, as a Minister, I've made it very clear that we I've made it very clear that we should respond in a timely way to obviously, to members of Parliament, but in other correspondence as well, but in other correspondence as well, and in a way that people can understand what is being said to them. So I absolutely take that them. So I absolutely take that point. So just moving on, I think I just want to make it clear that we are determined to build a system that listens, that hears, and that will act.

And we need to do that with speed, compassion and proportionality. Madam Deputy Speaker, as someone who has fought hard for the compensation that was due to the victims of the infected blood scandal, I fully understand the strength of feeling on this matter, and I can also appreciate the frustrations of the families and the campaigners. This is a complex and sensitive issue, and it does require careful coordination across government. The support we offer to those who have suffered profound harm must be meaningful and responsive to their needs. The government is clear that those affected have already waited far too long for answers on the issue of financial redress.

While a decision has not yet been taken to provide financial redress. My priority is to drive these discussions forward with greater urgency, while ensuring that any decisions we take are underpinned by a thorough assessment of the available options and continue to engage across government. Our discussions so far have considered the scope, the affordability and the practical challenges of a redress scheme. I do want to just say a few words about non-financial redress. Yes. Happy to.

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If the Minister. I'd like to see some clarity, because she's said some clarity, because she's said that the decision has not yet been made. And yet the previous Secretary of State for health told Secretary of State for health told ITV that the financial redress would be. He was expecting it to be

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by the end of this Parliament. So could you just clarify? That seems inconsistent to me. My understanding of what the

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My understanding of what the previous Secretary of State said was that he wanted to see progress within this Parliament. I'm very mindful of the recommendations of the Hughes report, which deal which set out clear recommendations around redress, and I just try to

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set out. That's the the The avenue I'm pursuing with some speed to look at what the options are. So I hope that answers options are. So I hope that answers the. The honourable. My hon. Friend.

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Yes, I will do. I thank the Minister for giving way, and I know from her work in the past that she would be very conscious of the issues here. But can I just say, two years on from can I just say, two years on from the huge report, which was very clear, we need to be acting. This is an important issue, and it feels like a group of women primarily are being left to one side to wait their turn or wait their time. Can the Minister assure me that she will be in the department, making sure that we get a real answer on financial and other redress?

I am sure that she will be doing that,

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but we need to see some action. I can fully understand and appreciate the frustration, because appreciate the frustration, because it has been two years since the report was published. I will do my very best. I know that my predecessor, who is in her place, was also looking at what more we could do to speed matters up, and I will give my undertaking to this House that I will do my very best House that I will do my very best to make sure that we make progress on this and all the recommendations in the report are.

I can see, I can see my hon. Friend wants me to give way and I'm very happy to.

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Thank you. One last brief intervention, if I may, and I know my hon. Friend is best placed with my hon. Friend is best placed with her experience of leading the Contaminated Infected Blood campaign to be now in this position to deliver for all of these victims to deliver for all of these victims from mesh Valkyrae and maybe Primodos as well, although that wasn't in the Hughes report. One wasn't in the Hughes report. One other thing, if I may add to her list is around payments from Big Pharma to the health sector. They really do have to be disclosed.

And that at the moment, that ambiguous, misleading. There's lump sum payments that hide a multitude of payments. And just my hon. Friend agree with me that to prevent these injustices in the future, going forward, it is really time for the government to enact a statutory approach to payment transparency in

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the health sector. Well, I'm very happy to discuss

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Well, I'm very happy to discuss that with my my hon. Friend and see what we can do, but I'm very happy to take that that away. Can I just to take that that away. Can I just deal with this non-financial redress point because I think it's important. This is also recognised important. This is also recognised that people do need support now, and the department is working with the NHS to put in place a range of the NHS to put in place a range of measures to support the women and the families, alongside action to strengthen the safe prescribing of sodium valproate in February.

On that second anniversary of the Hughes report, my hon. Friend the Minister of State for health set out how the Department is addressing their needs by improving the clinical services and treatment that patients receive, commissioning further research and initiating long term preventative measures. So I just wanted to update colleagues on those initiatives. First of all, on the improvements to services and treatment since 2018, the number of women that have been prescribed sodium valproate has gone down. Although there is a cohort who have already been affected and require specific treatment. We must ensure that our healthcare system is shaped around their needs and their experiences.

Shortly after the government came into office, NHS England began operating the foetal exposure to Medicines Pilot, a pilot service in hospitals in Manchester and Newcastle, which my hon. Friend referred to this. The project is providing a multidisciplinary assessment, diagnosis and treatment planning and its findings will inform the way we do this at a national level. The proposed extension of the pilot project includes setting up a third site and an independent evaluation of the pilot. Because we shouldn't be marking our own homework. This should give us the evidence we need to determine whether a national a nationally commissioned service could be implemented across England.

This approach balances the need to improve support for affected individuals and families, with the requirement to ensure that any future national service is evidence based, clinically effective and

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financially sustainable. I thank the Minister for giving way. It's good news that she's considering a national proposal. considering a national proposal. Will she undertake to have a meeting with the long serving victims of this scandal, who've victims of this scandal, who've been caring for their children for many years without support to to many years without support to to show her commitment and what needs to be done for those long serving mothers who have been in such

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mothers who have been in such desperate times. I think she will learn quite a lot from such a meeting. Of course I will. Of course, that that would be something I would be very interested in doing and learning more. So yes, absolutely. And I'm sure my office will be in touch with the hon. Gentleman about that. I just now want to just deal with the the other two points I was talking about. So the on the second update on research and development, we are working with clinicians from the pilot and other experts to see how we can improve the services available to affected patients.

And finally, on prevention. NHS England and the Medicines and Healthcare products Regulatory Agency have introduced strict measures to minimise valproate exposure during pregnancy, including pregnancy prevention programmes and prescribing controls, and specialist counselling for women who may become pregnant while taking the medication. So, Madam Deputy Speaker, Speaker, let me close by again paying tribute to all those families whose lives have been changed forever by sodium valproate and also the other the other issues that were set out in the Hughes report around pelvic Mesh two. I hope I've made clear this afternoon how determined we are to respond to the Hughes report with the urgency and the compassion that those families absolutely deserve.

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Now, before I put the question, I was travelling overseas when the tributes, the Clerk of the House tributes, the Clerk of the House were made earlier in the week. So I would just like to correct the Minister. The Clerk of the House Minister. The Clerk of the House cannot be very long serving, because he's clearly an incredibly young man and far too young to retire. But can I add my thanks to retire. But can I add my thanks to him for the support and help he's given me in this role. And with given me in this role.

And with that, the question is that this House do now adjourn. As many as of that opinion, say I, I the ayes
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