Budget Resolutions and Economic Situation

Debate between Mark Hendrick and Rosie Winterton

Thursday 16th March 2023 Commons Chamber

[Sir Mark Hendrick (Preston) (Lab/Co-op)]

I start by apologising for being slightly late for the debate and I appreciate your indulgence, Madam Deputy Speaker, in allowing me to take part. I also extend my congratulations to my hon. Friend the Member for West Lancashire (Ashley Dalton) on an excellent maiden speech. I am sure she will make a major contribution to the House in her time here.

In the short time available, I will focus on energy. In January 2022, the Labour party urged the Government to introduce a windfall tax on oil and gas producers. The Government copied the policy to some extent, although they changed the name to the energy profits levy, and effectively implemented it from May 2020. The tax on what were becoming record profits was limited to 25%, but the tax rate introduced for companies producing renewable energy was set at 45% because of their much larger percentage profits. Although I agree that those profits should be taxed, the large difference between the levy on oil and gas revenues and on renewable energy source revenues makes it seem like the Government are applying higher taxation on companies for their good behaviour.

In the Budget, the Government have provided for a three-month extension of the energy price guarantee, which limits typical bills to £2,500 at a cost of £3 billion. Although that is good for the consumer, it effectively subsidises energy production with taxpayers’ money and it still allows energy companies to retain huge profits. In 2022, Shell reported profits of £32.2 billion—the highest in its 115-year history—and BP made profits of £23 billion in the same year, up from £10.6 billion. Those are grotesque figures that make millionaires and billionaires even richer while my constituents, and those of many other hon. Members, struggle to put food on the table and pay their mortgages, and nurses have to go to food banks to feed their families.

I welcome the commitments in the Budget to renewable energy and to carbon capture and storage. I am glad to hear that Great British Nuclear will be formed immediately with a mandate to run a so-called down-selection process for small modular reactors. The Government will match fund a proportion of private investment, but they have not specified whether the winners will be guaranteed orders or sites. Details of the selection process are expected at the end of March, but no firm date has been given. It has not been specified how many technologies will be chosen, and whether this will be open just to light water designs or to advanced nuclear designs, such as Newcleo’s lead-cooled fast nuclear reactors. Advanced modular reactor technology represents the next step in nuclear technologies beyond recent small modular reactors. These reactors will burn plutonium, which is a waste product, and Newcleo is offering to invest in them from private funding without recourse to public funding. It is a win-win situation for the UK, and I believe Great British Nuclear must take these new advanced reactors seriously.

I would also like to speak about artificial intelligence. On a positive note, as a vice-chair of the all-party parliamentary group on artificial intelligence, I welcome the Government’s announcement of £900 million for a new supercomputer facility to help the UK’s AI industry. AI technology will revolutionise the way we live, work and play. It is vital for the UK’s future that we develop it as much as possible for the benefit of ordinary people, not just to make money for rich corporations at the expense of poor people in this country.

As a final point, I am a little bit bemused that the Government’s Budget did not include help for social enterprises and co-operatives. I know the Government have co-operated on my private Member’s Bill—it is now in the House of Lords—which I welcome, but I had hoped there would be some support for co-operatives and mutuals in this year’s Budget.

[Madam Deputy Speaker (Dame Rosie Winterton)]

I call the shadow Business Secretary.

Telecommunications Infrastructure (Leasehold Property) Bill

Debate between Mark Hendrick and Rosie Winterton

Report stage & 3rd reading & 3rd reading: House of Commons & Report stage: House of Commons
Tuesday 10th March 2020 Commons Chamber

[Sir Mark Hendrick]

rose—

[Madam Deputy Speaker (Dame Rosie Winterton)]

Order. A point of order should go through the Chair. It is either an intervention or a point of order; it cannot be both.

[Madam Deputy Speaker]

I thank the right hon. Gentleman for his point of order. I hope that Members will not interrupt the debate with too many points of order. I am sure that the hon. Member for Preston (Sir Mark Hendrick) is clear that if there were any need to make a declaration, I would expect him to do so.

[Sir Mark Hendrick]

Yes, I was about to do so, Madam Deputy Speaker. I have consulted the Speaker’s Office—as it will confirm—and checked this point, and I wish to declare a visit to the Huawei factory 10 years ago.

--- Later in debate ---

[Madam Deputy Speaker]

I thank the hon. Gentleman for that point of order. As I have said, I am sure that the hon. Member for Preston will make any declarations necessary, and I hope that he has sought advice on the issue.

[Sir Mark Hendrick]

I have written to every Member in this House inviting them to the reception next week, but it is not a declarable interest.

If there are no more points of order, may I just ask the shadow Minister why she does not feel that it is appropriate to take the outlined course of action, given the evidence from GCHQ and the NCSC about Huawei’s limited role and the management of risk?