Oral Answers to Questions

Debate between Edward Miliband and Lindsay Hoyle

Tuesday 16th April 2024 Commons Chamber

[Mr Speaker]

We now come to the shadow Secretary of State.

[Edward Miliband (Doncaster North) (Lab)]

Mr Speaker, can I start by paying tribute to your father, Doug? He was a remarkable fighter for social justice, and we share your sense of loss.

A year ago, after presiding over the absolute scandal of the forced installation of prepayment meters, the right hon. Lady’s predecessor promised full compensation for anyone affected. Unbelievably, she has left it to the energy companies to decide who gets compensation and how much. They have assessed 150,000 people and just 1,500 got anything—99% got nothing. Why has she so catastrophically failed to deliver justice for those affected by the PPM scandal?

Oral Answers to Questions

Debate between Edward Miliband and Lindsay Hoyle

Tuesday 27th February 2024 Commons Chamber

[Mr Speaker]

I call the shadow Secretary of State.

[Edward Miliband (Doncaster North) (Lab)]

Last September, the Energy Secretary claimed she was lifting the onshore wind ban, but in the whole of 2023 and so far in 2024 there have been zero applications for new onshore wind farms designed for domestic electricity supply in England. She said that her decision would speed up the delivery of projects. Why does she think it has not worked?

Oral Answers to Questions

Debate between Edward Miliband and Lindsay Hoyle

Tuesday 28th November 2023 Commons Chamber

[Mr Speaker]

I call the shadow Secretary of State.

[Edward Miliband (Doncaster North) (Lab)]

The world sorely needs leadership at COP28, but the verdict of our most globally respected climate expert, Lord Stern, earlier this month was damning. He said that the Government’s backsliding on climate action is a “deeply damaging mistake”—damaging for the UK, the world and the future of us all. Will the Secretary of State take this opportunity to place on record her response to Lord Stern?

Oral Answers to Questions

Debate between Edward Miliband and Lindsay Hoyle

Tuesday 19th September 2023 Commons Chamber

[Mr Speaker]

I call the shadow Secretary of State.

[Edward Miliband (Doncaster North) (Lab)]

I wish the Clerk of the House well in the future, and I warmly welcome the Secretary of State to her new role and congratulate her on her appointment to the Cabinet. I look forward to working together. Let us start with the truth. The offshore wind auction that she inherited was a totally avoidable disaster. It means another lost year for our country and another year of higher bills, and it is because Ministers obstinately refused to listen to warning after warning from industry. RenewableUK estimates that the auction failure will add £2 billion to bills. What is the Secretary of State’s estimate of the cost to families of this fiasco?

[Edward Miliband]

I am afraid the Secretary of State is quite wrong about that, because Ireland adjusted the price and had 3 GW of offshore wind. Let us talk about the way that this Government are jeopardising our energy security. They have delivered—[Interruption.]

[Mr Speaker]

Order. Mr Stuart, I know this is the last day before the recess and you are excited to get some freedom, but let’s save it.

[Edward Miliband]

This Government have delivered the worst cost of living crisis in a generation. There is a pattern here: they banned onshore wind and raised bills, they slashed energy efficiency and raised bills, and now they have trashed offshore wind, raising bills. That is why we are so exposed. I know that the right hon. Lady did not make those decisions, but now that she is the Secretary of State, she needs to tell us, after 13 years of failure, what is she going to do differently?

Oral Answers to Questions

Debate between Edward Miliband and Lindsay Hoyle

Tuesday 4th July 2023 Commons Chamber

[Mr Speaker]

I call the shadow Secretary of State.

[Edward Miliband (Doncaster North) (Lab)]

Six days ago, the Climate Change Committee delivered its most scathing assessment in its history on the Government’s record, saying that they were off track on 41 out of 50 key targets. It said that we have gone “markedly” backwards in the past year, on the Secretary of State’s watch. Who does he blame for this failure?

Oral Answers to Questions

Debate between Edward Miliband and Lindsay Hoyle

Tuesday 23rd May 2023 Commons Chamber

[Mr Speaker]

We come to Question 11. Is anyone from the Government Front Bench going to bother? They are still thinking about the last question, but I would like a Minister to answer.

[Edward Miliband (Doncaster North) (Lab)]

They are too busy laughing at their own jokes.

--- Later in debate ---

[Mr Speaker]

I call the shadow Secretary of State.

[Edward Miliband (Doncaster North) (Lab)]

The US has created almost 10 times more green jobs in the seven months since the passage of the Inflation Reduction Act than the UK has created in the past seven years. That is why British business is deeply worried. Frankly, the Secretary of State is all over the place on this, because his only significant response to IRA, passed last August, was to describe it as “dangerous”. Can he explain why IRA is dangerous? Is not the real danger to Britain a Government who are standing on the sidelines while others win the race for green jobs?

Oral Answers to Questions

Debate between Edward Miliband and Lindsay Hoyle

Tuesday 18th April 2023 Commons Chamber

[Mr Speaker]

I call the shadow Secretary of State.

[Edward Miliband (Doncaster North) (Lab)]

Today’s announcement on prepayment meters is simply not good enough. The new rules ban forced installations for only a very narrow group and do not do so for what is called the medium-risk group. I am reading from the document here. That group includes

“those with Alzheimer’s, clinical depression, learning difficulties, multiple sclerosis…the elderly up to age 85, the recently bereaved, and those with the youngest children.”

How has the Secretary of State allowed this to happen?

Oral Answers to Questions

Debate between Edward Miliband and Lindsay Hoyle

Tuesday 28th February 2023 Commons Chamber

[Mr Speaker]

I call the shadow Secretary of State.

[Edward Miliband (Doncaster North) (Lab)]

I welcome the Minister to her new role. Her Department’s responsibility is to tackle fuel poverty, so the planned rise in the price cap is the first big test. If it goes ahead, the number of people in fuel poverty will jump by almost 2 million, which is why many people, including those from leading energy charities, are telling her Department to stop the cap rising. Will she and the Secretary of State now do their jobs and tell the Chancellor to cancel the rise?

--- Later in debate ---

[Mr Speaker]

Order. It is the same for the Secretary of State. It is everybody’s questions, not just yours and the former Prime Minister’s. Let’s go to Ed Miliband for a good example of a quick question.

[Edward Miliband (Doncaster North) (Lab)]

It is important to welcome ex-party leaders to their place, Mr Speaker. My only advice is that it is important to not want your old job back.

Can I ask the Secretary of State to tell the House which member of the new Department’s ministerial team in April last year described onshore wind farms as “an eyesore” on the hills?

COP27

Debate between Edward Miliband and Lindsay Hoyle

Monday 21st November 2022 Commons Chamber

[Mr Speaker]

I call the shadow Secretary of State.

[Edward Miliband (Doncaster North) (Lab)]

May I start by echoing the sentiments expressed by the hon. Member for Brighton, Pavilion (Caroline Lucas) about the case of Alaa Abd el-Fattah? The Government must ensure that his case is not forgotten. He must be released. I also pay tribute to the COP26 President for his service and to his team of civil servants in the COP unit.

Despite the welcome progress at COP27 on support for climate-vulnerable countries, which I acknowledge, we should be clear: on the crucial issue of 1.5°, this summit failed. The planet is hotter than it has been for 125,000 years. We already see the disastrous effects of 1° of warming, but rather than tackle this crisis, too many leaders are fiddling while the world burns. As a result, we are currently on track, according to the UN, for a catastrophic 2.8° of warming. We should tell the truth: unless we do something different and fast, we will leave a terrible legacy. Against this backdrop, no country can be patting itself on the back. As a country that considers itself a climate leader, we have a responsibility and opportunity to set the pace in the year ahead, and our moral authority in the negotiations depends on it.

First, to go further and faster, and to persuade others, too, I urge the Minister to commit, as the Opposition have, to a 2030 zero carbon power system, the new gold standard of international leadership. That means ending the perverse ban on onshore wind and the blocking of solar, the cheapest and cleanest forms of power.

Secondly, we need to acknowledge the elephant in the room: fossil fuel. The COP26 President argued, unsuccessfully, that the conclusions of COP27 should include the phasing out of fossil fuel. If we extract all remaining reserves, we will blow way past 1.5° to 3° and more, but the Government are indulging at home in a dash for new fossil fuel licences, which will not even make a difference to bills, and they refuse to rule out a new coalmine in Cumbria. What kind of leadership is it if we tell others not to have new fossil fuel exploration while saying it is okay for us to do it here at home?

Thirdly, we need to demonstrate to the world that climate leadership means we will not only set stretching targets but meet them, yet the Climate Change Committee says we are off track and our net zero strategy has been found to be unlawful. What will the Government do to put that right?

Finally, the next year, leading up to the 2023 global stocktake, is the last real chance to save 1.5°. In years to come, every Government and politician will be judged on how they responded at this moment of jeopardy for the world. I urge the Government to show consistent leadership, to lower bills, to create jobs and to act before it is too late.

Oral Answers to Questions

Debate between Edward Miliband and Lindsay Hoyle

Wednesday 2nd November 2022 Commons Chamber

[Mr Speaker]

I call the shadow Minister.

[Edward Miliband (Doncaster North) (Lab)]

I pay tribute to the work of the COP26 President, and I am sorry he has been removed from the Government. Let me take this first opportunity at the Dispatch Box to congratulate the Minister on bringing down the last Government in the vote on fracking.

Before it fell, that Government pledged to end the onshore wind ban in England, changing the planning rules to bring consent for onshore wind

“in line with other infrastructure.”

But the new Prime Minister spent the summer campaigning for an onshore wind ban because of the “distress and disruption” he says it causes. So can the Minister tell us: is the Government’s policy to change the planning rules as promised by the last Government, or to keep the ban on onshore wind as promised by the new Prime Minister?

Oral Answers to Questions

Debate between Edward Miliband and Lindsay Hoyle

Wednesday 20th July 2022 Commons Chamber

[Mr Speaker]

I call the shadow President of COP26, Ed Miliband.

[Edward Miliband (Doncaster North) (Lab)]

In the last two days, we have seen that the climate emergency is here and now, with wildfires raging across our country, tracks and runways melting, schools closing and the government under-prepared, and yet some people aspiring to the highest office in the land have suggested that tackling the climate crisis is a luxury that can be delayed—an indulgence, a niche project. Such people would put the safety of our citizens at risk. They are deeply irresponsible and they are economically illiterate. Does the President of COP26 agree that, given the demonstrable threat that we so obviously face, there is no place in serious political parties for such dangerous folly?

Oral Answers to Questions

Debate between Edward Miliband and Lindsay Hoyle

Wednesday 15th June 2022 Commons Chamber

[Mr Speaker]

We now come to the shadow COP26 President.

[Edward Miliband (Doncaster North) (Lab)]

It has been reported that the COP26 President is in the running to become the executive secretary of climate at the UN. I wish him well, because he would do an excellent job in that post. Part of the reason he won respect at COP26 was for his commitment to phase out fossil fuel subsidies, yet here at home the Chancellor has created a massive loophole in the windfall tax to give away at least £4 billion of public money in new incentives for new oil and gas projects. Can the COP26 President tell us whether he was consulted on that plan? How much does he estimate that it will drive up emissions? Is it not totally at odds with the agreement on fossil fuels that he worked so hard to secure in Glasgow?

Oral Answers to Questions

Debate between Edward Miliband and Lindsay Hoyle

Wednesday 20th April 2022 Commons Chamber

[Mr Speaker]

I call the shadow COP26 President.

[Edward Miliband (Doncaster North) (Lab)]

The recent climate assessment by the Intergovernmental Panel on Climate Change was deeply worrying, saying that current global policies will lead to warming of more than 3°, but it also offered hope in the dramatic fall in the price of renewables, which means they are now the right choice for cheap energy and to tackle the climate crisis. Given that onshore wind is the cheapest, cleanest, quickest form of power to deliver and is also supported by a large majority of the public in the UK, will the COP26 President explain why the Government persist—including in their recent strategy—with planning policies that in effect block onshore wind in England?

Storm Arwen: Power Outages

Debate between Edward Miliband and Lindsay Hoyle

Monday 6th December 2021 Commons Chamber

[Edward Miliband (Doncaster North) (Lab)]

On a point of order, Mr Speaker. Can you give me some guidance on the absence of the Secretary of State from this urgent question? Yesterday, he claimed to be getting a grip on this crisis, but today he has run away from answering questions in this House. The truth is that there are very serious issues here, and the Minister has had to come up with a hastily arranged “dog ate my homework” excuse in which he claims that the Secretary of State is on the phone to Northern Powergrid at the moment. He could have been on the phone before this urgent question or after it. This is an insult to the people in the north of England and an insult to this House.

[Mr Speaker]

It is not for me to choose who comes to the Dispatch Box. It is up to the Government to decide who they provide, and the Minister was very thorough in his long answers to questions. You have also been in government, and you were the ones who chose who stood at the Dispatch Box. I do not think the points you raise will have gone amiss. You did say that the Secretary of State was meant to be on a phone call, and it was with the Prime Minister as well. I am sure people will check to see if that is the case, as I am sure it is. If the Minister says it is the case, it must be the case.

Oral Answers to Questions

Debate between Edward Miliband and Lindsay Hoyle

Wednesday 27th October 2021 Commons Chamber

[Mr Speaker]

Unfortunately, the Leader of the Opposition is isolating, so I call Ed Miliband to ask the questions on behalf of the Opposition.

[Edward Miliband (Doncaster North) (Lab)]

rose—

--- Later in debate ---

[Edward Miliband]

Just like the old days. [Interruption.]

[Mr Speaker]

Order. I presume you all want to get on to the Budget; all you are doing is delaying it. Ed Miliband!

[Edward Miliband]

I want to reassure both sides of the House: it is one time only that I am back. [Laughter.]

We all need the vital COP26 summit in Glasgow to deliver next week, because failing to limit global warming to 1.5° will have devastating consequences for our planet. That goal is shared across the House. Does the Prime Minister agree that, to keep the goal of 1.5° alive, we need to roughly halve global emissions in this decisive decade?

UK Gas Market

Debate between Edward Miliband and Lindsay Hoyle

Monday 20th September 2021 Commons Chamber

[Edward Miliband]

On a point of order, Mr Speaker.

[Mr Speaker]

Is it relevant to what has just happened?

[Edward Miliband]

Yes, Mr Speaker.

To follow on from the point made by the right hon. Member for Forest of Dean (Mr Harper), I submit that it really is not good practice for the Secretary of State to come to this House and say that he will make a joint statement with Ofgem this afternoon to set out the Government’s next steps, but refuse to tell Members what is in that joint statement. The point of his coming to the House is for him to be questioned on Government policy—including policy to be announced this afternoon.

Oral Answers to Questions

Debate between Edward Miliband and Lindsay Hoyle

Wednesday 24th February 2021 Commons Chamber

[Mr Speaker]

I call the shadow President, Ed Miliband.

[Edward Miliband (Doncaster North) (Lab)]

I have never been called that before.

I warmly welcome the President of COP26 to his full- time role. It is in all our interests that he should succeed, and we want to do everything that we can to help. The central judgment of COP26’s success is whether it keeps alive the Paris target of limiting global warming to 1.5°. To make that happen, the UN says that we need to more than halve global greenhouse gas emissions from 52 gigatonnes today to 25 gigatonnes by 2030. Will he assure us that he recognises the scale of this challenge and the need for maximum ambition, and tell the House how close to that target he thinks we can get at COP26?

Oral Answers to Questions

Debate between Edward Miliband and Lindsay Hoyle

Monday 4th May 2020 Commons Chamber

[Mr Speaker]

I welcome Ed Miliband back to the Front Bench.

[Edward Miliband (Doncaster North) (Lab)]

Thank you very much, Mr Speaker.

I can tell the Secretary of State that we are committed to working constructively with the Government on all issues, and we welcome the recent changes to the loans system. I have two specific questions about his draft guidelines on workplace safety. We share the desire for a return to work as soon as it is safe, but he will know that firms with more than five employees are obliged by law to carry out risk assessments on safety. First, does he plan to ensure the publication of these risk assessments to give confidence to workers? Secondly, on enforcement of safe working, the Health and Safety Executive is operating on substantially reduced resources. What will he do to ensure that the guidelines are enforced so that all workers can feel safe?

Budget Resolutions and Economic Situation

Debate between Edward Miliband and Lindsay Hoyle

Wednesday 18th March 2015 Commons Chamber

[Edward Miliband (Doncaster North) (Lab)]

Never has the gap between the Chancellor’s rhetoric and the reality of people’s lives been greater than it was today. This is a Budget that people will not believe from a Government who are not on their side. Because of the Government’s record, because of their instincts, because of their plans for the future and because the Chancellor, most extraordinarily, made no mention of investment in our national health service and our vital public services, this is a Budget that people will not believe from a Government they do not trust.

This Chancellor has failed the working families of Britain. For the first time since the 1920s, people are earning less at the end of a Government than they were at the beginning. [Interruption.]

[Mr Deputy Speaker (Mr Lindsay Hoyle)]

Order. Quite rightly, I expected the Chancellor to be heard, and I certainly expect the same courtesy to be extended to the Leader of the Opposition.

[Edward Miliband]

People are £1,600 a year worse off. The next generation has seen wages plummet and tuition fees treble. The Government have built fewer homes than at any time in the past 100 years. It is certainly not a truly national recovery when there are more zero-hours contracts than the populations of Glasgow, Leeds and Cardiff combined. That is the reality of the lives of working people. These are the facts. These are the inconvenient truths of this Chancellor’s record. It is a recovery for the few from a Government of the few.

The Chancellor chose to make a number of references to me today. Let me just tell him that we are not going to take lessons on fairness from the trust fund Chancellor and the Bullingdon club Prime Minister. Not for the first time, this is a Budget from this Chancellor that simply will not be believed.

We support the change on the personal allowance, but on tax he gives with one hand and takes far more away with the other. Nobody believes this Chancellor when he says that he will cut their taxes, because that is not what has happened. Not only are wages down by £1,600, but taxes are up—24 tax rises. As a result of his measures, families are worse off by £1,127 a year, on average, which is equivalent to 8p on the basic rate of income tax. That is the reality behind a Budget that cannot be believed. Everyone knows what is coming if the Government get back in charge: another rise in VAT, the tax the Tories love to raise. Of course, in the finest Tory tradition, the lesson is this: deny it before an election and jack it up afterwards.

On living standards, which the Chancellor made much of in his speech, he knows that, as the official measure from the Office for National Statistics shows, people are clearly worse off under him, so he had a bright idea: invent a new measure of living standards to prove that what people know from their wallets and pockets to be true is somehow not true. People do not need a new measure that pretends they are better off; they need a new Government to make them better off. That is the reality behind a Budget that cannot be believed.

What about low pay, which the Chancellor also talked about in his speech? He poses today as the friend of the low-paid. You could not make it up, Mr Deputy Speaker. [Interruption.]

[Mr Deputy Speaker]

Order. There is too much noise coming from the back row. Mr Shelbrooke, do not think that I cannot see you just because you have moved position. The last thing I need is for you to explode. That would be good neither for you, nor for the Chamber.

[Edward Miliband]

I am bound to ask, whatever happened to the promise of a £7 minimum wage this year? The Chancellor made much of that 18 months ago, but he has broken that promise. The idea of this Chancellor boasting about a 20p rise in the minimum wage, expecting low-paid workers to be grateful: that is the reality behind a Budget that cannot be believed. Of course, the Chancellor does not just claim to be a friend of the low-paid; he now claims to be a friend of the north. [Interruption.]

[Mr Deputy Speaker]

Order. I will not keep saying that I want to hear the Leader of the Opposition; I expect everybody to hear the Leader of the Opposition.

[Edward Miliband]

On the specifics, we are pleased that the Chancellor has adopted our policy of councils being able to keep 100% of business rates, but why not for every council right across the country? Why is he doing it for just one? [Interruption.] Oh, he has done it for two, says the Chief Secretary, helpfully. Is it not great? The Liberal Democrats locked in the boot of the Conservative party.

Let us talk about what the Chancellor has done to the north of England. Let us test whether he is a friend of the north—75% bigger cuts to local government budgets in the north than in the rest of the country. In the north-west, 400,000 working families have seen their tax credits cut. That is more than any other region. In the north-east the Chancellor is spending £1 on transport for every £25 he spends in London. He spent time in his speech praising northern councils. Let us see what northern councils have to say about him. He talked about Leeds. This is what the leader of Leeds council said—[Interruption.] Yes, Labour. The Chancellor was praising northern councils in his statement. Let us see what they have to say. The leader of Leeds council says that the Chancellor “fails to deliver the devolution we need. This Government is no friend of the north.”

For the interests—[Interruption.]

[Mr Deputy Speaker]

Order. This is getting seriously out of hand. [Interruption.] Just a moment. He can shout all day. I have already looked at Mr Hands. He may hide behind Sir Tony, but we all know where he is. His voice carries and I know where he is sat. Sir Tony may move, but I recognise the voice. [Interruption.] I do not need any more help. All I will say to those on the Government Benches is let us listen. Let us get to the end because, as I said earlier, our constituents want to hear what both sides wish to say.

[Edward Miliband]

Joe Anderson, the mayor of Liverpool, said that the Chancellor has “bludgeoned Liverpool. We’ve had 58% of our funding taken away. Even Dick Turpin had the decency to wear a mask when he robbed people.” That is what he thinks of the Chancellor. [Interruption.] Hon. Members ask why I do not quote Conservative leaders. In the interests of balance, I would have liked to quote a Conservative leader of a northern city, but there are none, and with these two—the Prime Minister and the Chancellor—in charge, there never will be.

The Chancellor spoke about tax avoidance in his statement, but the gap between what is owed and what is collected is up, not down, and no wonder. He has not acted on tax havens, despite the Prime Minister’s promises. He did not act on HSBC. In fact, he appointed the chairman as a Minister. What about hedge funds? Those were strangely absent from the Chancellor’s statement. Where was the action on stamp duty avoidance? It is costing well over £l billion a year. Of course the Government cannot act on hedge funds because they bankroll the Tory party. The Chancellor cannot act because they own him, lock, stock and barrel. The Conservative party is now just the political wing of the tax avoidance industry.

The biggest sleight of hand of all is on the deficit. The Chancellor was rewriting history today. Five years ago, the Prime Minister said: “We will balance the books in five years”—no ifs, no buts, no maybes, just like the immigration pledge. Today, the Chancellor comes along to boast that he has halved the deficit, but that is not what the Prime Minister used to say about halving the deficit. He said that would be “completely inadequate”. Let me get this straight—it has gone from completely inadequate to a great triumph. I do not think that will wash with people. The only thing long-term about the Chancellor’s plan is that it will take nearly twice as long to balance the books. And it cannot be believed—[Interruption.]

[Mr Deputy Speaker]

Order. Mr Ellis, as I said earlier, a little more control, please.

[Edward Miliband]

It cannot be believed, because we have heard it all before—five years of promising a recovery for all, five years of delivering a recovery for the few, and now the Chancellor asks us to believe it all over again. The most unbelievable thing of all is the Government’s claim that we are “all in it together”. They say yes to the bedroom tax, no to the mansion tax. Food banks are on the rise, bank bonuses are in the billions. Taxes are up for working families, taxes are cut for millionaires. The best thing one can say about the Chancellor and the Prime Minister is that when the removal vans turn up, they will be in it together.

The Chancellor’s failure on living standards, on tax and on the deficit are all linked. That is because our economy is too unproductive, too unbalanced and too insecure. There are some things that he did not mention in his statement today. Our productivity gap with the rest of the G7 is now the worst for a quarter of a century—on his watch. He talked again today about rebalancing, but the rebalancing that he promised has not happened. The Chancellor’s target for exports is set to be missed by over £300 billion. On this Budget’s figures, he has overseen the slowest recovery for 100 years. That is the reality behind the Budget that cannot be believed.

For all the window dressing today, the Government cannot tackle insecurity at work, because they think that is how we compete. They cannot make work pay, because they believe low pay is the way that we succeed. They cannot build an economy for working families, because they think wealth flows from the top. Not for the first time, the chairman of the Conservative party perfectly summed up Tory philosophy in his celebrated handbook, “Stinking Rich 3”. I am not sure what happened to “Stinking Rich 1 and 2”.

The Chancellor announced a number of measures on savings and it is important that we look at the detail of these changes. We want people to have more flexibility, including on annuities. He talked about advice in the annuity market. It is incredibly important that advice is available quickly because there are rip-off merchants ready to pounce. We know that it has happened before—[Interruption.]

[Mr Deputy Speaker]

Order. Mr Williamson, you are this side of Mr Miliband. I can see you very easily.

[Edward Miliband]

This is a serious issue. We know that it has happened before. It happened in the 1980s—a dreadful mis-selling scandal—and the Chancellor needs to get proper regulation in place on these issues. We will look at the changes that he spoke about.

The glaring omission from this Budget statement was the national health service and public spending. It was an extraordinary admission. Where was that discussion of the national health service and investment in public services? It is time that we looked at the reality of this Government’s spending plans, because this is the Budget that cannot be believed. The Chancellor does not want us to know it, but he had an extreme spending plan yesterday and he has an extreme spending plan today. It is here in the Red Book in black and white. Page 69 shows his plan for extreme cuts in the next Parliament. Table 2.4 of the Red Book shows that he is trying to hide big cuts between 2015-16 and 2018, so let me tell the House what the Chancellor tried to hide. His plans are for at least as many cuts in the next Parliament as in this one, and the pace of cuts in the next few years will be faster than the cuts in the past few years.

Here is the thing, and it is important that the country knows it: the Chancellor came along today to try to suggest that the pain was over, but if the Conservatives get back, it is not. Their failure on the deficit means that they are planning massive cuts—billions of pounds of cuts—in the next Parliament.

You might ask, Mr Deputy Speaker, what is the evidence for it. There is a lot of evidence. Let us start with what the Prime Minister said in his education speech. He said they were going to cut early years, they were going to cut schools, and they were going to cut colleges: cuts in education spending. Short-changing education today means we cannot build a recovery for all tomorrow.

The position is most worrying of all on the national health service. The massive cuts that the Government have announced—all their Members will have to go and justify this to their constituents—mean that colossal cuts will be planned, and I emphasise “planned”, in defence, in policing, and in local government. But they will not be able to deliver those cuts, so they will end up cutting the national health service. That is the secret plan that dare not speak its name today. The Chancellor did not tell us—[Interruption.] You can tell they are really worried about it. The Chancellor did not tell us that his plans also continue massive cuts to social care. [Interruption.]

[Mr Deputy Speaker]

Order. The defence Minister and I do not want to fall out. If there are some letters to sign on her desk, that might be better if she cannot keep quiet.

[Edward Miliband]

They did not tell us that their plans involve massive cuts to social care as well. We have already, in this Parliament, seen hundreds of thousands fewer elderly people being cared for. What is the lesson? If you devastate social care, you betray the elderly and pile unsustainable pressure on our national health service—and these two are coming along and promising more of the same. That is why they cannot be trusted on the national health service.

Building a truly national recovery needs a new Government. We will not sit by when people are on zero-hours contracts month after month, year after year. Instead we will legislate for a new principle that if someone does regular hours they get a regular contract. The Chancellor talked about the minimum wage. Let us talk about what has happened on the minimum wage. [Interruption.]

[Mr Deputy Speaker]

Order. Mr Williamson, be helpful to the Chamber, or I will be unhelpful to you, and I do not want to get to that stage. Let us hear Ed Miliband.

[Edward Miliband]

The minimum wage has gone up by just 70p in this Parliament. A Labour Government will raise it by more than double that to a minimum wage of more than £8 an hour. And we will have a real industrial policy.

The Chancellor has been a particularly malign influence in this Government on climate change. The Prime Minister used to claim that he believed in climate change. I have to say that it is extraordinary, even by his standards, to put a wind turbine on your roof and then want a moratorium on wind turbines. I know he is a stranger to consistency, but even by his standards that is going some. We will end the dabbling with climate change denial and have a proper green investment bank.

A Labour Government will support the young, not make them pay the price of hard times. We will ensure that every major Government contract will guarantee apprenticeships. We will cut tuition fees to £6,000 to reduce the burden of debt on young people—and let the Deputy Prime Minister defend his broken promises on the doorstep.

All of this will be underpinned by a balanced plan that cuts the deficit every year, protects education and health, and has fairer taxes—yes, I do believe in a progressive tax system—by reversing the Chancellor’s millionaires’ tax cut, introducing a mansion tax to fund the NHS, and abolishing the vindictive, unfair bedroom tax that he imposed. That is what a Labour Budget would do, from a Labour Government who know that Britain succeeds only when working families succeed.

Now we know the choice at the election. We have seen five years of falling living standards, young people paying the price of hard times, and the NHS going backwards. This Budget did not solve the problems facing working families; it confirmed them. Britain needs a better plan—a plan for working families. Britain needs a Labour Government.

Budget Resolutions and Economic Situation

Debate between Edward Miliband and Lindsay Hoyle

Wednesday 19th March 2014 Commons Chamber

[Edward Miliband (Doncaster North) (Lab)]

The Chancellor spoke for nearly an hour, but he did not mention one central fact—[Interruption.]

[Mr Deputy Speaker (Mr Lindsay Hoyle)]

Order. I think that the deputy Chief Whip knows better. We have not even got started. I hope that he will calm down.

[Edward Miliband]

The Chancellor spoke for nearly an hour, but he did not mention one central fact: the working people of Britain are worse off under the Tories. Living standards are down, month after month, year after year. In 2011, living standards, down; 2012, living standards, down; 2013, living standards, down. Since the election, working people’s living standards are £1,600 a year down. You are worse off under the Tories—[Interruption.]

[Mr Deputy Speaker]

Order. To be quite honest, I thought that the House was doing really well today. Courtesy was quite rightly shown to the Chancellor of the Exchequer. I expect the same courtesy to be shown to the Leader of the Opposition. I want to hear it, and your constituents want to hear it.

[Edward Miliband]

They do not want to talk about the falling living standards of people across this country, Mr Deputy Speaker.

The 2010 Tory manifesto promised an economy where people’s

“standard of living… rises steadily and sustainably”

but they have delivered exactly the opposite: standards of living falling sharply and steeply. Today the Chancellor simply reminded people of the gap between his rhetoric and the reality of people’s lives. Living standards have been falling for 44 out of 45 months under this Prime Minister, unmatched since records began. No amount of smoke and mirrors today can hide it. We already know the answer to the question that millions of people will be asking in 2015: “Are we better off now than we were five years ago?” The answer is no. They are worse off, much worse off—worse off under the Tories.

The Chancellor trumpeted the tax allowance today, but what he did not tell us is that it is the same old Tory trick. He did not tell us the rest of the story. He did not mention the 24 tax rises introduced since he became Chancellor. He forgot to mention that he put up VAT, taxed away child benefit, raised insurance tax and gave us the granny tax. It is a classic Tory con: give with one hand and take away far more with the other—same old Tories.

The Chancellor painted a picture of the country today that millions of people will simply not recognise. This is Cameron’s Britain 2014, with 350,000 people going to food banks, 400,000 disabled people paying the bedroom tax, 1 million more people paying 40p tax and 4.6 million families facing cuts to tax credits. But there is one group that is better off—much better off. We all know who they are: the Chancellor’s chums, the Prime Minister’s friends—[Interruption.] The Prime Minister rolls his eyes, because he does not want to talk about the millionaires’ tax cut. There was no mention of it in the Budget speech. They are the beneficiaries of this year’s millionaires’ tax cut.

If you are a City banker earning £5 million and feeling the squeeze, do not worry, because they feel your pain. This year that City banker was given a tax cut, and not just any tax cut. It is a tax cut worth £664 a day, £20,000 a month and more than £200,000 a year. So the Prime Minister chooses to afford a tax cut worth more than £200,000 a year for that banker, but he cannot afford a pay rise of £250 a year for a nurse. And these are the people who have the nerve to tell us that we are all in this together. It is Tory values and Tory choices—same old Tories. Of course, the leader of the Liberal Democrats is with them every step of the way. Day after day he claims that he does not support Tory policy, but day after day he votes for Tory policy.

Now, to listen to the Chancellor today, for a recovery that arrived three years later than he promised, he expects the country to be grateful. Back in 2010 he told us that by the end of 2014 the economy would have grown by nearly 12%. Today the figures show that it has been barely half that, and he wants the country to be grateful. Back in 2010 he said that the Government would clear the deficit in this Parliament, by 2014-15. Today he wants the country to be grateful because he says that he can do it by 2018-19. Three years ago he told us, in his 2011 Budget speech, that he would deliver an economy

“carried aloft by the march of the makers.”—[Official Report, 23 March 2011; Vol. 525, c. 966.]

But what has actually happened since then to the rebalancing he promised? Manufacturing output has fallen by 1.3%, construction output has fallen by 4.2% and infrastructure investment is down by 11.3%. Every time he comes to this House he promises a rebalancing, and every time he fails. The Chancellor talked about housing today, but what has he actually delivered? The Government have overseen the lowest level of house building since the 1920s and rents have risen twice as fast as wages.

At the heart of the argument we will have over the next 14 months is this question: whose recovery is it under the Tories? Under them, it is a recovery for the few, not the many. Bankers’ pay in London is rising five times faster than that of the average worker. This recovery is not working for working people whose living standards are falling. It is not working for the millions of women who see the gap between men and women’s pay rising. It is not working for the low-paid people promised by the Chancellor—[Interruption.]

[Mr Deputy Speaker]

Order. Mr Williamson, you are in danger of exploding, which would be good neither for you, nor for the Chamber. Come on. Let us listen.

[Edward Miliband]

They do not want to talk about the low-paid workers promised a £7 minimum wage by the Chancellor but given just 19p more an hour. Under this Government it is an economy of the privileged, by the privileged and for the privileged.

Instead of admitting the truth about what is happening in most people’s lives today, the Government want to tell them the opposite. They tell people that their wages are rising when they are falling, just like they tell people that their energy bills are falling when they are rising. They tell people that they are better off, but everyone knows the truth. They can change the shape of the pound—it does not matter if it is square, round or oval—but if you are £1,600 a year worse off, you are still £1,600 a year worse off. You are worse off under the Tories.

They cannot deliver because of what they believe. His global race is a race to the bottom. It means people being forced to do two or even three jobs to make ends meet, not knowing how many hours they will get from one week to the next, and with no idea what the future holds for their kids. Low wages, low skills, insecure work—that is how they think Britain succeeds. That is why they are not the solution to the cost of living crisis. They are the problem.

We needed a Budget today that would have made the long-term changes that our economy needs, in housing, banking and energy. But they cannot do it. They will not stand up to the vested interests. They will not tackle developers sitting on land, even though they cannot solve the housing crisis without that. They will not force the banks to improve competition even though small businesses say they need it. They will not stand up to the energy companies and freeze energy bills, even though the public support it. Same old Tories. We know what their long-term plan is: more tax cuts for the richest, while everyone else gets squeezed. [Interruption.]

[Mr Deputy Speaker]

Order. This is getting totally out of hand and we certainly do not want any more pointing. I am worrying about the danger to Anne Milton’s hearing; the way she is shouting is not good for her or the Chamber. I want to hear the rest of the speech in peace. I certainly do not want all the muttering and challenges that have been running along the Benches. I will take it more seriously if I have to get up next time.

[Edward Miliband]

We know what their long-term plan is: more tax cuts for the richest while everyone else gets squeezed. What does the Chancellor say about the people dragged into paying 40p tax? He says that they should be happy and that it is good news for them. So this is the new Osborne tax theory: if you are in the middle, paying 40p, you should be pleased to pay more, but if you are at the top, paying 50p, you should be helped to pay less. Same old Tories.

It is no wonder that even their own side think they are totally out of touch. Even now, after all the embarrassment of the millionaires’ tax cut, they will not rule out going further. Maybe today we can get the straight answer that we have not had so far. Will the Chancellor rule out a further tax cut for millionaires to 40p? Just nod your head if you will rule it out. Come on, come on. Just nod your head. Maybe the Prime Minister would like to. Just nod your head. [Interruption.]

[Mr Deputy Speaker]

Order. There may be an influence of the wolves and the pack running around. That can be used in the zoo, but it will not be used in this Chamber.

[Edward Miliband]

It is very simple—all the Prime Minister needs to do is to nod his head if he is going to rule out cutting the 45p tax to 40p in the next Parliament. Just nod your head. Come on. There we have it. There they go again—they will not rule it out. Does that not say it all about them? They really do believe that the way you make the rich work harder is to make them richer and the way you make everyone else work harder is by making them poorer.

Just as they paint a picture of the country that working people will not recognise, so, too, themselves. The Prime Minister is an expert in rebranding. Remember the huskies, the bike and the tree? That was before they said, “Cut the green crap.” What is the latest rebranding from the Bullingdon club? It is beyond parody. What do this lot now call themselves? [Interruption.]

[Mr Deputy Speaker]

Order. Mr Williamson, I will not tell you again. I am sure your roast beef is ready for you—you might be better off eating a little raw meat than giving us the noise that we are getting in here.

[Edward Miliband]

What do this lot now call themselves? They call themselves the workers’ party. Who is writing the manifesto for this workers’ party? We have a helpful answer from one Conservative MP:

“There are six people writing the manifesto…five…went to Eton”.

By my count, more Etonians are writing the manifesto than there are women in the Cabinet—no girls allowed. This week, we have heard it right from the top. Here is what the Prime Minister’s former best friend—[Interruption.] They do not like to hear it do they, Mr Deputy Speaker? Here is what his best friend—[Interruption.]

[Mr Deputy Speaker]

Order. If Members wish to go outside and show people, they can do so by all means. I certainly do not need you to hold up papers all the way through. Quite seriously, respect is due to the Leader of the Opposition the same way it was given to the Chancellor. I want to hear him; if you do not, there is the door—please leave.

[Edward Miliband]

Here is what the Prime Minister’s former best friend, his closest ally, the Education Secretary, had to say about the Prime Minister’s inner circle. He said it was ridiculous, preposterous, unlike anywhere else in the world. They know they are in trouble when even the Education Secretary calls them a bunch of out-of-touch elitists. Where is the Education Secretary? I think he has been banished. Ah—he is hiding! He has been consigned to the naughty step by the Prime Minister. It is time we listened to Baroness Warsi and took the whole Eton mess out of Downing street.

We do not need a party for the privileged few; we need a party for the many. That is why a Labour Government will freeze energy bills, guarantee jobs for unemployed young people, cut business rates, reform the banks, get 200,000 homes built a year and abolish the bedroom tax. This is the Budget that confirms that people are worse off under the Tories—a worse-off Budget from an out-of-touch Chancellor. Britain can do better than them. Britain needs a Labour Government.

Budget Resolutions and Economic Situation

Debate between Edward Miliband and Lindsay Hoyle

Wednesday 20th March 2013 Commons Chamber

[Edward Miliband (Doncaster North) (Lab)]

This is the Chancellor’s fourth Budget, but one thing unites them all: every Budget, when he comes to this House, things are worse, not better, for this country. Compared to last year’s Budget, growth last year is down, growth this year is down, growth next year is down and growth in 2015 is down. And all he offers is more of the same: higher borrowing, lower growth and more—[Interruption.]

[Mr Deputy Speaker (Mr Lindsay Hoyle)]

Order. I expected the Chancellor to be heard and I expect the Leader of the Opposition to be given the same courtesy.

[Edward Miliband]

Government Members do not think that growth matters, but people in this country do.

All the Chancellor offers is more of the same. It is a more-of-the-same Budget from a downgraded Chancellor. Britain deserves better than this.

The Chancellor almost need not have bothered coming to the House, because the whole Budget, including the market-sensitive fiscal forecasts, was in the Standard before he rose to his feet.

[Hon. Members]

Resign!

[Mr Deputy Speaker]

Order. I cannot understand an Opposition who do not want to hear their own leader. [Interruption.] Order. Just as when the Opposition did not want to hear the Chancellor, the one thing that I can guarantee is that people in this country want to hear what the right hon. Gentleman has to say.

[Edward Miliband]

To be fair to the Chancellor of the Exchequer, I am sure that he did not intend the whole of the Budget to be in the Standard before he rose to his feet. I hope that he will investigate and report back to the House.

What did the Prime Minister declare late last year? He said

“the good news will keep coming.”—[Official Report, 24 October 2012; Vol. 551, c. 917.]

What did the Chancellor tell us today? Under this Government, the bad news just does not stop. Back in June 2010, he promised in his Budget a “steady and sustained” recovery. He was wrong. We have had the slowest recovery for 100 years. Last year, he said in the Budget that there would be no double-dip recession. He was wrong; there was. He told us a year ago that growth would be 2%. He was wrong; now he says that it will be just 0.6%. He told us that next year, growth will be 2.7%. Wrong again; it will be just 1.8%.

“Wait for tomorrow,” the Chancellor says, “and I will be vindicated.” But with this Chancellor, tomorrow never comes. He is the wrong man in the wrong place at the worst possible time for the country. It is a downgraded Budget from a downgraded Chancellor. He has secured one upgrade this year: travelling first class on a second-class ticket from Crewe to London. [Interruption.]

[Mr Deputy Speaker]

Order. I do not want to keep repeating myself. I expect, and the public expect, to hear the Leader of the Opposition. Government Members must also listen to the Leader of the Opposition.

[Edward Miliband]

The only time when the country has felt all in it together is when the Chancellor was booed by 80,000 people at the Paralympic games. I have some advice for the Chancellor: stay away from the cup final, even if Chelsea get there.

Who is paying the price for the Chancellor’s failure? Britain’s families. In his first Budget, he predicted that living standards would rise over the Parliament, but wages are flat, prices are rising and Britain’s families are squeezed. What the Chancellor did not tell us is that the Office for Budget Responsibility has already confirmed that the British people will be worse off in 2015 than they were in 2010. It’s official: you’re worse off under the Tories. Worse off, year after year after year.

Was there not an extraordinary omission from the Chancellor’s speech? There was no mention of the triple A rating. The Prime Minister called it the “mark of trust” and told us that it had been “secured”. The Chancellor said that it would be a humiliation for Britain to be downgraded. So he is not just a downgraded Chancellor, but a humiliated Chancellor too.

What about borrowing? The Chancellor made the extraordinary claim in his Budget speech that he was “on course”. Even he cannot believe this nonsense. Debt will be higher in every year of this Parliament than he forecast at the last Budget. He is going to borrow £200 billion more than he planned.

What did the Chancellor say in his June 2010 Budget? He set two very clear benchmarks:

“we are on track to have debt falling and a balanced structural current budget by”

2014-15.—[Official Report, 22 June 2010; Vol. 512, c. 168.] He called that “our four-year plan”. This was the deal that he offered the British people. These were the terms: four years of pain, tax rises—[Interruption.] The Prime Minister says from a sedentary position, “Borrow more.” He is borrowing more. He just needs to look down the Bench, because his own Business Secretary said that they are borrowing more. I would keep quiet if I was him.

These were the terms: four years of pain, tax rises and spending cuts, and the public finances would be sorted. So today, the Chancellor should have been telling us, “Just one more year of sacrifice. In 12 months the good times will roll. Job done. Mission accomplished. Election plan under way.” But three years on, what does he say? Exactly what he said three years ago. We still need four more years of pain, tax rises and spending cuts. In other words, after all the misery, all the harsh medicine and all the suffering by the British people—three years, no progress, deal broken, same old Tories. And all the Chancellor offers is more of the same.

It is as if the Government really do believe their own propaganda that the failure is nothing to do with them. We have heard all the excuses: the snow, the royal wedding, the jubilee, the eurozone. Now, they are turning on each other. The Prime Minister said last weekend:

“Let the message go out from this hall and this party: we are here to fight.”

They are certainly doing that. The Business Secretary has turned on the Chancellor, the Home Secretary has turned on the Prime Minister and the Education Secretary has turned on her. The whole country can see what is going on: the blame game has begun in the Cabinet.

The truth is that the Chancellor is lashed to the mast. Not because of his judgment, but because of pride; not because of the facts, but because of ideology. Why does he stay in his job? Not because the country wants him, not because his party wants him, but because he is the Prime Minister’s last line of defence. The Bullingdon boys really are both in it together. They do not understand that we need a recovery made by the many, not just a few at the top.

It is a year now since the omnishambles Budget. We have had U-turns on charities, churches, caravans and, yes, on pasties. But what is the one policy that the Government are absolutely committed to? The top rate tax cut. John the banker—remember him?—has had a tough year earning £1 million. What does he get? He gets a tax cut of £42,500 next year—double the average wage. His colleague—let us call him George—has done a little better and brings home £5 million a year. What does he get as a tax cut? I know that the Prime Minister does not like to hear what he agreed to. He gets a tax cut of nearly £250,000.

At the same time, everyone else is paying the price. The Chancellor is giving with one hand and taking far more away with the other. Hard-working families are hit by the strivers tax. Pensioners are hit by the granny tax. Disabled people are hit by the bedroom tax. Millions pay more so that millionaires can pay less.

The Chancellor mentioned child care in his speech. He wants a round of applause for cutting £7 billion in help for families in this Parliament and offering £700 million of help in the next. What are the families who are waiting for that child care help told? They have to wait more than two years for the help to arrive, but the richest in society need to wait only two weeks for the millionaires’ tax cut to kick in. That is David Cameron’s Britain.

Of course, the Prime Minister still refuses to tell us, despite repeated questions, whether he is getting the 50p tax cut. He is getting embarrassed now, we can see. He has had a year to think about it and he must have done the maths. Even he should have worked it out by now, so come on. Nod your head if you are getting the 50p tax rate—[Interruption.]

[Mr Deputy Speaker (Mr Lindsay Hoyle)]

Order. The House must come to order. Let us hear the Leader of the Opposition.

--- Later in debate ---

[Edward Miliband]

I am not getting the 50p tax rate; I am asking whether the Prime Minister is. He should answer—after all, he is the person who said that sunlight is the best disinfectant. Let transparency win the day.

Let us try something else. What about the rest of the Cabinet? Are they getting the 50p rate? Okay, hands up if you’re not getting the 50p tax cut. Come on—[Interruption.]

[Mr Deputy Speaker]

Order. We are all right; as some hon. Members want to take a cup of tea, we might be a little more silent.

[Edward Miliband]

I was just asking those in the Cabinet to put their hands up if they are not getting the 50p tax cut. They do not like it, do they? At last, the Cabinet are united with a simple message: “Thanks, George.” He is cutting taxes for them while raising them for everyone else.

The Chancellor announced some measures today that he said would boost growth, just like he does every year—and every year, they fail. I could mention the national loan guarantee scheme that he trumpeted last year—

[Stephen Mosley (City of Chester) (Con)]

Rubbish!

[Mr Deputy Speaker]

Order. Mr Mosley, I think your voice might be better saved for Chester FC this weekend. As they are top of the league, I think you would be better off cheering them on.

[Edward Miliband]

The Chancellor trumpeted the loan guarantee scheme, then he abolished it just four months later. There was the funding for lending scheme, which he said would transform the prospects for small businesses, and the Work programme, which is worse than doing nothing.

Today, the Chancellor talked a lot about housing. When the Prime Minister launched his so-called housing strategy in 2011, in his own understated way he labelled it

“a radical and unashamedly ambitious strategy”.

He said it would give the housing industry a “shot in the arm” and help 100,000 people to buy their own homes. Eighteen months later, how many families have been helped? Not 100,000. Not even 10,000. Just 1,500 out of the promised 100,000. That is 98,500 broken promises. For all the launches, strategies and plans, housing completions are now at their lowest level since the 1920s and 130,000 jobs have been lost in construction. It is a failing economic plan from a failing Chancellor.

The Chancellor has failed the tests of the British people—growth, living standards and hope—but he has not just failed their tests. He has failed his own as well. All he has to offer is this more-of-the-same Budget. Today, the Chancellor joined Twitter. He could have got it all into 140 characters: “Growth down. Borrowing up. Families hit. And millionaires laughing all the way to the bank. #downgradedChancellor.”

More of the same is not the answer to the problems of the last three years. More of the same is the answer of a downgraded Chancellor in a downgraded Government. Britain deserves better than this.

Amendment of the Law

Debate between Edward Miliband and Lindsay Hoyle

Wednesday 21st March 2012 Commons Chamber

[Edward Miliband (Doncaster North) (Lab)]

The Chancellor spoke for an hour, but one of his usual phrases was missing; there was one thing that he did not say. Today marks the end of “We’re all in it together”, because after today’s Budget—[Interruption.]

[Mr Deputy Speaker (Mr Lindsay Hoyle)]

Order. Mr Gummer, I do not think we need you to lead the cheerleading. We have given respect to the Chancellor of the Exchequer, and I expect the same respect to be given to the Leader of the Opposition.

[Edward Miliband]

After today’s Budget, millions will be paying more while millionaires pay less. A year ago, the Chancellor said in his Budget speech that

“now would not be the right time to remove”

the 50p tax rate

“when we are asking others in our society”—[Interruption.]

Is the Chancellor saying that he did not say it? He said that

“now would not be the right time to remove”

the 50p tax rate

“when we are asking others in our society on much lower incomes to make sacrifices”.—[Official Report, 23 March 2011; Vol. 525, c. 957.]

That is exactly what he has done. With tax credits cut, child benefit taken away, and fuel duty rising, what has he chosen to make a priority? For Britain’s millionaires, a massive income tax cut each and every year. The fairness test for this Budget was whether the Chancellor used every penny he could to help middle-income families who are squeezed. He has failed that test. Anyone who listened to him will be asking the same question: what planet are he and the Prime Minister living on? There are 1 million young people out of work and 50 businesses going bust every day, and there is a cost of living crisis for families. They promised change, but things have got worse, not better.

What did the Chancellor promise us in last year’s Budget? He said that he would

“put fuel into the tank of the British economy.”—[Official Report, 23 March 2011; Vol. 525, c. 966.]

He promised growth of 2.5% in 2012, but today he comes to the House and tells us that it will be just 0.8%: growth down last year, growth down this year, and growth down next year. Every time he comes to the House, he offers a different excuse, but the reality is that his plan has failed. Last year, he told us that unemployment would peak in 2011, and what has he delivered? We are into 2012, and unemployment is rising month upon month upon month. His plan has failed. He promised us last year that the deficit would be gone by the end of the Parliament, but today he admits that he is borrowing over £150 billion more than he said he would. His plan has failed.

In the face of failure, what does the Chancellor offer? Not a change in economic strategy, not a guarantee of jobs for the young unemployed, not targeting every penny he can at working families. We know that for the Chancellor the driving ambition of this Budget was to deliver a tax cut for people earning over £150,000 a year. There are 30 million taxpayers in this country; this policy will do absolutely nothing for 29,700,000 of them. How can the priority for our country be an income tax cut for the richest 1% at a time when the squeezed middle are facing rising petrol prices, higher energy bills, and cuts in tax credits and child benefit?

Let us think of what the Chancellor could have done with the money. He could have reversed his cuts to tax credits. He could have done something for pensioners; in fact, I think there is a tax rise for pensioners hidden in the detail of this Budget. He could have done more to undo the damage to child benefit, but he claims he cannot afford it. Let me tell him this: every time in future he tries to justify an unfair decision by saying that times are tough, we will remind him that he is the man who chose to spend hundreds of millions of pounds on those who need it least. Wrong choices, wrong priorities, wrong values; out of touch, same old Tories.

Let me come to his claims on stamp duty. There are 300,000 people benefiting each and every year from his top rate tax cut, and there are 4,000 houses sold each year for more than £2 million. So 99% of those who gain from his millionaires’ tax cut will be totally unaffected by the rise in stamp duty and will get a massive windfall from this Chancellor. He did not tell us what this meant in pounds and pence—[Interruption.] Oh, the Prime Minister thinks that the Chancellor did say how much each person is getting as a result of the top rate tax cut. He did not, and I am going to tell him the figure. There are 14,000 people earning over £1 million in Britain. The Chancellor’s decision today means that each of them will get a tax cut—not of £1,000, not of £5,000, not of £10,000, but of over £40,000—[Interruption.]

[Mr Deputy Speaker (Mr Lindsay Hoyle)]

Order. It is not good if the Leader of the Opposition is not allowed to speak.

[Edward Miliband]

That tax cut is not just for this year but for every year. What happens to families who earn in one year half what the Chancellor has so casually given away to the richest in the last hour—families on £20,000 a year, perhaps those of a nurse or a lorry driver? Even after the personal allowance change, they are not going to be better off; they are going to be worse off. Putting aside the VAT rise and all the other tax rises that have happened, from this April alone they will be a further £253 a year worse off. All he is doing for ordinary families is giving with one hand and taking far more away with the other. This is a millionaire’s Budget that squeezes the middle. Wrong choices, wrong priorities, wrong values, out of touch—same old Tories.

Under the Chancellor’s tax cut, a banker earning £5 million will get an extra £240,000 a year. Let us call it what it really is: the Government’s very own bankers’ bonus. Presumably, he wants us to believe that the £240,000 tax cut is necessary to make the bankers work harder. It is one rule for them and another rule for everyone else. This April, the Chancellor will be telling a family working for 16 hours on the minimum wage that, if they do not work more hours, they will lose nearly £4,000 in tax credits. That tells people everything they need to know about the values of the Chancellor and the Prime Minister: the poor will work harder only if they are made poorer; the rich will work harder only if they are made richer. Wrong choices, wrong values, wrong priorities—same old Tories.

While everybody else is squeezed, what is the Chancellor’s priority? It is a massive tax cut for those on his Christmas card list. The Chancellor talked a lot about tax transparency. Let us have some—[Interruption.]

[Mr Deputy Speaker (Mr Lindsay Hoyle)]

Order. Mr Hands, I think that you need to calm down. What you are doing is not good for the House.

[Edward Miliband]

Let us have some tax transparency. Hands up in the Cabinet if you are going to benefit from the income tax cut. Come on. Come on. Come on. [Interruption.]

[Mr Deputy Speaker]

Order. Mr Shelbrooke—[Interruption.] Order. Mr Shelbrooke, I have looked at you twice and I do not want to continue to do so. We need a bit of silence from you. If not, you might be better off leaving the Chamber. I think that we understand each other.

[Edward Miliband]

The Prime Minister is the man who said that

“sunlight is the best disinfectant”.

Here is the challenge. Just nod if you are going to benefit from the income tax cut or shake your head if you are not. Come on. Come on. Come on. Come on, we have plenty of time. [Interruption.]

[Mr Deputy Speaker]

Order. Members on both sides of the House will come to order. The Leader of the Opposition will be heard with the same courtesy that was given to the Chancellor. I do not want to have to rule further, because I will have to get firmer. It is only right that the country hears what the Opposition have to say. [Interruption.] I do not need any examples from hon. Members.

[Edward Miliband]

One more chance. Nod or shake your head. Are you going to benefit? I have one thing to say to the Prime Minister: let sunshine win the day. I hear that this is good news for him, because now he will be able to buy his own horse. [Interruption.]

[Mr Deputy Speaker]

Order. We will not have any clapping in the Chamber. Seriously, it does not do this House or its reputation any good when we cannot hear the Leader of the Opposition. Members on both sides must show courtesy.

Amendment of the Law

Debate between Edward Miliband and Lindsay Hoyle

Wednesday 23rd March 2011 Commons Chamber

[Edward Miliband (Doncaster North) (Lab)]

The Chancellor spoke for an hour, but one fact says it all, and he could not bring himself to mention it. Growth is down, last year, this year and next year. It is the same old Tories. It’s hurting, but it isn’t working.

What did the Chancellor say last year about growth? “Judge me on the figures.” Well, judge him we will. Every time he comes to the House, growth is downgraded. Last June, 2011 growth was down from 2.6% to 2.3%. In November, it was down again. In January, what did the Prime Minister say? His three priorities for the year were growth, growth, growth. And what has happened in this Budget? Growth is down, down, down. Taking account of all the measures—[Interruption.]

[Mr Deputy Speaker (Mr Lindsay Hoyle)]

Order. We should show the Leader of the Opposition the same courtesy that was shown to the Chancellor of the Exchequer.

[Edward Miliband]

What is the Chancellor’s singular achievement? To deliver a budget for growth that downgrades the growth forecasts. Growth is down this year to 1.8%, and it is downgraded next year too. That did not happen by chance; it happened by choice—the Chancellor’s choice—and it was the wrong choice: to go too far and too fast. In the Chancellor’s own words in the June Budget, he chose to go £40 billion further and faster in tax rises and spending cuts than our plan to halve the deficit over four years. That pace of cuts has seen consumer confidence fall in almost every month since the general election.

In his first Budget, the Chancellor promised

“steady and sustained economic recovery”.—[Official Report, 22 June 2010; Vol. 512, c. 168.]

When last September’s growth figures were published, he took the credit. He called the figures “a vote of confidence” in the Government’s economic policy. But when the economy contracted in the fourth quarter, what did he do? He blamed the snow. Even he must appreciate the irony. While the Prime Minister was grounded from his Christmas trip to Thailand, the Chancellor was on the piste in Klosters. I suppose it was the right type of snow for a ski-ing holiday; it was just the wrong kind of snow for our economy.

What is it about the British snow? There was worse snow in Germany, a big freeze in France, and in the United States the worst blizzards for decades. Despite all that, those country’s economies grew in the fourth quarter. While our growth forecasts have worsened, theirs have improved. [Interruption.] The Chancellor should calm down a little. The German economy is forecast to grow more strongly than last year, and so is that of the United States. Growth in the world economy has been revised upwards. Which is the major country that is downgrading its growth forecasts? The United Kingdom. It is not the wrong type of snow that is to blame, but the wrong type of Chancellor—the wrong type of Chancellor in the wrong type of government with the wrong priorities for Britain—[Interruption.]

[Mr Deputy Speaker (Mr Lindsay Hoyle)]

Order. Courtesy should be shown. The public out there also want to hear what the Opposition have to say. If there are Government Members who do not want to listen, will they please leave the Chamber? The public out there want to hear both sides of the argument. Some people may agree, and some may disagree.

[Edward Miliband]

Government Members shout and jeer, Mr Deputy Speaker, as unemployment hits a 17-year high. What more do we need to know about the Conservative party?

The Chancellor also promised in his June Budget that he would deliver “low inflation”, and what has happened? Inflation has risen, month after month after month. That did not simply happen by accident. It is happening because the Chancellor made the wrong decision on VAT. Same old taxes, same old Tories.

The Chancellor promised us falling unemployment too, and what has happened since he delivered his first Budget? Over 60,000 more people are now looking for work. To this Tory Government, just like those of the past, unemployment is a price worth paying. People who heard the Chancellor’s Budget speech today will wonder what world he was describing. [Interruption.] I think that the Chancellor should listen to this.

In the constituencies of more than 130 Members of Parliament, 10 people are chasing every vacancy. One in five young people is looking for work. Families are seeing their living standards squeezed, not just this year but year after year. What do the Government say to communities that are losing their jobs? Let me tell the House what they recently told the people of Newport, justifying the closure of their passport office. They said that the redundancy payments of the staff who were being sacked would provide a

“boost in trade for the local economy”.

What kind of planet do these people live on? On growth, on inflation, on unemployment, on the promises that he made, the Chancellor could not bring himself to admit that his second Budget tells the story of the failure of his first. At this stage of the recovery, growth should be powering ahead and unemployment should be falling fast. Every month that unemployment is higher than it should be stores up long-term damage for our country. Every month when growth is lower than it should be, that hits the future potential of our economy. The problem is that, instead of admitting it, the Chancellor refuses to change course. What did the Energy Secretary say? If the figures change, the Government

“should not be lashed to the mast”

of their reckless gamble. They should be willing to change and to think again.

It is not as if the Government have not had practice in the U-turn business. Indeed, they are becoming past masters at it. On forests, school sport, housing benefit for those looking for work and even the vanity photographer, they have been forced to climb down. It is on this, the issue that matters most, that they are least willing to change. At the weekend we learned something new about the Chancellor. Apparently, his political aspiration is to be a blend of Nigel Lawson and Michael Heseltine. Another comparison springs to mind. We see the same hubris and arrogance that we saw in the early 1990s, the same broken promises, the same view that unemployment is “a price worth paying”. The Chancellor is Norman Lamont with an iPod, and on his playlist, no doubt, is “Je Ne Regrette Rien”.

This is not a growth Budget. It is not a jobs Budget. It is a Budget for more of the same, from a complacent, arrogant Chancellor in a complacent, arrogant Government. It’s hurting, but it isn’t working.

Let us not forget that these are not just the Chancellor’s decisions, and they are not just the Prime Minister’s decisions; they are the Deputy Prime Minister’s decisions too. He is an accomplice to the Tory plan. When it comes to the economy, the man who coined the phrase “alarm-clock Britain” has the snooze button well and truly on. Nobody voted for this deficit plan, least of all his Liberal Democrat voters, who were told in promise after promise that he would never countenance it. If I can put it this way to him, it is no wonder nobody wants to share a platform with him.

On the measures in the Budget, I welcome the support for the armed forces, and on the measures the Chancellor proposes to support growth, we will look at them but there is little reason to believe they will make the difference to growth that we need. Indeed, the Justice Secretary fell asleep during the Chancellor’s speech, his growth strategy was so compelling. The Office for Budget Responsibility has already factored in every single measure he has just announced, and it still produced today’s downgraded growth forecast.

We cannot blame people for being sceptical when the Chancellor says he has a new flagship policy for growth, because they are asking what happened to his last flagship policy for growth at the centre of his June Budget. Does anyone remember the national insurance holiday? He was strangely silent about it today. In June, he took the credit at the Dispatch Box for helping 400,000 small firms, but how many have actually benefited? He has been strangely shy in revealing the figures, but someone let slip to the Financial Times that by mid-January it wasn’t 400,000, it wasn’t 40,000, it wasn’t even 4,000; it was less than 0.5% of the number he promised, just 1,500 businesses.

On the Chancellor’s incentives for small firms, we will look at the detail, but I have to say that his decision to cancel flexible working for families with children aged between 16 and 18 is extraordinary. This Prime Minister took the credit for championing that policy with Mumsnet, and then a few months later he takes the credit with small business for dumping it. We have to ask, has he got no shame? The idea that families needing flexibility imperil our economic future is, frankly, absurd, and it tells us all we need to know about this Government’s values and how they think our economy succeeds: greater insecurity as the route to greater prosperity. We take a different view. Flexible working is yet another broken promise from the broken-promise Prime Minister.

While we are on the subject of broken promises, let us remember what the Prime Minister said before the election: he said he would be the banker basher in chief. The Chancellor made great play of that in his Budget speech, but the reality is this: last year Labour’s bonus tax raised £3.5 billion—it is in the Red Book—and this year the bank levy raises just £1.9 billion; it is a Tory Government cutting taxes for the banks while they raise taxes for everybody else. He should have used the money from the bank levy to invest in the future jobs fund—which they abolished—to make a real difference to housing in this country and to boost enterprise.

They are failing on growth, and they are failing on living standards too. What did the Prime Minister say before the election to families receiving tax credits? He said that below £50,000 a year, their tax credits were safe. When Labour said otherwise, the Home Secretary said this:

“That is a lie, and it is irresponsible for Labour to be…worrying families needlessly.”

But what is the truth? Next year, over 1 million families with incomes as low as £26,000 will lose all their tax credits. The Government should be ashamed of their broken promises on tax credits.

That is part of the cost of living crisis they are imposing. The Chancellor trumpeted the rise in the personal allowance, and said everybody earning under £35,000 would be better off, but let us look at the facts. He came along in the June Budget and put up VAT, costing families £450 a year. Now he has the nerve to expect them to be grateful when he gives them a fraction of their own money back. What did the Institute for Fiscal Studies tell us this morning? It said:

“there is an awful lot of giving with one hand...and taking away with lots and lots of other hands.”

It is a classic Tory con.

What about their decision on petrol? The Chancellor has done the same thing again. He has cut duty by 1p, but he has whacked up VAT on fuel by 3p. Families won’t be fooled; it’s Del Boy economics. For a two-earner family, both on average wages, it will be 5p up in the basic rate of income tax and just 1p down next year. What do the British people know from history? They know that every Tory tax cut ends up costing them more; same old Tories, same old deceit.

We needed a Budget that changed the direction of economic policy. We needed a Budget that protected the promise of Britain that the next generation does better than the last. We needed a Budget that changed course on cutting too far and too fast. The Chancellor said at the weekend, with his customary modesty, that he had completed his rescue mission of the British economy. After this Budget, it is not the Chancellor who is rescuing the country; it is the country that needs rescuing from the Chancellor. When families look at this Budget—look at the squeeze on their living standards, look at the job losses in their communities—they will conclude: it’s hurting but it isn’t working.