(3 years, 4 months ago)
Commons ChamberIt feels as though the hon. Lady might have written that question before she heard the statement and not changed it. We talked about a £4.7 billion increase in the social care budget, which is targeted at ending the bed-blocking that the paramedics she talked to were so worried about. That is the biggest increase in social care funding in history. As I said, sadly, we were not able to do that when we were in coalition with her party.
Does the Chancellor not have a responsibility to set out all major tax cuts? He seems to have slipped out a tax cut for the banks. Will he confirm that he is cutting the bank surcharge from 8% to 3%?
(3 years, 5 months ago)
Commons ChamberI rise to speak in support of the motion. I am glad to hear that it seems to be enjoying a lot of support, and I hope to see the Office for Budget Responsibility’s forecast published immediately after the motion is carried.
I have always opposed Tory Governments. I have long been of the view that a bad Labour Government is better than a good Tory one. I know what the Tories are about and I never expected them to do anything other than make life more difficult for the most vulnerable. In fact, if that were not the way the Tory party operated, we would never have needed to invent the Labour party in the first place. But having opposed many Conservative Governments, never before have I seen one so inept, yet so arrogant as the current Government; so damaging, yet so casual about their impact on people’s lives.
When the revisionism comes, as it undoubtedly will in the weeks and months to come, we must remember that this situation did not fall out of a clear blue sky. There was a clear mandate, because during that leadership contest the Prime Minister was clear about what she intended to do. It was Tory MPs who put her into the final two. Now we hear them say, “We must never again let the members choose the leader”, but they chose to put the right hon. Member for South West Norfolk (Elizabeth Truss) in the final two knowing full well what policies she would support. Huge revisionism is going on so that the next generation of Tory MPs will be able to say, “Oh, that was just a rogue Chancellor and a long-ago deposed Prime Minister. Forget about them—we changed after that,” but the right hon. Lady won a mandate from her party to pursue those policies.
At the time of the mini-Budget statement, some voices were expressing disquiet, but I recall the support we heard from many Tory Members. It was when I heard how happy the mini-Budget had made the right hon. Member for Wokingham (John Redwood) that I knew how bad it would be for the British people. I remember the hon. Member for Don Valley (Nick Fletcher), who was in his place a few minutes ago, claiming that the whole of Doncaster would support the mini-Budget. I have not heard him say that today. As the hawks of the right-wing press circle over the Prime Minister, let us not forget that they were the loudest cheerleaders for this mini-Budget. The day after the statement, the Daily Mail proclaimed, “At last! A true Tory Budget”. The Express was equally triumphant—“Big tax cuts to herald new era”.
Does my hon. Friend agree that the then Chancellor was carrying out what the Prime Minister had said she would do? She made sure that he lost his job, but she should be the one taking responsibility and, indeed, resigning.
I could not agree more. The right hon. Member for Spelthorne (Kwasi Kwarteng) is the first politician in history to have had to resign for doing what he said he was going to do, which was precisely what the Prime Minister said she was going to do. The mini-Budget was born of the recklessness of the previous Prime Minister having pursued so much, so confidently, with so little evidence.
Make no mistake: I will spend every day between now and a general election making sure that the people of Chesterfield know that the higher interest rates, the tax rises, the cuts to our threadbare services and even, shamefully, the prospect of disabled people on benefits and impoverished pensioners suffering further cuts to their real-terms income, are all the result of this arrogant recklessness. This did not need to happen. Yes, there are global issues, but the central banks in America and Germany did not have to bail out the pension funds. Of course we welcome the fact that the Government have undone some of the measures, although it was bizarre to hear the Chancellor say on Monday how pleased he was that Labour were supporting his plans. They were our plans a few weeks ago! Now, the Tory Government see it as a success that they are trying to put out the fire that they lit in the first place, but the damage has already been done.
The logical call for a windfall tax made by my hon. Friend the Member for Leeds West (Rachel Reeves) continues to be rejected. What objection do the Government have to asking the energy generators to contribute some of their vast excess profits to help to fund the cost of ensuring that people can stay warm this winter and enabling businesses to keep their doors open?
We have had more than 12 years of a failing Conservative Government, and I will outline some of those failures. There has been a drastic rise in food bank dependency, and the Government appear to think that is acceptable and should continue to exist in our society. I say no, that should not happen, and I know Labour Members agree with that. Child poverty is very prevalent. Children in my constituency are going hungry, some both in the mornings and at lunchtime because their parents do not have enough money to feed them breakfast and give them lunch. Universal credit does not go far enough, and the very least the Government could do is ensure that it increases in line with inflation. The Government have carried out cut after cut to our public services. Those cuts affect the quality of people’s lives every day, because services are no longer in existence, and charities do not have the support they need to carry out those vital services.
While the roll-out of the vaccine is to be commended—let me say again how great the NHS was in rolling out that vaccine, as it continues to do, and acknowledge our key workers—even under the previous Prime Minister the economy was mismanaged. Many self-employed people were left to fend for themselves during the pandemic, and millions, even billions of pounds were written off by the Government. The UK has recovered more slowly than any other G7 country.
For the recent Prime Minister and her Government it is even harder to know where to begin. In light of what is happening globally, the mini-Budget was supposed to help, but instead it was an act of economic self-sabotage. How on earth did the Prime Minister and her then Chancellor fail to see that large unfunded tax cuts would not work? What we saw was high inflation, the devaluing of the pound, pension funds plummeting and mortgage rates being hiked.
The consequences of the crisis were made entirely in Downing Street. In years to come, the cost will be paid by millions of working people. The Prime Minister and the Chancellor have now admitted that the mini Budget caused mortgage rates to go up and borrowing costs to surge. Nearly 10,000 households in the borough of Lewisham will face higher mortgage rates in 2023, and the situation for renters is no better.
Earlier this week, I raised the case of my constituent who was forced to leave an abusive marriage. She works and has children, and she could barely afford her private rent. She was already on universal credit. To make matters worse, her rent recently increased by £300. She simply cannot afford that. Other constituents are experiencing similar things. One shares a house and has since seen their rent rise by £600. They, too, cannot afford that. Are the Government saying that it is okay for people to fall into debt and that the everyday person has to accept the situation? It is not right.
Many parents across the country are struggling to feed their children. In fact, 26% of households with children have experienced food insecurity in the past month. Instead of the Government focusing their efforts on helping struggling families, they have lifted the cap on bankers’ bonuses. How can the Conservatives say that theirs is a party of fiscal responsibility when they hold the management of the economy in scant regard?
The Government have seen four Chancellors in the last 107 days. They need to stand aside. Labour will restore financial responsibility for the country with a serious plan for growth that puts people first. The next Labour Government will establish a great British energy company, because we are committed to lowering bills, protecting the environment and creating jobs. Labour will also introduce a new deal to boost job security, promote fairer pay and tackle the gender and ethnic minority pay gaps. The price of the Tory Government is already far too high to pay.
The Prime Minister says that she is a democrat. If she is, it is vital that we have a general election now.
(3 years, 5 months ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
I beg to move,
That this House has considered cost of living support for young people.
It is a pleasure to serve under your chairship this afternoon, Ms Ali.
This debate could not come at a more important time, as everyone’s bills are skyrocketing, the cost of food and other basic items seems to be increasing exponentially, and our country’s Government are in utter turmoil. Young people across Britain, who have had to live through the pandemic, are now faced with a cost of living catastrophe. In north-east Leeds, young people are facing the huge impacts of the crisis, with 6,712 16 to 24-year-olds on universal credit. Of those, 32% are in work. It is shameful that the Government have still not committed to increasing universal credit in line with inflation.
I thank my hon. Friend for securing the debate. He is talking about the point that I want to mention: the Government really should be increasing universal credit in line with inflation. Many young people and children in my constituency are having to go without breakfast and, in some cases, without lunch as well. No Child Left Behind recently said that 26% of households experience food insecurity. Does my hon. Friend agree that that is absolutely wrong?
I thank my hon. Friend for her intervention, because I am just about to describe what a difference it makes to increase universal credit in line with inflation, rather than in line with wages. Her point is very well made indeed. If universal credit rose in line with wages, young people in my constituency and throughout the country—
(3 years, 5 months ago)
Commons ChamberUrgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.
Each Urgent Question requires a Government Minister to give a response on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
If I may respectfully say so, that is nonsense. The tax reductions, including those that the hon. Gentleman voted for last night, apply to everybody in work earning more than £12,570 a year. The national insurance cut and the cut to the basic rate of income tax are tax cuts for everybody, rich and poor alike. The increases in the threshold disproportionately benefit people on lower incomes, and the people on the very lowest incomes now do not pay any national insurance or tax at all. Again, the significant increases that we have seen in the national minimum wage from £5.93 an hour under Labour to £9.50 an hour now most benefit people on low incomes. The Government stand on the side of people on lower wages but doing the right thing by working.
I thank the Minister for his attempts to reassure the UK economy, even though they are simply not working. Does the Minister agree with the former chief adviser to the Bank of England, who said that because of this Budget we can “say goodbye to growth”?
(4 years, 6 months ago)
Commons ChamberWe have heard—mainly from Opposition Members—about the grave issues with and concerns about this NHS tax, which will be detrimental and cause more hardship, especially to young people and poorer people in our society. We have heard about the cuts to local authorities and universal credit, and now the increase in national insurance, which will hit poorer people in our society. How can that be right?
Let me turn my focus to the Government’s progressing efforts to privatise the NHS. NHS privatisation has been a creeping threat for the past decade. The Government make a song and dance about valuing the NHS every election time. This includes their broken promises to build 40 new hospitals and to spend £350 million on the NHS every week if we left the European Union. The Prime Minister has consistently pulled the wool over the trusting public’s eyes, abusing their loyalty to the country’s most beloved asset. He is fixated on the pandemic, yet somehow the Government seem to have amnesia. There were extensive waiting lists at record high levels even before the pandemic. Those levels are even higher now. The Tories cut 17,000 beds from the NHS before the pandemic struck. The way that the Government are betraying and misleading the nation is astonishing.
Two constituents recently wrote to me about their dismay at the way in which the Government are dismantling the health service, and I have to agree. The Government have exploited the chaos of the pandemic to advance their agenda of privatisation with minimal public knowledge. There has been more outsourcing of NHS services to private companies. Public money is spent on contracts, rather than being spent directly on the NHS.
Should the Health and Care Bill pass as written, in April we will enter a new phase, where the NHS will be broken down into dozens of smaller units that will have private companies on their boards, including American health insurance companies seeking only profit. The deputy chair of the British Medical Association wrote last year:
“rather than finding a moment of clarity in this crisis to reinvest in a publicly provided health service and build for a better future, the Government has doubled down on its failures, choosing to throw huge amounts of money at scores of private firms…rather than rebuilding the health and care system and empowering those with the greatest expertise.”
What we are left with is a fragmented healthcare system that is a skeleton of what it once was, with workers underpaid and exhausted, and social care neglected.
Now the Prime Minister wants all taxpayers, including the most financially insecure, to pay for his mistakes—this Government’s mistakes. It is shameful. It is a betrayal of the NHS and a betrayal of the British people, and it is something that the Opposition will certainly not accept.
(4 years, 11 months ago)
Commons ChamberYes, that is one of the recommendations in the report and it is clear from what it says that trust and fairness are key issues for ethnic minority communities, particularly when it comes to policing, as my hon. Friend has just highlighted. I understand that my right hon. Friend the Minister for Crime and Policing is already engaging with the commission to discuss its recommendations in that regard and I welcome his early initiative in doing so.
…to address structural inequalities of race and ethnicity in the social security system.
I am afraid that I did not hear most of the question. If the hon. Lady writes to me, I shall send her a comprehensive response in a letter.
(5 years ago)
Commons ChamberI am grateful to the Scottish National party for organising this debate on an issue on which we share common ground in our anger and grief. My constituency of Lewisham East represents and embraces our diverse global communities, including those from EU countries. We campaigned to remain and we voted to remain, and there is strong support for working closely and collaboratively with our EU neighbours.
Labour and the SNP share common frustrations about how the Conservatives have added insult to injury by tearing us out of the EU and then making major errors in handling the aftermath. We were promised a booming future in trade after Brexit; instead, recent data shows that Britain’s exports to the EU have fallen by a staggering 39%. Our imports from the EU have fallen by 16% as we await import controls. Business leaders question their future as they see an exodus of foreign workers.
All those elements have a negative impact on our economy at a time when it is already struggling because of the pandemic. This means that there is less bread and butter on the table for many people and families up and down our country. The future is bleak: the latest figures from the Office for Budget Responsibility indicate that every UK household could lose £3,600 as a result of Brexit. I hope the Government are listening. Brexit will cause a deeper economic crisis than we have ever faced. It is time that the Government woke up and smelled the coffee. In particular, the crisis will affect low-wage earners and those on benefits. What is the Government’s response?
Although some of us are keen to have a close relationship with our European neighbours, Lord Frost and the Prime Minister seem intent on provoking them. The disgraceful shambles in respect of the Northern Ireland protocol showed the Government’s arrogance when it comes to respecting international law. By breaching the terms of the protocol and refusing to back down, we have provoked the EU27 to take legal action against us. I say to our EU friends listening to the debate, this Tory Government do not represent how the Labour party would behave in government.
As I said in my speech earlier today, I believe in nations collaborating to achieve greater things. That is why I oppose the break-up of the United Kingdom. The ideology of the SNP, prioritising sovereignty over unity, is a continuation of the nationalistic ideology that caused this miserable EU separation. I hope that in discussions about the break-up of Unions, hon. Members will look for common ground, rather than areas of difference.
(5 years, 6 months ago)
Commons ChamberMy right hon. Friend is absolutely right and I am grateful to her for her instruction on the fiscal maths that we are grappling with! As we move our way through this crisis, the nature of our response has to change. It is simply not sustainable or affordable to continue to provide the level of support that we gave at the beginning of this crisis. That is why our support is now targeted and focused on where it can make the most difference. That will mean that we cannot do absolutely everything that everybody needs at once, but we will be able to focus it on where it can make the most difference, so that, as quickly as possible, we can get our economy growing again and ensure that the maths my right hon. Friend outlined starts to work in our favour. We cannot borrow at this level forever. We must get our borrowing back under control and eventually get our debt falling again.
I welcome the Chancellor’s statement. Almost 700,000 people lost their jobs between March and July. What is the Government doing to support these people, because the use of food banks has in some cases tripled? What will the Government do to support those who will lose their jobs in the months to come, to help them during any period of unemployment, and to get them back into work as quickly as possible?
(6 years ago)
Commons ChamberIf those businesses are already receiving small business rate relief, that will be known to the local authorities, which will shortly be writing to them to request their financial details so that they can process the grant payments. If businesses have not heard in short order, they can get in touch with their local authorities.
Food banks are used by 1.6 million people, 250,000 more than the number indicated by the previous year’s data, and the demand will increase. Food banks rely on the surplus from supermarkets, and on people’s food donations. What is the Chancellor’s contingency plan to address this very serious issue?
My right hon. Friend the Environment Secretary is engaging actively with supermarkets to make sure that all aspects of our food supply are secure, including deliveries and ensuring that everyone receives the food that they need during this time.
(6 years, 5 months ago)
Commons ChamberThat was a cruel blow for my right hon. Friend, Mr Speaker, if I may say so.
In answer to the hon. Lady’s question, the House will I am sure rejoice that between 2010 and 2019 the personal allowance has been increased by more than 90%, so that those on the lowest incomes do not pay any income tax, and since 2015-16 alone 1.74 million people have been taken out of income tax altogether. We will publish a full distributional analysis of the recent spending round alongside the next Budget, and it will also capture the effect of any budgetary announcements made at that time.
Can the Minister explain how it is fair that a small handful at the very top have run into the distance, making up the top 10% of the population and owning 44% of the nation’s wealth?
The hon. Lady may not be aware that at the moment the top 1% of the country pay 29% of all tax. That is up from the 25% in 2010-11.