Cost of Living Increases Debate

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Department: HM Treasury

Cost of Living Increases

Rosie Winterton Excerpts
Monday 24th January 2022

(2 years, 3 months ago)

Commons Chamber
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Robin Millar Portrait Robin Millar
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To the point about opinion being divided, I refer the hon. Gentleman to a survey on 25 November from north of the border in which 13 different policy options were presented. He is correct that the economy and jobs are important, as they came third in that ranking. The issue of independence—

Rosie Winterton Portrait Madam Deputy Speaker (Dame Rosie Winterton)
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Order. Interventions must be brief. We have a lot of Members who wish to speak and I will have to put a time limit on almost immediately.

Tommy Sheppard Portrait Tommy Sheppard
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I conclude by saying that it is a complete deceit to criticise the Scottish Government for not doing something that the House actively prevents them from doing. The simple way to test the truth of that is to let Scotland become an independent country, which is what people voted for at the last election in Scotland. Let them have that choice and, when it comes, we will put before the people a complete proposition that will answer all the questions that the hon. Member for Moray wants and many more. I believe they will choose a different way, an alternative way, of running their economy than what we get from this Tory Government.

None Portrait Several hon. Members rose—
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Rosie Winterton Portrait Madam Deputy Speaker
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Order. I am sorry, but as I said, I will have to put a time limit of six minutes on speeches; otherwise, people are not going to get in. I have been able to warn the hon. Member for West Aberdeenshire and Kincardine (Andrew Bowie) about that.

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None Portrait Several hon. Members rose—
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Rosie Winterton Portrait Madam Deputy Speaker (Dame Rosie Winterton)
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Due to interventions, which obviously give others extra time, I am afraid that after the next speaker I will reduce the time limit to five minutes.

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None Portrait Several hon. Members rose—
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Rosie Winterton Portrait Madam Deputy Speaker (Dame Rosie Winterton)
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I am afraid that I will have to reduce the time limit to four minutes. I have been able to warn the next speaker, Christine Jardine.

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Allan Dorans Portrait Allan Dorans (Ayr, Carrick and Cumnock) (SNP)
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The rise in the consumer prices index will disproportionately affect those already facing pressure on disposable income. The rise will affect low-income families, including the disabled, the long-term sick, the unemployed and those on a low fixed income with no prospect of overtime or salary increases, who on average spend a larger proportion of their income on energy costs and food and will therefore be more affected by the price increases.

I make specific mention of the 3.8 million women born in the 1950s who were cruelly robbed of their pensions by the Government, who are still being unfairly denied full restitution for their loss and who continue to suffer an appalling injustice. I also mention the 3 million people, mainly self-employed and directors of small limited companies, whom the Chancellor callously excluded from any financial support during a pandemic.

There is sadly another, perhaps less reported consequence of inflation: an increase in crime. In 2014 Professor Richard Rosenfeld, an American criminologist, concluded:

“Inflation is the most powerful economic predictor of crime.”

I have several examples from research data to prove that case, but time prevents me from explaining them. I am not suggesting that everybody in financial difficulties, poverty or debt will resort to theft or other crime to make ends meet, pay their bills or feed their families, but unfortunately we too often hear anecdotal stories of parents arrested for shoplifting essential items such as baby formula, nappies and food that will enable their families to survive.

While it is impossible to predict how much crime will increase, history tells us that if inflation continues to increase, crime will also inevitably do so. Therefore, to mitigate the effects of a predicted increase in all crime, which will put pressure on our already overworked police, courts, prison, probation, social work, women’s aid and other support services in the criminal justice system, it is essential that the Government provide further immediate financial support for those services. Not to do so now would be negligent in the extreme. I also urge the Government to take steps to reduce those levels of poverty and spiralling debt in the rest of the United Kingdom by introducing measures such as we have in Scotland, including the game-changing £20 child payment, the 1,140 hours of free childcare a year for eligible children, free prescriptions, free sanitary products for women and girls, free bus travel across the country for everyone over 60 and the disabled—briefly expanded to include young people between the ages of five and 21— and free university tuition in our world-class universities for our young people.

I suggest that savings could be made by not renewing weapons of mass destruction on the Clyde, currently estimated at £205 billion. Spending could be stopped on vanity projects, including the new royal yacht, or on the refurbishment of Buckingham Palace, estimated at £360 million. There was also the shambolic process that resulted in the loss of £4.3 billion to fraud during the pandemic being written off by the Chancellor.

With independence, we could keep crime levels at least where they are, if not further reduce them, by gathering revenue from the massive energy production soon to power all the UK’s 30 million or so homes. More importantly, as an independent country in the European Union, we would have full control of our economic levers, which would help to control inflation and deliver a more equal, progressive and prosperous—