Spending Review 2025

Lord Brooke of Alverthorpe Excerpts

Thursday 12th June 2025 Lords Chamber

[Captain of the King’s Bodyguard of the Yeomen of the Guard and Deputy Chief Whip (Baroness Wheeler) (Lab)]

I am sorry, but it is the turn of the Labour Benches.

[Lord Brooke of Alverthorpe (Lab)]

My Lords, I join the House in wishing the Minister a very happy birthday and many more of them ahead. I too welcome yesterday’s Statement. We feel as if we are turning the corner and starting to take a longer view, which we have not had expressed by politicians for quite some time. It is true that there are risks for us and, given the instability in the world, it is desirous that we are not too inflexible about how we look to change our minds as needs require it when circumstances change. I do not like to see us digging in too firmly in saying that we will not change this or that when circumstances may force it.

In looking at our tax system, investment is one of the ways in which we will see progress be made, and Statements will be made on that very shortly. One of the things the Government—and, indeed, all parties—ought to look at is the way we try to maximise opportunities for raising funds. It is high time that council tax was subject to a review. It is way out of touch with reality and is now being run very unfairly. I suggest to the Government that, as they look at wider tax reform, they look in particular at council tax and at changes to make it fairer and more productive in paying for these investments.

[Lord Livermore (Lab)]

I agree very much with what my noble friend said to begin with about uncertainty. I think he was talking about the increasing global headwinds we face as a country when it comes to the economy and about the importance of stability; I completely agree with him. The IMF, for example, in its most recent report when it upgraded its forecasts for the UK economy, said that our fiscal strategy is striking a

“good balance between supporting growth and safeguarding fiscal sustainability”,

and that our

“Growth Mission focuses on the right areas to lift productivity”.

On spending, it concluded that our plans are “credible and growth-friendly”, and

“are expected to provide an economic boost over the medium term”.

I am afraid that I do not agree with the points my noble friend made on council tax towards the end of his question.