Business Rates

Debate between Lord Livermore and Baroness Foster of Oxton

Thursday 29th January 2026 Lords Chamber

[Lord Livermore (Lab)]

I am grateful to my noble friend for that question, which obviously comes from a position of deep expertise in this matter. I am more than happy to look at all the issues he raises and take them back to my Treasury colleagues to discuss them further.

[Baroness Foster of Oxton (Con)]

My Lords, 3.5 million jobs are dependent on a successful hospitality industry in this country—that is obviously the entire supply chain. I spent a lot of my life in the airline industry, which is at one end of that. Notwithstanding that, when we look at tourism, which encompasses hotels, taxis, restaurants and cafes, this Government have a complete lack of understanding of the impact of what they are doing. They are under pressure because they will not take steps to address the welfare bill, so they are taking moneys and taxes from areas that often cannot afford it. We know that will cause long-term damage, despite this sop of the slight reduction for pubs in the next couple of years.

As we look at the welfare bill, will the Government please reconsider what they are doing, and instead of making another U-turn—well, we would like a really big U-turn on this one: we would like it to be abolished—take a real look at what else they can do to raise revenue where we know expenditure is wholly excessive and cannot be carried on?

[Lord Livermore (Lab)]

I agree with the first thing the noble Baroness said, on the importance of the sector and jobs; I did not agree with anything else she said. She said that we have a lack of understanding: I just wonder what she would have done. We spent £4.3 billion in the Budget supporting these businesses: she did not acknowledge that. She did not acknowledge that the previous Government, whom she presumably supported, would have ended Covid relief overnight and had absolutely no plans to extend it, as we have. She said she would abolish business rates. Well, she had 14usb years to do that, and she did not. I wonder how she would now fund the abolition of business rates, and what other services she would cut to do that.

The noble Baroness mentioned airlines. The Government have redesigned the 2023 transitional relief scheme to provide generous support for large properties such as airports and those in other industrial strategy sectors. That is extremely important. She mentioned hotels, and I have answered that question already. As I say, I fundamentally disagree with her. The Government she supported would have ended this relief overnight; we have extended it.

Business Rates: Retail, Hospitality and Leisure

Debate between Lord Livermore and Baroness Foster of Oxton

Tuesday 20th January 2026 Lords Chamber

[Lord Livermore (Lab)]

That is an excellent question. Of course, we have separate strategies for the retail, hospitality and leisure sector. With the industrial strategy, we are trying to do something different from what that strategy is doing. Just because a sector is not in the industrial strategy, that does not mean we do not value that sector extremely highly and do all we can for it.

[Baroness Foster of Oxton (Con)]

My Lords, there are many charity shops in the high streets across this country. They receive 80% mandatory relief and often up to 100% discretionary. Many of these charities are actually multimillion-pound businesses. Notwithstanding the pressures on the high street and the pressures on small businesses, obviously, with these forthcoming increases, does the Minister agree that perhaps it is about time that we looked into this issue to make sure that those on the high street are paying a fair rate for their business rates?

[Lord Livermore (Lab)]

I do not disagree with what the noble Baroness says. It is very important to say that we are fundamentally reforming the business rates system by introducing permanently lower business tax rates for more than 750,000 retail, hospitality and leisure properties, funded by a higher rate on the most valuable properties. I think that is absolutely the right thing to do.

Budget: Press Briefings

Debate between Lord Livermore and Baroness Foster of Oxton

Tuesday 18th November 2025 Lords Chamber

[Lord Livermore (Lab)]

As I have said several times already, I am not going to comment on the ongoing Budget process.

[Baroness Foster of Oxton (Con)]

My Lords, following the Chancellor’s climb-down on increasing income tax, £27 billion was wiped off the FTSE 100 on Friday. Does the Minister think that that was helpful?

UK Economy: Capital Gains Tax

Debate between Lord Livermore and Baroness Foster of Oxton

Wednesday 9th October 2024 Lords Chamber

[Lord Livermore (Lab)]

Yes, we have given that commitment. There will be one autumn Budget every year.

[Baroness Foster of Oxton (Con)]

My Lords, the Financial Times with a freedom of information request asked for details of the so-called £22 billion black hole. The Chancellor and the Treasury have declined to reply. Can the Minister please share with us the details of this £22 billion black hole?

[Lord Livermore (Lab)]

I am very grateful to the noble Baroness for giving me another opportunity to remind the House of the £22 billion black hole that was concealed by the previous Government. I am grateful to her for letting me remind the House whose mess this was in the first place that this Government now need to clear up. I am sure all noble Lords will be interested to hear that the £22 billion black hole consists of a £6 billion overspend on the asylum system that the previous Government concealed from the Office for Budget Responsibility and from this Parliament. It consists of £3 billion of uncosted commitments on road and rail projects. They overspent the reserve three times over just three months into the financial year and at no point did they tell any Member of this House or the other House or the Office for Budget Responsibility. The Office for Budget Responsibility has confirmed that and has established a reviewed to ensure that it cannot happen again.