Budget Resolutions

Karen Lee Excerpts
Tuesday 30th October 2018

(5 years, 6 months ago)

Commons Chamber
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John McDonnell Portrait John McDonnell
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I respect the right hon. Gentleman’s views on Brexit because I campaigned for remain as well, but it behoves any Liberal Democrat to come to this House with a bit of humility after serving with a Tory Administration that savaged our public services.

Let me look at some of the elements of human suffering. Health workers are having to cope with the biggest financial squeeze in the NHS’s history.

Karen Lee Portrait Karen Lee (Lincoln) (Lab)
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Does my right hon. Friend agree that we must reinstate nursing bursaries if we are to see the number of nurses we need in our NHS?

John McDonnell Portrait John McDonnell
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That is an essential element of the reconstruction that Labour will have to do when we come to power.

The Institute for Fiscal Studies said that a rise in health spending of 3.3% was needed just to maintain the current stretched service, and that at least 4% was needed to improve it. Instead, according to the Nuffield Trust, what we got amounts to just a 2.7% increase in overall health spending in real terms next year.

Police officers have seen 21,000 of their colleagues’ jobs cut since 2010. As a result, violent crime is on the rise. The independent police watchdog is warning that

“the lives of vulnerable people could be at risk.”

What did the police get yesterday? Some £160 million for counter-terrorism—far less than is needed—and not a penny more for neighbourhood policing. And that despite the head of counter-terrorism warning that counter-terrorism work relies on regular policing being properly funded.

Teachers’ pay has fallen by 4% since 2011 and the schools budget has been cut by £3 billion in real terms. Some 36,000 teachers have left the profession in a year —the highest since records began.

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Karen Lee Portrait Karen Lee (Lincoln) (Lab)
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Austerity has been inflicted on the UK for the past eight years. Austerity was, and still is, an ideological and political choice. The absolute truth that we cannot get away from is that true austerity would not have allowed for further tax cuts for the wealthy, while the rest of us bear the burden. We do not hear a lot about those tax cuts from Government Members.

The Government were lying to us when they said that austerity was a necessity, and they are lying to us now when they say that it is over. Tax cuts costing £2.8 billion will benefit high-income households at the same time as we see a cash freeze on working-age benefits. The idea that this Government are strong and stable on the economy is ridiculous. The economy they have presided over for eight years is one of low investment, low growth and low pay. After eight years, economic productivity is on its knees, local government is at breaking point and the cuts are not forecast to end any time soon. Calling this Budget the end of austerity is a mockery of those who have taken the brunt of the cuts over the past eight years.

I am very concerned that no extra funding has been provided for regular policing, because the cuts to policing budgets have hit Lincolnshire hard. I am also worried that three quarters of the £12 billion of welfare cuts announced after the 2015 election remain in place. It is not tinkering around the edges of income thresholds that will address the callous and chaotic roll-out of universal credit in my constituency of Lincoln. Proper funding and a route out of poverty are needed. I hope that the links between poverty and ill health need no explanation. It is a national disgrace that, thanks to this Budget, food banks will remain a feature of our society.

Under this Government, the NHS has experienced the slowest spending growth in its history. After eight years in which NHS budget increases have averaged just 1.4%, the Government’s 3.4% increase is, to quote the Health Foundation, “simply not enough”. This Budget will barely keep our NHS afloat, let alone reverse eight years of neglect. As a nurse, I saw at first hand the appalling damage the Government have done to our health services. I get fed up with hearing people say how good our health workers are and, “Let’s give them a pat on the back.” Actually, let’s pay them properly, because they cannot spend a patronising pat on the back; they cannot pay their rent with it or buy food with it.

An estimated 4.3 million people are on NHS waiting lists and last year 2.5 million people waited four hours or longer in A&E. With 41,000 nursing vacancies in the NHS in England and more nurses leaving the profession than joining it—some of them are my friends—the Government must reinstate nursing bursaries to reverse the 32% drop in applications since they were scrapped in 2016. I support nursing apprenticeships, but they are not delivering the numbers. We have to reinstate bursaries if we want the numbers. It is all right saying that we will fund however many places, but we have to train those nurses and we have to give them the money to be able to afford to train. I know; I have been there. I remind the House how expensive the current reliance on agency nurses is. That expense is coming out of the public purse. It just makes no sense not to have bursaries and trained nurses.

The insufficient funding increase for the NHS is further undermined by the Government’s disregard for public health services. Public health budgets have decreased by 5.2% since 2014. Those cuts have consequences for our local communities; 85% of councils are planning to reduce their public health budgets this financial year.

The Government have been similarly short-sighted in slashing funding for social care, which has been cut by an estimated £7 billion since the Tories came to power. While the Chancellor allocated an increase to social care grants, that will not close the social care funding gap, which could be over £2 billion by 2020. Age UK estimates that 1.4 million older people do not have access to the care and support they need.

In conclusion, I welcome the Government’s commitment to increase mental health funding by £2 billion, but the Institute for Public Policy Research estimates that double this amount is needed to achieve true parity of esteem between mental and physical health. That sum is meaningless; it is simply not enough. With one in four of us experiencing a mental health problem each year, there is no excuse for the Government’s half-hearted approach. The Government’s cuts to mental health, social care and public health also drive demand for NHS use, creating a bleak cycle in which underfunding places further strain on staff and service delivery. I know that; I have been there first hand.

This Budget shows that austerity is part of the Conservatives’ political ideology and make-up; it is central to their small state, low public investment approach to managing the economy. We should not expect anything other than austerity while we have this Government. To truly end austerity, we need a general election and a Labour Government, and we on this side of the House say, “Bring it on.”