National Insurance Contributions (Increase of Thresholds) Bill

Wera Hobhouse Excerpts

Committee stage
Thursday 24th March 2022 Commons Chamber

[Wera Hobhouse]

I beg to move amendment 1, page 1, line 8, leave out “July” and insert “April”.

This amendment would bring forward the date of implementation of the increase in thresholds from 6th July 2022 to 6th April 2022.

[The Second Deputy Chairman of Ways and Means (Mr Nigel Evans)]

With this it will be convenient to discuss the following:

Clause stand part.

Clauses 2 to 6 stand part.

New clause 1—Impact of Act on low pay and poverty—

“(1) The provisions of this Act may come into force only if the Government has first laid before the House of Commons and published a report in accordance with this section.

(2) The report must assess the expected impact of the provisions of this Act on—

(a) low pay, and

(b) poverty.

(3) The report must also assess the merits of the provisions of the Act against other ways of reducing low pay and poverty.”

New clause 2—Report on effects on Universal Credit claimants—

“(1) The Treasury must prepare a report on the forecast effects of the provisions of this Act on—

(a) the net incomes of, and

(b) the Universal Credit payments made to

in-work Universal Credit claimants who pay National Insurance.

(2) The report must forecast the estimated change in expenditure on Universal Credit as a result of the provisions of this Act.

(3) The Chancellor of the Exchequer must lay the report before Parliament before the end of the period of 30 days beginning with the day on which this Act is passed.”

This new clause would require the Treasury to publish forecasts of the effects of changes to National Insurance thresholds on Universal Credit recipients and total Universal Credit expenditure.

New clause 3—Report on effects of provisions of Act—

“(1) The Treasury must within six months of Royal Assent lay a report before Parliament on the impact of the provisions of this Act on disposable incomes.

(2) The report made under subsection (1) must also include an assessment of the effect on disposable incomes of the provisions of the Act if combined with a reduction in National Insurance rates of 1.25%.”

This new clause would require the publication of a report within 6 months of the Act receiving Royal Assent assessing the effect on disposable incomes.

New clause 4—Report on effects of provisions of Act (No. 2)—

“(1) The Treasury must within six months of Royal Assent lay a report before Parliament considering the impact of the provisions of this Act on the levels of taxation of—

(a) earned and

(b) unearned income.

(2) The report made under subsection (1) must also include an assessment of the effect on the levels of taxation of—

(a) earned and

(b) unearned income of the provisions of the Act if combined with a reduction in the basic rate of income tax from 20% to 19%.”

This new clause would require the publication of a report within 6 months of the Act receiving Royal Assent assessing the effect on earned and unearned income.

[Wera Hobhouse]

I rise to speak to amendment 1, tabled in my name and that of my hon. Friend the Member for North East Fife (Wendy Chamberlain).

The increase in the national insurance thresholds for employees contained in the Bill will come into effect only in July this year, but the national insurance rise will commence in April—three months when employees will be facing the 1.25% increase in national insurance contribution payments without any protection through a higher tax-free allowance, and three months in which families will feel the full force of the Chancellor’s tax hike without any cushioning from the rising of the national insurance threshold.

[Jacob Young]

Just to correct the hon. Lady slightly, I believe the threshold will still rise by £300 in April, as was the Government’s original plan. The further increase will come in July.

[Wera Hobhouse]

I thank the hon. Gentleman for those comments, but there is still a gap and the amendment seeks to close it.

The three-month delay will cost working families £2.1 billion and add to their distress right in the middle of the biggest cost of living crisis since the 1950s. Let us remember that the rise in national insurance contributions will hit all working families. A nurse or a midwife on an average salary will see their tax bill rise by £310 next year. A care home worker will pay around £140 more and ambulance staff will see a £420 increase.

Households are facing the biggest drop in living standards for 70 years through a combination of soaring energy costs and Conservative Government tax hikes. The typical family will see a hit of £1,100 next year, according to the Resolution Foundation. Absolute poverty is set to rise by 1.3 million people, including 500,000 children. Never before has Britain seen such a rise outside a recession. The cost of living crisis is biting right now and hitting families today. That is why the Chancellor should implement the changes in the Bill not from July, but from April, as that would save working families £2.1 billion in tax payments.

New clause 3 is tabled in my name and that of my hon. Friend the Member for North East Fife. It would require the Government to produce a report to look at the impact of the 1.25% increase in national insurance contributions on disposable incomes. It would give a true picture of what working families are facing. The statement yesterday hid the true facts. The Resolution Foundation has stated:

“Considering all income tax changes to thresholds and rates announced…Of the 31 million people in work, around 27 million (seven in eight workers) will pay more in income tax and NI in 2024-25.”

Instead, the Government could have cut VAT by 2.75%. That is what the Liberal Democrats would do. Such a measure would help everyone and shield our constituents from the worst of the increased costs. It would put money back into their pockets and genuinely shield those on middle and lower incomes the most. With a floundering economy we need people to spend money on our high streets, which would boost our local economies. A cut to VAT would give an immediate boost to every household, and also help us in the long term.

Mr Deputy Speaker, new clause 4 would require the Government to produce a report on taxation on earned income versus unearned income. The income tax change that will come into effect in 2024 does not benefit people equally. Workers will not benefit from that cut, which instead will benefit those with unearned income from investments, such as landlords. If someone is wealthy enough to get their income from savings and properties they will pay less tax, while the least well-off continue to pay more and more. In response to yesterday’s Budget, the Institute for Fiscal Studies stated:

“What is the possible justification for cutting income tax rate while raising NI rate?...Drives further wedge between taxation of unearned income and earned income.”

It benefits

“those living off rents at the expense of workers.”

Let us look at what the Government have announced and at the inequalities that creates. I hope all Members of the House will support my amendments, to see off the worst from the Chancellor’s disappointing statement yesterday.

[The Second Deputy Chairman of Ways and Means (Mr Nigel Evans)]

Before I call Sarah Atherton, while I am sitting here I am acting as Chair of the Committee, rather than as Deputy Speaker. It is only a technicality, but we should get it right.

--- Later in debate ---

[Lucy Frazer]

I will just finish this point; I will come back to the hon. Gentleman. We are introducing a tax cut for a typical employee that is worth more than £330 in the year from July 2022. The impact of the provisions in the Bill have already been published in a tax impact information note published on gov.uk, and the impact of the income tax basic rate cut will be published ahead of implementation in 2024.

The hon. Member for Bath raised a question about landlords. We have taken steps over several years to ensure that landlords pay a fair tax contribution.

In April 2016, we introduced a higher rate of stamp duty land tax for those purchasing additional properties, recognising that, although the private sector plays an important role in our housing market and people should be free to invest in buy-to-let properties, the purchase of additional properties can affect the ability of other people to get on to the property ladder. We also restricted finance cost relief so landlords no longer get relief at their marginal rate if they are a higher or additional rate taxpayer. Finally, we maintained the 8% higher rate of capital gains tax for landlords compared with the rate for other taxable gains.

[Wera Hobhouse]

Will the Minister give way?

[Lucy Frazer]

I am going to give way to the hon. Member for Eltham (Clive Efford) first. He is probably going to ask about the previous point.

[Lucy Frazer]

I do not know whether the hon. Member was in the Chamber when the right hon. Member for East Ham (Stephen Timms) raised this point and I addressed it. He is right to point out that an individual may be affected by the taper, but overall they will be better off as a result of this change. If those people are earning below the work allowance, they will get the full benefit. I reiterate that the changes that we have already made mean that those who are on universal credit will benefit by £1,000 from the cut to the taper rate.

[Wera Hobhouse]

I accept that the Government might have done all sorts of other things to put restrictions on landlords, but would it not be interesting to know the difference between earned and unearned income in relation to the measure introduced by the Chancellor yesterday?

[Lucy Frazer]

As the hon. Member knows, the threshold increase will largely affect those who are working, because it is a tax that relates to working people, and the income tax cut that we have announced will, obviously, affect those who pay income tax.

The hon. Member for Ealing North (James Murray) made a number of points. He asked when the Chancellor decided that he would implement this change to the threshold. In considering a tax policy, it is not decided that something will be implemented on a particular day. A whole process needs to be followed, including ensuring that the relevant documents are put before the House. The hon. Member will be aware that that involves a Bill, an explanatory memorandum and a TIIN. He will know, because he will have heard the Chancellor and other Treasury Front Benchers say so on many occasions in the House, that the Chancellor has been considering for some time how he can help those who might be impacted by the cost of living issues that we currently face. It is appropriate, where measures are taken in relation to tax, that they are broadly taken at fiscal events.

The hon. Member also made a slightly contradictory point. He asked why we had not introduced the measure sooner, in March perhaps, and then suggested that it was being introduced too late because we were delaying it until July. He seemed to be criticising us both for not bringing it in earlier and for not giving him sufficient time to consider it, but I have mentioned all the things we need to do before introducing it in July.

The reason that the measures will be brought in through regulations is that we need to consult, including those who will be doing the payroll. The need to consult was one of the points made by the Low Incomes Tax Reform Group.

We have come to the end of what has been a useful Committee sitting that examined the detailed provisions of the Bill. The Bill seeks to align the threshold at which employees and the self-employed start paying NICs with the personal allowance for income tax. As well as simplifying the tax and NICs system, the measure ensures that hard-working families keep more of what they earn.

I thank hon. Members for their constructive contributions. I will, of course, look carefully at the record of the Committee debate and take forward any outstanding points.

[Wera Hobhouse]

I beg to ask leave to withdraw the amendment.

Amendment, by leave, withdrawn.

Clause 1 ordered to stand part of the Bill.

Clauses 2 to 6 ordered to stand part of the Bill.

The Deputy Speaker resumed the Chair.

Bill reported, without amendment.

Bill read the Third time and passed.

Financial Statement

Wera Hobhouse Excerpts

Wednesday 23rd March 2022 Commons Chamber

[Rishi Sunak]

My hon. Friend makes an excellent point. Even if the Labour Mayor of London is not standing up for his constituents, I know my hon. Friend will stand up for his hard-working constituents in Bexley and Sidcup. He will have seen today that we are on their side; we are cutting their taxes.

[Wera Hobhouse (Bath) (LD)]

The Chancellor is still not agreeing to a windfall tax on the super profits of the oil and gas giants. Such a tax would hit the shareholders, not workers and their jobs. It would not hamper business from operating successfully. Why is he protecting wealthy shareholders?

[Rishi Sunak]

I fear this is getting a little repetitive. I believe that we will see more investment in British industry, more investment in the North sea, more energy security and more jobs created. I look forward to companies bringing forward their plans for that in the coming weeks and months.

Downing Street Christmas Parties Investigation

Wera Hobhouse Excerpts

Thursday 9th December 2021 Commons Chamber

[Michael Ellis]

I am sorry that the hon. Gentleman chooses to criticise the police. The police are entirely independent in this country, and they make their decisions based on the evidence before them. It is entirely a matter for them, and it is not appropriate for me to comment on the operational actions of the Metropolitan police or anyone else in the police service. I have great confidence in the Commissioner of the Metropolitan Police and in the service of the Metropolitan police to this country.

[Wera Hobhouse (Bath) (LD)]

I, like many in here, have met constituents who have lost loved ones, and I have seen the immense sadness that this has caused. I feel that my constituents and many others have been utterly betrayed, so can the Minister explain how the Government are planning to regain public trust, now that stricter plan B rules are being introduced once again?

[Michael Ellis]

Public trust is of paramount importance and it is necessary because we want to relay to the public the need for caution in dealing with this pandemic and the necessity of getting a booster vaccination—more than 20 million people have now had a booster vaccination. It is of paramount importance that the general public continue to exercise caution in all their dealings because the effects of this pandemic are what we know them to be, and I offer my condolences to the hon. Lady’s constituents on the loss they have suffered. We need to focus on ensuring the pandemic, which has robbed this country of so many precious lives, is dealt with as effectively and as efficiently as possible. That is what the Government have done, that is what the Government are continuing to do and that is what the Government will do.

Northern Ireland Protocol: EU Negotiations

Wera Hobhouse Excerpts

Thursday 18th November 2021 Commons Chamber

[Michael Ellis]

I am pleased to be able to confirm that, as I have already mentioned, Lord Frost has already engaged with the interested parties and even on Tuesday and Wednesday this week did so in Northern Ireland. All parties are being duly kept informed, including this honourable House and the other place.

[Wera Hobhouse (Bath) (LD)]

A consequence of Brexit was always that we needed to erect a trade border between Britain and the EU, and there are only two places where that could go—either in the Irish sea, or a land border on the island of Ireland. As the Government are now trying to reverse the agreement that puts the trade border in the Irish sea, what other option are they actively pursuing—a land border, or rejoining the single market for the whole of the UK, not just Northern Ireland?

[Michael Ellis]

We are pursuing a negotiation and the hon. Lady will have to wait and see.

Brexit: Opportunities

Wera Hobhouse Excerpts

Thursday 16th September 2021 Commons Chamber

[Michael Ellis]

My right hon. Friend makes a very good point and we will certainly be looking at that as a priority.

[Wera Hobhouse (Bath) (LD)]

“Brexit: Opportunities” seems to me very much a contradiction in terms, but I have listened carefully to the exchanges this afternoon. People recognise that we have now left the European Union. Whether we were a leaver or a remainer, that is the reality. I welcome that pragmatism. I urge the Government also to be pragmatic about what happens on the ground. Not everything is as well as it has sometimes been painted. My constituency of Bath is a global tourist destination. Several businesses are now operating shortened hours because of severe staff shortages caused by Brexit and the new immigration system. What are the Government doing in the next 12 months to address these lost economic opportunities in the hospitality sector?

[Michael Ellis]

I know the hon. Lady’s constituency well enough to know how beautiful it is. She talks, quite rightly, about its tourism value. The fact of the matter is that tourism has been very negatively affected, tragically, because of the covid-19 pandemic. It is nothing to do with Brexit. The reality is that, of course, we are pragmatic. We will be pragmatic and we listen to all. That is why we want to listen to the British people about how to reduce regulations.

Health and Social Care Levy

Wera Hobhouse Excerpts

1st reading
Wednesday 8th September 2021 Commons Chamber

[Sir Edward Leigh (Gainsborough) (Con)]

For a low-tax Conservative, it is relatively easy to attack this measure—indeed, I could spend my entire five minutes doing so. I could quote the fates of previous conservative Governments, whether led by President George Bush in America or John Major here, who have put up taxes dramatically—John Major did so in a recession—and been punished at the polls. It is relatively easy to attack this measure but much more difficult to provide an alternative. The manifesto point need not be laboured. Labour produced a manifesto with all sorts of spending promises in 2005 and, arguably, they had more chance of foreseeing the global crash in the markets that followed during that Parliament than we ever had in foreseeing a pandemic. So I do not think the manifesto attack holds water.

I declare an interest, as it has always been a principle that once someone reaches pensionable age they get their state pension and do not go on paying national insurance contributions. Many people will feel aggrieved about the position on that; a constituent has written to me angrily saying, “I am 68. I stopped paying NICs at 65 and now you are asking me to pay them again.” That is a fair point, but this meets the challenge of, “Why should we subsidise pensioners at the same time as we are increasing NICs on the young?” Again, it is easy to attack but difficult to come up with an alternative.

The point about London and the south-east is an easy point of attack. Someone can buy a pleasant house in my constituency for less than £100,000 but that would not buy them a shoebox in London. Are we actually subsidising people who own million-pound houses in London? They can spend 30 years in a care home and can pay a very small proportion of that, because they can leave £900,000 to their children.

All these attacks can be made, but what is the alternative? That is what I ask the Labour party. They will not be a credible alternative Government unless they come up with a plan. I will happily give way to any Labour MP who says, “Right, I do not want to increase NICs. I shall increase income tax.”

[Wera Hobhouse (Bath) (LD)]

I am struggling to understand the argument made by those on the Government Benches. In 2016, £350 million per week was promised to the NHS once we left the European Union. We have left the EU, but what has happened to the £18 billion? Should the NHS not automatically expect that money, given that on 1 January we left the EU?

[Sir Edward Leigh]

It is very nice to be intervened on by somebody who has no chance of forming a Government.

I am afraid that all this talk of a wealth tax or a tax on dividends does not even begin to meet the problem. If we have a wealth tax, what happens in respect of two old-age pensioners who have almost no income and just have a capital asset? Is it fair—

Commission on Race and Ethnic Disparities

Wera Hobhouse Excerpts

Tuesday 20th April 2021 Commons Chamber

[Kemi Badenoch]

I completely agree with my hon. Friend. What he has described is part of the climate of intimidation surrounding the report’s authors, which I condemned in my statement and which has just been demonstrated by the hon. Member for Brent Central (Dawn Butler).

I read in today’s paper that the Runnymede Trust is now the subject of a complaint to the Charity Commission. One complaint refers to the behaviour of the trust’s CEO and staff towards ethnic minorities who have a different approach to racial equality. Some of that behaviour includes calling a black Conservative a “house negro” and horrific views on mixed-race relationships expressed by one staff member, comparing white people having relationships with black people to slave masters sleeping with their slaves. I do not believe that these actions are appropriate for a charity committed to racial equality.

This is a good time to remind the House that the current chair of the Runnymede Trust applied to be the Labour candidate for Poplar and Limehouse in 2019, but failed to make the shortlist. I would be keen to know whether the shadow Minister condemns those sorts of remarks, or believes that they are acceptable so long as they are targeted at people she disagrees with.[Official Report, 22 April 2021, Vol. 692, c. 5MC.]

[Wera Hobhouse (Bath) (LD)]

Ethnic minority communities have suffered disproportionate numbers of deaths from covid-19. The Sewell report fails to recognise that structural racism underlies many socioeconomic inequalities. There is an interconnectivity between different forms of disadvantage and discrimination but, at the heart of it, is structural racism. It is important for the Government to recognise that. Will the Government commit to working with organisations such as Operation Black Vote to implement a covid-19 race equality strategy that looks in particular at health inequalities and makes sure that the lived experience of people from ethnic minority backgrounds is listened to?

[Kemi Badenoch]

The hon. Lady will know that I have been reporting to this House quarterly on the very work that she describes—the effect that covid-19 has had on ethnic minority people and other vulnerable groups. We have explained the reasons for the causes of those disparities. The Public Health England report had a qualitative review, which talked about people’s experiences of racism in the system.

What we have to do now, however, is to ensure that we protect people. Our strategy at the moment is around vaccines. We have been doing everything we can to increase vaccine uptake, including significant amounts of work—which I reported to the House in February—on increasing vaccine uptake among ethnic minority groups where a large percentage of vaccine hesitancy remains, again much of it caused by misrepresentation and misinformation. I hope that the hon. Lady and members of her party will work with us in government on tackling misinformation and disinformation and will encourage those vulnerable groups to get vaccinated.

Covid-19: Ethnic Minority Disparities

Wera Hobhouse Excerpts

Monday 1st March 2021 Commons Chamber

[Kemi Badenoch]

My right hon. Friend raises a very good point. I congratulate all of her constituents who are doing important work in the community by raising awareness of what is happening with covid-19, and ensuring that people have access to the best advice and guidance. It is critical that we continue to support those community champions. That is one of the reasons that we are funding the community champions scheme, which ensures that we improve the reach of official public health guidance and other messaging or communications about the virus into those hard-to-reach areas.

[Wera Hobhouse (Bath) (LD) [V]]

In the year to September 2020, the drop in employment for people from ethnic minorities was 26 times higher than for white workers. Unless the Government take meaningful action to address workforce inequalities, including the ethnicity pay gap, the fall-out from covid will make these glaring inequalities even worse. May I ask again: will the Government finally commit to bringing forward the long-awaited ethnicity pay gap reporting?

[Kemi Badenoch]

I believe that we have answered this question before; if memory serves me correctly, I think I have written to the hon. Lady on this subject. It is something that the Commission on Race and Ethnic Disparities is looking at. The commission will be reporting shortly and will be able to give a statement on ethnicity pay reporting. I would like the hon. Lady to send me her statistics about workforce inequality; they are not statistics with which I am familiar, and it would be very interesting to look at the evidence base on that.

Ministerial and other Maternity Allowances Bill

Wera Hobhouse Excerpts

2nd reading & 2nd reading: House of Commons
Thursday 11th February 2021 Commons Chamber

[Wera Hobhouse (Bath) (LD) [V]]

I start by paying tribute to Becky Regan, the NHS worker who very sadly passed away last week after catching covid when heavily pregnant. Every life taken by this disease is a terrible tragedy, but the sense of loss is even more acute in this case, because Becky had just given birth to her fourth child. My thoughts are with Becky’s family, friends and colleagues at this desperately sad time.

I mention Becky’s case because the pandemic has been particularly challenging for pregnant women and new families. There are many areas where new and expectant mothers could and should be better supported. This Bill must prompt wider conversations about the rights of pregnant women and new parents in the workplace. The conversation should cover not just Cabinet Ministers, but the millions of parents across the UK who are struggling with inadequate parental leave policies. It is shocking that the Government are only looking at this injustice now because a colleague in a high place has run into difficulties with the unacceptable provision currently in place. It is also typical of this Government to bring in legal changes that narrowly protect one colleague, rather than trying to do justice for everybody.

The principle of the Bill is long overdue. There is absolutely no question but that the Attorney General should take paid maternity leave and then return to her post. I recognise that this legislation must pass at pace in order for her to do so, but I am looking for a commitment from Government that this issue will be revisited with broader legislation as soon as possible. We need time to give it proper scrutiny. I would also welcome a commitment that further legislation will create proper legal rights for paternity and adoption leave, as well as maternity leave. No one, whether in high places or not, should be forced to choose between a career and having children. I hope that this Bill will prompt the Government into strengthening the employment rights of pregnant women and new parents across the UK.

The Bill will allow Ministers to take up to six months of leave on full pay. In contrast, far too many families in the UK are struggling financially. The basic rate of statutory maternity pay and maternity allowance is just £151.20 a week—only about half the national minimum wage. Proper paid maternity leave in the UK is among the lowest in Europe. We rank 22nd out of 24 countries. This Bill must be the start for change for pregnant women and new parents across the UK. It is our duty to do a lot better from now on.

Black History Month

Wera Hobhouse Excerpts

Tuesday 20th October 2020 Commons Chamber

[Caroline Nokes (Romsey and Southampton North) (Con)]

I add my congratulations to the hon. Member for Erith and Thamesmead (Abena Oppong-Asare) on securing this important debate this afternoon.

I was pleased to attend earlier in the month, albeit virtually, the launch of Black History Month in Southampton. Our city has a proud tradition of celebrating the month, usually with a range of fantastic events in real life, but this year of course it is all virtual. I am reminded that back in 2018 I went, as immigration Minister then, to St Mary’s fire station, where there is a beautiful mural to celebrate the arrival of the Empire Windrush. I gently point out to the right hon. Member for Islington North (Jeremy Corbyn) that almost half of those of the Windrush generation who were wronged had either a deportation or a detention prior to 2010 under a Labour Government, albeit perhaps not a Labour Government particularly to his liking, and that it was, of course, the right hon. Member for Birmingham, Hodge Hill (Liam Byrne) who coined the phrase “a really hostile environment”. But I do not want this debate to degenerate into party politics; we have already heard, as my hon. Friend the Member for Hitchin and Harpenden (Bim Afolami) said, too much tetchiness this afternoon and this should be a celebration of Black History Month.

I would particularly like to pay tribute to those people like Lou Taylor from Southampton, and Don John and Stevina Southwell, all of whom have reached out to me over the past few years to make sure that I am better educated about the black history of my city, and I will now follow the hon. Member for Leyton and Wanstead (John Cryer), who spoke about cricket, in talking about football, and particularly about a constituent of mine, Paul Williams, who was a professional footballer for Southampton. He had a great career: he moved around the country, but he chose to finish his playing days in Southampton and retired to the city. He can tell horrendous stories of racism in football. I pay tribute to the Premier League and the Football Association for their campaigns to Show Racism the Red Card and Kick It Out, but the reality is that these were not racist events that happened many decades ago; it was less than 20 years ago. It is really shocking to see a man of my age reduced to tears from the experiences he had on the pitch. I heard of his determination to ensure that future generations do not suffer the same. His real passion nowadays is not football, but education, and I met him at one of my local secondary schools to talk about how they could do better to ensure that young people understand the history of our country in the most holistic and rounded way.

I pay tribute to the right hon. Member for Islington North because he said this, too, but we should not be celebrating Black History Month. Perhaps we should not be focusing on history—perhaps it should be about culture, art, music, science and all those fantastic role models across the curriculum. We should not be doing it in a month, because we should be embedding it across the year. As Chair of the Women and Equalities Committee, I am proud to be working hand in hand with the Petitions Committee to talk about how we can improve the black history curriculum and make sure that it is properly embedded.

I speak as the representative of a small town called Romsey, the birthplace of a fantastic woman called Florence Nightingale. Every time there is any discussion about removing Nightingale from the history curriculum, there is absolute uproar. The Nightingale Society comes and speaks to me and says, “You have to do everything you can. Of the great Victorians, Nightingale is right up there.” I often say, because sometimes I like to be a little provocative, “How about Mary Seacole?” We have the Seacole wing at the Royal South Hants Hospital, and we have the Nightingale ward in Romsey Hospital. I always say, “Can we not have both? Can we not ensure that the history of our country is properly represented, including all people, all faiths, all colours and all backgrounds?” It is crucial that we work very hard to do just that.

She is no longer in her place, which is disappointing, but I was delighted to hear the hon. Member for Brent Central (Dawn Butler) talk about allyship, and that is such an important phrase. When I took over as Chair of the Women and Equalities Committee, I came under fire from SOAS because I was not diverse enough. It appeared utterly ignorant of the process, which is now an election—it is hardly my fault that it was an uncontested election—and I said to it then as I say to it now, “You have got me wrong if you think I cannot be an ally of black communities, of Asian communities and of minority ethnic communities. You have got me absolutely wrong if you think that my Committee will not go after compulsory reporting of the ethnicity pay gap every bit as much as we care about the compulsory reporting of the gender pay gap.” I say to the Minister, gently, please can we have that reporting back? She should expect over the course of the coming months that my pleas will not be so gentle.

It is imperative that wherever we are from and from whatever background, we are determined, willing and happy to stand up and be counted. As the hon. Member for Brent Central said, we must be prepared to speak up and not just stand silent. By standing silent, we are not doing our part.

[Wera Hobhouse (Bath) (LD)]

The hon. Lady is making a very good and passionate speech. She just mentioned that we now have a mandatory obligation to report on the gender pay gap, but not on the ethnicity pay gap. For that reason exactly, I introduced my private Member’s Bill about all ethnic minority shortlists, because local parties have the opportunity under the Equalities Act 2010 to have all women shortlists. Does she not agree that there is a gap in the Equalities Act in that sense?

--- Later in debate ---

[Wera Hobhouse (Bath) (LD)]

I have listened to many interesting and good contributions, but also some that I have found slightly disappointing. I sometimes wonder whether people have quite got it yet. It is important that we have many more debates like this one, until every last person really gets it. I am not black so I do not pretend to understand what it is like to have grown up as a black person. It is therefore very important for me to hear many, many stories of people who have a different skin colour from my own, rather than having a ready opinion of what I think those people should feel like. But there we go; we need to discuss this further.

Earlier this year, the death of George Floyd and the resurgence of the Black Lives Matter movement pushed the issue of racial injustice to the forefront of our attention. Discrimination and social injustice go hand in hand. Our society is full of discrimination, be it on sex and gender, physical or mental disability, age, religion or income, but discrimination based on race and ethnicity continues to be the most stubborn and most politically abused. The new and growing culture war, the toxic debates about immigration over the last 10 years and the associated increase in racial hate crimes have all added to the horrible sense that we have recently gone backwards, rather than forwards.

The Black Lives Matter protests in the summer were remarkable in their global response. Painful as it was, this created a huge learning opportunity for many of us, including me. I believe in respectful dialogue between real people. I have been listening to and speaking with members of the black community in my constituency of Bath. I have heard eye-opening and moving stories from residents who have faced systemic racism for their entire lives in our city. Yes, of course there are individual exceptions, but let us listen to the majority experience of people who grow up in black communities.

The city of Bath prides itself on being open and welcoming, so I have to admit that I was shocked, surprised and ashamed by a small but vociferous minority leading an ugly backlash against a necessary and positive wake-up call. We must face up to the continuing structural racial inequalities in Britain today. We need to reject and dismantle the culture war that is being actively promoted in our society. It robs our country of humanity and compassion, and will be the death of a tolerant and liberal society, and we need actively to call it out and fight against it.

Many people remain extremely defensive about racism. It can be difficult and painful, but we must try to look at it from the perspective of others—of those who have been touched by it. The only people who can speak credibly about racism are those who have experienced it at first hand. Their lived experience is real; no one can take that away from them. Not everyone in our black community supports the idea of Black History Month. It can run the risk of becoming a superficial tick-box exercise without any tangible outcomes. We cannot condone a selective view and teaching of our nation’s history—one that leaves some people out and negates and invalidates their experience. Including more rather than less in our history books can only be enriching. It means not that we eradicate history, but that we add to it to get a fuller picture of what life is and has been for more than just the white majority.

For as long as it takes our country to confront the totality of our history, including the parts that we are disturbed and ashamed about, such as slavery, Black History Month has a place in our calendars and in our consciousness. It serves as a prompt and as a reminder to focus our attention, to listen, to discuss, to learn, to reflect, to change and to measure whether we actually make any progress in eradicating racial discrimination. As I have said, I was slightly disturbed by some of the exchanges about who has done better or who has done worst, rather than recognising that we all can and must do better. There is no place for complacency here. Behind every statistic of racial injustice is a human life—a real person.

Last week, I visited Fairfield House in Bath: a place of local, national and global significance. It was the residence of the Ethiopian Emperor Haile Selassie while he was in exile for five years before and during the second world war. The house serves as a focal point for the local black community. Elders gather every Friday for lunch. It represents a fascinating chapter of black history and should be a source of great pride for all of us in our city, and yet it is actually quite hidden.

Our country is on a journey towards racial equality. I hope that this year will be a milestone in our shared commitment to going forward and to making genuine progress.