Budget Resolutions and Economic Situation

Neil Parish Excerpts

Tuesday 9th March 2021 Commons Chamber

[Neil Parish (Tiverton and Honiton) (Con) [V]]

I start by thanking the Chancellor and the Treasury team for the support they have provided throughout the pandemic, which is rightly continuing this year as we look to recover from the pandemic. In particular, I am grateful for the new self-employment grant scheme, which will allow more than 600,000 people who became newly self-employed last year to access support, because they have really struggled. I have heard from hairdressers, driving instructors and tutors in my constituency who will benefit directly from that grant money. I also strongly welcome the restart grants of up to £18,000, which will help businesses to get going again, along with the 100% business rates holiday and the extension of the VAT cut to 5%. Cutting these taxes and providing cash boosts will help the many tourism and hospitality businesses, including hotels, pubs, caravan parks and wedding venues across my constituency, to recover.



In addition, I want to thank the Chancellor and the Work and Pensions Secretary for extending the universal credit uplift by six months. Although we have done so much to protect jobs throughout the crisis, there are still millions who will be relying on universal credit this year. We need to make sure we continue to properly support the vulnerable in our society. This pandemic has caused a lot of financial hardship too, and it is right that we reduce and spread the financial burden as much as possible.

As we build back better from the coronavirus, I, like the Prime Minister, want to see a green industrial revolution so that we use this opportunity to make positive changes to our economy. The new super deduction will allow companies to cut their tax bills by up to 25p for every £1 they invest in new machinery over the next two years, bringing forward capital investment and replacing older, dirtier machines with newer, more efficient ones. This is worth around £25 billion to UK companies and will kickstart an investment-led recovery.

I would be grateful, however, if the Minister on the Front Bench today could put forward my suggestion that new fishing boats qualify for that tax cut. Many of our fishing boats in the south-west are built in the north of England, so reducing taxation on new boats would help to create more jobs across the country, improving our fleets, saving on emissions and improving the safety of our fishermen at sea. This policy would be a win-win for our economy, much like the green homes grant that I believe will be extended and fully funded on a multiannual basis. If done properly, the green homes grant will deliver insulated homes, create skilled jobs, reduce heating emissions and save on household bills. So I urge the Minister to take that policy forward and create a green revolution not just for this year because we are hosting COP26, but for the next decade as we recover from covid-19 and work towards net zero.