Live Budget 2017

0:00:00 > 0:00:06So Prime Minister's Questions comes to an end and.

0:00:06 > 0:00:19Thank you. Border. Dashboard.

0:00:31 > 0:00:39Copies of the speech will be available in the library afterwords.

0:00:39 > 0:00:43I now call the Chancellor of the Exchequer, the right honourable

0:00:43 > 0:00:52Philip Hammond. Mr Deputy Speaker, I report today on

0:00:52 > 0:00:56an economy which continues to grow, continues to create more jobs than

0:00:56 > 0:00:59ever before, and continues to confound those who seek to talk it

0:00:59 > 0:01:08down. An economy is set on a path to a new relationship with our European

0:01:08 > 0:01:17neighbours and a new future outside the European Union. A future that

0:01:17 > 0:01:20will be full of change, full of new challenges and above all, full of

0:01:20 > 0:01:24new opportunities. And in this Budget, we express our resolve to

0:01:24 > 0:01:28look forwards, not backwards. To embrace that change, to meet those

0:01:28 > 0:01:36challenges head-on, and to seize those for Britain. For negotiations

0:01:36 > 0:01:41on a relationship with the EU are in a critical phase. My right

0:01:41 > 0:01:44honourable friend the Prime Minister has been clear we seek a deep and

0:01:44 > 0:01:49special partnership based on free and frictionless trading goods,

0:01:49 > 0:01:53close collaboration on security and strong mutual respect and

0:01:53 > 0:01:57friendship. As Chancellor, Mr Deputy Speaker, I am clear that one of the

0:01:57 > 0:02:01biggest boosts we can provide to businesses and families, one of the

0:02:01 > 0:02:06best ways to protect British jobs and prosperity, as we build that new

0:02:06 > 0:02:11future, is to make early progress in delivering my right honourable

0:02:11 > 0:02:14friend's vision. With an implementation agreement that allows

0:02:14 > 0:02:19businesses to plan and invest with confidence. And this government will

0:02:19 > 0:02:25make the pursuit of that progress is a top priority in the weeks ahead.

0:02:25 > 0:02:30But Mr Deputy Speaker, while we work to achieve this deep and special

0:02:30 > 0:02:34partnership, we are determined to ensure that the country is prepared

0:02:34 > 0:02:42for every possible outcome. We have already invested almost £700 million

0:02:42 > 0:02:49in Brexit preparations, and today, I am setting aside over the next two

0:02:49 > 0:02:52years, another £3 billion, and I stand ready to allocate further sums

0:02:52 > 0:02:58if and when needed. Mr Deputy Speaker, no one should doubt our

0:02:58 > 0:03:05resolve. But this Budget is about much more than Brexit. The world is

0:03:05 > 0:03:08on the brink of a technological revolution, one that will change the

0:03:08 > 0:03:14way that we work and live, and transform our living standards for

0:03:14 > 0:03:19generations to come. And we face a choice. Either we embrace the

0:03:19 > 0:03:25future, seize the opportunities that lie within our grasp, and build on

0:03:25 > 0:03:29Britain's great global success story, or as the party opposite

0:03:29 > 0:03:34advocates, rejects change and turn inwards to the failed and irrelevant

0:03:34 > 0:03:42dogmas of the past. Mr Deputy Speaker, we have no doubt we choose

0:03:42 > 0:03:52the future. We choose, we choose to run towards change, not away from

0:03:52 > 0:03:59it. To prepare our people to meet the challenges ahead, not to hide

0:03:59 > 0:04:05from them. And the prize will be enormous. For the first time in

0:04:05 > 0:04:08decades, Britain is genuinely at the forefront of this technological

0:04:08 > 0:04:14revolution. Not just in our universities and research

0:04:14 > 0:04:18institutes, but this time in the commercial development labs of our

0:04:18 > 0:04:21great companies and on factory floors and business parks across

0:04:21 > 0:04:27this land. But we must invest to secure this bright future for

0:04:27 > 0:04:32Britain, and that this Budget, that is what we choose to do. But Mr

0:04:32 > 0:04:37Deputy Speaker, we are listening, and we understand the frustration of

0:04:37 > 0:04:42families where real incomes or under pressure. So at this Budget we

0:04:42 > 0:04:47choose a balanced approach. Yes, maintaining fiscal responsibility as

0:04:47 > 0:04:54we last see our debt Peking. Continuing to invest in the skills

0:04:54 > 0:04:58and infrastructure that will support the jobs of the future. Building the

0:04:58 > 0:05:04homes that will make good on our promise to the next generation. But

0:05:04 > 0:05:10crucially, also helping families to cope with the cost of living. Mr

0:05:10 > 0:05:14Deputy Speaker, as we invest in our country's future, I have a clear

0:05:14 > 0:05:18vision of what that global Britain looks like. A prosperous and

0:05:18 > 0:05:23inclusive economy. Where everybody has the opportunity to shine.

0:05:23 > 0:05:29Wherever in these islands they live, and whatever their background. Where

0:05:29 > 0:05:34talent and hard work are rewarded. Where the dream of home ownership is

0:05:34 > 0:05:42a reality for all generations. A hub of enterprise and innovation. A

0:05:42 > 0:05:47beacon of creativity. A civilised and tolerant place that cares for

0:05:47 > 0:05:51the vulnerable and nurtures the talented. And outward looking free

0:05:51 > 0:06:00trading nation, a full good in the world. That is the Britain that I

0:06:00 > 0:06:05want to leave to my children, Mr Deputy Speaker. A Britain we can be

0:06:05 > 0:06:10proud of. A country fit for the future. I know we will not build it

0:06:10 > 0:06:19overnight, but in this Budget today we will lay the foundations. I'm

0:06:19 > 0:06:22being tempted with something a little more exotic here, but I will

0:06:22 > 0:06:37stick to plain water. I did take the precaution... I did take the

0:06:37 > 0:06:39precaution of asking my right honourable friend to bring a packet

0:06:39 > 0:06:52of cough sweets just in case. LAUGHTER

0:06:52 > 0:07:07Mr Deputy Speaker, Mr Deputy Speaker...Order, order. I think it

0:07:07 > 0:07:15might be a hearing aid we all need if this continues.Mr Deputy

0:07:15 > 0:07:21Speaker, I shall first report to the House on the economic forecast of

0:07:21 > 0:07:24the independent OBR. This is the bit with the long economic words in it.

0:07:24 > 0:07:35LAUGHTER Once again, I thank Robert Chote and

0:07:35 > 0:07:39his team for their hard work over the last few weeks. I believe

0:07:39 > 0:07:43passionately that the best way to improve the lives of people across

0:07:43 > 0:07:47the length and breadth of this country is to help them get into

0:07:47 > 0:07:52work. Mr Deputy Speaker, I am acutely aware that 1.4 million

0:07:52 > 0:08:04people out of work is 1.4 million to many. So today... Today I welcome

0:08:04 > 0:08:10the OBR forecast that there will be another 600,000 people in work by

0:08:10 > 0:08:172022. And I am immensely proud of this government's record in having

0:08:17 > 0:08:23created over 3 million new jobs since 2010.

0:08:23 > 0:08:29A far cry from the 1.2 million job losses the right honourable member

0:08:29 > 0:08:35for Hayes and Harlington predicted in 2011 but in no doubt this

0:08:35 > 0:08:38government will continue its focus on getting more people into work,

0:08:38 > 0:08:43giving them security and peace of mind of a regular wage. I want work

0:08:43 > 0:08:50to be a good well-paid and regrettably our productivity

0:08:50 > 0:08:57performance continues to disappoint. The OBR assumed at each of the last

0:08:57 > 0:09:0116 fiscal events that productivity growth would return to its precrisis

0:09:01 > 0:09:07trend of about 2% per year, but it has remained stubbornly flat. Today

0:09:07 > 0:09:12they revised down the outlook for productivity growth, business

0:09:12 > 0:09:18investment and GDP growth across the forecast period. They now expect to

0:09:18 > 0:09:28see GDP grow 1.5% in 2017, one .4 in 2018, one .3 in 2019 and 2020,

0:09:28 > 0:09:38before picking up to 1.5% and finally 1.6% in 2022. With inflation

0:09:38 > 0:09:43peaking at 3% in this quarter before falling back to target in the next

0:09:43 > 0:09:51year. I reaffirm the remit that the Monetary Policy Committee and its

0:09:51 > 0:09:56inflation target. We took over an economy with the highest budget

0:09:56 > 0:10:03deficit in peacetime history. Since then, thanks to the hard work of the

0:10:03 > 0:10:09British people, that deficit has been shrinking. Next year, it will

0:10:09 > 0:10:17be below 2%. Our debt is still too high and we need to get it down. Not

0:10:17 > 0:10:22for and ideological reason, but because successive debt undermines

0:10:22 > 0:10:27economic security leaving is vulnerable to shocks. It passes the

0:10:27 > 0:10:32burden unfairly to the next generation. And because it simply

0:10:32 > 0:10:37cannot be right to spend more on our debt interest than on police and

0:10:37 > 0:10:42Armed Forces combined. I am pleased to tell the House OBR expects debt

0:10:42 > 0:10:48to peak this year and then gradually fall as a share of GDP. They turning

0:10:48 > 0:10:59point in the recovery. Mr Deputy Speaker, apparently, not everyone

0:10:59 > 0:11:04shares the view that falling debt is good news. I heard representations

0:11:04 > 0:11:10from the party opposite suggesting increasing the debt by £500 billion.

0:11:10 > 0:11:16Taking us back to square one, wasting an extra £7 billion a year

0:11:16 > 0:11:22on debt interest. If they carry on like that, there will be plenty of

0:11:22 > 0:11:35others joining Kezia Dugdale saying, I'm Labour, get me out of here. Mr

0:11:35 > 0:11:41Deputy Speaker, I have rejected these representations and instead I

0:11:41 > 0:11:45reaffirm our pledge of fiscal responsibility and our commitment to

0:11:45 > 0:11:50the fiscal rules set out last autumn. Now I choose to use some of

0:11:50 > 0:11:55the headroom I established then so that as well as reducing debt, we

0:11:55 > 0:12:02can also invest in Britain's future, support key public services, keep

0:12:02 > 0:12:06taxes low and provide a little help to families and businesses under

0:12:06 > 0:12:11pressure. A balanced approach that will prepare Britain for the future,

0:12:11 > 0:12:18not seek to hide from it. Today the OBR confirmed we are on track to

0:12:18 > 0:12:23meet our fiscal rules, borrowing is forecast to be 49.9 billion this

0:12:23 > 0:12:30year, 8.4 billion lower than forecast at the spring budget. After

0:12:30 > 0:12:34taking account of all decisions since the spring budget, the GDP

0:12:34 > 0:12:40revision and measures I will announce borrowing will fall in

0:12:40 > 0:12:48every year of the forecast from 39.5 billion next year, to 25.6 point

0:12:48 > 0:12:536,000,000,020 2-23 to reach its lowest level in 20 years. As a

0:12:53 > 0:13:01percentage of GDP falls from 2.4% to 1.9% next year, then 1.6, 1.5, 1.3

0:13:01 > 0:13:10and finally 1.1% in 22-3. The OBR forecast the structural deficit to

0:13:10 > 0:13:18be 1.3% of GDP in 2021, giving 14.8 billion of headroom against our 2%

0:13:18 > 0:13:30target. Debt will peak at 86.5% of GDP this year and then fall to 86.4,

0:13:30 > 0:13:39then 86.1, 83.1, 79.3 and 79.1 in 22 - 23, the first sustained decline in

0:13:39 > 0:13:49debt in 17 years. Under Conservative led governments, the hard work of

0:13:49 > 0:13:53the British people is steadily clearing up the mess left behind by

0:13:53 > 0:14:05Labour. At the heart of global Britain must be a dynamic and

0:14:05 > 0:14:10innovative economy. On Monday, the Prime Minister set out key elements

0:14:10 > 0:14:14of our modern industrial strategy, which will raise productivity and

0:14:14 > 0:14:18wages in all parts of the country and guarantee a brighter future we

0:14:18 > 0:14:22have promised to the next generation. The Business Secretary

0:14:22 > 0:14:28will present a White Paper in the next few days. This is not just an

0:14:28 > 0:14:34economic plan. It is a key part of our vision for a fairer Britain, a

0:14:34 > 0:14:39Britain where every one of our citizens can contribute to and share

0:14:39 > 0:14:43in the benefits of prosperity. And the key to raising the wages of

0:14:43 > 0:14:49British workers is raising investment, public and we are

0:14:49 > 0:14:55investing in Britain's future, half £1 trillion since 2010, the biggest

0:14:55 > 0:14:59rail programme since Victorian times, the largest road-building

0:14:59 > 0:15:04programme since the 1970s, the biggest increase in science and

0:15:04 > 0:15:09innovation funding in four decades and the two largest infrastructure

0:15:09 > 0:15:14projects in Europe, Crossrail and HS2. When I took this job I

0:15:14 > 0:15:18committed to make the battle to raise Britain's productivity and the

0:15:18 > 0:15:25nation's pay the central mission of the Treasury. Last autumn, I

0:15:25 > 0:15:31launched the national productivity investment funds to provide an

0:15:31 > 0:15:34additional £23 billion of investment over five years, to upgrade the

0:15:34 > 0:15:38economic infrastructure for the 21st century. Today I announce I will

0:15:38 > 0:15:47extend the fund a further year and expand it to over £31 billion.

0:15:47 > 0:15:53Meaning that public investment under this government will on average be

0:15:53 > 0:15:57£25 billion per year higher in real terms than under the last Labour

0:15:57 > 0:16:05government. We are allocating a further £2.3 billion for investment

0:16:05 > 0:16:16in R&B and will increase the main RND tax credit to 12% -- R&D. To

0:16:16 > 0:16:24drive up investment across the economy to 2.4% of GDP. Britain is

0:16:24 > 0:16:28the world's sixth-largest economy. London is the number one

0:16:28 > 0:16:32international financial services sector and we have some of the

0:16:32 > 0:16:35world's Best companies and a commanding position in a raft of

0:16:35 > 0:16:40tech and digital industries that will form the backbone of the global

0:16:40 > 0:16:46economy. Those who under estimate Britain do so at their peril.

0:16:46 > 0:16:51Because we will harness this potential and turn it into the

0:16:51 > 0:16:55high-paid, high productivity jobs of tomorrow. Others may choose to

0:16:55 > 0:17:01reject the future, we choose to embrace it. A new tech business is

0:17:01 > 0:17:10founded in Britain every hour. I want that to be every half-hour.

0:17:10 > 0:17:13Today, we invest over £500 million in a range of initiatives from

0:17:13 > 0:17:18artificial intelligence to five G and four fibre broadband and support

0:17:18 > 0:17:21regulation with the new Pioneer fund and a new geospatial data commission

0:17:21 > 0:17:30to develop... You should listen. To develop a strategy for using the

0:17:30 > 0:17:35government location data to support economic growth and to help tech

0:17:35 > 0:17:41start-ups reach scale we asked for a review of availability of capital.

0:17:41 > 0:17:46Today we are publishing an action plan to unlock over £20 billion of

0:17:46 > 0:17:50new investment in UK knowledge intensive scale up businesses

0:17:50 > 0:17:55including through a new fund in the British business bank seeded with

0:17:55 > 0:18:01£2.5 billion of public money by facilitating pension-fund access to

0:18:01 > 0:18:08long-term investment sum by doubling investments limits for knowledge

0:18:08 > 0:18:12intensive companies while ensuring EI S is not used as a shelter for

0:18:12 > 0:18:17low risk capital preservation schemes. We stand ready to step in

0:18:17 > 0:18:23to replace European investment fund lending is necessary. There is

0:18:23 > 0:18:28perhaps no technology as symbolic of the Revolution gathering pace as

0:18:28 > 0:18:31driverless vehicles.

0:18:40 > 0:18:45They surely do not want me to make the joke about the Labour Party

0:18:45 > 0:18:49again, Mr Deputy Speaker? I know Jeremy Clarkson does not like them

0:18:49 > 0:18:54but there are many other good reasons to pursue this technology.

0:18:54 > 0:19:00Today, we step up support for it. I'm sorry, Jeremy, definitely not

0:19:00 > 0:19:09the first time you have been snubbed by Hammond and May. Allah future

0:19:14 > 0:19:21-- our future vehicles will be driverless but there they will be

0:19:21 > 0:19:25electric first and that is a change that needs to come as soon as

0:19:25 > 0:19:30possible for the planet. We will establish a £400 million structure

0:19:30 > 0:19:34fund and invest an extra hundred million per plug-in car Grant and

0:19:34 > 0:19:41more for R&D. I will clarify the law so that people who charge electric

0:19:41 > 0:19:45vehicles at work will not face a benefit in kind charge from next

0:19:45 > 0:19:51year. The tax system can play an important role in protecting our

0:19:51 > 0:19:55environment. We owe it to our children the air they breathe is

0:19:55 > 0:19:59clean and we published the air quality plan this year and said then

0:19:59 > 0:20:06we would fund it through taxes on new diesel cars. From April 2018,

0:20:06 > 0:20:09the first year rate for diesel cars that do not meet the latest

0:20:09 > 0:20:16standards will go up by £1 and the existing supplement in company car

0:20:16 > 0:20:20tax will increase by one percentage point and drivers buying a new car

0:20:20 > 0:20:26will avoid this charge as soon as manufacturers bring forward the next

0:20:26 > 0:20:30generation of cleaner diesels. We only apply this measure to cars.

0:20:30 > 0:20:37Before the headline writers start to limber up, let me be clear. No white

0:20:37 > 0:20:50van man or woman will be hit by these measures. This levy will fund

0:20:50 > 0:20:54a new £220 million cleaner fund to provide support for the

0:20:54 > 0:20:59implementation of local air quality plans, improving the quality of air

0:20:59 > 0:21:06in cities and towns in the UK. Our air quality is sadly not our only

0:21:06 > 0:21:13environmental challenge. Audiences in the country glued to Blue Planet

0:21:13 > 0:21:17have been reminded of the problems of plastics pollution. The UK lead

0:21:17 > 0:21:21the world on climate change agreements and pioneers protecting

0:21:21 > 0:21:26marine environment and I want us to be a world leader in tackling the

0:21:26 > 0:21:30scourge of plastic littering the planet and oceans. With my right

0:21:30 > 0:21:34honourable friend the Environment Secretary I will investigate how the

0:21:34 > 0:21:41tax system and charges on single use plastic items can reduce waste. We

0:21:41 > 0:21:45cannot keep our promise to the next generation to build an economy fit

0:21:45 > 0:21:53for the future unless we ensure our planet has a future. Meeting the

0:21:53 > 0:21:58challenge of change head on means giving our people the confidence to

0:21:58 > 0:22:02embrace it and the skills to reap the rewards and we have a plan to do

0:22:02 > 0:22:08so. We are delivering 3 million apprenticeships by 2020 thanks to

0:22:08 > 0:22:13the apprenticeship levy and I will review the flexibility levy payers

0:22:13 > 0:22:18have to spend this. We are introducing T levels and I am

0:22:18 > 0:22:24providing £20 million to support colleges to prepare for them.

0:22:24 > 0:22:29Knowledge of maths is key to the high-tech, cutting edge jobs in our

0:22:29 > 0:22:33digital economy. It is useful in less glamorous roles like front line

0:22:33 > 0:22:41politics! We will expand the teaching for mastery of maths

0:22:41 > 0:22:47programme to further 3000 schools and provide 40 million to train

0:22:47 > 0:22:52maths teachers and introduce a £600 maths premium for schools for every

0:22:52 > 0:23:01additional people who takes a level maths and invite proposals for new

0:23:01 > 0:23:05maths schools across England so highly talented young mathematicians

0:23:05 > 0:23:07can release their potential wherever they live and what ever their

0:23:07 > 0:23:14background.

0:23:14 > 0:23:18More maths for everyone. Don't let anyone say I don't know how to show

0:23:18 > 0:23:28the nation a good time! Computer science is also at the

0:23:28 > 0:23:35heart of this revolution. So we will ensure every secondary school pupil

0:23:35 > 0:23:40can study computing by tripling the number of trained computer science

0:23:40 > 0:23:46teachers to 12,000. And we will work with industry to create a new

0:23:46 > 0:23:49national centre for computing. But Mr Deputy Speaker, rapid

0:23:49 > 0:23:54technological change means we also need to help people we train during

0:23:54 > 0:23:59their working lives, ensuring our

0:23:59 > 0:24:00workforce is equipped with the skills they need for the workplace

0:24:00 > 0:24:04of the future. Today, my right honourable friend the Education

0:24:04 > 0:24:08Secretary and I are launching an historic partnership between

0:24:08 > 0:24:13government, the CBI and the TUC to set the strategic direction for a

0:24:13 > 0:24:18national retraining scheme. Its first priority will be to boost

0:24:18 > 0:24:21digital skills and support expansion of the construction centre. To make

0:24:21 > 0:24:26a start immediately, we will invest £30 million in the development of

0:24:26 > 0:24:29digital skills distance learning courses, so people can learn

0:24:29 > 0:24:34wherever they are and whenever they want. I'm pleased to be able to

0:24:34 > 0:24:45accept the representation that I have

0:24:47 > 0:24:50received from the TUC, to continue to fund union learn which I

0:24:50 > 0:24:56recognise as a valuable part of our support to workplace learning. Mr

0:24:56 > 0:25:07Deputy Speaker, I got an e-mail from Len asking me especially, backing

0:25:07 > 0:25:11skills is key to unlocking growth nationally, but far too much of our

0:25:11 > 0:25:15economic strength is concentrated in our capital city. If we are truly to

0:25:15 > 0:25:19build an economy that is fit for the future, then we have to get all

0:25:19 > 0:25:24parts of the UK firing on all cylinders, and that is what our

0:25:24 > 0:25:30modern industrial strategy is all about. Today, we back the Northern

0:25:30 > 0:25:33Powerhouse, the Midlands engine and elected mayors across the UK. We

0:25:33 > 0:25:40back them with a new 1.7 £1.7 billion transforming cities fund,

0:25:40 > 0:25:45half of it to be shared with the six areas with Metro mayors, to give

0:25:45 > 0:25:49them power to deal with transport priorities, and the remainder will

0:25:49 > 0:25:56be opened to competition in other cities in England. We are investing

0:25:56 > 0:25:59£300 million to assure HS2 infrastructure will incorporate

0:25:59 > 0:26:05Northern Powerhouse and Midland engine improvements. I am also

0:26:05 > 0:26:11providing money to trial digital solutions on the trans-Pennine

0:26:11 > 0:26:22route. We are developing a punch with Manchester and I'm pleased to

0:26:22 > 0:26:27announce a second devolution deal with Andy Street and we will find

0:26:27 > 0:26:32the replacement of the 40 old rolling stock on the Tyne at where

0:26:32 > 0:26:38Metro and a total investment of 337 million pounds. We will invest £123

0:26:38 > 0:26:51million in the Redcar steel steelwork sites to support the work

0:26:51 > 0:26:59of those leading the fight for prosperity in that area. Mr Deputy

0:26:59 > 0:27:03Speaker, we are piloting 100% business rates retention in London

0:27:03 > 0:27:09next year, and continuing to work with TFL on the funding and

0:27:09 > 0:27:14financing of Crossrail two. We will also make over £1 billion of

0:27:14 > 0:27:18discounted lending available to local authorities across the country

0:27:18 > 0:27:21to support high-value infrastructure projects. A Conservative government

0:27:21 > 0:27:29giving power back to the people of Britain, and driving prosperity and

0:27:29 > 0:27:32greater fairness across our United Kingdom.

0:27:32 > 0:27:38The decisions taken in this Budget also mean £2 billion more for the

0:27:38 > 0:27:46Scottish Government, £1.2 billion more for the Welsh Government, and

0:27:46 > 0:27:51156 mg more for the Northern Ireland Executive. I can confirm today

0:27:51 > 0:27:57progress is being made on the city 's deal for Terry and Stirling. I'm

0:27:57 > 0:28:03getting used to the experience of having my ear bent by 13

0:28:03 > 0:28:11Conservatives Scottish colleagues. Most recently on the issue of

0:28:11 > 0:28:19Scottish police and fire VAT. The SNP knew the rules, they knew the

0:28:19 > 0:28:21consequences of introducing these bodies and they ploughed ahead

0:28:21 > 0:28:32anyway. My Scottish Conservative colleagues have persuaded me that

0:28:32 > 0:28:36the Scottish people should not lose out just because of the obstinacy of

0:28:36 > 0:28:48the SNP government. So we will legislate to allow VAT refunds from

0:28:48 > 0:28:53April 20 18. And in response to yet more representations from my

0:28:53 > 0:28:57honourable Scottish friends, aided and abetted by my honourable friend

0:28:57 > 0:29:02for Waverley, from November 2018, we will introduce agile is there a tax

0:29:02 > 0:29:08history for transfers of gas in the North Sea, an innovative tax policy

0:29:08 > 0:29:12which will bring fresh investment to a base on which still holds up to 20

0:29:12 > 0:29:19billion barrels of oil. We will begin negotiations towards great

0:29:19 > 0:29:24deals the North Wales and mid Wales, and we will abolish tolls on the

0:29:24 > 0:29:29Severn Bridge as promised by the end of next year. We will deliver on our

0:29:29 > 0:29:34commitment to review the effect of VAT and APD on tourism in Northern

0:29:34 > 0:29:39Ireland, reporting on next year's Budget and we will open negotiations

0:29:39 > 0:29:43for a Belfast city deal as part of our commitment to an ambitious set

0:29:43 > 0:29:48of city deals across Northern Ireland. A Conservative government

0:29:48 > 0:29:57delivering for all parts of our United Kingdom. It is only by

0:29:57 > 0:30:01supporting our regions and nations, dealing with our debts and investing

0:30:01 > 0:30:05in skills and infrastructure for the long term, that we can build an

0:30:05 > 0:30:09economy fit for the future. But I recognise that many people are

0:30:09 > 0:30:13feeling pressure on their budgets now. And because we are all in

0:30:13 > 0:30:19politics to make people's lives better, in the short term as well as

0:30:19 > 0:30:23the long-term, we will take further measures in this Budget to help

0:30:23 > 0:30:29families and businesses where we can. The switch to Universal Credit

0:30:29 > 0:30:35is a long overdue and necessary reform. Replacing Labour's broken

0:30:35 > 0:30:40system that discouraged people from working more than 16 hours a week

0:30:40 > 0:30:45and trapped 1.4 million on out of work benefits for nearly a decade,

0:30:45 > 0:30:49Universal Credit delivers a modern welfare system where work always

0:30:49 > 0:30:58pays and people are supported to earn. But I recognise, Mr Deputy

0:30:58 > 0:31:01Speaker, the genuine concerns on both sides of the House at about the

0:31:01 > 0:31:03operational delivery of this benefit, and today we will act on

0:31:03 > 0:31:09those concerns. First, we will remove the seven-day waiting period

0:31:09 > 0:31:13applied at the beginning of a benefit claim, so that entitlement

0:31:13 > 0:31:18to Universal Credit will start on the day of the claim. To provide

0:31:18 > 0:31:21greater support during the waiting period, we will change the advance

0:31:21 > 0:31:26the system to ensure any household needs it can access a full month's

0:31:26 > 0:31:31payment within five days of applying. We will make it possible

0:31:31 > 0:31:37to apply for an advanced online. We will extend the repayment period for

0:31:37 > 0:31:42advances from six months to 12 months, and any new Universal Credit

0:31:42 > 0:31:46claimant in receipt of housing benefit at the time of the claim

0:31:46 > 0:31:51will continue to receive that housing benefit for a further two

0:31:51 > 0:31:57weeks, making it easier for them to pay their rent. This, Mr Deputy

0:31:57 > 0:32:01Speaker, is a £1.5 billion package to address concerns about the

0:32:01 > 0:32:09delivery of the benefit. My right honourable friend the Secretary of

0:32:09 > 0:32:11State for Work and Pensions will give further details in a statement

0:32:11 > 0:32:16to the House tomorrow. We also want to help low income households in

0:32:16 > 0:32:21areas where rents have been rising fastest. In the long run, of course,

0:32:21 > 0:32:26the answer lies in increasing the amount of housing available, a theme

0:32:26 > 0:32:30I shall return to. In the meantime, the best way to help them is by

0:32:30 > 0:32:35increasing the rate of support in those areas where rents are least

0:32:35 > 0:32:40affordable. We will increase targeted affordability funding by

0:32:40 > 0:32:45£125 million over the next two years, benefiting 140,000 people. We

0:32:45 > 0:32:51will always listen to genuine concerns and act where we can to

0:32:51 > 0:32:57help. Making work pay is core to the philosophy of this government. That

0:32:57 > 0:33:03is why we introduced the National Living Wage in 2016. In April, it

0:33:03 > 0:33:13will rise by 4.4%, from £7 50 an hour, to £7 83, handing full-time

0:33:13 > 0:33:18workers a further £600 pay increase, taking their total pay rise since

0:33:18 > 0:33:25its introduction to over £2000 a year. We also accept the low pay

0:33:25 > 0:33:29commission's recommendations on national minimum wage rates,

0:33:29 > 0:33:33supporting our young people with the largest increase in youth rates in

0:33:33 > 0:33:42ten years, delivering a pay rise for over 2 million minimum wage workers

0:33:42 > 0:33:45of all ages across the country. The facts are these. Income inequality

0:33:45 > 0:33:51today is at its lowest level in 30 years. The top 1% are paying a

0:33:51 > 0:33:55larger share of income taxes than at any time under the last Labour

0:33:55 > 0:34:01government. The poorest 10% in Britain have seen their real incomes

0:34:01 > 0:34:06grow faster than 2010 than the richest 10%, and the proportion of

0:34:06 > 0:34:14full-time jobs that are low paid is at its lowest level for 20 years. A

0:34:14 > 0:34:21Conservative government delivering a fairer Britain. But as well as

0:34:21 > 0:34:25making work pay, we want families to keep more of the money they earn.

0:34:25 > 0:34:31When we came into office, the personal allowance stood at £6,475 a

0:34:31 > 0:34:38year. From April, I will increase the personal allowance to £11,850,

0:34:38 > 0:34:46and the higher rate threshold to £46,350, making progress towards our

0:34:46 > 0:34:51manifesto commitments, which I reiterate today. The typical basic

0:34:51 > 0:34:56rate taxpayer will be £1075 a year better off than 2010, and a

0:34:56 > 0:35:01full-time worker on the National Living Wage will take home more than

0:35:01 > 0:35:06£3800 extra. This Conservative government delivering for Britain's

0:35:06 > 0:35:16workers. Mr Deputy Speaker, I turn now to duties. The tobacco duty

0:35:16 > 0:35:23escalator will continue with an extra 1% duty on hand-rolling duty

0:35:23 > 0:35:27this year and minimum excise duty on cigarettes will also rise. Excessive

0:35:27 > 0:35:32alcohol consumption and the most vulnerable people is all too often

0:35:32 > 0:35:36through cheap high-strength low quality products, especially

0:35:36 > 0:35:40so-called white ciders. I want to pay tribute to the campaign led by

0:35:40 > 0:35:45my honourable friend for Congleton on this issue, and so following our

0:35:45 > 0:35:50recent consultation, we will legislate to increase duty on these

0:35:50 > 0:35:53products from 2019. But recognising the pressure on household budgets,

0:35:53 > 0:35:58and backing our great British pubs, duties on other sliders, wines,

0:35:58 > 0:36:09spirits and on beer will be frozen. This will mean a bottle of whiskey

0:36:09 > 0:36:14will be £1.15 less in 2018 than if we had continued with Labour's

0:36:14 > 0:36:20plans, and a pint of beer 12p less. So Merry Christmas, Mr Deputy

0:36:20 > 0:36:27Speaker. The cost of travel is also an important factor for families and

0:36:27 > 0:36:31businesses. From April 2019, I will again freeze short-haul air

0:36:31 > 0:36:36passenger duty rates, and I will also frees long-haul economy rates,

0:36:36 > 0:36:41paid for by an increase on premium class tickets and on private jets.

0:36:41 > 0:36:48Sorry, Lewis. For those who do not stretch to a private jet, I can

0:36:48 > 0:36:53announce a new Railcard for those aged 26 to 30, giving 4.5 million

0:36:53 > 0:37:01more young people a third of their rail fares. And I will once again

0:37:01 > 0:37:06cancel the fuel duty rise for both petrol and diesel that is scheduled

0:37:06 > 0:37:15for April. Since 2010, we will have saved the average car driver £850,

0:37:15 > 0:37:21and the average van driver over £2100, compared to Labour's

0:37:21 > 0:37:26escalator plans. Fuel duty has now been frozen for the longest period

0:37:26 > 0:37:34in 40 years, at a total cost to the Exchequer of £46 billion, is since

0:37:34 > 0:37:392010. Mr Deputy Speaker, our NHS is one of our great institutions. An

0:37:39 > 0:37:45essential part of what we are as a nation. And a source of pride the

0:37:45 > 0:37:49length and breadth of the country. Its values are the values of the

0:37:49 > 0:37:55British people, and we will always back it. Dedicated NHS staff are

0:37:55 > 0:38:00handling the challenges of an ageing population and the rapidly advancing

0:38:00 > 0:38:04technology with skill and commitment and we salute them. Mr Deputy

0:38:04 > 0:38:08Speaker, although you would not think so to listen to the Leader of

0:38:08 > 0:38:15the Opposition, as he regularly talks down the achievements of the

0:38:15 > 0:38:19NHS, the number of patients being treated is at record levels, cancer

0:38:19 > 0:38:24survival rates are at the highest ever level, 17 million people are

0:38:24 > 0:38:28now able to access GP appointments in the evenings and weekends, and

0:38:28 > 0:38:33public satisfaction among hospital inpatients is at its highest level

0:38:33 > 0:38:38in more than 20 years.

0:38:38 > 0:38:43It is central to this government's vision everyone has access to the

0:38:43 > 0:38:50NHS free at the point of need which is why we endorsed and funded the

0:38:50 > 0:38:53five-year forward view in 2014 but even with this additional funding we

0:38:53 > 0:38:57acknowledge the service remains under pressure and today we respond.

0:38:57 > 0:39:03First, we will deliver an additional £10 billion package of capital

0:39:03 > 0:39:08investment in front line services over the course of this Parliament,

0:39:08 > 0:39:13to support the sustainability and transformation plans that will make

0:39:13 > 0:39:18our NHS more resilient, investing for an NHS fit for the future. We

0:39:18 > 0:39:25also recognise that the NHS is under pressure right now. I am therefore

0:39:25 > 0:39:28exceptionally and outside the spending review process making an

0:39:28 > 0:39:33additional commitment of resource funding of £2.8 billion to the NHS

0:39:33 > 0:39:41in England. £350 million immediately to allow trusts to plan for this

0:39:41 > 0:39:49winter. 1.6 billion in 2018-19 but the balance in 19-20, taking the

0:39:49 > 0:39:59extra resource into the NHS next year to £3.75 billion in total.

0:39:59 > 0:40:08Meaning, Mr Deputy Speaker, our NHS will receive a £7.5 billion increase

0:40:08 > 0:40:15to its resource budget over this year and next. Our nation's nurses

0:40:15 > 0:40:21provide invaluable support to us all in our time of greatest need and

0:40:21 > 0:40:25deserve our deepest gratitude for their tireless efforts. My right

0:40:25 > 0:40:29honourable friend the Health Secretary has begun discussions with

0:40:29 > 0:40:36health unions on pay structure modernisation for staff to improve

0:40:36 > 0:40:40recruitment and retention. He will submit evidence to the independent

0:40:40 > 0:40:45pay review body in due course. I want to assure NHS staff and

0:40:45 > 0:40:50patients and members that if the Health Secretary's talks bear fruit,

0:40:50 > 0:40:53I will protect patient services by providing additional funding for

0:40:53 > 0:41:03such a settlement. Just as our public services must be fit for the

0:41:03 > 0:41:08future, so too must our tax system. It must remain competitive to

0:41:08 > 0:41:12attract the brightest and best to establish and grow businesses of the

0:41:12 > 0:41:17future. It must raise revenue we need to fund public services and it

0:41:17 > 0:41:22must be robust against abuse so it is fair to all. We have heard talk

0:41:22 > 0:41:25recently from the party opposite about what they would do to crack

0:41:25 > 0:41:33down on tax avoidance and evasion, but the truth is, they did not. It

0:41:33 > 0:41:37is this government that has clamped down on avoidance and evasion, this

0:41:37 > 0:41:42government has seen the tax gap cut by a quarter to a record low and

0:41:42 > 0:41:49this government that has raked in an extra £160 billion over seven years

0:41:49 > 0:41:52for our public services by collecting taxes due so I will take

0:41:52 > 0:42:01no lectures, but I will take action and this budget continues the work

0:42:01 > 0:42:06of the last seven years with a further package of measures that is

0:42:06 > 0:42:13forecast to raise £4.8 billion by 2022-3, doing the job Labour failed

0:42:13 > 0:42:22to do for 13 years in office. Our long-term phased reduction of

0:42:22 > 0:42:26corporation tax has generated investment and jobs and raised £20

0:42:26 > 0:42:32billion extra for public services. We are committed to maintaining

0:42:32 > 0:42:35competitive corporation tax rates that there is a case for removing

0:42:35 > 0:42:40the anomaly of the index allowance for capital gains bringing the

0:42:40 > 0:42:45corporate tax system into line with personal capital gains tax system. I

0:42:45 > 0:42:49will freeze this allowance so companies receive relief for

0:42:49 > 0:42:55inflation up to January 2018 but not thereafter. I am grateful to the

0:42:55 > 0:43:00office for tax simplification on their report on VAT registration

0:43:00 > 0:43:07threshold. At £85,000 the UK VAT threshold is by far the highest in

0:43:07 > 0:43:15the OECD, by contrast in Germany it is £15,600. I note the conclusion

0:43:15 > 0:43:21that it distorts competition and dis- incentivise is business growth

0:43:21 > 0:43:25and note the Federation of Small Businesses concerns about the cliff

0:43:25 > 0:43:30edge of the threshold but such a high threshold has the benefit of

0:43:30 > 0:43:35keeping the majority of small businesses out of VAT altogether so

0:43:35 > 0:43:44I am not minded to reduce the threshold. I will consult on whether

0:43:44 > 0:43:48it -- its design could better incentivise growth and we will

0:43:48 > 0:43:53maintain it at the current level for the next two years. We cannot build

0:43:53 > 0:44:01an economy fit for the future without supporting its backbone, our

0:44:01 > 0:44:055.5 million small businesses, who are responsible for nearly half our

0:44:05 > 0:44:11private sector jobs. They give the economy its vibrancy and resilience.

0:44:11 > 0:44:17I recognise many are feeling under pressure. I know that it is hard

0:44:17 > 0:44:21work to get a business off the ground and get it to grow, so today

0:44:21 > 0:44:27I want to do what we can to ease that pressure. Business rates

0:44:27 > 0:44:33represent a high fixed cost for small businesses. At budget 2016 we

0:44:33 > 0:44:39introduced a package of business rate relief worth almost £9 billion

0:44:39 > 0:44:45with a further £435 million in the spring budget. Today I go further.

0:44:45 > 0:44:49We have listened to concerns about the potential costs of the annual up

0:44:49 > 0:44:55rating of business rates in April. Today I will accept the

0:44:55 > 0:44:59representation of the British Chambers of Commerce, CBI and others

0:44:59 > 0:45:06and bring forward the planned switch from RPI to CPI by two years to

0:45:06 > 0:45:11April 2018, a move that is worth £2.3 billion to business over the

0:45:11 > 0:45:17next five years. I have listened to businesses affected by the so-called

0:45:17 > 0:45:23staircase tax. We will change the law to ensure where a businesses

0:45:23 > 0:45:27impacted by the ruling, it can have its original bill reinstated if it

0:45:27 > 0:45:33chooses and backdated and I hope I can expect cross-party backing to

0:45:33 > 0:45:39speed that measure through Parliament. Three simple steps to

0:45:39 > 0:45:46solve the staircase tax. What do they expect, it is the tax section?

0:45:46 > 0:45:51To support the thousands of small pubs at the heart of many

0:45:51 > 0:45:55communities, we will extend the £1000 discount with the rateable

0:45:55 > 0:46:05value of less than the amount to March 20 19. I have heard the

0:46:05 > 0:46:08concerns about the five-year reevaluation system and shorter

0:46:08 > 0:46:12periods will reduce the size of changes in valuation that I can

0:46:12 > 0:46:17announce after the next revaluation future revaluation will take place

0:46:17 > 0:46:20every three years. This Conservative government is listening to small

0:46:20 > 0:46:27business. There is a wider concern across this House and in the

0:46:27 > 0:46:31business community about the tax system in the digital age. Along

0:46:31 > 0:46:36with innovation and growth it brings, digitalisation poses

0:46:36 > 0:46:40challenges for the sustainability and fairness of our tax system but

0:46:40 > 0:46:45this challenge can only properly be solved on an international basis and

0:46:45 > 0:46:51the UK is leading the charge in the OECD and G20 to find solutions.

0:46:51 > 0:46:56Today we publish a paper on the tax challenge posed by the digital

0:46:56 > 0:47:00economy, setting out emerging thinking about potential solutions,

0:47:00 > 0:47:07but in the meantime we will take what action we can. Multinational

0:47:07 > 0:47:10digital businesses pay billions in royalties to jurisdictions where

0:47:10 > 0:47:17they are not taxed and some of these royalties relate to UK sales. From

0:47:17 > 0:47:21April 2019 and in accordance with international obligations we will

0:47:21 > 0:47:26apply income tax to royalties relating to UK sales when those

0:47:26 > 0:47:31royalties are paid to a low tax jurisdiction, even if they do not

0:47:31 > 0:47:38fall to be taxed in the UK under current rules. This will raise about

0:47:38 > 0:47:44£200 million a year. It does not solve the problem, but it sends a

0:47:44 > 0:47:48signal of our determination and we will continue to work in the

0:47:48 > 0:47:52international arena to find a sustainable and fair long-term

0:47:52 > 0:47:55solution that properly taxes digital businesses that operate in

0:47:55 > 0:48:00cyberspace. Following representations from a number of

0:48:00 > 0:48:05honourable friends we are taking action to address online VAT fraud

0:48:05 > 0:48:11that costs the taxpayer £1.2 billion per year, by making all online

0:48:11 > 0:48:17marketplaces jointly liable with their sellers for VAT, ensuring

0:48:17 > 0:48:22sellers operating through them pay the right VAT just we expect

0:48:22 > 0:48:28retailers on the high street to do. I want to turn to the challenge of

0:48:28 > 0:48:33the housing market. Before I do, I want to touch on the aftermath of

0:48:33 > 0:48:38the appalling events at Grenfell Tower. We have provided financial

0:48:38 > 0:48:43support for victims of this terrible tragedy and today I announce we will

0:48:43 > 0:48:49provide Kensington and Chelsea Council with a further £28 million

0:48:49 > 0:48:53for mental health and counselling services, the generation support and

0:48:53 > 0:48:59to provide a new community space for residents. This tragedy should never

0:48:59 > 0:49:06have happened and we must ensure nothing like it ever happens again.

0:49:06 > 0:49:11All local authorities and housing associations must carry out any

0:49:11 > 0:49:16identified necessary safety work as soon as possible. If any local

0:49:16 > 0:49:20authority cannot access funding to pay for essential fire safety work,

0:49:20 > 0:49:25they should contact us immediately, and I have said before and will

0:49:25 > 0:49:30again today, we will not allow financial constraints to get in the

0:49:30 > 0:49:37way of essential fire safety work. I want to also address the issue of

0:49:37 > 0:49:43empty properties. It cannot be right to leave property empty when so many

0:49:43 > 0:49:48are desperate for a place to live. We will legislate to give local

0:49:48 > 0:49:53authorities the power to charge a 100% council tax premium on empty

0:49:53 > 0:49:59properties. We will also launch a consultation on barriers to longer

0:49:59 > 0:50:02tenancies in the private rented sector and how we might encourage

0:50:02 > 0:50:07landlords to offer them to tenants who want extra security. I want to

0:50:07 > 0:50:13say something about rough sleeping. It is not acceptable in 21st-century

0:50:13 > 0:50:19Britain people are sleeping on the streets. We will invest today £28

0:50:19 > 0:50:24million in three new housing first pilots in the West Midlands,

0:50:24 > 0:50:29Manchester and in Liverpool, and we will establish a task force as part

0:50:29 > 0:50:33of our commitment to halving rough sleeping by 2022 and eliminating it

0:50:33 > 0:50:41by 2027. I would like to thank the many colleagues who submitted ideas

0:50:41 > 0:50:46on how to tackle the challenge of the housing market, including my

0:50:46 > 0:50:49honourable friends for North East Hampshire, Eastleigh and

0:50:49 > 0:50:55Weston-Super-Mare in particular. By continuing to invest in Britain's

0:50:55 > 0:51:00infrastructure, skills and R&D, we will ensure productivity and

0:51:00 > 0:51:05economic growth that is the key to delivering a stronger, fairer and

0:51:05 > 0:51:10more balanced economy and the assurance to the next generation of

0:51:10 > 0:51:13their economic security, but however successful in that endeavour, there

0:51:13 > 0:51:18is an area where young people will rightly feel concerned about their

0:51:18 > 0:51:23future prospects and that is in the housing market. House prices are

0:51:23 > 0:51:28increasingly out of reach. It takes too long to save for a deposit and

0:51:28 > 0:51:35rents absorbed too high a portion of monthly income. The number of 25-34

0:51:35 > 0:51:41year old is owning their own home has dropped from 59% to 38% in 13

0:51:41 > 0:51:47years. Put simply, successive governments over decades have failed

0:51:47 > 0:51:52to build enough homes to deliver the homeowning dream this country has

0:51:52 > 0:51:58always been proud of, or indeed to meet the needs of those who rent. In

0:51:58 > 0:52:02Manchester a few weeks ago the Prime Minister made a pledge to the

0:52:02 > 0:52:06younger generation that she would dedicate her premiership to fixing

0:52:06 > 0:52:10this problem and today we take the next steps to delivering on that

0:52:10 > 0:52:16pledge. By choosing to build we send a message to the next generation

0:52:16 > 0:52:23that getting on the housing ladder is not just a dream of your parents

0:52:23 > 0:52:27passed, but a reality for your future. We have started with schemes

0:52:27 > 0:52:31like help to buy that has helped 320,000 people buy a home. We have

0:52:31 > 0:52:42increased the supply of homes. By more than 1.1 billion since 2010.

0:52:42 > 0:52:48Including almost 350,000 affordable homes -- by more than 1.1 million.

0:52:48 > 0:52:56The latest figures show that over 217,000 additional homes were added

0:52:56 > 0:53:01to the stock last year, that is a remarkable achievement, but we need

0:53:01 > 0:53:06to do better still if we are to see affordability improved. This is a

0:53:06 > 0:53:13complex challenge and there is no single magic bullet. If we don't

0:53:13 > 0:53:17increase the supply of land for new homes, more money will simply

0:53:17 > 0:53:22inflate prices and make matters worse. If we don't do more to

0:53:22 > 0:53:26support the growth of the SMT house-building sector that was all

0:53:26 > 0:53:33but wiped out by Labour's great recession, we will remain dependent

0:53:33 > 0:53:38on the major national house-builders that dominate the industry. --

0:53:38 > 0:53:46growth of the SME house-building sector. Solving this challenge will

0:53:46 > 0:53:51require money and it will require planning reform and it will require

0:53:51 > 0:53:56intervention. So today we set out an ambitious plan to tackle the housing

0:53:56 > 0:54:02challenge. Over the next five years we will commit a total of at least

0:54:02 > 0:54:07£44 billion of capital funding, loans and guarantees to support our

0:54:07 > 0:54:11housing market, to boost the supply of skills, resources and building

0:54:11 > 0:54:18land and to create the financial incentives to deliver 300,000 net

0:54:18 > 0:54:23additional homes on average by the mid-20 20s, the biggest annual

0:54:23 > 0:54:28increase in housing supply

0:54:28 > 0:54:35New money for the fund to get SME house-building began, a £30 million

0:54:35 > 0:54:41fund, a further £2.7 billion to more than double the housing

0:54:41 > 0:54:46infrastructure fund, £400 million more for a state regeneration, air

0:54:46 > 0:54:50£1.1 billion fund to unlock strategic sites, including new

0:54:50 > 0:54:58settlements and urban regeneration schemes, a listing of H R eight caps

0:54:58 > 0:55:01for councils in high demand areas to get them building again and £8

0:55:01 > 0:55:06billion of new financial guarantees to support house-building and the

0:55:06 > 0:55:10private rented sector. Because we need a workforce to build these new

0:55:10 > 0:55:14homes, we are providing an additional 30 formally in pounds to

0:55:14 > 0:55:18develop construction skills across the country. Mr Deputy Speaker,

0:55:18 > 0:55:22solving the housing challenge takes more than money, it takes planning

0:55:22 > 0:55:27reform. We will focus on the urban areas where people want to live, and

0:55:27 > 0:55:33where most jobs are created, making best use of our urban land and

0:55:33 > 0:55:41continuing the strong protection of our green belt. In particular,

0:55:41 > 0:55:44building high-quality high density homes in city centres and around

0:55:44 > 0:55:50major transport hubs. And to put the needs of our young people first, we

0:55:50 > 0:55:56will insure that councils in high demand areas permit more homes for

0:55:56 > 0:56:00first-time buyers and affordable renters. The Communities Secretary

0:56:00 > 0:56:05will set out more detailed in a statement to the House in due

0:56:05 > 0:56:10course. However, one thing is very clear, there is a significant gap

0:56:10 > 0:56:13between the number of planning permission is granted, and the

0:56:13 > 0:56:22number of homes built. In London alone, there are 270,000 residential

0:56:22 > 0:56:30planning permission is an built. We need to understand why -- not built.

0:56:30 > 0:56:35I'm establishing an urgent review to look at the gap between planning

0:56:35 > 0:56:39permissions and housing starts. It will be chaired by the member for

0:56:39 > 0:56:47West Dorset and will deliver an interim report in time for the

0:56:47 > 0:56:52spring statement next year. And if that report finds that fighter Lee

0:56:52 > 0:56:58needed land is being withheld from the market for commercial rather

0:56:58 > 0:57:02than technical reasons, we will intervene to change the incentives

0:57:02 > 0:57:07to ensure such land is brought forward for development, using

0:57:07 > 0:57:11direct intervention, compulsory purchase powers as necessary. My

0:57:11 > 0:57:16right honourable friend the Prime Minister has said we will fix this

0:57:16 > 0:57:23problem, and no one should doubt the Government's determination to do so.

0:57:23 > 0:57:29But the solution will not deliver itself. Local authorities will need

0:57:29 > 0:57:36help and support. Developers will need encouragement and persuasion.

0:57:36 > 0:57:40Infrastructure to facilitate higher density development must be funded

0:57:40 > 0:57:45undelivered. So the Homes and Communities Agency will expand to

0:57:45 > 0:57:50become homes England bringing together money, expertise and

0:57:50 > 0:57:54planning and compulsory purchase powers with a clear remit to

0:57:54 > 0:57:59facilitate delivery of sufficient new homes where they are most

0:57:59 > 0:58:01needed, to deliver a sustained improvement in housing

0:58:01 > 0:58:08affordability. The battle to achieve and sustain affordability will be a

0:58:08 > 0:58:13long-term one, so we also need to look beyond this Parliament, to

0:58:13 > 0:58:17long-term measures. We will use new town development corporations to

0:58:17 > 0:58:22kick-start five new locally agreed garden towns in areas of demand

0:58:22 > 0:58:27pressure, delivered through public-private partnerships,

0:58:27 > 0:58:28designed to attract long-term capital investment from around the

0:58:28 > 0:58:35world. Last week, the National in the structure commission published

0:58:35 > 0:58:39their report on the Cambridge Milton Keynes Oxford corridor. Today, we

0:58:39 > 0:58:45back their vision and commit to building up to 1 million homes by

0:58:45 > 0:58:492050, completing the road and rail infrastructure to support them. As a

0:58:49 > 0:58:54down payment on this plan, we have agreed an ambitious housing deal

0:58:54 > 0:59:01with Oxfordshire, to deliver 100,000 homes by 2031. Capitalising on the

0:59:01 > 0:59:06global reputations of our two most famous universities and Britain's

0:59:06 > 0:59:10biggest new town, to create a dynamic new growth corridor for the

0:59:10 > 0:59:1621st century. Mr Deputy Speaker, this is our plan to deliver on the

0:59:16 > 0:59:22pledge we have made to the next generation. That the dream of home

0:59:22 > 0:59:27ownership will become a reality in this country once again. But I also

0:59:27 > 0:59:32want to take action today to help young people who are saving to own a

0:59:32 > 0:59:37home. One of the biggest challenges facing young first-time buyers is

0:59:37 > 0:59:42the cash required upfront. We have put £10 billion more money into Help

0:59:42 > 0:59:48to Buy equity loan to help those saving for a deposit, but I want to

0:59:48 > 0:59:51do more still. I have received representations for a temporary

0:59:51 > 0:59:56stamp duty holiday to first-time buyers, but this would only help

0:59:56 > 1:00:01those who are ready to purchase now, and would offer nothing for the many

1:00:01 > 1:00:07who will need to save for years. So with effect from today, for all

1:00:07 > 1:00:12first-time buyer purchases up to £300,000, I am abolishing stamp duty

1:00:12 > 1:00:21altogether.

1:00:37 > 1:00:42If you want more, you are going to have to let the Chancellor finish!

1:00:42 > 1:00:47Chancellor of the Exchequer.And Mr Deputy Speaker, to ensure this

1:00:47 > 1:00:54release also helps first-time buyers in very high-priced areas like

1:00:54 > 1:00:58London, it will also be available on the first £300,000 on the purchase

1:00:58 > 1:01:06price of properties up to £500,000. Meaning an effective reduction of

1:01:06 > 1:01:13£5,000. Mr Deputy Speaker, that is a stamp duty cut for 95% of all

1:01:13 > 1:01:19first-time buyers who pay stamp duty, and no stamp duty at all of

1:01:19 > 1:01:2380% of first-time buyers from today. When we say we will revive the

1:01:23 > 1:01:28homeowning dream in Britain, we mean it. We do not underestimate the

1:01:28 > 1:01:33scale of the challenge, but today we have made a substantial down

1:01:33 > 1:01:40payment. Mr Deputy Speaker, one of the things that I love most about

1:01:40 > 1:01:45this country is its sense of opportunity. I have always felt it

1:01:45 > 1:01:50and I want young people growing up today to have that same sense of

1:01:50 > 1:01:55boundless opportunity. In this Budget, I have set out a vision for

1:01:55 > 1:02:00Britain's future, and a plan for delivering it. But by getting our

1:02:00 > 1:02:03debt down, by supporting British families and businesses, by

1:02:03 > 1:02:08investing in the technologies and the skills of the future, by

1:02:08 > 1:02:11creating the homes and infrastructure our country needs, we

1:02:11 > 1:02:17are at a turning point in our history, and we resolve to look

1:02:17 > 1:02:21forwards, not backwards. To build on the strengths of the British

1:02:21 > 1:02:26economy, to embrace change, not hide from it. To seize the opportunities

1:02:26 > 1:02:31ahead of us, and together, to build a Britain fit for the future. I

1:02:31 > 1:02:41commend this statement to the House. STUDIO:

1:02:51 > 1:03:00Understanding order 51, will the Chancellor of the Exchequer praise

1:03:00 > 1:03:09move formally? The questionnaires to be sued question five of the

1:03:09 > 1:03:14provisional collection of taxes act 1968 will be given to the following

1:03:14 > 1:03:30motions. Stamp duty land tax relief motion number 36. Tobacco products,

1:03:30 > 1:03:40rates motion number 40. As many as a rock that opinion say aye. The ayes

1:03:40 > 1:03:50have it. I now call upon the Chancellor of the Exchequer to move

1:03:50 > 1:04:09the motion entitled income tax. It is intended that this will be put

1:04:09 > 1:04:20towards the House on Tuesday 28 November.

1:04:22 > 1:04:26The public resolution should have statutory effect on the provisional

1:04:26 > 1:04:32collection of taxes act 1968. I now call the Leader of the Opposition,

1:04:32 > 1:04:47the right honourable Jeremy Corbyn. Thank you, Mr Speaker.

1:04:47 > 1:04:47Test of the Budget is how it affects the reality of people's lives all

1:04:47 > 1:04:55around this country. I would submit that the reality...If somebody

1:04:55 > 1:05:01wants to go for an early cup of tea, please do so. I am told there are

1:05:01 > 1:05:06men despise waiting. But what I will have is the Leader of the Opposition

1:05:06 > 1:05:11listened to and quietly from this side in the same way I expected the

1:05:11 > 1:05:17other side of the House. Jeremy Corbyn.Thank you, Mr Deputy

1:05:17 > 1:05:22Speaker. The reality test of this Budget has to be how it affects

1:05:22 > 1:05:27ordinary people's lives, and I believe as the days go ahead and

1:05:27 > 1:05:32this Budget unravels, the reality will be a lot of people will be no

1:05:32 > 1:05:39better off and the misery many R.N. Will be continuing. Paid, Mr Speaker

1:05:39 > 1:05:47is now lower than it was in 2010 and wages are now falling again.

1:05:47 > 1:05:55Economic growth in the first three quarters of this year is the lowest

1:05:55 > 1:06:01since 2009, and the slowest of the major economies in the G7. It is a

1:06:01 > 1:06:08record of failure with the forecast of more to come. Economic growth has

1:06:08 > 1:06:14been revised down, productivity growth has been revised down,

1:06:14 > 1:06:17business investment revised down, people's wages and living standards

1:06:17 > 1:06:23revised down. What sort of strong economy is that? What sort of fit

1:06:23 > 1:06:31for the future is that? You may recall, Mr Deputy Speaker, the

1:06:31 > 1:06:43deficit was due to be eradicated by 2015. Then that moved to 2016. Then

1:06:43 > 1:06:53to 2017. Then 2020 and now we are looking at 2025. They are missing

1:06:53 > 1:07:00their major targets, but the failed and damaging policy of austerity

1:07:00 > 1:07:08remains. The number of people sleeping rough has doubled since

1:07:08 > 1:07:162010, and this Christmas, this Christmas 120,000 children will

1:07:16 > 1:07:22spend Christmas in temporary accommodation. Three new pilot

1:07:22 > 1:07:26schemes to look at rough sleeping across the whole country simply

1:07:26 > 1:07:32doesn't cut it. We want action now to help those poor people that

1:07:32 > 1:07:38forced to sleep on our streets and beg...Order. I think the whip know

1:07:38 > 1:07:49better. We do not need any more from you or leave the Chamber.The point

1:07:49 > 1:07:54I am making is three new pilot schemes for rough sleepers simply

1:07:54 > 1:07:58doesn't cut it. It is a disaster for those people sleeping on our

1:07:58 > 1:08:02streets, forced to beg for money for a night shelter. They are looking

1:08:02 > 1:08:06for action now from government to give them a roof over their heads.

1:08:06 > 1:08:12In some parts of the country, life expectancy is actually beginning to

1:08:12 > 1:08:16fall. The last Labour government lifted 1 million children out of

1:08:16 > 1:08:23poverty. It was an amazing achievement. Under this government,

1:08:23 > 1:08:26an extra 1 million children will be plunged into poverty by the end of

1:08:26 > 1:08:32this Parliament.

1:08:32 > 1:08:361.9 million pensioners, one in six of all pensioners living in poverty,

1:08:36 > 1:08:42the worst rate anywhere in Western Europe. It is falling pay, slow

1:08:42 > 1:08:48growth, rising poverty and this is what the Chancellor has the cheek to

1:08:48 > 1:08:55call a strong economy. His predecessor said they would put the

1:08:55 > 1:09:02burden on those with the broader shoulders. How has that turned out?

1:09:02 > 1:09:13The poorest tenth of households will lose 10% of their income by 2022

1:09:13 > 1:09:22while the richest will lose just 1%. So much for tackling burning

1:09:22 > 1:09:27injustices, this is a government tossing fuel on the fire. Personal

1:09:27 > 1:09:36debt levels are rising. 8.3 million people over indebted. If he wants to

1:09:36 > 1:09:41help people out of debt, he should back Labour's policy for a real

1:09:41 > 1:09:54living wage of £10 per hour by 2020. Working-class young people now

1:09:54 > 1:10:00leaving university with £57,000 of debt because this government, his

1:10:00 > 1:10:03government, troubled tuition fees and the new government policy is to

1:10:03 > 1:10:17win over young people by keeping fees at the same rate per year --

1:10:17 > 1:10:24trebled tuition fees. That is just one of the multitudes of injustices

1:10:24 > 1:10:28presided over by this government and another is Universal Credit which we

1:10:28 > 1:10:33called on ministers to pause and fix. That is the view of this House

1:10:33 > 1:10:41and the verdict of those on the front line.To shout out, keep

1:10:41 > 1:10:46going, he will, but you will be going out of the chamber.Jeremy

1:10:46 > 1:10:51Corbyn. I would rather people staged to listen, actually, Mr Deputy

1:10:51 > 1:11:07Speaker. To the reality.Silence! It will be in silence.Thank you, Mr

1:11:07 > 1:11:13Speaker. Maybe those opposite would like to listen to Martin's

1:11:13 > 1:11:22experience. A full-time worker on a minimum wage, he said, I get paid

1:11:22 > 1:11:27four weekly meeting my pay date is different each month and because

1:11:27 > 1:11:31under the Universal Credit system he was paid twice in a month and deemed

1:11:31 > 1:11:37to have earned too much Universal Credit was cut off and lead to rent

1:11:37 > 1:11:41arrears and he had to use a food bank for the first time in his life.

1:11:41 > 1:11:46That is the humiliation he and many others have gone through because of

1:11:46 > 1:11:50the problems of Universal Credit. Would it not be better to pause the

1:11:50 > 1:11:58whole thing and look at the problems it has caused? The Chancellor's

1:11:58 > 1:12:03solution to a failing system causing more debt is to offer a loan and the

1:12:03 > 1:12:09six-week wait with 20% waiting longer simply becomes a five-week

1:12:09 > 1:12:17wait. This system has been run down by £3 billion of cuts to work

1:12:17 > 1:12:25allowances, the two child limit and the perverse and appalling clause

1:12:25 > 1:12:28that caused evictions because housing benefit is not paid direct

1:12:28 > 1:12:33to the landlord. I say put this system on hold so it can be fixed

1:12:33 > 1:12:39and keep 1 million of our children out of poverty. For years, we have

1:12:39 > 1:12:45had the rhetoric of a long-term economic plan that never meets its

1:12:45 > 1:12:52targets. When all too many are experiencing long-term economic

1:12:52 > 1:12:58pain. And the hardest hit are disabled people, single parents and

1:12:58 > 1:13:04women. It is disappointing the Chancellor did not back the campaign

1:13:04 > 1:13:11by my honourable friend to end period poverty. He could have done

1:13:11 > 1:13:17that. Well done to her on the campaign, shame on him for not

1:13:17 > 1:13:21supporting it. The Conservative manifesto in the last election

1:13:21 > 1:13:26disappeared off its website after three days, and now some ministers

1:13:26 > 1:13:30opposite have put forward some half decent proposals, conspicuously

1:13:30 > 1:13:38borrowed from the Labour manifesto. Let me tell the Chancellor, as

1:13:38 > 1:13:43socialists we are happy to share ideas. The Communities Secretary is

1:13:43 > 1:13:48called the borrowing to invest in house-building presumably the Prime

1:13:48 > 1:13:52Minister slapped him down for wanting to bankrupt Britain. Where

1:13:52 > 1:13:57is the money to fund the pay rise if he says the pay cap is over? The

1:13:57 > 1:14:05Chancellor has not been clear for NHS workers, police, firefighters,

1:14:05 > 1:14:10teachers and assistants, bin collectors, Armed Forces personnel.

1:14:10 > 1:14:14Will the Chancellor listen to Claire, who says her mum works for

1:14:14 > 1:14:23the NHS and she goes above and beyond for her patients. Why does

1:14:23 > 1:14:25the government think it OK to underpay, over stress and under

1:14:25 > 1:14:32appreciate all those who work in the NHS? The NHS chief executive says

1:14:32 > 1:14:37the budget for the NHS next year is short of what is currently needed.

1:14:37 > 1:14:42From what the Chancellor has said, it is still going to be well short

1:14:42 > 1:14:51of what is needed. He said in 2015 they would fund another 5000 GPs. In

1:14:51 > 1:15:00the last year, 1200, we have had 1200 fewer GPs and we have lost

1:15:00 > 1:15:04community and mental health nurses. The Chancellor promised

1:15:04 > 1:15:1010,000,000,020 15 and delivered 4.5. If you don't mind, we will wait for

1:15:10 > 1:15:16the small print on the announcement but even what he said falls well

1:15:16 > 1:15:19short of the 6 billion Labour would have delivered from our June

1:15:19 > 1:15:25manifesto. Over 1 million of our elderly are not receiving the care

1:15:25 > 1:15:36they need. Over... Over 6 billion will have been cut from social care

1:15:36 > 1:15:41budgets by next March. I hope he begins to understand what it is like

1:15:41 > 1:15:46to wait for social care, stuck in a hospital bed, with other people

1:15:46 > 1:15:56having to give up work to care for them. The uncaring, uncouth attitude

1:15:56 > 1:16:09of certain members...Order. Carry on.

1:16:10 > 1:16:19Mr Speaker, that is why social care budgets are so important for so many

1:16:19 > 1:16:28desperate people in our country. Our schools will be 5% worse off by

1:16:28 > 1:16:322019, despite the Conservative manifesto promising no school would

1:16:32 > 1:16:42be worse off. 5000 headteachers from 25 counties wrote to the Chancellor

1:16:42 > 1:16:45saying, we are simply asking for the money that has been taken out of the

1:16:45 > 1:16:51system to be returned. A senior science technician wrote to me,

1:16:51 > 1:16:58Robert, saying, my pay has been reduced by over 30%. I have seen

1:16:58 > 1:17:03massive cuts at my school, good teachers and support staff leave.

1:17:03 > 1:17:10That is what does for the morale of both teachers and students.

1:17:10 > 1:17:15According to this government, 5000 headteachers are wrong, Robert is

1:17:15 > 1:17:22wrong, the IFS is wrong, everybody is wrong, except the Chancellor. And

1:17:22 > 1:17:27if the Chancellor bothered to listen to what local government is saying,

1:17:27 > 1:17:32they have been warning services for the most vulnerable children are

1:17:32 > 1:17:36under more demand than ever. More children being taken into care, more

1:17:36 > 1:17:43in desperate need of help and support, yet they are labouring with

1:17:43 > 1:17:47a 2 billion shortfall in the cost of dealing with vulnerable children.

1:17:47 > 1:17:56Because local councils have lost 80%, will have lost 80% of direct

1:17:56 > 1:18:03funding by 2020. The reality of this, across the country, is

1:18:03 > 1:18:09winning's refuges closing, youth centres and libraries and museums

1:18:09 > 1:18:13closing, public facilities understaffed, under resourced and

1:18:13 > 1:18:18underfinanced. It could be so different, but compassion can cost

1:18:18 > 1:18:23very little. Just £10 million is needed to establish the child

1:18:23 > 1:18:29funeral fund, campaigned for brilliantly by my honourable friend

1:18:29 > 1:18:33the member for Swansea East. Why could not the Chancellor at least

1:18:33 > 1:18:39have agreed to fund that? Under this government there are also 20,000

1:18:39 > 1:18:45fewer police officers and another 6000 community support officers and

1:18:45 > 1:18:4811,000 Fire Service staff cut as well. You cannot keep communities

1:18:48 > 1:18:56safe on the cheap. Tammy explains this. Our police presence has been

1:18:56 > 1:19:01taken away from the village, meaning an increase in crime, as a single

1:19:01 > 1:19:04parent I no longer feel safe in the village where I live, particularly

1:19:04 > 1:19:12at night. 5.5 million workers earn less than living wage, 1 million

1:19:12 > 1:19:18more than five years ago. The Chancellor last Sunday could not

1:19:18 > 1:19:24even see 1.4 million people unemployed in this country. There is

1:19:24 > 1:19:32a crisis of low pay and insecure work affecting one in four women and

1:19:32 > 1:19:39one in six men, a record 7.4 million people in working households living

1:19:39 > 1:19:45in poverty. If we want workers earning better pay, less dependent

1:19:45 > 1:19:50on in work benefits, we need strong trade unions, the most effective way

1:19:50 > 1:19:56of boosting workers pay. Instead, this government weakened trade

1:19:56 > 1:20:00unions and introduced employment Tribunal fees, now scrapped, thanks

1:20:00 > 1:20:05to the victory in the courts by Unison, a trade union representing

1:20:05 > 1:20:11members. Why did the Chancellor not take the opportunity to make two

1:20:11 > 1:20:19changes to control debt? First, to cap credit card debt so nobody pays

1:20:19 > 1:20:24back more than they borrowed. And second, to stop credit card

1:20:24 > 1:20:29companies increasing people'scredit limit without their say-so. Debt is

1:20:29 > 1:20:33being racked up because the government is weak on those who

1:20:33 > 1:20:38exploit people such as rail companies hiking fares above

1:20:38 > 1:20:43inflation, and water companies and energy suppliers. During the general

1:20:43 > 1:20:49election he promised an energy cap to benefit around 17 million

1:20:49 > 1:20:53families on standard variable tariffs. But every bill tells

1:20:53 > 1:20:59millions the government has broken that promise. And with 10 billion in

1:20:59 > 1:21:03housing benefit going into the pockets of private landlords every

1:21:03 > 1:21:08year, housing is a key factor in driving up the welfare bill. Not too

1:21:08 > 1:21:13many words from the Chancellor about excessive levels of rent in the

1:21:13 > 1:21:16private rented sector. With this government delivering the worst rate

1:21:16 > 1:21:29of house building since the 20s, and a quarter... And a quarter of a

1:21:29 > 1:21:34million fewer council homes, any commitment would be welcome. But we

1:21:34 > 1:21:39have been here before. The government promised 200,000 starter

1:21:39 > 1:21:45homes, three years ago, and not a single one has yet been built in

1:21:45 > 1:21:50those three years. We need a large scale publicly funded house-building

1:21:50 > 1:21:54programme, not this government's accounting tricks and empty

1:21:54 > 1:21:59promises. We back the abolition of stamp duty for first-time buyers

1:21:59 > 1:22:07because it was another Labour policy in our manifesto in June, not a Tory

1:22:07 > 1:22:11one. This government continues preference for spin over substance,

1:22:11 > 1:22:17that means across this country, in the words wolf powerhouse and

1:22:17 > 1:22:23Midlands engine, now met with derision. Yorkshire and Humber get

1:22:23 > 1:22:29only one tenth of the transport investment per head given to London.

1:22:29 > 1:22:35And government figures show every region in the of England has seen a

1:22:35 > 1:22:42fall in spending on services since 2012. The Midlands, East and west is

1:22:42 > 1:22:48receiving less than 8% of total transport infrastructure investment

1:22:48 > 1:22:54compared with 50% going to London. In the east and West Midlands one in

1:22:54 > 1:22:58four workers are paid less than the living wage, so much for the

1:22:58 > 1:23:02Midlands engine. We announced funding for the trans-Pennine rail

1:23:02 > 1:23:09route will not cut it and the other announcements today will not redress

1:23:09 > 1:23:12that balance. Combined with counter-productive forced Erraid

1:23:12 > 1:23:16Davies lack of investment has consequences in sluggish growth and

1:23:16 > 1:23:20shrinking pay packets. Public investment has virtually halved.

1:23:20 > 1:23:24Under this government Britain has the lowest rate of public investment

1:23:24 > 1:23:32in the G7. But it is now investing in driverless cars. After months of

1:23:32 > 1:23:40road testing back-seat driving in the government.

1:23:40 > 1:23:50By moving from RPI to CPI indexes non-business rates, the Chancellor

1:23:50 > 1:23:55has adopted another Labour policy. But why don't they go further and

1:23:55 > 1:24:03adopt Labour's entire business rates including the annual revaluation of

1:24:03 > 1:24:08business rates. Nowhere have their chaos been more evident than over

1:24:08 > 1:24:12Brexit. Following round after round of fruitless Brexit negotiations,

1:24:12 > 1:24:15the Brexit secretary has been shunted out for the Prime Minister

1:24:15 > 1:24:20who has got no further. Every major business organisation has written to

1:24:20 > 1:24:25the Government telling them to pull their finger out and get on with it.

1:24:25 > 1:24:28Businesses are delaying crucial investment decisions because of this

1:24:28 > 1:24:32government doesn't get its act together soon, they will be taking

1:24:32 > 1:24:38relocation decisions. Crashing out with no deal and turning Britain

1:24:38 > 1:24:44into a tax haven would damage people's jobs and living standards

1:24:44 > 1:24:49would serve only a wealthy few. It is not as if this government isn't

1:24:49 > 1:24:58doing its best to protect tax havens and its clients in the meantime. The

1:24:58 > 1:25:02Paradise Papers exposed how a super-rich elite gets away with

1:25:02 > 1:25:06dodging taxes. This government has opposed measure after measure in

1:25:06 > 1:25:11this House and their Tory colleagues in the European Parliament, to clamp

1:25:11 > 1:25:15down on the tax havens that facilitate this outrageous leaching

1:25:15 > 1:25:23from our public purse. Nonpaid tax, clever reinvestment to get away with

1:25:23 > 1:25:27tax, actually, it is hospitals, schools, housing and it hit the

1:25:27 > 1:25:31poorest and most needy in our society. There is nothing immoral

1:25:31 > 1:25:34about dodging tax. There is everything in moral about evading

1:25:34 > 1:25:40it. Mr Speaker, too often it feels like there is one rule for the

1:25:40 > 1:25:47super-rich and another for the rest of us. The horrors of Grenfell Tower

1:25:47 > 1:25:54were a reflection of a system which puts profits before people, that

1:25:54 > 1:25:58failed to listen to working-class communities. In 2013, the Government

1:25:58 > 1:26:03received advice in a krona's report that sprinklers should be fitted in

1:26:03 > 1:26:11all high-rise buildings. Today, once again, the Government failed to fund

1:26:11 > 1:26:13the £1 billion investment needed. The Chancellor says council should

1:26:13 > 1:26:20contact them. But not in house, Westminster house and they have been

1:26:20 > 1:26:27refused. Nothing was offered to them. We have the privilege to be

1:26:27 > 1:26:32members of Parliament, in a building that is about to be retrofitted with

1:26:32 > 1:26:37sprinklers, to protect us. The message is pretty clear. This

1:26:37 > 1:26:42government cares more about what happens here then happens to people

1:26:42 > 1:26:50living in high-rise homes. In effect saying they matter less. Our

1:26:50 > 1:26:55country, Mr Speaker, is marked by growing inequality and injustice. We

1:26:55 > 1:27:02were promised a revolutionary Budget, the reality is nothing has

1:27:02 > 1:27:06changed. People were looking for help from this Budget and they have

1:27:06 > 1:27:11been let down. Let down by a government, that like the economy be

1:27:11 > 1:27:16presided over, is weak and unstable and in need of urgent change. They

1:27:16 > 1:27:22called this a Budget fit for the future. The reality is, this is a

1:27:22 > 1:27:31government no longer fit for office. Nicky Morgan.

1:27:31 > 1:27:37STUDIO: And Jeremy Corbyn sits down after a long and wide-ranging

1:27:37 > 1:27:41response to the Budget. If you wish to continue to watch what is

1:27:41 > 1:27:45happening in the House of Commons, you can switch to the BBC Parliament

1:27:45 > 1:27:50channel and that will tell you what is going on there. Here, we will go

1:27:50 > 1:27:50through

1:28:05 > 1:28:09I'm happen to to continue that tradition. Much of his speech was

1:28:09 > 1:28:16pre-written. I suspect he'll want to look at more of the detail. Today, I

1:28:16 > 1:28:24think it is perhaps the Chancellor who's had the hardest task. More

1:28:24 > 1:28:28public spending, rising economic uncertainty. He has taken a

1:28:28 > 1:28:32common-sense approach which will no doubt displease many on both sides

1:28:32 > 1:28:37of the chamber. It is only thanks to seven years of common-sense,

1:28:37 > 1:28:41concerted efforts by Conservative and Conservative-led Governments to

1:28:41 > 1:28:44reduce the deficit and restore credibility to the public finances

1:28:44 > 1:28:47that the UK has the resilience necessary to face the challenges

1:28:47 > 1:28:54ahead. Reclassification of Housing Association, may have given the

1:28:54 > 1:28:59Chancellor some timely room for man over, it does not alter the

1:28:59 > 1:29:06underlying picture. Although the OBR has made a more negative assessment

1:29:06 > 1:29:10of productivity, it is forecasting a relatively benign breaks the with no

1:29:10 > 1:29:17cliff edge in March 2019. But that can the no be guaranteed. Even

1:29:17 > 1:29:21though a transitional arrangement for a smooth adjustment is in the

1:29:21 > 1:29:27interests of both the UK and the EU, it may not happen. The Treasury

1:29:27 > 1:29:30committee will be looking closely at failing to reach a deal on

1:29:30 > 1:29:34transition and expectings to make a report in the House in the coupling

1:29:34 > 1:29:38weeks. Beyond the public finances, household balance sheets are under

1:29:38 > 1:29:45pressure. Rising interest rates, high inflation, lower wage growth, a

1:29:45 > 1:29:49working age benefits freeze, all these put pressure on ordinary

1:29:49 > 1:29:54households. The Chancellor set out two important principles for

1:29:54 > 1:29:58Conservative-led Governments. Firstly, work should always pay and

1:29:58 > 1:30:03secondly, people should keep more of the money they earn. I'm happy to

1:30:03 > 1:30:08subscribe and those on these benches are happy to support him with those

1:30:08 > 1:30:11two principles. Pressures on household finances which the

1:30:11 > 1:30:18committee will be looking at as part of our inquiry, will be exacerbated,

1:30:18 > 1:30:22particularly for the younger again ration, if action's not taking with

1:30:22 > 1:30:27the housing market. I welcome the measures the chops letter's

1:30:27 > 1:30:33announced on housing. It he's announce add package on land

1:30:33 > 1:30:40availability and incentives to get building. You know there's an issue

1:30:40 > 1:30:43when the member for West Dorset is sent for to solve a particular

1:30:43 > 1:30:48problem. He is going to look at the gap between permissions granted and

1:30:48 > 1:30:54those houses being built. Why that gap exists. I also hugely welcome,

1:30:54 > 1:30:57as I think honourable members on this side of the House will, the

1:30:57 > 1:31:01stamp duty cut for first time buyers. As the Chancellor said, this

1:31:01 > 1:31:06will make home ownership a reality for more young people. The committee

1:31:06 > 1:31:10will be intending to hear from housing experts as part of our

1:31:10 > 1:31:14Budget scrutiny and will investigates whether the rousing war

1:31:14 > 1:31:18time rhetoric of my right honourable friend matches the reality of what

1:31:18 > 1:31:24has been announced today. Of course, the pressure's on the public

1:31:24 > 1:31:29finances and households balance sheet can only be alleviated if

1:31:29 > 1:31:33productivity growth improves. I welcome his further investment in

1:31:33 > 1:31:37the national productivity investment fun. He was right to 'em fast sides

1:31:37 > 1:31:41the challenge of productivity which is the weakest in the G7 in the UK

1:31:41 > 1:31:46in his speech. The average UK worker has to slog from 5 to produce 9- the

1:31:46 > 1:31:52same value output as a worker in Germany produces between the hours

1:31:52 > 1:31:56of 9 and 3. I welcome what the Chancellor said about more

1:31:56 > 1:32:00devolution. I don't know where the Leader of the Opposition has the

1:32:00 > 1:32:04idea we don't take seriously the northern powerhouse or the Midlands

1:32:04 > 1:32:08engine on this side of the House. I can tell him as a Midlands member of

1:32:08 > 1:32:13Parliament, we take them very seriously. This side of the House

1:32:13 > 1:32:18believes in devolution. There are no easy solutions to the UK's weak

1:32:18 > 1:32:24productivity performance. We can do two things to help with the puzzle.

1:32:24 > 1:32:30The first is better infrastructure, including digital infrastructure.

1:32:30 > 1:32:33The big political divide in infrastructure policy is not between

1:32:33 > 1:32:38the parties but action and inaction. The Chancellor must act on the

1:32:38 > 1:32:41commission's recommendations when published. I welcome his commitment

1:32:41 > 1:32:46today to implement the commission's recommendation from the Oxford,

1:32:46 > 1:32:49Milton Keynes corridor. And the discount of lending to local

1:32:49 > 1:32:53authorities so they can invest in infrastructure. The second answer to

1:32:53 > 1:32:58productivity is to retain the UK's historic commitment to openness,

1:32:58 > 1:33:02#2r5ied, investment and to migration. Global Britain must be a

1:33:02 > 1:33:07reality and not just a slogan. The economic case for leaving the EU has

1:33:07 > 1:33:12always rested and continues to rest on openness. We must not allow the

1:33:12 > 1:33:18Brexit process to mark the start of a decent into economic nationalism.

1:33:18 > 1:33:23It is only through productivity growth households can be weaned off

1:33:23 > 1:33:26consumer credit without cutting back consumption and reducing living

1:33:26 > 1:33:33standards. It is only through productivity growth the Chancellor

1:33:33 > 1:33:40can Meade things can pries ops bes NHS, public #1ek9er pay and bricks

1:33:40 > 1:33:49the cop tinge Si methods. For the avoidance of doubt. Let us dismiss

1:33:49 > 1:33:53the idea that Brexit induced fiscal windfall will reduce the pressures

1:33:53 > 1:34:02op our health service. There are no easy choices or a pot of gold under

1:34:02 > 1:34:08the Brexit rainbow. At the cost of long-term damage to trust in

1:34:08 > 1:34:13politics. The Chancellor's right to have identified the technology

1:34:13 > 1:34:17revolution and say Britain is at the forefront of it. He is right to

1:34:17 > 1:34:21identify the need for more young people to learn maths and computer

1:34:21 > 1:34:26science to a higher level. We have to find a way of exciting everyone

1:34:26 > 1:34:31in this country, the next generation and their parents and grandparents

1:34:31 > 1:34:34about the technology revolution to give them the confidence and skills

1:34:34 > 1:34:39to meet demand of a fuel or labour market, not to be frightened by

1:34:39 > 1:34:45change in the 21st Century. This is a key part of our plan for a fairer

1:34:45 > 1:34:49BritainI thank the Right Honourable Member for giving way. Can I just

1:34:49 > 1:34:56pick up on The Mount about education funding. The education proposals,

1:34:56 > 1:35:01the Government proposed three billion of cuts and that was reduced

1:35:01 > 1:35:06to justnd £2 billion. There's a gap of £2 billion education funding cuts

1:35:06 > 1:35:09in our system. The Chancellor has said nothing about how schools will

1:35:09 > 1:35:18cope with that. Does she agree with me we should have had some thinking

1:35:18 > 1:35:24and investment in our schools in order to prevent them reversing the

1:35:24 > 1:35:29progress that has been made?I can say to the honourable lady, who I'm

1:35:29 > 1:35:34very pleased to serve on the Treasury committee with, we have

1:35:34 > 1:35:37seen education fanned Ards improve dramatically in this country over

1:35:37 > 1:35:42the last seven years. I don't recognise the figure she has said.

1:35:42 > 1:35:46The Secretary of State for Education announced an extra £1.3 billion in

1:35:46 > 1:35:50July. This Government's spending more on schools than any Government

1:35:50 > 1:35:54has ever spent before. If she's really concerned, she will want to

1:35:54 > 1:35:58address the interest on the debt this Government is still paying off,

1:35:58 > 1:36:01we are spending almost as much on debt interest as on our schools

1:36:01 > 1:36:06budget. Let me turn to tax. The Chancellor announced a number of new

1:36:06 > 1:36:11tax mesh use. He was very pleased he said our tax system can help protect

1:36:11 > 1:36:15our environment. It is an important signal to send to those concerned

1:36:15 > 1:36:18about the environment and to the next generation. I really want to

1:36:18 > 1:36:24welcome... I will, yeah.I'm grateful to the chair of the

1:36:24 > 1:36:28treasury committee for giving way. On that point, can I we can the

1:36:28 > 1:36:36measure in the budget which would grant an ex-etchings on the zero

1:36:36 > 1:36:41emissions. Can I also, through my honourable friend urge the

1:36:41 > 1:36:45Chancellor to bring forward that measure so it kicks in earlier than

1:36:45 > 1:36:49April 2019. Many of those vehicles will be on the road from next month.

1:36:49 > 1:36:55We want drivers to be able to take advantage of these new zero emission

1:36:55 > 1:37:01capable environmentally friendly taxes.

1:37:01 > 1:37:03THE SPEAKER:If we have interventions, please make them

1:37:03 > 1:37:07short.It is a pleasure to serve in the honourable gentleman on the

1:37:07 > 1:37:11Treasury committee. The Chancellor's heard what he says and is looking

1:37:11 > 1:37:15forward to appearing before the committee on 6th December when we

1:37:15 > 1:37:22can ask him those questions directly. I'll give way believely.

1:37:22 > 1:37:28Hidden in the budget book is really terrible news of no new money for

1:37:28 > 1:37:32renewables until 2025 at the same time the chaps letter' giving away

1:37:32 > 1:37:36money, more tax breaks to oil and gas. How is that compatible with a

1:37:36 > 1:37:40forward looking country that is serious about climate change?I

1:37:40 > 1:37:44think this Government's done incredibly well on supporting

1:37:44 > 1:37:49renewables industry. The energy industry in the Midlands. I can see

1:37:49 > 1:37:53a thriving industry. But that's something again the committee may

1:37:53 > 1:37:56well want to take up with the Chancellor. I want to welcome the

1:37:56 > 1:38:00move on business rates. The move from RPI to CPI is very, very

1:38:00 > 1:38:05welcome. I want to welcome the move on the staircase tax which is

1:38:05 > 1:38:09something the Chancellor was asked about when he appeared before the

1:38:09 > 1:38:13committee recently and builds on the evidence he gave. I hope he's right

1:38:13 > 1:38:17about the cross-party support that he can receive on that measure.

1:38:22 > 1:38:25Would my right honourable friend agree that the changes to business

1:38:25 > 1:38:31rates are going to be particularly valuable for other shops, businesses

1:38:31 > 1:38:34and other places in outer London were they as we could win a bright

1:38:34 > 1:38:37lights of London and out-of-town shopping centres and the Chris

1:38:37 > 1:38:40Cusiter business rate is particularly owners?That is an

1:38:40 > 1:38:43excellent point and I would agree with my honourable friend Matt and I

1:38:43 > 1:38:48was going to talk about the Chancellor's announcement on digital

1:38:48 > 1:38:51businesses as well which is important for bricks and mortar

1:38:51 > 1:38:54businesses and perhaps modest, it is an important printable that has been

1:38:54 > 1:38:58established about the tax on digital businesses doing business here. I

1:38:58 > 1:39:01welcome what the Chancellor said about tax avoidance and evasion

1:39:01 > 1:39:05measures. I think you said we were going to spend £155 billion on

1:39:05 > 1:39:11HMRC's collecting ability to collect £2.3 billion, which sounds

1:39:11 > 1:39:17encouraging but the committee will private estimate. -- 100 £55

1:39:17 > 1:39:22million. I wanted to match my honourable friend for beginning to

1:39:22 > 1:39:24publish the income distribution analysis showing how different

1:39:24 > 1:39:28households are affected by the budget. That analysis provides an

1:39:28 > 1:39:30unprecedented level of transparency about the consequences of the budget

1:39:30 > 1:39:35for ordinary people which only emerge as a result of pressure by

1:39:35 > 1:39:38the Treasury committee in the last two parliaments. There may be more

1:39:38 > 1:39:42work for the committee to doing this one. What is not included in the

1:39:42 > 1:39:46Treasury's analysis yet is an assessment of the gender impact of

1:39:46 > 1:39:49the budget, an analysis of how much men and women stand to gain or lose

1:39:49 > 1:39:53from the Chancellor's decisions. It will come as no surprise that as the

1:39:53 > 1:39:57first female chair of the Treasury Select Committee, the committee will

1:39:57 > 1:40:00be taking gritting evidence including from the women's budget

1:40:00 > 1:40:03group on the merits of such an analysis. Before concluding, I would

1:40:03 > 1:40:07like to remind the house about the role of the Treasury committee in

1:40:07 > 1:40:10scrutinising the OBR and upholding its independence. I think there is

1:40:10 > 1:40:13widespread agreement, Mr Deputy Speaker, across this house, that the

1:40:13 > 1:40:18creation of the OBR as last improved the credibility and quality of

1:40:18 > 1:40:21economic and fiscal forecasting and empowered members of Parliament to

1:40:21 > 1:40:26hold government to account for its fiscal policy. But in this free bar

1:40:26 > 1:40:30political atmosphere, we must member the OBR is still young. Its hard-won

1:40:30 > 1:40:40reputation could be fatally undermined if the motives and good

1:40:40 > 1:40:43faith of its leadership are impugned by those who disagree with its

1:40:43 > 1:40:45finding. The OBR as a powerful line of accountability to Parliament

1:40:45 > 1:40:47thanks to the committee's statutory veto over the appointment and is the

1:40:47 > 1:40:50will of the senior leadership, we will seek assurances the OBR has

1:40:50 > 1:40:52done its work without political interference. We will subject its

1:40:52 > 1:40:54forecast to critical scrutiny as necessary and defend its integrity.

1:40:54 > 1:40:57The committee looks forward to hearing as I said from the

1:40:57 > 1:41:00Chancellor on the measures he has announced and the economic and

1:41:00 > 1:41:04fiscal outlook when he appears before us in two weeks' time. Mr

1:41:04 > 1:41:07Deputy Speaker, the UK faces many challenges. Brexit hangs over this

1:41:07 > 1:41:12place and the UK like a cloud. Some people think there is a silver

1:41:12 > 1:41:16lining. Some people think there will be more rain and fog. It was

1:41:16 > 1:41:19important that today's budget should show the government's determination

1:41:19 > 1:41:24is to do more than just negotiate our path out of the EU. I believe

1:41:24 > 1:41:26the Chancellor has more than announced that with everything he

1:41:26 > 1:41:35has announced today.Ian Black. Thank you, Mr Deputy Speaker. I

1:41:35 > 1:41:39mean, I want to wish the Chancellor all the best. He talks about

1:41:39 > 1:41:44preparing for the future but let's look at the reality of the figures

1:41:44 > 1:41:49contained in the OBR book. What we are faced with is the United Kingdom

1:41:49 > 1:41:57falling to the bottom of growth in the G7. When we look at GDP per

1:41:57 > 1:42:06capita, for the years 2019 and 2020, what we see is that the OBR have

1:42:06 > 1:42:20reduced forecasts from 1.7%, to 0.7% in 2019, and in 2020, from 1.9%, to

1:42:20 > 1:42:260.7%. Mr Deputy Speaker, that is what post-Brexit Britain is going to

1:42:26 > 1:42:34look like. An absolute shredding of growth forecasts that the next two

1:42:34 > 1:42:42years. The OBR talks about GDP... I will not because this is the third

1:42:42 > 1:42:45party speech and it is the practice that there is not to be

1:42:45 > 1:42:52interventions. The change in GDP that we will see in the OBR book is

1:42:52 > 1:43:01a cut to GDP of 2.7%. That is what this government is presiding over.

1:43:01 > 1:43:04It is a threat to the wages, to the living standards and to the job

1:43:04 > 1:43:10prospects of people up and down the United Kingdom. Frankly, it is a

1:43:10 > 1:43:16government that should be ashamed of itself. And when you look at the

1:43:16 > 1:43:19rhetoric of the budget speech, and I can see honourable members laughing,

1:43:19 > 1:43:24but when you look at the fiscal loosening that we have in this

1:43:24 > 1:43:29budget, it is a fiscal loosening of 0.1%. That does not take into

1:43:29 > 1:43:32account the reality of the risks that the people of the United

1:43:32 > 1:43:43Kingdom face. Mr Deputy Speaker, let me welcome the removal of VAT on

1:43:43 > 1:43:49police and Fire Services. But can I remind the Chancellor of the

1:43:49 > 1:43:53Exchequer that together with his friend, the Secretary of State for

1:43:53 > 1:43:57Scotland, that they were given the opportunity to support an SNP

1:43:57 > 1:44:03amendment to the Finance Bill in 2015 that would have removed VAT

1:44:03 > 1:44:06from Scotland and I can see the remarks coming from the benches

1:44:06 > 1:44:11opposite but I will remind them that the Conservative Party in their

1:44:11 > 1:44:15manifesto supported the establishment of police Scotland. It

1:44:15 > 1:44:20was the vindictiveness and the nasty nurse of the Tory government that

1:44:20 > 1:44:26imposed VAT on Scotland. That has ripped £114 million out of our front

1:44:26 > 1:44:33line services. And when the Chancellor of the Exchequer and the

1:44:33 > 1:44:39Secretary of State for Scotland were given the opportunity in the Finance

1:44:39 > 1:44:44Bill of 2015, they failed. So it is a disgrace that we have had 140

1:44:44 > 1:44:50million taken out of front line spending.Point of order. Mr Debord

1:44:50 > 1:44:54is bigger, just a point of clarification, just to clarify, we

1:44:54 > 1:44:57are allowed to intervene on the honourable member's speech, whether

1:44:57 > 1:45:04he takes it or not is something else.Just a second. Just a moment.

1:45:04 > 1:45:09The rules are that it is the Chancellor of the Exchequer, it is

1:45:09 > 1:45:14the Leader of the Opposition, who are not intervened on but what I

1:45:14 > 1:45:19would say is that the courtesies go to the leader of the SNP, who may

1:45:19 > 1:45:24wish not to be intervened, that is his choice, and what I suggest...

1:45:24 > 1:45:29What I suggest... Order, order. What I will tell you is that he has made

1:45:29 > 1:45:33it quite clear that he wants the same courtesy that has been

1:45:33 > 1:45:36established so in which case come he won't be giving way. It will save us

1:45:36 > 1:45:43a lot of time if the bust standing up.Thank you very much Mr Deputy

1:45:43 > 1:45:46Speaker, it is about time the Scottish Conservatives actually

1:45:46 > 1:45:49showed some proper respect, not just to the SNP year but to the Scottish

1:45:49 > 1:45:55Government in Edinburgh. To return to the point, it is an absolute

1:45:55 > 1:46:00disgrace we have had £140 million taken out of front line spending by

1:46:00 > 1:46:04a Tory government ahead of this announcement. VAT should never have

1:46:04 > 1:46:09been charged to Scottish police and fire and the blame for that, the

1:46:09 > 1:46:13sole blame for that lies with the Conservative government. Mr Deputy

1:46:13 > 1:46:20Speaker... Andrew Green order, you are a normal, gentle person, a man

1:46:20 > 1:46:26who normally shows such dignity.I'm hoping he will show dignity today.

1:46:26 > 1:46:31Thank you, Mr Deputy Speaker. The SNP have spoken out here and in

1:46:31 > 1:46:36Holyrood 140 times before the government finally saw sense. But

1:46:36 > 1:46:41what about the 140 million that has been paid? The Chancellor has

1:46:41 > 1:46:45confirmed today what we knew all along, it was a political choice to

1:46:45 > 1:46:49charge VAT on our emergency services. He has accepted that he

1:46:49 > 1:46:54was wrong but I'm calling on the Chancellor today and his friends

1:46:54 > 1:46:59from Scotland on the Tory benches to make sure that we push for a refund

1:46:59 > 1:47:05of the VAT that has been paid over the course of the last three years.

1:47:05 > 1:47:13Mr Deputy Speaker, the Chancellor has painted a picture of our

1:47:13 > 1:47:18economy, ready for the impending economic disaster Brexit. We all

1:47:18 > 1:47:22have to wonder, just exactly what planet is the Chancellor on Western

1:47:22 > 1:47:25Mark most workers are seeing a decline in their living standards

1:47:25 > 1:47:29and have done so since the financial crisis. We are living through the

1:47:29 > 1:47:36worst decade of wage growth for 210 years. Young people are going to be

1:47:36 > 1:47:45poorer than their parents. Housing has become unaffordable for many.

1:47:45 > 1:47:48The austerity economic model has failed millions. The Prime Minister

1:47:48 > 1:47:55alluded to this when she talked about the "Just about managing". Mr

1:47:55 > 1:47:59Deputy Speaker, today's budget was an opportunity to address these

1:47:59 > 1:48:04challenges and make this a budget for people and prosperity. The

1:48:04 > 1:48:07reality is, there is nothing in this budget that deals with the

1:48:07 > 1:48:12challenges that we face. We have the impending UK exit from Europe. We

1:48:12 > 1:48:18know the government is preparing for a no deal. Yet the Chancellor made

1:48:18 > 1:48:25no mention of how the economy would cope with that. The cliff edge is

1:48:25 > 1:48:30before us and the Chancellor sits transfixed, unable or incapable of

1:48:30 > 1:48:37rising to the challenge. No doubt the Chancellor recognises the

1:48:37 > 1:48:40economic self harm that comes with leaving the single market and the

1:48:40 > 1:48:48customs union. But has failed to act. Why? Because the Brexiteers

1:48:48 > 1:48:50have set the agenda for this government and the Chancellor is

1:48:50 > 1:48:55without the authority to challenge the madness. The Chancellor, like

1:48:55 > 1:49:03his government, is in office but not in power. We know that the Prime

1:49:03 > 1:49:07Minister has two present a financial settlement to the EU 27 over the

1:49:07 > 1:49:10coming days. Yet there was no mention of that in this statement,

1:49:10 > 1:49:15none at all. This government has to take its head out of the sand and

1:49:15 > 1:49:21except that the future -- accept that the future indicates the

1:49:21 > 1:49:26likelihood of significant economic self arm. Mr Deputy Speaker, before

1:49:26 > 1:49:29the winds of Brexit hit us, the starting position for millions of

1:49:29 > 1:49:32people is that by then, we will have already been struggling with nine

1:49:32 > 1:49:38years austerity. The cuts being imposed on public services, meaning

1:49:38 > 1:49:42that service delivery has been impacted in public service workers

1:49:42 > 1:49:47in particular, are feeling the squeeze. This is a budget that shows

1:49:47 > 1:49:50a Chancellor that is either blind to what is going on or that he is

1:49:50 > 1:49:55behaving like a frightened rabbit caught in headlights. Either way,

1:49:55 > 1:49:58people are going to pay the price for his lack of leadership. Well, I

1:49:58 > 1:50:04can see the Chancellor saying an extra £2 billion for Scotland. Let

1:50:04 > 1:50:10me tell this allows the reality. Let me tell you the reality. -- this

1:50:10 > 1:50:15house. It is a £250 million cut in real terms. That is what the

1:50:15 > 1:50:21government here is delivering to the people of Scotland. Mr Deputy

1:50:21 > 1:50:25Speaker, this government used to speak of the empty rhetoric of the

1:50:25 > 1:50:30long-term economic plan. It has failed to deliver a vision and has

1:50:30 > 1:50:33no plan for delivering prosperity. The long-term economic plan has

1:50:33 > 1:50:39given way to no plan. Scratch the surface of the economy and you will

1:50:39 > 1:50:45see a structure barely coping with the state of society, a structure

1:50:45 > 1:50:48that is so unfairly built in favour of the wealthy, we have created a

1:50:48 > 1:50:53situation where we have the worst wage growth in 200 years and the IFS

1:50:53 > 1:50:57tell us an additional 400,000 children will be in absolute poverty

1:50:57 > 1:51:02within six years due to the benefit cuts that are to come because let's

1:51:02 > 1:51:08remind ourselves, there is still £12 billion of cuts to welfare to come

1:51:08 > 1:51:16from this Tory government. The case, Mr Deputy Speaker, is that working

1:51:16 > 1:51:18people are paying the price for this government's ideological accession

1:51:18 > 1:51:23with austerity because make no mistake, it is an ideological

1:51:23 > 1:51:30accession. I mean, it is a pity that people watching and listening to

1:51:30 > 1:51:37this cannot see the Tory benches sitting and laughing when people in

1:51:37 > 1:51:39our country are paying the price. They should be utterly ashamed of

1:51:39 > 1:51:46themselves. Effective stewardship of our economy has to recognise the

1:51:46 > 1:51:50importance of fiscal and monetary policy working in tandem to create

1:51:50 > 1:51:57the circumstances of sustainable and inclusive economic growth. Any

1:51:57 > 1:52:01disconnect leads to failure to deliver an economy that works for

1:52:01 > 1:52:05all, which is precisely what is happening. A failure to deliver a

1:52:05 > 1:52:09budget for prosperity hit all workers, in particular those in the

1:52:09 > 1:52:13public sector. Mr Deputy Speaker, in September, the Scottish cosmid

1:52:13 > 1:52:16became the first in the UK to announce it will scrap the public

1:52:16 > 1:52:23sector pay gap. Our nurses, teachers, police officers and

1:52:23 > 1:52:26firefighters deserve a fair deal for the future. Future pay rises will be

1:52:26 > 1:52:30based on the cost of living and today, the Chancellor betrayed

1:52:30 > 1:52:36public sector workers by refusing to fund a fair pay rise. But it is not

1:52:36 > 1:52:40just the squeeze on pay which is leaving low earners are struggling

1:52:40 > 1:52:44to get by. The UK Government's Social Security cuts are

1:52:44 > 1:52:49specifically designed to remove the welfare state. The SNP will never

1:52:49 > 1:52:54accept this ideological attack on the most vulnerable in our society.

1:52:54 > 1:52:56The damaging and destructive Universal Credit system must be

1:52:56 > 1:53:02halted and fixed. Now, I welcome some of the things we have heard to

1:53:02 > 1:53:08date but it simply does not go far enough. We still have cuts to the

1:53:08 > 1:53:10work allowance is taking place and while young people are pushed into

1:53:10 > 1:53:16poverty, Universal Credit as is, is not fit for purpose. The Chancellor

1:53:16 > 1:53:19of the Exchequer should call thoughts today and reform the system

1:53:19 > 1:53:26properly. -- call a halt today. We also call on the Chancellor to scrap

1:53:26 > 1:53:35the two child policy and immoral... According to the IFS, the two child

1:53:35 > 1:53:41cap on tax credits will mean around 600,000 families with three children

1:53:41 > 1:53:46lose £2500 per year on average, and 300,000 families with four or more

1:53:46 > 1:53:50children will lose a whopping £7,000 per year on average, and most of

1:53:50 > 1:53:54these families are in work. If you want to make work pay, then let's

1:53:54 > 1:53:56remove that clause.

1:54:01 > 1:54:08There is nothing in this budget for Wimborne in the 19 50s, we're seeing

1:54:08 > 1:54:12a rise in pensionable age up to six years without proper notice.

1:54:12 > 1:54:16Depriving millions of a pension they paid for, they were entitled to.

1:54:16 > 1:54:19Time and time again, the Government's been asked to slow down

1:54:19 > 1:54:23the current rate of increase and women's pensionable age which is

1:54:23 > 1:54:27increasing at three months for each calendar month. Either the

1:54:27 > 1:54:32Chancellor decides to act now and deliver fairness to 1950s women or

1:54:32 > 1:54:38he will find Parliament will do it for him. There is a Private Members

1:54:38 > 1:54:44Bill calling for mitigation to be put in place for 1950s women. Let me

1:54:44 > 1:54:48say to the Government, recognise the cross-party nature of this bill and

1:54:48 > 1:54:55actor face defeat. Whilst the Tories attack on benefits pushing more

1:54:55 > 1:54:58families into poverty, the financial squeeze on household income

1:54:58 > 1:55:04continues as Brexit bites. Today, inflation sits at 3%. Prices are

1:55:04 > 1:55:09risings at a faster rate than wages. The Resolution Foundation calculated

1:55:09 > 1:55:143% inflation combined with the benefits freeze will impact 7.3

1:55:14 > 1:55:17million children, 2.4 million disabled people and 800,000 people

1:55:17 > 1:55:22looking for work. There is no answer to that for the Chancellor. Nothing

1:55:22 > 1:55:26in this budget. Let me tell the Chancellor those on the Tory

1:55:26 > 1:55:32benches, what life is like outside the guilded rooms of Whitehall.

1:55:32 > 1:55:37Electricity bills have increased by 9%. You laugh, you laugh when people

1:55:37 > 1:55:43in Scotland and the rest of the UK have seen electricity prices rise by

1:55:43 > 1:55:479%. You should be ashamed of yourself. I hope your electorate

1:55:47 > 1:55:53holds you to account. That, by the way, was the so-called honourable

1:55:53 > 1:56:00member for Ayr. Children's clothing has increased by 6.7% in price.

1:56:00 > 1:56:05Butter has increased by 12% in price. Travel, bus and coach traffic

1:56:05 > 1:56:11has increased by 13%. Train fairs by 3.4%. Transport insurance up by

1:56:11 > 1:56:201.6%. Motor vehicle insurance 13%. Travel insurance 10 rest. That's the

1:56:20 > 1:56:24reality for ordinary working people in Scotland and the UK. Inflation is

1:56:24 > 1:56:30making the cost of a weekly shop soar and wages are falling. There is

1:56:30 > 1:56:34nothing in this budget to address that. The rise in inflation and

1:56:34 > 1:56:42squeeze on wages is creating a crisis for low income earners.

1:56:42 > 1:56:51Between 2010 sand 201, official GDP per employee had risen by 3.5% real

1:56:51 > 1:56:59waging are 1.2% -- 1.1% lower. If inflation is calculated to include

1:56:59 > 1:57:03housings costs, real wages are down by 7.2%. That's the economic record

1:57:03 > 1:57:09of the Tory Government. The collapse of UK productivity growth has driven

1:57:09 > 1:57:13low growth and stagnant wages. But whilst many of my constituencients

1:57:13 > 1:57:18and families across the UK rely on credit cards to put forward on the

1:57:18 > 1:57:25table, a different story is unfolding in the city. Under this

1:57:25 > 1:57:34Tory Government, boardroom pay has soared. From 2010-1016 the average

1:57:34 > 1:57:43ewe numeration for CEOs almost doubled. From 1.5-3.1 million. Mr

1:57:43 > 1:57:47Deputy Speaker, the inequality goes much deeper. European Commission

1:57:47 > 1:57:52figures revealed the UK had the biggest increase in the EU's gender

1:57:52 > 1:57:59pay gap in 2015. The difference in average hourly pay for male and

1:57:59 > 1:58:07female workers jumped from 19.7% in 2014 to 70.8% in 2015. That means in

1:58:07 > 1:58:12event women are working unpaid for more than two months a year in

1:58:12 > 1:58:17comparison to men. This Government has not only driven thousands into

1:58:17 > 1:58:23poverty, it has completely failed to investment in building an inclusive

1:58:23 > 1:58:28economy fit for future generations. Legacy this Chancellor leaves is an

1:58:28 > 1:58:34economy which only works for the rich and reckless. We need tad fifty

1:58:34 > 1:58:39to create circumstances to include sustainable economic growth with

1:58:39 > 1:58:44unthat would encourage investment strive up productivity and living

1:58:44 > 1:58:48standards, which recognises monetary and fiscal policy have to work in

1:58:48 > 1:58:53UNISON. What we've had is a focus on monetary policy that's given up

1:58:53 > 1:58:56house prices, stocks and shares but failed to drive investment in the

1:58:56 > 1:59:03real economy. Back in 2009 quantitative easing was an obvious

1:59:03 > 1:59:07choice to be part of restoring confidence in growth provided it was

1:59:07 > 1:59:13matched with fiscal measures. Particularly in vestings in

1:59:13 > 1:59:16infrastructure and building capacity in our economy. A chance to invest

1:59:16 > 1:59:21in the economy to kick-start growth and productivity. But under the

1:59:21 > 1:59:25steer of this Government it was invested to benefit the wealthy and,

1:59:25 > 1:59:29in the end, has done nothing but exacerbate the gap between rich and

1:59:29 > 1:59:33poor. The Bank of England recognise the negative effect caused by this

1:59:33 > 1:59:41policy. In 2012, they said although quantitative easing had increased as

1:59:41 > 1:59:44set prices this had disproportionately benefitted the

1:59:44 > 1:59:49top 5% of the households. I can see the Chancellor waiving his hands.

1:59:49 > 1:59:54This is something which is important. Something that he

1:59:54 > 1:59:59ultimately has to take responsibility for. Mr Deputy

1:59:59 > 2:00:04Speaker, last year inflating as set prices had exacerbated the gap

2:00:04 > 2:00:10between rich and poor. They found the 10% wreathiest of households

2:00:10 > 2:00:17held 56% of net financial as sets in 2015. By 2014, the proportion of the

2:00:17 > 2:00:21nation's welts had increased to 6 a %. It is easy to see why the Tories

2:00:21 > 2:00:25don't want to change this policy. Reducing inequality has never been

2:00:25 > 2:00:31one of their aims. The #e6ed is stark. Quantitative easing has

2:00:31 > 2:00:36mostly benefitted those who started with considerable wealth. The FTSE

2:00:36 > 2:00:45100 was sitting at 3,805 on 18th March 2009 ahead of the QE programme

2:00:45 > 2:00:52being launched. Last night, there was a growth of 95% in just over

2:00:52 > 2:00:58eight years. The Government has stuffed cash into the pockets of the

2:00:58 > 2:01:03wealthy whilst ordinary folk have paid the price for austerity. The

2:01:03 > 2:01:07cry, there's no money, flies in the face of the Government's own agenda.

2:01:07 > 2:01:13A further £70 billion was invested in QE after the Brexit vote taking

2:01:13 > 2:01:20the programme to £435 billion. That is £435 billion on to our debt with

2:01:20 > 2:01:27no plan, no plan as to how this will be repaid. We could have invested in

2:01:27 > 2:01:30our infrastructure, in housing, dealing with the demand for housing

2:01:30 > 2:01:34and dampening the rise in house prices to affordable level as one

2:01:34 > 2:01:40example. Investing in connectivity, transport and digital, to allow our

2:01:40 > 2:01:43citizens and businesses compete effectively and not caught in the

2:01:43 > 2:01:48slow lane of transport snarl-ups and fighting to get decent broadband or

2:01:48 > 2:01:52mobile connectivity. This investment would have grown the economy, tax

2:01:52 > 2:01:55receipts and allowed us to cut the deficit. There would have been a pay

2:01:55 > 2:02:00pack. That could have supported businesses at the same time as

2:02:00 > 2:02:06supporting people. Don't tell us there's no money when you can invest

2:02:06 > 2:02:11an additional £70 billion in QE at the drop of a hat. Take proper

2:02:11 > 2:02:14responsibility for creating the circumstances for inclusive growth

2:02:14 > 2:02:19and prosperity. Of course, taking responsibility is not something that

2:02:19 > 2:02:27this Government does. £6.9 billion is lost to our schools and 4079s

2:02:27 > 2:02:33every year because this Government I'm calling on the Government to

2:02:33 > 2:02:37take tough new action to ensure the richest in society and the biggest

2:02:37 > 2:02:42corporations pay the taxes they owe in full. They have chosen to cut

2:02:42 > 2:02:46public spending while protects the super rich. Of course, the Tories

2:02:46 > 2:02:51are the party of the super rich. If they won't take the ass required,

2:02:51 > 2:02:54devolve the powers needed to canle the issue to the Scottish

2:02:54 > 2:03:00Parliament. For I ask the Chancellor last month on any assessment he has

2:03:00 > 2:03:03made on the inter relationship between monetary and fiscal policy,

2:03:03 > 2:03:08the answer I got was that monetary responsibility was the

2:03:08 > 2:03:11responsibility of the bang Bank of England. There was no regard for a

2:03:11 > 2:03:17link between the two. It is left to the Bank of England to shine the

2:03:17 > 2:03:22light on the failure the Chancellor to engaged and joined up thinking.

2:03:22 > 2:03:26The Bank of England #5ed mitted the steep rises in house prices in the

2:03:26 > 2:03:29decade proceeding the crisis together the with a fall in

2:03:29 > 2:03:34long-term interest rates has led to a sharp rise in inter generational

2:03:34 > 2:03:37dis-Persian of wealth benefitting in particular older people who had

2:03:37 > 2:03:43already entered the market before prices began to rise. This

2:03:43 > 2:03:45Government has avoided every opportunity to invest in young

2:03:45 > 2:03:54people. What hope... The Chancellor says rubbish. I'm giving facts from

2:03:54 > 2:03:56respected institutions, not least the Bank of England. Is the

2:03:56 > 2:04:01Chancellor really saying 9 bank of the Bank of England is wrong as

2:04:01 > 2:04:05well? I think they might have something to say. What hope it

2:04:05 > 2:04:10Millenials have to cling on to? Robbed of their housing allowance.

2:04:10 > 2:04:14Lumbered with chronic student debt, this Government's gone out of its

2:04:14 > 2:04:17way to avoid investing in young people. The inter generational

2:04:17 > 2:04:21wealth and fairness is creating the perfect storm for future

2:04:21 > 2:04:26generations. Research from the Resolution Foundation shows today's

2:04:26 > 2:04:3327-year-olds are earning the same amount 27-year-olds did a quarter of

2:04:33 > 2:04:39a century ago. A typical millennial has earned £8,000 less in their

2:04:39 > 2:04:42twenty than those in the proceeding generation. We've missed chance

2:04:42 > 2:04:48after chance to invest in inclusive growth opportunities. The Government

2:04:48 > 2:04:52has been the proverbial one club golfer relying on monetary measures

2:04:52 > 2:04:57in a vacuum. Even the IFS warned the Chancellor on his calculations.

2:04:57 > 2:05:03First of all, we had George Osborne pro claim he wanted to balance the

2:05:03 > 2:05:09books by 2015. That didn't happen. Now the current Chancellor wants to

2:05:09 > 2:05:15eliminate borrowing by 2020. Even the IFS called on him to abandon his

2:05:15 > 2:05:20fanciful fiscal targets. There is more uncertainty on forecast now

2:05:20 > 2:05:25than ever before. The Chancellor himself told the Treasury committee

2:05:25 > 2:05:29a cloud of uncertainty is acting as a temporary dampner and we need to

2:05:29 > 2:05:34remove it as soon as possible. Well, there was nothing in that budget

2:05:34 > 2:05:41today to remove it. But, I'm in a giving mood. I'll give the

2:05:41 > 2:05:47Chancellor a bit of fundamental economic advice. End the suicidal

2:05:47 > 2:05:51flirtation with a no deal scenario. Give business something to invest in

2:05:51 > 2:05:56and work on keeping the UK in the single market. The stupidity and

2:05:56 > 2:06:00recklessness of some on front bench who rode around on a famous red bus

2:06:00 > 2:06:05has been the most damaging economic pledge in modern history. £350

2:06:05 > 2:06:09million a week, they said for the NHS. Well, they're silent on that

2:06:09 > 2:06:13now. The Foreign Secretary and the Environment Secretary should listen

2:06:13 > 2:06:19up. Here are some home truths about the mess they've created. The Bank

2:06:19 > 2:06:24of England confirmed 75,000 jobs are at risk in the financial sector due

2:06:24 > 2:06:28to Brexit. The LSE revealed Scotland's towns and cities could

2:06:28 > 2:06:34lose up to £340 billion over five years. Brexit would cost Scotland up

2:06:34 > 2:06:40to 80,000 jobs and see camings fall by £2,000 a head per year. Now the

2:06:40 > 2:06:47Chancellor is planning for a no deal. A complete catastrophe. That's

2:06:47 > 2:06:52unfolding under his watch. He knows how devastating such a math would be

2:06:52 > 2:06:57for the UK economy. He's given departments £250 million to carry

2:06:57 > 2:07:06out work in preparation. To put this in contest, that would pay for

2:07:06 > 2:07:1011,553 new starter nurses, teachers or police officers. It is not just

2:07:10 > 2:07:14the funding Brexit that's costing commune. Leaving the EU will cut off

2:07:14 > 2:07:17the financial social funds we've benefitted from for so long. This

2:07:17 > 2:07:22will be devastating for communities where poverty and destitution at the

2:07:22 > 2:07:28hands of the Tories have vene volunteers pick up the pieces. As

2:07:28 > 2:07:33the UK haemorrhages EU funding and the Chancellor pro claims austerity

2:07:33 > 2:07:37is essential he managed to find £1 billion for the DUP. Quite

2:07:37 > 2:07:43remarkable. The Chancellor found £1 billion for devolved areas in the

2:07:43 > 2:07:48Northern Ireland executive to spend but no additional funds provided for

2:07:48 > 2:07:51Scotland or any other part of the you can. Cash for votes, not very

2:07:51 > 2:07:56honourable at all. What use are they? The Scottish Conservative

2:07:56 > 2:08:01benches who pledge to work as a block to protect Scotland's

2:08:01 > 2:08:07interests that was your chance to shine. A golden opportunity to show

2:08:07 > 2:08:13they were prepared to put politics aside and stand up for Scotland. But

2:08:13 > 2:08:16no, party loyalty prevailed and Scotland is being overlooked in this

2:08:16 > 2:08:20dodgy deal. This money cannot be post Tested until the discussions

2:08:20 > 2:08:23have concluded on the appropriateness and the way in which

2:08:23 > 2:08:30the UK Government decided to provide the addition financial support. The

2:08:30 > 2:08:35Barnet rules mean Scotland, Wales and Northern Ireland are entitled to

2:08:35 > 2:08:39an extra £2.9 billion as a result of deal. Where the Scottish Tories

2:08:39 > 2:08:45standing can up for that £2.9 billion Scotland he is defshs? Gone

2:08:45 > 2:08:49are the calls for the Scottish Tories, UK Government to match the

2:08:49 > 2:08:54deal for Northern Ireland. They've been found wanting. Year after year,

2:08:54 > 2:08:58the UK Government continues to let down our world-class oil and gas

2:08:58 > 2:09:03industry in the north-east of Scotland.

2:09:03 > 2:09:07Two years ago, Mr Deputy Speaker, the Conservatives boasted about the

2:09:07 > 2:09:11creation of a new oil and gas ambassador. It would promote the

2:09:11 > 2:09:15North Sea around the world and boost investment. How embarrassing, then,

2:09:15 > 2:09:21for the Chancellor that the role, two years later, has yet to be

2:09:21 > 2:09:24built. It seems that the Chancellor and his cabinet colleagues have

2:09:24 > 2:09:28simply forgotten about our North Sea industry once again. Despite the

2:09:28 > 2:09:34Chancellor's tight grip restraining skull and's economic potential, the

2:09:34 > 2:09:42SNP in Scotland have delivered our people.Anna Soubry.Mr Deputy

2:09:42 > 2:09:46Speaker, is it in order for honourable members to make speeches

2:09:46 > 2:09:51where they completely ignore the contents of the budget that the

2:09:51 > 2:09:57Chancellor has just delivered? Order, order. There's two good

2:09:57 > 2:10:01things, isn't there? We've got a slight break. One, it was definitely

2:10:01 > 2:10:05not a point of order and you know it wasn't, completely not a point of

2:10:05 > 2:10:08order. The fact is, we've had a running commentary from you all the

2:10:08 > 2:10:12way through. I think I've heard more than enough from the time being and

2:10:12 > 2:10:19I certainly want to get to the end of the leader of the SNP.Thank you,

2:10:19 > 2:10:24Mr Deputy Speaker. In Scotland, international exports are up 41%

2:10:24 > 2:10:29between 2007-2015, the latest on imported figures show that Scotland

2:10:29 > 2:10:34has higher unemployment rate and lower implement rates with UK and

2:10:34 > 2:10:37use and continues to outperform UK. The Scottish Government the filled

2:10:37 > 2:10:40its commitment to reduce youth unemployment for years ahead of

2:10:40 > 2:10:43schedule, that is how you make visible targets, it is not just

2:10:43 > 2:10:46about the ability of the Scottish Government to deliver an inclusive

2:10:46 > 2:10:49society that works for all, it is our vision for an economy that

2:10:49 > 2:10:57benefits all and the UK Government chose the break clause, the Scottish

2:10:57 > 2:11:01Government chose the baby box. When the UK Government tripled tuition

2:11:01 > 2:11:03fees, the Scottish Government maintained a Brisbane Roar free

2:11:03 > 2:11:06tuition for all. When the Conservatives pushed for a dementia

2:11:06 > 2:11:09tax, the Scottish Government stood by free personal care for the

2:11:09 > 2:11:14elderly. We know that an economy is not just a tool for inclusive growth

2:11:14 > 2:11:18but it is central to the social fabric of the society which we grow

2:11:18 > 2:11:25up. It is time for an economy that benefits all. And damaging austerity

2:11:25 > 2:11:28agenda and stop the catastrophic ideological obsession with a Brexit

2:11:28 > 2:11:38no deal.Just, order. Just to say, we are going over to ten minute

2:11:38 > 2:11:42speeches and it will be ten minutes from when we start but I have a

2:11:42 > 2:11:47point of order.Mr Deputy Speaker, this morning in Cabinet questions,

2:11:47 > 2:11:50the first Secretary of State claimed the consultation on the contaminated

2:11:50 > 2:11:54blood scandal had been extended until the end of October this year

2:11:54 > 2:11:59at the request of the APPG, this was not correct and in fact the APPG had

2:11:59 > 2:12:02asked for an extension of the original date of the consultation

2:12:02 > 2:12:06which was in August 2000 17. Many people have contacted me you are

2:12:06 > 2:12:12concerned that this is now being made on the announcement of the

2:12:12 > 2:12:15chair and terms of reference and I wondered if there is a way of

2:12:15 > 2:12:20correcting the record?I think you have achieved that I do have

2:12:20 > 2:12:23corrected the record and put it on the record for now. Right, let's

2:12:23 > 2:12:29continue with a ten minute remit, Nadim Zahawi 's.Thank you Mr Deputy

2:12:29 > 2:12:35Speaker and it is a relief to rise after the previous speech from the

2:12:35 > 2:12:40SNP spokesman. It was actually longer than the official opposition

2:12:40 > 2:12:47response, and it was riveting. Mr Deputy Speaker, the budget

2:12:47 > 2:12:54resolutions always tend to be about figures and statements which can be

2:12:54 > 2:12:58quite dry and are very often leaked before the actual budget speech

2:12:58 > 2:13:04itself. I was delighted today, absolutely delighted, that of the

2:13:04 > 2:13:10headline measures in this speech, the removal of the 300,000... Sorry,

2:13:10 > 2:13:15removal of stamp duty on properties up to £300,000 was to be scrapped.

2:13:15 > 2:13:19-- the stamp duty on properties. I'm delighted that measure was not

2:13:19 > 2:13:25leaked and was an exciting moment, and one of the are many measures...

2:13:25 > 2:13:28I thank my honourable friend were giving way, something the benches

2:13:28 > 2:13:32opposite were not prepared to do for whatever reason. Does my honourable

2:13:32 > 2:13:36friend really believe that the policy announced by the Chancellor

2:13:36 > 2:13:39in respect of stamp duty presents an almighty challenge to the Scottish

2:13:39 > 2:13:44Government? Their land buildings and transaction tax has been an

2:13:44 > 2:13:49unmitigated disaster. Does she think that the leader of the SNP should be

2:13:49 > 2:13:52going to the First Minister and suggesting that the policy is

2:13:52 > 2:13:57followed in Scotland?I'm very sure that they have had the honourable

2:13:57 > 2:14:02member's point and will be taking at Ford, I imagine tomorrow. -- they

2:14:02 > 2:14:05have heard. Mr Deputy Speaker, one of the issues about homeownership in

2:14:05 > 2:14:09the UK is it is very close to my heart, it is actually the reason I

2:14:09 > 2:14:14became a Conservative MP in the first base. We are seeing now in

2:14:14 > 2:14:19these measures today one of the biggest and most... It's a

2:14:19 > 2:14:25revolution in house-building in the UK, 300,000 homes per year, plus the

2:14:25 > 2:14:28establishment of homes England which will bring together all of the

2:14:28 > 2:14:35strands that we need to make this target possible. Taking, looking at

2:14:35 > 2:14:42those... The planning applications, the training of skilled Artisans and

2:14:42 > 2:14:45workmen to build those homes. Homes England is going to be an authority

2:14:45 > 2:14:49that will be required to drive forward to that degree of

2:14:49 > 2:14:51homeownership but it is sometimes very easy to forget what

2:14:51 > 2:14:57homeownership means to so many people. We haven't seen measures

2:14:57 > 2:15:03like this introduced in the UK since the 1970s. And I think that probably

2:15:03 > 2:15:06in this house, I may be one of the members who understands the value of

2:15:06 > 2:15:12homeownership more than most. I was, I lived in a council house until I

2:15:12 > 2:15:20was in my late 20s. And I was reminded of this in 2017 when I was

2:15:20 > 2:15:27canvassing in a constituency which is not mine, in Luton, in Stockley

2:15:27 > 2:15:32Ward. When I knocked at the Lady's door, she said, "I know you, you are

2:15:32 > 2:15:37not standing here but I wouldn't vote for you anyway because you

2:15:37 > 2:15:42support homeownership". And I found this quite remarkable because I was

2:15:42 > 2:15:48on a private, well appointed home. -- I was at a private. She told me,

2:15:48 > 2:15:52we had a discussion which was a similar moment for me. She says,

2:15:52 > 2:16:00"The thing is, I'm a trade unionist and I don't want, I bore Right To

2:16:00 > 2:16:02Buy, I abhor homeownership because people who have mortgages to pay

2:16:02 > 2:16:04won't strike"

2:16:04 > 2:16:08people who have mortgages to pay won't strike". We went on to have a

2:16:08 > 2:16:13discussion about how people, when they buy their own homes, regard

2:16:13 > 2:16:18their own private capital over and above social capital and she was a

2:16:18 > 2:16:22very principled lady, I believed. She had very strong points of view

2:16:22 > 2:16:27and I never want to diminish zombie 's's point of view, it is just as

2:16:27 > 2:16:31relevant as mine. She can ball homeownership to the same extent

2:16:31 > 2:16:35that I adore homeownership. -- she can a poor homeownership. But we had

2:16:35 > 2:16:42an sting last sentence when she told me it was her own home, not private

2:16:42 > 2:16:45rented accommodation. That was an interesting moment but I took a

2:16:45 > 2:16:50points on board. But I tried to explain to her the reason why,

2:16:50 > 2:16:54because she said to me, "You shouldn't be a conservative, you

2:16:54 > 2:16:57should be a Labour politician, you have come from a council estate I

2:16:57 > 2:16:59know your background"

2:16:59 > 2:17:00have come from a council estate I know your background". It was really

2:17:00 > 2:17:05interesting because I did, and I witnessed what happens to people

2:17:05 > 2:17:10when they are given the opportunity to buy their own home. I will try to

2:17:10 > 2:17:15give a description of what it is like to not own your own house

2:17:15 > 2:17:18because so many people are in that position right now. On the estate I

2:17:18 > 2:17:21lived in, every door was painted the same colour. It was painted by the

2:17:21 > 2:17:28council. The gardens on the ground floors were divided by packing cases

2:17:28 > 2:17:32and palettes, wooden pallets. There were no flowers and what were

2:17:32 > 2:17:38gardens had become patches of mud. Life was pretty great and people

2:17:38 > 2:17:42worked at Ford and nobody had any particular aspiration to do anything

2:17:42 > 2:17:47else. But when people began to own those council houses, it was as

2:17:47 > 2:17:51though it changed overnight. People started to paint their own front

2:17:51 > 2:17:55doors, their own colours, expressing their individuality. The packing

2:17:55 > 2:17:59cases were ripped up and painted fences were put in their place.

2:17:59 > 2:18:05Flowers were planted in the gardens. People started working overtime. The

2:18:05 > 2:18:08very first car was bought and arrived in our road. My mother, who

2:18:08 > 2:18:13was a teacher, was almost giving knightly class to people knocking on

2:18:13 > 2:18:17the door and wanting to have lessons because they wanted to go out, women

2:18:17 > 2:18:22who wanted to go out to work. I regarded homeownership at that time

2:18:22 > 2:18:27as a driver for equality for women because women and almost a reason to

2:18:27 > 2:18:34break free on the kitchen sink and get out to work. -- from the kitchen

2:18:34 > 2:18:37sink. I saw a transformation happen on the estate I lived because of

2:18:37 > 2:18:45homeownership. It is about family stability also because people who

2:18:45 > 2:18:48don't own their own homes, rent, families rent and that is the most

2:18:48 > 2:18:52unstable position for a family to live in, you are facing may be

2:18:52 > 2:18:55having to move every six months, you are facing not the kind of

2:18:55 > 2:18:59properties you want to live in, not the areas you want to live in which

2:18:59 > 2:19:03is why people being able to buy their own homes, decide where they

2:19:03 > 2:19:07live, where they send their children to school... I will give way.I

2:19:07 > 2:19:11thank my honourable friend for giving way, making a typically

2:19:11 > 2:19:16powerful argument and is she aware that this drives people to aspire to

2:19:16 > 2:19:21own their own home, so 80% of people who read want to own?Absolutely and

2:19:21 > 2:19:26that is exactly the point I'm coming on to. I have spoken to a number of

2:19:26 > 2:19:31people who actually work here, our staff. One of the most startling

2:19:31 > 2:19:35facts about our staff who work here is that they have to wait until they

2:19:35 > 2:19:41are in at least their mid-30s before they can even think of putting

2:19:41 > 2:19:45effort on the property ladder and what I hope these measures that have

2:19:45 > 2:19:48been announced today will do is help those people, the abolition of the

2:19:48 > 2:19:51stamp duty and all the measures that we putting in place to become

2:19:51 > 2:19:58homeowners. Of course.I'm listening carefully to what she says and I've

2:19:58 > 2:20:02been a long-standing supporter and champion of people being able to own

2:20:02 > 2:20:07their own homes but has she read what the OBR says about the stamp

2:20:07 > 2:20:12duty, that in fact, it won't help first-time buyers, it will push up

2:20:12 > 2:20:19prices by far more than they would actually save?I thank my honourable

2:20:19 > 2:20:23friend for that contribution and that is exactly what the point the

2:20:23 > 2:20:26Chancellor made during his speech, he made the point that other

2:20:26 > 2:20:29measures also needed to be made in conjunction with the abolition of

2:20:29 > 2:20:32the stamp duty, which is the investment had a lot I will give way

2:20:32 > 2:20:39once more because it only ten minutes.The desire to purchase your

2:20:39 > 2:20:42own them and I have a niece who lived in a council flat until three

2:20:42 > 2:20:45years ago and she chose to purchase the flat before the Scottish

2:20:45 > 2:20:52Government banned the sale of houses and would have denied her ownership

2:20:52 > 2:20:58and in purchasing have flat, she saved £150 per month.I thank the

2:20:58 > 2:21:00honourable gentleman for that statement and it is another

2:21:00 > 2:21:03illustration of how important it is for people to be able to purchase

2:21:03 > 2:21:08their own homes. In response to the honourable lady, I can go through

2:21:08 > 2:21:15the list, abolishing stamp duty, investing an additional 15 billion

2:21:15 > 2:21:19for house building, taking £44 billion, the total, for this

2:21:19 > 2:21:23parliament, it is the other measures along with stamp duty. People can't

2:21:23 > 2:21:27own their own homes, though, if there are not people to build those

2:21:27 > 2:21:34homes. I welcome the review into looking at, just in London alone,

2:21:34 > 2:21:36the 270,000 planning permissions, I welcome the review into looking at

2:21:36 > 2:21:41why those homes have not been built. It is not just in London but in my

2:21:41 > 2:21:44constituency and all across the country. Measures have been put in

2:21:44 > 2:21:48place to help councils build more, it is vitally important we have more

2:21:48 > 2:21:51council homes, authorities need to be able to have the powers and

2:21:51 > 2:21:56ability to do that. We need those targets, Brown, urban sites,

2:21:56 > 2:22:04brownfield sites which have laid dormant. We all know the areas

2:22:04 > 2:22:07around Heathrow and those areas in outer London. People work in London

2:22:07 > 2:22:10and they want to live in London and be able to afford to buy in London,

2:22:10 > 2:22:13not have to travel two hours commute into London to be able to work. I

2:22:13 > 2:22:16believe all this is being looked at which will enable so many young

2:22:16 > 2:22:20people in this capital, who want to be able to buy their home and simply

2:22:20 > 2:22:24have not been able to do so but not just in the capital, in my

2:22:24 > 2:22:28constituency in mid-Bedfordshire. One of the complaints I hear more

2:22:28 > 2:22:32often than any other in my mailbox is young people who want to stay and

2:22:32 > 2:22:35live in mid-Bedfordshire and buy their home in mid-Bedfordshire but

2:22:35 > 2:22:40simply are unable to do so and are forced out. You know, not everybody