Oral Answers to Questions

Debate between John Bercow and Anneliese Dodds

Tuesday 21st May 2019 Commons Chamber

[Mr Speaker]

I call Anneliese Dodds. [Interruption.] No? I had the distinct impression that the hon. Lady wished to come in on this question, but it is not obligatory.

[Anneliese Dodds (Oxford East) (Lab/Co-op)]

On the next one I believe, Mr Speaker; I am terribly sorry.

[Mr Speaker]

On Mr Brake’s question—oh, very well. We do not want unwelcome contributors. The hon. Lady can choose her own destiny, and we are grateful to her.

--- Later in debate ---

[Mr Speaker]

Anneliese Dodds.

[Anneliese Dodds (Oxford East) (Lab/Co-op)]

Thank you, Mr Speaker; take two. The Environment Secretary said to Extinction Rebellion that he, at least, had got the message, but of course days later his Government were panned by the Solar Trade Association for new tax changes that will affect solar and storage schemes. That contrasts with Labour’s announcement last week of plans for 1.75 million households to benefit from the solar energy revolution. So will this Government abandon the damaging changes to VAT, match Labour’s solar investment plans and actually start taking renewables seriously?

Far-right Violence and Online Extremism

Debate between John Bercow and Anneliese Dodds

Monday 18th March 2019 Commons Chamber

[Mr Speaker]

May I say very gently to the Minister and to colleagues that as we have now been on this matter for one hour and two minutes, there is a premium on brevity, on this the occasion of the 574th urgent question during my time in the Chair? I never like to cut these questions off and I want to facilitate colleagues, but it would be helpful to have questions and pithy answers, rather than orations.

[Anneliese Dodds (Oxford East) (Lab/Co-op)]

My city of Oxford saw some truly disgusting Islamophobic graffiti sprayed last weekend. The local police are dealing with it resolutely, but we all know that it comes on top of enormous pressures from knife crime and county lines. Senior police officers have said that they do not have sufficient resources. The Minister is right that this is not just about police resources, but surely that is part of it. Will he be asking for more?

Finance (No. 3) Bill

Debate between John Bercow and Anneliese Dodds

3rd reading: House of Commons & Report stage: House of Commons
Tuesday 8th January 2019 Commons Chamber

[Mr Speaker]

The hon. Gentleman arrogates to me almost superhuman powers if he thinks that I can advise the media upon the imperative of first checking facts before printing a story. I appreciate his confidence in me, but I fear that he has an assessment of my capabilities that is sadly unmatched by the reality. Nevertheless, he has put his point on the record, and doubtless he will circulate it more widely amongst the people of Nuneaton.

New Clause 2

Review of the effectiveness of entrepreneurs’ relief

“(1) Within twelve months of the passing of this Act, the Chancellor of the Exchequer must review the effectiveness of the changes made to entrepreneurs’ relief by Schedule 15, against the stated policy aims of that relief.

(2) A review under this section must consider—

(a) the overall number of entrepreneurs in the UK,

(b) the annual cost of entrepreneurs’ relief,

(c) the annual number of claimants per year,

(d) the average cost of relief paid per claim, and

(e) the impact on productivity in the UK economy.”—(Anneliese Dodds.)

This new clause would require the Chancellor of the Exchequer to review the effectiveness of the changes made to entrepreneurs’ relief by Schedule 15.

Brought up, and read the First time.

[Anneliese Dodds (Oxford East) (Lab/Co-op)]

I beg to move, That the clause be read a Second time.

[Mr Speaker]

With this it will be convenient to discuss the following:

New clause 9—Review of changes to entrepreneurs’ relief—

“(1) The Chancellor of the Exchequer must review the impact on investment in parts of the United Kingdom and regions of England of the changes made to entrepreneur’s relief by Schedule 15 to this Act and lay a report of that review before the House of Commons within six months of the passing of this Act.

(2) A review under this section must consider—

(a) the effects of the provisions on business investment,

(b) the effects of the provisions on employment, and

(c) the effects of the provisions on productivity.

(3) In this section—

“parts of the United Kingdom” means—

(a) England,

(b) Scotland,

(c) Wales, and

(d) Northern Ireland;

“regions of England” has the same meaning as that used by the Office for National Statistics.”

This new clause would require a review of the impact on investment of the changes made to entrepreneurs’ relief which extend the minimum qualifying period from 12 months to 2 years.

New clause 10—Review of geographical effects of provisions of section 9—

“The Chancellor of the Exchequer must review the differential geographical effects of the changes made by section 9 and lay a report of that review before the House of Commons within six months of the passing of this Act.”

This new clause would require a geographical impact assessment of income tax exemptions relating to private use of an emergency vehicle.

New clause 16—Personal allowance—

“The Chancellor of the Exchequer must, no later than 5 April 2019, lay before the House of Commons an analysis of the distributional and other effects of a personal allowance in 2019-20 of £12,750.”

This new clause would require a distributional analysis of increasing the personal allowance to £12,750.

New clause 17—Review of changes to capital allowances—

“(1) The Chancellor of the Exchequer must review the effect of the changes to capital allowances in sections 29 to 34 and Schedule 12 in each part of the United Kingdom and each region of England and lay a report of that review before the House of Commons within six months of the passing of this Act.

(2) A review under this section must consider the effects of the changes on—

(a) business investment,

(b) employment, and

(c) productivity.

(3) The review must also estimate the effects on the changes if—

(a) the UK leaves the European Union without a negotiated withdrawal agreement

(b) the UK leaves the European Union following a negotiated withdrawal agreement, and remains in the single market and customs union, or

(c) the UK leaves the European Union following a negotiated withdrawal agreement, and does not remain in the single market and customs union.

(4) In this section—

“parts of the United Kingdom” means—

(a) England,

(b) Scotland,

(c) Wales, and

(d) Northern Ireland;

“regions of England” has the same meaning as that used by the Office for National Statistics.”

This new clause would require a review of the impact on investment, employment and productivity of the changes to capital allowance in the event of: Brexit with no deal; Brexit with single market and customs union membership; Brexit without single market and customs union membership.

New clause 24—Review of changes to capital allowances (No. 2)—

“(1) The Chancellor of the Exchequer must review the effects of the changes made by sections 29 and 30 of this Act within six months of the passing of this Act.

(2) A review under this section must include an assessment of—

(a) the cost to the Exchequer of these changes,

(b) changes to business behaviour that are likely to arise as result from these changes, including (but not limited to) levels of business investment in buildings, plant and machinery, and

(c) the impact of these changes on businesses in regions of England.

(3) A review under this section must compare these assessments, so far as practicable, with an assessment of the impact of replacing non-domestic rates in England with a tax on the value of commercial land.

(4) In this section, “regions of England” has the same meaning as that used by the Office of National Statistics.”

This new clause would require the Government to assess the effects on businesses and the public finances of new capital reliefs introduced by this Act and require the Government to compare these reliefs with replacing business rates with a tax on commercial land values.

Amendment 12, in clause 5, page 2, line 24, leave out subsection (4)

This amendment would delete provisions removing the legal link between the personal allowance and the national minimum wage.

Government amendment 2.

Amendment 34, in schedule 15, page 297, line 42, leave out “29 October 2018” and insert “6 April 2019”.

Amendment 34, along with Amendment 35, would remove the retrospective effect of the new qualifying conditions for entrepreneurs relief.

Government amendment 3.

Amendment 35, in schedule 15, page 298, line 10, at end insert—

“(6) In relation to disposals on or after 29 October 2018, the amendments made by this Schedule to the definition of “personal company” do not apply in relation to any day before 29 October 2018.”

See Amendment 34.

New clause 4—Review of late payment interest rates in respect of promoters of tax avoidance schemes—

“(1) The Chancellor of the Exchequer must review the viability of increasing any relevant interest rate charged by virtue of the specified provisions on the late payment of penalties for the promoters of tax avoidance schemes to 6.1% per annum and lay a report of that review before the House of Commons within six months of the passing of this Act.

(2) In this section, “the specified provisions” means—

(a) section 178 of FA 1989, and

(b) sections 101 to 103 of FA 2009.”

This new clause would require the Chancellor of the Exchequer to review the viability of increasing interest rates on the late payment of penalties for the promoters of tax avoidance schemes to 6.1%.

New clause 15—Report on consultation on certain provisions of this Act (No. 4)—

“(1) No later than two months after the passing of this Act, the Chancellor of the Exchequer must lay before the House of Commons a report on the consultation undertaken on the provisions in subsection (2).

(2) Those provisions are—

(a) section 15 and Schedule 3,

(b) section 16 and Schedule 4,

(c) sections 19 and 20,

(d) section 22 and Schedule 7,

(e) section 23 and Schedule 8,

(f) sections 46 and 47,

(g) section 83.

(3) A report under this section must specify in respect of each provision listed in subsection (2)—

(a) whether a version of the provision was published in draft,

(b) if so, whether changes were made as a result of consultation on the draft, (c) if not, the reasons why the provision was not published in draft and any consultation which took place on the proposed provision in the absence of such a draft.”

This new clause would require a report on the consultation undertaken on certain provisions of the Bill – alongside New Clause 11, New Clause 13 and New Clause 14.

Government new clause 6—Intangible fixed assets: restrictions on goodwill and certain other assets.

New clause 8—Review of changes to Oil activities and petroleum revenue tax—

“(1) The Chancellor of the Exchequer must review the effect of the changes to Oil activities and petroleum revenue tax in sections 36 and 37 and Schedule 14 in Scotland and the United Kingdom as a whole and lay a report of that review before the House of Commons within six months of the passing of this Act.

(2) A review under this section must consider the effects of the changes on—

(a) business investment,

(b) employment, and

(c) productivity.”

This new clause would require the Government to review and publish a report on the investment, employment and productivity impact of the Bill’s fiscal measures on the North Sea sector.

New clause 11—Report on consultation on certain provisions of this Act—

“(1) No later than two months after the passing of this Act, the Chancellor of the Exchequer must lay before the House of Commons a report on the consultation undertaken on the provisions in subsection (2).

(2) Those provisions are—

(a) section 5,

(b) section 6,

(c) section 8,

(d) section 9,

(e) section 10,

(f) Schedule 15,

(g) section 39,

(h) section 40,

(i) section 41, and

(j) section 42.

(3) A report under this section must specify in respect of each provision listed in subsection (2)—

(a) whether a version of the provision was published in draft,

(b) if so, whether changes were made as a result of consultation on the draft, and

(c) if not, the reasons why the provision was not published in draft and any consultation which took place on the proposed provision in the absence of such a draft.”

This new clause would require a report on the consultation undertaken on certain provisions of the Bill – alongside New Clause 13, New Clause 14 and New Clause 15.

New clause 14—Report on consultation on certain provisions of this Act (No. 3)—

“(1) No later than two months after the passing of this Act, the Chancellor of the Exchequer must lay before the House of Commons a report on the consultation undertaken on the provisions in subsection (2).

(2) Those provisions are—

(a) section 61, and

(b) Schedule 18.

(3) A report under this section must specify in respect of each provision listed in subsection (2)—

(a) whether a version of the provision was published in draft,

(b) if so, whether changes were made as a result of consultation on the draft,

(c) if not, the reasons why the provision was not published in draft and any consultation which took place on the proposed provision in the absence of such a draft.”

This new clause would require a report on the consultation undertaken on certain provisions of the Bill – alongside New Clause 11, New Clause 13 and New Clause 15.

New clause 23—Review of income tax revenue—

“(1) The Office for Budget Responsibility must review the revenue raised by income tax within six months of the passing of this Act.

(2) A review under this section must consider revenue raised by—

(a) the rates of income tax specified in sections 3 and 4, combined with

(b) the basic rate limit and personal allowance specified in section 5.

(3) A review under this section must also consider the effect on revenue of—

(a) raising each of the rates of income tax specified in sections 3 and 4 by one percentage point, and

(b) setting the basic rate limit for the tax years 2019-20 and 2020-21 at £33,850.

(4) A review under this section must also include a distributional analysis of the effect of introducing the policies specified in paragraphs (3)(a) and (3)(b).

(5) The Chancellor of the Exchequer must lay before the House of Commons the report of the review under this section as soon as practicable after its completion.”

This new clause would require the OBR to estimate how much money would be raised by increasing all rates of income tax by 1p and freezing the higher rate threshold.

New clause 26—Review of changes made by sections 79 and 80—

“(1) The Chancellor of the Exchequer must review the effects of the changes made by sections 79 and 80 to TMA 1970, and lay a report on that review before the House of Commons not later than 30 March 2019.

(2) The review under this section must include a comparison of the time limit on proceedings for the recovery of lost tax that involves an offshore matter with other time limits on proceedings for the recovery of lost tax, including, but not limited to, those provided for by Schedules 11 and 12 to the Finance (No. 2) Act 2017.

(3) The review under this section must also consider the extent to which provisions equivalent to section 36A(7)(b) of TMA 1970 (relating to reasonable expectations) apply to the application of other time limits.”

This new clause would require the Treasury to review the effect of the changes made by sections 79 and 80 and compare them with other legislation relating to the recovery of lost tax including specifically the loan charge provisions of Schedules 11 and 12 to the Finance (No. 2) Act 2017.

Government new schedule 1—Intangible fixed assets: restrictions on goodwill and certain other assets.

Government amendments 4 to 6.

Amendment 22, in clause 53, page 34, line 14, at end insert—

“(5) The Chancellor of the Exchequer must review the expected effects on public health of the changes made to the Alcoholic Liquor Duties Act 1979 by this section and lay a report of that review before the House of Commons within one year of the passing of this Act.”

This amendment would require the Chancellor of the Exchequer to review the impact of the revised rates on cider and wine on public health.

Amendment 23, in clause 60, page 44, line 17, at end insert—

“(3) The Chancellor of the Exchequer must review the effects of a reduction in air passenger duty rates from 1 April 2020 and lay a report of that review before the House of Commons within six months of the passing of this Act.

(4) A review under subsection (3) must in consider the effects of a reduction on—

(a) airlines,

(b) airport operators,

(c) other businesses, and

(d) passengers.”

This amendment would require the Chancellor of the Exchequer to review the effects of a reduction in air passenger duty.

Amendment 36, in clause 79, page 52, line 24, leave out “12 years” and insert “8 years”.

Amendments 36 to 45 would reduce the time limits HMRC have to make an assessment of income tax or capital gains tax (Clause 79) and inheritance tax (Clause 80) to eight years, rather than 12 years, where there is non-deliberate offshore tax non-compliance.

Amendment 37, page 52, line 27, at end insert—

“(2A) Where the loss of tax is brought about carelessly by the taxpayer, an assessment may be made at any time not more than 12 years after the end of the year of assessment to which the lost tax relates. This is subject to section 36(1A) above and any other provision of the Taxes Acts allowing a longer period.”

See Amendment 36.

Amendment 38, page 53, line 22, after “(2)” insert “or (2A)”.

See Amendment 36.

Amendment 39, page 53, line 28, at end insert—

“(7A) An assessment may also not be made under subsection (2) or (2A) if—

(a) before the time limit that would otherwise apply for making the assessment, information is made available to HMRC by the taxpayer on the basis of which HMRC could reasonably have been expected to become aware of the lost tax, and

(b) it was reasonable to expect the assessment to be made before that time limit.”

See Amendment 36.

Amendment 40, page 53, line 34, at end insert—

“(8A) Subsection (7A) will not apply in cases where the taxpayer is subsequently found to have failed to provide all relevant information available to HMRC, or to have provided misleading information.

(8B) For the purposes of subsection (7A), whether information has been made available to HMRC is to be determined in line with section 29(6) above.”

See Amendment 36.

Amendment 41, page 53, line 35, after “(2)” insert “or (2A)”.

See Amendment 36.

Amendment 25, page 54, line 1, leave out “2013-14” and insert “2019-20”.

This amendment, alongside Amendment 26, would mean that new section 36A of the Taxes Management Act 1970 did not apply retrospectively.

Amendment 26, page 54, line 5, leave out “2015-16” and insert “2019-20”.

This amendment, alongside Amendment 25, would mean that new section 36A of the Taxes Management Act 1970 did not apply retrospectively.

Amendment 42, in clause 80, page 54, line 19, leave out “12 years” and insert “8 years”.

See Amendment 36.

Amendment 43, page 54, line 20, at end insert—

“(2A) Where the loss of tax is brought about carelessly by a person liable for the tax (or a person acting on behalf of such a person), proceedings for the recovery of the lost tax may be brought at any time not more than 12 years after the later of the dates in section 240(2)(a) and (b).”

See Amendment 36.

Amendment 44, page 55, line 2, at end insert—

“(7A) Proceedings may also not be brought under this section if—

(a) before the last date on which the proceedings could otherwise be brought, information is made available to HMRC by a person liable for the tax (or a person acting on behalf of such a person) on the basis of which HMRC could reasonably have been expected to become aware of the lost tax, and

(b) it was reasonable to expect the proceedings to be brought before that date.”

See Amendment 36.

Amendment 45, page 55, line 8, at end insert—

“(8A) Subsection (7A) will not apply in cases where a person liable for the tax (or a person acting on behalf of such a person) is subsequently found to have failed to provide all relevant information available to HMRC, or to have provided misleading information.

(8B) For the purposes of subsection (7A), whether information has been made available to HMRC is to be determined in line with section 29(6) TMA 1970.”

See Amendment 36.

Amendment 27, in clause 82, page 58, line 9, leave out from “section” to “may” in line 10.

This amendment would provide for all regulations under the new power (EU double taxation directive) to be subject to the affirmative procedure.

Amendment 28, page 58, leave out lines 13 to 17.

See Amendment 27.

Amendment 18, in schedule 1, page 148, line 34, at end insert—

“21A The Chancellor of the Exchequer must review the expected revenue effects of the changes made to TCGA 1992 in this Schedule, along with an estimate of the difference between the amount of tax required to be paid to the Commissioners under those provisions and the amount paid, and lay a report of that review before the House of Commons within six months of the passing of this Act.”

This amendment would require the Chancellor of the Exchequer to review the effect on public finances, and on reducing the tax gap, of the changes made to capital gains tax in Schedule 1.

Amendment 17, in schedule 2, page 177, line 21, at end insert—

“Part 1A

Review of effects on public finances

17A The Chancellor of the Exchequer must review the expected revenue effects of the changes made to capital gains tax returns and payments on account in this in this Schedule, along with an estimate of the difference between the amount of tax required to be paid to the Commissioners under those provisions and the amount paid, and lay a report of that review before the House of Commons within six months of the passing of this Act.”

This amendment would require the Chancellor of the Exchequer to review the effect on public finances, and on reducing the tax gap, of the changes made to capital gains tax in Schedule 2.

Amendment 29, page 177, line 42, at end insert

“unless the amendment relates to a disposal of an asset or assets resulting in a capital loss between the completion date of the disposal in respect of which the return is made and the end of the tax year in which the disposal is made.

(2A) In that case, an amendment may be made to take into account any capital losses which have arisen after the completion date and within the same tax year.”

This amendment would allow UK residents to submit an amended residential property return where a capital loss on non-residential assets is incurred after the completion of the residential disposal and within the same tax year.

Amendment 19, in schedule 5, page 211, line 45, at end insert—

“Part 2A

Review of effects on public finances

34A (1) The Chancellor of the Exchequer must review the revenue effects of this Schedule and lay a report of that review before the House of Commons within six months of the passing of this Act.

(2) The review under sub-paragraph (1) must consider—

(a) the expected change in corporation tax paid attributable to the provisions in this Schedule, and

(b) an estimate of any change, attributable to the provisions in this Schedule, in the difference between the amount of tax required to be paid to the Commissioners and the amount paid.”

This amendment would require the Chancellor of the Exchequer to review the effect on public finances, and on reducing the tax gap, of Schedule 5.

Amendment 21, in schedule 6, page 221, line 26, at end insert—

“13 The Chancellor of the Exchequer must review the expected change to payments of Diverted Profits Tax and any associated changes to overall payments made to the Commissioners arising from the provisions of this Schedule, and lay a report of that review before the House of Commons within 6 months of the passing of this Act.’

This amendment would require the Chancellor of the Exchequer to review the effect on public finances of the diverted profits tax provisions in the Bill.

[Anneliese Dodds]

As my hon. Friends have set out a number of times already today, this is a Finance Bill that continues the Government’s previous programme of austerity for the many while the very best-off people are protected. This Conservative Government chose to tie the hands of this House with regard to amending the Bill, so there are very few means we can adopt to have an impact on any of these measures. None the less, new clauses 2 and 4 would require the Government to at least review their regressive policy approach. I realise that I need to compress my remarks, so I will speak briefly to each of those new clauses and then to new clause 26, which pushes in the same direction, and new schedule 1, which in many respects exemplifies this Government’s slipshod approach, particularly to tax policy making.

Oral Answers to Questions

Debate between John Bercow and Anneliese Dodds

Tuesday 22nd May 2018 Commons Chamber

[Anneliese Dodds (Oxford East) (Lab/Co-op)]

We have learned from the experience of PFI; this Government—[Interruption.]

[Mr Speaker]

Order.

[Anneliese Dodds]

Thank you, Mr Speaker.

This Government have not. In the light of last week’s report on Carillion, we want to know whether the Minister can indicate which PFI contracts are being delivered by contractors that are deemed to be actually or potentially high risk. Following last week’s reports that failed bidders for PFI contracts will be compensated, can he rule out bailing out firms that fail even to win contracts? We need answers on these questions now, not a history lesson.

Oral Answers to Questions

Debate between John Bercow and Anneliese Dodds

Tuesday 27th February 2018 Commons Chamber

[Mr Speaker]

Order. This is a rather extraordinary state of affairs. I hope that the hon. Member for Hyndburn (Graham P. Jones) is not indisposed, and if he is I am sorry, but otherwise there is absolutely no basis for his leaving the Chamber during the exchanges on his question. That is a rank discourtesy to the House—and a discourtesy to the Chancellor as well, for that matter. It must not happen.

[Anneliese Dodds (Oxford East) (Lab/Co-op)]

The shadow Chancellor recently wrote to the Chancellor asking when he will produce revised value for money guidance, as highlighted by the National Audit Office; an updated list of PFIs, as existing data is nearly two years old; and details of any assessment the Treasury carried out on Carillion’s readiness to fulfil its PFI contracts. When will we get them?

Finance (No. 2) Bill

Debate between John Bercow and Anneliese Dodds

3rd reading: House of Commons & Report stage: House of Commons
Wednesday 21st February 2018 Commons Chamber

[Anneliese Dodds (Oxford East) (Lab/Co-op)]

The number of home-owning households increased by 1 million under the Labour Government and has fallen under Conservative Governments. I thought it important to correct the record.

[Mr Speaker]

It may be important to correct the record and I know that the hon. Member for Oxford East (Anneliese Dodds) was led into that by the observations of the hon. Member for Faversham and Mid Kent (Helen Whately)—it is quite easy to elide into disorderly conduct—but it is important that we try to focus the exchanges on new clause 9, to which with laser-like intensity I know the hon. Member for Faversham and Mid Kent will now turn.

Finance (No. 2) Bill

Debate between John Bercow and Anneliese Dodds

2nd reading: House of Commons
Monday 11th December 2017 Commons Chamber

[Anneliese Dodds (Oxford East) (Lab/Co-op)]

I have to leave later this evening to get back to my constituency so that I can have a tooth removed tomorrow morning. I am expecting that to be immensely painful, and in the last few moments I might have had a foretaste of what I will experience tomorrow.

The debate has made clearer than ever the tunnel vision of this Government, who are carrying on regardless, ignoring call after call to change economic course. Just as with the Budget, this Bill is not fit for purpose and not fit for the future. It falls woefully short of preparing the country for the challenges it faces: from the chaotic no-deal Brexit that this Government still will not rule out to the longest squeeze on wages since Napoleonic times; from record rates of child poverty to our slowdown in productivity, which is unique among comparator countries; and from what was, in the first half of this year, the third slowest GDP growth in the whole OECD to the huge regional disparities in investment that were set out with crystal clarity by my hon. Friends the Members for Bradford South (Judith Cummins), for Heywood and Middleton (Liz McInnes), for Easington (Grahame Morris) and for High Peak (Ruth George).

Mr Speaker, thank you very much for selecting our amendment, which I am formally moving because the official Opposition cannot accept the Bill as it stands. First, it does not provide measures to comprehensively lift the public sector pay cap. We will have to wait until next summer to ascertain even whether the conditional rises suggested by the Government will be put into place. Nor does it take action to boost the incomes of low and middle earners. As was powerfully argued by my hon. Friends the Members for Harrow West (Gareth Thomas) and for Walthamstow (Stella Creasy), such incomes have stagnated in recent years.

The change in the Bill to stamp duty will, according to the OBR, only increase house prices in the absence of action to decisively increase supply—[Interruption.] I am sorry, but that is the assessment of the OBR. I have read its assessment: the measure will fail to deal with our housing crisis in the absence of measures to increase supply—the kind of measures described so eloquently by my hon. Friend the Member for Easington. In that regard, I would add to the points made by my hon. Friend the Member for Harrow West, in that there is no action to promote alternative business forms. There is no action in the Bill to deal with the inequitable situation where some housing co-ops are facing higher rates of stamp duty than private housing providers.

The Bill also fails to reverse the Government’s 2015 cut to the bank levy, as so many of my hon. Friends have said. The Government are denying themselves £4.7 billion of tax revenues from banks over five years. As many have mentioned, the Bill also further reduces the scope of the bank levy. As we all know, that follows the Government’s decision to deny themselves yet more revenue by reducing the rates of corporation tax and income tax for the very best-off. Contrary to the Minister’s claims, the bank levy and the surcharge receipts are projected to fall under the Government’s plans from £4.6 billion in 2016 to £3.2 billion in 2022-23. Even I can calculate that that is a 30% fall from both those measures combined, so less money is coming from the banking sector, not more.

As my hon. Friend the Member for Bootle (Peter Dowd) set out, these tax cuts occur while experts are warning that children’s services are strained to breaking point after seven years of budget cuts. For example, we have seen the halving of funding for early intervention, despite the number of child protection plans doubling.

We have heard concerning details about local pressures on services, particularly from my hon. Friend the Member for Birmingham, Selly Oak (Steve McCabe). That hardly amounts to the Government following the principles of social responsibility, which the Financial Secretary said animated the Government.

This is at a time when the meagre measures in the Bill show, as my hon. Friend the Member for Walthamstow eloquently argued, that the Government have not learned the lessons of the Paradise papers. She mentioned a number of examples and I will throw in one of my own. In the previous Finance Bill, the Government restricted the tax deductibility of interest payments to intra-group companies, albeit taking the most permissive option offered by the OECD rather than tightening up significantly. That measure at least followed the OECD’s call for profit shifting to be counteracted. In clause 21 of this Bill, in contrast, we see not an attempt to counteract profit shifting, but instead just a new approach to assessing its value—incoherence!

That is compounded by the Government’s determination to push ahead with the restructuring of HMRC, which is leading to the loss of so many experienced staff at the very time when we desperately need them to protect Government revenues and to run our customs procedures. Staff numbers at HMRC and the Valuation Office Agency have plummeted by 17% between 2010 and the present day, and we heard just last week that the VOA will be cut even further. Its headcount will go down by a quarter at the same time as there are 200,000 outstanding appeals and valuations will be occurring more frequently.

In contrast to the Government’s giveaways to profitable corporations and the best-off taxpayers, the brunt of their cuts have, of course, fallen on those least able to afford them. Sadly, despite requests from a variety of people on both sides of the House for an equality impact assessment of the Finance Bill, which have been amplified by the Treasury and the Women and Equalities Committees, we still do not have one. Just last week, when the Chancellor was asked in the Treasury Committee about the existence of an equality impact assessment by my hon. Friend the Member for Wirral South (Alison McGovern), he had to ask a civil servant—and I use his phrase—“Do we have it?” The answer that came back, after some circumlocution, I took as, “No.” That response was frankly astonishing. It comes at the same time as a recent report by the Runnymede Trust and the Women’s Budget Group shows that as a result of tax and benefit changes and lost services since 2010, by 2020 it is the poorest families who will lose the most, with an average drop in living standards of about 17%. Lone parents, nine out of 10 of them lone mothers, and black and Asian households within the lowest income quintile will experience an average drop in their living standards of about a fifth.

Sadly, it seems as though the Government are unaware of these failings, since they have not introduced this Bill under an amendment of the law resolution. This flawed decision, as the hon. Member for Aberdeen North (Kirsty Blackman) indicated, limits Members’ ability to table amendments and thereby improve the Bill. As with the increased use of secondary legislation under the European Union (Withdrawal) Bill and the previous Finance Bill, we are again seeing reduced scrutiny and less ability for the House to debate very significant matters that our constituents rightly expect us to be able to influence in their names. This approach to a Finance Bill was perhaps acceptable just after a general election, as with the previous Finance Bill, but it is not acceptable as a matter of course, as was underlined by my right hon. Friend the Member for Barking (Dame Margaret Hodge).

In 2016, the Government agreed to exempt solar panels from an increase in domestic VAT after pressure within Parliament, yet there is no scope within the current arrangements for us to take similar action this year to counteract the Bill’s many failings. While I am on the topic of green measures, although the Minister and other Conservative Members made much of the Bill’s commitment to levy landfill tax on illegal waste dumps, I fear that without appropriate staff in the Environment Agency, we will not see where those dumps are, as many of us have discovered from our constituency casework. This is yet another measure seen just on paper and not in practice.

Despite all this—despite these failures—we are determined as an official Opposition to take every opportunity within the constrained environment we face to try to amend this Bill. It is what our constituents deserve and it is what parliamentary scrutiny deserves. I only wish we could do so in the manner that is merited through a proper debate and with the ability to table proper amendments.

[Mr Speaker]

Order. Before I call the Minister, I think that the hon. Lady was moving the amendment, was she not? [Interruption.] It would have been helpful for her specifically to say “and I so move.” [Interruption.] In that case, it was not audible, and it is not her fault that there was too much noise, but I am grateful for the confirmation that the amendment has been moved.

Amendment proposed: To leave out from “That” to the end of the Question and add:

“this House declines to give a Second Reading to the Finance (No. 2) Bill because it contains no measures to address the fact that the UK has the slowest economic growth in the G7 while the IFS warns of two decades of lost earnings growth, it fails to reverse the Government’s 2015 Bank Levy cut resulting in £4.7bn less in tax revenue from banks over five years and contains measures to further limit the scope of the Bank Levy resulting in a further fall in revenue, whilst at the same time crucial services that many children and families across the country desperately rely on are at risk due to seven years of budget cuts, it proposes a stamp duty cut that, according to the analysis of the OBR, will increase house prices, instead of helping to address the housing crisis through measures to build more affordable homes, it proposes policies without the benefit of an adequate Equalities Impact Assessment, it arises from a Budget which made no provision for lifting the public sector pay cap or addressing the funding crisis in social care and the NHS, it includes no measures properly to tackle tax avoidance and evasion and it is not based on an amendment of the law resolution, thus restricting the scope of amendments and reducing the House’s ability to properly scrutinise and improve the Bill.”—(Anneliese Dodds.)

Question proposed, That the amendment be made.

Grenfell Tower

Debate between John Bercow and Anneliese Dodds

Thursday 22nd June 2017 Commons Chamber

[Mr Speaker]

Order. I am keen to accommodate the remaining interest, but it must be pithily conveyed.

[Anneliese Dodds (Oxford East) (Lab/Co-op)]

I have a very quick question. Will the one-in, two-out approach to the regulatory “burden”—so-called—now be abandoned for fire safety?

[The Prime Minister]

We have always taken the issue of regulations in relation to safety very, very seriously indeed. The hon. Lady might know that when I was Home Secretary I was very clear that all regulation is not bad regulation; there is good regulation, which we need to ensure that we get right. The public inquiry will be asking that very question about fire regulation.