Economic Responsibility and a Plan for Growth Debate

Full Debate: Read Full Debate
Department: HM Treasury

Economic Responsibility and a Plan for Growth

Hywel Williams Excerpts
Wednesday 19th October 2022

(1 year, 6 months ago)

Commons Chamber
Read Full debate Read Hansard Text Read Debate Ministerial Extracts
Drew Hendry Portrait Drew Hendry
- Hansard - - - Excerpts

The hon. Gentleman makes a fair point. As I said in my opening remarks, the Government’s ideology is that the rich will get richer while the poor will suffer. That has been underlined over the past few weeks like at no other time in this place. The scales have fallen away—

Hywel Williams Portrait Hywel Williams (Arfon) (PC)
- Hansard - -

I tried to intervene on the Minister on this broad point. Both he and his friends refer continually to growth, but I do not think I have heard any indication from him this afternoon, or elsewhere, as to how that growth will be spread beyond London and the south-east. Is that not a gaping gap in the Government’s policy? It will certainly affect the constituents of the hon. Member for Inverness, Nairn, Badenoch and Strathspey (Drew Hendry), as it will my constituents and those in Wales, the north of England and Scotland.

Drew Hendry Portrait Drew Hendry
- Hansard - - - Excerpts

Again, the hon. Gentleman makes a fantastic point. The growth we are seeing from this Government is the growth in poverty and in inequality. That continues to rise and the Government are very good at driving it forward.

As I was saying, those off gas grid consumers are being given £100. Scotland is energy rich and a net exporter of energy. Renewable energy is six to nine times cheaper than the gas-fired power our prices are linked to. In Scotland we have the energy, but until we have the power our people will continue to be ignored over their basic needs and their potential.

After the Chancellor’s statement, the Scottish National party, through my hon. Friend the Member for Kilmarnock and Loudoun (Alan Brown), tried to introduce some certainty for households terrified by the rising energy prices by tabling an amendment to the Energy Prices Bill that would have required Ministers to outline within 28 days how support after April would be provided to households. Labour failed to support that amendment. The Chancellor says that more difficult decisions will have to be made, which means cutting the funding for things that ordinary families and the most vulnerable rely on. We should note that the threat for those struggling by, many of them working people relying on universal credit, has not been lifted; there may be further reductions, on top of the fact that inflation has been three times higher than their last increase. Common decency demands that benefits must be fully uprated. Are the Government capable of that?

We should also remember that this Government still have not reversed the pernicious £20 a week cut to UC, yet the Chancellor had the cheek to say—this has been repeated today—that the Government’s priority will always be the most vulnerable. Does that include pensioners? This week, he was briefing journalists, including Robert Peston, who said this today, that the Government were abandoning the triple lock. With inflation rampant—today’s figure is 10.1%—this means further hardship for Scotland’s older people. Yet today, the Prime Minister says no. Is this another U-turn? Or is it like when she says that the energy cap will mean no family would pay more than £2,500 per year? Is it just—let me find some parliamentary language—questionable?

If the Government really mean that they care, they would reinstate the £20 a week to UC, scrap the bedroom tax, get rid of the odious rape clause and uprate benefits in line with inflation. They could choose to follow the progressive lead of the Scottish Government, who have brought in, among a wide package—[Interruption.] The Minister is laughing. The Scottish Government have brought in the Scottish child payment, which has risen now to £25 a week. That is helping to mitigate the callous cut made by his Government. They could choose to follow that progressive lead and to follow what the Scottish Government have done in doubling the December bridging payment from £130 to £260, at a time when families will need it most, in the depth of winter and at Christmas. The Government could pay for much of this by taxing the excess profits of companies that are clearly making them.