Oral Answers to Questions Debate

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Department: HM Treasury

Oral Answers to Questions

Baroness Morgan of Cotes Excerpts
Tuesday 2nd July 2019

(1 year, 3 months ago)

Commons Chamber
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HM Treasury
Mr Hammond Parliament Live - Hansard
2 Jul 2019, 11:42 a.m.

I have consistently made the case and explained to this House that there is fiscal headroom within the current fiscal rules. If we have a smooth exit from the European Union through a transition that will remove the economic uncertainty that is hanging over our economy, it will then be safe to release that headroom and make it available for additional public spending or, at the choice of the next Government, to reduce taxation. Either way, we have the headroom available once we have removed the Brexit uncertainty.

Baroness Morgan of Cotes Portrait Nicky Morgan (Loughborough) (Con) - Parliament Live - Hansard
2 Jul 2019, 11:42 a.m.

Is it not the case that Scotland, like everybody else, will know the plans for future public spending, for fiscal headroom and for the economic effects overall if the comprehensive spending review were to be started sooner rather than later? Is the Chancellor able to tell the people of Scotland, the people in this House and the people beyond when the comprehensive spending review will be starting?

Mr Hammond Parliament Live - Hansard
2 Jul 2019, 11:42 a.m.

I announced at the spring statement that it is the Government’s intention to conduct a three-year spending review concluding this autumn, subject to a deal with the EU being completed. Departments are already commissioned to carry out the work necessary for such a spending review, but it will be for the new Government to decide whether the circumstances make it appropriate to conduct a full three-year spending review or a single-year exercise.