European Council

Stephen Hammond Excerpts

Monday 21st March 2016 Commons Chamber

[The Prime Minister]

Obviously, I received a letter from my right hon. Friend on Friday afternoon on my return from the European Council. There had been prolonged discussions at the heart of Government about disability benefit reform, but, as I have said, we are not going ahead with those proposals.

[Stephen Hammond (Wimbledon) (Con)]

I believe the real test of compassion is not Opposition words but Government action. Will my right hon. Friend confirm that the Government that he leads are taking 3.8 million people out of tax, ensuring that the richest are paying a large amount, creating 2.4 million jobs and spending more than £50 billion on support for the sick and the disabled?

[The Prime Minister]

My hon. Friend makes a good point. Look at the figures and at what is happening to some of the poorest families in our country, who are able now to get jobs, to get work and to pay less tax, and who will be getting a £900-a-year pay rise through the national living wage. That is what is happening for those families. In terms of people at the top, the top 1% are paying a higher percentage of income tax than they ever did under Labour—some 27% of the total. With a growing economy, that means that we can also build a fairer society.

European Council

Stephen Hammond Excerpts

Monday 22nd February 2016 Commons Chamber

[The Prime Minister]

The answer to that question required something like 35 hours of negotiation because it is so important. Let me try to précis it. Of course there are the banking union arrangements, and the eurozone countries need to have their banks properly scrutinised and regulated at a European level. We have our own currency and our own banking supervision arrangements. In trying to supervise a complex, large economy such as Britain, which has one of the largest financial centres anywhere in the world, not just banks but other financial institutions such as central counterparties are systemically important. That is so important because ultimately we need to make sure that whatever the eurozone does, we are protected by the Bank of England playing the role and being able to intervene to resolve and to supervise those systemically important institutions. That is what paragraph 4 is about.

Although that sounds very technical, at its heart is actually something fantastically important: if Britain—fifth largest economy in the world, important financial centre—cannot have fair rules in an organisation where the euro is obviously a very large currency, there really would be a case for saying, “Hold on a second. This is a single currency-only organisation. We’d better leave.” So it was absolutely crucial to get it settled—technical but, in the end, fundamentally important—whether we can get fair treatment inside this organisation, and the answer is yes we can.

[Stephen Hammond (Wimbledon) (Con)]

This great exercise in democracy is not about what we say in this House, but about what our constituents decide, and my constituents, like many others, will be interested in the things that affect them: the economic protection and the jobs that the new reformed EU and the single trade zone can bring. They do not want the euro, they do not want the Euro superstate and they do not want something for nothing in welfare. Will the Prime Minister confirm for my constituents and for constituents across the country that that is what he has negotiated and that that is why it would be wrong to take a leap in the dark?

[The Prime Minister]

I am very happy to make that point. I do not know whether I will make it to Wimbledon, but I hope to make it to many parts of our country over the next four months to make exactly that point. We have not solved all of Britain’s problems with Europe—we have not solved all of Europe’s problems—but we have fundamentally addressed four major problems: too much of a single currency club, too much regulation, too much of a political union and not enough national determination over free-movement abuse and welfare. Those four things go to the heart of the problems we have had with this organisation.

G7

Stephen Hammond Excerpts

Wednesday 10th June 2015 Commons Chamber

[The Prime Minister]

I thank the hon. Gentleman for his question. I would be a bit more positive, in that two things have happened. One is that countries have signed up to the automatic exchange of tax information, which is vital. Secondly, the culture in business is changing. Businesses now know that the old discussions about how they can minimise their tax bill will not stand up to public scrutiny. We see company after company now—we have seen it recently with some of those in the world of hot drinks—recognising that they need to engage in the debate and start paying taxes in the country where they make their money.

[Stephen Hammond (Wimbledon) (Con)]

May I particularly commend the Prime Minister for the announcement that there is a commitment to mobilising climate finance for developing nations? This is hugely significant. Can he please update the House on when he expects that mobilisation to come forward?

[The Prime Minister]

My hon. Friend is right. In looking at the components of a deal, we need Europe to come forward with an offer, which we have done, and we need America and China, the big countries, to be engaged in the debate, making offers about carbon emissions, but what will bring it all together is making sure that the advanced world brings forward climate finance funds, so that we can reassure poorer countries, island states and others that there will be assistance for them as they fight climate change and make the necessary changes in their own economies. Britain has put a lot of money on the table. We now need others to do the same, and I think we will make progress in the coming months.