Stamp Duty Land Tax

Debate between Rebecca Smith and Antonia Bance

Tuesday 28th October 2025 Commons Chamber

[Antonia Bance]

I am speaking today about the other part of the motion before us—the part about the unspecified cuts that would pay for the tax cut—and the implications of that. As the hon. Gentleman would expect of a responsible member of my party, I am not going to speculate with plans about how we fund things for which there is no plan.

Going back to the record of austerity—remembering that austerity cost and took out of our economy less than the Conservatives propose taking out in their motion today—it left the bottom fifth of households £517 poorer, while the top fifth gained £174. Austerity did not just deepen inequality; it entrenched it. It led to the longest pay squeeze in 200 years, with growth anaemic, productivity absolutely flatlined and public investment slashed.

My friends at the TUC have worked out—[Interruption.] Yes, they are my friends. I was proud to represent millions of working people. Conservative Members speak about those working people with disdain, but it was an honour to represent them in their workplace and negotiate for better wages on their behalf. Good Conservatives in the past used to understand social partnership and the importance of responsibility and working with workers and bosses to get the best outcome; it is a shame those lessons have been forgotten, with the baying calls of the mob at the mention of trade unions. My friends at the TUC have worked out that if wages had risen in the past decade by the amount by which they rose between 1997 and 2010, the average worker in my constituency would be £93 a week better off—that is nearly five grand a year more in people’s pockets. Instead, we got the longest pay squeeze in 200 years.

[Rebecca Smith]

I am just perplexed as to where the hon. Lady is going with this. Ultimately, the statistics that she has just quoted would have saved her constituents £5,000, but if the Government do not scrap stamp duty, anybody who aspired to buy a slightly bigger house with that increased income would not be able to afford to do so.

[Antonia Bance]

To be clear, the point that I am making is about the unspecified cuts referenced in the motion. I am talking about the implications from the last time the Conservatives made cuts of that magnitude. While it may be the case that getting rid of stamp duty would save some money for people in my constituency, where there is an average house price of £190,000, it would by no means have the impact that it would for people in richer constituencies in other parts of the country. The cuts that the Conservatives intend to make to pay for it would, however, hit people in my ends.

Despite all the pain of those years of austerity, it failed to reduce public debt in any meaningful way. That is why our public services were on their knees and we face a mountain of debt that has built up over 14 long years.

Now compare that to our Labour Government, who are steadily and slowly delivering the change that this country needs. We are creating 5 million extra NHS appointments, and the number of people in my area waiting more than a year for the operation that they need is down 45%. Thanks to the investment from our Heath Secretary, crack teams are going into Dudley, Wolverhampton and Sandwell NHS trusts.

We secured three major trade deals in the first 10 months of our Government, and wages went up by more than they did in the first 10 years of the Conservative Government. We are putting in pride in place funding for communities that are hit the hardest, such as Friar Park in my constituency, and £39 billion of affordable housing funding is going to fund new social and affordable homes—the largest amount in a generation. I hope that 600 of those will be in my constituency.