Autumn Statement Resolutions

Debate between Ian Blackford and Priti Patel

Wednesday 22nd November 2023 Commons Chamber

[Priti Patel]

The right hon. Lady is correct and makes an important point. I do not want to be boxing the ears of my hon. Friends on the Treasury Bench today, which is their day, but I sound like a broken record on this subject. I would go for complete streamlining and simplification of the tax system, even on NI, where I would like to see measures such as the merger of income tax and NI. I would love to see a simple system where we do not have the burdens of bureaucracy. Even when we spoke about full expensing in the Budget, the business and regulatory implications are pretty vast. The childcare measures are very good and encouraging, but from, a personal perspective, even more complexities are being introduced to the system and we, as Conservatives, could do much more to streamline that.

[Ian Blackford]

I encourage the right hon. Lady on what she said about the integration of tax and national insurance. Although such measures are not without their complications, they can be overcome, so perhaps there should be some work across the House to examine that issue. Let us make things simpler and more straightforward for all our taxpayers.

[Priti Patel]

We could have a separate debate on a single income tax and all sorts of other measures. I would like to see tax transparency as well. I am so old-fashioned that I think we should be able to follow every pound of Government expenditure, and that there should be far greater transparency for the public in that regard. I am sure that the hon. Member for Hackney South and Shoreditch (Dame Meg Hillier) would support that, too, from her perspective as Chair of the Public Accounts Committee. I do not say these things lightly. In this modern day, when we have much greater digitalisation and access to information, our constituents naturally also want to see more transparency in that area, especially while the Government are investing in artificial intelligence and all sorts of other things, including bots. His Majesty’s Revenue and Customs could be run by bots before we know it, although on that basis alone we might get more efficient telephone conversations and call handling. None the less, more needs to be done, and we should welcome that.

I will move on to a couple of other measures, but just while we are on the subject of taxation and revenues, I wish to make a point about the savings that can be made from Government efficiencies. This matter has not been addressed today, but the Chancellor did touch on it. There is much more work that needs to be done in this area, although I appreciate that this is an autumn statement and not a full-fat Budget. For the spring in particular, this is one area where we can do much more in boosting state productivity. The Chancellor always mentions the P word—productivity—but in 2021-22, just as an illustration, the Government delivered £4.4 billion-worth of efficiency savings. In monetary terms, that was significant, but it represented just 0.4% of public expenditure —a drop in the ocean. For the benefit of our constituents, let me say that that is £1 for every £250 spent. Again, much more needs to be done in that area.

Let me continue on the theme of hard-pressed taxpayers. This was not mentioned today, but at previous fiscal events I have voiced support for the fuel price escalator. I believe that we should do much more to back our motorists and make sure that the 5p cut in fuel duty, which was introduced in 2022, is maintained. There is some important signalling that we can do as a Government to ensure that the UK’s 37 million drivers are not seen as a cash cow. We must back them and continue to remain on their side.

That brings me to business taxes. Our economy relies on private enterprise. I am an Essex MP, and Essex is the county of entrepreneurs. Some 80% of my constituents work for small and medium-sized enterprises, which is 20% higher than the national average. We are proud of those SMEs, but we really need them to keep their head above water. That is why we must always support businesses —small businesses as well as big businesses. It is the small businesses that are the engines of economic growth.

I am proud to represent a county where we have businesses that are hungry to innovate and invest, and I want the Government to free them from the shackles that hold them back. A lot of that is regulation and red tape; and there is far too much of that. I have previously called for a freeze of the small business rate multiplier, and I am pleased that the Chancellor has agreed. That in its own right will have some benefits. I know that it has been reinstated for another year, along with other retail and hospitality measures. Retail and hospitality are burgeoning and important sectors that can help to boost our struggling high streets.

I welcome the continuation of business support with full expensing, which I have touched on, but there should be greater clarity over how that will operate, what it will mean for businesses, and the burdens that it will place on the sector. Will firms have to employ an army of accountants who will eat into their business expenses? Reducing overall taxes on businesses is, of course, welcome. It will help firms to invest, to create jobs and to boost supply, which is incredibly important.

When I call on businesses to invest, that also means that we must do much more to get them to invest in skills. Skills and productivity are the biggest challenges that we face. I would, at some stage, like to press those on the Treasury Front Bench on why we are still not committing ourselves to a labour market strategy around some of the key sectors where we know we have shortages in skills growth. When it comes to specialist sectors, we want to be the hub for technology, innovation and science, so we need to consider what more we can do. We also need to consider the work that is required around the green economy. As a former Home Secretary, I can say that we rely far too heavily on migration to fulfil our labour market needs. For the past five years, even when in Government, I have consistently and continuously called for that to be addressed. It sits with the Treasury, not just the DWP, and I urge the Chancellor to make good on those calls. I have discussed it with him several times.

I want to speak about the importance of the energy sector. The Chancellor touched on connectivity to the national grid in today’s autumn statement. I am an Essex MP. Off the coast of the east of England, we have enormous potential when it comes to increasing our energy security, because we have been successful in producing renewable energy offshore. We are effectively a hub in the east of England, where we have had investment. Efforts to develop the sector and increase renewable energy are welcome, and we are proud of the work that has taken place, but we are now suffering from the lack of strategic planning.

Windfarms have received consent and been developed without serious thought being given to interoperability and connection to the network and to the grid. That has resulted in one of the most deeply unpopular policies from central Government, which is now affecting the whole of the east of England: the National Grid’s plan to cover the east of England countryside with over 100 miles of pylons and overhead power lines. Our constituents do not support that. I am fully aware of what the Winser review says, and of the prospect of support—financial bribes, as my constituents call it—for local residences, but we need to ensure that there is proper engagement.

We are putting forward alternatives to pylons, and offshore options that we want to work with the Government to develop. That would support our renewables sector, bringing further skills to our region and our country. Ultimately, we have to address the issue of local constituents feeling frustrated. They resent that this is being done to them, rather than it being their suggestions and some of the local investment being taken into consideration. There is a sense that decisions are being made in an opaque way and that their views are being ignored. I would welcome better dialogue and consultation from the Government on this.

The Chancellor touched on the fact that devolution deals are under way. This is a work in progress for us in Essex. I would very much like to engage with the Treasury and the Government on what a greater devolution deal would mean for our fantastic county, particularly when it comes to investment in skills and infrastructure. Devolution deals can promise the earth, but central Government have to deliver the goods, and it has to translate into a return on the investment locally. In Essex, we are net contributors to the Treasury, so we can apply the multiplier effect and work out where we are getting the benefits, and where we are not getting our return on the investment. We should have further discussions on that.

I welcome the direction of travel in the autumn statement. The Chancellor has opened the door to sound economic principles of lower taxes. I welcome the support for business, which is fundamental. I urge everyone on the Government Front Bench to continue to look at ways to lower taxes, including personal taxes. Times have been tough for the British public. We want to ensure that all our constituents are able to keep more of the money that they earn, and ultimately have a secure economic future.

Salisbury Incident 2018: Update

Debate between Ian Blackford and Priti Patel

Tuesday 21st September 2021 Commons Chamber

[Priti Patel]

My right hon. Friend is absolutely right. We know that the Russian state targets its perceived enemies at home and abroad, and we have seen far too much of that. We will always continue to work closely with the relevant law enforcement agencies to protect individuals. He is also right to highlight critical national infrastructure and other vulnerabilities, which is exactly what our future legislation will aim to address.

[Ian Blackford (Ross, Skye and Lochaber) (SNP)]

I thank the Home Secretary for advance sight of her statement and for the opportunity to have a briefing from the Minister for Security and Borders, the right hon. Member for East Hampshire (Damian Hinds).

I welcome the ongoing investigation into the Salisbury poisonings and the charging of a third suspect. Every avenue and every effort must be made to bring these killers to justice.

I also welcome this morning’s judgment by the European Court of Human Rights on the murder of Alexander Litvinenko. For those remaining few who apparently still needed convincing, this judgment is firm and final confirmation of Russian state murder on this island. There are no ifs, no buts and no maybes. Whether the Litvinenko murder or the attacks in Salisbury, these were acts of state-sponsored terrorism on the streets of the United Kingdom.

We are still uncovering the level and depth of Russian interference across liberal democracies, because the Litvinenko murder began the process of lifting the lid on the sheer scale of Russian money laundering, political interference and, ultimately, violence that had gone either unseen or, worse, unchallenged. The attacks in Salisbury in March 2018 show that the lid may have been lifted but that the state-sponsored terrorism continues to this very day.

I have a number of questions for the Home Secretary on how we meet all the layers of this Russian threat. The Foreign Ministers of the five permanent members of the UN Security Council will meet tomorrow. What stance and what sanction will the Foreign Secretary take with her Russian counterpart at that meeting so that these suspects are forced to face justice?

The Intelligence and Security Committee’s report on Russian subversion found that successive Governments welcomed the oligarchs and their money with open arms, with allies of the Kremlin easily laundering illegal Russian money in what they refer to as “Londongrad”. Will this Government finally launch a full independent investigation into where this illegal Russian money has gone, including money that has been funnelled into companies, assets and, indeed, political parties? As part of this, we need to tighten up the legislation on Scottish limited partnerships.

Finally, it is self-evident that co-operation with NATO allies is crucial to our defence against the Russian threat. The Prime Minister assured me last week that the AUKUS arrangement had the blessing of NATO, which clearly is not the case. Are the Government now willing to open up the agreement to include other NATO allies?

[Priti Patel]

The right hon. Gentleman raises a number of important points, including on today’s ruling from the European Court of Human Rights in relation to the assassination of Alexander Litvinenko. He is correct that, as we have always made clear, the murder of Alexander Litvinenko was a blatant and unacceptable breach of international law and civilised behaviour—he used similarly strong language. Successive Governments have taken a robust approach, including following the publication of the Litvinenko inquiry, and this Government will always pursue every available means to bring those responsible to justice, and we will not let go of that. We will continue to deter such reckless and malign actions in future.

The right hon. Gentleman mentioned that the UN General Assembly is meeting this week, and obviously there will be security meetings with our P5 partners. I assure him and the House that the Foreign Secretary and the FCDO are undertaking a range of diplomatic engagements in UN forums right now, as everyone would rightly expect, in relation to this and other associated matters. I also highlight the wider bilateral and diplomatic work and handling on the AUKUS agreement, which he also mentioned.

The right hon. Gentleman and I both mentioned the serious and important issues of dirty money, money laundering and the facilitation of Russian money that comes through the United Kingdom. The right hon. Gentleman is well aware and has sight of the Government’s work on unexplained wealth orders, investigations with law enforcement and the work with the economic and financial institutions, which takes place in a very detailed and strategic way. That work continues, and the Security Minister and I will be meeting many of our counterparts within financial institutions tomorrow to continue to up the ante and focus on what more can be done on money laundering, following the money in every way and dealing with the routes and where that money leads to assets being purchased and investments being made in the UK, all of which, clearly, we need to change.