Oral Answers to Questions

Dan Tomlinson Excerpts

Tuesday 3rd November 2026 Commons Chamber

[Henry Tufnell (Mid and South Pembrokeshire) (Lab)]

7. What fiscal steps he is taking to increase the competitiveness of the refining sector.

[The Exchequer Secretary to the Treasury (Dan Tomlinson)]

At the Budget, the Government announced that they intend to expand to refinery products the CBAM—the carbon border adjustment mechanism—subject to the consultation launched on Budget day.

[Henry Tufnell]

I welcome the Government’s announcement in last week’s Budget of the intention to expand the scope of the CBAM to include refinery products. That is critical to preventing carbon leakage by ensuring that British refineries are on a level playing field when compared with imported refined products. It will protect thousands of jobs in Pembrokeshire and strengthen our energy national security. Will the Minister set out a clear timetable for implementation? What assurances will he provide on protecting the competitiveness of the export sector for refineries in this country?

[Dan Tomlinson]

My hon. Friend has been a strong representative of the workers at the Pembroke refinery. He has been campaigning on this issue for a long time and I thank him for his continued engagement. His constituents should know that he definitely has their back. The Government have launched a consultation and are seeking views from a range of stakeholders on the practical, technical and economic considerations of any potential expansion. This is, as my hon. Friend will know, a complex area and it is important that we take the time to get the detail right.

[Mr Gregory Campbell (East Londonderry) (DUP)]

Critical to the competitiveness of the refinery sector is the taxation of the companies. I know we have just had the Budget, but will the Treasury keep in mind for forthcoming fiscal events that essential element to competitiveness in the sector?

[Dan Tomlinson]

I thank the hon. Member for his question. The Government have been considering a replacement for the energy profits levy. From 2030, or sooner if prices fall below the relevant thresholds, the new and improved design of the tax for the long term, the oil and gas revenue levy, will be coming into force.

[Mr Speaker]

I call the shadow Minister.

[John Cooper (Dumfries and Galloway) (Con)]

Oil is the lifeblood of the refinery sector, but the Government missed an opportunity to back this foundational industry both upstream and downstream. The Rosebank oilfield is already priced into the OBR’s assumptions. If that does not get the go-ahead, it will be back to the drawing board, Chancellor—won’t it? Is the fiscal headroom not already thin and will it not disappear even more if Rosebank does not get the go-ahead? The reality is that this Budget is built on sand.

[Dan Tomlinson]

It was the Opposition who fluffed it when it came to approving Rosebank and Jackdaw. They could not make sure that they signed the right paperwork at the right time. We had to clean up their mess in that and a whole range of other areas.

[Jas Athwal (Ilford South) (Lab)]

8. What fiscal steps he is taking to support high streets and town centres.

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[Amanda Martin (Portsmouth North) (Lab)]

12. What steps he is taking to help deliver economic growth through advanced manufacturing.

[The Exchequer Secretary to the Treasury (Dan Tomlinson)]

Our 10-year advanced manufacturing sector plan backs jobs, investment and growth, and we have committed up to £4.3 billion to the advanced manufacturing sector to 2030.

[Amanda Martin]

Although Portsmouth is on the south coast, its legacy of deindustrialisation and privatisation brings us challenges familiar to many cities and towns across the north. Reindustrialisation must be national and not confined to the north.

The loss of shipbuilding under the Tories devastated Pompey, but we are resilient and proud, and—despite huge losses—have retained a world-class defence cluster in advanced manufacturing and hugely skilled jobs in companies such as Accuracy International, Harwin, Griffon Marine and Airbus. To enable real reindustrialisation across the whole country, will the Minister commit to a national reindustrialisation strategy that protects advanced manufacturing, backs innovation and drives growth?

[Dan Tomlinson]

My hon. Friend is right to raise the importance of reindustrialisation. Too many places were harmed by the deindustrialisation that accelerated in the 1980s. The need for more good jobs in more parts of England matters in the south, as well as in the north; it matters in our towns, as well as in our urban centres; and, of course, it matters in Portsmouth too. My hon. Friend is a strong advocate for her community, and I look forward to working with her to build on Portsmouth’s proud industrial and maritime strengths.

[Shockat Adam (Leicester South) (Ind)]

As chair of the all-party parliamentary group for ethics and sustainability in fashion, I ask why our military and NHS uniforms are made overseas in countries like China, when factories in my constituency are ready, and can stimulate the local economy and provide jobs. Will the Minister use public procurement to bring advanced textile manufacturing back to Britain and will he meet me to discuss how?

[Dan Tomlinson]

The hon. Member raises an important issue. It also touches on the broader topic that this Government are focusing on relentlessly: through reforms to procurement, backing British business and ensuring that more of the goods and services that the British Government buy are built and made here in the UK.

Topical Questions

[Graeme Downie (Dunfermline and Dollar) (Lab)]

T1. If he will make a statement on his departmental responsibilities.

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[Patrick Hurley (Southport) (Lab)]

T4. Given the recent forecasts around GDP growth in the years to come, does the Chancellor agree that improving living standards requires us to focus on GDP per capita, rather than merely on headline figures? To help that focus, will he consider a review of the personal tax code, looking at the cliff edges and perverse incentives that discourage work and investment, as part of the Government’s commitment to keep growth on track?

[The Exchequer Secretary to the Treasury (Dan Tomlinson)]

I totally agree with my hon. Friend that GDP per capita is what matters. It has grown by 2% so far since the election. It was revised up at the Budget after falling in the last Parliament. My hon. Friend is also right to raise the need for Government to look closely at the design of our tax and benefit system. We announced at the Budget the removal of the carer’s allowance cliff-edge, and I am sure that my right hon. Friend the Financial Secretary to the Treasury will keep further simplification and reform options under review.

[Alan Mak (Havant) (Con)]

T2. Hayling Island and Emsworth both need banking hubs funded by our high street banks. Is it not the case that the Government’s increase in the bank tax is a disincentive and a missed opportunity at a time when more banking hubs are needed?

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[Douglas Lumsden (Aberdeen South) (Con)]

T7. The OBR’s “Economic and fiscal outlook” published alongside the Budget last week included forecasted revenues from Rosebank. Yet the Prime Minister and the Secretary of State for Energy and Net Zero maintain that no decision has been taken on Rosebank. Will the Chancellor therefore acknowledge that if Rosebank is not approved, it will blow a huge hole in his Budget?

[Dan Tomlinson]

As I said at the Dispatch Box just a few minutes ago, it was the previous Government that totally fluffed up this decision, and these revenues were in the forecast since 2019. If the Conservatives are looking for a political party that is not able to take the right decisions to protect the future of our oil and gas industry, they should look in the mirror—it is them.

[Jim Dickson (Dartford) (Lab)]

T6. Small businesses in Dartford that I spoke to immediately after the Budget, including Thaiger Thai, Ali’s Cafe and Albion’s Bakery, all hugely welcomed the measure to change the threshold for payment of business rates to £18,000. That will cut their costs and those of many other businesses across the constituency. What other measures can they and other high street businesses expect going forward to boost their growth and supplement our high streets?

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[Dr Ellie Chowns (North Herefordshire) (Green)]

Last week’s Budget papers assume that significant tax revenues will be generated by new drilling at the Rosebank oil field. Although I understand it is common practice to rely on these sorts of projections, are the Government not worried that this signals that they have already made a decision on Rosebank and are prioritising short-term gains over protecting us all from the medium and long-term catastrophic economic damage associated with climate breakdown and burning new oil and gas?

[Dan Tomlinson]

I have already answered similar questions on this topic. This revenue has been in the forecast since 2019, and the decision is a quasi-judicial one for the Environment Secretary.

[Andy McDonald (Middlesbrough and Thornaby East) (Lab)]

I welcome the Budget’s council tax rebate, which will provide much-needed relief to over 50,000 households in Middlesbrough and Thornaby East, but hardship remains. The Trussell Trust reports that local food banks distributed over 10,000 emergency food parcels last year—up almost 50% on pre-pandemic levels. Does the Minister agree that more ambitious action is needed, and will he ensure that the Government’s response to the Milburn and Timms reviews does not further restrict social security support, leaving people unable to afford the essentials, and instead advances Labour’s commitment to end the need for emergency food?

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[Dan Tomlinson]

Nuclear and Sellafield are an important part of Cumbria’s economy, and the NDA’s social impact work is vital. I agree that all parties must continue to work together to grow and diversify Cumbria’s economy, and the Government have provided good growth funding to the new Cumbria strategic authority to do just that.

[Llinos Medi (Ynys Môn) (PC)]

Around 5,000 people in my constituency work in the hospitality sector, which is a vital part of the Welsh economy. While hospitality businesses across much of the European Union benefit from reduced VAT rates, our pubs, hotels and restaurants are stuck paying 20%. Why did the Chancellor decide not to prioritise that sector in last week’s Budget?

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[Ms Julie Minns (Carlisle) (Lab)]

I welcome the Minister’s acknowledgement that diversifying Cumbria’s economy is key to our economic growth. Will he therefore support efforts to realise the potential of RAF Spadeadam as a future hub for rocket testing and innovation?

[Dan Tomlinson]

I would be happy to meet my hon. Friend to discuss that matter in more detail.

[Mr Speaker]

I call Dr Kieran Mullan to ask the final question.