(14 years ago)
Commons ChamberMy hon. Friend is absolutely right. Government Members are completely unrealistic about what business needs and simply do not understand that what is needed is a co-operative approach between the public and the private sectors, and long-term investment. The North East Chamber of Commerce told us that its checklist for the Budget was an increase in capital allowances and the industrial buildings allowance; a reduction in employer national insurance contributions for young people; and more support for apprenticeships. None of that appeared in the Budget this week. The Government simply have no strategy for jobs or growth.
We have heard a lot from Government Members about the benefits of cutting the 50p rate, but even the Chancellor of the Exchequer does not have the gall to put cutting the top rate of tax into the “enterprise and growth” section of his Budget. The distribution effects of this Budget are shocking. It is grotesque to give a millionaire an extra £40,000 while cutting the tax credits of those on the minimum wage who work 16 hours a week by £4,000. That is a complete disgrace. As the Leader of the Opposition pointed out on Wednesday afternoon, 300,000 people will benefit from the cut in the 50p rate, by an average of £10,000, whereas only 4,000 people will pay the higher stamp duty on properties worth more than £25 million. The Chancellor’s estimate that the loss in revenue from cutting the 50p rate is £100 million is risible. It is absurd to suggest that £2.9 billion more tax will be collected because of behavioural changes—that would be an unprecedented impact on people’s behaviour.
Before I leave the issue of tax avoidance, I wish to discuss the great contribution to the Budget made by the Liberal Democrats. They seem pleased with securing a crackdown on tax avoidance in return for succumbing to the Tory desire for a cut in the 50p rate. In fact, the Institute for Fiscal Studies says this morning that there is less action on tackling tax avoidance in this Budget than there has been in previous years.
I am sorry, but I will not give way, as I have used up my intervention time.
If the Liberal Democrats look at the measures in the Red Book to combat tax avoidance, they will see that six of them will be legislated for in the 2013 Finance Bill instead of the 2012 Finance Bill. If they look at table 2.1 in the Red Book, they will see that the forestalling of the additional rate reduction and the cap on unlimited tax reliefs—that is the new phraseology for the tycoon tax—adds up to £2.4 billion this year. In other words, this coalition Government have given their wealthy friends one last chance to avoid tax, and that avoidance will be worth £2.4 billion. That is equivalent to all the cuts imposed in the June 2010 Budget on lone parents, on working parents and on the disabled.
(14 years, 1 month ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
Dr Huppert
There are many cases where clear segregation, including dedicated cycle routes, is absolutely the right thing, but we must also look at policies across the whole country. In rural areas, that suggestion simply would not be sensible. We need the right solution in the right place, and I think we can deliver that.
There are a number of measures that companies should adopt, such as providing showers and lockers at work, which will help to promote cycling and, in turn, cycling will help to improve employee well-being and productivity. The cycle to work scheme works very well, but the tax problems need to be resolved and the scheme should be promoted a bit further.
Tessa Munt (Wells) (LD)
I want to point out that the county freight route through Somerset, which is the A371, exactly illustrates the problem that was mentioned just a moment ago by my hon. Friend the Member for South West Bedfordshire (Andrew Selous). On that route, there is certainly not space to allow cyclists a dedicated route; actually, there is not even space for cyclists, pedestrians and those who drive their freight vehicles along that route as they head towards the smallest city in England, which is Wells. Will my hon. Friend the Member for Cambridge (Dr Huppert) support the moves of the Strawberry Line Association, which is trying to use the old railway that runs through Somerset to promote both cycling and, of course, walking—but mostly cycling—and to enable children in particular to go to schools that are at either the Cheddar end or the Wells end of that route?
Dr Huppert
There are a lot of greenways such as that one that can be used. In some parts of the country, they are used extensively and they are very good things, whether they run along a canal or an old railway line, unless, of course, it is planned to turn an old railway line into a new railway line; that might be happening. But there are certainly great opportunities, such as the one that my hon. Friend describes.
The small scale matters, but the Government need to encourage a much broader and long-term shift towards cycling. Some of that work costs money, but not a vast amount. To get to European-standard cycling towns would cost about £10 per person per year, which is not a huge or unthinkable sum.
In 2010, my hon. Friend the Minister announced a new local sustainable transport fund that is worth more than £500 million. Every local authority applied for money from that fund, and 38 out of the 39 successful bids included cycling aspects. That was a huge step forward, which I am delighted to endorse.
(14 years, 4 months ago)
Commons ChamberWe are still waiting for the Competition Commission’s final report, but I can assure the hon. Lady that I am well aware of the importance of bus services to local communities up and down the country, including in Newcastle, and I shall pay close attention to any strategies that we develop in the light of the commission’s report.
Tessa Munt (Wells) (LD)
Last Friday, I had the delight of sitting through the five Youth Parliament debates. They were really well-conducted and a fantastic opportunity for young people to express their views. Coming from a rural constituency, I was very pleased that the Youth Parliament chose transport as its campaign issue. What can the Secretary of State do to further its aim to have cheaper, better and more accessible transport?
We have a range of approaches to ensure that transport is affordable and accessible to everyone, , including young people. As we have seen in London, getting young people to use public transport from an early age is one way of getting behaviour change. I am very conscious of that, and I shall be interested to see what more I can do in my role.
(14 years, 4 months ago)
Commons ChamberI fully agree, and that was why, when the proposal for black boxes came up, I thought it was the ideal solution. It would enable someone to demonstrate that they were driving carefully and not at speed. I thought that could have been the technical solution, or at least could have moved us a bit further on. I cannot for the life of me understand why it has not been taken up by the insurance industry as well as it should have been. So far, Co-operative Insurance and others have offered some voluntary schemes, but they do not seem to have had the take-up that they should have done.
The question, then, is how we move forward. We know that a range of solutions could be put in place, and that a technical solution could be introduced on a voluntary basis to give people incentives and reduce their costs. I believe that the next stage is to bring the matter back to the Government. We have tried exhortation in the past, but we need to try it again, as was said earlier. We need another meeting at which we bring all the insurance companies together and exhort them to consider financial incentives for young people. We have such arrangements in acceptable behaviour contracts in other areas. People could sign up to certain behaviour patterns if they so wished, which would enable us to monitor them using technical solutions so that we could reduce their overall insurance costs.
Tessa Munt (Wells) (LD)
I wonder whether, when that is being considered, it might be possible to consider the circumstances that two or three of my constituents have found themselves in. Young people have applied for insurance online and the insurance company has agreed a premium and formed a contract with those young people to provide insurance, but has then come back six or eight weeks later with a much increased premium, ostensibly because something was originally incorrect. That has certainly happened to young women in my constituency with the Diamond insurance company.
It is almost like the policy of excess that has been developed for other insurance costs. I believe that the onus is now on the Government to bring the insurance companies in for a thorough discussion about how we can take forward voluntary arrangements. However, there will come a time, which I believe we are nearing, when if we cannot get in place voluntary arrangements and incentives that work, we will have to introduce regulation.
Like many other Members, I cannot cope any more with driving along the road and seeing shrines to people who have died. The number in my area seemed to be peaking at one point, although I have not looked at the recent statistics. A large number of young people were being killed on the roads, and we would drive down the road and see the bouquets of flowers and the pictures of those young people. It relates to the point that the hon. Member for East Antrim (Sammy Wilson) made about youthful exuberance—young people get their first car and are out on the roads, and sometimes it goes to their heads. They might have their friends with them, and unfortunately it often results in tragedy.
(14 years, 4 months ago)
Commons ChamberWe will consider all such issues going forward, so the answer is yes.
Tessa Munt (Wells) (LD)
I join my right hon. Friend the Member for Yeovil (Mr Laws) in his comments about the emergency services, and I wish particularly to point out the contribution made by the family liaison officers who work in such circumstances.
I was present at the time on the southbound carriageway, and I saw what had happened as I was drawing off the road at the Taunton junction. I do not think I have ever seen anything like what I saw on Friday evening. It was an absolute inferno, and it was impossible for me to leave the car on the southbound carriageway to do anything.
Will the Secretary of State commend the bravery of two of my constituents, both of whom are in their 20s—a young man called Sam Jones and another gentleman by the name of Tom Hamill? Both played their part in rescuing people from the vehicles, particularly Tom, who I understand saved the life of a very small baby. I thank them for doing that.
I pay tribute again to members of the public who, in many cases, selflessly put themselves in the way of harm to help and save others. We have all read of the many acts of heroism that people instinctively performed to help those whom they saw in need. In a world in which there is a lot of discussion about a big society, the fact that people’s instinct when they saw such a tragedy unfolding was to run towards it and try to help says an awful lot about the spirit of local communities up and down our country, particularly in Taunton.
(14 years, 6 months ago)
Commons ChamberIt is a pleasure to respond to this debate, and a pleasure, at this time of night, to see so many hon. Members in the House to listen to a debate about a very serious subject that the hon. Member for Gower (Martin Caton) knows I take very seriously within my portfolio. Earlier, I apologised to him personally for the fact that my office had not informed him that I would be in his constituency last Tuesday—an error for which I take full responsibility.
When I took up this wonderful ministerial position following the general election and my appointment by the Prime Minister I found many documents on my desk, one of which was about the modernisation of the coastguard. It is not traditional to have a shadow spokesman present in such debates, but the current shadow Minister was the Minister with my portfolio when the original consultation proposals were put on the table. The situation that I inherited in this part of the world was that there were three MRCCs. I have to emphasise to the public that these are co-ordination centres, not the places where the people who physically carry out the rescues are based. I think there has been some confusion about that around the country. The volunteers are certainly not touched by this; in fact, their roles will be enhanced and there will be more equipment and more people to facilitate the work that they do.
I inherited the situation that we would go from having three co-ordination centres in Wales to having one. Nobody disputed that at any time when I went round to each of the coastguard centres. Everybody knew that the coastguard needed to be modernised. That had been the subject of dispute for many years, with huge disruption to a national emergency service. As the hon. Gentleman said, we therefore made the decision to go with the original proposals and we went out to consultation on that basis.
I have said from the outset in all the debates, publicly and in the meetings I have had with hon. Members from various parts of the House and in places that I visited around the country, that we would come out of the consultation with a different set of proposals, because otherwise there would have been no point in having the consultation—it would have been a sham. We have experienced sham consultations in this House over the years—I certainly did as a Back Bencher—and I would not allow that to happen. I was absolutely adamant that we would go out and listen and ensure that we came out of the listening process with a 21st-century emergency service that had a resilience it did not have when we went in, and that we would look carefully at the concerns of the public and, probably more importantly, the coastguard—the experts who are there doing the job day in, day out—about the future requirements.
Tessa Munt (Wells) (LD)
I want to draw the Minister’s attention to my constituency, where we have Brean, which is a holiday destination, Berrow, and Burnham-on-Sea. Burnham-on-Sea is unique—it has peculiar tides and very swift and difficult changes on the mudflats, where any number of people and vehicles will become stranded over the summer. I have visited the volunteers who make up the local crews for Burnham-on-Sea coastguard and the Burnham area rescue boat. They have such a hard job to do, and they are very alarmed, as are local people, about the closure of Swansea, which would leave us in Somerset looking to Milford Haven, which is 60 miles to the west.
I thank the hon. Lady for that intervention. If she bears with me, I will address those concerns as part of my response to the hon. Member for Gower. More importantly, the concerns were addressed to me only on Tuesday when I was in Swansea, and I will come on to that.
As I was saying, we were determined to come out of the consultation having listened to the concerns of the public, Members of this House and, importantly, the coastguard. When I went around the country, the first station that I went to was Liverpool. Just as on Tuesday, there was a picket. I pay tribute to the picket that happened in Swansea when I was there. As it was described in the press, it was a silent picket. The people were unbelievably generous to me. When I went down to them after I had driven in to explain the process to them, they listened intently and thanked me for coming. That is the response that I have had all around the country.