Cost of Living Increases

Peter Dowd Excerpts

Tuesday 25th April 2023 Commons Chamber

[Peter Dowd (Bootle) (Lab)]

Listening to the Minister, I get the distinct impression that Labour’s Front Benchers and Labour colleagues more generally are simply making things up; it is as though the cost of living crisis does not exist. But I know that the cost of living crisis is getting worse as the days go by and that it is becoming increasingly difficult for people to afford even the most basic consumables. I am sure that the Minister can afford to pay attention to this, even if he cannot afford much else under his Government’s mess. I did expect a bit more originality from him in explaining away the crisis. It is now getting pretty tedious listening to the same old claptrap about global headwinds, international disruption, the impact of the war in Ukraine, supply line challenges due to this or that, or the covid landscape.

There was no mention of the Government’s part in the debacle. The Government—not a Cameron Government, not a May Government, not a Johnson Government, not a Truss Government, not even a Sunak Government, but a Tory Government—have been in office for 13 years. I know that it feels much longer than 13 years, but does the Minister grasp that at all? He seems to think that the previous four Administrations have nothing to do with the current Administration. Well, I have a bit of unwelcome news for him: they do.

The Minister may be surprised to learn that we have had seven Chancellors of the Exchequer since 2010, which is, on average, about one every two years. If we put the six-year chancellorship of George Osborne aside, we have had, on average, a new Tory Chancellor every 12 months. The Minister may be even more surprised to find out that they have all been Tory Chancellors—yes, all seven of them. In fact, I will let him into a little secret: the current Prime Minister used to be one of them.

Does the Minister not think that such lack of continuity, on top of the general incompetence, may have had a bearing on the current parlous state of the economy? Does he not think that such an environment of chaos has had a bearing on the cost of living crisis? Does he seriously expect us to believe that the Government’s actions have made things better? Does he seriously expect us to swallow the narrative that all this financial, fiscal and economic entropy was foisted on an otherwise competent coterie of Tory Chancellors who happened to be in the wrong place at the wrong time over a period of 13 years?

Between them, that list of failed Chancellors broke their own fiscal rules at least 11 times, if I recall rightly. Has that not had anything to do with the current cost of living crisis? Have cutting housing benefit, bringing in the bedroom tax, freezing child benefit and making changes to tax credit not had a bearing on the cost of living crisis? What about the 10-year virtual freeze in public sector pay? How about the cuts to schools or the justice system? It goes on and on, but the Government will take no responsibility whatsoever for it.

What about the issue of debt? The Minister should be unsurprised to learn that Tory Governments have been responsible for the bulk of all Government debt—a debt currently standing at £2.5 trillion. They claim to be the party of sound finance, but they are not. They have managed to pay back 0.5% of all the money they have borrowed. They say they are the party of economic confidence. That is a joke.