Covid-19: Economic Impact of Lockdowns

Sheryll Murray Excerpts
Tuesday 29th November 2022

(1 year, 5 months ago)

Westminster Hall
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Sheryll Murray Portrait Mrs Sheryll Murray (in the Chair)
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The debate may continue until 4.9 pm.

Esther McVey Portrait Esther McVey (Tatton) (Con)
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I beg to move,

That this House has considered the economic impact of covid-19 lockdowns.

It is a pleasure to serve under your chairmanship, Mrs Murray, and to be able to debate the economic impact of covid-19 lockdowns, because so often during the pandemic we did not have the opportunity to question key decisions that were taken. In those early days of covid, much was done in a rush. Although it was understandable then, with the passing of time analysis needs to be done of the measures and decisions taken. No matter how painful and difficult the conversations will be, we need to have them. Open and frank conversations are made more difficult by the fact that the vast majority of MPs voted for continued lockdowns and most of the media was reluctant to question them.

Although everyone supported the first lockdown—March to June 2020—no one knew what we were confronting. As knowledge of covid and medical treatments grew, so should the debate have grown, particularly about subsequent lockdowns, but that was not the case. Prior to March 2020, how many of us had heard of the concept of lockdown? Blanket, stay-at-home policies were an unknown and unevidenced method of trying to control the virus.

Although lockdowns will have saved lives from the virus, many experts predicted from the start that they would also cost lives, through the unintended collateral damage they inflict. A Government report in July 2020 found that more than 200,000 lives could be lost due to lockdown. Well-rehearsed pandemic protocols, including those endorsed by the World Health Organisation and the Department of Health and Social Care had not previously recommended lockdowns because, quite simply, they are a blunt instrument.

In addition, it was felt that such drastic restrictions would not be tolerated by western democracies. As Professor Neil Ferguson infamously put it, after observing entire communities in China in lockdown,

“We couldn’t get away with it in Europe, we thought. And then Italy did it. And we realised we could.”

That poses a question. If people assumed that the UK population would not tolerate lockdowns, was messaging hardened and questions against lockdown not tolerated, in order to force compliance? We might never know the answer. Ongoing lockdowns were achieved, but at what price? Interestingly, only the other week, Andrew Gilligan, a former No. 10 adviser said on GB News that, looking back, the ongoing lockdowns were wrong, but politically we could not have got away with not doing them.

Why was that? How was an environment created in which even asking questions and providing alternative suggestions could get someone demonised? And those people were. I wrote an article for The Daily Telegraph in November 2020 saying, regretfully, that politicians had been guilty of a dereliction of duty. Instead of just listening to the one-dimensional approach of Public Health England and the scientists, they should have factored in all competing consequences. They did not and ploughed on, without questioning those other factors.

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Esther McVey Portrait Esther McVey
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I am a massive fan of small businesses, enterprise and those people creating wealth in their communities, and we will have to support them. Also, I will pause for a moment to reflect on all those small businesses that did not get support during the pandemic, which are known as Forgotten Ltd, and they also need support going forward. We again have to create a dynamic world and a dynamic UK for these private enterprises.

Vacancies are now at a record high as people elect to resign from the labour market, which is known as “the great resignation”, and because there are those other people who are now classed as being economically inactive. This is something that we could not have foreseen as we furloughed and closed the country down, but again it is a consequence of the lack of debate, probing and questioning at the time.

It is finally time to publish the much talked-about but still missing cost-benefit analysis that led to the nation being locked down, and to have full disclosure about the facts that were available. Let us review the list of experts on the Scientific Advisory Group for Emergencies, or SAGE, and on other advisory committees. Going forward, let us ensure that there is transparency about the members of these groups, as we have for MPs, such as their political affiliation and the financial support they receive.

All eyes are on the covid-19 inquiry for impartiality and a diverse range of experts to give evidence. We need integrity and clarity, and the policy of lockdown needs to be assessed honestly and fully. However, today I call on the Minister—the Economic Secretary to the Treasury, my hon. Friend the Member for Arundel and South Downs (Andrew Griffith)—to release the much-awaited cost-benefit analysis of lockdown.

Sheryll Murray Portrait Mrs Sheryll Murray (in the Chair)
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Before I call the next speaker, may I just apologise for the background hum? I understand that staff are trying to resolve it. In the meantime, however, if Members could speak very clearly, I think we can continue with the debate.

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Sheryll Murray Portrait Mrs Sheryll Murray (in the Chair)
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Order. The hon. Gentleman might want to keep within the confines of the motion that we are debating. This is about the economic impact of covid-19 lockdowns.

Chris Green Portrait Chris Green
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Absolutely, and the place I worked at, AstraZeneca, is a huge contributor to the British economy, not just through its manufacture of drugs, but through its research and development effort. The pharmaceutical sector is a vital part of the British economy. This goes broader than the big pharmaceutical companies, however. Smaller organisations, especially medical research charities, are an important part of the British life science sector. What did the disruption to their research effort mean? There are many rare medical conditions that need treatment. That research contributes to the economy, and the landscape in which the sector operates is a significant factor in our economy. If a lockdown disrupts medical research at an early stage, when the charity is raising money for research—perhaps recruiting a researcher and getting people on to clinical trials—it takes a long time for that medical research charity to regain those funds. Perhaps funds were raised through sporting events and other activities; that money has to be got back. They then have to recruit a researcher, or even a team of researchers, to look into getting the clinical trial started. There are many other aspects to it, too. The process takes a very long time.

The life expectancy lost due to the economic disruption has been mentioned. We should also think of the pharmaceutical and other products that would have been produced in that time. People’s life chances have been hindered because the medical progress that we would have made during that period was not achieved. If we look at all the different parts of our society, including the high streets and medical research, the disruption has been profound. This is partly about jobs when people leave school, but also about jobs in businesses and industries. We should also consider the life opportunities for people receiving medical treatment, and their ability to maintain their position in the workplace, which might be taken away if they do not get medical support.

At the beginning of covid and the lockdown, people did not realise or appreciate their impact. I think of what happened as a pulling on the thread of society, and the breaking of the bonds that bind us. Knitting them back together is challenging and difficult. It is expensive and takes a long time. In the meantime, the problems are difficult. I hope that my hon. Friend the Minister will reflect on that. In future such situations, whether the issue is covid or something else that has come along, I hope the Government will do a cost-benefit analysis, and will ask: if we need restrictions, what will that mean for all sectors of society?

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Chris Green Portrait Chris Green
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The hon. Lady is making a powerful argument. One of the points that has been raised, which is part of the broader debate, is that we saw what was happening in China and Italy. People in Britain were already voluntarily choosing to restrict their activities and restrict going into work—

Sheryll Murray Portrait Mrs Sheryll Murray (in the Chair)
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Order. I gently remind both speakers that we are talking about the economic impact of covid lockdowns. I also remind the hon. Lady that the shadow Minister and Minister have yet to speak, and I would like to allow at least a couple of minutes for the right hon. Member for Tatton (Esther McVey) to sum up. Please bear that in mind.

Patricia Gibson Portrait Patricia Gibson
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Thank you, Mrs Murray; I will curtail my comments. The hon. Member for Bolton West (Chris Green) has made his point, but we need to move on in the light of the comments from the Chair.

I do not think the hon. Gentleman used the name of the country, but Sweden took a different approach to lockdown. However, the House of Commons Library has done some work on the issue and has pointed out that, although there was reduced economic activity as a result of lockdown, as we would all expect, it is likely that had lockdown not been implemented—a number of Members have been critical of lockdown—people would probably have reduced their social contacts voluntarily anyway, as they did in Sweden.

We will never to what extent that may or may not have happened, and we cannot know how the virus would have evolved had we not had lockdown. We could have found ourselves in a different situation all together. People can say, “At the time, I knew this and I knew that,” but the reality is that we do not know what the outcome would have been if the Governments across the UK had taken an entirely different approach. The impact could have been even greater than that which we suffered.

Everybody understands the effect of lockdown on education, on social contact and—it has not been mentioned—on mental health, but we were faced with an unprecedented situation in which we had to act at speed and try to take the pressure off the NHS. The right hon. Member for East Antrim said that people who supported lockdown want to forget it and act like it did not happen, but we cannot forget the context in which we were living. It was a time of great uncertainty, great fear and lots of unknowables, and we had to respond. I know that a number of Members are attacking the Government, and it is not often that I defend them, but this is not about the Government. This is about public safety and public health.

Businesses have struggled through lockdown, which was considered necessary at the time, and many have managed to survive and cling on to their livelihoods. They are now going through another wave of unprecedented difficulties. If the Government do not offer additional long-term support to businesses on energy costs, the initial money they invested to keep businesses afloat will have been wasted, because the very idea of that investment was to save businesses and jobs—that is what the investment was for. If the energy support is not sufficient, those jobs will disappear anyway, so the initial funding during covid will have been to no purpose. I want the Minister to think about that and comment on it when summing up.

Abena Oppong-Asare Portrait Abena Oppong-Asare (Erith and Thamesmead) (Lab)
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It is a pleasure to serve under your chairship, Mrs Murray. I congratulate the right hon. Member for Tatton (Esther McVey) on securing the debate, and thank hon. Members for their contributions. I am glad we have the opportunity to discuss this issue; I agree with the right hon. Lady that we need to have these frank and difficult discussions. The pandemic had a deep financial, economic impact. It is important to think about the future, and how we can grow our economy and improve living standards.

I was elected in December 2019, before the pandemic hit. I then saw at close hand the impact on people’s livelihoods and wellbeing, and I know that people are still struggling. A lot has happened since covid-19 first reached the UK: not one, but two toppled Governments; two Prime Ministers; the scandal of Downing Street Christmas parties; and more than 50 people issued with fixed penalty notices, including the current Prime Minister.

I want to take us back to 2020. On 23 January, the Foreign Office advised against all but essential travel to Wuhan, China, the epicentre of the outbreak. The first case of covid-19 in the UK was confirmed on 30 January, with cases steadily rising over the following weeks. On 6 March, the then Prime Minister said, during a visit to a lab in Bedfordshire,

“It looks to me as though there will be a substantial period of disruption when we have to deal with this outbreak.”

It was not until 23 March that the Prime Minister announced a lockdown—the introduction of new restrictions on everyday life and travel. We know that the delay in taking that decision risked many lives, harmed our economy and prolonged the pain. For the next 16 months, the Government yo-yoed in and out of lockdowns and new restrictions, with much dither and delay.

Some members of the Government thought it might be best to let the virus rip. The result was unclear messaging, decisions taken too late, and a death rate that was too high. The Government were too slow to lock down in March 2020, too slow to protect our care homes, too slow to save jobs and businesses, and too slow to get protective equipment to the frontline.

In the summer of 2020, the Government ignored warnings about the second wave. In September, a circuit breaker was introduced, against scientific advice, followed by a longer lockdown a month later. As my hon. Friend the Member for Blackley and Broughton (Graham Stringer) mentioned, in December, when the scientific advice was that national lockdown was necessary, the Government dithered for nearly two weeks and ended up cancelling Christmas at the last minute.

The current Prime Minister, who was then Chancellor, was not even in the country at that point. The Government shut down the economy at the height of the festive period, and was nowhere to be seen. He had to fly back from his California home after business leaders demanded that he plan a financial support package, following the mixed messages from Government. That indecision cost lives and livelihoods.

I pay tribute to our fantastic NHS and social care workers, without whom we would have really struggled. Many put themselves in harm’s way to slow the speed of the virus. I also pay tribute to the British people, who rose to the challenge and came together as communities to protect the most vulnerable. It was a time of national solidarity—a shared effort to face a challenge that most of us had never experienced before.

The right hon. Member for Tatton referred to the Labour party. Throughout that period, the Labour party called for quicker decision making and measures to protect jobs and businesses. The Government could have been provided targeted support for the hardest-hit sectors, fixed sick pay and eased the burden of business rates, whether that was on high street businesses, arts venues, café or hairdressers. So many businesses suffered from the lack of clear communication and decisive action.

We know that we were not all in it together. When much of the country was struggling, No. 10 was hosting parties. Sue Gray’s independent report said that senior leadership in No. 10

“must bear responsibility for this culture.”

It continued:

“At least some of the gatherings in question represent a serious failure to observe not just the high standards expected of those working at the heart”—

Sheryll Murray Portrait Mrs Sheryll Murray (in the Chair)
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Order. I gently remind the shadow Minister that we are supposed to be debating the economic impact of the covid-19 lockdowns.

Abena Oppong-Asare Portrait Abena Oppong-Asare
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Thank you, Mrs Murray, but I do think this is important because, while we were going through the economic crisis, this is what was happening. This is what we need to look into when we learn lessons for the future.

Sheryll Murray Portrait Mrs Sheryll Murray (in the Chair)
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Order. We are debating the economic impact of the covid-19 lockdowns.

Abena Oppong-Asare Portrait Abena Oppong-Asare
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I will take your comments on board, Mrs Murray.

We know that the impacts of covid-19—particularly the economic impacts—run deeper. Just this month, new information has been revealed detailing how some people, including a Tory peer, sought to use covid-19 and lockdowns for their own benefit. PPE Medpro was given £230 million in Government contracts after a referral to the VIP fast lane by a Tory peer. The extent of her involvement in PPE Medpro has now come to light, and tens of millions of pounds of taxpayers’ money ended up in offshore accounts. The protective equipment produced by PPE Medpro was substandard: 25 million surgical gowns, which cost the taxpayer £122 million, were rejected by the Department of Health and Social Care after technical inspection because they were completely unusable. We also know that £6.7 billion was wasted on covid payments to businesses and individuals fraudulently or by mistake.

The economic impact of covid-19 lockdowns was immense, and was exacerbated by dither and delay in Downing Street, and hard-working businesses, families and individuals suffered as a result. It has left us with an economy that lags behind the pack. Wages are lower in 2022 in real terms than when the Tories came to power in 2010, and business investment is 8% below its pre-pandemic peak. The mini Budget from the short-lived Prime Minister and Chancellor crashed our economy.

The economic facts speak for themselves. We are now the only G7 economy that is smaller than it was before the pandemic. Other countries are still dealing with the economic impacts of covid-19, but we are doing worse. We are at the back of the pack, lagging far behind. The Chancellor said he wants to address the impacts, but again the economic facts speak for themselves.

Perhaps I am being a bit unfair to the current Chancellor and Government. They have quite a task on their hands. After all, for the 12 years in which their party has been in Government, low growth and low ambition have held our country back. What would Labour do fix the mess and grow our economy in the aftermath of covid? Back in January, we proposed a windfall tax on oil and gas giants—on the profits of rising prices and war. The Government ignored our calls and instead pressed ahead with their own windfall tax, which amounts to a huge giveaway of public money to the very oil and gas companies that are making record profits. Under the scheme, some oil and gas companies will pay zero tax this year, despite record global profits.

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Andrew Griffith Portrait Andrew Griffith
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No, I have made it clear that I will not be giving way.

My hon. Friend the Member for North Wiltshire (James Gray) mentioned the impact on the hospitality sector. I represent a constituency with a significant hospitality sector, and we know that the sector was affected disproportionately during the lockdown. He and other Members understandably raised the ongoing impact of covid. One or two Members, although perhaps not enough, also mentioned the impact of the war in Ukraine, and I thank those who did for putting it in the right context. My hon. Friend raised the issue of one hospitality business in his constituency the energy bills of which have gone from £16,000 to £60,000 per month. Clearly, he is looking at the issues that people are facing, and we hear that.

The economic priority during the pandemic was to stave off an economic depression, mass unemployment and the potential for rapidly deteriorating living standards. My right hon. Friend the Member for Tatton talked about GDP falling to its lowest level since 1709. We are fortunate that the economy is now growing, thanks not only to the productive and entrepreneurial nature of the British people but to the unprecedented level of support provided. Ours was one of the fastest growing economies in recent years and that continues to be the case, and we came out of lockdown earlier than many other countries.

As all Members recognise, the attempt to limit the spread of the virus did mean the implementation of restrictions. Alongside those restrictions, the Government provided support for individuals, families and businesses throughout the country that were impacted by the virus. The two things went hand in hand. The Government could not manage that unprecedented situation. It is easy with hindsight—we have talked a lot about hindsight —and many Members have empathised with that.

I am grateful for the support from the hon. Member for North Ayrshire and Arran (Patricia Gibson), who made some fair points about the uncertainty that was faced and the difficultly of the decisions. It is my belief that they were made in good faith and tried to do the best to protect people and the economy. We cannot know, but there is at least the possibility, which the hon. Lady raised, that the impacts could have been worse if it was not for the financial support in particular that was provided, along with the other measures.

For all too short a time I served alongside the hon. Member for Blackley and Broughton (Graham Stringer) on the Science and Technology Committee. He was a ferocious interrogator and—if I may say so—very wise in the early, almost contemporaneous analysis of the scientific advice. His contribution was largely about the scientific advice, so I hope he will forgive me if I do not respond more fully to him.

My hon. Friend the Member for Bolton West (Chris Green) reiterated how vital it is that we do not lock down Parliament again, and I support him in that. Lessons will be learned and must have been learned. We here all have a voice. The reason why we are here today is because we have a voice to protect our constituents and to protect the economy from the ravages of things such as the pandemic.

My hon. Friend the Member for Bolton West also talked about the compounding effect, not just of the pandemic. I am the first to acknowledge that the pandemic has an ongoing impact on the economy. The right hon. Member for East Antrim (Sammy Wilson) talked about “economic long covid”, which is certainly part of the context in which we sit today.

My hon. Friend the Member for Bolton West reminded us that at that time nobody anticipated—as I think he put it—Europe’s biggest oil producer invading Europe’s biggest food producer. That is one reason why the Government have once again come forward with an unprecedented level of support to get people through the winter and the energy crisis that we now face, with the same objectives as the generous support that was provided during the pandemic.

Along with other major economies, the UK is in the midst of a cost of living challenge that has been caused by global inflation as a result of the disruption of supply chains, as well as the increase in energy prices. This is a global challenge and we still see higher inflation in Germany, the Netherlands and Italy. We are acutely aware of the pressures that households and businesses face. Several Members said that having been so successful in protecting the economy, jobs and businesses, it is clearly vital—this is a shared objective of Government—that we continue to do so again this winter.

Going forward, we will continue to place our people and our businesses at the heart of our policies. We are happy to make interventions, and as we debate the economic consequences of covid that is something we can all take forward.

Sheryll Murray Portrait Mrs Sheryll Murray (in the Chair)
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I call Esther McVey, with one minute to wind up.

Esther McVey Portrait Esther McVey
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I thank everybody for such a constructive debate, which was the start of our being able to look at the cost of lockdown in an open-minded way—being able to take challenge, being able to take rebuttals and answering things as honestly as possible—because when £400 billion is spent, we know that cannot be done without having long-term impacts.

We see the impact in the vulnerability of our country now—in the cost of living, the cost of jobs, the cost of inflation and the cost of poverty. We heard about the cost in terms of our health and our mental health. We should think before we ever introduce such profound policies again, particularly when the World Health Organisation and the Department of Health and Social Care have conceded that we should not use lockdowns because they are such a blunt instrument. We can never live in an atmosphere where just to ask questions is condemned. I thank everybody for participating in the debate.

Sheryll Murray Portrait Mrs Sheryll Murray (in the Chair)
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Order.

Motion lapsed (Standing Order No. 10(6)).

Oral Answers to Questions

Sheryll Murray Excerpts
Tuesday 22nd June 2021

(2 years, 10 months ago)

Commons Chamber
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Steve Barclay Portrait Steve Barclay
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I am very proud that my right hon. Friend the Chancellor has committed an additional £7.1 billion over three years to increase the school uplift, with £2.2 billion this year alone. I am very proud that he announced £1.7 billion of additional recovery funding. I am proud that he announced a further £1.4 billion, but again, the hon. Lady appears to have written her question before hearing the answer. The answer was that we will of course look as part of our review at the effectiveness of the additional time. I have cited some of the international evidence that we will look at, but teacher quality is usually the bigger driver and that is why we have focused on teacher training but also on the tuition programme, so that we are training an additional 500,000 teachers and rolling out 6 million tuition courses to get that targeted learning support to children across the country.

Sheryll Murray Portrait Mrs Sheryll Murray (South East Cornwall) (Con)
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What progress his Department has made in establishing freeports in England.

Rishi Sunak Portrait The Chancellor of the Exchequer (Rishi Sunak)
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I was pleased to announce the location of eight new English freeports at the Budget in March. The next phase of delivery for freeports is being led by the Ministry of Housing, Communities and Local Government. It is working with the eight freeports to help them to establish the appropriate governance structures and develop their investment proposals. The Government will then review their proposals for investment and the deployment of the tax and customs reliefs later this year.

Sheryll Murray Portrait Mrs Murray
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I welcome the news that we have a freeport in neighbouring Plymouth. Will the Chancellor’s Department please work with the Department for Transport to ensure that we have quick, flowing transport links across the Tamar to make the most of these opportunities for my constituents?

Rishi Sunak Portrait Rishi Sunak
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I am delighted for Plymouth and its surrounding communities that it has received freeport status. As my hon. Friend says, this is a fantastic opportunity to drive investment and create jobs. I will, of course, work with the Department for Transport on improving transport links across the south-west. She previously welcomed the £2.5 billion upgrade of vital road connections such as the A303, the A30 and the A358, as well as the replacement of the vital Dawlish sea wall, which will improve rail connectivity in the region.

Oral Answers to Questions

Sheryll Murray Excerpts
Tuesday 27th April 2021

(3 years ago)

Commons Chamber
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Rishi Sunak Portrait Rishi Sunak
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The brilliant Mayor Andy Street is right to talk about the retraining revolution that we need and that he is implementing in the west midlands. My hon. Friend makes an important point about the flexibility of the system to support SMEs. I am pleased to tell him that starting this August we are implementing a new scheme to allow SMEs to link with larger, levy-paying businesses through a new matching and levy transfer service that will help SMEs to access that funding and to provide the level 2 or 3 apprenticeships that he rightly identified as being important. He should also know that that scheme was based on, I think, a pilot programme that was launched in the west midlands.

Sheryll Murray Portrait Mrs Sheryll Murray (South East Cornwall) (Con)
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What steps his Department is taking to support businesses affected by the covid-19 outbreak.

David Simmonds Portrait David Simmonds (Ruislip, Northwood and Pinner) (Con)
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What steps his Department is taking to support businesses during the covid-19 outbreak.

John Glen Portrait The Economic Secretary to the Treasury (John Glen)
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Throughout the pandemic, the Government have sought to support businesses across the UK. To do this, we have put in place a package of economic support for businesses and individuals worth £352 billion since the start of the pandemic. The Office for Budget Responsibility and the Bank of England have highlighted that without this intervention the UK economy would be significantly worse than it is today.

Sheryll Murray Portrait Mrs Murray [V]
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What additional financial assistance can my hon. Friend give the all-important tourism sector in Cornwall to ensure that it is fully ready to greet the G7 in June?

John Glen Portrait John Glen
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Cornwall hosting the G7 is a fantastic opportunity. I know that my hon. Friend has welcomed this chance to showcase all that Cornwall has to offer. Many organisations in the broader tourism sector have benefited from business grants of over £34 million provided to her constituency of South East Cornwall, as well as business rates holidays and a temporary reduction in the rate of VAT. The Ministry of Housing, Communities and Local Government has recently announced the £56 million welcome back fund to support safe local trade and tourism as economies reopen.

Oral Answers to Questions

Sheryll Murray Excerpts
Tuesday 20th October 2020

(3 years, 6 months ago)

Commons Chamber
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Rishi Sunak Portrait Rishi Sunak
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The hon. Gentleman will know that, as a result of Liverpool entering tier 3 restrictions, those conversations have happened with representatives from the Government and the Secretary of State for Housing, Communities and Local Government to ensure that Liverpool gets the resources it needs to provide extra compliance enforcement and, indeed, extra funding to provide support for businesses and people during what is, I appreciate, a very difficult time for his constituents.

Sheryll Murray Portrait Mrs Sheryll Murray  (South East Cornwall) (Con)
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  Last week, I formally named the e-Voyager in my home village of Millbrook. The e-Voyager is the UK’s first seagoing electric ferry and will operate from Cremyll, near Mount Edgcumbe country park. Will my right hon. Friend look at investing further in South East Cornwall, where we have this proven expertise? [907823]

Steve Barclay Portrait The Chief Secretary to the Treasury (Steve Barclay)
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I pay tribute to my hon. Friend for her work on that important initiative. She is a champion of levelling up in Cornwall and the Government are committed to working with her, which is why among the package of measures of support is included the Cornwall social housing retrofit acceleration and the Cornwall institute for space artificial intelligence. That is part of a suite of measures that will work with the welcome initiative that my hon. Friend has championed.

Oral Answers to Questions

Sheryll Murray Excerpts
Tuesday 5th March 2019

(5 years, 1 month ago)

Commons Chamber
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Mel Stride Portrait Mel Stride
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I am confident that HMRC will be ready for the outcome of the EU negotiations, whatever that outcome is. We have taken on over 4,000 additional staff to ensure that we are ready, and we have of course invested £2 billion in additional funding since 2010 to ensure that HMRC can operate effectively.

Sheryll Murray Portrait Mrs Sheryll Murray (South East Cornwall) (Con)
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19. What recent progress he has made on creating jobs and reducing unemployment.

Elizabeth Truss Portrait The Chief Secretary to the Treasury (Elizabeth Truss)
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The economy has grown every year since 2010, and there are now 3.5 million more people in work.

Sheryll Murray Portrait Mrs Murray
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Can my hon. Friend confirm that under the Conservatives, in addition to a record number of jobs, wages are growing at their fastest rate in over a decade, meaning that more people have the security of a regular wage to provide for their families?

Elizabeth Truss Portrait Elizabeth Truss
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My hon. Friend is right, and this has not happened by accident; it is because of the decisions that this Government have made to cut taxes and to reform employment and welfare, unlike the Opposition’s approach, which is to say that business is the enemy and damage our economy.

Customs and Borders

Sheryll Murray Excerpts
Thursday 26th April 2018

(6 years ago)

Commons Chamber
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Sheryll Murray Portrait Mrs Sheryll Murray (South East Cornwall) (Con)
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On Monday, Michel Barnier laid bare for all to see what staying in the customs union would mean for the UK: effectively staying in the EU. In his speech he mentioned the need for state aid rules, and that would probably mean no bailing out of the steel industry or any other industry that needs it in future. I remind hon. Members of the situation of a Shetland leasing and processing company that was run by Shetland Islands Council. More than a decade ago it fell foul of the European Commission when a Labour MEP reported it for operating outside state aid rules.

Mr Barnier also mentioned the need for tax rules. All those who hoped for the end of taxation on women’s sanitary products, and thought that Brexit could finally make that happen, might be very disappointed. He also talked about the need for shared social and environmental standards, which would mean that although people had thought that live animal exports could be banned, that would not be likely to happen. He spoke of the need to clarify the role of the European Court of Justice, and, yes, that probably means that he wants the EU Court of Justice to continue to rule over our laws. If hon. Members want an example of that, I refer them to the Factortame case.

When I knocked on the doors of my constituents, I found that people were absolutely sick of an EU over which they have virtually no say making the laws that govern them. Last month, the Prime Minister clearly said that

“the jurisdiction of the ECJ in the UK must end.”

I wholeheartedly agree; let us make it so.

Baroness Morgan of Cotes Portrait Nicky Morgan
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Will my hon. Friend give way?

Sheryll Murray Portrait Mrs Murray
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I will not give way because other Members wish to speak. I am really sorry.

The worst of all possible scenarios would be one in which we had to abide by and be ruled by the European Union, but without any say. I wonder how long it will be before we start hearing suggestions about EU access to our fishing grounds—my fishermen—to pay for trade. How long will it be before we hear what the cost of staying in such a customs union will be? No doubt we will still have to pay a divorce bill, but on top of that, if people voted for a customs union, we might face an annual bill for effectively staying in.

The Prime Minister has always maintained that no deal is better than a bad deal. I can think of no worse deal than effectively staying in the EU with all the costs, but no say over it. That would also be a massive betrayal of the British people, who voted to leave. South East Cornwall voted to leave for the reasons I have outlined, and Cornwall voted to leave. Most importantly, the whole country voted to leave, and to do anything else would be a massive betrayal of the people we are supposed to represent. Brexit means Brexit; leave means leave. We just need to get on with it.

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Antoinette Sandbach Portrait Antoinette Sandbach (Eddisbury) (Con)
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I have a confession to make: when I voted in the 2016 referendum, I did not spend a great deal of time thinking about the customs union, rules of origin or other such matters. In that regard, I suspect that I am not alone in the House or in the country. I do not believe that many people gave a lot of thought to our place in the customs union, because very few leave campaigners mentioned leaving it. Indeed, one of the few direct references that I could find was in an article from 2012 in The Mail on Sunday, in the name of the now Secretary of State for International Trade. A copy of the article is still on his website as I make my remarks. He wrote:

“I believe that the best way forward is for Britain to renegotiate a new relationship with the European Union—one based on an economic partnership involving a customs union and a single market in goods and services.”

That sounds like a good way forward for my constituents, and I want to make a similar case today.

The last two years have been a crash course in customs and borders policy. At the centre of my education has been the Business, Energy and Industrial Strategy Committee, of which I am a Member. My view is that in this House we should make policy based on evidence. I urge my hon. Friend for South East Somerset to read some of the reports. I understand the importance of the fishing industry to her constituents, and she needs to understand the importance of the chemical, pharmaceutical and car industries to the north-west. The reality is that if we do not negotiate some form of agreement that leads to a European economic area-style—

Sheryll Murray Portrait Mrs Sheryll Murray
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It is Cornwall, not Somerset.

Antoinette Sandbach Portrait Antoinette Sandbach
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I apologise to my hon. Friend the Member for South East Cornwall (Mrs Murray)—I am corrected.

Pharmaceuticals, car manufacturing, agriculture, food manufacturing, the energy sector and the nuclear sector are absolutely key to the north-west. The Government’s own analysis shows that if we do not have an EEA-style agreement, there will be a 12% reduction in GDP growth in the north-west. If I am to represent my constituents, I have to vote in a way that supports their interests—that is what I am elected to do. A decision was taken to leave, but the question of how we leave was delegated to the House. I am not a delegate; I am a representative for the interests of my constituents.

Oral Answers to Questions

Sheryll Murray Excerpts
Tuesday 28th February 2017

(7 years, 1 month ago)

Commons Chamber
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Simon Kirby Portrait The Economic Secretary to the Treasury (Simon Kirby)
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The Financial Conduct Authority has published a summary of the main findings of its skilled persons report on RBS’s global restructuring group. The FCA is carefully considering that, and it would not be appropriate for me to comment while the process is ongoing.

Sheryll Murray Portrait Mrs Sheryll Murray (South East Cornwall) (Con)
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T4. I have been conducting a survey in my constituency with local campaigners Peter Booth and Nick Craker, and many people have raised concerns about road safety in our towns and villages. Can my right hon. Friend inform me of any additional funding for road safety improvement?

David Gauke Portrait Mr Gauke
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My hon. Friend makes an important point, and road safety is a key priority for the £15.2 billion road investment strategy. In November 2016 we announced an additional £175 million to improve the 50 most dangerous roads in the country. As she will be aware, Cornwall has received £78 million from the local growth fund, including for investment in local roads.

Tax Avoidance and Multinational Companies

Sheryll Murray Excerpts
Wednesday 3rd February 2016

(8 years, 2 months ago)

Commons Chamber
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John McDonnell Portrait John McDonnell
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Let me press on, because time is short.

At the end of last week, the UK joined 30 OECD partner countries in signing up to the multilateral competence co-operation agreement. We supported that. That is the kind of international co-operation, albeit limited, that will help close the loopholes and ultimately close down the tax havens. It is the kind of agreement that we have backed for years and that we support the Chancellor in undertaking, but last week, by allowing the special treatment of one company, the Government drove a coach and horses through the entire international approach. As the EU’s Competition Commissioner suggested, that could amount to unlawful state aid. The UK is now being depicted across Europe as a tax haven. It risks establishing a race to the bottom in which all countries seek to outbid each other to offer the lowest possible taxation. We have written to the Competition Commissioner to request a formal investigation of the deal.

Sheryll Murray Portrait Mrs Sheryll Murray (South East Cornwall) (Con)
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Does the hon. Gentleman not accept that this Government have done more than the previous Labour Government to close those loopholes? He says that he did not agree with the previous Labour Government, so will he tell us what he did to oppose those measures and raise the matter when he was in Parliament?

John McDonnell Portrait John McDonnell
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I know that the hon. Lady was not here at the time, so perhaps she should check my voting record throughout my 18 years in this House. I do not want to keep on repeating this. I wanted both Governments to go further, but an independent assessment has shown that the legislation introduced by the previous Labour Government will drag in 10 times more in tax than the current Government’s legislation, and even then I wanted to go further. We should at least accept the independent assessment that has been made.

Oral Answers to Questions

Sheryll Murray Excerpts
Tuesday 1st December 2015

(8 years, 4 months ago)

Commons Chamber
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Christopher Pincher Portrait Christopher Pincher (Tamworth) (Con)
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7. What steps the Government are taking to support (a) people with savings and (b) home ownership.

Sheryll Murray Portrait Mrs Sheryll Murray (South East Cornwall) (Con)
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8. What steps he is taking to help first-time home buyers.

George Osborne Portrait The First Secretary of State and Chancellor of the Exchequer (Mr George Osborne)
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This Government back saving and home ownership. That support is exemplified by the Help to Buy ISA that becomes available today. This new ISA provides direct Government support to anyone saving for the deposit on their first home. For every £200 they save in the ISA, the Government will help them with another £50. Add it up and the Government will give them up to £3,000 towards their first home—all part of a plan to help working people in this country.

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George Osborne Portrait Mr Osborne
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I was in the west midlands yesterday seeing the fantastic investment that Jaguar Land Rover is making there, with Government help. Alongside that we are investing in the west midlands infrastructure. We have just signed an agreement with the authorities of the west midlands, across the political parties, to put more than £1 billion into the region over the next couple of decades. There is a long-term commitment to the midlands engine and the jobs in my hon. Friend’s constituency.

Sheryll Murray Portrait Mrs Sheryll Murray
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It was reported in one of my local papers last month that some areas in Cornwall have seen a 15% rise in house prices over the past year. Will my right hon. Friend outline what additional action is being taken to assist first-time buyers in beautiful parts of the country, such as Cornwall, that are popular with second-home owners? What difference will the increase in stamp duty make?

George Osborne Portrait Mr Osborne
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My hon. Friend always speaks passionately on behalf of her constituents—in this case, those seeking to buy their first home. The Help to Buy ISA is, of course, available in Cornwall and will help her constituents buy their first home. The new stamp duty charge on second homes and buy-to-lets will raise money, and a portion of that will be given to local authorities and areas such as Cornwall, where there are quite a lot of second homes.

Oral Answers to Questions

Sheryll Murray Excerpts
Thursday 3rd July 2014

(9 years, 9 months ago)

Commons Chamber
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Sajid Javid Portrait Sajid Javid
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The hon. Gentleman is right to raise that important point about the regional distribution of the funds. It is something we discuss with the lottery, and I shall be taking it up with it further.

Sheryll Murray Portrait Sheryll Murray (South East Cornwall) (Con)
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2. What steps he is taking to ensure that superfast broadband is available in remote areas of the UK.

Sajid Javid Portrait The Secretary of State for Culture, Media and Sport (Sajid Javid)
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The Government’s broadband programme will provide superfast broadband to 95% of UK premises by 2017. In February 2014 we announced nearly £3 million in further grant funding to support superfast coverage in Cornwall.

Sheryll Murray Portrait Sheryll Murray
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One of my constituents who runs a small business in a not-spot area purchased satellite broadband after being told that they would not get a fibre-optic connection. Can they now bid for some money if Cornwall council is successful to enable other connections, and will it cost people more for any other type of connection?

Sajid Javid Portrait Sajid Javid
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Superfast Cornwall has a satellite broadband offer for premises that currently have slow-speed broadband and are not likely to gain a fibre-optic connection. The grant of almost £3 million that the Government gave in February in phase 2 will help increase coverage. My hon. Friend’s constituent can make an application to Superfast Cornwall, and that will be a decision for it to make. We are making progress on the issue, but I agree that there is much more to do.