29/10/2015

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:00:08. > :00:13.Hello and welcome to BBC Parliament's live coverage from the

:00:14. > :00:17.House of Commons. In an hour the leader of the house Chris Grayling

:00:18. > :00:21.and will announce the forthcoming business in the chamber and take

:00:22. > :00:25.questions from backbenchers. The main business is a backbench

:00:26. > :00:29.business debate on the effects of the government proposed reforms to

:00:30. > :00:34.tax credits. Remember to join me for a round-up of the day in both Houses

:00:35. > :00:39.of Parliament at 11pm this evening. First, we have questions to the

:00:40. > :00:40.Transport Secretary Patrick McLoughlin and his team of

:00:41. > :01:00.ministers. Order. Transport the London bill,

:01:01. > :01:07.Lords revival motion. I beg to move. Motion to be taken what day? Very

:01:08. > :01:12.appropriately Thursday, the 5th of November. Thursday the 5th of

:01:13. > :01:19.November. Order, questions to the Secretary of State the transport.

:01:20. > :01:26.Question number one. The current difference between laboratory

:01:27. > :01:33.testing and real emissions. The agreement we secured in Brussels to

:01:34. > :01:39.introduce real-world testing in 2017 is an important milestone. We will

:01:40. > :01:43.continue to press the EU for a comprehensive approach on emissions

:01:44. > :01:57.testing that restores confidence and the livers climb it -- and delivers

:01:58. > :02:03.climb it objectives -- climate. The UK's managing director said the

:02:04. > :02:10.target of 2016 might not be deliverable. How can he assure the

:02:11. > :02:17.house that this can be achieved by 2016? Volkswagen have acted

:02:18. > :02:22.disgracefully in this whole episode. I will be looking to them

:02:23. > :02:24.to ensure they live up to the expectations they promised

:02:25. > :02:33.originally and will be working to make sure that happens. Does he

:02:34. > :02:37.agree that Volkswagen has shattered trust in motor vehicle testing and

:02:38. > :02:40.we need to move at pace to real-world testing to restore

:02:41. > :02:49.confidence in the public? I do agree. I think both when I appeared

:02:50. > :02:54.before the Select Committee, just a few weeks ago, I made that position

:02:55. > :02:56.abundantly clear. I think progress made yesterday is progress made

:02:57. > :03:04.yesterday is progressing the right direction. The still unfolding

:03:05. > :03:07.scandal of Volkswagen has lifted the lid on the more widespread problem

:03:08. > :03:12.about emissions testing which was known about for a long time. Why

:03:13. > :03:18.didn't the Department act sooner in doing something about it? It has two

:03:19. > :03:23.B said that's the honourable lady says it was known about a long time,

:03:24. > :03:41.but in truth if one looks at the amount of diesel sold in 2001, it

:03:42. > :03:46.was 460,000, 17%. In 2009, -- 815,000, if it was known about for

:03:47. > :04:02.some time it is not this government but the previous that is culpable.

:04:03. > :04:07.The new London taxi is zero. I have travelled in one of those taxes.

:04:08. > :04:16.That is part of the answer we will continue to support our programme of

:04:17. > :04:22.support for some 1.2 million cars have been affected across the UK and

:04:23. > :04:28.it is important to be mindful of drivers, they are facing a higher

:04:29. > :04:34.road tax. Does he agree the financial implications should we

:04:35. > :04:38.give in to Volkswagen and Audi for this disgraceful thing that

:04:39. > :04:46.happened? I do not think there will be an increase in taxes, we have

:04:47. > :04:53.made that clear. But it is something that VW will have to addressing

:04:54. > :04:59.course. Is the reality, though, that Biddestone's statements are leaving

:05:00. > :05:03.motorists concerned about air quality number wise. Can he clear

:05:04. > :05:07.the air on one point and that is what happened at the EU technical

:05:08. > :05:12.committee yesterday. It was not just about setting a timetable for new

:05:13. > :05:18.cars to conform with existing emissions, did it not also involve

:05:19. > :05:22.permission to breach those limits by 50%, that being open ended

:05:23. > :05:27.permission, and isn't that what the UK representative voted for? What

:05:28. > :05:31.was important was because agreement for real-world emissions testing

:05:32. > :05:38.across Europe and this was something... This has been objected

:05:39. > :05:43.to the pass. We pressed for it and I am pleased we achieved it. He said

:05:44. > :05:49.it is not as much or as fast as he would like, but I would say we have

:05:50. > :05:51.made more progress in the six months of this new Conservative government

:05:52. > :06:04.than ever made in the last government. The government remains

:06:05. > :06:07.committed to delivering the vital benefits these projects will provide

:06:08. > :06:13.to passengers as part of the replanning of this programme I

:06:14. > :06:19.expect Sir Peter Hendy to ensure schemes deliver value for money.

:06:20. > :06:25.With the minister agree the tripling of costs to over 2.5 billion pounds

:06:26. > :06:29.is breathtaking and will he take the time to learn lessons from Scotland

:06:30. > :06:35.where major capital projects are coming in on time and budget largely

:06:36. > :06:39.as a result of proper planning and good contract negotiation, so

:06:40. > :06:48.further public money is not thrown away in this cavalier fashion? I am

:06:49. > :06:52.always willing to learn lessons from wherever they are valid, be that

:06:53. > :07:03.Scotland or anywhere else and I will not look for advice on providing

:07:04. > :07:09.tram systems! What I would say is some of these programmes and the

:07:10. > :07:19.honourable lady is a member of the PAC, and therefore was in the

:07:20. > :07:24.position of hearing evidence by Mark Carne and the Permanent Secretary

:07:25. > :07:27.and some have run over budget that they are huge schemes, very

:07:28. > :07:34.important schemes, and making the railway system modern for the 21st

:07:35. > :07:39.century is important. As regards value for money of the great Western

:07:40. > :07:43.mainline, would he agree electrification is one factor that

:07:44. > :07:50.makes the reopening of the station a more valuable project that needs to

:07:51. > :07:54.remain high on the agenda. I am sure it will remain high on the agenda as

:07:55. > :07:59.long as my honourable friend presses for it.

:08:00. > :08:06.I look forward to discussing it with my honourable friend and see if we

:08:07. > :08:10.can help my honourable friend get what she wishes. Electrification of

:08:11. > :08:15.the great Western and Valley lines are two sides of the same coin, with

:08:16. > :08:19.both meaning a great deal to the South Wales economy. What

:08:20. > :08:22.discussions as he had with the Welsh Government counterpart on the

:08:23. > :08:31.delivery date for electrification of the Valley lines? We made money

:08:32. > :08:36.available to the Welsh Assembly, 125 million. I have met with Edwina Hart

:08:37. > :08:40.and discuss the programme and I am in contact with my right honourable

:08:41. > :08:43.friend the Secretary of State for Wales and it is a matter for the

:08:44. > :08:48.assembly to come forward with their plans. I congratulate him for

:08:49. > :08:53.confirmation the Midland Main line will be electrified to Kettering by

:08:54. > :08:56.2019. Can he assure the house the lessons learned from the great

:08:57. > :09:01.Western electrification will be applied to that line so it can be

:09:02. > :09:06.delivered quickly and efficiently? A neat body swerve to ensure his

:09:07. > :09:15.question is in order. The textbook example to colleagues!

:09:16. > :09:22.Was that the answer, Mr Speaker?! I have now forgotten what the

:09:23. > :09:29.question was! Mr Speaker, I certainly agree with

:09:30. > :09:34.my honourable friend. It is very important to re-establish the

:09:35. > :09:42.Midland mainline electrification. It is a line I use regularly. Lessons

:09:43. > :09:49.need to be learned. Work had already started. What was important about

:09:50. > :09:52.the plan that is being developed is that we look at the whole line

:09:53. > :09:55.development because there are certain things on the Midland Main

:09:56. > :10:07.line that can be done to increase speed and that is important as well.

:10:08. > :10:16.One reason for extra cost is compensation. Is it in the public

:10:17. > :10:20.interest to publish those payments, and those spent on infrastructure

:10:21. > :10:24.not those lining the pockets of shareholders? We make the best we

:10:25. > :10:29.can with the huge investment we put into railways and I am proud of the

:10:30. > :10:34.improvements that have taken place on the great Western.

:10:35. > :10:39.Electrification is part of it. Completion of the station and the

:10:40. > :10:45.flyover that happens so the line is no longer held up by freight trains

:10:46. > :10:53.has been an improvement and serves his those in the south-west

:10:54. > :11:04.incredibly well. Question three, if you please, Mr Speaker. Network Rail

:11:05. > :11:12.assesses risks on crossings. The UK has the best level crossing safety

:11:13. > :11:20.record in the EU. There is work to reduce that risk still further.

:11:21. > :11:25.What a lot of waffle after the Beech Hill tragedy in 2012 Network Rail

:11:26. > :11:31.said it would get rid of all level crossings in Bassetlaw on the East

:11:32. > :11:35.Coast mainline. The public consultation on the schemes in order

:11:36. > :11:40.to ensure it had taken place. And what has happened is the money has

:11:41. > :11:43.been pulled. Will the minister meet Network Rail along with the

:11:44. > :11:48.Chancellor to ensure that money is put back in. It is good for

:11:49. > :11:54.business, the economy and safety and good for the people of Bassetlaw.

:11:55. > :12:01.The honourable gentleman had the tragic accident that resulted in a

:12:02. > :12:04.loss of life. After that the rail accident investigation board made

:12:05. > :12:09.clear recommendations so that accident could not happen again and

:12:10. > :12:14.I am told they have been implemented. He is referring to the

:12:15. > :12:19.plan to close the 73 crossings on the East Coast mainline, and that

:12:20. > :12:23.work has been progress. You cannot just shut off communities who rely

:12:24. > :12:28.on those. He shakes his head. He should be in my job and have people

:12:29. > :12:31.campaigning to keep crossings open. The work will happen and it is right

:12:32. > :12:36.to focus on this and we will continue to fund the work, there is

:12:37. > :12:39.no shortage of money for this and money will be spent on making the

:12:40. > :12:53.crossing safer. We have committed to setting out the

:12:54. > :12:57.government's plan for the HS2 phase to route and update the House before

:12:58. > :13:00.the end of the year. I thank him for that answer and for the times he and

:13:01. > :13:06.his officials have spent with me on the link. The initial justification

:13:07. > :13:09.of the link was the depot in Wigan. That will not now be the. The only

:13:10. > :13:14.justification that remains is a ten minute journey time saving two

:13:15. > :13:19.trains north of Wigan. Will he confirm that if that stand-alone

:13:20. > :13:28.link goes ahead it will be subject to a separate business case? We are

:13:29. > :13:30.considering all of the recommendations made by Sir David

:13:31. > :13:35.Higgins and his report, and he believes that the link to the West

:13:36. > :13:40.Coast Main line is necessary, sooner rather than later. The alternative,

:13:41. > :13:44.which would mean linking into the West Coast mainline, would mean

:13:45. > :13:49.upgrading it to take these additional services, which can be

:13:50. > :13:50.costly and disrupt, and would incur those dreadful words, replacement

:13:51. > :13:58.bus services. Can I beg the team for bus services. Can I beg the team for

:13:59. > :14:05.the moment of sanity in terms of HS2. Isn't it time, where we know

:14:06. > :14:12.the latest evaluation says the cost will rise to ?116 billion, in a

:14:13. > :14:15.country that can't even keep its National Health service running,

:14:16. > :14:22.isn't it about time we look at this in a ruthless way, speak to Lord

:14:23. > :14:29.Adonis, to get his act together. He calls himself the Godfather of HS2.

:14:30. > :14:34.Let's invest in things that really work. That is not what huge was

:14:35. > :14:40.saying when he was Secretary of State. -- what he was saying. I am

:14:41. > :14:46.pleased Lord Adonis is engaging with the government. I think he needs to

:14:47. > :14:52.ask themselves what are the costs of not progressing HS2 because it is

:14:53. > :14:55.about the capacity and the great cities of the North, who are crying

:14:56. > :15:04.out for the additional capacity and the wealth it will bring. HS2 should

:15:05. > :15:12.have started and then or. On phase two, can I also appeal for sanity

:15:13. > :15:18.and ask them to review the hybrid Bill process and the cruel and

:15:19. > :15:24.unfair compensation scheme. The hybrid Bill process for phase one

:15:25. > :15:27.has been convoluted, and painful. Not just for the MPs on the

:15:28. > :15:32.committee but for the people affected by the project. It is

:15:33. > :15:37.ironic we should be using such a snail-like process for something

:15:38. > :15:44.that is supposed to be high-speed. It is not fit for purpose, and we

:15:45. > :15:50.should be modernising it. I would pay tribute to the members who have

:15:51. > :15:56.doggedly sat on the hybrid Bill committee and listened to petitions

:15:57. > :15:59.brought before them in an admirable way. Many petitions did not reach

:16:00. > :16:04.the committee because we reached agreement before it. As far as

:16:05. > :16:10.building it from the North first, it would still end in London, which the

:16:11. > :16:23.end it started the capacity is between Birmingham and London, as a

:16:24. > :16:32.matter of urgency. Can the proposals be discussed to mitigate the impact

:16:33. > :16:40.of HS2 on local residents and businesses in and around Donington?

:16:41. > :16:43.We have not finalised that right, so we will be getting the House and up

:16:44. > :16:57.date before the end of the year, when it would be appropriate to meet

:16:58. > :17:02.with a number of communities. I will answer this question together with

:17:03. > :17:06.number 11. We have made significant progress on increasing access. By

:17:07. > :17:14.the end of the year we expect around 75% of rail journeys to start or end

:17:15. > :17:30.at a step three station, and the programme will deliver 100 and 50 --

:17:31. > :17:33.150 step three station 's. I would like to thank the Minister. Every

:17:34. > :17:40.member of the House would want to congratulate the friends of my local

:17:41. > :17:46.station for the massive investment in the station, meaning it will be

:17:47. > :17:50.totally accessible for disabled people from the end of next month.

:17:51. > :18:09.That many of us are concerned about the slashing in funding by 42% of

:18:10. > :18:12.very basic, providing ramps and very basic, providing ramps and

:18:13. > :18:16.this? Why have they not changed this? Why have they not changed

:18:17. > :18:19.their mind? I am aware of the new footbridge at the station that will

:18:20. > :18:46.vastly improve facilities. I do not recognise what she says. The

:18:47. > :18:48.and we are building upon the success and we are building upon the success

:18:49. > :18:49.of it launched by the previous government. 1200 stations

:18:50. > :18:51.benefited from the smaller scale benefited from the smaller

:18:52. > :18:53.improvements, and to build on the improvements, and to build on the

:18:54. > :18:54.success ?160 million of additional success ?160 million of additional

:18:55. > :18:56.will extend the scheme to a further will extend the scheme to a further

:18:57. > :18:57.68 stations. I'm sure you will join 68 stations. I'm sure you will join

:18:58. > :18:58.University on its new Chancellor, University on its new Chancellor,

:18:59. > :19:05.Taney Grey Thompson. She has to get herself up the impossibly deep

:19:06. > :19:14.station, which Network Rail say they cannot do. Is this is what we should

:19:15. > :19:17.expect by slashing the grant by 40%? The University will benefit from her

:19:18. > :19:28.involvement. The bottom line is that the Department for Transport, and I

:19:29. > :19:41.will look into this. The Department for Transport is committed, and we

:19:42. > :19:44.are backing this programme, rolling out more disability access onto the

:19:45. > :19:49.buses. This is a real measure of success on the programme has

:19:50. > :19:53.generated a positive response. If we look at the findings of research at

:19:54. > :20:00.stations which have benefited from the programme, those passengers with

:20:01. > :20:04.physical impairment say they have a better travelling experience as a

:20:05. > :20:14.result, going up considerably for people with wheelchairs. The

:20:15. > :20:19.Minister will know that around 60% of disabled people live in a

:20:20. > :20:25.household without a car, and disabled people use buses 20% more

:20:26. > :20:28.than others. He will also know that 70% of local authorities have cut

:20:29. > :20:33.funding since 2010, and more are on the way. Does he really understand

:20:34. > :20:40.what impact these cuts will have on disabled people, and what proper

:20:41. > :20:49.assessment has he done on the potential impact? May I welcome him

:20:50. > :20:56.to his place. I am acutely aware of how important buses are afforded

:20:57. > :21:02.disabled people and also -- buses are for disabled people, and also

:21:03. > :21:14.others. Of course the implications for all bus users are considered

:21:15. > :21:22.when planning budgets. I will answer this with questions 14 and 16. Since

:21:23. > :21:27.2010 my Department has overseen the successful delivery of 50 miles of

:21:28. > :21:32.electrified track. Construction is under way between Ealing Broadway

:21:33. > :21:36.and Acton Main line, to remove the slow-moving freight trains of the

:21:37. > :21:43.lines to enable high-frequency electric Crossrail trains. From

:21:44. > :21:46.Paddington and through her constituency to Bristol, on the

:21:47. > :21:51.Cardiff, Network Rail have installed a quarter of 14,000 Poles needed to

:21:52. > :22:00.turn the centuries-old great Western line into a railway fit for the 21st

:22:01. > :22:01.century. Can you ensure that the century. Can you ensure that the

:22:02. > :22:08.electrification goes ahead on time, along with other improvements, to

:22:09. > :22:18.deliver benefits quickly, as my constituents cannot wait until 2019

:22:19. > :22:24.and the start of Crossrail. I am sorry they cannot wait, they waited

:22:25. > :22:31.for 13 years between 1997 and 2010, with nothing happening. Teesside has

:22:32. > :22:40.had a hammering in this place over the past several weeks. But we are

:22:41. > :22:45.resilient bunch, illustrated by the victory at Old Trafford last night!

:22:46. > :22:51.We are top of the league on the elect of the nation task force list

:22:52. > :23:00.from Northallerton to Middlesbrough. When might we see progress on this?

:23:01. > :23:05.Can I congratulate him because I am also a football supporter,

:23:06. > :23:13.supporting Derby County, so he has done incredibly well as far as that

:23:14. > :23:16.is concerned. He makes a fair point, there is a huge amount of steel used

:23:17. > :23:20.by Network Rail, and I know that by Network Rail, and I know that

:23:21. > :23:30.helps his own constituency as well. I will look into the point he makes.

:23:31. > :23:37.The Chancellor visited North Wales in July and said, he will look at

:23:38. > :23:48.the case for electrification of the North line from Crewe to Wales. Can

:23:49. > :24:03.fine for me what look at -- can he defined for me what look at means?

:24:04. > :24:10.During 13 years, ten miles was achieved! So we will certainly look

:24:11. > :24:13.at this. It is the way to go forward as far as railways are concerned. I

:24:14. > :24:22.want to look at that along with other plans for CP six. As I

:24:23. > :24:27.witnessed again last Monday, travellers going between Bolton and

:24:28. > :24:32.Manchester at the quickly squashed like sardines. Can the Secretary of

:24:33. > :24:40.State update the House as to how the engineering works on the line are

:24:41. > :24:48.coming along, particularly as far as boring the tunnel? He is right as to

:24:49. > :24:53.what we need to do, and I was going to refer to Farnworth tunnel. It has

:24:54. > :24:57.had problems but has been completed. That will help to increase the

:24:58. > :24:58.capacity on the line, and the changes he is calling for, the

:24:59. > :25:05.increased capacity he is wanting is increased capacity he is wanting is

:25:06. > :25:12.going to take place and I would like to pay tribute to all those people

:25:13. > :25:23.who worked tirelessly to do the tunnel, which is coming in on time.

:25:24. > :25:34.As most of the mainline will go on to the next period, can he make sure

:25:35. > :25:43.the line is extended to improve services? He took evidence a few

:25:44. > :25:47.weeks ago from the chief executive of Network Rail, and the pointy

:25:48. > :25:54.makes about looking at the lines in total is important, and I will be in

:25:55. > :25:59.mind his comments. I very much welcome the news that the

:26:00. > :26:03.electrification of the trans-Pennine route is now full on track. -- a

:26:04. > :26:08.contract. What are the new, improved benefits that it will bring the

:26:09. > :26:23.looking substantial improvements as looking substantial improvements as

:26:24. > :26:55.main cities in the North, main cities in the North,

:26:56. > :27:07.Manchester, Leeds and Sheffield and Newcastle are concerned, and we will

:27:08. > :27:22.bring more seats, more capacity, and it is

:27:23. > :27:29.Is Network Rail to blame for the delay? Is it a symptom of the

:27:30. > :27:34.privatised structure of our railway that causes the kind of

:27:35. > :27:42.fragmentation that makes disasters like this inevitable? Can I stop my

:27:43. > :27:47.welcoming him to his position. When he talks about privatised -- I

:27:48. > :27:50.start. This is an example of where somebody who has not held

:27:51. > :27:55.ministerial office can rightly forget everything that happened in

:27:56. > :28:03.the past. I remember the Labour candidate for the Mayor of London

:28:04. > :28:09.next year is said that one reason, we are able to invest record sums is

:28:10. > :28:13.the revenue rail franchises bring in and premiums they pay. We are seeing

:28:14. > :28:17.record investment in railways because of the way we are currently

:28:18. > :28:22.running it. At the time it was nationalised we saw a declining

:28:23. > :28:26.railway, a useless railway, not fit for purpose, something which the

:28:27. > :28:34.party opposite wants to go back to. Question number seven.

:28:35. > :28:37.Mr Speaker, I regularly meet with senior officials of Network Rail to

:28:38. > :28:45.discuss key issues facing the company and recent meetings have

:28:46. > :28:51.focused on this beta Hendy review and finance programme. Will he also

:28:52. > :28:56.reiterate the commitment to the recommendation of the great Eastern

:28:57. > :28:59.mainline task force that rings benefits to all counties and will he

:29:00. > :29:08.ensure Network Rail delivers the necessary improvement? Yes, I am

:29:09. > :29:12.glad to say we have been able to issue the invitation to tender as

:29:13. > :29:16.far as the East Anglia franchise is concerned, something she has been

:29:17. > :29:21.persistently should do. In seeing that we get services to Norwich in

:29:22. > :29:25.90 minutes and Ipswich in 60 and that forms part of that tender. She

:29:26. > :29:30.is right about the other improvements we need to look at and

:29:31. > :29:37.she can take my assurance I will raise those with Sir Peter Hendy.

:29:38. > :29:41.What recent discussions has he had with Network Rail regarding the

:29:42. > :29:47.electrification of the Liverpool and Manchester line passes through

:29:48. > :29:51.witness in Warrington? I think I need more direction as to the

:29:52. > :29:54.question. There has been electrification between Liverpool

:29:55. > :29:57.and Manchester and that is welcome and we have electric trains running

:29:58. > :30:01.on that and soon there will be more running on that line. If he has a

:30:02. > :30:07.more specific point perhaps he would like to write to me. During the

:30:08. > :30:11.great storms in the West Country in 2014 we found our mainline route to

:30:12. > :30:18.Cornwall floating in the sea. Can I ask him whether the peninsula

:30:19. > :30:26.proposals, including the Okehampton link, whether they have come up with

:30:27. > :30:32.any conclusions because it would add benefits to our economic potential

:30:33. > :30:36.in Cornwall. I do remember this and I also remember the valiant way in

:30:37. > :30:42.which Network Rail restored that link. They did an exceptional job in

:30:43. > :30:46.difficult situations. Even at this stage I would like to add my thanks

:30:47. > :30:51.to all who worked on that scheme in restoring that link. He is right

:30:52. > :30:55.about the task force the Peninsula group have brought forward and we

:30:56. > :31:03.are looking at their report and will have more to say on it once the

:31:04. > :31:08.planning of CP five is undertaken. The welcome creation of the national

:31:09. > :31:13.academy for a rail will help plug some of the skills shortage behind

:31:14. > :31:17.many of the delays in electrification. What concerns does

:31:18. > :31:22.he have earned does he share my concern the proposed 40% court to

:31:23. > :31:28.this budget will undermine the ability of the Academy to deliver on

:31:29. > :31:32.skills shortages? He is right about the academy at Northampton. I was

:31:33. > :31:36.there some months ago and the minister from rail I it a few weeks

:31:37. > :31:44.ago and it will play an important role in skills. It is up skilling

:31:45. > :31:49.about what the whole industry has to do and bring it together and that is

:31:50. > :31:55.one reason I asked the chairman of Crossrail to coordinate across the

:31:56. > :32:04.transport sector about apprenticeships. Number eight, Mr

:32:05. > :32:08.Speaker. On the 21st of August my right honourable friend the

:32:09. > :32:12.Secretary of State announced the appointment of Terry Morgan the

:32:13. > :32:16.chair of Crossrail to develop a transport and infrastructure skills

:32:17. > :32:21.strategy. It will help ensure the industry has the right people and

:32:22. > :32:27.skills to deliver the programme of transport infrastructure and

:32:28. > :32:32.investment. I was recently fortunate to visit a college in basalt and

:32:33. > :32:36.that has created a unique partnership between engineering and

:32:37. > :32:40.construction companies to train the next generation of technicians. Can

:32:41. > :32:46.I invite him to look at their model and perhaps visit with a view to

:32:47. > :32:50.widening the range of opportunities across the whole country to give

:32:51. > :32:56.young people the skills to deliver our plans? I will look at the

:32:57. > :33:02.approach used by them and would like to visit. It is vital colleges and

:33:03. > :33:07.universities work with employers to get the skills industry needs. It is

:33:08. > :33:12.crucial in transport as more people are required. I would highlight the

:33:13. > :33:17.work of the college to Terry Morgan as he develops the strategy. An

:33:18. > :33:26.important element of the transport infrastructure is the road haulage

:33:27. > :33:32.industry that helps the economy and the government. Driving up exports.

:33:33. > :33:37.They reported a recruitment shortage of 54,000 in drivers which is likely

:33:38. > :33:42.to increase because of the ageing population. What plans and

:33:43. > :33:49.discussions has the minister had to ensure young people are encouraged

:33:50. > :33:54.to take up opportunities? The industry has a responsibility to

:33:55. > :33:58.bring new people in and I am aware of the recruitment challenges. There

:33:59. > :34:02.is a retention issue. I have met with the industry and will continue

:34:03. > :34:07.to do so. It is important this industry brings people into it. If

:34:08. > :34:10.we did not have it performing to a high level of the country would

:34:11. > :34:17.grind to a halt in a couple of days. Number nine, Mr Speaker. The

:34:18. > :34:21.Chancellor announced in the 2015 budget report the government will

:34:22. > :34:24.commission a study into the possibility of reopening Plymouth

:34:25. > :34:31.airport. I am keen to determine the final form of the study and how best

:34:32. > :34:36.to take it forward. As he knows Plymouth will be the focus of global

:34:37. > :34:42.attention in relation to in five years' time Mayflower 2020, when the

:34:43. > :34:47.Mayflower set sail to found the American colonies. Does he agree

:34:48. > :34:53.that to be a major tourism area we need to make sure people can get to

:34:54. > :35:00.Plymouth which means improved roads and railways and air links? That new

:35:01. > :35:11.colony worked out quite well, certainly! He is right that

:35:12. > :35:15.investment in this is vital to the south-west which is why we have

:35:16. > :35:19.committed ?31 million on the great Western route. We heard about the

:35:20. > :35:26.?40 million to fix Dawlish and the long overdue investment on the 830

:35:27. > :35:30.and a 303 which has long been a scourge of tourists and business

:35:31. > :35:40.people driving to the south-west -- a 30. Recent improvements to

:35:41. > :35:43.security measures include fencing, additional security guards, dogs,

:35:44. > :35:48.improved CCTV including thermal imaging. In addition, the French

:35:49. > :35:57.government has committed significant police resources to Calais. On a

:35:58. > :36:02.summer business tour I met exporters having trouble getting goods into

:36:03. > :36:05.Europe. Can he assure me and reddish businesses his department is doing

:36:06. > :36:12.everything he can to make sure my businesses prosper in the future?

:36:13. > :36:16.The channel link is vitally important to the whole UK economy

:36:17. > :36:19.and particularly the haulage industry. I was at Folkestone and

:36:20. > :36:25.saw some of the problems first-hand, in particular issues regarding

:36:26. > :36:31.just-in-time delivery of parts to the motor industry for steel rails

:36:32. > :36:35.produced in Scunthorpe which are exported to the continent and

:36:36. > :36:44.lobster produced in my constituency that travels in trucks to France and

:36:45. > :36:49.Spain. This summer the 23 my constituency was close for 32 days.

:36:50. > :36:54.I'm grateful for the attention the ministerial team is giving to this

:36:55. > :37:00.problem. Can he update me on the progress to avoid a repeat of the

:37:01. > :37:05.closures this summer next summer. The key to preventing a recurrence

:37:06. > :37:12.of the problems this summer is sorting out issues in France. I am

:37:13. > :37:16.pleased to say the industrial dispute has been solved and we do

:37:17. > :37:19.not have that additional problem. The government put in place a

:37:20. > :37:23.contingency plan at Manston. It would have been there to relieve the

:37:24. > :37:26.problem. It is important to look at how we can improve the situation

:37:27. > :37:44.where we have disruption on the channel. Thank you Mr Speaker. I

:37:45. > :37:48.have no representations on this topic. I look forward to a

:37:49. > :37:54.productive engagement with all devolved administrations on this

:37:55. > :38:01.subject. The minister may not be aware that part of the expensive

:38:02. > :38:08.lobbying campaign undertaken on both sides, passengers using Scottish

:38:09. > :38:12.airports are deliberately targeted. If the decision goes the wrong way

:38:13. > :38:17.Scotland will be cut off from the rest of the world, it has been said,

:38:18. > :38:21.which is scaremongering and will not happen. Depending on how the

:38:22. > :38:24.decision goes, the potential of bringing benefit to Scotland and the

:38:25. > :38:31.potential to cause damage to Scotland. Will he give an assurance

:38:32. > :38:34.that when the time comes he will make representations to make sure

:38:35. > :38:40.all members of this House play an equal part in the debate? The rest

:38:41. > :38:45.-- the representations I have received underlines the importance

:38:46. > :38:49.is of having good connectivity to international routes and that may be

:38:50. > :38:55.through an improved additional runway capacity in the south-east.

:38:56. > :38:59.We have been helped to that extent by giving help to the Dundee service

:39:00. > :39:11.to allow passengers reach the capital. Would he agree that

:39:12. > :39:14.expanding connectivity with the Scottish airports is one of the best

:39:15. > :39:21.things we can do to strengthen the United Kingdom? The government will

:39:22. > :39:32.be making an announcement in due course with response to the report

:39:33. > :39:43.and it would be premature to comment on this stage. On the subject of

:39:44. > :39:46.regional airports, agreeing about the commercial and economic and

:39:47. > :39:50.social connectivity required, he said, and his words were, the slots

:39:51. > :39:55.needed by Scottish airports and other airports that have lost them.

:39:56. > :39:59.I hope we can address that. I want to reflect on that while considering

:40:00. > :40:04.the whole report. Does he still agree about the development's

:40:05. > :40:08.importance to Scotland's regional airports such as Dundee and has

:40:09. > :40:13.there been progress on his thinking about root development and public

:40:14. > :40:19.service obligations? I have always made it clear how important I view

:40:20. > :40:23.the local airports. The regional international airports and how big a

:40:24. > :40:28.part they play in the economic development of areas particularly in

:40:29. > :40:31.Scotland. We need to look at aviation as a whole but the

:40:32. > :40:36.representations I get is how important it is to get connectivity,

:40:37. > :40:40.whether through Amsterdam, Paris, Frankfurt, or indeed to slots

:40:41. > :40:46.available in the south-east. Given this recognition and importance, can

:40:47. > :40:50.he confirm any decision on the development of a third runway at

:40:51. > :40:55.Heathrow or development at Gatwick would not have to go through an

:40:56. > :41:00.additional stage in the legislative process, a veto on Scottish MPs, as

:41:01. > :41:11.suggested by the honourable member for Milton Keynes, and will... What

:41:12. > :41:15.will he do to make sure this subject will be delivered from evil? It is

:41:16. > :41:24.premature to enter that discussion. I am always in favour of jumping

:41:25. > :41:30.one's fences when one reaches them. Could the minister tell me how many

:41:31. > :41:35.of the 47 recommendations ignored by the Airport Commission would have

:41:36. > :41:38.benefited Scotland? And whether those recommendations would have

:41:39. > :41:39.increased the domestic flights on likely option at Heathrow which

:41:40. > :41:50.would decrease them. One of the concerns I have picked up

:41:51. > :41:55.around the country outside the south-east is a pressure for slots

:41:56. > :41:59.at Heathrow and Gatwick at peak times means there are always

:42:00. > :42:04.concerns about those connecting flights coming in from other parts

:42:05. > :42:14.of the country, which we need to -- we are very well aware of Anthony to

:42:15. > :42:20.address. -- need to address. We're making great progress in upgrading

:42:21. > :42:21.the railway in the south-west, including delivering new trains to

:42:22. > :42:26.carry more people on faster journeys carry more people on faster journeys

:42:27. > :42:33.and improving resilience to make sure the region can stay connect it.

:42:34. > :42:39.The task force recently published its interim report on a 20 year plan

:42:40. > :42:46.for Devon and will. Can he confirm that the primary aim is to secure

:42:47. > :42:49.the resilience to South Devon, and any other options will be

:42:50. > :42:58.additional, not alternatives. The other options would indeed be

:42:59. > :43:02.impact will overruns and the cost impact will overruns and the cost

:43:03. > :43:18.have on the investment she has mentioned? -- the overruns. Can he

:43:19. > :43:28.repeat the question? She was chuntering to her colleague!

:43:29. > :43:31.Scandalous disregard! What impact will overruns and the cost have on

:43:32. > :43:38.the investment she has mentioned? Apologies. I was misspeaking on the

:43:39. > :43:44.double-check. The roots will be double-check. The roots will be

:43:45. > :43:47.additional, not alternative. He knows that there is an enormous

:43:48. > :43:55.south-west, in terms of Brazilians, south-west, in terms of Brazilians,

:43:56. > :43:58.they hundreds new trains. I wish he would get behind the attempt to the

:43:59. > :44:10.government to connect the vital region, rather than keep shouting

:44:11. > :44:15.about things. He will be delighted to know that the first section of

:44:16. > :44:26.the rail line was opened this Monday, allowing people to travel

:44:27. > :44:27.from Oxford to London Marylebone. I welcome this new service running

:44:28. > :44:33.along the first stage. It is a very along the first stage. It is a very

:44:34. > :44:36.strong business case, as is the project as a wall. Will she do

:44:37. > :44:44.everything to make sure the Hindu review does not delay this? Yes, and

:44:45. > :44:46.we will know more about it in the next few weeks. I want to pay

:44:47. > :44:52.tribute to these MPs who have left us in no doubt of the importance of

:44:53. > :45:06.this East to West rail link. Topical questions. I have seen first hand

:45:07. > :45:08.the work Network Rail are doing, including a ?44 million regeneration

:45:09. > :45:13.of Manchester Victoria station, making it a station Manchester can

:45:14. > :45:17.be proud of. It was voted the worst station in Britain in 2009. The

:45:18. > :45:26.rebuilding of Birmingham new Street station, transforming it. And the

:45:27. > :45:28.reconstruction of bandwidth tunnel, allowing trains to travel from

:45:29. > :45:33.Manchester to Bolton. This will allow diesel trains to be used in

:45:34. > :45:40.the north-west, providing 30,000 more seats per week. This will help

:45:41. > :45:44.to build a Northern Powerhouse. I will not refer to Sheffield

:45:45. > :45:49.you will be pleased to hear. I will you will be pleased to hear. I will

:45:50. > :45:53.refer to Sir David Higgins' report, where he described transport links

:45:54. > :45:59.between Sheffield and Manchester as a matter of national concern. Will

:46:00. > :46:08.he give serious consideration that HSV should link Manchester and

:46:09. > :46:12.Sheffield, and secondly that consideration is given to a route

:46:13. > :46:15.under the Pennines as the only serious way to link Sheffield and

:46:16. > :46:24.Manchester without damaging the Manchester without damaging the

:46:25. > :46:35.national park? Harsh HS3. Can I agree that more needs to be done to

:46:36. > :47:03.improve the links between Sheffield and Manchester, and I hope that when

:47:04. > :47:03.we announced the new franchise for trans-Pennine and Northern Rail,

:47:04. > :47:06.will go some way to meet the will go some way to meet the

:47:07. > :47:10.demands. The two projects he talks about are huge. Work is being done

:47:11. > :47:11.by Colin Matthews on whether a tunnel is the right way forward, and

:47:12. > :47:11.we expect more up dates that next we expect more up dates that next

:47:12. > :47:12.year. On HS3, I understand the year. On HS3, I understand the

:47:13. > :47:12.Figures released by male honourable Figures released by male honourable

:47:13. > :47:14.Severn Bridge is generating more Severn Bridge is generating more

:47:15. > :47:20.profit... It is a great opportunity for the government to slash the toll

:47:21. > :47:23.prices on the bridge, and still have enough money to pay for the

:47:24. > :47:33.maintenance. -- generating more profit than the costs. The toll

:47:34. > :47:37.prices set by others to repay the construction, finance, maintenance

:47:38. > :47:52.and operation costs. We expect the costs to be recovered in 2018, and

:47:53. > :47:55.Government. We're working on the Government. We're working on the

:47:56. > :47:58.future of their son I have heard future of their son I have heard

:47:59. > :48:02.what he has said and I will keep updated. We have always supported

:48:03. > :48:03.Labour councillors on time and we are, including when they were

:48:04. > :48:11.subjected to appalling abuse. I subjected to appalling abuse. I

:48:12. > :48:17.cause of bust tendering. But does he cause of bust tendering. But does he

:48:18. > :48:18.agree with me that the bill must be available to all communities that

:48:19. > :48:28.want them, including rural and isolated communities? -- bus

:48:29. > :48:35.tendering. She knows what will come next, I have been doing this job for

:48:36. > :48:39.three years, the fourth -- she is the fourth shadow Secretary of State

:48:40. > :48:51.I have seen. We will see whether I have seen. We will see whether

:48:52. > :48:53.there is more to come. She asks me and asserts she knows what is in the

:48:54. > :48:57.bus bill. It has not yet been bus bill. It has not yet been

:48:58. > :49:05.published, so I am interested to know how it has been achieved. The

:49:06. > :49:06.simple point is that we're there are elected mayor is, there will be

:49:07. > :49:15.opportunities for those areas to opportunities for those areas to

:49:16. > :49:20.take advantage of. I was hoping for a straight answer to a straight

:49:21. > :49:30.question. With more than 2000 routes lost and downgraded, and fares up by

:49:31. > :49:37.25%, will he rule out any plans to slash support for buses even

:49:38. > :49:41.further? Well, I am not in a position to announce the Spending

:49:42. > :49:45.Review. Like every other member of the House, she will need to wait

:49:46. > :49:49.until the Spending Review is announced by my right honourable

:49:50. > :49:54.friend, the Chancellor of the Exchequer, on the 25th of November.

:49:55. > :50:01.I hope that as a straight answer. Is he aware that added to the many

:50:02. > :50:06.defects in the rolling stock which operates on the West Anglia line,

:50:07. > :50:12.there occurred this week a case of trains stopping, screeching to a

:50:13. > :50:26.halt near Bishops Stortford, apparently for lack of air. Surely

:50:27. > :50:30.more support should be given to this franchise which can offer more

:50:31. > :50:35.assurances for rolling stock. I will make enquiries into this, I do not

:50:36. > :50:40.know about the specific case but I will do by later on today, I assure

:50:41. > :50:47.him. He is absolutely right about the need to improve rolling stock

:50:48. > :50:52.availability, and I hope the invitation to tender on the line

:50:53. > :50:57.will do this. Can the Secretary of State tell the House what measures

:50:58. > :51:07.Network Rail are taking to ensure that skilled rail jobs no longer

:51:08. > :51:14.appear on the cheers -- level two skill shortages list. 95% is brought

:51:15. > :51:17.from UK production, but if I have got the wrong part of his question,

:51:18. > :51:24.perhaps he can write to me and I will write back to him. The

:51:25. > :51:28.Secretary of State mentioned the success of the Norwich campaigns.

:51:29. > :51:35.Worcester is six miles further from London as the crow flies, but my

:51:36. > :51:40.constituents take 150 minutes to reach the capital from Worcester.

:51:41. > :51:44.Can he do everything he can to lean on great Western and Network Rail to

:51:45. > :51:55.get the service down to under two hours? My honourable friends have

:51:56. > :52:00.campaigned on this issue. There is work going on on ways to improve

:52:01. > :52:06.journey time, and we have started the work on delivering it. Commuter

:52:07. > :52:07.routes into Manchester are soon to lose trains to London Midland,

:52:08. > :52:10.raising memories of the raising memories of the

:52:11. > :52:16.trans-Pennine rolling stock to buckle, which cost ?20 million and

:52:17. > :52:24.let the services being downgraded. The Secretary of State, did he have

:52:25. > :52:29.an option in the latest cased, and is this not another example of

:52:30. > :52:37.fragmented railway is letting them passengers? He should just wait and

:52:38. > :52:43.see what comes out of the two franchises. In 2004, it is worth

:52:44. > :52:53.remembering that when the franchise was last let, it was done on a no

:52:54. > :52:56.growth basis. That is what the last government thought of the Northern

:52:57. > :53:06.Powerhouse. I invite him to wait and see the announcements made shortly.

:53:07. > :53:09.Can I seek assurances from the Minister that the new stations fund

:53:10. > :53:17.will be accessible to applications from councils, as the rail Minister

:53:18. > :53:19.knows a new station in my constituency has one of the

:53:20. > :53:20.strongest business cases in the North Devon, of which my

:53:21. > :53:25.constituents which hugely benefit. constituents which hugely benefit.

:53:26. > :53:26.The new station 's fund announced in The new station 's fund announced in

:53:27. > :53:37.applicants. The Derbyshire Dales is applicants. The Derbyshire Dales is

:53:38. > :53:43.a hub for manufacturing in regard to the rail industry. Does he agree

:53:44. > :53:46.that this is a real opportunity for forward planning on getting

:53:47. > :53:50.manufacturers to come together to prepare bids for the work of HS2?

:53:51. > :53:57.Much as this causes me pain, I will Much as this causes me pain, I will

:53:58. > :54:03.agree with the honourable member! The point he makes is absolutely

:54:04. > :54:06.not only companies within the not only companies within the

:54:07. > :54:09.position of taking advantage of it, position of taking advantage of it,

:54:10. > :54:18.but others as well. -- at in the but others as well. -- at in the

:54:19. > :54:29.the government has made ?6 billion the government has made ?6 billion

:54:30. > :54:39.roads, how can we encourage local roads, how can we encourage local

:54:40. > :54:41.repairs? We are supporting local repairs? We are supporting local

:54:42. > :54:41.authorities with financial support, which is a record ?6 billion

:54:42. > :54:41.now and 2021 for highways now and 2021 for highways

:54:42. > :54:43.maintenance. We are also encouraging maintenance. We are also encouraging

:54:44. > :54:44.them to look at how they manage their programmes, and 20% of local

:54:45. > :54:47.authorities have signed up to an authorities have signed up to an

:54:48. > :54:50.efficiency programme. What we're efficiency programme. What we're

:54:51. > :54:54.talking about here is a significant talking about here is a significant

:54:55. > :55:01.investment, and if the deal with 18 investment, and if the deal with 18

:55:02. > :55:12.able to deal with 18 million able to deal with 18 million

:55:13. > :55:15.industry is likely to suffer greatly industry is likely to suffer greatly

:55:16. > :55:21.with the latest announcements of steel closures. Will he persuade his

:55:22. > :55:24.honourable friend the Prime Minister honourable friend the Prime Minister

:55:25. > :55:26.to end his policy of gifting British to end his policy of gifting

:55:27. > :55:36.jobs to Chinese workers? I am all jobs to Chinese workers? I am all

:55:37. > :55:40.too aware of the importance of ports in getting exports out of the

:55:41. > :55:45.country and imports in. I was in Bristol yesterday which will benefit

:55:46. > :55:51.from developments in the nuclear industry, financed partly by the

:55:52. > :55:59.Chinese. I am going to Felixstowe today to see developments. The

:56:00. > :56:01.government's commitment to join the M 45 and improvements to a

:56:02. > :56:10.roundabout were warmly welcomed by East North Hampshire residents. Can

:56:11. > :56:13.he provide us with an update? I will check progress on this and

:56:14. > :56:18.back to the honourable gentleman. back to the honourable gentleman.

:56:19. > :56:20.Many constituents of mine rely on the number 44 bus to get the

:56:21. > :56:22.Southport Hospital, and the service has been cut as a result of cuts by

:56:23. > :56:28.his department. He spoke earlier his department. He spoke earlier

:56:29. > :56:33.about the opportunity of having directly elected mayor is, but if

:56:34. > :56:34.the cuts continue, the additional powers will be meaningless and of no

:56:35. > :56:43.help to my constituents. I want to help to my constituents. I want to

:56:44. > :56:47.see the widening of services to all our constituents, which is why the

:56:48. > :56:49.government is supporting transport investment to a record amount in

:56:50. > :57:13.this Parliament. The motorway that are restricted to

:57:14. > :57:20.50 mph. The work should be done for the convenience of the road users

:57:21. > :57:22.and not the highly agency. I entirely agree with my honourable

:57:23. > :57:28.friend and I think the wrong stretches of road works frustrate

:57:29. > :57:35.riders, especially as the new completion. - long stretches. We

:57:36. > :57:40.want stretches which are shorter in length and a reduced time. He will

:57:41. > :57:47.be reduced down from one third to one half of the current size. You

:57:48. > :57:53.will be evening and weekend working. If the Minister can get it sorted,

:57:54. > :58:02.who knows, he might be carried aloft in the House. The award is linking

:58:03. > :58:09.of the great cities of the North but it did not include Hull. Now we have

:58:10. > :58:14.come to the electrification of routes when will be secretary give

:58:15. > :58:21.the green light to the initiative to electrify the line all baby to hold?

:58:22. > :58:33.I do apologise to the honourable lady. - Hull. The honourable lady

:58:34. > :58:39.says they are not that many but I think there are a number of eight

:58:40. > :58:46.cities in the north. If I named them all I would get into trouble. -

:58:47. > :58:51.great cities. I have been able to move forward with infrastructure

:58:52. > :58:56.investment. As far as giving the extra money we gave to take the

:58:57. > :59:03.scheme she is talking up to HS2 I am waiting for talk is about that

:59:04. > :59:07.particular scheme. Yesterday there was an important point of order from

:59:08. > :59:13.a wide commie member when he pointed out how excellent the transport

:59:14. > :59:15.department was in answering questions and hopefully the Treasury

:59:16. > :59:20.Department is in answering questions. As the Secretary Of State

:59:21. > :59:27.been contacted by the Chancellor to find out how it is done? I am sure

:59:28. > :59:37.that is meant a helpful question. In the run up to the spending review,

:59:38. > :59:41.it is not. I think chartered engineer and as a member of the IEE

:59:42. > :59:47.G I was horrified to learn that software engineering had an sleep

:59:48. > :59:53.and used to cheat legitimate regulation and possibly undermine

:59:54. > :59:56.public health. What discussions has he had with the professional bodies,

:59:57. > :00:00.the skills Minister and the automotive industry to ensure the

:00:01. > :00:10.whole swag and sort of dark engineering has now place here? The

:00:11. > :00:14.industry across the East is very embarrassed by what has happened and

:00:15. > :00:21.I am sure they will take proper action on the measures. I wonder if

:00:22. > :00:26.my honourable friend could update the house or more progress is being

:00:27. > :00:32.made to bring Crossrail to through Harold Wilson's station? We are out

:00:33. > :00:36.to consultation but I would expect my honourable friend to have said

:00:37. > :00:43.what a great job we are doing as far as Crossrail one has been done. But

:00:44. > :00:51.I have come to learn no sooner do you complete one project and people

:00:52. > :00:57.are talking about the second. Last week the pilot was Mike union wrote

:00:58. > :01:01.to the management at Albany who operates selfless as to the

:01:02. > :01:04.Highlands and Islands about that concern where cases are being

:01:05. > :01:08.returned to the line despite being unserviceable. They brought in some

:01:09. > :01:15.cases a craft contain defects that in some cases affect safety and in

:01:16. > :01:20.other cases affect the aircraft to be an usable. These are lifeline

:01:21. > :01:26.services to some of the most economically fragile communities in

:01:27. > :01:33.the country. What can the aviation Minister do to ensure, through his

:01:34. > :01:35.department or the CE, our local communities can retain full

:01:36. > :01:44.confidence in these crucial services? I regularly meet with that

:01:45. > :01:48.union. It is a good example of how unions can work with government to

:01:49. > :01:57.promote their members. Safety is our top priority for air travel in the

:01:58. > :02:05.UK. We have two meet strict maintenance requirements. I

:02:06. > :02:12.understand that the CAA is aware of the difficulties and is taking care

:02:13. > :02:15.of safety requirements. This matter will be under review. I want to hear

:02:16. > :02:22.from a member of the select committee. Thank you. In recent

:02:23. > :02:27.weeks passengers on the Cleethorpes to Manchester rail routes have had

:02:28. > :02:31.to the top with cancellations due to driver shortage. Customers do not

:02:32. > :02:36.care if this is the company problem or union problem but can the good

:02:37. > :02:42.offices be used to sort this out, please? I will be delighted to do so

:02:43. > :02:47.and will try to do so. This is why the new into regions to end have

:02:48. > :02:55.customary expedience right at the heart of them. Business question,

:02:56. > :02:58.Chris Bryant. I wonder whether the leader of the house could give as

:02:59. > :03:04.the business for next week. The leader of the house. The business

:03:05. > :03:08.for next week, on Monday second November we will have the second

:03:09. > :03:11.reading of the Housing and planning Bill, on Tuesday November, second

:03:12. > :03:17.reading of the European approvals will Lord's. All by the remaining

:03:18. > :03:21.stages of the national insurance contributions Bill followed by a

:03:22. > :03:26.motion to improve the money resolution for access to medical

:03:27. > :03:29.treatments innovation bill. On Wednesday 4th of November will be

:03:30. > :03:36.the ninth opposition day including a debate on policing. Thursday fifth

:03:37. > :03:40.November a debate on the stake in the bank of Scotland and the future

:03:41. > :03:45.of UK banking followed by a debate on the motion relating to the dog

:03:46. > :03:50.meat trade as determined by the backbench business committee. Friday

:03:51. > :03:53.7th of November will be private members bills. The provisional

:03:54. > :03:57.business for the week commencing 9th of November will include, on Monday

:03:58. > :04:01.the ninth, the remaining stages of the Scotland Bill and on Tuesday the

:04:02. > :04:07.remaining stages of the trade unions bill. The business for Thursday

:04:08. > :04:11.fifth November will be a general debate on funding for schools. Mr

:04:12. > :04:16.Speaker will wish to be reminded as well colleagues that the house will

:04:17. > :04:20.rise for the end of business on Tuesday ten November and return on

:04:21. > :04:24.Monday 16th November. I should add that hearing that need we are

:04:25. > :04:29.expecting a visit from the Indian PM to this house and I hope those

:04:30. > :04:37.colleagues who are around and able to be soap will be part of that

:04:38. > :04:43.visit. Mr Chris Bryant. Yesterday set latter admitted the award of the

:04:44. > :04:47.World Cup to Russia had been decided long before England had in its bed

:04:48. > :04:53.and yesterday the select committee will World Cup sponsors on that

:04:54. > :05:00.complicity in blatter's kleptocratic rule. Can we have a debate on the

:05:01. > :05:08.sink of corruption that is a fact? British taxpayers and football fans

:05:09. > :05:17.have been diddled out of millions. - Fifa. Talking of stitch up jobs, can

:05:18. > :05:21.these eco-explain something he said yesterday, the review from the

:05:22. > :05:25.second Baron of Strathclyde into the privileges of we the Commons, the

:05:26. > :05:29.reader club members that is absolutely essential we do not rush

:05:30. > :05:34.into this and for that matter we should not rush headlong into

:05:35. > :05:38.unfortunately, undermine the leader unfortunately, undermine the leader

:05:39. > :05:42.of the house by telling the world that one yesterday all of this could

:05:43. > :05:47.be done and dusted white Christmas. How can this be right? If the risen

:05:48. > :05:53.issue shouldn't this house a debasing it? It is not a review at

:05:54. > :05:59.all, it is a Fifa style stitch up. I am not sure the government has got

:06:00. > :06:03.over its tantrum of losing in the Lord's on Monday. He has said

:06:04. > :06:07.several times now he will make substantial changes to his plan in

:06:08. > :06:12.the Autumn Statement on November 25. The reader will know the Autumn

:06:13. > :06:17.Statement is precisely that, a statement and no more, it does not

:06:18. > :06:21.actually do anything legislatively. I asked the reader again, will he

:06:22. > :06:27.allow a three-day debate on the effects of the Autumn Statement this

:06:28. > :06:33.year? On Tuesday the chairman of the National Cleese chief counsel and

:06:34. > :06:37.the Deputy Commissioner of the Met police said if the Home Secretary or

:06:38. > :06:42.Chancellor of the Exchequer get their way with the police budget it

:06:43. > :06:48.will be the end of the year of bobbies on the beat. Is that

:06:49. > :06:51.something to be proud of? Officers have already gone and it looks

:06:52. > :06:56.likely more than 20,000 more officers will be lost by the end of

:06:57. > :07:02.this Parliament. We should be devoting our opposition day next

:07:03. > :07:07.week to this. Can the Home Secretary herself answered this debate so we

:07:08. > :07:11.can take her to task? Can we have a debate on the ministerial code of

:07:12. > :07:16.conduct? Deviously this has made clear that there was an overarching

:07:17. > :07:20.duty on ministers to comply with law including international law and

:07:21. > :07:26.treaty obligations. Last week it was revealed that the GM has insisted it

:07:27. > :07:31.Attorney General and conservative Attorney General and conservative

:07:32. > :07:35.Attorney General says it is impossible to understand how this

:07:36. > :07:38.change has been carried out and cover was broken as the head of the

:07:39. > :07:45.contempt for international law. legal service accused number ten of

:07:46. > :07:48.contempt for international law. Surely to goodness a minister's word

:07:49. > :07:53.is still his wand when he signs a duty. Does he still crosses fingers

:07:54. > :08:00.behind his back when he signs treaties? Why on earth was the Ford

:08:01. > :08:06.of conduct issued any ministerial statement to the Lords and still not

:08:07. > :08:11.to the House of Commons? Mr Speaker, many parts of this country as many

:08:12. > :08:16.members have said still have terrible mobile telephone coverage.

:08:17. > :08:18.Last year the government had to withdraw its hourly drafted

:08:19. > :08:23.telecommunications code which was intended to deal with these spots

:08:24. > :08:30.around the country. He promised to bring any new electronic code as a

:08:31. > :08:33.matter of urgency but they've is still no sign of it so can the

:08:34. > :08:39.reader tell us when this will appear? Mobile phone coverage is

:08:40. > :08:45.every bit as much a public utility as water and electricity so will be

:08:46. > :08:49.government get a move on? Mr Speaker I confess I am worried about the

:08:50. > :08:53.state of health of the Chancellor, he looked really appeal earlier this

:08:54. > :08:59.year and I thought. He has, did I see it, something of the night about

:09:00. > :09:04.him. With Halloween upon him can the reader as sure as he will be staying

:09:05. > :09:11.at home on Saturday night when it is dark. It is one thing to scream

:09:12. > :09:15.along with order but quite another to encounter the Chancellor in a

:09:16. > :09:21.dark alley and his form of trick or treat is to suck family finances

:09:22. > :09:28.dry. Talking of Halloween, in Scotland it is the time for guising

:09:29. > :09:31.when people go around in fancy dress but has the member for South

:09:32. > :09:37.Cambridgeshire will expose the fact that however hard the PM has tried

:09:38. > :09:44.to dress the Tory party up, hugging the gays and marrying huskies,

:09:45. > :09:50.conservatism is dead, all that is left is a fake skeleton costume. We

:09:51. > :09:53.should be debating a motion next Thursday on the dog meat trade, I

:09:54. > :09:57.wondered whether this was the debate of the dogs wrecked first the

:09:58. > :10:02.Chancellor has made of the tax credit fiasco but today is award the

:10:03. > :10:08.award the Westminster dog of the year. I wish my deputy's badly

:10:09. > :10:13.behaved Rottweilers well in the competition but I gather that the

:10:14. > :10:20.member for helmet and Rockwell has two dogs called Boris and Maggie. A

:10:21. > :10:28.found bodices behaviour improved significantly when he was castrated.

:10:29. > :10:29.Well this advice be passed on to the Chancellor, Home Secretary and other

:10:30. > :10:39.candidates for the Conservative Party leadership? Leader of the

:10:40. > :10:43.house, Mr Chris Grayling. Can I start by delivering some good news

:10:44. > :10:48.to my honourable friend the member for Kettering who sadly is not in

:10:49. > :10:52.his ways today. I shall also informed the house that you, after

:10:53. > :10:57.receiving positive feedback, have authorised that the new alphabetical

:10:58. > :11:07.meetings will be kept in place for the rest of Parliament. The new warm

:11:08. > :11:14.relationship that exists between the Fs and Gs is getting on well. In all

:11:15. > :11:19.the old terms it has worked well and we will be continuing it. Can I

:11:20. > :11:27.associate myself with the remarks of the honourable gentleman about Fifa?

:11:28. > :11:29.He works hard on the brief and I am reliably informed he was

:11:30. > :11:34.disappointed to move away from that. He knows very well how

:11:35. > :11:39.shocking the developed and sat Fifa have been. It is no excuse

:11:40. > :11:44.whatsoever for what has taken place. I would commend all of those who

:11:45. > :11:48.have been involved in pursuing the investigation to the stage we have

:11:49. > :11:54.reached no. It does look likely that prosecutions will fall and rightly

:11:55. > :11:59.so. It is of absolute importance in a game that is seen around the world

:12:00. > :12:04.as a region for young people that it should be absolutely clean. Those

:12:05. > :12:06.who have left it in a position with it has been this marched by

:12:07. > :12:10.corruption should be dealt with by the full force of the law and

:12:11. > :12:18.changes essential, I completely agree with him on that.

:12:19. > :12:24.Regarding the Strathclyde review into the House of Lords, there will

:12:25. > :12:29.be a full statement about the terms of reference when he is ready to

:12:30. > :12:34.publish those details, which is right and proper. He will take the

:12:35. > :12:40.time necessary, given the scope of the work he intends to do, and he

:12:41. > :12:42.will make clear how that will work. On the tax credits point, I will

:12:43. > :12:46.remind the honourable gentleman that remind the honourable gentleman that

:12:47. > :12:50.we will be using for the Autumn Statement the same procedure is that

:12:51. > :12:53.operated in 13 years of Labour Government. Now they are in

:12:54. > :12:58.change how the House works. We will change how the House works. We will

:12:59. > :13:01.continue to operate the way we have, debating issues fully. We have

:13:02. > :13:10.already had extensive debates on the tax credits issue, and no doubt we

:13:11. > :13:14.will have more. Under Conservative leadership of government and

:13:15. > :13:19.Coalition, and under this government, crime has fallen. We

:13:20. > :13:34.have had to take some difficult decisions, and they are challenges

:13:35. > :13:36.facing the police. He made a point about the ministerial code. I would

:13:37. > :13:44.simply say that under the new ministerial code, listers are still

:13:45. > :13:58.required to uphold the law. We would expect that. -- ministers are still

:13:59. > :14:02.required. We spoke about the Department of Culture, Media and

:14:03. > :14:04.Sport. Just to remind them that the former Secretary of State, now the

:14:05. > :14:11.Business Secretary, secured a deal to secure five Ilion pounds of

:14:12. > :14:29.investment in mobile telephony. We do not just a published. --

:14:30. > :14:32.published documents, we do things. We have watched with interest the

:14:33. > :14:37.pale faces on the side of the House, the huddles of pallid people asking

:14:38. > :14:41.how we get ourselves out of this mess. My worry is for the health of

:14:42. > :14:45.him and his colleagues, not for the him and his colleagues, not for the

:14:46. > :14:50.Chancellor, who I can assure him is in great form. He made reference to

:14:51. > :14:57.the point that this weekend as Halloween. My sympathies today are

:14:58. > :15:02.with the children of the Rhondda. It is my hope that he is not planning

:15:03. > :15:11.to go trick or treating, because can you imagine the horror of a small

:15:12. > :15:29.gentleman is out trick or treating? gentleman is out trick or treating?

:15:30. > :15:40.76-year-old joint Iranians citizen has been held in Iran's notorious

:15:41. > :15:48.where his health deteriorates. -- where his health deteriorates. --

:15:49. > :15:49.the Iranian and British citizen. Has Sun and grandchildren are in the

:15:50. > :16:01.gallery today with a simple message, please let grandpa come

:16:02. > :16:09.his constituent's family and for the his constituent's family and for the

:16:10. > :16:13.work he is doing. Given the obvious urgency of this, I will make a point

:16:14. > :16:17.of ensuring this is communicated immediately after the session to my

:16:18. > :16:19.colleagues in the Foreign Office and I will ask them to ensure that

:16:20. > :16:30.respond as quickly as possible. Can respond as quickly as possible. Can

:16:31. > :16:39.announcing business for next week. announcing business for next week.

:16:40. > :16:48.Our thoughts are very much this morning with the school community

:16:49. > :16:52.their pupils in Aberdeenshire. One their pupils in Aberdeenshire.

:16:53. > :16:55.of my honourable friends was a pupil of my honourable friends was a pupil

:16:56. > :16:55.at this school. This was an at this school. This was an

:16:56. > :16:55.appalling tragedy witnessed appalling tragedy witnessed

:16:56. > :17:04.yesterday. It is Dave four of The Great War of the nobles, and it is

:17:05. > :17:07.starting to get ugly. -- day for. They have released their not so

:17:08. > :17:14.secret weapon, codenamed big boy, to go to the House and sort them out.

:17:15. > :17:16.He is going down there to emasculate the House of Lords and ensure that

:17:17. > :17:24.they never do anything like this again. Of course they can. The House

:17:25. > :17:29.of Lords is without a shred of democratic legitimacy, it represents

:17:30. > :17:32.absolutely no one. I am certain the Tories will get their way when it

:17:33. > :17:38.sensing is a real desire amongst the sensing is a real desire amongst the

:17:39. > :17:41.Conservative benches to deal decisively with the House of Lords.

:17:42. > :17:48.I get the sense they have had enough of that unelected chamber with the

:17:49. > :17:54.Lords, baronets, earls, dancing around like Santa Claus, having a

:17:55. > :18:00.stake in this democracy. I appeal to the Conservative members to join us

:18:01. > :18:09.Let us have a proper enquiry into Let us have a proper enquiry into

:18:10. > :18:14.the role of that place. We get the Scotland Bill back in a couple of

:18:15. > :18:20.weeks, and there is only one day set aside for the remaining stages and

:18:21. > :18:24.third reading. We had four days were not one amendment was made, even

:18:25. > :18:31.though they were backed by every member of Parliament who represented

:18:32. > :18:33.a Scottish constituency. The Secretary of State said he would

:18:34. > :18:36.spend the summer reflecting, and said he would try to bring back

:18:37. > :18:42.Bill in line with what was promised Bill in line with what was promised

:18:43. > :18:48.in the Smith Commission. Surely we need more than one day looking at

:18:49. > :18:52.this. This is the first is in his questions I have had an opportunity

:18:53. > :19:00.to speak of a second-class member of this House. Groaning

:19:01. > :19:06.I am certain the Leader of the House has recognised the sheer anger put

:19:07. > :19:15.forward in Scotland about Scotland's member of -- members of

:19:16. > :19:23.Parliament being told not to leave the union, but as soon as we get

:19:24. > :19:29.here things change. Is this going to be subject to an English veto, and

:19:30. > :19:32.if it is, how will it work out? We are grateful to you, Mr Speaker, for

:19:33. > :19:41.backing the call we have been making about getting rid of the ridiculous

:19:42. > :19:46.that we abandon business for that we abandon business for

:19:47. > :19:49.participating in a voluntary organisations association. I would

:19:50. > :20:00.ask you to use your considerable authority to make sure the summer

:20:01. > :20:04.recess covers all parts of the UK, there school holidays. A new

:20:05. > :20:09.tradition has been taken up by the children of Scotland, where the goal

:20:10. > :20:12.disguised as Conservatives because they are so unusual Andre. The only

:20:13. > :20:21.problem is when they turn up to the door, there is real fear that this

:20:22. > :20:30.people who open the doors that they will get any treats because they are

:20:31. > :20:34.Conservatives. I have a confession to make. Until last week I had not

:20:35. > :20:43.previously heard any of the work of that distinguished band MP four, of

:20:44. > :20:49.which he is a great part. I did not realise what great showman he was.

:20:50. > :20:58.He does bring a bit of that showbiz to this House. A little bit of fake

:20:59. > :21:01.outrage on some theatre. He showed a chink a couple of weeks ago when he

:21:02. > :21:10.said nice things about the House of Lords, but he is back to his usual

:21:11. > :21:14.form. I know where he is coming from, I am confident that we will be

:21:15. > :21:18.able to find a resolution under the guidance of Lord Strathclyde. The

:21:19. > :21:23.fake outrage has been there on the Scotland Bill as well. The Law

:21:24. > :21:29.Society of Scotland emphasised we are delivering what we committed to.

:21:30. > :21:33.I would not expect a group of politicians whose mission is to

:21:34. > :21:38.secure independence for Scotland to do anything else but have fake

:21:39. > :21:45.outrage. We are delivering what we promised. If ever there was an

:21:46. > :21:52.example of that little bit of showbiz that he brings, it is over

:21:53. > :21:55.the issue of English votes. He describes himself as a second-class

:21:56. > :22:01.citizen, which he will never be anywhere. Having listened to all of

:22:02. > :22:05.his arguments, I would remind them about what he said on the 14th of

:22:06. > :22:10.October last year, which is I sympathise totally with English

:22:11. > :22:16.members. Of course they should have English votes for English laws. They

:22:17. > :22:22.have every right to demand English-only legislation. I admire

:22:23. > :22:29.him for this, but on occasion he has a habit of delivering slightly mixed

:22:30. > :22:32.messages. Regarding Conservatives in Scotland, I think people have the

:22:33. > :22:40.reason to be skewered this autumn, come Halloween and the weeks ahead,

:22:41. > :22:43.-- to be frightened. Are the Labour Party. They have been done over by

:22:44. > :22:52.the SNP colleagues, and we intend to do them over as well. The nice

:22:53. > :22:57.quality standard of autism calls for waiting times between referral and

:22:58. > :23:04.initial appointment for assessment to be no longer than three months.

:23:05. > :23:08.-- NICE. Currently these targets are not being met. Could we have a

:23:09. > :23:12.debate on research from the National Autistic Society, which has shown

:23:13. > :23:26.that on average the wait for children is 3.5 years and adults

:23:27. > :23:28.raising concerns the diagnosis. As raising concerns the diagnosis. As

:23:29. > :23:28.every member of this House has every member of this

:23:29. > :23:29.approximately 1000 people in their approximately 1000 people in their

:23:30. > :23:34.constituency suffering from autism, these long waiting times are

:23:35. > :23:44.to crisis point. She makes a very to crisis point. She makes a very

:23:45. > :23:46.important point. As constituency MPs all of us have experience of the

:23:47. > :23:49.autistic child face and the autistic child face and the

:23:50. > :23:53.importance of doing everything we can to give those children the

:23:54. > :24:03.opportunities in life. I am sure opportunities in life. I am sure

:24:04. > :24:09.interest in this area, sheer concern interest in this area, sheer concern

:24:10. > :24:18.is shared by the Secretary of State, is shared by the Secretary of State,

:24:19. > :24:30.and I will raise the concerns with. I would ask her to continue bringing

:24:31. > :24:34.these issues to the House. Does the House and government think that once

:24:35. > :24:35.again, just looking at the House of Lords, is like looking at one

:24:36. > :24:35.on the bicycle. Not looking at the on the bicycle. Not looking at the

:24:36. > :24:36.person driving. Should we have a person driving. Should we have a

:24:37. > :24:37.comprehensive review to bring this comprehensive review to bring this

:24:38. > :24:41.into the 21st century? There are many ways about how the whole of the

:24:42. > :24:51.constitutional arrangements should work. The constitutional committee

:24:52. > :24:54.is engaged in this at the moment. The chair of the committee is hard

:24:55. > :24:56.at work looking at the constitutional arrangements and I'm

:24:57. > :25:06.interesting ideas. As you know the interesting ideas. As you know the

:25:07. > :25:09.credentials of the current UK delegation to the parliamentary

:25:10. > :25:14.assembly to the Council of Europe expire next week. As the membership

:25:15. > :25:18.of the new delegation is the responsibility of Parliament and not

:25:19. > :25:27.the government, will he make time next week for this House to express

:25:28. > :25:33.its opinion? I am aware of the motion down on his order paper --

:25:34. > :25:37.the order paper. This is a matter that I have no doubt the House will

:25:38. > :25:42.give careful consideration to, and the point of a backbench business

:25:43. > :25:48.committee is to ensure there is time available to members of the host to

:25:49. > :25:57.allocate time to debate. -- the Leader of the House to allocate time

:25:58. > :25:59.to debate. Can I thank the Leader of the House for the business

:26:00. > :26:05.statement. For the avoidance of doubt, next Thursday we have two

:26:06. > :26:11.debates from the backbench business committee. One on this taken because

:26:12. > :26:23.Bank of Scotland, and the other is the trade in dog flesh. Could the

:26:24. > :26:25.Leader of the House gives the backbench business committee and

:26:26. > :26:33.early indication if there is any possibility for time in the week

:26:34. > :26:35.beginning 16th November? I cannot give that undertaking, but my

:26:36. > :26:46.expectation is there will be time. I have no reason to believe it will

:26:47. > :26:48.not be available. He is picking interesting subject for debate which

:26:49. > :26:55.will command great attention, and I think particularly the debate on dog

:26:56. > :26:59.meat happening as it is. It is a sign of how much concerned there is

:27:00. > :27:04.across the House about the welfare of dogs. Also the fact this is a

:27:05. > :27:09.trade that most people in this country do not support at all.

:27:10. > :27:17.Steve eco. Communications this week seemed to suggest some members of

:27:18. > :27:24.the public might have even confused about the finance will weave aborted

:27:25. > :27:29.on on Monday. Could we have a statement from the reader that makes

:27:30. > :27:34.clear what the true position is and can we also understand from him what

:27:35. > :27:43.keep hands to do to counter the occasional misrepresentation of

:27:44. > :27:46.business of this House? - voted on. There is no clarification of the

:27:47. > :27:51.nature of a division on the website. I have listened to colleagues and do

:27:52. > :27:58.intend to write to that website asking them to write some degree of

:27:59. > :28:03.explanation on issues of this kind. Given this was a debate about and

:28:04. > :28:09.civil, not substance, it is not possible under the current treaty

:28:10. > :28:15.arrangements for this House to cut VAT to zero. That decision had to be

:28:16. > :28:22.taken in Brussels. There is strong interest in securing change. It is

:28:23. > :28:27.utterly unacceptable to have a situation where party groups are

:28:28. > :28:32.misrepresenting the vote as a 0 rate for tampons, it is completely

:28:33. > :28:42.unacceptable. There should be a 0 rate for a product that is clearly

:28:43. > :28:56.not a luxury. The minister gave a commitment he would raise that has

:28:57. > :29:02.in Euro and he has done so. The Cannes of the House has promised to

:29:03. > :29:12.negotiate at European level to achieve a 0 rate of the 80 on

:29:13. > :29:17.women's products. This should go alongside the court demands in the

:29:18. > :29:21.forthcoming Wii negotiation. Women's rights are not a

:29:22. > :29:27.second-class issue, can he confirm that? Women's rights will never be a

:29:28. > :29:34.second-class issue. The party in power opposite for 13 years and

:29:35. > :29:40.never secured anything of this sort. Since the debate on Tuesday we have

:29:41. > :29:47.already seen the vice chairman of the mission say this is an issue

:29:48. > :29:51.that are willing to consider. We are taking a step in the right

:29:52. > :29:57.direction. If a minister gives a commitment to this has the will do

:29:58. > :30:05.so, they will find it through. Devolution is something we all

:30:06. > :30:12.expire to and my county in Somerset wish to embrace revolution. We wish

:30:13. > :30:15.to embrace it so that the money follows the devolution coming from

:30:16. > :30:21.the centre which is fantastic, we want to do it. In this House can be

:30:22. > :30:24.debate this so there is a clear message going out to district and

:30:25. > :30:30.unity is for how they can get involved in maximising their return

:30:31. > :30:34.for taxpayers? This is what the government is seeking to do and

:30:35. > :30:38.there will be no one size fits all for different settlements in

:30:39. > :30:42.different parts of the country, it depends on the circumstances and

:30:43. > :30:48.different geography and nature of the economy. I would encourage my

:30:49. > :30:52.honourable men to make this point to other ministers. It is a great

:30:53. > :30:55.opportunity for counties like Somerset to be involved in

:30:56. > :31:02.defamation to give them greater control over matters that affect

:31:03. > :31:06.their area. There is a real opportunity for local authorities

:31:07. > :31:12.and local communities. Given the difficult financial circumstances

:31:13. > :31:17.that the NHS finds itself in, is it not time for a debate on a national

:31:18. > :31:28.tariff for the treatment of IVF given that CCG 's are paying fees as

:31:29. > :31:35.varied as ?2500 to ?6,000 per cycle? We have a choice in the NHS, we can

:31:36. > :31:39.either devolved responsibilities to local lactation is keep everything

:31:40. > :31:46.at the centre. The moment we start to say we do not like different

:31:47. > :31:51.areas where different CCG 's make different decisions we start to be

:31:52. > :31:58.centralised again. I want decisions taken by local doctors. I would eat

:31:59. > :32:03.reluctant to reverse that. With my honourable friend consider having a

:32:04. > :32:07.debate on the future of the House of lords in the near future purely and

:32:08. > :32:11.simply because of the events of this week and also I have been doing some

:32:12. > :32:16.work and had a successful debate in West and start all on a particular

:32:17. > :32:22.oppose all that was met and welcomed on all sides of the House. Part

:32:23. > :32:27.Westminster Hall. I have no doubt be will have such a debate in future

:32:28. > :32:31.but can I encourage him to talk to Lord Strathclyde as well as he

:32:32. > :32:36.dubbed his review? The scope of the review will be out shortly but I

:32:37. > :32:40.suggest he takes any ideas for change to the noble lord who will

:32:41. > :32:48.wish to hear the views of people in this House? The approach of another

:32:49. > :32:51.Parliamentary recess and no indication whatsoever that the

:32:52. > :32:56.government intends to seek a mandate for military intervention in Syria.

:32:57. > :33:01.Isn't it he can play obviously there is no appetite across this chamber

:33:02. > :33:06.for a second goal through military venture. Can we look at the

:33:07. > :33:12.financial initiatives which might actually contribute to bringing

:33:13. > :33:17.peace and stability to that country? I would simply say to the right

:33:18. > :33:21.honourable gentleman, there will be no statement or debate about

:33:22. > :33:26.military intervention in Syria unless we have an intention to

:33:27. > :33:28.intervene voluntarily in Syria. The reason we do not have another

:33:29. > :33:34.statement about that is because no decision has been taken to intervene

:33:35. > :33:39.militarily in Syria and should that happen we will come to this House

:33:40. > :33:44.and discuss it fully. We have debated this extensively in we said

:33:45. > :33:49.weeks, the Foreign Secretary was before this House regularly. They

:33:50. > :33:52.will be plenty opportunities to debate what is an difficult

:33:53. > :33:58.situation, something we all of us wish to see the resolution but it is

:33:59. > :34:03.difficult to see a path to that resolution given how complex the

:34:04. > :34:12.situation is. I feel sure he reader of the House is a Downton at the fan

:34:13. > :34:18.and will have been as alarmed as me by what happened two weeks ago.

:34:19. > :34:25.Fortunately Lord Grantham is recovering well what it is pointed

:34:26. > :34:28.out that survival from upper gastrointestinal bleeding in this

:34:29. > :34:33.country lags behind those countries with which we could reasonably be

:34:34. > :34:38.compared. I wonder if we could have a debate on how we could configure

:34:39. > :34:42.endoscopy services in this country to bring us up among the best in

:34:43. > :34:49.Europe rather than the worst? She makes a very important point in his

:34:50. > :34:55.customer Blake light-hearted but also serious weight. I did not see

:34:56. > :35:00.the particular scene in Downton Abbey but I believe it was

:35:01. > :35:05.eye-catching to say the least comment he makes today I think are

:35:06. > :35:12.important ones and I will make sure they are forwarded to my colleagues

:35:13. > :35:18.in the Department of Health. My honourable friend from the front

:35:19. > :35:23.bench quite rightly lead on the issue of Fifa which he described as

:35:24. > :35:26.a sink of corruption but football is still the beautiful game and will be

:35:27. > :35:34.readers of the House on behalf of the government join me in paying

:35:35. > :35:38.tribute to a happy birthday to a former Derbyshire player who was the

:35:39. > :35:45.first black professional footballer in the world. We are very proud of

:35:46. > :35:52.him. Years and adopted son of Darlington and will be Cannes what

:35:53. > :35:59.the House join me with say happy birthday to him? The beautiful game

:36:00. > :36:05.is tarnished because of the penalty shoot out at all Trafford last

:36:06. > :36:09.night. I will join her and also pay tribute to all of the black leaders

:36:10. > :36:11.Huebner Pathfinders in the game and opened it up to evil generation of

:36:12. > :36:17.young people. I would like to see young people. I would like to see

:36:18. > :36:22.more black coaches in this country as well and I think that should be a

:36:23. > :36:28.minority for the game. I congratulate him for all he has done

:36:29. > :36:33.to contribute to the sport. My hard-working constituents who use

:36:34. > :36:39.Kingston and Surbiton station 's art forced to pay for zone six tickets

:36:40. > :36:43.when logic and fairness dictates they should be in zone five. 26

:36:44. > :36:48.stations are in zone five yet further from their London terminus.

:36:49. > :36:52.I know there are other reasoning campaigns in London yet houses

:36:53. > :36:59.certainly the most compelling. We make time for a debate on the zoning

:37:00. > :37:06.of stations in London? I would not go as far to say... He may be the

:37:07. > :37:09.most campaigning campaign in London but the campaign to get Epsom in

:37:10. > :37:15.zone six which is outside London may be a great important. There are

:37:16. > :37:21.zoning concerns and I have drawn this to the Department for Transport

:37:22. > :37:25.was my attention. I hope we can make regressing what we are doing and our

:37:26. > :37:33.constituents can see that. It is something I know people in still are

:37:34. > :37:38.looking forward to him succeeding in due course in. A cross-party support

:37:39. > :37:42.for a series of appeals. Open up family courts is something a

:37:43. > :37:48.succession of governments have promised to reform. Will there be a

:37:49. > :37:52.debate on how we can break open the cartels that surround the family

:37:53. > :37:57.courts system? Having been Secretary Of State for just as I am aware of

:37:58. > :38:02.this and sympathetic. We have two be careful there are some deeply

:38:03. > :38:05.distressing stories take place within the family courts and we must

:38:06. > :38:12.not open them up in a way that exposes family heartache to the

:38:13. > :38:18.tabloid media. He is right to say there is no reason for the agree of

:38:19. > :38:23.closed environment that exists around those family courts. I know

:38:24. > :38:27.this is a matter of concern to my colleague the Secretary Of State

:38:28. > :38:32.today. He will be here again on Tuesday and I would encourage him to

:38:33. > :38:38.re-raised this point. As my right honourable friend knows, I am

:38:39. > :38:43.running a campaign to save the hedgehog. Will my right honourable

:38:44. > :38:46.friend 's urge every member and right on rubble member to ensure

:38:47. > :38:54.there are safety measures in place within one fires next Thursday which

:38:55. > :38:57.is Guy Fawkes night? Thank you. I share his concern about the

:38:58. > :39:04.hedgehog. We have seen a really distressing fall in our hedgehog

:39:05. > :39:07.population in the last few decades. When I was a child you would find

:39:08. > :39:13.one in every garden, it will would feed them outside the door and it

:39:14. > :39:17.now does not happen to any degree like it used to. I would say to

:39:18. > :39:22.members on all sides of the House and anyone listening to this debate,

:39:23. > :39:27.bonfire night is a period of great danger to hedgehogs. If you drive

:39:28. > :39:33.around the country you will already see large piles of wood setup. It is

:39:34. > :39:38.all too common that a hedgehog finds refuge in those bonfires in the next

:39:39. > :39:42.few days. I would ask anyone to double-check before they like them

:39:43. > :39:48.to make sure there is not a hedgehog nesting inside, we cannot afford to

:39:49. > :39:53.lose any more. Young people are being killed on our streets.

:39:54. > :39:59.Tragically, in my constituency, there have been two youth deaths in

:40:00. > :40:05.as many months. This is not isolated. A boy stabbed to death in

:40:06. > :40:12.Aberdeen, shooting in Hackney, Alford, even machine-gun fire in

:40:13. > :40:14.Willesden. This had to stop. With the government continuing to cut

:40:15. > :40:19.front line services, young people are turning to crime and violence in

:40:20. > :40:24.bigger and bigger numbers. Is it not time to call an urgent debate

:40:25. > :40:30.looking at how all parties can work together to stop the rise of youth

:40:31. > :40:36.violence? Mr Speaker, firstly, let us be clear, knife crime is a blight

:40:37. > :40:43.on our society as our knife murders and I would endorse the comments

:40:44. > :40:46.made earlier about the tragic events in Aberdeen yesterday. They are

:40:47. > :40:51.fortunately rare in this country that makes them even more shocking

:40:52. > :40:54.when they do happen. I send my condolences and good wishes not only

:40:55. > :40:59.to the family but also those in the school for whom it would have aimed

:41:00. > :41:04.a deeply traumatic experience. On the streets of London any death

:41:05. > :41:07.through knife crime is too much, we have taken measures to toughen the

:41:08. > :41:12.law around carrying knives but it is important to support those

:41:13. > :41:19.organisations that try to take young people away from crime and carrying

:41:20. > :41:26.by a couple who set it up after the by a couple who set it up after the

:41:27. > :41:30.death of their son. The number of young people entering the criminal

:41:31. > :41:34.justice system for the first time is balding and has continued to fall

:41:35. > :41:38.for a number of years. That is a great step forward. The challenge of

:41:39. > :41:43.the offending is a good news story that fewer people are entering the

:41:44. > :41:51.justice system for the first time, long may that continue.

:41:52. > :41:55.British farmers who successfully applied for environmental

:41:56. > :41:59.improvement grants are being told that unless they put up all boards

:42:00. > :42:13.indicating the money came from the EU, they could lose part or all of

:42:14. > :42:33.and net contributors to the EU, and net contributors to the EU,

:42:34. > :42:33.isn't it akin to me taking my money from my bank to do a home

:42:34. > :42:34.improvement, and putting up a billboard saying, thank

:42:35. > :42:34.Barclays? Could we have a statement Barclays? Could we have a

:42:35. > :42:34.from an agricultural Minister saying from an agricultural Minister saying

:42:35. > :42:35.the British countryside by this the British countryside by this

:42:36. > :42:38.propaganda? The countryside here is around the most -- among the most

:42:39. > :42:44.beautiful anywhere in the world. I have some sympathy with him, and I

:42:45. > :42:50.do not want to see anything detracting from its natural beauty

:42:51. > :42:55.full stop DEFRA questions are next Thursday, so he can put it to him

:42:56. > :43:02.directly. But keep the countryside pure and natural. Will the

:43:03. > :43:08.government make a statement on the situation of employees pensions and

:43:09. > :43:18.the Commonwealth War Graves Commission? He will not allow them

:43:19. > :43:24.to make a decision on closing... Does he agree that staff working

:43:25. > :43:28.harder than ever due to the centenary commemorations at cutting

:43:29. > :43:35.committee staff pensions while the Director-General gets a 50% pay rise

:43:36. > :43:40.is utterly inappropriate? I understand the point he is making. A

:43:41. > :43:48.range of organisations have had to make decisions about final salary

:43:49. > :43:52.pensions. I will make sure they concerns he has raised will be

:43:53. > :44:03.passed on to my ministerial colleagues. Following the comments

:44:04. > :44:09.from the honourable member for Perth and your excellent article this week

:44:10. > :44:31.Mr, Mr Speaker, will he arrange for a debate on whether this House

:44:32. > :44:39.should continue to have a conference recess, or whether the

:44:40. > :44:39.party should sort themselves out and party should sort themselves out and

:44:40. > :44:40.arrange their confidence at the arrange their confidence at the

:44:41. > :44:40.weekend, like the SNP do. We would be able to work out which MPs are

:44:41. > :44:41.able to do the job in their -- their able to do the job in their -- their

:44:42. > :44:42.job in this House and hold the government to account. There is

:44:43. > :44:44.growing interest in this area. Particularly given the fact that

:44:45. > :44:47.there are perhaps fewer Liberal Democrats than there used to be for

:44:48. > :44:50.the confidence week. This has been raised through the usual channels.

:44:51. > :44:55.Confidence became take place some years in advance. This is something

:44:56. > :45:04.that needs to be dealt with carefully. I am pleased to hear

:45:05. > :45:09.there will be a debate on policing, but I am concerned at the lack of

:45:10. > :45:13.reality in the Leader of the House's responses on police

:45:14. > :45:20.150 plus uniformed presence from the 150 plus uniformed presence from the

:45:21. > :45:23.street and seen a 22% increase in violent crime in the last year. It

:45:24. > :45:28.is a connection between these things. Will the Leader of the House

:45:29. > :45:32.ensure that when the government come to this House to pretend there --

:45:33. > :45:46.present the debate on policing, that they face the facts as we do in our

:45:47. > :45:48.communities? I can only reactivate that the crime survey shows that

:45:49. > :45:52.notwithstanding some of the difficult challenges the police

:45:53. > :45:57.force has had to face up to, crime has continued to fall. There is

:45:58. > :46:04.scope for police officers and police forces to deliver new ways of

:46:05. > :46:08.working, bringing down cost without affecting front line support to the

:46:09. > :46:16.community 's. Labour run Kirklees Council have written off ?850,000 in

:46:17. > :46:20.section 106 cash which was allocated to improve local infrastructure by

:46:21. > :46:25.house-builders and developers. Can be debate how appalling situations

:46:26. > :46:30.like this is seeing local communities lose confidence in

:46:31. > :46:37.planning opportunities? I am aware of the issue. Begs questions about

:46:38. > :46:41.credit control and bringing money when it is due. Local authorities

:46:42. > :46:48.have the power to set timelines even to get money in advance for the

:46:49. > :46:52.payments they receive. Can I suggest to him, it is a matter of concern,

:46:53. > :46:56.that he raises this with the department concerned, perhaps

:46:57. > :47:03.through an adjournment debate or the next time they are in this House for

:47:04. > :47:06.questions? Can he share his current understanding of when legislation

:47:07. > :47:12.regarding the Stormont House regarding the Stormont House

:47:13. > :47:16.agreement may be brought forward? With the government continue a draft

:47:17. > :47:19.committee from both houses, dealing committee from both houses, dealing

:47:20. > :47:23.with the sensitive issue of legacy, which there has not been due

:47:24. > :47:27.consultation with victims for a consultation with victims for a

:47:28. > :47:33.variety of reasons and excuses, and this Parliament has been asked to

:47:34. > :47:39.legislate in lieu of the assembly. With the government give that period

:47:40. > :47:41.of special legislative scrutiny? I will discuss that with the Secretary

:47:42. > :47:46.of State. We have been involved in discussions with all parties in

:47:47. > :47:54.Northern Ireland, and those are continuing. We will bring it to this

:47:55. > :47:57.House as soon as we can. But I will make the Secretary of State of the

:47:58. > :48:04.issue he has raised. I was delighted to hear that others it will be

:48:05. > :48:10.taking place on the 12th to 14th of November, and there will be an

:48:11. > :48:13.opportunity for Parliament to receive him properly. That takes

:48:14. > :48:18.place between the November recess of this place and during Hindu New

:48:19. > :48:26.Year. Can I take the opportunity to invite the Leader of the House to

:48:27. > :48:30.wish a happy, peaceful and prosperous New Year, but equally can

:48:31. > :48:30.we have a statement as to the trade Guilds and educational arrangements

:48:31. > :48:40.and other arrangement is taking and other arrangement is taking

:48:41. > :48:41.place during that visit? I echo the happy New Year wishes he has made

:48:42. > :48:49.reference to, and I hope everyone reference to, and I hope everyone

:48:50. > :48:56.has an enjoyable, relaxing, successful set of New Year festival

:48:57. > :48:59.'s. No doubt we will all wish you, Mr Speaker, and I will make

:49:00. > :49:05.House aware of the details of the House aware of the details of the

:49:06. > :49:14.visit shortly. India is one of the biggest allies and it is a great

:49:15. > :49:22.democracy. This is a great opportunity. We were guests last

:49:23. > :49:24.night for the club the London Tigers, a sports club which does

:49:25. > :49:27.amazing work with young people from all different communities, and it

:49:28. > :49:32.would be appropriate to place on record our appreciation for the

:49:33. > :49:35.call for the debate on families who call for the debate on families who

:49:36. > :49:43.have autism in the family? I'm sure have autism in the family? I'm sure

:49:44. > :49:48.recent news of more diversity in the recent news of more diversity in the

:49:49. > :49:50.boardroom, it is welcome but needs boardroom, it is welcome but needs

:49:51. > :49:58.to go further. Could we have an early debate on diversity, and

:49:59. > :50:00.shouldn't this House be an exemplar? If you look at the photograph in the

:50:01. > :50:15.corridor, it has 64 photographs of corridor, it has 64 photographs of

:50:16. > :50:23.people who run the House at the senior level. Everyone is white and

:50:24. > :50:32.absolutely agree, and I would say absolutely agree, and I would say

:50:33. > :50:36.about the photographs out the back, about the photographs out the back,

:50:37. > :50:37.we have made great progress over the we have made great progress over the

:50:38. > :50:37.like in 2001 when I was elected, and like in 2001 when I was elected, and

:50:38. > :50:38.what it looks like today, there is a what it looks like today, there is a

:50:39. > :50:47.continue this and encourage the continue this and encourage the

:50:48. > :50:51.recruitment process. I want a society that is reflected in this

:50:52. > :50:58.House, and it has two reflect the society outside in all aspects of

:50:59. > :51:03.its working. The plans for the station in Torbay, the first one for

:51:04. > :51:09.therefore can we have a statement on therefore can we have a statement on

:51:10. > :51:14.when the next tranche of station funding will be available to bid for

:51:15. > :51:16.the complete this project? Unfortunately we have just had

:51:17. > :51:21.transport questions, so he will have to wait before the Secretary of

:51:22. > :51:28.State is back again, but his comments will have been noted. But

:51:29. > :51:32.if you look around this country, 20 years after the privatisation of

:51:33. > :51:35.railways, we have new railway lines opening, the start of a new service

:51:36. > :51:42.from Oxford to London, something that would never have happened in

:51:43. > :51:44.the days of British Rail. We have a party opposite who think we would be

:51:45. > :51:50.better off renationalising everything. It would be disastrous.

:51:51. > :51:58.The way we have it now, we are seeing innovations and long may that

:51:59. > :52:03.continue. Last week the Prime Minister said he did not want anyone

:52:04. > :52:07.relying on food banks, but this week the Work and Pensions Secretary told

:52:08. > :52:12.the select committee that he planned to station job advisers and food

:52:13. > :52:19.banks. Is it right that extreme food poverty should become an accepted

:52:20. > :52:27.element of GWP National planning? Could we have a debate on this? She

:52:28. > :52:31.has got this plain wrong. If we have people who are in need of food

:52:32. > :52:35.banks, and I would remind her that we have a lower use of food banks in

:52:36. > :52:38.this country than in countries like Germany, so it is simply not true

:52:39. > :52:44.-- link it to public policy. That we -- link it to public policy. That we

:52:45. > :52:52.should be helping these people into work and out of poverty. Making sure

:52:53. > :52:58.the Jobcentre is aware of what is going on in food banks seem

:52:59. > :53:04.sensible. It was an honour to present certificates recently to

:53:05. > :53:09.some of the 1500 graduates of the National Citizen Service scheme.

:53:10. > :53:12.real government success story and real government success story and

:53:13. > :53:17.will he allow time for a debate on how we can roll out this to more

:53:18. > :53:24.people every year? This has been a huge success story, this is one of

:53:25. > :53:29.the things that will have the most lasting impact on the country. It is

:53:30. > :53:33.growing and developing and proving a great success. It is changing the

:53:34. > :53:37.lives of young people in different parts of the countries, bringing

:53:38. > :53:39.together people from different backgrounds in a way that can only

:53:40. > :53:47.be positive for the future. Long may it continue. The shadow leader of

:53:48. > :53:51.the House was right to raise the ministerial code. Could we have an

:53:52. > :54:02.urgent statement on who made the decision on changing the code, the

:54:03. > :54:06.reasons for doing so? The honour of the ministerial code is the Prime

:54:07. > :54:15.Minister, so there will be plenty opportunities for the honourable

:54:16. > :54:18.lady to ask. On page 29 of the day's order paper there is a motion

:54:19. > :54:24.about the UK dedication to the alimentary assembly of the Council

:54:25. > :54:29.of Europe. It goes on to page 30 because it is signed by 58 members

:54:30. > :54:31.of this House from all the major political parties. It commends the

:54:32. > :54:42.work of the honourable member work of the honourable member

:54:43. > :54:47.Christchurch, his years there, and I wonder if the Leader of the House

:54:48. > :54:53.but put it on the order paper next but put it on the order paper next

:54:54. > :54:56.week. There is not a business of the House committee, so we're relying on

:54:57. > :55:04.the government to bring this motion forward. Would he bring this

:55:05. > :55:12.forward? I have spotted the degree of support for this motion. I am

:55:13. > :55:15.aware of the desire to debate it. What I would say is that there is

:55:16. > :55:20.quite a lot of time allocated through backbench business committee

:55:21. > :55:24.to debate in this House. He will return to the issue shortly, but

:55:25. > :55:33.there is a simple allocation available to debate this. The chair

:55:34. > :55:41.is sitting over there. The Minister may be aware of the case of 26 you

:55:42. > :55:44.will transmit and who been sentenced to serve her prison sentence in a

:55:45. > :55:58.men's prison. The good news I heard today is that she is to be

:55:59. > :56:02.transferred to a women's prison. -- a 26-year-old trans-women.

:56:03. > :56:09.in detail of this tend to be out in detail of this tend to be out

:56:10. > :56:13.with the metal ministers, but the Ministry of Justice will always want

:56:14. > :56:17.decisions of this nature to be taken sensitively and carefully. There are

:56:18. > :56:27.questions for the House on Tuesday, and they will listen to her concerns

:56:28. > :56:36.then. Can we have a debate on how to tackle cyber crime? I have received

:56:37. > :56:52.complaints from constituents in the complaints from constituents in the

:56:53. > :56:59.past, and there is another report in the local newspaper today, one of my

:57:00. > :57:02.convincing and genuine looking convincing and genuine looking

:57:03. > :57:02.e-mail purporting to come from a high street bank asking for

:57:03. > :57:11.details which could lead to people details which could lead to people

:57:12. > :57:11.number of quite worrying cases number of quite worrying cases

:57:12. > :57:11.highlighted in recent weeks and highlighted in recent weeks and

:57:12. > :57:13.months of people losing large chunks of life savings to some

:57:14. > :57:16.complex and sophisticated scams. The complex and sophisticated scams. The

:57:17. > :57:26.message we should give out is to be very careful. This should send

:57:27. > :57:28.messages to the people we represent that they are criminal groups out

:57:29. > :57:34.there who are trying to rip you off there who are trying to rip you off

:57:35. > :57:36.all of the time. I keep saying to my honourable friend, keep bringing up

:57:37. > :57:40.I hear the usual chuntering from a I hear the usual chuntering from a

:57:41. > :57:41.sedentary position from the shadow sedentary position from the shadow

:57:42. > :57:46.leader. This is a really serious leader. This is a really serious

:57:47. > :58:06.issue. On television this week there was a woman who had been swindled

:58:07. > :58:07.for ?35,000 by a gang who persuaded her to go to the bank and transfer

:58:08. > :58:14.her money to a different account. It is not a laughing matter. Does the

:58:15. > :58:17.concern being expressed in concern being expressed in

:58:18. > :58:20.Birmingham and by the Birmingham Post and mail over the threat

:58:21. > :58:25.Freedom of Information and will he Freedom of Information and will he

:58:26. > :58:27.agree to an urgent debate on what is a threat to the cornerstone of our

:58:28. > :58:37.democracy? The irony is that the person who

:58:38. > :58:42.said they regretted the Freedom of Information Act most was Jack Straw

:58:43. > :58:47.who introduced it and looked upon it as one of the things he got wrong.

:58:48. > :58:50.The Freedom of Information Act is something this government is

:58:51. > :58:57.committed to. We want to make sure it works fairly and cannot be

:58:58. > :59:00.misused but it is misused by people who use it as EV search tool to

:59:01. > :59:06.generate stories for the media. It is a legitimate tool for those who

:59:07. > :59:10.understand how this government has taken decisions. It is not the

:59:11. > :59:17.intention of this government to change that. I know from my

:59:18. > :59:21.family's on experience just how devastating pancreatic cancer can be

:59:22. > :59:28.and whether November being pancreatic awareness month can we

:59:29. > :59:31.see what is being done to help those suffering from this disease? My

:59:32. > :59:37.honourable friend makes an important point and of course all forms of

:59:38. > :59:39.cancer, particularly pancreatic cancer, are deeply distressing for

:59:40. > :59:45.the families of those involved and those who suffered from the

:59:46. > :59:49.different varieties of cancer. One of the things that is encouraging at

:59:50. > :59:53.the moment is that we really seemed to be making some significant steps

:59:54. > :59:58.forward in treatment and research for treatment in future. One of the

:59:59. > :00:01.things I am pleased we have done as the government is not withstanding

:00:02. > :00:07.the financial pressures we face. We have continued to keep up our

:00:08. > :00:10.budgets going into the search which open up a better future for those

:00:11. > :00:17.who are sufferers and I hope that what continues. Since the session

:00:18. > :00:23.started this morning welcome news has emerged from China that they are

:00:24. > :00:28.to end their one child policy. Will the leader of the house for a debate

:00:29. > :00:33.on the government's to child policy with particular reference to the

:00:34. > :00:39.Greek clause? The boot them please fill details and I am a wee of the

:00:40. > :00:44.issue she has raised and the fact she has continued to make this

:00:45. > :00:52.concern will be conveyed to my colleagues. -- rape clause.

:00:53. > :01:01.Anti-Muslim rape right -- anti-Muslim hate crime will be

:01:02. > :01:04.recorded separately. Can we therefore have a debate on heat

:01:05. > :01:12.crime in all of its forms and what we can do to eradicate this from our

:01:13. > :01:15.society? Mr Speaker, heat crime in any form is unacceptable. I am very

:01:16. > :01:20.much aware that although we have seen he's beat of anti-Semitic

:01:21. > :01:24.attacks in recent months the also see in this country regularly

:01:25. > :01:29.attacks on mosques and Muslims. The steps the government are taking is

:01:30. > :01:35.right. We should not tolerate heat crime against any of our communities

:01:36. > :01:42.in this country. We should be dealt with with the full force of the law

:01:43. > :01:46.wherever that occurs. This House should remind us of obligations in

:01:47. > :01:52.that direction. Can we have the debate on defence attunement and

:01:53. > :02:02.buying British? Why are the three new royal navy ships and the 500

:02:03. > :02:05.last armed vehicles from the army not been built with British Steel?

:02:06. > :02:10.On occasions when the Lizzie specialist metal requirement we have

:02:11. > :02:14.two source the specialist metal from wherever it comes from. 90s percent

:02:15. > :02:21.of the steel being put into Crossrail is coming from British

:02:22. > :02:26.sources. It is disappointing in Scotland the Scottish Government has

:02:27. > :02:30.not done the same. The steel going into our aircraft carriers is also

:02:31. > :02:34.British Steel. The question I would ask him, he talks about defence

:02:35. > :02:39.procurement and the question I would ask about defence procurement and

:02:40. > :02:44.British jobs, if he is so concerned about the use of British Steel and

:02:45. > :02:49.jobs in Britain, why does his party now support a policy that would

:02:50. > :02:56.scrap the plans for Trident submarines to be built in Barrow in

:02:57. > :03:03.Furness? When can we debate the convention that serving time

:03:04. > :03:08.ministers are not invited to give evidence to select committees? There

:03:09. > :03:11.is compelling evidence now that three prime ministers were

:03:12. > :03:18.unwittingly but directly involved in an enterprise that cost the

:03:19. > :03:23.taxpayers many millions of pounds. Isn't it important, too, that we

:03:24. > :03:40.understand why three prime ministers were infatuated by the delusional

:03:41. > :03:45.fraudsters of Kicks Company dinar two points to make. Everyone on both

:03:46. > :03:52.sides of the House are concerned about what happened with Kicks

:03:53. > :04:08.Company understanding what went wrong in that charity was not the

:04:09. > :04:18.fault of some people involved in it. In my view the Beagle he is looking

:04:19. > :04:23.for is already in existence. Three years ago the caravan manufacturers

:04:24. > :04:30.of Hull had to fight off the caravan tax that would like their industry.

:04:31. > :04:35.Now the government is buying steel from abroad and I wonder if it is

:04:36. > :04:37.time we had a debate about an industrial policy for our country

:04:38. > :04:45.and not every other country in the world? Let me tell her about

:04:46. > :04:50.industrial policy. The industrial policy which leads to the dramatic

:04:51. > :04:56.drop in level feel I boot in the UK, and industrial policy that leads

:04:57. > :05:01.to the near halving of manufacturing is a policy we had under the last

:05:02. > :05:04.Labour government. We have been working to restore manufacturing and

:05:05. > :05:09.steel development and production is now at the same level or slightly

:05:10. > :05:14.higher than when he took office. Just on occasions, they are the

:05:15. > :05:21.opposition and can ask questions without remembering there on record

:05:22. > :05:28.in government. When it came to manufacturing in this country they

:05:29. > :05:31.made a right royal mess up. Concern about the illegal wildlife trade is

:05:32. > :05:35.growing and the Duke of Cambridge spoke out about this last week.

:05:36. > :05:40.Responsibility in government lies between DEFRA, the Commonwealth and

:05:41. > :05:44.government office. Can we look at how we can better coordinate a UK

:05:45. > :05:52.Government response to end this vile trade? I wholeheartedly agree with

:05:53. > :05:55.him. To see a return to the poaching of elephants in southern Africa is

:05:56. > :06:01.something I find completely distressing. The threat facing the

:06:02. > :06:05.Rhino I find profoundly distressing. I would commend Prince Harry and

:06:06. > :06:10.Prince William for the work they have done on this over the years. I

:06:11. > :06:17.commend everyone in this House who works to work on this challenge.

:06:18. > :06:24.People should be able to CDs great animals in the wild and not look at

:06:25. > :06:30.on the history books about their death. The department that has the

:06:31. > :06:34.biggest role in all of this it is really ought Porto we do everything

:06:35. > :06:43.we can to stem what is a vile trade. -- see these great animals.

:06:44. > :06:47.Gentry and contractor is a debilitating disease of the hands

:06:48. > :06:57.caused by manual Labour. The industrial injuries advisory Council

:06:58. > :07:01.made recommendations to the DWP last year as to why they should make this

:07:02. > :07:06.a prescribed occupational disease yet there has not been any official

:07:07. > :07:09.announcement. With the leader of the house make a statement about why

:07:10. > :07:15.there has been such a delay which has impacted on many disabled people

:07:16. > :07:20.in the UK? She raises an important issue. I do not know the answer to

:07:21. > :07:23.his question but we will have the DWP minister is here on Monday and I

:07:24. > :07:27.will make sure they are briefed in advance of that so they can give the

:07:28. > :07:34.proper response if he raises it then. Point of order, Mr Alex

:07:35. > :07:38.Salmond. At the same time as business questions it was announced

:07:39. > :07:43.nicer John Chilcott why means of a letter to the tri- Minister that it

:07:44. > :07:48.would be a further nine months before the Iraq enquiry is to be

:07:49. > :07:53.published which will mean it is seven years since it was established

:07:54. > :07:59.and the full 13 years since the war was started. Would it not just be an

:08:00. > :08:09.order but a mark of respect to the 179 families of dead servicemen at

:08:10. > :08:14.the government had come to the House to explore reasons of delay in the

:08:15. > :08:19.enquiry and the possible legal consequences that might fall on

:08:20. > :08:24.certain individuals if that enquiry allocates responsibility for the

:08:25. > :08:32.illegal conflict? Yes, perhaps I should just take the leader of the

:08:33. > :08:36.house. I am not exactly aware of when the letter was sent or received

:08:37. > :08:42.but I am a weird and have long been that this is a matter of very, very

:08:43. > :08:47.elite interest and concern to members right across the House. Part

:08:48. > :08:54.I am aware. If the reader of the House would like to come to the orcs

:08:55. > :08:58.we would be pleased to hear him. Let me see firstly that I share and the

:08:59. > :09:02.government share the right honourable gentleman was my

:09:03. > :09:07.frustration about how long this has taken. They are clearly lessons

:09:08. > :09:11.which need to be learned from this whole process. It is an none of our

:09:12. > :09:19.interests that this has taken so long. We were in opposition at the

:09:20. > :09:22.time so have no investment in delaying this matter. It is out with

:09:23. > :09:26.the control of government. The the control of government. The

:09:27. > :09:31.timetable is entirely in his own hands. In terms of the timing of

:09:32. > :09:37.this, I do not know either the time at which the letter was actually

:09:38. > :09:42.released but it is not my job to P and a letter for Sir John Chilcott

:09:43. > :09:48.before he has announced it himself. I want to hear further observations

:09:49. > :09:55.on this matter. Mr Davies? I think we all agree with the member for

:09:56. > :10:00.Banff and Buchan on this and with the leaders comments. These are many

:10:01. > :10:07.suggestions that it has been delayed right Whitehall not leaving things

:10:08. > :10:10.quickly enough and not providing enough information, by challenging

:10:11. > :10:15.the ability to release information. It would be helpful to the House if

:10:16. > :10:20.you were a statement and frankly this is an insult and the

:10:21. > :10:27.compounding of the grief of the many families who have lost loved ones in

:10:28. > :10:33.that war. I wanted to hear the points of order and will view the

:10:34. > :10:39.honourable gentleman in a moment but the leader of the house is correct

:10:40. > :10:44.in saying macro it is not for him to pre-empt the delivery or publication

:10:45. > :10:48.of letters but unlike of what I do sense is quite a strong feeling

:10:49. > :10:51.across the House, it might be extremely helpful if, when the

:10:52. > :10:58.leader of the houses in full session of the facts he perhaps considers an

:10:59. > :11:01.early short statement on which there would be an opportunity for

:11:02. > :11:07.questioning at the start of next week. I newly put that thought to

:11:08. > :11:16.him now and he has a option to refer to it. -- merrily. I can assure my

:11:17. > :11:20.honourable friend that I have seen no evidence on the half of the

:11:21. > :11:25.government to stall on this. We have been as keen as anyone in this House

:11:26. > :11:30.to see this published. Here is no desire in the government to slow

:11:31. > :11:33.this up. It is outwith our control. I will take the point raised about

:11:34. > :11:44.an early statement. The committee that set up the

:11:45. > :11:47.Chilcott enquiry was the public administration committee under Tony

:11:48. > :11:50.right, and at the time they were misgivings about the form of

:11:51. > :11:56.enquiry, and a suggestion made that it should be run by Parliament

:11:57. > :11:59.directly, an entirely new form of enquiry would have been better if

:12:00. > :12:08.parliamentarians had control of this. Can we have assurance from

:12:09. > :12:12.government, as we have now -- no explanation about what happened in

:12:13. > :12:22.Iraq, and no explanation of the enquiry into the Helmand concession

:12:23. > :12:30.which resulted in 454 lives being lost, and can the government given

:12:31. > :12:34.-- give an assurance that we will not be involved in the four sided

:12:35. > :12:42.war in Syria before these matters will be discussed? Can I see to the

:12:43. > :12:46.honourable gentleman, a statement by government to the House on this

:12:47. > :12:51.matter would afford a real opportunity for him to make his

:12:52. > :12:57.point, not my point -- by point of order to me, back to the Leader of

:12:58. > :13:00.the House. It would perhaps be uncontroversial that had there been

:13:01. > :13:07.a parliamentary committee looking at this matter, it would not have been

:13:08. > :13:13.possible for it to do its work more slowly even if it had made a

:13:14. > :13:18.Herculean effort to do so. I think it is important, on behalf of the

:13:19. > :13:28.House, whether it concerns are perturbed them or not, that Sir John

:13:29. > :13:33.should be aware that there is a very real sense of anger and frustration

:13:34. > :13:39.across the whole House over what seems at this line substantial --

:13:40. > :13:48.substantial disservice as to what has been done. I am grateful for

:13:49. > :13:54.this being raised and four other members underlining the strength of

:13:55. > :14:00.feeling. If he could hold his forces for a moment! Point of order, Diana

:14:01. > :14:03.Johnson. When ministers speak from the dispatch box I know they have to

:14:04. > :14:09.make sure they are factually correct, and I am sorry to raise

:14:10. > :14:15.again a point of order about a factual inaccuracy that has been

:14:16. > :14:18.made by the Leader of the House. In his exchange with one of my

:14:19. > :14:23.honourable friend 's this morning, he said that Labour had done nothing

:14:24. > :14:31.in 13 years to deal with the issue of VAT on sanitary products. This is

:14:32. > :14:47.incorrect. A Treasury minister ensured that VAT was reduced from

:14:48. > :14:49.the top rate to 5% in 2001, and I hope the record can be corrected. I

:14:50. > :14:52.think we should leave the exchange think we should leave the exchange

:14:53. > :14:55.there, but if the leader wishes to reply he can do so. She made her

:14:56. > :14:56.point clearly and it is on the record, and will be in the official

:14:57. > :15:01.report. It is important to say it is not often fear to cut sentences

:15:02. > :15:10.short, because I said on zero rating. We now come to backbench

:15:11. > :15:16.business. The first item is a motion in the name of Mr Greer Graham

:15:17. > :15:22.Allen. -- Mr Graham Allen. This is the first case in which procedures

:15:23. > :15:29.have been invoked, it may be helpful if I explain what is happening. This

:15:30. > :15:34.is an identical motion to that which was debated in Westminster Hall on

:15:35. > :15:42.Wednesday the 14th of October, when the question was put in Westminster

:15:43. > :15:50.Hall, the decision of the question was challenged. As the motion was

:15:51. > :15:55.being brought before this chamber, under standing order number ten,

:15:56. > :16:01.subsection 13, I am now required to put the question on the motion

:16:02. > :16:21.without bait to move formally -- without debate. Formally move the

:16:22. > :16:26.motion under House committee. The question is and the order paper. As

:16:27. > :16:36.many as of that opinion seem-macro three. On the contrary, no. The noes

:16:37. > :16:41.have it. Could you assist me on how we can take this matter forward now

:16:42. > :16:45.that the House has expressed a strong views so that we can all

:16:46. > :16:51.discuss the issue of our House business committee, which was in the

:16:52. > :16:55.Coalition agreement, promised by the then Conservative Leader of the

:16:56. > :17:00.House, and was the remaining outstanding business of the right

:17:01. > :17:04.committee on reforming this chamber. Could you give us some advice on how

:17:05. > :17:06.we can move this forward and actually have a genuine debate on

:17:07. > :17:13.whether we need a House business committee or not? Not for the first

:17:14. > :17:18.time, possibly not for the last, I feel that the honourable gentleman

:17:19. > :17:26.flatters me. He does not require my advice. The honourable gentleman is

:17:27. > :17:37.a sellable constitutionalist -- Sarid

:17:38. > :17:42.Constitutionalist and there are number of devices where this can be

:17:43. > :17:49.debated in this chamber, and he knows that he has a fellow spirit in

:17:50. > :17:52.the honourable gentleman the Member for Wellingborough, and other

:17:53. > :17:57.members. So the matter will come back to this House, and I have a

:17:58. > :18:02.feeling he will want it to come back to this House following what has

:18:03. > :18:10.just taken place, sooner rather than later. The matter cannot be avoided.

:18:11. > :18:14.Point of order. Further to this, it may be useful to know that I had an

:18:15. > :18:20.electronic message shortly before the motion was moved that said

:18:21. > :18:27.government payroll members were instructed not to oppose the

:18:28. > :18:30.creation of a business committee. So maybe the government might bring

:18:31. > :18:44.this forward as a motion put for the House. -- before the House. If the

:18:45. > :18:52.honourable gentleman spoke with his usual sincerity, some people may

:18:53. > :19:08.think he displayed an optimism worthy of. Doctor Pangloss. I had

:19:09. > :19:13.not noticed anyone displaying any great earnestness to stick to its

:19:14. > :19:14.commitment to step the proposals for a House committee. Maybe in this

:19:15. > :19:18.parliament it will have remembered that commitment. Maybe it will act

:19:19. > :19:33.on it of its own volition, and maybe it will be congealed and harangued

:19:34. > :19:37.into doing so. -- cajoled. We now come to the debatable backbench

:19:38. > :19:48.of proposed reforms to tax credits. of proposed reforms to tax credits.

:19:49. > :19:57.I have not selected the amendment. I move the motion. Thank you for

:19:58. > :20:03.calling me and for that ruling. I wish to begin by thanking the

:20:04. > :20:10.backbench committee who not only acted quickly and giving us this

:20:11. > :20:13.debate but also decided we should have the whole day to debate this

:20:14. > :20:23.issue, giving the importance of the matter is we are discussing the many

:20:24. > :20:30.those with the money. Order paper those with the money. Order paper

:20:31. > :20:35.has been signed by a large number of honourable members from all sides of

:20:36. > :20:36.the House. First of all we wish to call upon the government to give us

:20:37. > :20:40.more data, so that we can secondly more data, so that we can secondly

:20:41. > :20:48.consider the impact of the tax credit cuts on the lower paid

:20:49. > :20:54.constituents, and thirdly, given that now there is a debate raging in

:20:55. > :20:58.this House as there is outside, but the House have an opportunity of

:20:59. > :21:03.suggesting means by which the government might mitigate these

:21:04. > :21:07.measures, although the debate has now moved so fast I do not think the

:21:08. > :21:14.Treasury benches thinking merely of matters of mitigation. In this

:21:15. > :21:21.opening contribution, I want to touch three things. First of all to

:21:22. > :21:25.congratulate the House of Lords not in causing a constitutional crisis,

:21:26. > :21:27.but giving the government a well earned opportunity to think twice

:21:28. > :21:32.about its proposals. Secondly I about its proposals. Secondly I

:21:33. > :21:38.would like to outline the data we need in this place to consider how

:21:39. > :21:42.what was the biggest change in the budget is going to impact on our

:21:43. > :21:49.introducing proposals of not near introducing proposals of not near

:21:50. > :21:54.mitigation but of reformat members are putting forward now to the tax

:21:55. > :22:00.credit proposals. First of all the lucky break that has been dealt to

:22:01. > :22:01.the Chancellor. When the Lords rejected the statutory instrument

:22:02. > :22:10.giving the government authority to go ahead with the tax credit

:22:11. > :22:16.changes, I began to pity the young adviser in the Treasury who had

:22:17. > :22:18.thought up this idea of putting in as a statutory instrument rather

:22:19. > :22:24.than in the budget itself. While there may be issues we would

:22:25. > :22:28.disagree with Lloyd George, he did have a certain wisdom in deciding

:22:29. > :22:41.how to protect money resolutions in this House from interference from

:22:42. > :22:43.the other place. The convention growing up before was reaffirmed

:22:44. > :22:47.with legislative force they are that if a budget motion goes from this

:22:48. > :22:51.House, the other place might wish to debated, but they could not

:22:52. > :23:05.young adviser who suggested a young adviser who suggested a

:23:06. > :23:17.wonderful pleas not to debate here on the floor of the House but to

:23:18. > :23:19.committee stage upstairs. Now, as committee stage upstairs. Now, as

:23:20. > :23:20.more honourable members have gone to realise the consequences of the

:23:21. > :23:25.credit changes, I began to think, credit changes, I began to think,

:23:26. > :23:27.well, maybe the official is for promotion. It gives a wonderful

:23:28. > :23:31.cover for the government to engage cover for the government to engage

:23:32. > :23:33.with us here, and with our constituents, on what might best

:23:34. > :23:36.done, both in meeting the done, both in meeting the

:23:37. > :23:43.government's target to reduce the deficit, but also to make sure that

:23:44. > :23:49.disproportionately put on those with disproportionately put on those with

:23:50. > :23:55.the weakest shoulders. It is a huge opportunity that I hope we will see

:23:56. > :24:01.the actual changes. The movement has been made since the budget debate.

:24:02. > :24:11.Secondly, might I make the plea for the data that this House requires so

:24:12. > :24:16.that it can understand what is involved for all our constituents

:24:17. > :24:21.but also particularly those strivers who get up and work, who get -- do

:24:22. > :24:23.some of the least privileged jobs in society, and who governments of

:24:24. > :24:24.successive complexion have found it successive complexion have found

:24:25. > :24:38.good that we encourage rather than good that we encourage rather than

:24:39. > :24:41.is worth remarking, you have to go is worth remarking, you have to go

:24:42. > :24:44.back to Lloyd George's debate to look at the information he provided

:24:45. > :24:49.the House on who would pay for his 1909 budget. The budget in which he

:24:50. > :24:57.enshrined in our contribution -- Constitution that it was in this

:24:58. > :24:59.place and not the other place. He provided far more information than

:25:00. > :25:05.the government provided this year on who would be affected if his

:25:06. > :25:09.budget. I know it was simpler then because he made it plain that

:25:10. > :25:12.landlords would pay for these measures and the budget would not

:25:13. > :25:20.just be distribute to the poor, but those who run in trade unions -- not

:25:21. > :25:26.in trade unions and had no one to protect them. I hope the government

:25:27. > :25:29.will withdraw in that innovation in starving the House of necessary

:25:30. > :25:39.information. What I would like to see from the government is firstly,

:25:40. > :25:44.how do we break down amongst our groups 10% of the income groups, the

:25:45. > :26:01.impact of the 4.5 billion cut in tax credits. There are three big changes

:26:02. > :26:06.the government has wrought in the government statement. It has reduced

:26:07. > :26:27.the deficit from ?460 to next April owing its 380 -- 380 million. The

:26:28. > :26:34.child element is valued at ?200,780 a year, which will be lost. This is

:26:35. > :26:42.obviously affecting different groups in our constituents, and there is a

:26:43. > :26:53.unity across the House that the necessary reduction in the budget

:26:54. > :27:00.deficit should be born on those... We need to look at the measures

:27:01. > :27:11.collectively on each decile group. Also we need to look at the type,

:27:12. > :27:17.and each year up to there to the government, many of us wish to put

:27:18. > :27:22.into the analysis four compensatory measures which the government argues

:27:23. > :27:30.will mitigate if not all, most of those changes.

:27:31. > :27:36.The PM is very one axed in telling the country that eight out of ten

:27:37. > :27:42.people, families, will be better off as the result of this budget. Eight

:27:43. > :27:49.out of ten will be better off but practically all of our constituents

:27:50. > :27:55.who draw tax credits are in the two out of ten that have been made worse

:27:56. > :27:59.off. Hopefully we will see not only the careful analysis of the cuts on

:28:00. > :28:09.individual families but also to make it the rounded and fair analysis to

:28:10. > :28:14.make use of the four elements that are mitigating forces. One is the

:28:15. > :28:20.threshold. When the minister comes to reply maybe he will be able to

:28:21. > :28:25.tell as in fact whether all of those claiming tax credits are covered or

:28:26. > :28:30.is it only something like half? I may not have the opportunity to

:28:31. > :28:36.comment on the Minister to reply later on but I have huge regard for

:28:37. > :28:41.him. I also sympathise for the addition he is in. He is defending a

:28:42. > :28:47.government beef that is actually on the move. If I can quote a president

:28:48. > :28:53.which I think we'll cheer him, those who have been in this race for some

:28:54. > :29:00.time watched Mrs T and John Major, to the statue looked and defend the

:29:01. > :29:05.policy on cold weather payments. She decided the policy was to be changed

:29:06. > :29:09.that afternoon and instructed the Minister to come along and tell the

:29:10. > :29:13.House that what he had been telling them in the morning did not actually

:29:14. > :29:21.fall but much better news was in store. I do hope that when the

:29:22. > :29:26.Chancellor who is now in listening mode is thinking about what changes

:29:27. > :29:29.he will make, that he has a generous spirit also to cover the right

:29:30. > :29:34.honourable gentleman, he will allow the honourable gentleman to make the

:29:35. > :29:43.announcement of what the changes are rather than screw any of the kudos

:29:44. > :29:49.himself. One changes the increase in the tax threshold. Is it true that

:29:50. > :29:52.only half of those who will lose out in the tax credit changes will

:29:53. > :29:59.actually be compensated or partly compensated by the increase in the

:30:00. > :30:02.tax threshold? Secondly is probably the most important measure the

:30:03. > :30:09.government will make in this Parliament on a positive front. That

:30:10. > :30:12.is the very significant increase in child care for all our constituents

:30:13. > :30:19.who have children under five, the number of hours of childcare for the

:30:20. > :30:26.rudest two-year-olds and all three and four-year-olds. Part poorest.

:30:27. > :30:33.Will increase. The minister who will come to reply has probably the most

:30:34. > :30:39.important reef of any minister and takes more responsibility for life

:30:40. > :30:42.chances. If the Minister is serious about how we make sure the life

:30:43. > :30:50.chances of those children born in the poorest households are raised to

:30:51. > :30:53.the level of those in more privileged household, we will be

:30:54. > :30:58.looking very carefully at how that extra expenditure will be spent and

:30:59. > :31:04.looking at how our poorest and youngest constituents get the best

:31:05. > :31:07.deal out of that childcare rather than the worst. The second

:31:08. > :31:11.compensatory factor is the increasing childcare which I think

:31:12. > :31:16.is the most important social measured the government is likely to

:31:17. > :31:20.introduce at this Parliament. Thirdly, following closely on the

:31:21. > :31:32.heels is the increase of the national minimum wage. I am grateful

:31:33. > :31:34.to my right honourable friend who is making a characteristically

:31:35. > :31:39.thoughtful contribution but when he comes to discuss the amelioration of

:31:40. > :31:42.the third element, will he also recognised that many of the four

:31:43. > :31:46.years are actually going further than the schedule for the up left in

:31:47. > :31:49.the national living wage and that will be a massive welcome to many

:31:50. > :31:56.across this country and have a material impact on the four elements

:31:57. > :32:01.he is discussing? Many are and some are not, hence the importance of the

:32:02. > :32:05.Chancellor to make this a statutory requirement. It does show the rule

:32:06. > :32:10.of law when it is used cleverly in that the number of those employers

:32:11. > :32:15.who previously were not interested in introducing a national living

:32:16. > :32:21.wage, when I was corresponding with them, said he would not, have now

:32:22. > :32:29.been among those who have in a sense been very welcome in jumping the gun

:32:30. > :32:34.and actually introducing the Chancellor's national living wage

:32:35. > :32:39.before the period that they must do. Isn't there another problem for

:32:40. > :32:45.another sector of employers, the public sector, a number include my

:32:46. > :32:48.own counsel, they are committed to being the leading wheat but quite

:32:49. > :32:53.clearly they do not know whether the will be extra resources made

:32:54. > :32:57.available to increase the money, the funds they have two p that along

:32:58. > :33:05.with all other public sector employers? There is clearly a matter

:33:06. > :33:09.of resources but also in the analysis that I am arguing for from

:33:10. > :33:15.the Treasury bench today, many local authorities will be paying above

:33:16. > :33:19.this level so that when we are actually looking at what the impact

:33:20. > :33:23.of the national living wage with the, those workers, in a sense, have

:33:24. > :33:29.already got that money in that peep at it. The local authorities will be

:33:30. > :33:34.limited to the amount of increase they can make in the years we are

:33:35. > :33:40.considering. That pay packet. Many workers in the public sector is with

:33:41. > :33:45.not be the beneficiaries of the living wage and the significant

:33:46. > :33:48.increase in the p that they will get will be limited to the requirement

:33:49. > :33:52.the government has laid down and maybe that is a factor the

:33:53. > :34:01.government will use in the analysis we are asking for. Which he also

:34:02. > :34:04.accept that when the Dakar is compiled there should be an

:34:05. > :34:09.indication as to the impact that these changes will have on those who

:34:10. > :34:17.are under 25 and will not be covered out the national living wage?

:34:18. > :34:21.Indeed, the V is for us to have the range of analysis which has

:34:22. > :34:24.traditionally accompanied any budget statement that any member in this

:34:25. > :34:33.House, however long they have served, has come to expect. It is

:34:34. > :34:37.the fourth factor that members of the DWP select committee have

:34:38. > :34:43.emphasised. That is, there may be some wage push as a result of the

:34:44. > :34:49.introduction of a national living wage. Will that also be taken into

:34:50. > :34:54.account in the government analysis? I am slightly sceptical on the

:34:55. > :35:00.extent of that wage push because if one looks, again this is one of the

:35:01. > :35:07.problems of actually being in this House for some time, when I was

:35:08. > :35:11.initiated the low campaign the unit to campaign for a national minimum

:35:12. > :35:18.wage, the trade union edition then was actually to officially was it.

:35:19. > :35:23.On the grounds of opposing it was that there would be a mega- bill as

:35:24. > :35:27.we re-established differentials. If we actually look at the impact of

:35:28. > :35:32.the statutory minimum wage there has been a new huge bunching, there has

:35:33. > :35:41.not been this egg increase in differentials that some people

:35:42. > :35:44.feared or expected. I did we. I can call him my right honourable friend

:35:45. > :35:50.because we have known each other 40 years. Before he leaves the question

:35:51. > :35:54.of data that government provides, because it is an incredibly

:35:55. > :35:59.complicated area there are components that would not normally

:36:00. > :36:03.be provided, one is the national withdrawal rate of any scheme that

:36:04. > :36:06.the government puts into effect. Some spokesman for the government

:36:07. > :36:14.have already said people would work their way out of 30. Some of the

:36:15. > :36:18.effects of this seem like a 93% withdrawal rate which means you

:36:19. > :36:24.cannot work your way out of poverty, which she add that to his list? I

:36:25. > :36:28.would certainly do that. I want to come back to a proposal I initially

:36:29. > :36:33.made, I did not do it because I wanted to be dragged to the state

:36:34. > :36:36.and earned on it, I was anxious to begin a debate and one of the

:36:37. > :36:41.crucial thing is if one is asking the government to change their

:36:42. > :36:46.minds, someone who had made the proposals might change their mind

:36:47. > :36:50.but I will argue that any moment. I think the net withdrawal rate for

:36:51. > :36:56.any proposal is very crucial and given that we have in this House but

:36:57. > :37:01.it intolerable that people should pay more than 45% on their income

:37:02. > :37:07.tax, he would suffer that rate of withdrawal, it is not the bad rate

:37:08. > :37:13.to aim for four Bhullar people when we add income tax, national

:37:14. > :37:17.insurance and withdrawal of tax credits and other benefits. I newly

:37:18. > :37:25.wish to underscore the point that my right honourable friend has actually

:37:26. > :37:30.made. -- merely. I am very grateful, he has been generous. Will he look

:37:31. > :37:36.at the distribution geographically of the effects of these measures

:37:37. > :37:41.given that, as a member for Birkenhead, he will low that they

:37:42. > :37:48.are very few communities with the effects would be very widespread. It

:37:49. > :37:54.will not just be proved people but poorer communities that will be

:37:55. > :37:57.affected? Thank you very much. I note that the Treasury minister who

:37:58. > :38:02.is going to apply also has an interest in improving Treasury the

:38:03. > :38:07.tussle we can understand better tax and Treasury changes. I hope the

:38:08. > :38:14.plea he is making will not fall on deaf ears. I give way. Will he also

:38:15. > :38:17.take into account that we need something that is saleable to the

:38:18. > :38:23.people who are benefiting from tax credits? When we talk about marginal

:38:24. > :38:27.rates of return and thresholds and differentials, this is the sort of

:38:28. > :38:32.language that can completely confused not only the beneficiaries

:38:33. > :38:35.but also employers. Which he make it clear in negotiations with the

:38:36. > :38:40.Treasury that we try to make this saleable and simple and try to keep

:38:41. > :38:45.the concept is simple so that people who genuinely need tax credits can

:38:46. > :38:51.clean them because there is still massive under claiming of tax

:38:52. > :38:56.credits. The is and that very neatly leads me onto what might the

:38:57. > :39:02.proposals reform be? I wish briefly, if I need, to touch on four. The

:39:03. > :39:07.first is to make a plea to the government to recognise just how

:39:08. > :39:11.quickly the whole of this debate is changing and for them to take the

:39:12. > :39:20.advantage of that. In that, I think it is worth rooting on the record

:39:21. > :39:23.that tax credit is here, tax credit payments, as he was emphasising,

:39:24. > :39:30.argue for the long run. If we began this debate back in 2010, there was

:39:31. > :39:36.talk, and use the attic talk, but almost in no time here with the a

:39:37. > :39:42.new benefit, universal benefit, that would sweep up means testing and

:39:43. > :39:49.deliver eight seamless service to our constituents. If one is truthful

:39:50. > :39:55.but gentle about universal credit, it is regressed is very modest. I do

:39:56. > :40:00.not disagree with the Secretary Of State looking back at devious errors

:40:01. > :40:07.of trying to smash the forms through whatever the costs but someone in

:40:08. > :40:13.government must look at how slow the progress of roll-out is and question

:40:14. > :40:18.whether that will ever, ever see the light of day in a full flowering. If

:40:19. > :40:23.that is true, it does raise the question of how my tax credits be

:40:24. > :40:29.reshaped given that it is not for the chop, it is you for the longer

:40:30. > :40:34.term, universal credit is not going to, in the lifetime of this or maybe

:40:35. > :40:40.the next Parliament, make tax credits redundant. I think in the

:40:41. > :40:48.debates that we had begun to have here and certainly with the public,

:40:49. > :40:52.when I was recording a programme for This Morning every time I said a

:40:53. > :40:56.word they ought the public would not understand we had to stop and start

:40:57. > :41:03.filming again, I cannot tell you how long it to! So, we do have our own

:41:04. > :41:12.language which any sense is a shorthand that is not understood by

:41:13. > :41:16.people outside the. -- there. She's beaks with great authority and

:41:17. > :41:20.experience on these matters. If I could suggest to him that one of the

:41:21. > :41:25.very straightforward concepts that all of my constituents do understand

:41:26. > :41:30.is that there is a right minded intention to get rid of taxpayer

:41:31. > :41:37.subsidised poverty pay but in doing so we cannot actually say to people

:41:38. > :41:42.on low pay we are going to impoverish you on that journey. The

:41:43. > :41:47.very simple concept is let's talk about the instruments of doing it

:41:48. > :41:52.but actually it is about getting rid of poverty pay and lifting people up

:41:53. > :41:59.so that at some future date we do not have too rely on subsidy to make

:42:00. > :42:10.it worthwhile going to work? I could not agree more. We have not had a

:42:11. > :42:14.Chancellor who has decided to do is misplaced to take into the welfare

:42:15. > :42:25.system the role that our economy takes. That leads welfare reform

:42:26. > :42:27.into new areas about the new wage productivity, particularly amongst

:42:28. > :42:36.those who are lowest paid, so one can safely accept this and how we

:42:37. > :42:47.take it forward. My first comment hand suggestion

:42:48. > :42:55.stems from the fact that the government introduce a national

:42:56. > :42:58.living wage. When the people who thought of the tax credit got to

:42:59. > :43:05.work, no one ever thought the government would bring it forward.

:43:06. > :43:12.Therefore they incorporated in the system two aspects. One was about

:43:13. > :43:25.how we subsidise and make it a more decent level, and secondly, given

:43:26. > :43:28.the lifestyle and how life takes us, that those periods where every

:43:29. > :43:35.they have children. The tax credit they have children. The tax credit

:43:36. > :43:36.first league in asking the Treasury first league in asking the Treasury

:43:37. > :43:42.bench when it is thinking about what it does in only a few weeks' time

:43:43. > :43:49.and the Autumn Statement, is whether in fact we should not grow up and

:43:50. > :43:57.accept we are going to have a national living wage, and there be

:43:58. > :44:01.two aspects of tax credits which subsidise low wages but also take

:44:02. > :44:07.some responsibility of the costs of children that should be made more

:44:08. > :44:14.clear. There would be more support in the country of tax credit was

:44:15. > :44:14.about the support of children rather than the need to subsidise poverty

:44:15. > :44:32.wages. Give way. Would my honourable wages. Give way. Would my honourable

:44:33. > :44:39.friend clarify this is about tax credits and not child tax credit,

:44:40. > :44:46.which are two different benefits? The Prime Minister seems to

:44:47. > :44:54.misunderstand the difference between them because he said during the

:44:55. > :45:03.would not be touched, but of course, would not be touched, but of course,

:45:04. > :45:11.claw-back, the amount of money you claw-back, the amount of money you

:45:12. > :45:19.the threshold in which you begin to the threshold in which you begin to

:45:20. > :45:19.claw back tax credits and the rate claw back tax credits and the rate

:45:20. > :45:20.income, you are affecting the value income, you are affecting the value

:45:21. > :45:20.of the child tax credit. That I of the child tax credit. That I

:45:21. > :45:23.agree, there are two, and there are questions about the sense of having

:45:24. > :45:31.two benefits serving the same purpose. The second proposal, my

:45:32. > :45:36.guess is many Tory MPs have made privately to the government. I

:45:37. > :45:39.cannot imagine the whips on that side are different from those on the

:45:40. > :45:43.side. And if we had been in government making this proposal, the

:45:44. > :45:52.whips on the side would have been very busy fawning members last

:45:53. > :46:01.weekend to ask what individual and members would tolerate. One message

:46:02. > :46:04.bringing them in next April was not bringing them in next April was not

:46:05. > :46:17.acceptable. That would be one of the proposals. A third and more radical

:46:18. > :46:19.one that again unites backbenchers is whether these changes to tax

:46:20. > :46:27.credit should only apply to new claimants. It is one of the problems

:46:28. > :46:33.we have of her popularity in shoving around tax payers money without

:46:34. > :46:40.the music stops and people might the music stops and people might

:46:41. > :46:42.think there was not actually think there was not actually

:46:43. > :46:48.affordable, but in the meantime our constituents have responded to the

:46:49. > :46:53.very clear messages in forms of incentives and tax credits to what

:46:54. > :47:01.we wish them to do. And I think there is a sense, I have noticed it

:47:02. > :47:06.publicly and privately is it is a different ball to say there a new

:47:07. > :47:11.contract for people not claiming tax credits may. It is a totally

:47:12. > :47:17.different ball game to actually see you have responded, you have done

:47:18. > :47:30.all expected you to do, but I'm going to clobber you know for doing

:47:31. > :47:39.so. He's absolutely correct that you cannot do the people change the

:47:40. > :47:43.I also want to say that I have made I also want to say that I have made

:47:44. > :47:46.perfectly clear what's my view is that this cannot go ahead next

:47:47. > :47:51.April, and any mitigation coming in should be for mitigation. I have

:47:52. > :47:59.made that view known to people on my side. It must be mitigation that

:48:00. > :48:07.protects the purist households, -- poorest households, which we have a

:48:08. > :48:13.lot of ink East Yorkshire. Would he accept that the government has

:48:14. > :48:16.accepted the principle he has just discussed about the changes to the

:48:17. > :48:24.system. Coming to pension changes, those who are coming to pension age,

:48:25. > :48:30.the government has not expected their expectations to be changed, so

:48:31. > :48:39.-- in receipt of tax credits? There -- in receipt of tax credits? There

:48:40. > :48:41.will be very little opposition to the government introducing these

:48:42. > :48:53.reforms the people who are not claiming tax credits it is very

:48:54. > :48:58.different when this place has helped shape peoples lives expectations

:48:59. > :49:09.under drive to all of a sudden pulled official and say they are I

:49:10. > :49:12.think people here and in the country feel strongly. Give way. On this

:49:13. > :49:17.specific issue of dealing with changes in relation to people coming

:49:18. > :49:19.into the system, does he not realise it shows the complexity of the

:49:20. > :49:25.system. Someone who is played -- paying enough to be out of the tax

:49:26. > :49:28.system may be a lot and do take the job because of it does not work out

:49:29. > :49:35.they come back into the system as a claimant. I was waiting for the

:49:36. > :49:39.Treasury bench to point out the Treasury bench to point out the

:49:40. > :49:48.difficulties with all of these moves, but it is really important

:49:49. > :49:59.that the government is in the whole. We are tying to make suggestions of

:50:00. > :50:04.how to get out of it. We will not get support from the Minister who is

:50:05. > :50:16.humility from the government would humility from the government would

:50:17. > :50:23.reinforce the requirement for this reinforce the requirement for this

:50:24. > :50:24.not to be another simple yes and no measure but it ought to be part

:50:25. > :50:31.primary legislation? If you were the primary legislation? If you were the

:50:32. > :50:37.Chancellor, you could make the Lords agreed to the new system. If it was

:50:38. > :50:38.an SI that the House cheered on its way to the other place, maybe that

:50:39. > :50:43.would be wise. If it was an SI in would be wise. If it was an SI in

:50:44. > :50:46.which there was deep disagreement which there was deep disagreement

:50:47. > :50:55.particularly on the government side to the proposal, I think it would be

:50:56. > :50:59.unwise not to do so. I give way. Isn't there also were here for a

:51:00. > :51:05.little bit of forethought and pre-emption. We're six months into a

:51:06. > :51:08.five-year Parliament. This is the first of many changes that may

:51:09. > :51:15.happen. Could he stressed that Parliament can be seen as a partner

:51:16. > :51:22.in this process, and rather than having a crisis management approach

:51:23. > :51:26.to this policy, can't we involve the Treasury Select Committee,

:51:27. > :51:29.colleagues in both houses, where the Treasury sets the object of but we

:51:30. > :51:31.say something to help them on their way? We know there has been a

:51:32. > :51:36.general election and they are entitled to get there laws, but to

:51:37. > :51:48.use Parliament as a partner rather than the constant crisis management.

:51:49. > :52:02.glorious opportunity to have a glorious opportunity to have a

:52:03. > :52:11.Chancellor to get it right, to change his image and to become a

:52:12. > :52:21.much more serious reformer on tax and benefit France. I am sure he did

:52:22. > :52:29.not want to land himself, but now he not want to land himself, but now he

:52:30. > :52:30.optimistic on the partnerships he optimistic on the partnerships

:52:31. > :52:30.can build on the way my right can build on the way my right

:52:31. > :52:31.honourable friend has spoken, but honourable friend has spoken, but

:52:32. > :52:31.also the opportunity it gives him, given that it takes into account

:52:32. > :52:32.effect of the welfare effect on the effect of the welfare effect on the

:52:33. > :52:32.wonder whether he has realised how wonder whether he has realised how

:52:33. > :52:33.significant that change is and could significant that change is and could

:52:34. > :52:43.be. If the members would allow me the fourth suggestion, which is one

:52:44. > :52:50.that I put forward and wish to attack no. This is largely to get

:52:51. > :53:03.the debate going. To take the Chancellor serious, reform should be

:53:04. > :53:11.possible to do it at zero cost, possible to do it at zero cost,

:53:12. > :53:12.possible to raise thresholds to the possible to raise thresholds to the

:53:13. > :53:12.national minimum wage at zero cost, national minimum wage at zero cost,

:53:13. > :53:13.but it will require an even greater but it will require an even greater

:53:14. > :53:18.penalty in the loss of tax credit and people above. There is not a

:53:19. > :53:26.great deal of support for the idea, but merely to stress that when we

:53:27. > :53:26.had this great huge uprising of the abolition of the 10p, the government

:53:27. > :53:33.was adamant it was not going to was adamant it was not going to

:53:34. > :53:36.big concessions, huge sums of money big concessions, huge sums of money

:53:37. > :53:42.were found at the Treasury to go were found at the Treasury to go

:53:43. > :53:44.everywhere but to help the 10p everywhere but to help the 10p

:53:45. > :53:48.people. Therefore, supposing the Chancellor did want to go down this

:53:49. > :53:54.zero cost, it is now clear he is going to put some extra money into

:53:55. > :54:01.the whole operation. -- the whole operation, it should go into those

:54:02. > :54:05.who will lose, not to us, who would benefit if the Chancellor raised the

:54:06. > :54:12.tax threshold further on increased the National Insurance threshold.

:54:13. > :54:16.Last quick point, not because I do not want to develop it further, but

:54:17. > :54:22.because I am conscious of large numbers of people wanting to

:54:23. > :54:27.participate. The government is going to give up 4.5 billion pounds in

:54:28. > :54:28.savings towards a deficit production, supplement money come

:54:29. > :54:36.from? I wish to suggest two areas. from? I wish to suggest two areas.

:54:37. > :54:43.One I have lifted from the tragedy because it is now briefing the media

:54:44. > :54:50.that one possible way of finding the actual resources, and what the Tory

:54:51. > :54:58.minimum delay in staged introduction minimum delay in staged introduction

:54:59. > :55:03.of this reform would be to have a smaller budget surplus by 2020. That

:55:04. > :55:13.certainly seems to be a possibility from the Treasury, so I have put it

:55:14. > :55:18.forward. The second proposal I have is that it is very interesting that

:55:19. > :55:25.the Chancellor has asked for views on how we might reform pension tax

:55:26. > :55:31.relief. There are huge sums of money involved here. If we abolished it

:55:32. > :55:35.overnight, and I am not advocating it, I do not think we should treat

:55:36. > :55:40.people who are higher up the income scale in the same horrible way the

:55:41. > :55:42.government was proposing to treat those on tax credits, I think people

:55:43. > :55:51.need time when government starts changing incentives, but if we do

:55:52. > :55:56.change overnight, we are talking about an extra ?34 billion. These

:55:57. > :56:01.are huge sums of money. If we put in 15% of the tax concession 31, it

:56:02. > :56:07.would be over 15 billion. I merely raise this issue because I think the

:56:08. > :56:21.government in this consultation about pension tax relief has not

:56:22. > :56:25.really got up to speed with this. Government had given up the ghost of

:56:26. > :56:42.which would take people off means which would take people off means

:56:43. > :56:45.save more so that they would not be save more so that they would not be

:56:46. > :56:47.in old age. The government is now in old age. The government is now

:56:48. > :56:47.introducing a basic state pension, introducing a basic state pension,

:56:48. > :56:50.which will for the first time ever have that achievement. I make way.

:56:51. > :57:06.LAUGHTER I have never seen that before! I

:57:07. > :57:09.thought if you were on your feet you had the right in the House and you

:57:10. > :57:18.were probably speaking, but there we are.

:57:19. > :57:23.Sometimes Government are very slow at looking how one really radical

:57:24. > :57:29.reform will knock on other parts of their programme. I do not think the

:57:30. > :57:33.Government is taking into account just what resources they begin to

:57:34. > :57:39.unlock, now that we have a pension that is going to come in, which will

:57:40. > :57:45.for the vast majority of people give them a pension that takes them off

:57:46. > :57:50.means-tested assistance. Therefore, the reasons for bribing people to

:57:51. > :57:58.save in particular ways really falls to the ground, and that does begin

:57:59. > :58:01.to unlock huge, huge sums of money. So, I haven't come making proposals

:58:02. > :58:09.without suggesting where money might come from. But I want to end, and I

:58:10. > :58:14.want to end on what these tax credit changes mean to our constituents if

:58:15. > :58:16.we are not successful today in convincing the Government very

:58:17. > :58:21.radically to rethink their proposals.

:58:22. > :58:27.Talking to constituents, and talking to other people's constituents in

:58:28. > :58:31.television programmes, you cannot come away without being incredibly

:58:32. > :58:36.conscious of the fear that people are suffering, about what these

:58:37. > :58:42.effects will actually do to them. People who we should be saluting and

:58:43. > :58:49.cheering, are sick with worry about how they are going to make ends

:58:50. > :58:53.meet, whether they are going to lose their homes, whether the mortgages

:58:54. > :58:58.can be, the interest on mortgages be repaid. Let alone the whole issues

:58:59. > :59:04.ability protecting in a proper way their own children. While it is

:59:05. > :59:09.important that we some time use technical language as a shorthand, I

:59:10. > :59:13.am sure in this debate we are never ever going to forget what this is

:59:14. > :59:18.about. This is about our constituents, about some of our most

:59:19. > :59:22.vulnerable constituents, and about a whole number of our vulnerable

:59:23. > :59:26.constituents, for their efforts in working we should be salutes and not

:59:27. > :59:29.handing out this sentence which terrifies them. So for this reason,

:59:30. > :59:35.I hope the House is going to come to one mind at the end, and pass our

:59:36. > :59:41.resolution and we get a responsive, very clear response from the

:59:42. > :59:45.Treasury bench. Before I call the next speaker I

:59:46. > :59:52.will impose a time limit of seven minutes. There are 30 members trying

:59:53. > :59:55.to catch the chair's eye plus three front bench contribution, we will

:59:56. > :00:02.start with seven minute, with that Steven mechanic part land.

:00:03. > :00:04.Thank you. It's a great pleasure to follow the Right Honourable member

:00:05. > :00:10.for Birkenhead who has spoken a lot of sense so far, I would like to

:00:11. > :00:14.join his thanks in thanking the backbench committee for allowing us

:00:15. > :00:19.to is a full day to debate the issue. I fully support the motion

:00:20. > :00:23.put down and I was delighted to put my name to it. I voted against the

:00:24. > :00:29.statutory instrument because I could not support the Government. It

:00:30. > :00:32.wasn't an easy thing to do. Am a Conservative Party MP, I did not

:00:33. > :00:38.feel I could support the Government on the statutory instrument. I

:00:39. > :00:42.support a high wage and low tax, a low welfare society, but I believe

:00:43. > :00:46.the tax credits need to be reformed. They cost over ?30 billion a year.

:00:47. > :00:50.They have snowballed. I have families who come to my surgeries

:00:51. > :00:56.all the time who are very upset about the fact that no two families

:00:57. > :00:59.are treated the same. There are huge overpayment, underpayment is an

:01:00. > :01:03.incredibly complicated system. A billion is lost a year in fraud.

:01:04. > :01:06.There are huge issues with the tax credit system but the problem was

:01:07. > :01:12.the impact it was going to have on those families with the lowest

:01:13. > :01:16.incomes, so, I accept, within the manifesto we said we would reduce

:01:17. > :01:20.the bell fair bill by 12 billion that will is something we immediate

:01:21. > :01:25.to look at. I will come on to that later. When we look at unemployment

:01:26. > :01:31.benefit, a lot the debate is often round how well fair is made up of

:01:32. > :01:37.unemployment. They make up a small proportion of the actual benefits

:01:38. > :01:42.bill, in total. For example, the welfare cap benefit cap reducing

:01:43. > :01:47.from 26,000 a year to 23,000 a year, which is popular on the doorsteps

:01:48. > :01:52.during the election campaign. It will save less than ?100 million

:01:53. > :01:59.because it affects less than 100 Sir Philip Hampton in the whole of the

:02:00. > :02:05.-- 100,000 families in the whole of the UK. I stood up for those

:02:06. > :02:09.families, that I believe Labour have left behind. I believed those

:02:10. > :02:13.families who occupy the centre ground I want to occupy the Prime

:02:14. > :02:16.Minister and the Chancellor spoke in their conference speeches about

:02:17. > :02:19.wanting to occupy that centre ground, those families who get up,

:02:20. > :02:23.and go to work, they are trying to do the right thing, they are trying

:02:24. > :02:26.to support their families, they are trying to work themselves out of

:02:27. > :02:30.poverty. They are the families that I support and the families I am

:02:31. > :02:35.happy to fight for. They are the families that I voted against the

:02:36. > :02:39.statutory instrument for, in my constituency. And across the United

:02:40. > :02:46.Kingdom. Why have I been so vocal on this? I cannot believe the impact of

:02:47. > :02:49.the changes was fully understood. The Right Honourable member for

:02:50. > :02:54.Birkenhead gave a good critique. One of the thes I want to focus on is

:02:55. > :03:01.the reduction in the threshold, where tax credits you can apply for

:03:02. > :03:09.them and receive them. The reduction from ?6420 down to ?3850, that is an

:03:10. > :03:12.instant ?1200 cut. Anybody who earns over 4628 pound will be hit

:03:13. > :03:18.straightaway. It is far too up many of a blunt instrument for me. So, I

:03:19. > :03:22.have used the example of a teaching assistant earning maybe ?11,000 a

:03:23. > :03:26.year. They have restrictions on the hours they can work. They do a

:03:27. > :03:29.valuable job, educating the next generation of society, future

:03:30. > :03:33.leaders in business and everything else. I am very proud of the work

:03:34. > :03:39.they do. I make no bone, my wife is a primary school teacher. I am proud

:03:40. > :03:44.of her. My sister a secondary school teacher. They do a great job. How

:03:45. > :03:48.are they expected to go out and make up that, be about a ?1400 cut to

:03:49. > :03:55.their income? It is not possible. And for me, it was too much of a cut

:03:56. > :04:01.all in one go. The tapering from 41% up to 48, that was only, that adds

:04:02. > :04:06.only 2 or ?300 in terms of a cut. The original threshold is the ?1200

:04:07. > :04:09.cut. That is the bit I cannot support, that is the bit, why I had

:04:10. > :04:15.to vote against the statutory instrument. Why I have not been able

:04:16. > :04:20.to support the Government in the lobbies since then. Happy to give

:04:21. > :04:26.way. I thank my honourable friend for giving way. Does he agree that a

:04:27. > :04:29.basic test of the fairness of the introduction of this package is that

:04:30. > :04:33.the painful part of the package, such as the reduction in the

:04:34. > :04:39.threshold that he highlights shouldn't be introduced so up many

:04:40. > :04:43.more quickly than the pollstive that the increase in the living wage and

:04:44. > :04:50.personal allowance and other benefits that form part of the

:04:51. > :04:54.package? I agree with the honourable gentleman as members can imagine.

:04:55. > :04:58.For me, I would like to point out on that current mitigation, if we talk

:04:59. > :05:02.about this teaching assistant or the cleaner, people in society who are

:05:03. > :05:10.doing a great job for us, the people we need to reach out to. Those

:05:11. > :05:13.people who are going to have to... You mention teaching assistants and

:05:14. > :05:19.cleaners, I should probably declare an interest at this point, because I

:05:20. > :05:24.was a teacher who was in receipt of tax credit, and at the point with

:05:25. > :05:29.the scheme came into being, I was a single parent, and only that I had

:05:30. > :05:34.the tax credits, I was able to remain in employment. It was a very

:05:35. > :05:38.difficult time for me, and I was faced with the chance of actually

:05:39. > :05:43.going into unemployment, and being with my child or remaining in work.

:05:44. > :05:47.So it is not just teaching assistants and cleaner, thereby

:05:48. > :05:52.others in society as well. -- there are. I a degree. I am using

:05:53. > :05:54.the example of teaching assistants because I think it's a classic

:05:55. > :05:58.example and people who are constricted in the hours they are

:05:59. > :06:02.able to work, they can only have so many hours a week, for so many days

:06:03. > :06:06.throughout the year. In terms of the current mitigation, there has been

:06:07. > :06:11.talk about free childcare for three and four-year-olds and how that

:06:12. > :06:16.helps set it off. If you don't it doesn't help whatsoever. There is

:06:17. > :06:19.talk about the personal income tax allowance is increasing from 11,000

:06:20. > :06:23.to 12,500. I would like to see it go up to 15,000 by the end of the

:06:24. > :06:29.Parliament. If you don't earn more it is of no use to you. If you are

:06:30. > :06:33.on ?11,000 you are being hit with the 1200 cut. It is punishing people

:06:34. > :06:36.who are going out there and trying to work and do the right thing. That

:06:37. > :06:41.does not sit right with me, so that is something I could not support.

:06:42. > :06:48.Happy to give way. Thank you. Would he feel a taper

:06:49. > :06:54.sort of system would better suited for this particular policy? That is

:06:55. > :06:58.a possible solution, I am sure the Treasury is looking into it. I would

:06:59. > :07:04.like to work with the Treasury in how they can do this mitigation, and

:07:05. > :07:10.hope they can listen. Give him a job. I would like to point out I

:07:11. > :07:14.don't want a job. In reality, getting back to these people on

:07:15. > :07:17.?11,000 a year and thereabout, who will be particularly punished by

:07:18. > :07:19.this policy as it currently stands, I am pleased that the Chancellor is

:07:20. > :07:24.listening and though I don't agree with the House of Lords in what they

:07:25. > :07:28.are done, I accept it brought us to this particular position. I want the

:07:29. > :07:31.debate not to be focussed on constitutional issues but focussed

:07:32. > :07:35.on the loss of income for those people who won't have an ability to

:07:36. > :07:40.make that income up else where. That is where I want it focussed. How can

:07:41. > :07:43.we do this? We talk about the changes in personal income tax

:07:44. > :07:48.allowance, changes from 11 thousand thousand pounds to 12,500. That will

:07:49. > :07:52.cost about ?9 billion. One of the points I wanted to make was we spend

:07:53. > :07:57.over 00 billion a year as a vt go. It is as if we can't find this 4.4

:07:58. > :08:02.billion that will be the end of life as we know it, which we know is not

:08:03. > :08:09.going to be the case. There is a way it can be mitigated, dealt with, so

:08:10. > :08:14.how do we reform tax credits without punishing these who try to do the

:08:15. > :08:17.right thing. Three billion of that 4tttese who try to do the right

:08:18. > :08:22.thing. Three billion of that 4.4 billion saving is that original

:08:23. > :08:27.change in thresholds. Talking about the initial ?1200 cut. That broad

:08:28. > :08:33.instrument that punishes, you. Whether you are earning just over

:08:34. > :08:36.6,00 pounds or ?19,000. You are getting hit with that cut. It has to

:08:37. > :08:41.be mitigated, it has to be changed. We have to find a way round that

:08:42. > :08:45.original ?1200 cut. It is too much, too far. There is talk about a

:08:46. > :08:53.discretionary hardship fund. I would welcome that for the people who are

:08:54. > :08:58.struggling happy to give way. No, sorry. There has been a lot of

:08:59. > :09:05.talk about National Insurance. I would like to spiel not pay any on

:09:06. > :09:11.the first 11,000 of their income. It the first 11,000 of their income. It

:09:12. > :09:15.would be too expensive. For me it is how... Suggest to me if you take

:09:16. > :09:19.4ttt to me if you take 4.4 billion off people earning the lowest

:09:20. > :09:22.incomes, that is 4.4 billion straight out the economy because you

:09:23. > :09:25.are taking them out of their pockets and they use that money and go out

:09:26. > :09:28.and spend right away. So every pound you take off them you are taking out

:09:29. > :09:32.of the shops and the local economies. It doesn't seem to make

:09:33. > :09:40.sense. I want to work with the Treasury. I can be a prodigal son, I

:09:41. > :09:49.am sure I can be returned to the fold. Can I join you? You are a bit

:09:50. > :09:52.more than I am. There is huge fear out there in the public and we need

:09:53. > :09:56.to come forward with some proposals as fast as we can. I do want to urge

:09:57. > :10:01.the Treasury to talk to us, to listen to us, to work with us,

:10:02. > :10:04.because I warn the Treasury, if I think that don't come forward with

:10:05. > :10:08.mitigation proposals we are going to continue to raise the issue and we

:10:09. > :10:12.are going to continue trying to ensure we look after those poorest

:10:13. > :10:17.in society. I accept Britain has 1 % of the world's population, generates

:10:18. > :10:21.4% of the world's income and spends 7% on welfare spending. It is too

:10:22. > :10:28.much. I am proud of the Conservative Party, I will continue to put

:10:29. > :10:32.fairness at the heart of it. It is a real privilege to follow the

:10:33. > :10:37.contribution from the member for Stevenage. Other than that last

:10:38. > :10:41.sentence or two, I thought it was a tremendous speech. I do hope that

:10:42. > :10:45.the Treasury bench is listening to the words that he uttered, because I

:10:46. > :10:49.think there is widespread agreement within this chamber, and out new the

:10:50. > :10:55.country, about the points that he made. He made a very detailed

:10:56. > :10:59.analysis of the situation, and made some sensible suggestions, that I

:11:00. > :11:05.think we can all support, so I hope you are able to return to the fold,

:11:06. > :11:08.because we would like to see the Chancellor dig himself out of this

:11:09. > :11:12.hole he has created for himself. He has certainly got himself in a real

:11:13. > :11:17.situation here, we are fascinated to Woolwich how he gets himself out of

:11:18. > :11:24.it. -- to watch. I think the Lords did him a favour there. I think had

:11:25. > :11:29.this whole thing pass, the anger in this nation, these changes, would be

:11:30. > :11:32.something we not seen, certainly in my adult life, and I think the

:11:33. > :11:38.Government in a sense is being let off the hook now, in that it has an

:11:39. > :11:42.opportunity to dream up some mitigation and try and put this

:11:43. > :11:47.awful mess right, but they need to hurry up, because the fear of what

:11:48. > :11:49.is going to happen and the uncertainty about what is going to

:11:50. > :11:59.happen, is already out there. I spent Saturday morning in

:12:00. > :12:03.Darlington talking to residents about the changes to tax credits.

:12:04. > :12:07.And they already know what is happening. They are already

:12:08. > :12:11.worried, they are already looking at their incomes, they are already

:12:12. > :12:15.changing decisions and plans and financial commitments for the

:12:16. > :12:20.future, and making decisions on employment already. So the

:12:21. > :12:24.government needs to get on with this and come up with some decent ideas

:12:25. > :12:31.that will actually work and mitigate against the very, the damage that is

:12:32. > :12:35.being done that was so cleverly and successfully outlined by the member

:12:36. > :12:44.for Birkenhead when he proposed this debate. I will give way. Isn't one

:12:45. > :12:49.of the major problems the speed in which the tax credits cut is coming

:12:50. > :12:54.in, balanced with the speed with the national minimum wage will rise, as

:12:55. > :12:57.was said to me, it feels like they are removing the life belt before

:12:58. > :13:04.the lifeboat has arrived. I think that will be one of the quotes of

:13:05. > :13:13.the day, that is a very good way of putting this. I am speaking here on

:13:14. > :13:18.behalf of the 7200 families in my constituency who care for the 3900

:13:19. > :13:25.children who will be losing out as a result of these changes. And we

:13:26. > :13:27.really are, when the government brings forward whatever ideas it is

:13:28. > :13:35.going to come up with in mitigation, we must have the information we need

:13:36. > :13:40.in order to assess whether the idea is to mitigate the impact are

:13:41. > :13:44.actually going to be effective. The member for Birkenhead outlined the

:13:45. > :13:50.data that he would like to see, and I would like to see a regional

:13:51. > :13:57.distribution of this. I suspect that communities like the one I represent

:13:58. > :14:00.where wages are low, will be impacted more heavily than other

:14:01. > :14:05.parts of the country. I am also interested in the gender impact of

:14:06. > :14:09.these changes, and I would like to see how much debt the government

:14:10. > :14:15.believes is being serviced by incomes that are in part made up of

:14:16. > :14:21.tax credits. I suspect that there are mortgages, there are car loans,

:14:22. > :14:27.debt are other personal debts, credit cards, being paid back on the

:14:28. > :14:30.back of tax credits. I thank my honourable friend for giving way,

:14:31. > :14:36.but the problem is about to get worse, because there are people on

:14:37. > :14:42.zero hour contracts that cannot get tax credits. I think he makes a very

:14:43. > :14:48.good point and I think it is for the Treasury bench to respond to that

:14:49. > :14:53.intervention and I look forward to hearing the reply. This is about

:14:54. > :14:57.children, and it costs an enormous amount to raise a child as many of

:14:58. > :15:04.us here will know from personal experience. I have read it can take

:15:05. > :15:10.between 100 and ?150,000 to raise a child, and child benefit, it did not

:15:11. > :15:14.meet ten or 15% of that cost for those people who claim it. This is a

:15:15. > :15:25.contribution from towards the cost of raising children. I will give

:15:26. > :15:31.way. There are some children who will benefit from these changes,

:15:32. > :15:34.they are the children of dead millionaires, who will get ?1

:15:35. > :15:38.million extra tax-free, does she think that is the fair transfer,

:15:39. > :15:47.from the poorest to the rich in the country? No, I do not, that is a

:15:48. > :15:50.pertinent point. I know we will be challenged as to whether money can

:15:51. > :15:56.be found to make this change, you can change it and find it from

:15:57. > :16:01.changes to tax relief in pensions and changes in inheritance tax which

:16:02. > :16:06.we remain opposed to. I would like to illustrate the points I have made

:16:07. > :16:09.in the limited time we have been given. We have had quite a

:16:10. > :16:13.high-level discussion so far and this is actually about real people.

:16:14. > :16:18.Very rarely can you find a constituent who is willing to have

:16:19. > :16:21.their name and personal information, particularly about a financial

:16:22. > :16:30.issue, shared in the House of Commons. But I have had no

:16:31. > :16:33.difficulty at all in finding people in Darlington who are willing to

:16:34. > :16:37.have their name and details to become, they would see it, as

:16:38. > :16:42.becoming the poster people for these campaigns because they are so angry

:16:43. > :16:46.about what the government is trying to do to them. Becky in my

:16:47. > :16:53.constituency, she lives in the red Hall estate. She earns around

:16:54. > :17:03.?16,500 per year. She is single parent and her son is eight years

:17:04. > :17:09.old. She stands to lose ?1950 tax credits per year. She said to me

:17:10. > :17:13.that she is already struggling, she has difficulty paying for essentials

:17:14. > :17:19.like heating and electricity will stop she will not seek a change to

:17:20. > :17:22.her salary when the wages increase. And she will not benefit from the

:17:23. > :17:28.childcare changes because her son is eight years old. Eight-year-olds, I

:17:29. > :17:38.can tell the Minister, no cheaper to run than a 4 -year-old. Amen! She

:17:39. > :17:41.has already had to cut out extras, she can no longer buy herself

:17:42. > :17:47.clothes and the reduction in income will have to come from the money she

:17:48. > :17:52.spends on food or heating her home. The government, this is her words,

:17:53. > :17:57.the government have told us that working was the way forward out of

:17:58. > :18:02.poverty and yet these changes will put me and my son into poverty. The

:18:03. > :18:09.very real choice she will have to make is between heating and feeding

:18:10. > :18:14.her son, but it is also going to be, for many people, between working and

:18:15. > :18:20.not working. And that is what concerns me the most. I want

:18:21. > :18:24.everybody who can work in my constituency to get out and get a

:18:25. > :18:30.job. Because it is good for them and it is good for their kids. But it

:18:31. > :18:34.should never, ever, ever be, you should never be better off on

:18:35. > :18:41.benefits than you are in work. And that will be the effect of this

:18:42. > :18:45.change. I will give way. I am so grateful for giving way. Her speech

:18:46. > :18:52.follows in the tradition of Eleanor Rathbone, who was here from 1929 in

:18:53. > :18:54.the earliest of parliaments as a woman, and campaigned for fan in the

:18:55. > :19:01.earliest of parliaments as a woman, and campaigned for constituents is

:19:02. > :19:05.because in this country, we have topped up incomes understanding that

:19:06. > :19:09.position for poor people and children actually four successive

:19:10. > :19:15.governments. Churchill extended the system on family allowances. She

:19:16. > :19:20.makes a fantastic speech. But in her last point, does she also accent

:19:21. > :19:26.that people will take one, two, three jobs, and we will have

:19:27. > :19:29.latchkey kids raising themselves? I am grateful for that information, I

:19:30. > :19:40.wish he had made it a little bit shorter! I am speaking on but half

:19:41. > :19:45.of the cooks, cleans, shop assistants, shop staff, call centre

:19:46. > :19:48.workers and factory workers. This government has got to take the

:19:49. > :19:57.opportunity that it has been granted by the other place and use that

:19:58. > :20:00.opportunity to put this right. Thank you, Madam Deputy Speaker. It is a

:20:01. > :20:05.pleasure to speak in this debate and can I congratulate the member for

:20:06. > :20:09.Birkenhead for securing the debate in support of others. This is an

:20:10. > :20:15.opportune moment to discuss this in more depth, and possibly with eight

:20:16. > :20:18.degree of unanimously across the benches, because this is a conflict

:20:19. > :20:22.area that needs to be looked at carefully. We have heard talk of the

:20:23. > :20:27.need for immediate mitigation. Really what we need to do is look at

:20:28. > :20:30.this issue again. 18 years ago, the Right Honourable member for

:20:31. > :20:37.Birkenhead was asked to think the unthinkable, tried to do so and was

:20:38. > :20:43.properly slacked for his efforts. This is as corrugated now as it was

:20:44. > :20:49.-- and was promptly sacked for his efforts. We need to look very

:20:50. > :20:52.carefully at creating a system that supports working families and people

:20:53. > :20:55.who are raising children, that supports people who want to do the

:20:56. > :21:01.right thing. We need to create a system which does not penalised

:21:02. > :21:05.those buried people due to very high reduction rates and a change that

:21:06. > :21:09.would undoubtedly penalised the poorest workers in society. I find

:21:10. > :21:15.myself in race into this issue feeling disappointed to say the

:21:16. > :21:18.least that I am not in agreement with my government, the first five

:21:19. > :21:21.years in this place, I think the changes we brought forward to the

:21:22. > :21:25.welfare state, the way in which we tried to make work pay for people

:21:26. > :21:28.who were willing to go out and contribute to their communities and

:21:29. > :21:33.look after their families, I was proud of those changes. The most

:21:34. > :21:36.moving events of my time in Parliament was when I actually

:21:37. > :21:44.visited a Tesco store in Toxteth, and I have said this before, and I

:21:45. > :21:48.met people who were there on a DWP effort to get people back into work.

:21:49. > :21:52.And the pride and passion that those individuals had and the fact that

:21:53. > :21:55.they were now working and supporting their own families was testament to

:21:56. > :21:59.the changes that we were making and the fact that those changes were

:22:00. > :22:04.making a real difference. There is no doubt the tax credits, whether we

:22:05. > :22:07.like them or not, and the system had undoubtedly ballooned out of

:22:08. > :22:10.control, but whether we like to tax credits or not, they are an

:22:11. > :22:15.important element of supporting those very workers who are willing

:22:16. > :22:20.to work but who have wages who are not competitive. We come to a

:22:21. > :22:24.situation in which we had a Budget which was important in many ways.

:22:25. > :22:27.The decision to introduce a new minimum living wage is a decision we

:22:28. > :22:31.should all applaud but there is clearly a discrepancy between the

:22:32. > :22:36.timing of the changes to the new living way, for example, and the

:22:37. > :22:40.changes to the tax credit system. There is no balance to the way in

:22:41. > :22:44.which wages will increase and the fact that the tax credits will be

:22:45. > :22:49.withdrawn immediately. I welcome the fact that the Treasury is allowing

:22:50. > :22:52.time for the new living wage to settle in. I represent a

:22:53. > :23:03.constituency of small businesses and self traders, I have the highest

:23:04. > :23:06.proportion of self-employed people in my constituency. The small

:23:07. > :23:10.businesses understand we need to move higher wage economy and they

:23:11. > :23:13.need to pay their staff properly. Many of them take pride in the fact

:23:14. > :23:19.that they pay above the minimum wage as a main means of keeping staff in

:23:20. > :23:21.place. But the small businesses appreciate the fact that the

:23:22. > :23:24.government is giving them time to adapt and change their businesses

:23:25. > :23:30.and business models in order to be able to pay their staff more. It is

:23:31. > :23:34.therefore in my view difficult to understand why we were not able to

:23:35. > :23:37.give tax credit recipients the same time to adapt and change into the

:23:38. > :23:42.situation we were proposing. The decision to cut so quickly and so

:23:43. > :23:50.deeply was clearly problematic and the response in both houses has

:23:51. > :23:54.showing people were concerned. In terms of how do we move forward, the

:23:55. > :23:59.one thing we have to be aware of is we need to educate mothers of this

:24:00. > :24:04.house. I think the worst example of a crass comment in this issue was

:24:05. > :24:09.the Conservative MP who stated quite clearly that if somebody loses ?30

:24:10. > :24:15.per week, they simply need to go out and work an extra three hours. I was

:24:16. > :24:22.genuinely shocked by that comment because with an 80% marginal

:24:23. > :24:27.reduction, an individual on ?10 per hour would need to find 15 hours

:24:28. > :24:32.work to make up that loss. Where we have that kind of comment coming

:24:33. > :24:36.from members who claim to understand their constituents, we need to

:24:37. > :24:40.despair. We need to understand the trap that we have. I was proud of

:24:41. > :24:44.the fact that universal credit was trying to reduce the marginal rate.

:24:45. > :24:48.I was proud of the fact that when I sat on the welfare bill committee,

:24:49. > :24:52.it was stated categorically by the minister that the aim would be to

:24:53. > :24:56.reduce even further the marginal reduction rate, where funds allowed.

:24:57. > :25:01.And the Prime Minister stated categorically that the Conservative

:25:02. > :25:06.Party should be as concerned, even if not more concerned, about

:25:07. > :25:12.marginal eduction rates of 95p that we inherited than the 50p high rate

:25:13. > :25:19.of tax. It was very disappointing to see that incentive be changed as we

:25:20. > :25:22.saw in these proposals. We need to look carefully at what message we

:25:23. > :25:26.are sending to people when we say to them, go out and work an extra

:25:27. > :25:30.couple of hours, but we will take 80% of your efforts. That is

:25:31. > :25:34.something we need to be careful about. That is why when the talk

:25:35. > :25:39.about mitigation, it is short-term response. Long-term, we need to to

:25:40. > :25:44.to about the whole system. -- look at the whole system. I have had

:25:45. > :25:47.numerous conversations with ministers, I am grateful to the

:25:48. > :25:55.Minister on the government bench, who called me up and made my

:25:56. > :25:59.difficulties in a long queue on the roads in Wales more bearable by

:26:00. > :26:03.discussing tax credits with me. The Treasury have shown they are willing

:26:04. > :26:07.to listen. We need to make sure in the long term that we look carefully

:26:08. > :26:10.at how we create a system which is much more likely to support working

:26:11. > :26:14.families in a way which is constructive, but in the short-term

:26:15. > :26:20.he stated clearly that we should look carefully at how we can deal

:26:21. > :26:23.with his ?4.4 billion gap in the government finances. I do take the

:26:24. > :26:27.issue of the deficit seriously. One thing we need to think about is the

:26:28. > :26:32.way in which 70% of all the benefits from the increased personal

:26:33. > :26:36.allowances have gone to the highest paid in society, 70% has gone to the

:26:37. > :26:45.half who are in the richest side of the society. We need to ask clearly

:26:46. > :26:47.whether we can, in view of the fact that we are desperate to find 4.4

:26:48. > :26:50.billion, we need to ask, can we justify an extra 9 billion to

:26:51. > :26:55.increasingly personal allowance? That could mitigate in the

:26:56. > :27:00.short-term. But we need long-term plan as well.

:27:01. > :27:06.He makes a very important point about how little people keep for

:27:07. > :27:10.every pound extra they earn. I seem to recall that the Prime Minister

:27:11. > :27:15.once took to task Gordon Brown for that very issue. It is on film and

:27:16. > :27:19.you can look at it on YouTube. It is important about making work pay that

:27:20. > :27:22.people feel for every extra hour they work they are making a

:27:23. > :27:26.difference to their progression in their working lives. The starting

:27:27. > :27:30.point nor this debate is the Chancellor's ill formed proposals to

:27:31. > :27:34.reform Working Tax Credit. The truth is the distribution aspect of the

:27:35. > :27:39.tax credit cuts are severely regressive. It has shown that the

:27:40. > :27:44.national living wage touted as a solution to this at best undoes 20%

:27:45. > :27:50.of the damage. Today what I want to start with, is how the story really

:27:51. > :27:56.begin, because the story begins in 1997, when Labour came to power, the

:27:57. > :27:59.only help for families was child benefit, a married person's tax

:28:00. > :28:04.benefit and a child personal allowance. A small number of people

:28:05. > :28:07.with disabilities also received a disability working allowance. The

:28:08. > :28:11.Government then found that there were high rates of poverty among

:28:12. > :28:15.families with children and tax credits were thought to be a new

:28:16. > :28:19.mechanism to support those families into work as the best route out of

:28:20. > :28:23.poverty. The evidence is strong. That the more far-reaching tax

:28:24. > :28:28.credits and the introduction of help with childcare costs transformed the

:28:29. > :28:33.prospects for millions of families. One consequence was, one outcome was

:28:34. > :28:39.that the lone parent employment rate Rose, that until 2014 it is the

:28:40. > :28:43.highest on record. 65.7%. That is amazing and of course, a vast

:28:44. > :28:47.majority of the lone parents are women. Another outcome was that the

:28:48. > :28:54.tax credits reduced child poverty. DWP confirm in the first decade of

:28:55. > :28:58.tax credits child poverty fell dramatically as 1.1 million children

:28:59. > :29:02.were lifted out of poverty to 2010. Secondly they gave a benefit to

:29:03. > :29:06.employee, they are not simply a state hand out to bad employer. When

:29:07. > :29:10.most are setting wanes they are blind to the private tax credit

:29:11. > :29:15.details of their employees. What is more, they cannot pay one worker one

:29:16. > :29:21.wage and the next person a different rate because they claim tax credits.

:29:22. > :29:26.In most cases, the employer does not know. As a resolution report found

:29:27. > :29:31.this week, if the Government removes tax credits, the employer will not

:29:32. > :29:33.immediately step in to fill that void, regardless of the rises in the

:29:34. > :29:38.national minimum wage or the national living wage. The Government

:29:39. > :29:43.must know this, and it is wrong to suggest that the only beneficiaries

:29:44. > :29:47.of tax credits are bad employers. Second, we have to challenge and

:29:48. > :29:53.address the Chancellor's claim that the dost of tax credits have risen

:29:54. > :29:57.from 1 billion to 30 billion today. This summer the Chancellor stated

:29:58. > :30:00.the original tax credit system cost 1.1 billion in its first year, this

:30:01. > :30:08.year that cost has reached 30 billion. This claim is bogus.

:30:09. > :30:16.Articles by Declan Gaffney and Tim Blackwell show it relates to only

:30:17. > :30:20.the first reforms which began in October 199 and only covering three

:30:21. > :30:25.months of tax credit payment for a typical claimant. In its first full

:30:26. > :30:29.year, 2000-2001. The cost was more like 10.5 billion, not 1.1 billion.

:30:30. > :30:36.Which brings me to the question, of why the tax credit bill has

:30:37. > :30:38.increased. First, tax credits, a number of previously separate

:30:39. > :30:44.benefits and were more generous, I acknowledge that. But the tax

:30:45. > :30:47.credits we refer to today include childcare costs introduced in 2003

:30:48. > :30:52.which no previous Government had met, so yes, it was about

:30:53. > :30:56.challenging poverty pay, but as my honourable friend from Darlington

:30:57. > :30:59.has referred to in her speech, it was addressing for those many

:31:00. > :31:04.families, particularly women, the lone parent women, even if they were

:31:05. > :31:07.on a reasonable page wage, whatever reasonable is they couldn't afford

:31:08. > :31:11.to work because the amount of their wage that was being paid out in

:31:12. > :31:17.terms of childcare costs. Grateful. She is making a powerful

:31:18. > :31:21.case, does she agree with me that the important element about tax

:31:22. > :31:27.credits was it was a means of getting particularly lone parents

:31:28. > :31:33.into work. And Gingerbread have done aical I can lacing that a 5% rise

:31:34. > :31:37.saves the Treasury ?436 million. So it is a benefit to the wider

:31:38. > :31:40.economy, in itself, just simply getting lone parents in particular

:31:41. > :31:45.into the workplace. I agree. That is another thing

:31:46. > :31:49.missing from the debate. Is what are the impacts of the changes on other

:31:50. > :31:52.sectors of the economy, and the wellbeing and the economic

:31:53. > :31:58.opportunities it provides to people, through being in work. As I said,

:31:59. > :32:04.the employment rate has gone up to 67%, which is brilliant. And the

:32:05. > :32:08.worry is with these changes will it go back wards rather than improving

:32:09. > :32:13.further. The total tax credits families reserve relates to their

:32:14. > :32:18.income. The recession of 20082009 did have a dramatic effect on wages,

:32:19. > :32:21.as wages fell, many of those families, either qualify for tax

:32:22. > :32:27.credits or saw their tax credit rise. It is notable that during the

:32:28. > :32:34.John Major recession, unemployment rose to a peak of 10.7% by 1993.

:32:35. > :32:38.Whereas in the recession of 2008-9, many employers reduced hours or

:32:39. > :32:42.didn't increase pay in order to keep staff in, who. I sort of understand

:32:43. > :32:45.why they did that. I think in this House there were debates about how

:32:46. > :32:49.we did appreciate employers were trying to deal with the difficult

:32:50. > :32:56.situation but hold on to people in work. But, the resulting factor was

:32:57. > :32:59.more people who claim tax credits or their tax credit contribution rose

:33:00. > :33:04.in accordance with that. The other important fact, remember what I said

:33:05. > :33:09.about the John Major recession, in that recession, in the last

:33:10. > :33:13.recession, as a result of a number of factors and employers keeping

:33:14. > :33:18.people in work, unemployment only rose to 8.5%. Recent figures show

:33:19. > :33:23.the number of employees learning less -- earning less than the living

:33:24. > :33:27.wage has risen. Holding people in work, but those very same people

:33:28. > :33:32.needing more support through tax credits, this isn't a conspiracy,

:33:33. > :33:39.this is a reality of an economy adjusting to finding itself in

:33:40. > :33:43.difficult situations, and the state being there as a safety net to help

:33:44. > :33:46.them. Without tax credits the rise in unemployment in that most serious

:33:47. > :33:49.recession we have experienced could have been up many worse. I think

:33:50. > :33:53.that goes a long way to explain the cost of tax credits today. This

:33:54. > :33:57.week, given the voting in other place the Chancellor says he is in

:33:58. > :34:01.listening mode. We must address how we support people into work and to

:34:02. > :34:07.make progress to improve their living standards and the life

:34:08. > :34:09.chances of their children. I agree with everything my right honourable

:34:10. > :34:14.gentleman friend for Birkenhead said today. I won't repeat that. Let me

:34:15. > :34:17.add a final few points, in moving forward, I think there is a number

:34:18. > :34:22.of things that have to happen. First, the Government must be

:34:23. > :34:26.straight about the figures relating to tax credits, only then can we

:34:27. > :34:30.have a sensible conversation, second, the Chancellor needs to

:34:31. > :34:34.provide a proper assessment of the impact of any new proposals on

:34:35. > :34:38.incentives or disincentives to work for those who receive tax credit, I

:34:39. > :34:41.ask the Chancellor if he stood up for working people why this wasn't

:34:42. > :34:45.published with his last proposal. He didn't answer and that is because I

:34:46. > :34:50.feel he is afraid to face the facts. Third, the Chancellor needs to ask

:34:51. > :34:55.what any impact new proposals will have on child poverty. Fourthly, we

:34:56. > :34:58.need to look more widely across departments, at what support

:34:59. > :35:05.actually helps people to get into work, stay in work, and make

:35:06. > :35:09.progress in work. I founded the first all party group on childcare

:35:10. > :35:14.when I came into this place 18 years ago. It is still nod good enough for

:35:15. > :35:18.many working families. This easy are the questions I need answers for,

:35:19. > :35:21.for the 5300 families who are worried about the future of their

:35:22. > :35:25.tax credits and their ability to hold their head up high and say, I

:35:26. > :35:29.am in work, helping to support my children.

:35:30. > :35:38.It is a great pleasure to speak in the debate and can I thank the

:35:39. > :35:44.honourable member for Birkenhead to for initiating this debate. It has

:35:45. > :35:49.been very good. I also want to thank the contributions from the

:35:50. > :35:54.honourable member for Stevenage because I think, I, dare I say I am

:35:55. > :35:57.getting more mature in years, I am a chairman of a Select Committee, I

:35:58. > :36:02.can afford to be a bit more independent, but like I said, it is

:36:03. > :36:06.not always easy in furthering your ambitions in the party, if you stand

:36:07. > :36:10.up for what you believe to be right. I think we are standing up for what

:36:11. > :36:16.we believe to be right, because as far as I am concerned it is

:36:17. > :36:22.absolutely fundamental that people that work are better off than those

:36:23. > :36:29.that don't. I think if we get this wrong, it is absolutely for me, it

:36:30. > :36:31.is something I believe in. Everything I believe about the

:36:32. > :36:35.Conservative Party is in order to encourage people into work, and then

:36:36. > :36:41.they will be better off. And if we are not at all careful, this policy

:36:42. > :36:45.will drive people back on benefit, and it will go in the opposite

:36:46. > :36:50.direction that what we want, where we want to take people.

:36:51. > :36:54.I very much support what the Chancellor has done with taking

:36:55. > :36:58.millions of people out of tax, raising the threshold, halving the

:36:59. > :37:04.deficit and driving the economy. Creating vast amounts of employment

:37:05. > :37:08.in this country. I come from a constituency that only had 1%

:37:09. > :37:16.unemployment. But of course, what that hides is that we have got a lot

:37:17. > :37:22.of employment, but I have, let me check the actual figure, the average

:37:23. > :37:28.salary in Tiverton an Honiton for full and part-time employees is

:37:29. > :37:32.18,000 o 18700. The number of families claiming working and tax

:37:33. > :37:37.credits is over 22%. In addition the average house price

:37:38. > :37:40.in Tiverton and Honiton is round 190,000, because we have quite high

:37:41. > :37:45.prices in the constituency, because it is a beautiful part of the

:37:46. > :37:53.country to live. But we have got to make sure that we support those

:37:54. > :37:56.people that are working hard, in our constituencies across the cub tri.

:37:57. > :38:00.That is why this -- country. That is why this opportunity we have we need

:38:01. > :38:07.to take it and do something real with it. What, I disagree entirely

:38:08. > :38:11.with what the House of Lords did, but what it has done, as it has

:38:12. > :38:18.given us an opportunity to look again. And can I be so bold to say,

:38:19. > :38:22.Madam Deputy Speaker, you can have as many spin-doctors and clever

:38:23. > :38:28.people with figures as you like, but this the end, when it comes to the

:38:29. > :38:33.fact that when you on a low income, and you are relying on tax credits,

:38:34. > :38:37.when you know that money has been taken away from you, it is

:38:38. > :38:42.absolutely real. And so I think the Government and the Chancellor are in

:38:43. > :38:45.this, on this occasion, and I hate to have to say it does have to be

:38:46. > :38:50.absolutely certain as to how many people are going to be affected and

:38:51. > :38:57.what we are going to do about it. Because again, I very much support

:38:58. > :39:00.the national living wage. But again, the Government and the Chancellor

:39:01. > :39:06.needs to give all those small company, because many of us have

:39:07. > :39:12.very much small companies in our constituencies, which will need

:39:13. > :39:15.help, in order to be able to pay the national living wage. As people get

:39:16. > :39:21.more in their pockets and more from their employment. That is when we

:39:22. > :39:26.can reduce the tax credits, that is when we can reduce, if you like, the

:39:27. > :39:31.state subsidy on employment, because we all get that, we all know what

:39:32. > :39:36.has to be done, but we cannot do its in the speed that we are doing it,

:39:37. > :39:42.and drive perhaps millions of people and take money away from them, and

:39:43. > :39:48.of course, you know, in, it is simple arithmetic, if you are on a

:39:49. > :39:53.low salary, those ?1,000 or ?2,000, or ?1300, whatever it might be, is a

:39:54. > :39:58.huge amount of your actual disposal income. It is about disposable

:39:59. > :40:02.income. That is what we must remember, and so I am optimistic, I

:40:03. > :40:07.have always been optimistic in my life, because I believe teleis a

:40:08. > :40:11.solution. I believe there is is a solution because the Chancellor is a

:40:12. > :40:16.very clever man and he should listen and I am sure he is listening, and

:40:17. > :40:21.he will come back to this chamber, with some proposals, that will show

:40:22. > :40:26.that working people, hard-working people, whether they are cleaning,

:40:27. > :40:29.or whether they are classroom assistant, where whether they work

:40:30. > :40:33.in the Health Service, the private sector, whether they work in the

:40:34. > :40:40.tourism industry or whether they work on farms. They are all very

:40:41. > :40:45.hard-working people. We must be a party and a government that supports

:40:46. > :40:50.the hard-working person, and we have done that, up until now, and we have

:40:51. > :40:54.just lost our way, a little. And I think we can come back out of the

:40:55. > :41:06.wilderness, and I think we can put this right. I will give way to the

:41:07. > :41:10.honourable gentleman. I couldn't agree the honourable

:41:11. > :41:15.gentleman more and that is why I am here in politics today. It is to try

:41:16. > :41:18.and make that happen, and that is why I think there is many of us on

:41:19. > :41:23.this side of the House are prepared to stand up and be counted because

:41:24. > :41:29.it is right we do so, because our constituencies expect it and I

:41:30. > :41:33.believe that we can and yes, the Chancellor will say, we must

:41:34. > :41:42.eradicate the deficit. Yes, we must, but if we are six months later or

:41:43. > :41:46.dare I say it, a year late, in -- eradicating the deficit, people, I

:41:47. > :41:52.believe, will understand. If you are taking away yes I will give way.

:41:53. > :41:59.On that point you are absolutely right, and the thing that struck me

:42:00. > :42:03.so much in the last week, I have received hundreds of e-mails and

:42:04. > :42:07.letters. When we talk about debt and deficit, it is not the government's

:42:08. > :42:11.debt and deficit, it is the people's debt and deficit. I have

:42:12. > :42:15.had countless letters from wealthy people telling me that this is

:42:16. > :42:19.wrong. It is absolutely right that they are part of this conversation

:42:20. > :42:23.as well about how we repair the damage to our economy. It is their

:42:24. > :42:28.vote as much as the person who is losing money from tax credits. I

:42:29. > :42:32.thank her very much for her intervention. It is right, to coin a

:42:33. > :42:39.phrase, we are in it altogether. You must make sure that when we reduced

:42:40. > :42:43.the deficit, which we are doing very correctly, and we will get to

:42:44. > :42:46.balance the books as ultimately we must balance the books, you cannot

:42:47. > :42:49.go on borrowing forever because it will be our children and

:42:50. > :42:53.grandchildren and great-grandchildren, at this rate,

:42:54. > :42:58.that will pay that off. It has got to be fair as we do it, and I repeat

:42:59. > :43:02.and I do not apologise for repeating the fact that work must pay, and we

:43:03. > :43:10.must make sure that those in low-paid work can carry on their

:43:11. > :43:17.lives. On this issue of government debt, can I remind the government

:43:18. > :43:21.benches, 375 billion of that debt has been created as a consequence of

:43:22. > :43:25.quantitative easing. The Bank of England had to step in and use

:43:26. > :43:33.monetary policy measures because of the failure of fiscal measures by

:43:34. > :43:40.the government. I will get into an argument... I do not wish to get

:43:41. > :43:42.into an argument with him about quantitative easing, I would argue

:43:43. > :43:49.that we would not have the employment we do have at the moment

:43:50. > :43:53.as a result of those tools, we might have overused it but that is an

:43:54. > :43:57.argument for history. That is where we have got the economy smoothly and

:43:58. > :44:00.in the right direction. I make this final plea, and I am sure other

:44:01. > :44:05.members across the whole chamber will make this plea, please,

:44:06. > :44:11.Chancellor, look at this, look at how we mitigate, and how we actually

:44:12. > :44:18.raise the national living wage so that we get people earning more as

:44:19. > :44:22.we take away those tax credits so people will accept that. What we

:44:23. > :44:30.must not do is take away the tax credit because it is not a crime, to

:44:31. > :44:34.be lowly paid. If you really is not. -- it really is not. This is

:44:35. > :44:38.something I fundamentally disagree with and we have got to put it right

:44:39. > :44:45.because the Conservative Party and discovered's reputation is very much

:44:46. > :44:50.at stake. Thank you, Madam Deputy Speaker. I have to begin by saying

:44:51. > :44:53.it is not normally my business to welcome Conservative contributed to

:44:54. > :44:57.this house, but I have to add knowledge and welcomed the

:44:58. > :45:05.contributions from the Honourable members for Stevenage, Aberconwy and

:45:06. > :45:09.Tiverton and Honasan -- Honasan. I think it goes without saying that

:45:10. > :45:14.the Honourable members on these benches agreed with every thing they

:45:15. > :45:17.had to say, they were brave and welcome contributions, perhaps more

:45:18. > :45:24.welcome on this side than on the Treasury bench. I hope perhaps that

:45:25. > :45:27.is going to probably be the only time I will welcome Conservative

:45:28. > :45:32.contributions in this Parliament! I am sorry that the SNP amendment in

:45:33. > :45:35.my name and my right honourable friends was not accepted, but I'm

:45:36. > :45:42.still very grateful to have further opportunity to set out the SNP's

:45:43. > :45:46.opposition to these cuts. And I will devote a large part of my speech and

:45:47. > :45:51.time this afternoon to address the proposals put forward by the Right

:45:52. > :45:56.Honourable member for Birkenhead. We have much to agree on. His proposals

:45:57. > :46:01.are marginally better than those brought forward by the Chancellor.

:46:02. > :46:04.But they do not protect all low-income households from the

:46:05. > :46:09.Chancellor's ideological wrecking ball to Social Security. I am glad

:46:10. > :46:14.the Right Honourable member has stated that he was putting these

:46:15. > :46:19.forward speculatively, and I hope we can seek a greater consistency, it

:46:20. > :46:23.is fair to say, from the official opposition in challenging the Tory

:46:24. > :46:29.tax credit cuts. As I think we can do much better than this. I think we

:46:30. > :46:33.form a very strong and united opposition on Tuesday because we

:46:34. > :46:40.formed with one voice against these cuts. Since Monday, we have had

:46:41. > :46:43.three different positions, Madam Deputy Speaker, from the Labour

:46:44. > :46:47.Party on tax credits. They pushed a delay in the other place on Monday

:46:48. > :46:53.night but opposed slapping them outright, and then to their credit,

:46:54. > :46:57.joined the SNP completely opposing the cuts on Tuesday, and now today

:46:58. > :47:00.we are presented with a watered down opposition which will steal remove

:47:01. > :47:07.significant amount of money from low-income households. Thank you for

:47:08. > :47:12.giving way. Would he agree with me that having families rely on an

:47:13. > :47:17.unelected chamber to protect their tax credits from this government is

:47:18. > :47:23.a ridiculous situation to be in in 2015? Would he further agree that

:47:24. > :47:30.the interests of Scotland's low-paid would be far better served if all of

:47:31. > :47:38.welfare was devolved to the Scottish Parliament immediately? I welcome

:47:39. > :47:44.his intervention. Under the member's plan, every household under

:47:45. > :47:50.a certain level would continue to lose out. Under his plan, a

:47:51. > :47:58.full-time single earner household with two children and an income of

:47:59. > :48:02.?15,000 would still lose out by ?700 annually. The level by which tax

:48:03. > :48:10.credits were removed thereafter would be 65p in the pound. We are

:48:11. > :48:15.still going to see the budget being balanced on the back of low-income

:48:16. > :48:21.households. I put a number of proposals forward, and I think when

:48:22. > :48:24.he is perhaps in this case a little longer, words like mitigate our

:48:25. > :48:30.words used to unite people with different views, even those that

:48:31. > :48:37.want to see the whole withdrawn. My dad asked him to follow -- might I

:48:38. > :48:44.ask him to follow carefully, I asked him yesterday, would Scotland, even

:48:45. > :48:47.after existing, not waiting for any further devolution, would Scotland

:48:48. > :48:54.be able to use its revenue raising powers to compensate everyone in

:48:55. > :48:58.Scotland should these changes go through? And the reply from the

:48:59. > :49:02.secretary of state was, yes. So are we not going to see in Scotland, the

:49:03. > :49:06.Scottish Government using revenue raising powers to actually not

:49:07. > :49:11.merely put motions on the order paper, but make sure nobody in

:49:12. > :49:18.Scotland discusses from these tax credit cuts? It is worth saying that

:49:19. > :49:21.the SNP is, I would hope the Labour Party is looking to work with the

:49:22. > :49:28.SNP wherever possible to oppose cuts that are out owing to impact on low

:49:29. > :49:32.income families. -- going to impact. I do make my contribution today as

:49:33. > :49:35.best as possible on the basis of consensus, because we need to work

:49:36. > :49:40.together to effectively oppose what is coming down the line from the

:49:41. > :49:44.Conservative government. With regards to the issue of using

:49:45. > :49:47.tax-raising powers, the fiscal framework has not been agreed. We

:49:48. > :49:50.have no idea what is going to be coming forward, we have no idea

:49:51. > :49:57.whether it is going to be possible to raise the taxes in order to do

:49:58. > :50:01.so... So I think it is a slight obfuscation from the Right

:50:02. > :50:04.Honourable member to use that example. The House of Commons

:50:05. > :50:08.library briefing, so we are still going to see the budget being

:50:09. > :50:14.balanced on the backs of low-income households. I hope after today... I

:50:15. > :50:20.thank him for giving way, he will remind the House that the Scottish

:50:21. > :50:22.Government has already spent ?100 million in mitigating existing

:50:23. > :50:29.attacks on the poor from this government. Absolutely, ?100 million

:50:30. > :50:34.on the bedroom tax and a further ?40 million in ensuring that the council

:50:35. > :50:40.tax cuts did not affect low income households in Scotland as they have

:50:41. > :50:45.done in England. I hope that after today, Labour will return to where

:50:46. > :50:50.it was earlier this week, when it stood side-by-side with the SNP in

:50:51. > :50:53.opposing Tory cuts. The SNP will oppose the ideological, regressive

:50:54. > :50:57.and punitive tax credit cuts with every opportunity open to us and we

:50:58. > :51:01.do so again today because we realise the damage these will cause to

:51:02. > :51:05.family incomes, levels of poverty and child poverty in these isles,

:51:06. > :51:09.and to social cohesion in every community in Scotland. The Scottish

:51:10. > :51:14.Government analysis task asked today at First Minister's Questions in the

:51:15. > :51:21.Scottish Parliament shows that 250,000 households in Scotland will

:51:22. > :51:24.lose on average ?1500 from April. And thereafter, with the changes

:51:25. > :51:31.fully in demented, this could rise to an average of ?3000 per

:51:32. > :51:32.household. These changes are fundamentally regressive,

:51:33. > :51:37.disproportionately targeting those in low-income households and posh

:51:38. > :51:44.and -- punish them for what this government's ideological obsession

:51:45. > :51:47.with austerity. The SNP stood on a manifesto which was fundamentally

:51:48. > :51:51.anti-austerities but stood on a responsible path for bringing down

:51:52. > :51:54.the deficit. We have argued for a 0.5% increase in spending per year

:51:55. > :52:02.in this government which would have released money to invest in capital

:52:03. > :52:04.projects and another measure to narrow it income in quality. Our

:52:05. > :52:12.plan would have brought the budget deficit down to 2% at the end of the

:52:13. > :52:17.Parliament but at the same time protecting public senses. It was

:52:18. > :52:19.backed by an IMF report from June this year that highlighted that

:52:20. > :52:29.reducing income in a quality not only leads to reduced -- income

:52:30. > :52:35.inequality not only leads to reduced inequality but also improves growth.

:52:36. > :52:39.I am pushed for time, I know my colleagues are looking to get in. As

:52:40. > :52:43.well as being socially destructive, as an extension of the IMF's

:52:44. > :52:47.thinking, this policy is economically incompetent as well.

:52:48. > :52:52.There was no mention of these wholesale cuts to tax credit in the

:52:53. > :52:54.Conservative manifesto. There were just two references to tax credits,

:52:55. > :52:59.neither referenced anything like these proposals we have in front of

:53:00. > :53:02.us now. I reiterate that this was the central plank of this

:53:03. > :53:07.Chancellor's burst budget since the election. He has based all of his

:53:08. > :53:11.sons on the back of these cuts. They would have merited a passing

:53:12. > :53:18.reference or at least a hint on what down the line. The Chancellor's

:53:19. > :53:24.summer budget was a prized example of offices -- obfuscation,

:53:25. > :53:28.suggesting that these cuts in tax credits would be mitigated by a rise

:53:29. > :53:36.in the living wage is nonsense, the full rise in the national living

:53:37. > :53:40.wage but not coming until four years after the tax credit cuts. Even when

:53:41. > :53:48.it does come in, it still will not mitigate the tax credit cuts. Why

:53:49. > :53:54.did the government decided to undermine and sabotage the real

:53:55. > :53:56.minimum living wage campaign by labelling their minimum wage as

:53:57. > :54:00.such? I would like to address some of the language that has been used

:54:01. > :54:05.over this issue. Many of us have been focusing on impacting working

:54:06. > :54:09.household and lambasting the fact that many working households will be

:54:10. > :54:16.dragged into the body from the tax credit cuts. I have been as guilty

:54:17. > :54:20.as others for this as I attempt to show that the government's rhetoric

:54:21. > :54:25.on making work pay is a sham when we look at these cuts. There should be

:54:26. > :54:31.no distinction for working or known working households who are in

:54:32. > :54:35.poverty or are living in low incomes, we cannot be dragged into

:54:36. > :54:40.the rhetoric of deserving or non-deserving poor, nobody deserves

:54:41. > :54:43.to be living in poverty. Describing hard-working families or the working

:54:44. > :54:47.poor is unhelpful, we do not know the circumstances by which these

:54:48. > :54:51.people are unable to work, and we should not be judging them in the

:54:52. > :54:57.way that some on the oppositions benches are, where, thereby the

:54:58. > :55:00.grace of God go I. None of us know where we may find ourselves in the

:55:01. > :55:05.circumstances when we are out of work. We should be working to

:55:06. > :55:07.address poverty whenever it is manifested and whenever it will be

:55:08. > :55:14.worsened as it will be by this Chancellor's tax credit cuts. It is

:55:15. > :55:20.a privilege to speak in this debate. I1 of the co-sponsors of the debate

:55:21. > :55:25.but the entire credit of the idea it belongs to the right honourable

:55:26. > :55:30.member for Birkenhead. He rightly identified that what we needed was a

:55:31. > :55:35.cross-party, less partisan, as it turns out, non-binding debate, which

:55:36. > :55:40.will allow everybody to explore these issues properly in the

:55:41. > :55:43.national interest without being feted by feelings of joining one

:55:44. > :55:48.side or another in the playground of politics. The result has been very

:55:49. > :55:54.good, this has been the best debate so far on this subject of a number.

:55:55. > :55:59.But it does fall on us all to be honest about it. This policy was a

:56:00. > :56:02.mistake. One can only think that, because I do not think anybody in

:56:03. > :56:08.any party in this house would deliberately, have impoverished the

:56:09. > :56:16.working poor, with dependent families. I do differentiate in this

:56:17. > :56:20.context, I am afraid. That was simply not intended, I am sure. The

:56:21. > :56:25.problem was, it was compounded by the... Not for the moment. It was

:56:26. > :56:30.compounded by the method taken of taking eight statutory instruments,

:56:31. > :56:34.so it is not amendable, and not having enough information, not

:56:35. > :56:37.having a proper impact statement. For five members of this debate so

:56:38. > :56:43.far have made that point. Had it been amendable and it had been prime

:56:44. > :56:46.legislation and there was proper information available from the

:56:47. > :56:49.government, this would not have got to the House of Lords in its current

:56:50. > :56:53.form, it would have been reformed in the south and that is what should

:56:54. > :56:58.have happened. I subscribe to the government's wished to others the

:56:59. > :57:02.books by 2020, I think that is an eminently sensible and responsible

:57:03. > :57:06.game but I also subscribe to the view that we need to protect the

:57:07. > :57:08.poor at all costs. The problem is, how do we identify what the policy

:57:09. > :57:17.does? I trieded to find some example for

:57:18. > :57:23.which he could assess both sides of the argument. I offer my thanks by

:57:24. > :57:27.the way, to the Chancellor's PPS, in helping with that, who was very

:57:28. > :57:34.helpful. I was able to put some of the points he made in defence of the

:57:35. > :57:38.policy to the library. I will pick out a couple of examples, as to what

:57:39. > :57:43.the impact of this policy was. The worst case example I could find was

:57:44. > :57:48.that of a single working single parent, with two children, who

:57:49. > :57:54.without the mitigating effectses could have been ?2,000 a year worse

:57:55. > :57:59.off. In virtually every year, an unbelievable sum of money to take

:58:00. > :58:03.off a family that is already poor. Under the circumstances, in which

:58:04. > :58:12.they are eligible for the mitigation, in particular, housing

:58:13. > :58:17.benefit, that can be reduced, reduced, to 700-round about ?700.

:58:18. > :58:21.The fine detail is unreliable. But ?700 virtually every year again for

:58:22. > :58:28.the next four or five years. Remember, the great battle when the

:58:29. > :58:33.other side was in power, over the 10% rate, was over sums a quarter of

:58:34. > :58:36.that. The great battles over the poll tax were of sums that size. I

:58:37. > :58:43.remember them too well. The impact on a family which is already on the

:58:44. > :58:49.poverty line by definition, is unspeakable. And unthinkable. I

:58:50. > :58:53.speak as somebody who grew up in a poorer era, I can remember children

:58:54. > :58:56.being hungry on Friday when the bills were too big or it was too

:58:57. > :59:03.cold and the heating costs were too high. So that is what we are dealing

:59:04. > :59:12.with here. There are three possible strategies. Before he moves on to

:59:13. > :59:18.his three possible strategies he touched on the housing benefit. Is

:59:19. > :59:20.that not again of the issues with this policy somebody receiving

:59:21. > :59:23.housing ebenefit would see mitigation in the current system.

:59:24. > :59:29.Somebody who has bought their own property would not? That is exactly

:59:30. > :59:35.right. PMQ thinksome who has their own house are better off. Many in

:59:36. > :59:41.this category are people who have fallen into it and get out later.

:59:42. > :59:44.It's a serious consideration, ?2,000, it is an untenable thought

:59:45. > :59:48.that somebody with two children to support and on less than 20,00

:59:49. > :59:57.pounds a year themselves, so I am going to separate the strategy into

:59:58. > :00:02.three, the roam for Birkenhead said four. One possible is we shift the

:00:03. > :00:07.burden elsewhere. Lord Lawson said the same in the House of Lords,

:00:08. > :00:11.during the debate there. That is possible. But I am not going

:00:12. > :00:17.to, elaborate on it because I think there are better ways. The second

:00:18. > :00:23.one is to find savings elsewhere. Now, here I did very much disagree

:00:24. > :00:26.with the right honourable gentleman for Birkenhead, in his almost

:00:27. > :00:30.encouragement of the Chancellor to go hunting for the pensioner pound,

:00:31. > :00:34.because it won't be today's pensioner's pound he will go hunting

:00:35. > :00:39.for it is tomorrow's. By taking out the, taking out the tax benefits of

:00:40. > :00:43.investing in pensions and undermining what we have left of our

:00:44. > :00:47.private pension scheme. I am protected, virtually all my pension

:00:48. > :00:50.is paid for, but it's the next generation that have to worry about

:00:51. > :00:57.that. This would be an unwise route to go. I give way. I thought I

:00:58. > :01:01.thought my argument would have more appeal because it was a free market

:01:02. > :01:04.one. That when Governments have guaranteed a minimum, it is not our

:01:05. > :01:08.business to put our sticky fingers in other people's lives to tell them

:01:09. > :01:12.how they should save or not save. Once you have a minimum pension

:01:13. > :01:17.agreement, to everybody, how people save, when they save, how they save,

:01:18. > :01:22.is not a question for this House. I won't go too far down the route. I

:01:23. > :01:28.will say to him this, for middle class pensioner, one of the highest

:01:29. > :01:32.effective income tax rates of 55% on people who have saved a lot for

:01:33. > :01:36.their pension and gone above the lifetime allowance, so I think we

:01:37. > :01:39.have to be careful. If you let the Treasury at that deferred income,

:01:40. > :01:44.they will take as much as they can. So I just, I think it is not a route

:01:45. > :01:51.which is wise. The third option which is probably the winner this,

:01:52. > :01:55.it will not be by itself, is to stage the cuts, the right honourable

:01:56. > :01:59.gentleman also lit upon this. To match movements in minimum wage and

:02:00. > :02:05.living wage, so that people do not lose. After all, the Government's

:02:06. > :02:08.figures for 2020 broadly look like they balance. They broadly look like

:02:09. > :02:11.they balance. They are not perfect. We have to work through the

:02:12. > :02:16.mitigation, this is where we have the impact statement again. But

:02:17. > :02:20.broadly they balance and they do two things, one they protect the working

:02:21. > :02:29.poor, but on the other hand they also achieve the deficit reduction.

:02:30. > :02:36.And that is vital. Because if we hit that deficit reduction by 2020, as

:02:37. > :02:41.my right honourable friend spoke earlier, said, this is, each year's

:02:42. > :02:44.saving, each four billion a year is not critical. It is less than 1% of

:02:45. > :02:48.the economy. It is not critical. The real critical issue is how the fans

:02:49. > :02:53.shall markets see it. And they don't care what the trajectory is from

:02:54. > :02:56.here to 2020, just the fact that we get there is good enough. --

:02:57. > :03:01.financial. We don't need to worry about the 4 billion a year, we do

:03:02. > :03:05.need to worry about the final outcome, so my argument would be

:03:06. > :03:09.that we should cut the tax credits in steps, minimum, in steps with

:03:10. > :03:14.minimum wage and living wage. The criterion is what is important here,

:03:15. > :03:19.the criterion that the Government must meet is that no losses for the

:03:20. > :03:24.least well-off, in any of those three intervening years. No losses

:03:25. > :03:28.the least well-off. The poorest, the working poor, the dependents cannot

:03:29. > :03:33.afford to lose one pound, and so that is the test the Government has

:03:34. > :03:36.to meet. After all, I was never a great fan of the minimum wage but

:03:37. > :03:41.one of the things that persuaded me it was worthwhile. I have taken two

:03:42. > :03:44.interventions I will lose time. One of the things that persuaded me was

:03:45. > :03:50.social data that showed it cut crime. It led to a reduction in

:03:51. > :03:55.crime. We must not lose sight of the social impact of these things, the

:03:56. > :03:59.distress on stall, the break up. Pushing people to food bank, towards

:04:00. > :04:04.worst, towards loan shark, pushing people into petty crime. There is a

:04:05. > :04:09.cost on those too. The IFS said to the committee that

:04:10. > :04:13.the Government could hit the 2020 target but, on a staged route. So

:04:14. > :04:21.that is what we should do. That is want we should aim for, we can

:04:22. > :04:27.achieve the fiscal target and still remain faithful to Conservative one

:04:28. > :04:33.nation aim, which after all has been the lite motive of the last few

:04:34. > :04:36.moneys for us. If we do, then the Chancellor would have gone reason to

:04:37. > :04:42.be proud of his achievement P Thank you.

:04:43. > :04:46.It is, it is very rewarding and refreshing to follow the honourable

:04:47. > :04:49.gentleman in his comments but also other speakers today, if ministers

:04:50. > :04:56.take anything from what has been said today in this debate, it is a

:04:57. > :05:02.cry to just pause for a moment, deliberate upon the way that

:05:03. > :05:06.proposed changes will impact on many working families, and particularly

:05:07. > :05:09.people within our xhoo communities as well, and to work with

:05:10. > :05:13.Parliament, to work with the Select Committee, to work with the ideas

:05:14. > :05:18.that have being put forward. I don't have all the solutions today, but I

:05:19. > :05:22.think the appeal made by the right honourable gentleman opposite, that

:05:23. > :05:29.in, in effect it is political version of the Hippocratic oath,

:05:30. > :05:33.trying to do good to constituents or do no harm before moving ahead with

:05:34. > :05:39.the policies. I think the evidence is clear. I thank the roam for

:05:40. > :05:43.Birkenhead in laying out so very well some of the analysis of the

:05:44. > :05:50.problem that confronts the Government in the proposals it has

:05:51. > :05:53.brought forward. But some of the possible solution, there are some

:05:54. > :05:58.possible solutions there. But it is clear as day, as the minister goes

:05:59. > :06:02.away and speaks with other ministers and cabinet colleagues that he needs

:06:03. > :06:05.to take this back and rethink it. It is coming from right across the

:06:06. > :06:10.benches here, right across the benches. There has been talk today

:06:11. > :06:15.about lost sheep wanting to return to the flock, I would suggest those

:06:16. > :06:18.lost sheep are in some ways on the sun lit Uplands, what they are

:06:19. > :06:22.saying is come and join us up here. It is not they are lost, they can

:06:23. > :06:26.actually see the way forward here, which need to make sure that we are

:06:27. > :06:33.doing no harm to our constituents. Let me explain I am sure the

:06:34. > :06:39.minister is very aware of the impact of this, within my own constituency,

:06:40. > :06:46.the number of working families currently claiming tax credits is in

:06:47. > :06:54.excess of 4,000 families. The number of working families with children

:06:55. > :06:58.claiming those tax credits, is nearly 33,500. The number of

:06:59. > :07:05.children in those families receiving tax credits as part of working

:07:06. > :07:10.family, is nearly 6,000 children. That is why my mail bag at the

:07:11. > :07:14.moment are full of people who are terrified of what is coming down the

:07:15. > :07:22.track. They are terrified for good reason. It is not because of unreal

:07:23. > :07:29.expectations of what might happen, they know, they have seen the

:07:30. > :07:34.analysis. They have read it, they have read the analyses in

:07:35. > :07:39.Conservative papers or support in papers, not in my news letters or

:07:40. > :07:43.those submited by the Rowntree Foundation or the Children's

:07:44. > :07:47.Society. They see the analysis of them and their families. If you look

:07:48. > :07:50.another the impact. Mention has been made about how this impacts on

:07:51. > :07:54.different communities and it is certainly the case it does have a

:07:55. > :07:58.differential effect. Let me lay out the effect here in Wales. The number

:07:59. > :08:03.of working families in Wales claiming tax credits, that will be o

:08:04. > :08:09.taken chalet affected by this, directly in their -- potentially

:08:10. > :08:14.affected be this. It is over 176,000 families. Over 250,000 families with

:08:15. > :08:18.children, a, we cannot do this. It is a quarter of a million children

:08:19. > :08:22.in Wales, will with after -- affected by this because of what we

:08:23. > :08:26.are doing to their family, because of what we are taking away from them

:08:27. > :08:30.directly. It is clear as day, that we have to change our way on this

:08:31. > :08:36.policy, but lot me look at one particular aspect of this, where it

:08:37. > :08:41.hits really hard. We know on average, a fifth of women's income

:08:42. > :08:46.is made up of welfare payments, and tax credit, compared to round a

:08:47. > :08:53.tenth for men. Benefits make up twice as much of women's income than

:08:54. > :08:58.it does of men. Women... In many of those sectors we have talked about

:08:59. > :09:02.already, the low paid sector, including hospital, in retail when

:09:03. > :09:07.we go out and enjoy ourselves and have that coffee down as we are in

:09:08. > :09:12.our shopping excursion and so on we are typically going to be served by

:09:13. > :09:16.women than men, in care, in domiciliary care, in all thoef those

:09:17. > :09:20.professions, they are more likely to be working part-time, and in those

:09:21. > :09:26.low paid sector, if we look at those areas that we often say we respect

:09:27. > :09:30.so much, the people who work in it, those areas like health and social

:09:31. > :09:34.care, nearly 80% of the people who work in those sectors will be women.

:09:35. > :09:41.You can see where this is going, minister. We are hitting directly at

:09:42. > :09:45.those who are most unable to go out and find another job, another few

:09:46. > :09:49.hour, some other way of support for them and their family and their

:09:50. > :09:53.children. We go right at the most vulnerable here within our

:09:54. > :09:59.community, and in huge number, huge numbers. Analysis by the Resolution

:10:00. > :10:04.Foundation suggests one million single parents in work will be left

:10:05. > :10:10.?1,000 a year worse off. All of this has to surely just shout out to the

:10:11. > :10:15.ministers there has been an almighty cataclysmic mess here, made of this,

:10:16. > :10:20.in going forward at a rate of knots. Slow down, listen to what has been

:10:21. > :10:24.said, work with Parliamentarian, work with outsaid agencies who work

:10:25. > :10:27.in the front line, with some of these people who will be affected.

:10:28. > :10:30.But work with the Select Committees to take it forward. This is too

:10:31. > :10:35.difficult an issue for the Government to do on its own. The

:10:36. > :10:40.purpose of this, yes, to make work pay, excellent, but then it has to

:10:41. > :10:46.pay for everybody. Everybody, not just some. At the moment, this could

:10:47. > :10:50.impact on a community, it is going to be devastating and it will wash

:10:51. > :10:55.right through not only those individual families but into the

:10:56. > :11:00.communities themselves because this will have an economic knock on in a

:11:01. > :11:06.cycle a regressive cycle of spending power, as well. So I would say to

:11:07. > :11:09.the minister, consider the options that have been put for today. Go

:11:10. > :11:16.back and look at what other option there might be out there, but there

:11:17. > :11:22.is no way on earth, it is saleable politically to do this, but more

:11:23. > :11:26.importantly, on the basic human issues, of do no harm to your

:11:27. > :11:29.constituents. I can't go and sell what is being proposed on the

:11:30. > :11:32.doorstep in my constituency. I won't do it. I want to tell these people

:11:33. > :11:38.it is worth going out to work. Go and get a job if you can. Go and up

:11:39. > :11:40.scale if you can and we will make it worth your while. That is our job

:11:41. > :11:53.here. congratulate a member of the

:11:54. > :12:02.opposition benches for initiating a debate of such magnitude as this. I

:12:03. > :12:06.said before I would like to thank my honourable friend, and indeed, I

:12:07. > :12:10.think a lot of people in this chamber to see the Honourable member

:12:11. > :12:14.for Birkenhead as quite a leading light in welfare of the people of

:12:15. > :12:20.this country. I do remember before I was in politics, the Honourable

:12:21. > :12:25.member, being sacked for thinking the unthinkable. I remember that

:12:26. > :12:30.very, very plainly. And here we are. We are debating today about tax

:12:31. > :12:37.credits. The debate: Has been very measured. -- the tone of the debate

:12:38. > :12:43.has been very measured. We have had a very balanced views from all

:12:44. > :12:47.sites. Tax credits were brought in. Let me make some progress please.

:12:48. > :12:53.Tax credits were brought in for the right reasons. But it is a fact that

:12:54. > :13:02.it did spiral out of control. When nine out of ten people who claim tax

:13:03. > :13:10.credits, we have two ask, is it a sweetener for working or is it a

:13:11. > :13:13.benefit as it was claimed to be? In technology the contribution of the

:13:14. > :13:19.Right Honourable member for Birkenhead in securing this debate,

:13:20. > :13:23.would he also add knowledge of the role of the other house --

:13:24. > :13:27.acknowledged the role of the other house for creating a different

:13:28. > :13:30.context for this debate? The tone that he remarked on would not be

:13:31. > :13:34.what we were hearing if it was not for Monday night and the position

:13:35. > :13:38.forced on the Chancellor. I would disagree with my honourable friend,

:13:39. > :13:45.the Honourable gentleman come on this particular debate in the other

:13:46. > :13:50.place. Because I do think it was unprecedented that that actual

:13:51. > :13:53.motion was passed. But I have got my own words to say about that in

:13:54. > :13:58.another context which you will probably read about over the

:13:59. > :14:03.weekend. Going back to tax credits, we were in the position where

:14:04. > :14:08.everybody was on a tax credit, near enough. They were a stepping stone

:14:09. > :14:15.to gainful employment. And the Honourable Lady from... From Don

:14:16. > :14:21.Valley, said it right. The employers, the employers do not

:14:22. > :14:26.know, the employers do not know if their employees are on tax credit. I

:14:27. > :14:29.employed over 100 people and some were claiming tax credits and I

:14:30. > :14:34.found that only down the line in certain circumstances. It is mainly

:14:35. > :14:42.a hidden benefit. I applaud the Chancellor is trying to do. I do not

:14:43. > :14:48.really go with this ?1300 average loss to 3 million households, stacks

:14:49. > :14:52.up. Because they are estimates. We do not really know what is going to

:14:53. > :14:56.come out of what is going to be in the spending review. However, we do

:14:57. > :15:03.know what has already happened by raising the personal tax allowance

:15:04. > :15:08.to 11,000 coming up in April, and 12,520 20. That will help out and

:15:09. > :15:16.create ?1000 worth of the tax break to people all across the country.

:15:17. > :15:20.But we are offering 30 hours of free childcare, which again amounts to

:15:21. > :15:25.?5,000. We have got fuel duty which has been frozen. The economy is on

:15:26. > :15:31.the up. And as the Honourable Lady... I would love to give way. I

:15:32. > :15:35.think what we say about 30 hours free childcare, I think most of the

:15:36. > :15:38.people listening in the gallery today or outside of this place will

:15:39. > :15:42.think that is for all children in any form of childcare. I think we

:15:43. > :15:46.need to have an honest debate. It is 30 hours of free childcare for those

:15:47. > :15:50.three and four-year-old in nursery education, that does not begin to

:15:51. > :15:54.help with those families that have different aged children. The cuts to

:15:55. > :15:57.the working tax credits fundamentally affect those families

:15:58. > :16:03.get access to support with other childcare costs in order to pick up

:16:04. > :16:08.a job and stay in work. I thank her for that intervention, it was very

:16:09. > :16:13.eloquently put. What she has demonstrated clearly if there is a

:16:14. > :16:18.confusion, is it tax credits, child tax credits, the whole survey of it.

:16:19. > :16:23.As I was rightly going to -- sphere of it. As I was going to point out

:16:24. > :16:27.before, tax credits were brought in to help families struggling in times

:16:28. > :16:33.of great posterity. We are still in times of great austerity but the

:16:34. > :16:36.economy is on the up and we are starting to see projections of our

:16:37. > :16:40.economy starting to come out of recession mode and into a lack of

:16:41. > :16:43.deficit with the next five to ten years. So what all these figures

:16:44. > :16:49.mean? These figures plainly and mean? These figures plainly and

:16:50. > :16:53.simply mean this. We have to balance the books, and we have to look at

:16:54. > :16:58.everywhere we can possibly do so. We have to think the unthinkable. As I

:16:59. > :17:04.keep saying it, my honourable friend, the member for Birkenhead,

:17:05. > :17:07.did think all those years ago. I do actually have faith in the

:17:08. > :17:12.Chancellor, I do know the Chancellor personally. He is a good, decent,

:17:13. > :17:16.caring man. Despite what you read in newspapers, despite what is said

:17:17. > :17:22.about him. And I know the Chancellor will be watching this debate, he be

:17:23. > :17:26.hearing is what we are saying and he will be thinking. All I can say is,

:17:27. > :17:34.yes, nine out of ten people were claiming tax credits. And as the

:17:35. > :17:39.Right Honourable gentleman for Birkenhead said, this many benefits,

:17:40. > :17:44.eight out of ten people, but we must look and care for those two people

:17:45. > :17:51.in that ten and make sure that we get the right deal for them. Thank

:17:52. > :17:58.you very much. Mad and if it is beta, like most people, I obviously

:17:59. > :18:01.-- Madam Deputy Speaker, like most people, I would obviously prefer the

:18:02. > :18:06.Chancellor to scrap his tax credit proposals and go back to the drawing

:18:07. > :18:10.board. Not because I am against the phasing out of tax credits, but I am

:18:11. > :18:15.prepared to accept that there might be an argument for saying that it is

:18:16. > :18:19.time for new measures of support. And if we can raise living standards

:18:20. > :18:27.without tax credits, for working families, then that is a desirable

:18:28. > :18:30.aim. And obviously, freezing the value of tax credits is a clear

:18:31. > :18:34.indication that they are on the way out anyway. The truth is, the

:18:35. > :18:42.Chancellor has made a pig in this. He has blundered and low-paid,

:18:43. > :18:47.hard-working parents will pay the price for his mistakes. If we can

:18:48. > :18:52.take the prime minister at his word, I think he suggested during his six

:18:53. > :18:57.nonanswers yesterday, that there would be some attempt to address

:18:58. > :19:01.this mess in the Autumn Statement. Normally his word would be good

:19:02. > :19:06.enough for me, but of course, this is the same prime minister who gave

:19:07. > :19:12.his word on national television that tax credits would be safe. Is it any

:19:13. > :19:15.surprise that within five months of the election, people are beginning

:19:16. > :19:21.to wonder about the long-term future of this government? The benches

:19:22. > :19:26.opposite have taken to telling us that they have a mandate. Let's just

:19:27. > :19:31.remind ourselves that this is a government that didn't expect to

:19:32. > :19:39.win, that secured less than 40% of the popular vote, trade unionists,

:19:40. > :19:42.please note. It has a limited mandate and many more shenanigans

:19:43. > :19:50.like this tax credit to buckle and it will have no moral authority. As

:19:51. > :19:58.I said, there may be an argument for phasing out tax credits, and if we

:19:59. > :20:00.can have some clear indication of government determination that wages

:20:01. > :20:08.and living standards will rise to compensate, most people will accept

:20:09. > :20:14.change. But there is absolutely no sense in a steel fragile economy --

:20:15. > :20:18.in the still fragile economy in taking money from the working poor

:20:19. > :20:23.before their wages have risen. I think it is also a mistake for some

:20:24. > :20:30.in the party opposite to attempt to demonise Gordon Brown and tax

:20:31. > :20:36.credits as a policy instrument. The Adam Smith Institute recently

:20:37. > :20:41.pointed out that working tax credits are the best form of welfare we

:20:42. > :20:48.have, and that simply cutting tax credits will serve as a disincentive

:20:49. > :20:52.to work and hurt those at the lowest levels of society. They also point

:20:53. > :20:56.out that the new minimum wage structure which the Chancellor

:20:57. > :21:04.deliberately misleading the calls a living wage will do little to help

:21:05. > :21:10.those affected by these cuts. At the institute says, enticing more people

:21:11. > :21:13.into work was one of the stated aims behind the working tax credit and

:21:14. > :21:17.attacking it for having achieved this end seems somewhat perverse.

:21:18. > :21:25.Now I want to consider what changes the Chancellor might make, I read he

:21:26. > :21:28.might speed up the increase in the personal tax allowance but

:21:29. > :21:33.increasing the personal tax allowance could cost ?12 billion and

:21:34. > :21:38.70% of that benefit goes to the top half of the income distribution

:21:39. > :21:44.curve. It is actually worth less than ?1 25 per week for working

:21:45. > :21:50.families. I am not at all convinced that such a costly measured in these

:21:51. > :21:54.economically difficult times is the best way to help the low-paid. The

:21:55. > :21:58.House of Commons library has produced simple way to calculate the

:21:59. > :22:04.impact of the combined effect of the reduced threshold and the increased

:22:05. > :22:10.paper which form the centrepiece of the Chancellor's plans, so a family

:22:11. > :22:19.with two children on ?20,420 will, in conversation be ?2200 worse off.

:22:20. > :22:25.3.3 million working households will be losers, over 8000 of them, Madam

:22:26. > :22:31.Deputy Speaker, in my constituency. The Chancellor could decide to

:22:32. > :22:38.change the disregard level. This would not undo the damage he plans

:22:39. > :22:43.to inflict but it would commit a -- mitigate the effect and it would

:22:44. > :22:50.mean that a single parent with two children under school age could lose

:22:51. > :23:00.a lot less money. And he could scale back plans on the paper from 41-48,

:23:01. > :23:05.that would mitigate the impact on those struggling to make a living.

:23:06. > :23:08.He might also decide to turn the clock back and recognise family

:23:09. > :23:11.response when it is in the tax system by reintroducing some kind of

:23:12. > :23:15.tax allowance for children as a feature of our tax system. And of

:23:16. > :23:20.course, he could use the Autumn Statement to revisit his plans in

:23:21. > :23:24.cuts on inheritance tax, and the cuts he has already given to

:23:25. > :23:27.millionaires. If we are in it together, somebody over their

:23:28. > :23:33.suggested, this time we had some evidence to back up the

:23:34. > :23:36.anti-statements. As the former higher education minister now Lord

:23:37. > :23:41.Willets point out in his book, what is really at fault is the balance is

:23:42. > :23:47.wrong. Young people and young families are taking far too big a

:23:48. > :23:50.hit and what we need to do is restructure our welfare system. My

:23:51. > :23:57.honourable friend from Nottingham North suggests earlier that the

:23:58. > :24:01.Chancellor had the parliament should involve parliament. I would like to

:24:02. > :24:04.suggest he involves my right honourable friend from Birkenhead

:24:05. > :24:09.and his works and pensions select committee because what I think we

:24:10. > :24:12.desperately need is a system that promises fairness and support for

:24:13. > :24:18.young people and families and a welfare system that encourages and

:24:19. > :24:24.incentivises people. But above all, the government must make it clear

:24:25. > :24:32.that it is its sincere intention to roll back from this mad cliff edge

:24:33. > :24:38.that it is currently on. Thank you, Madam Deputy Speaker. I write to

:24:39. > :24:46.support the visible of mitigating effect of proposed tax credit

:24:47. > :24:49.changes to low-paid workers, and I suggest that even friends need to be

:24:50. > :24:52.critical of long as it is constructive. I would like to thank

:24:53. > :24:56.the honourable member for Birkenhead for bringing forward the bait. I

:24:57. > :24:59.would like to start by saying that I do support the principle of reforms

:25:00. > :25:03.to tax credits. We need to get on top of our welfare bills. This

:25:04. > :25:07.financial year, central government will spend more on that interest

:25:08. > :25:10.repayments than it will on the education of our children, more than

:25:11. > :25:13.on the defence of our nation. We cannot keep going on spending

:25:14. > :25:17.indefinitely, adding to our debts, and as suggested by my honourable

:25:18. > :25:22.friend the member for South Cambridgeshire, asking our children

:25:23. > :25:27.to pay it off. The honourable member talks about doing no harm, but we

:25:28. > :25:30.must also be mindful of the harm to our constituents of not tackling the

:25:31. > :25:34.deficit and burdening future generations with more debt, although

:25:35. > :25:44.I'd take his substantive point. The current tax credit system is not

:25:45. > :25:47.sustainable, costs have skyrocketed from 4,000,000,019 99 to 30 billion

:25:48. > :25:55.this year. This has had the effect of depressing basic wages and

:25:56. > :25:58.business. As the former Labour Chancellor said tax credits, one of

:25:59. > :26:03.the unintended consequences is that we are now subsidising lower majors

:26:04. > :26:07.in a way that was intended. -- lower wages. The welfare system is there

:26:08. > :26:11.to provide a safety net for the most memorable in our society and those

:26:12. > :26:16.on the lowest incomes, and I fully support moves to move Britain to a

:26:17. > :26:21.high wage, low watt tax, low welfare economy. I am concerned that these

:26:22. > :26:24.tax credit changes could be very tough on some of our lowest paid

:26:25. > :26:28.families and more needs to be done to ease that transition for those

:26:29. > :26:32.easing away from tax credits next year. Many families who have worked

:26:33. > :26:37.hard and done the right thing, everything we have asked them to do,

:26:38. > :26:40.will be needed he hit by a drop in income. I know the gunmen had

:26:41. > :26:47.introduced a package of measures to introduce an increase in pay like

:26:48. > :26:55.the living wage, doubling the free childcare, although I take the point

:26:56. > :27:00.that it is restricted to three and four-year-olds, and a raising of the

:27:01. > :27:04.income tax personal allowance to 2500. I am aware that many of these

:27:05. > :27:07.actions do not take effect immediately in 2016. I was a concern

:27:08. > :27:13.about the effect the tax credit cuts might have on some that work in the

:27:14. > :27:18.public sector, my wife is a teacher. Many of the biggest employers in my

:27:19. > :27:22.constituency are in the public sector. Public sector pay over the

:27:23. > :27:25.next few years has been frozen at 1% as we all know, meaning many of

:27:26. > :27:29.these workers will not benefit from rises in private sector pay. And

:27:30. > :27:33.many of these workers in these sectors rely on tax credits to tap

:27:34. > :27:37.up their income and make ends meet. Moreover, cost saving measures in

:27:38. > :27:42.the public sector mean that these workers cannot take on additional

:27:43. > :27:45.hours to raise income. I have had these concerns about some of the

:27:46. > :27:48.measures since the summer budget and have met with the Chancellor and

:27:49. > :27:51.ministers to raise my points with them. They have listened carefully

:27:52. > :27:55.to what I have had to say and I know ministers are alive to the concerns

:27:56. > :27:58.of members who want to ensure that the most honourable and lowest paid

:27:59. > :28:03.are protected. That is why I welcome the news that the Chancellor will be

:28:04. > :28:06.taking steps to ease the transition of some other changes on the poorest

:28:07. > :28:09.workers on lowest incomes and I look forward to more detail on these

:28:10. > :28:12.extra measures in the Autumn Statement. In general I would urge

:28:13. > :28:17.Treasury ministers to carefully assess what can be done to introduce

:28:18. > :28:21.traditional transitional measures, giving families more time to adjust

:28:22. > :28:24.to the changes in tax credits and allow time for additional policies

:28:25. > :28:28.that I have mentioned such as the free childcare and progressive rises

:28:29. > :28:32.in the living wage over this Parliament to boost families and

:28:33. > :28:36.their income. I care deeply about helping the lowest paid and making

:28:37. > :28:40.sure that work always pays. I welcome the thrust of what the

:28:41. > :28:43.government's Drive is, moving us to low welfare, low tax and high wage

:28:44. > :28:48.economy but more consideration needs to begin into the bloke paid workers

:28:49. > :28:49.who are trying to do the work -- low-paid workers who tried to do the

:28:50. > :28:58.real thing. I add my congratulations to miry of

:28:59. > :29:04.for Birkenhead, for securing this debate in a week of high drama on

:29:05. > :29:08.this subject. I must say I am very encouraged by stuff I have heard

:29:09. > :29:12.from the other side. I hope those honourable members convey a that to

:29:13. > :29:17.their leadership. Yesterday's headlines did make confusing

:29:18. > :29:26.reading, the Guardian went for Osbourne ready to change tack on tax

:29:27. > :29:33.credit. While the Express plumped for defiant Osbourne says taics will

:29:34. > :29:36.not be cut. Before the election the for defiant Osbourne says taics will

:29:37. > :29:38.not be cut. Before the election the Conservative manifesto prop promised

:29:39. > :29:43.to "Work to eliminate child poverty, and two months later, they scrapped

:29:44. > :29:47.existing targets, and poverty measures, so this, to me, looks not

:29:48. > :29:51.even moving the goalposts but ripping up the pitch. We have had

:29:52. > :29:56.the Prime Minister's claim that we must eliminate the scourge of

:29:57. > :30:03.poverty, which is difficult to reconcile with cutses set to put

:30:04. > :30:09.more than 200,000 working households into poverty being affected for an

:30:10. > :30:13.inheritance tax, give a tax doubt the 60,000 wealthiest estates. That

:30:14. > :30:17.is as they stood. We don't know what the next instalment would be. But I

:30:18. > :30:21.mean, do think this is why we don't hear, we are all in this together so

:30:22. > :30:25.much any more. I hope it was... Yes I I will of

:30:26. > :30:30.course. I was a bit confused as well but the

:30:31. > :30:36.only thing that is clear to me, that in Leith we have over 6,000 families

:30:37. > :30:41.on tax credits, over 5,000 families with children. And these measures

:30:42. > :30:49.will drive them into poverty, and that is very clear to me. I than of

:30:50. > :30:51.my for that. We have a similar number in Ealing and Acton. It is

:30:52. > :30:56.those children we should be thinking about. They are not just columns on

:30:57. > :31:02.the spread sheeted. These are real lives. -- sheet. I hope it was the

:31:03. > :31:05.drama of PMQs but six times the Prime Minister was asked by our

:31:06. > :31:09.leader, about these plan, and whether working people would be

:31:10. > :31:15.worse off next year. Six times he refused to answer. Even the Sun has

:31:16. > :31:20.said this morning not the most Labour friendly paper six words by

:31:21. > :31:24.Cam. In the words of the honourable member for Islington North, this is

:31:25. > :31:30.not a constitutional crisis this is a crisis for three million working

:31:31. > :31:36.families. But Madame Deputy Speaker we could go further than this

:31:37. > :31:42.motion. The Chancellor could still perform a full U-turn. I would

:31:43. > :31:51.welcome back this -- welcome this. If he were to do this, as my fellow

:31:52. > :31:55.west London honourable friend I believe he is, for Hayes and Harling

:31:56. > :31:59.on the said, we would welcome that on this side, so you know, we

:32:00. > :32:09.wouldn't taunt him for that, if they want to do that. There is still

:32:10. > :32:13.time. So, he has a choice, the honourable, the right honourable

:32:14. > :32:17.member Coult continue on his tax give aways to the wealthiest in the

:32:18. > :32:24.country or he could reverse the tax breaks to the fewgo for a lower is

:32:25. > :32:29.plus target in 2019/20. While still ticking to his imposed charrer, his

:32:30. > :32:32.self emposed charter. He could still be in a position not to hit the

:32:33. > :32:35.three million working families with the cut, after all this is a

:32:36. > :32:39.government that claims to be on the side of working people, so the ball

:32:40. > :32:49.is in the court of the Treasury ministers opposite.

:32:50. > :32:53.Miry of for Selly Oak mentioned that often the lifting of those out of

:32:54. > :32:57.taxation is taken as a justification for these measures but this is not

:32:58. > :33:03.as progressive as it might initially appear. It helps dual owner

:33:04. > :33:08.households the most and only those who earn enough to begin with. It

:33:09. > :33:13.makes no difference if you start taxing at 6,000, 11 thousand horse,

:33:14. > :33:18.it can kick in at any level. If you are on 5,000. It won't help you,

:33:19. > :33:23.that is the lowest paid on the distributional curve. All studies

:33:24. > :33:29.show, people have said the national living wage, which is not an actual

:33:30. > :33:37.living wage, will only affect a small minority and those under 26

:33:38. > :33:40.never. Miry of for Don Valley pointed out that the childcare

:33:41. > :33:43.element is limited. In my constituency you would be

:33:44. > :33:48.hard-pressed to find a nursery that can offer that at all, there isn't

:33:49. > :33:54.the commensurate resource to match that. And people, people even before

:33:55. > :33:58.the mess of earlier ethis week, people will be wondering how they

:33:59. > :34:03.can trust the Prime Minister who blatantly said one thing on TV as

:34:04. > :34:12.recently as 30th April and just a couple of months later, in July, he

:34:13. > :34:15.promised that voter who phoned in, I think David Dimbleby did a

:34:16. > :34:22.supplementary to check it was clear. That is the fastest U-turn in

:34:23. > :34:27.history. It is, again, in PMQs yesterday it was claimed that MPs

:34:28. > :34:31.were claiming them. I hope that was the theatre of PMQ that made that

:34:32. > :34:36.happen. I have given way once so I would rather not.

:34:37. > :34:39.Reduced tax credits are being introduced alongside a gamut of

:34:40. > :34:44.other welfare change, the effect of which is an assault on the lowest

:34:45. > :34:49.paid in our country, so the, it is relevant to the moerks because it

:34:50. > :34:56.needs to be taken in context, I am sure the gentleman... Order, order.

:34:57. > :34:58.If the country, so the, it is relevant to the moerks because it

:34:59. > :35:01.needs to be taken in context, I am sure the gentleman... Order, order.

:35:02. > :35:04.If the lady was not - please sit down. If she was not speaking to the

:35:05. > :35:07.motion I would stop her, Thank you. It needs to be taken in the whole,

:35:08. > :35:10.in context with the four year benefit freeze reduction in

:35:11. > :35:17.household benefit cap. New claimants no longer are able to claim the

:35:18. > :35:20.family element and controversially the the proposal that after April

:35:21. > :35:25.2017 the third child of any family on wards would not be able to claim.

:35:26. > :35:28.I can't imagine that in any other policy Ayr area. Can you imagine

:35:29. > :35:33.saying the third child can't go to school. If it has my sister would

:35:34. > :35:37.never have been educated. A number of millionaire Tory Lord's voted on

:35:38. > :35:42.Monday to cut help for Britain's poorest workers so at the other end

:35:43. > :35:46.of the scale you have people like Lord Andrew Lloyd Webber, who was

:35:47. > :35:51.flown in from New York, I think, for this. So it seems, it did seem to

:35:52. > :35:55.some extent that the party opposite were throwing the kitchen sink at

:35:56. > :35:58.this. I do think there is growing awareness of the consequences of

:35:59. > :36:03.this. I mean etched into the consciousness of the front pen

:36:04. > :36:07.opposite, -- bench opposite should be that caller who rang in or the

:36:08. > :36:13.lady in tears on Question Time the other night after the election.

:36:14. > :36:17.So I do think that, and we have all through old and new, we have

:36:18. > :36:23.received hundreds of e-mails on this, we await the next instalment.

:36:24. > :36:26.The Autumn Statement. Hopefully kids have been saved the, the

:36:27. > :36:31.unseasonable tidings of this, the notices that would have been

:36:32. > :36:35.plopping on doormats at Christmas. The Government should publish a full

:36:36. > :36:39.impact assessment o their cumulative cuts to tax credits and benefits in

:36:40. > :36:43.the so-called emergency budget. I mean the PM said at his own

:36:44. > :36:48.conference it is not pounds and pence but people that fire him up.

:36:49. > :36:53.Those children in Ealing and Acton are real people. They real lives,

:36:54. > :36:58.not columns on the spread sheet. 70% of the money saved by this are going

:36:59. > :37:01.to be from working mums so I urge the Government to reconsider its

:37:02. > :37:08.proposals and protect those on the lowest incomes.

:37:09. > :37:11.Thank you Madame Deputy Speaker, may I pay tribute to the right

:37:12. > :37:16.honourable member for Birkenhead for securing this debate. I will support

:37:17. > :37:22.the motion, I will be making a short contribution. I come to support the

:37:23. > :37:26.debate from my perspective having live and worked abroad and my

:37:27. > :37:31.perspective more locally. I have lived and worked in communities

:37:32. > :37:36.where there is no welfare system whatsoever, I have also lived and

:37:37. > :37:41.worked in a community where almost ever everybody has been on some form

:37:42. > :37:46.of welfare or credit assistance. Neither of those two different

:37:47. > :37:53.situations are situations I would wish for my constituents. That is

:37:54. > :37:58.why I am fully supportive of the Chancellor's vision of high wage low

:37:59. > :38:02.tax, low welfare society. I know in the places where I have worked, that

:38:03. > :38:08.they would wish for this if they could achieve it in their

:38:09. > :38:12.communities. But I am also supportive of the noble Lord, Lord

:38:13. > :38:16.Lawson in the other place, and of what he has said, is that the

:38:17. > :38:26.welfare and the tax credits have ballooned. But I also agree with

:38:27. > :38:31.Lord Lawson, and the right honourable member for Howden, where

:38:32. > :38:38.by we must protect those at the lowest end of the income scale. That

:38:39. > :38:42.is where my experience of being NHS doctor and therapeutic councillor in

:38:43. > :38:46.this country and locally where I live, I have come across some people

:38:47. > :38:52.going through some of the most challenging times of their lives.

:38:53. > :38:55.But these people contrary to what the right honourable member of

:38:56. > :38:59.Birkenhead said do not have weak shoulder, they shoulders are

:39:00. > :39:05.stronger than mine, or anybody's here. These people that I have met

:39:06. > :39:09.single parents, who have escaped domestic violence, bringing up their

:39:10. > :39:14.children, difficult circumstances, and going out to work for some hours

:39:15. > :39:19.during the week, and they are going out to work because they want to,

:39:20. > :39:24.because they want to be a role model for their children. They are doing

:39:25. > :39:31.their best for their families, and we must do our best for them,

:39:32. > :39:35.because ultimately, they become role models for us, -- our society. I

:39:36. > :39:38.support the Chancellor in looking for mitigation measures, and I am

:39:39. > :39:44.very happy to support this motion today.

:39:45. > :39:49.Thank you. Thank you Madame Deputy Speaker.

:39:50. > :39:54.The last few weeks have been an absolute roller-coaster. We have

:39:55. > :40:00.heard passionate speeches from all sides, urging the Government to find

:40:01. > :40:06.another way forward. Time and time again, the moral argument has been

:40:07. > :40:11.put forward. But time and time again, political games have been

:40:12. > :40:16.played and votes lost. But, Mr Speaker, it is not about

:40:17. > :40:21.scoring points in this place, or that. This is about real people.

:40:22. > :40:26.Sorry Madame Deputy Speaker. It is about real people. It is about how

:40:27. > :40:32.we look after and care for those who are most in need. It is about

:40:33. > :40:38.fairness, about morals, it is about billing the kind of society we want

:40:39. > :40:42.to see. -- building. In PMQs yesterday the Prime Minister was

:40:43. > :40:48.asked six times to confirm that no-one would be worse off with Ness

:40:49. > :40:53.changes, but declined to do so. Earlier this week, I asked the

:40:54. > :40:59.Chancellor directly what he would be putting in place to ensure that the

:41:00. > :41:04.9,000 families in Lewisham Deptford, of which 5 thousand -- 5500 of these

:41:05. > :41:12.families are working families, how he and his Government would ensure

:41:13. > :41:17.they are not out-of-pocket by ?1300. At a time when rents are rising,

:41:18. > :41:22.when people are having to turn to food banks because they are

:41:23. > :41:27.struggling to pay their bills, and feed their families, people will

:41:28. > :41:33.turn to credit. People will fall into arrears with their rent. People

:41:34. > :41:39.will be made homeless. And what does the Chancellor have to say about

:41:40. > :41:48.that? That he is listening. Well, that is astart. That he will change

:41:49. > :41:53.his plans. No such luck as yet. No Madame Deputy Speaker e he says he

:41:54. > :41:59.will introduce a national living wage, a national living wage, what a

:42:00. > :42:04.cheek. The Living Wage Foundation do a fantastic job of campaigning for a

:42:05. > :42:11.real living wage. This is no living wage. This is quite simply spin. The

:42:12. > :42:17.Chancellor is grossly mistaken if he thinks that people will be fooled.

:42:18. > :42:21.He has stolen the brand of the a fantastic organisation, and in an

:42:22. > :42:27.instant contaminated and muddied the waters.

:42:28. > :42:32.When tax credits for introduced by a Labour government, they were

:42:33. > :42:36.introduced because there was a real need for them. This government's

:42:37. > :42:43.failure to build a better economy means that this need is still there.

:42:44. > :42:47.On that point, does she agree with me, we have had a great deal from

:42:48. > :42:52.the party opposite about the rise in tax credits over the last decade,

:42:53. > :42:55.the Institute of Fiscal Studies stated very clearly that child

:42:56. > :42:58.poverty would have stayed the same or risen rather than fall

:42:59. > :43:03.substantially without these increases in tax credits? There is

:43:04. > :43:07.evidence to suggest these reforms prevented large rise in inequality.

:43:08. > :43:14.That is what tax credit achieved and that is why the amateur is

:43:15. > :43:20.worthwhile. I thank her for -- why the expenditure is worthwhile. I

:43:21. > :43:26.thank her for her intervention. I am trying to remember where I was!

:43:27. > :43:29.Personally, I think it is wrong that government subsidises large

:43:30. > :43:34.employers. Large employers can and should pay their staff more. That is

:43:35. > :43:39.a solution that we should all be working on together. Not tit-for-tat

:43:40. > :43:43.political point scoring. And one of the best ways for staff to organise

:43:44. > :43:51.and put pressure on their employers is through their trade unions. If

:43:52. > :43:59.the government had any sense of moral code, it would be working with

:44:00. > :44:02.the trade unions to raise wages. And in the long-term, eliminate tax

:44:03. > :44:10.credits altogether. That must be the goal. But this government is doing

:44:11. > :44:15.anything but that. It is attempting to hamper the great work trade

:44:16. > :44:24.unions do by introducing the negative trade union reform Bill.

:44:25. > :44:27.You do recognise that the national living way which she has appointed

:44:28. > :44:32.is a way of addressing exactly the concern she has just raised? It has

:44:33. > :44:38.been a very effective way of raising the wages of those in employment.

:44:39. > :44:41.The national living wage that you are what talking about is not a

:44:42. > :44:47.national living wage that will drive our people's living standards. In

:44:48. > :44:51.terms of the cuts and in terms of people's wages at the time, people

:44:52. > :44:56.will be worse off because of these changes and that is the reason why

:44:57. > :45:00.this debate has come forward today. Madam Deputy Speaker, this

:45:01. > :45:01.government is a joke. The left-hander not know what the right

:45:02. > :45:07.hand is doing. The ploy left-hander not know what the right

:45:08. > :45:12.hand is doing. The policies are not adding up. Whilst they are laughing

:45:13. > :45:17.at people's stories of people being in the housing trouble, we are

:45:18. > :45:23.working to improve the lives of millions. I want to urge the

:45:24. > :45:26.government to halt the cuts to cut credits -- tax credit until we can

:45:27. > :45:34.guarantee that no family will be worse off. Thank you, Madam T

:45:35. > :45:38.speaker. I would like to thank the Right Honourable member of the

:45:39. > :45:41.Birkenhead for bringing forward this debate, this is the first

:45:42. > :45:46.opportunity I have had to contribute to the tax credits the bait. The

:45:47. > :45:50.primary aim of this government is to pay down the left, reduce our big

:45:51. > :45:59.spending and unshackle the ?3000 that hangs around every child's neck

:46:00. > :46:02.who is born within the UK. The Prime Minister in my constituency has

:46:03. > :46:06.literally lifted thousands of people out of the income tax threshold

:46:07. > :46:09.altogether, given 30 hours of free childcare and introduced the new

:46:10. > :46:12.living wage and I am proud to associate myself with these

:46:13. > :46:16.measures. When tax credits were first introduced by the party

:46:17. > :46:20.opposite, they cost ?4 billion per year. I believe this year they cost

:46:21. > :46:26.?30 billion so they clearly need some form of reform. I will give

:46:27. > :46:34.way. With the honourable member agree with me that understanding

:46:35. > :46:37.that working tax credits and tax credits are other means tested

:46:38. > :46:42.welfare benefit? Therefore if the welfare bill has gone up, it is

:46:43. > :46:45.because family's incomes have not risen significantly and that is the

:46:46. > :46:50.real reason that the bill has increased. We need to get income to

:46:51. > :46:54.go higher. I do accept the Right Honourable member's point, the

:46:55. > :46:58.honourable member's point. I would say that we are looking to try and

:46:59. > :47:08.increase the living way to to make sure people are better off in work

:47:09. > :47:11.than out of work. I am grateful. Surely the government is attacking

:47:12. > :47:15.this the wrong way round. They should be getting income up first

:47:16. > :47:20.before they cut people's wages. They are at the moment cutting peoples

:47:21. > :47:23.earnings and in four years' time, maybe, having a higher wage,

:47:24. > :47:27.something they are calling and national living wage which is not

:47:28. > :47:33.actually a living wage. Thank you for his contribution, I will get

:47:34. > :47:37.onto that as I go later. The debates that have been presented by the

:47:38. > :47:43.opposition, the debates that have been presented by the opposition

:47:44. > :47:48.over recent days has maintained the status quo. They believe this ?30

:47:49. > :47:52.billion tax credit Bill is one we should not change at all and I do

:47:53. > :47:58.not act at that. They have offered no edible plan to take this burden

:47:59. > :48:02.from our children. -- no credible plan. I am elected under a manifesto

:48:03. > :48:06.to reduce the welfare bill and I am hoping we will do that. On this side

:48:07. > :48:10.of the House, we know we have to take difficult decisions ahead in

:48:11. > :48:13.terms of spending reductions. It is all very well for the Leader of the

:48:14. > :48:17.Opposition to ask six questions on tax credits yesterday, but you

:48:18. > :48:25.cannot change a policy that affects 3 million families on a whim. And I

:48:26. > :48:30.welcome the Chancellor's statement that he will look at this in the

:48:31. > :48:34.Autumn Statement. Is he saying therefore that the reason the Prime

:48:35. > :48:37.Minister could not answer is because the government is not committed to

:48:38. > :48:44.protecting families from this problem? Absolutely not. I think we

:48:45. > :48:47.are seriously looking at this proposal and we will make some

:48:48. > :48:51.announcement in the Autumn Statement. North Cornwall, where I

:48:52. > :48:55.represent, is a very modest wage economy. We benefited from the

:48:56. > :48:59.economic improvements at the country has seen, we have seen a rise in

:49:00. > :49:02.school provision and a lot of people in my constituency have been helped

:49:03. > :49:06.with the help to buy scheme. They are trying to improve their lot in

:49:07. > :49:10.life and they are trying to do the right thing. As my right honourable

:49:11. > :49:13.friend from Tiverton said so eloquently earlier, we must ensure

:49:14. > :49:17.on this side of the House that we make it better for people to be in

:49:18. > :49:25.the works and out of work but we must support those who do work. I do

:49:26. > :49:28.not want to put him off, but coming back to a point made by the

:49:29. > :49:33.honourable gentleman opposite, we had a very cross-party nonpartisan

:49:34. > :49:38.discussion during the course of this debate and I thought I heard the

:49:39. > :49:48.honourable gentleman saying the party opposite is keen to see

:49:49. > :49:51.changes in the tax credits. Would he look forward to the remarks from the

:49:52. > :49:54.front bench opposite on how they would cut this Bill? I would welcome

:49:55. > :49:57.that because we have heard nothing from the opposition to hear how they

:49:58. > :50:06.would deal with this ?30 billion deficit. I thank him for giving way.

:50:07. > :50:12.The Labour Party has voted against every single welfare change made

:50:13. > :50:15.over the last five years. That is absolutely correct, I agree with my

:50:16. > :50:18.honourable friend. It is ultimately our response ability to look at all

:50:19. > :50:21.of the financial provision we provide us government and ensure

:50:22. > :50:26.that money is distributed to people who are trying to do the right

:50:27. > :50:31.thing. I will give way more time. Can we be clear here? The honourable

:50:32. > :50:34.gentleman attacks Labour for having a policy we do not have, that is

:50:35. > :50:39.unacceptable. Our policy is not to continue with 30 million pounds of

:50:40. > :50:43.tax credits for evermore. As my honourable friend said in a speech

:50:44. > :50:49.before his speech, we want to change it, it is a question of phasing, as

:50:50. > :50:53.to whether you cut incomes from tax credits before wages go up. That is

:50:54. > :50:58.the government's policy and that is what we oppose. Forgive me, my right

:50:59. > :51:03.honourable friend, I believe that the two opposition day debates were

:51:04. > :51:09.acted to abolish this proposal completely. This government knows it

:51:10. > :51:13.needs to make tough decisions but it also needs to make them with

:51:14. > :51:18.fairness and with compassion. Measures, the measures that we are

:51:19. > :51:22.putting in place to manage that transition to be welcomed. And it is

:51:23. > :51:26.true I think that the national wage, the freeze ghoul childcare

:51:27. > :51:30.arrangement and the social rent reductions that have been in

:51:31. > :51:35.fermented for people who live in social rented homes will be helped

:51:36. > :51:39.with some people managing that transition. However I do believe it

:51:40. > :51:44.is evident that some people will fall between the cracks. People with

:51:45. > :51:46.older children who do not necessarily have childcare provision

:51:47. > :51:53.that they can allocate, children between eight and 14, for example.

:51:54. > :51:58.Single parents, who earn more than the living wage currently. I think

:51:59. > :52:01.they will be affected. And those in private accommodation who do not

:52:02. > :52:06.benefit from the rental reductions. There are many economists in this

:52:07. > :52:09.house who are better than I, it is not something I profess to be

:52:10. > :52:13.particularly good at but I would like to offer some financial

:52:14. > :52:22.solutions. How about we go after VW at the present moment who seem to

:52:23. > :52:28.owe a huge amount of money to our government for the vehicle excise

:52:29. > :52:31.duty they have not paid? How about abolishing national insurance for

:52:32. > :52:35.anyone under the income threshold? We could have tax breaks for

:52:36. > :52:40.grandparent or a transferable allowance that 30 hours of free

:52:41. > :52:44.childcare. A lot of working families utilise grandparents to provide for

:52:45. > :52:46.care, I do not see any reason why we could not change the childcare

:52:47. > :52:52.arrangements so that we could interoperate over that. --

:52:53. > :52:58.incorporate some of that. We could consolidate new claimants. I welcome

:52:59. > :53:01.the opportunity to get on the record in this debate and this moment of

:53:02. > :53:06.poor that has been presented to us by the other place. I am here to

:53:07. > :53:10.stand up for the thousands of working people in North Cornwall and

:53:11. > :53:22.I urge the chance to assist them in their help to work and to end. -- to

:53:23. > :53:25.Turner. -- to earn. When the right honourable gentleman first oppose

:53:26. > :53:31.this debate, he wrote to me and a number of humbug -- other members

:53:32. > :53:42.and I agreed, this was before the storm broke. We have moved on as he

:53:43. > :53:46.acknowledged. I have worked with tax credits, and family credit and

:53:47. > :53:52.family income supplement. The inherent problem with the system was

:53:53. > :54:00.apparent from the start, being a low wage subsidy, to a low extent than

:54:01. > :54:07.they are now. The cost of the taxpayer was very apparent. These

:54:08. > :54:14.problems have gone away. As I said in an earlier debate, I have no

:54:15. > :54:24.problem impossible with removing tax credits as law -- long as we have

:54:25. > :54:28.fair wages for all. We need proper childcare provision available

:54:29. > :54:31.universally, and for my case, particularly in the pride and rural

:54:32. > :54:36.areas where the current provision is very poor and very patchy. I think

:54:37. > :54:41.it is also very important for rural areas in Wales, support for small

:54:42. > :54:46.businesses to enable them to earn and also pay a living wage. Those

:54:47. > :54:53.are the sorts of changes I would like to see and I would gladly agree

:54:54. > :55:04.to the Chancellor's proposals. I have not much of a problem with the

:55:05. > :55:08.fact that tax credit should go down as people earn more. The

:55:09. > :55:19.disincentive effects remain when high rate of combined tax credits

:55:20. > :55:23.and benefits reduce people's incomes. What incentive will there

:55:24. > :55:29.be for owning that extra marginal pound if that melts away with

:55:30. > :55:34.reduced tax credit and benefits as we heard earlier. I think it was 93p

:55:35. > :55:40.in the pound mentioned by another honourable member. I would point out

:55:41. > :55:51.that as the minimum wage or the national living wage rises, then the

:55:52. > :55:55.tax credits will reduce and the cost to the taxpayer goes down. But what

:55:56. > :56:01.the Chancellor intends goes well beyond what is normal and what is

:56:02. > :56:07.accessed four. Had he been happy to just operate the papers as they are

:56:08. > :56:12.now as a starting point, the threshold as they are, he would have

:56:13. > :56:17.gained tax revenue, had he been satisfied with that course of

:56:18. > :56:23.action, people earning more would claim less tax credits.

:56:24. > :56:28.Significantly, people be claiming less housing benefit which is a

:56:29. > :56:31.problem which is well-known to both sides of this house. He has gone

:56:32. > :56:39.further and done so deliberately. Tax credits will be withdrawn

:56:40. > :56:42.earlier and this is on top of the freeze on tax credit levels for four

:56:43. > :56:47.years and the limiting of the childcare elements for the first two

:56:48. > :56:52.children. I would like to ask the Minister in respect of childcare

:56:53. > :56:56.what discussions the government have had with the Welsh government,

:56:57. > :57:01.because the provision in Wales does vary significantly in some places

:57:02. > :57:08.from provision in England. But if we are tailoring system which is

:57:09. > :57:10.promotes proper childcare, there has to be consultation with the Welsh

:57:11. > :57:11.government and the Scottish Government and the Northern Ireland

:57:12. > :57:23.executive. I am concerned on the effects on

:57:24. > :57:28.people under 25. My concern is that this will reduce working incentives

:57:29. > :57:34.and deeping Chile poverty. We have heard a figure of 200,000 children

:57:35. > :57:39.being mentioned. There are I think geographical effects which I

:57:40. > :57:43.mentioned earlier. There are communities in Wales where large

:57:44. > :57:49.percentages of people take advantage of tax credits. The whole community

:57:50. > :57:54.will then be hit as those tax credits are worsened. Particularly

:57:55. > :58:00.for us in Wales, in west Wales in the valley, that region which has

:58:01. > :58:05.been identified as being very poor, and therefore subject to various

:58:06. > :58:09.European grants, on a par with parts of former Communist eastern Europe.

:58:10. > :58:15.And in some of those communities, many people claim tax credits in

:58:16. > :58:22.order to go out to low low paid work and I really am concerned that they

:58:23. > :58:25.will be struck very hard. So, I would repeat my call. Adding to what

:58:26. > :58:36.the right honourable gentleman said. That is when we have data, perhaps

:58:37. > :58:40.they could address that particular geographical distribution of the

:58:41. > :58:46.effects. To turn briefly to some of the points the right honourable

:58:47. > :58:50.gentleman raised, as I said, that is one point, childcare is another.

:58:51. > :58:56.Discussions I hope there have been with the Welsh Government. And I

:58:57. > :58:59.suppose it is almost a, almost a philosophical point we should

:59:00. > :59:03.recognise as a society the value that bringing up children has for

:59:04. > :59:08.us, as a society, and in terms of care for the elderly and in terms of

:59:09. > :59:13.the next generation, perhaps my social add invitation slip is

:59:14. > :59:17.showing here, as I say that, but I am a veteran of many campaigns, to

:59:18. > :59:22.save and secure child benefit, and that is one of the sensible

:59:23. > :59:27.arguments in favour of child benefit as far as I am concerned. To bring

:59:28. > :59:32.my remarks to an end, postponing the introduction of beyond the next

:59:33. > :59:37.April is clearly a very good point. Restricting it to new claimants

:59:38. > :59:41.again, something that I would agree with, though that would put them in

:59:42. > :59:46.that difficult position of going out to work for reduced tax credits, and

:59:47. > :59:50.I have already mentioned the disincentives to taking work that

:59:51. > :59:55.that might provide, so we have to be very careful with that one. Just

:59:56. > :00:00.lastly, on the pension tax relief, that has been mentioned, again, I am

:00:01. > :00:05.afraid I am a veteran of previous debates on tax credit, and it was

:00:06. > :00:08.one of the suggestions that my party made, when Adair Turner was

:00:09. > :00:12.reviewing pensions, the circumstances are different now, it

:00:13. > :00:15.was some years ago, but certainly we could have seen that happen then,

:00:16. > :00:17.and the Government's might not have been in the position they are in

:00:18. > :00:27.now. Thank you.

:00:28. > :00:32.It is a pleasure to follow a thoughtful contribution by the right

:00:33. > :00:35.honourable member. Can I add my claitions to the right honourable

:00:36. > :00:42.gentleman from Birkenhead on securing this debate. And the wisdom

:00:43. > :00:46.of the become business committee in granting such a debate. Of which

:00:47. > :00:50.pleasure I had of chairing the meeting. It is the first opportunity

:00:51. > :00:54.I have had to contribute to the vexed issue over tax credit, I do

:00:55. > :00:57.think it's a great shame the right honourable gentleman for Birkenhead

:00:58. > :01:01.was not able to convince his own party when in Government, of the

:01:02. > :01:06.wisdom of transforming the welfare system in this country, but we are

:01:07. > :01:11.where we are. My big criticism of the last Labour Government is that

:01:12. > :01:16.instead of reforming the welfare system, every time that there came a

:01:17. > :01:19.problem, a new benefit was set up, and it became unwieldy, and

:01:20. > :01:26.unworkable. And when I was elected in 2010, I had a series of people

:01:27. > :01:30.coming to see me, about the hugely complicated financial arrangements

:01:31. > :01:35.they faced, both on working tax credits, and, and child based tax

:01:36. > :01:40.credits. I give way. He said when the previous

:01:41. > :01:44.Government, when they had a problem, the answer was to increase the tax

:01:45. > :01:48.credit. Credit. The real problem is low wage, what this Government is

:01:49. > :01:54.trying to do to enable the workers to strive for a hiring wage, isn't

:01:55. > :01:58.going to help the situation at all. I thank him for his intervention, I

:01:59. > :02:01.that is not what I said. The welfare system, so we had a series of

:02:02. > :02:05.different welfare benefit, what ever the problem was, set up a new

:02:06. > :02:11.benefit, whether it's a tax credit, or another arrangement. That is the

:02:12. > :02:16.reality of the situation. Instead of dealing with the issue during a

:02:17. > :02:20.period of high relatively high unemployment, which the last Labour

:02:21. > :02:22.Government had, they didn't deal with the fundamental issues which as

:02:23. > :02:29.the honourable gentleman rightly pointed out, were that of low wages.

:02:30. > :02:33.Now, the reality is that when we set up this debate, billed at the last

:02:34. > :02:37.chance to review what the Government was proposing before it became fact.

:02:38. > :02:41.Events in the other place mean we are in a position where we can

:02:42. > :02:45.suggest alternatives and proposals forward. Therefore contributions

:02:46. > :02:50.this afternoon are helpful, I think to the Chancellor in deciding what

:02:51. > :02:53.he is going to do and what he comes forward with in the Autumn

:02:54. > :02:57.Statement. Clearly we have to strike balances here. The Conservative

:02:58. > :03:02.Party manifesto laid out that we were going to save ?12 billion in

:03:03. > :03:07.welfare. Now, the challenge for anyone is, to come forward with

:03:08. > :03:12.alternative proposals as to how well fair savings. Welfare savings of ?12

:03:13. > :03:17.billion will be found. Clearly, this is some four billion pounds of

:03:18. > :03:21.savings, that are envisaged. -- envy sad sanged. With where I start from

:03:22. > :03:27.is sympathy from the people affected. What happened when yo you

:03:28. > :03:32.reduce people's benefits, they will always complain. When you increase

:03:33. > :03:38.the tax threshold so they pay less tax, they will be happy. They won't

:03:39. > :03:41.complain. When their wages are increased they also won't complain

:03:42. > :03:47.but few you take benefits away they will squeal. What we have to look

:03:48. > :03:53.at, in the round, is clearly the effect on individual people. Now

:03:54. > :03:57.where people are working full-time, and have no alternative but to have

:03:58. > :04:01.tax credits to top up their salaries, their wage, that is where

:04:02. > :04:04.we must have the utmost sympathy. Because those people have no

:04:05. > :04:09.recourse there is no alternative. What do they do? They suffer a lost

:04:10. > :04:12.loss of income which must by definition impact their family, so

:04:13. > :04:17.what I would like to see the Chancellor do as the first thing, is

:04:18. > :04:22.to examine the measures so that the people that are in full-time work do

:04:23. > :04:26.not suffer any impact whatsoever, because I think it is grossly unfair

:04:27. > :04:30.on those individuals. Equally we face the challenge both in the

:04:31. > :04:36.public sector and the private sector, what has happened over due

:04:37. > :04:39.time as the Government have rightly reduced business taxation, to

:04:40. > :04:44.encourage businesses to grow their businesses, and to locate within the

:04:45. > :04:48.United Kingdom. That has to be good news because it is crating --

:04:49. > :04:52.creating job, they have also kept wages artificially low and that has

:04:53. > :04:56.to change. So I greatly support the principle of a living wage, but

:04:57. > :05:03.clearly, that living wage, as it is set at the moment, is far too low,

:05:04. > :05:09.and we need to see that increase, dramatically, so that work pays

:05:10. > :05:11.instead of supplying through the, through the taxpayer having to

:05:12. > :05:16.subsidise work in private industry. That cannot be right. That principle

:05:17. > :05:19.has to change, so I hope that the Government will look at this

:05:20. > :05:24.particular aspect, in particular, so that we can encourage businesses, to

:05:25. > :05:28.pay their staff more for the work they do.

:05:29. > :05:33.That has to be the right way, that we demonstrate that work should

:05:34. > :05:37.always pay. We also then have the criticism constant criticism from

:05:38. > :05:41.the party opposite, that there have been large numbers of part-time jobs

:05:42. > :05:45.created in this country. One of the reasons why that has happened, is

:05:46. > :05:50.clearly that a large number of people know that if they take on a

:05:51. > :05:54.part-time job for working 16 hours a week, they still have access to a

:05:55. > :05:59.large range of benefits. That is a lifestyle choice. I am not going to

:06:00. > :06:03.give away again because I have given way twice already. That is a

:06:04. > :06:07.lifestyle choice people make, what we can see is that Government

:06:08. > :06:11.proposals, restrictions on taxation and benefits do change people's

:06:12. > :06:17.habits. So what we have to do, then, is to enable people, I am not giving

:06:18. > :06:22.way a third time. What we need do is look at how people can change their

:06:23. > :06:26.behaviours to make sure their income is improved and increased. The first

:06:27. > :06:33.area, I think we have to look at, is childcare. Because working mothers,

:06:34. > :06:36.and for, who have childcare responsibility need to have access

:06:37. > :06:41.to proper and decent childcare. -- fathers. I applaud the Government on

:06:42. > :06:45.the 30 hours free childcare, that is is not good enough for whole ranges

:06:46. > :06:53.of families in this position, who can only therefore work part-time.

:06:54. > :06:58.So can the Government please look at improving the amount of free

:06:59. > :07:02.childcare given not to the limited range but extensively so more people

:07:03. > :07:07.in this country can choose to take on more hours at work, and therefore

:07:08. > :07:13.improve their incomes, at no cost to themselves. That would reduce the

:07:14. > :07:18.tax credits bill and ensure that there was greater productivity in

:07:19. > :07:24.our industry. So, those two measures would start to alleviate in problem.

:07:25. > :07:27.But I do think that the Government now, in listening mode, needs to

:07:28. > :07:31.consider where else we are going to save money from within the welfare

:07:32. > :07:37.system, and the challenge also has to come to the opposition, that if

:07:38. > :07:41.the opposition does not agree with reducing tax credits, where else

:07:42. > :07:47.within the welfare system the money would come from. So the clear

:07:48. > :07:52.challenge has to be there, and I look forward to in the summing up,

:07:53. > :07:58.some answers to some of these issue there is a have been raised through

:07:59. > :08:04.this debate. But the reality is, what I am concerned about, above all

:08:05. > :08:08.else, is the great uncertainty there is among my constituents as to how

:08:09. > :08:16.they will be affected next April where the changes to be introduced.

:08:17. > :08:20.As the royal put forward. One of the problems is people are making

:08:21. > :08:25.lifestyle choices. It is not fair on those families, who now are thinking

:08:26. > :08:30.about what they do in terms of their work, where people are studying,

:08:31. > :08:33.what actions they will take for their lifestyle, to be left in

:08:34. > :08:37.limbo, so the quicker this is resolved. The better for everyone

:08:38. > :08:43.concerned. Thank you.

:08:44. > :08:48.And I would like to thank my right honourable friend the member for

:08:49. > :08:52.Birkenhead for bringing this debate. A wiser Chancellor wouldn't have cut

:08:53. > :08:56.tax credits to some of the poorest families in Britain in the first

:08:57. > :09:01.place, but I do believe he has some wriggle room and he can put the mess

:09:02. > :09:05.he has created for Britain's families right. The child poverty

:09:06. > :09:10.action gripe believes that the proposed changes to tax credits will

:09:11. > :09:15.damage work incentives and increase child poverty. I think we have the

:09:16. > :09:22.message loud and clear, that the cuts will mean that work pays less.

:09:23. > :09:29.The changes affect recipients of working tax credit. Who by

:09:30. > :09:37.definition are in work. Analysis by the House of Commons library finds

:09:38. > :09:42.thaw 3.2 million will lose an average of ?1350 next year. Although

:09:43. > :09:46.doubt has been cast on this figure by the honourable member for more

:09:47. > :09:51.come and Lunesdale I do find generally the House of Commons

:09:52. > :09:58.library are fairly thorough and reliable. The same House of Commons

:09:59. > :10:07.library analysis found over 750,000 families earning between 10,000, and

:10:08. > :10:20.20,000 a year will lose up to ?2184 next year. Over 580,000 families,

:10:21. > :10:25.Britain's poorest working families, earning between 3850-6420 a year,

:10:26. > :10:32.face being taxed for the first time they will lose 48 pence in tax

:10:33. > :10:36.credits, for each pound they earn. Some low income families will keep

:10:37. > :10:41.just three pence in every extra pound they earn following the

:10:42. > :10:43.changing. Child poverty will increase, as 4. Changing. Child

:10:44. > :10:48.poverty will increase, as 4.4 billion will be taken from low paid

:10:49. > :10:55.families. These cuts are not compensated for

:10:56. > :10:59.by other changes, such as the so-called national living wage, the

:11:00. > :11:04.rising income tax threshold or the free childcare offer, and

:11:05. > :11:07.importantly, this impacts of these cuts have not been thoroughly

:11:08. > :11:18.assessed. Some working families will face an

:11:19. > :11:25.effective 97% tax rate, losing 32 pence in income tax and nationalen

:11:26. > :11:29.insurance payments and 48 pence in tax credit entitlement, leaving them

:11:30. > :11:34.with just three pence in the pound. At his last party conference speech

:11:35. > :11:38.before becoming Prime Minister, David Cameron argues against higher

:11:39. > :11:43.effective tax rates on low income families, saying if you are a single

:11:44. > :11:48.mother with two kids, earning ?150 a week, the withdrawal of benefits and

:11:49. > :11:51.the additional taxes mean that for every pound you earn you keep four

:11:52. > :11:57.pence. What kind of incentive is that? So what has changed? Two

:11:58. > :12:02.thirds of poor children live in a family where somebody works, and it

:12:03. > :12:05.is inevitable by taking 4.4 billion away from low income working

:12:06. > :12:17.families more children will be forced into poverty.

:12:18. > :12:20.Child poverty is rising, independent projections from the Institute of

:12:21. > :12:37.fiscal studies show clearly that the falls of child poverty rates will be

:12:38. > :12:42.reversed. The number of people receiving tax credits in my

:12:43. > :12:48.constituency is 9700. In the neighbouring constituency, that

:12:49. > :12:56.figure is 14,900. That is nearly 25,000 children affected across the

:12:57. > :12:59.borough of Rochdale. My constituents, one of them, e-mailed

:13:00. > :13:03.me saying, I am dreading going back to work. I am a single mother of

:13:04. > :13:07.three children and I know I am going to get backs soon but I am scared

:13:08. > :13:12.how we -- go back soon but I am scared how we will survive, I am

:13:13. > :13:16.already struggling as it is. Another constituent, public sector worker,

:13:17. > :13:20.wrote to me saying she provides essential public services and tax

:13:21. > :13:25.credits are an important part of her household income. She said that

:13:26. > :13:28.although she would gain from the ?80 increase in personal tax allowance,

:13:29. > :13:34.overall, she would be much worse off. Especially, as she said, if you

:13:35. > :13:39.take into account the fact that the government only wants me to get a 1%

:13:40. > :13:43.pay increase over the next few years. These women and many more

:13:44. > :13:49.like them speak for the reality of life for the working poor. Something

:13:50. > :13:54.which some in this house are comfortable into related from.

:13:55. > :14:00.Indeed, when I worked for the NHS, child tax credits help to me. They

:14:01. > :14:03.helped me to remain in full-time employment because it helps me

:14:04. > :14:09.afford a childminder for my school-age son. And of course we do

:14:10. > :14:13.welcome the higher minimum wage, and the increase in free childcare

:14:14. > :14:17.provision that as has been pointed out by many honourable members, that

:14:18. > :14:22.only goes so far. We need to get work incentive right, which will be

:14:23. > :14:28.critical in tackling in work poverty. And what we need to do

:14:29. > :14:34.first of all is to push employers into paying the living wage. And

:14:35. > :14:39.that is the real living way, not the government's national minimum wage,

:14:40. > :14:43.which is lower and does not apply to workers under 25 years of age. We

:14:44. > :14:51.need to tackle the causes of low pay, before we start cutting tax

:14:52. > :14:55.credits. I agree with my honourable friend, the member for Darlington,

:14:56. > :15:01.that the vote on Monday may have done the Chancellor favour. In

:15:02. > :15:06.giving him a breathing space and a chance to put this situation right

:15:07. > :15:10.by supporting working families instead of penalising them for doing

:15:11. > :15:14.the right thing. And although the Chancellor may have only just

:15:15. > :15:18.discovered that the House of Lords is unelected, I do hope that he will

:15:19. > :15:25.take this opportunity to reverse these tax credit cuts. Thank you.

:15:26. > :15:29.Thank you, Madam Deputy Speaker. I would like to congratulate the

:15:30. > :15:31.honourable member for Birkenhead and also the backbench business

:15:32. > :15:37.committee for granting us this very timely debate to reconsider the

:15:38. > :15:42.impact on the lowest paid workers of the proposed changes to tax credits

:15:43. > :15:46.and for the government to bring forward mitigation proposals for

:15:47. > :15:51.this house. Early next year, it is the centenary of the birth of Harold

:15:52. > :16:00.Wilson. And that Huddersfield glad coined the phrase that a week is a

:16:01. > :16:03.long time in the ticks. -- in politics. A lot of ermine and a

:16:04. > :16:10.flood of e-mails have flowed under the bridge since I signed this

:16:11. > :16:12.motion last week. I want to make it clear from the start that I

:16:13. > :16:22.absolutely support the Chancellor in getting in Britain to live within

:16:23. > :16:24.its means. I often suggests people talking about austerity replace it

:16:25. > :16:29.with the phrase living within their means, which brings a whole new

:16:30. > :16:33.meaning to the campaign slogan, antique living within your means.

:16:34. > :16:39.Since last week, many constituents have echoed my position. To follow

:16:40. > :16:42.the style of the Leader of the Opposition, I would like to say that

:16:43. > :16:48.Martin from the home valleys says, he agrees with the shift in tax

:16:49. > :16:56.credits to increase to pay, but he does share my concern about the

:16:57. > :17:01.transitional impact of the changes. Bob says, he understands the point I

:17:02. > :17:04.am making about employers underpaying staff and agrees with me

:17:05. > :17:13.on the need to reconsider the pace of change. Nicola says, she agrees

:17:14. > :17:18.that the tax credit system is is not perfect, as is the whole benefit

:17:19. > :17:21.system. Currently, she says, she would be better off financially

:17:22. > :17:27.reducing her hours as she works full-time. The way to change the

:17:28. > :17:31.system needs to be in fermented. She says she feels she is being

:17:32. > :17:36.currently punished by the benefit system by trying to bring home mail

:17:37. > :17:44.money by working her way up. A single person on income support on

:17:45. > :17:48.housing benefit can be paid out more in benefits than she rings home

:17:49. > :17:52.including her tax credits to support her family. And Dorothy says, she

:17:53. > :17:58.fully understands the need for reform. The motion today clearly

:17:59. > :18:06.states it is the pace and the impact on the lowest paid workers. I firmly

:18:07. > :18:11.believe that work should always pay. People should always be better

:18:12. > :18:18.off in a job than benefits. And I say that as someone who did not go

:18:19. > :18:23.to university. When I left school, I did a succession of low-paid

:18:24. > :18:26.part-time jobs before I joined the Royal Air Force at the age of 19,

:18:27. > :18:35.worked my way up and travelled the world. I am proud that since 2010,

:18:36. > :18:42.unemployment in my constituency is down by 51%. I am proud that use

:18:43. > :18:50.unemployment is down by more than one half. -- youth unemployment. I

:18:51. > :18:56.am proud that there is a net increase of 170 new businesses and

:18:57. > :19:01.there have also been over 4700 new apprenticeships started. I am proud

:19:02. > :19:06.to say I have just taken on my first apprentice and I campaign him the

:19:07. > :19:13.living wage. On Friday 20th of November, I am holding my latest

:19:14. > :19:16.jobs fair at the Civic Hall where over 30 local businesses and

:19:17. > :19:23.organisations will be offering quality jobs and apprenticeships. We

:19:24. > :19:27.must build a low tax, low welfare, high wage economy. And as a

:19:28. > :19:34.compassionate conservative, I want to live in a country where everyone

:19:35. > :19:38.has the opportunity of a decent, well paid job. So let's crack on

:19:39. > :19:43.with it, and let's stand up for working people. I welcome the

:19:44. > :19:46.Chancellor's announcement that he will lessen the impact on families

:19:47. > :19:52.and he will lessen the impact on families and people set out these

:19:53. > :19:56.plans in the Autumn Statement. I hope the Chancellor and his Treasury

:19:57. > :19:59.boffins will be listening very carefully to the various

:20:00. > :20:06.suggestions, some of them very, very inventive, the transition

:20:07. > :20:11.arrangementss. Madam Deputy Speaker, let's show that Britain can live

:20:12. > :20:17.within its means but most importantly, whilst looking after

:20:18. > :20:22.the most vulnerable and supporting those who go out and work everyday.

:20:23. > :20:27.I am going to make a very unusual statement. Members have been so

:20:28. > :20:31.disciplined and have taken so few interventions and have been so

:20:32. > :20:38.careful in their remarks this afternoon, that we have more time

:20:39. > :20:41.than I have had anticipated. I am therefore going to increase the

:20:42. > :20:50.limit on backbench speeches to eight minutes. So we will hear even more

:20:51. > :20:56.from Mr Alan Brown. Thank you, Madam Deputy Speaker. I welcome this

:20:57. > :21:01.debate today and I welcome for the most part the tone of the debate,

:21:02. > :21:06.particularly the early contributions from the benches opposite. I really

:21:07. > :21:10.hope these contributions are a sign that there is a mood swing across

:21:11. > :21:17.the whole government benches which, I must say, is in stark contrast to

:21:18. > :21:20.recent contributions. If it is OK, I would like to outline some of the

:21:21. > :21:26.previous actions of this house and contributions from members over the

:21:27. > :21:31.past week which had myself head scratching, and I am sure my

:21:32. > :21:37.constituents, in terms of the focus of this house. Last Thursday, one

:21:38. > :21:41.honourable member suggested that a public fund be set up to donate to

:21:42. > :21:45.the restoration of this house. I found that incredible. If I took

:21:46. > :21:55.that addition to my constituents, the only way I would get money is if

:21:56. > :22:00.I got them to donate to swear box if I suggested it. Another member said

:22:01. > :22:16.there was no need to reform the House of Lords, and we had a debate

:22:17. > :22:21.last Thursday, on the Euro, and a number of members over the other

:22:22. > :22:26.side suggested that this was the thing their constituents were most

:22:27. > :22:36.worried about. Over the weekend, we had the bill for Trident is up to

:22:37. > :22:42.?160 billion. That is a 67% increase and yet, the government does not

:22:43. > :22:46.flinch. They are still taking forward these proposals on tax

:22:47. > :22:51.credits. Monday night, there was a lost opportunity, I think, to kill

:22:52. > :22:56.the tax credit built stone dead. But at least the other place did flex

:22:57. > :23:00.some muscle and is causing the government to think again. There

:23:01. > :23:04.have been plenty of suggestions today on how we can take this

:23:05. > :23:07.forward. I should ask that the previous tone on some of the debate

:23:08. > :23:10.on tax credits has been very unhelpful, and I welcome the earlier

:23:11. > :23:17.contribution from the honourable member for Aberconwy. Which actually

:23:18. > :23:23.can condemns one of his friends for suggesting that one of the

:23:24. > :23:27.suggestions to make up for tax credits was to take to jobs or work

:23:28. > :23:33.longer hours, that is not practical and it is one way to work or soft

:23:34. > :23:37.into an early grave. -- work yourself. This is the number one

:23:38. > :23:43.issue for my constituents and I am pleased that the SNP has been

:23:44. > :23:47.consistent in arguing against the cut in tax credits. Within my

:23:48. > :23:52.constituency, there is an estimated 3800 working families that currently

:23:53. > :23:58.are likely to be affected by tax credit proposals unless they are

:23:59. > :24:02.amended. In previous debates we have talked about the high wage, low

:24:03. > :24:05.tax, low welfare system. That has been clearly blown out of the water

:24:06. > :24:10.by independent analysis and I welcome the fact that many

:24:11. > :24:12.Honourable members in the inches opposite have acknowledged that and

:24:13. > :24:18.they are calling for action to make sure we protect those on the lowest

:24:19. > :24:21.wages. We should not forget people who are not working and are looking

:24:22. > :24:27.to get into work, they are the ones who are in line to lose ?2000 per

:24:28. > :24:31.year. That is impossible. They cannot lose that money and sustain a

:24:32. > :24:35.family. A lot of people move in and out of work. Not only would they be

:24:36. > :24:41.potentially losing money when they are in work, if there are zero hours

:24:42. > :24:45.contract or they are unfortunate enough to lose their work, if they

:24:46. > :24:50.are out of work and they need support, that support is being cut

:24:51. > :24:52.dramatically. So what should we do? There have been some good

:24:53. > :24:57.suggestions earlier on but the first thing is, we need to bring in a

:24:58. > :25:01.proper living wage. A living wage in line with the cuts in tax credits so

:25:02. > :25:06.that we haven't the cuts in welfare to make sure people are protected in

:25:07. > :25:12.terms of income. -- we balance the cuts in welfare. The Chancellor

:25:13. > :25:15.could increase support for small and medium-sized enterprises to take on

:25:16. > :25:20.more employees, to help more people into work. I mentioned the cost of

:25:21. > :25:23.Trident, we could easily scrap Trident, and we could scrap the

:25:24. > :25:27.other place, even though we welcome the decision they made the other

:25:28. > :25:32.day, we still call for the other place to be scrapped. It is

:25:33. > :25:36.perfectly obvious there should be a cut in tax avoidance and evasion.

:25:37. > :25:48.The other night the SNP put forward a motion... I personally think we

:25:49. > :25:56.should press bows -- macro scrap the proposed right to buy social housing

:25:57. > :26:01.and the subsidies on the rights to buy. There is no way the taxpayer

:26:02. > :26:12.should be paying up to ?100,000 for somebody to purchase a home in

:26:13. > :26:15.London. In terms of in Scotland, it would be helpful if the UK

:26:16. > :26:18.Government allowed better borrowing powers for the Scottish governance

:26:19. > :26:23.so they can use those powers to invest in infrastructure and capital

:26:24. > :26:27.spend which will create jobs. I mentioned housing, the government

:26:28. > :26:29.should be building more housing. In government in Scotland we have been

:26:30. > :26:32.showing the way in building more showing the way in building more

:26:33. > :26:37.social housing, producing more jobs and a better standard for living for

:26:38. > :26:40.people. Then they are building energy-efficient homes which means

:26:41. > :26:44.that families are paying less in heating and makes it easier in terms

:26:45. > :26:50.of not having to make that difficult choice in terms of heating and

:26:51. > :26:54.eating. The other measures the SNP suggested, reintroduce the 50p tax

:26:55. > :26:59.rate. We should not raise the upper threshold. We could have a bank

:27:00. > :27:01.levy, mansion tax, and going through with the complete aberration of

:27:02. > :27:12.non-Dom status. The government does not have too go to the deficit so

:27:13. > :27:23.slowly -- quickly, it can go for a more delicate and balanced approach.

:27:24. > :27:30.We should not be looking at low-paid workers, and talking about the

:27:31. > :27:34.exception policy with a third child. Nobody from the opposite benches

:27:35. > :27:40.have intervened in that because it is an obscene policy and nobody can

:27:41. > :27:43.justify or explain it. I asked the government minister to speak with

:27:44. > :27:49.the Chancellor, revisit this whole package because the savings are only

:27:50. > :27:53.?4.6 billion. We need a proper strategic overview and that might

:27:54. > :27:56.get us to a long-term recovery plan which works in action not just in

:27:57. > :28:01.words cheered from the benches opposite.

:28:02. > :28:08.Thank you, Madam Deputy Speaker. Also the government are pursuing the

:28:09. > :28:12.right strategic course of supporting working families through the tax

:28:13. > :28:15.system, it's become very clear over the last few weeks the way this

:28:16. > :28:22.policy was being implemented was going to leave many poor and

:28:23. > :28:27.vulnerable families harshly exposed. As a result of the efforts of my

:28:28. > :28:32.honourable friend this debate, we can properly consider the

:28:33. > :28:39.transitional measures brought in to support those families. The current

:28:40. > :28:43.arrangements and the proposals the government have introduced are to be

:28:44. > :28:46.welcomed. The increase in the personal tax threshold will enable

:28:47. > :28:49.working taxpayers to keep more of the money they earn. The

:28:50. > :28:54.introduction of the national living wage is a bold and radical move

:28:55. > :28:58.which my honourable friend the Chancellor of the Exchequer should

:28:59. > :29:03.be applauded. The government has rightly prioritised working families

:29:04. > :29:06.for the offer of 30 hours free childcare but these initiatives on

:29:07. > :29:16.their own don't go far enough and more transitional supporters needed.

:29:17. > :29:21.In the constituency I represent, people often work part-time. That

:29:22. > :29:25.like to work longer hours and earn more, and through hard work and

:29:26. > :29:30.training, they'd like to climb up a ladder of workplace progression. The

:29:31. > :29:34.problems they have is that this option isn't currently available to

:29:35. > :29:39.them. Has been an economic decline for 40 years. Traditional industries

:29:40. > :29:44.have gone, the factory gates have closed, and the fishing industry is

:29:45. > :29:47.a poor shadow of itself. Scene is repeated in many places around their

:29:48. > :29:50.country. To their credit, the coalition government and this

:29:51. > :29:55.government have recognised this fundamental flaw in the country's

:29:56. > :29:59.economy and they are putting in place policies that will reverse

:30:00. > :30:03.this decline and bring new jobs to many areas. Policies that will

:30:04. > :30:09.ensure that in the long term we will have a balanced economy where growth

:30:10. > :30:11.is not concentrated in a few places, and where opportunities are

:30:12. > :30:16.available for all across the whole country. Devolution, investment in

:30:17. > :30:21.infrastructure, investment in education and schools. These

:30:22. > :30:26.policies will work but they will not do so overnight. They will need

:30:27. > :30:33.time, and they may well need to be refocused, redesigned, and rebooted.

:30:34. > :30:37.In the short term, there is a need for support to ensure that the

:30:38. > :30:42.removal of working tax credits doesn't punitively hit those on low

:30:43. > :30:45.wages. There is no silver bullet, and there may well be a need for

:30:46. > :30:50.more than one initiative. The Treasury will need to weigh up very

:30:51. > :30:54.carefully what alternative tax-raising measures may be

:30:55. > :30:59.necessary in order to produce a balanced budget and to remain on

:31:00. > :31:04.course to eliminate the deficit. It is very important that any tax

:31:05. > :31:09.increases are progressive, and do not hit on fairly the poorest

:31:10. > :31:17.members of society. As mitigating measures, I make four suggestions.

:31:18. > :31:21.Full consideration should be given to phasing and the withdrawal of

:31:22. > :31:26.working tax credits, spreading out would be fairer and rising wages

:31:27. > :31:30.would help reduce the impact. Secondly, increasing the point at

:31:31. > :31:33.which employees start paying National Insurance should also be

:31:34. > :31:39.considered. This will be more effective than a further increase in

:31:40. > :31:44.the personal tax threshold as people will pay National Insurance from

:31:45. > :31:50.?8,164 compared to ?11,000 for income tax. Thirdly, the offer of

:31:51. > :31:53.tax breaks for those businesses who voluntarily and more quickly move to

:31:54. > :31:58.pay the national were living wage should also be looked at. And,

:31:59. > :32:05.finally, I think that we do need to review the current design of the

:32:06. > :32:08.universal credit. It is in many respects bizarre that the

:32:09. > :32:11.introduction of the universal credit and the withdrawal of working tax

:32:12. > :32:15.credits are being carried out at the same time by different apartments.

:32:16. > :32:21.This might explain why the government is in the position they

:32:22. > :32:23.find themselves today, with policies not properly coordinated. Working

:32:24. > :32:30.tax credits were introduced by Gordon Brown with apparently limited

:32:31. > :32:33.consultation with the DWP. It is a fatal flaw at the heart of

:32:34. > :32:39.government which should have been addressed a long time ago. The great

:32:40. > :32:44.advantage of universal credit is its simplicity. It'll boost employment,

:32:45. > :32:48.and it'll make it easier for people to understand why they are better

:32:49. > :32:52.off in work. However, it should be made more flexible. Much of the

:32:53. > :32:56.current emphasis is on getting one person in a household into work.

:32:57. > :33:00.There should be more focus on boosting employment within the

:33:01. > :33:05.household as a whole. There is a need to rebalance the incentives

:33:06. > :33:08.universal credit creates to better support single parents, second

:33:09. > :33:13.earners in families with children, and also the disabled. The universal

:33:14. > :33:15.credit should be made easier to use. It should not penalise families

:33:16. > :33:24.whose earnings and outgoings don't fit into the monthly pattern. There

:33:25. > :33:26.is a particular problem for the 800,000 self-employed households

:33:27. > :33:32.moving on to universal credit have to start to apportion their income

:33:33. > :33:37.on a monthly basis rather than through the annual HMC 's

:33:38. > :33:45.self-assessment. This creates a huge bureaucratic burden. I will give

:33:46. > :33:51.way. I agree with my honourable friend. He, like me, represents a

:33:52. > :33:54.coastal community with low pay. Would he acknowledge that as well as

:33:55. > :34:01.the help that needs to be given to those who are in receipt of the tax

:34:02. > :34:05.credits, we must pay particular attention to the fact that the

:34:06. > :34:11.spending power that is being taken out of the local economy, if we

:34:12. > :34:13.proceed with the proposals as the government previously outlined,

:34:14. > :34:19.would be detrimental to our areas, and that is something we have to

:34:20. > :34:22.take into consideration? Grateful to my honourable friend for making that

:34:23. > :34:28.intervention. He is, of course, quite right in making that comment.

:34:29. > :34:32.Very often, perhaps, when in the Treasury, you've got some very

:34:33. > :34:36.clever people there, you look at the country as a whole but you need to

:34:37. > :34:42.realise that things are very different in different places. The

:34:43. > :34:46.final point I want to make on universal credit is the requirement

:34:47. > :34:51.to provide childcare bills on a monthly basis could mean parents

:34:52. > :34:55.whose child care costs are high at certain times of the year will be

:34:56. > :35:00.financially worse off than they would be under the current system.

:35:01. > :35:04.Finally, for those receiving help with rate, the option of payments

:35:05. > :35:10.going straight to the landlord should be more easily accessible. In

:35:11. > :35:14.conclusion, Madam Deputy Speaker, in the longer term, I think the

:35:15. > :35:18.government need to take stock of their approach to welfare reform.

:35:19. > :35:22.They have been right to rise to the challenge and most of their policies

:35:23. > :35:29.have been successful. How they move forward needs careful thought and

:35:30. > :35:33.reflection. Perhaps, alongside the benefit cap, there should be a

:35:34. > :35:39.benefit ceiling. In the short term, in the next four weeks, there is a

:35:40. > :35:43.lot of work to be done to get this particular policy right. To ensure

:35:44. > :35:48.that it is fair, that it does not penalised the working poor. And that

:35:49. > :35:56.it does provide them with that ladder of work -based progression.

:35:57. > :36:01.Madam Deputy Speaker, this has been a very strange debate, it is as if

:36:02. > :36:06.we have managed to collect within the chamber of the House of Commons

:36:07. > :36:12.all the sensible people from all the parties, and have a serious debate

:36:13. > :36:19.about. It is unnerving to step out the comfort zone of yelling of each

:36:20. > :36:23.other and listen to sensible contributions, including the 1 we

:36:24. > :36:26.have just heard. And, perhaps, it is a lesson to all of us that maybe

:36:27. > :36:30.this is the way we should have done it in the first place. Before the

:36:31. > :36:35.Chancellor made an announcement. Actually to set out some broad

:36:36. > :36:38.principles, would need to reduce the welfare budget, we made a commitment

:36:39. > :36:43.in the manifesto and we'd like to look at these issues, we need to

:36:44. > :36:48.find ?12 billion, how might we best do it? And using the wit of all the

:36:49. > :36:51.people throughout the chamber, all the select committees that we

:36:52. > :36:56.nominate and a point which work incredibly hard on our behalf, I am

:36:57. > :37:02.perfectly sure we could have come up with something less painful, less

:37:03. > :37:06.crude and less crass, and saving the Chancellor a fair bit of grief as

:37:07. > :37:11.well. However, we didn't do it that way. We are doing it the other way

:37:12. > :37:17.around. And let's hope we can get to something like a sensible result. It

:37:18. > :37:21.also hope we will listen to the people out there. This is a classic

:37:22. > :37:25.debate, where we need to actually listen to the people who will be

:37:26. > :37:30.influenced, the people impacted. Often not very articulate people,

:37:31. > :37:34.often not necessarily people who will be in touch with a local member

:37:35. > :37:38.of Parliament, but I really want to speak up for all of those people,

:37:39. > :37:44.particularly in my own constituency of Nottingham North, the dinner

:37:45. > :37:49.ladies, the check-out staff, the administrative staff, nursing and

:37:50. > :37:55.teaching assistants, manual workers, all of whom need us, whatever our

:37:56. > :38:01.political persuasion, to be sticking up for them right now because we

:38:02. > :38:05.should all be in it together but, actually, very often it feels we are

:38:06. > :38:09.not. I looked at the numbers of people in my constituency who will

:38:10. > :38:13.benefit from the changes in inheritance tax. And I came up,

:38:14. > :38:19.after a lot of searching, with a large zero. Unfortunately, it didn't

:38:20. > :38:23.take me much time to find the numbers of the people in my

:38:24. > :38:29.constituency who will not be benefiting from these changes on tax

:38:30. > :38:33.credit. It actually amounts to 12,300 children in the families that

:38:34. > :38:39.are impacted. Why is it important to me? It is because I am to be MP for

:38:40. > :38:44.the second most deprived area in the UK in terms of child poverty in low

:38:45. > :38:49.income families. That is a matter of great concern to me. It is not all

:38:50. > :38:55.in it together because those kids are not in it with the people who

:38:56. > :38:59.are on higher incomes, and they should be shouldering a fair share,

:39:00. > :39:05.nothing more, a fair share of the tax burden our country. In effect

:39:06. > :39:12.what we are doing, those colleagues who missed out who know their food

:39:13. > :39:15.banks, this is in effect a food bank recruitment scheme on behalf of the

:39:16. > :39:20.government. And I think we need to be very, very careful about how we

:39:21. > :39:24.tread on this because no one is ready for it. Some of us believed

:39:25. > :39:28.the prime Minister when he was on television before the general

:39:29. > :39:32.election and said there would be no changes to the tax credit system.

:39:33. > :39:36.And that is the same prime minister who, sadly, was in this house with

:39:37. > :39:41.all of us just if you weeks ago saying he was delighted the cuts

:39:42. > :39:46.were voted through on the previous evening. That indicate something

:39:47. > :39:53.else, Madam Deputy Speaker, which is a contempt for institutions other

:39:54. > :39:59.than government. And I do Labour this point, I know, but the point

:40:00. > :40:03.about listening to people outside, it doesn't mean you are diverted

:40:04. > :40:06.from your principles, it means you can enable your principles better by

:40:07. > :40:12.listening to people who might be able to help you in a slightly

:40:13. > :40:17.better way. The other thing is the impact on broader families. Four out

:40:18. > :40:22.of five families in my constituency received tax credits because of the

:40:23. > :40:25.low income nature of my constituency, being in the top 20 of

:40:26. > :40:31.those constituencies that are deprived. We can do a job for them.

:40:32. > :40:36.We're not going to overturn necessary what the Chancellor thinks

:40:37. > :40:41.but members in this house can do as the member for Birkenhead has done

:40:42. > :40:45.and look at the question of papers, of thresholds, transitions, of the

:40:46. > :40:49.time all we need to allow people to adjust to a massive change that is

:40:50. > :40:53.going to take place in their life. Looking at the family element,

:40:54. > :40:58.looking consistently and reviewing and analysing over future years the

:40:59. > :41:03.impact of this so that we can mitigate it on the worst examples

:41:04. > :41:08.and the worst cases. I'm delighted today we haven't heard that word,

:41:09. > :41:13.scroungers, in this debate, or people having a free ride on the

:41:14. > :41:17.state and on the system because, as it happens, in my constituency, two

:41:18. > :41:22.thirds of those people who are on tax credits are at work. They are

:41:23. > :41:27.being subsidised to be at work by the rest of us, and subsidising

:41:28. > :41:34.low-paying employers. I will give way. Maybe one of the reasons this

:41:35. > :41:40.debate today has not been disfigured by such terms is because the people

:41:41. > :41:44.that my honourable friend is talking about are literally the people, the

:41:45. > :41:47.friends and families and neighbours that we stand alongside in

:41:48. > :41:50.supermarket queues and on the side of the rugby pitch on a Sunday

:41:51. > :41:56.morning, and so on. These are literally the people that we know.

:41:57. > :42:04.And they are not them and us. They are us. And that's why we have to,

:42:05. > :42:06.as we side alongside them in the supermarket queues, stand alongside

:42:07. > :42:11.them here as well because they deserve us.

:42:12. > :42:17.My honourable friend is absolutely right, although sometimes when we

:42:18. > :42:20.think this is a big issue and some of the media does, you would be

:42:21. > :42:25.amazed that people don't actually know that it is going to hit them.

:42:26. > :42:33.Until that letter drops. Until it actually happens. As a wise old bird

:42:34. > :42:38.once said, who used to be in the House of Commons, he taught me that

:42:39. > :42:42.lesson. He said it won't affect people's real lives until next

:42:43. > :42:47.April. And then there will be a shock and tidal wave of people

:42:48. > :42:53.saying, "my God, what are you doing to us. Why are you allowing this to

:42:54. > :42:58.happen?" And that's between -- by between now and then, we have to do

:42:59. > :43:01.our best to mitigate the worst consequences. I just want to say a

:43:02. > :43:13.few words about the National Living Wage. The National Living Wage is a

:43:14. > :43:18.bit like evil. It is so smart, but the reality is, is it really be

:43:19. > :43:23.substance? Is it really the detail of what people need in their lives?

:43:24. > :43:25.Saying you are going to have a national minimum wage sounds

:43:26. > :43:29.fantastic, but if it doesn't actually mean that your income is

:43:30. > :43:36.going to be at least as good as it exports before, it is a fraud. -- as

:43:37. > :43:41.it was before. I thank him for giving way. Does he agree with me

:43:42. > :43:45.that the National Living Wage is not the actual living wage, which is set

:43:46. > :43:50.by the living wage foundation, which is far higher than the governments

:43:51. > :43:55.of National Living Wage. And that to call it a living wage is a misnomer?

:43:56. > :43:59.I totally agree with her intervention. The living wage

:44:00. > :44:03.foundation has already blown that myth out of the water and said it is

:44:04. > :44:07.not actually what everybody else seems to think of as being the

:44:08. > :44:15.living wage. The Institute for Fiscal Studies, our own House of

:44:16. > :44:19.Commons library have both said that the so-called National Living Wage

:44:20. > :44:22.doesn't make good what people will lose and both of those highly

:44:23. > :44:26.authoritative independent organisations say it will only cover

:44:27. > :44:35.about one quarter of the loss that family will incur. Then you have a

:44:36. > :44:41.lot of other factors, like being compounded, the difficulties being

:44:42. > :44:46.compounded around the idea of Universal Credit. And all this in

:44:47. > :44:49.terms of my constituency is showing that deprivation is not being

:44:50. > :44:57.addressed and analysis IT in the way that it should be. Over the last

:44:58. > :45:01.five years, in my constituency, 5.9% more people are in the category of

:45:02. > :45:05.being deprived than they were five years ago. And I just asked the

:45:06. > :45:14.Chancellor to try to understand this. It isn't always Witney and

:45:15. > :45:18.pattern. Those are the 20 most deprived constituencies, like

:45:19. > :45:22.Liverpool Walton, Manchester Central. That's where our people

:45:23. > :45:27.live and where people need their representatives to stick up for

:45:28. > :45:31.them. That's where the free market, politically, doesn't work, inviting

:45:32. > :45:36.people over for shooting or writing. That is not where I live, it's not

:45:37. > :45:40.the way other people will get that message over and have their voices

:45:41. > :45:47.heard. It is by sensible people that we have heard from all parties

:45:48. > :45:54.briefly. In the spirit of this briefly. In the spirit of this

:45:55. > :45:58.cross-party co-operation, does he not accept that there are some small

:45:59. > :46:03.businesses where we don't go sheeting and were not into that kind

:46:04. > :46:09.of behaviour. -- shooting. But there are some that appreciate the fact

:46:10. > :46:13.that the Treasury is allowing them to adapt to a new National Living

:46:14. > :46:19.Wage. And the time allowed was not necessarily made available to those

:46:20. > :46:25.recipients of tax credits. The honourable gentleman will forgive

:46:26. > :46:30.me, I'm not trying to trivialise it. We all need to work together and

:46:31. > :46:34.put our points collectively said the government will listen, something

:46:35. > :46:42.they should have been doing before and I represent lots of places, area

:46:43. > :46:46.is not known to places Leigh people in this chamber today. Real people,

:46:47. > :46:56.as you all have in your constituencies. -- these people. And

:46:57. > :47:01.they will be hit hard by this. The technical knowledge around those

:47:02. > :47:10.issues, I am not so were rough, but let's make the best of a very, very

:47:11. > :47:18.bad job. -- so aware of. It's a pleasure to speak in this debate. I

:47:19. > :47:26.echo his comments that I have been sitting through. Far more positive

:47:27. > :47:32.than some of the ones we sometimes see. I would like to thank the

:47:33. > :47:38.member for Birkenhead in securing this debate and I knew I could look

:47:39. > :47:43.forward to a measured speech that he would give and he delivered on it.

:47:44. > :47:50.In terms of speaking today, I wanted to start with do I believe that the

:47:51. > :48:01.tax credits system needs reform? At the moment, six out of ten families

:48:02. > :48:08.receive it. You can receive it and the House of Commons library shows

:48:09. > :48:16.some that are over ?40,000 receive some of it. So it was interesting to

:48:17. > :48:20.hear that one said it was a bill that needs to be reduced. It will be

:48:21. > :48:28.interesting to see what proposals are brought forward. I do support

:48:29. > :48:34.the Chancellor 's aims, doing a high wage, low welfare economy. In my

:48:35. > :48:38.constituency over the last five years, there are less people on

:48:39. > :48:43.unemployment benefit, more people getting opportunities and seen the

:48:44. > :48:49.investment going in to create more jobs and see a real drive to help

:48:50. > :48:53.people get on in life and make a difference to them and their

:48:54. > :48:57.families. That's what I support. That's the core of the reasons I am

:48:58. > :49:07.here and practices on these benches as a Conservative member of

:49:08. > :49:13.Parliament. -- proud to sit. I will end up voting to this motion if I

:49:14. > :49:19.end up sitting on it. My family was rich in love, if not in money when I

:49:20. > :49:27.was growing up. My father worked as a painter and my mother was a

:49:28. > :49:33.teaching assistant. I disagree with some of the members opposite. I

:49:34. > :49:37.think it's right we give people the opportunity to buy their own house.

:49:38. > :49:43.I grew up in a house where my parents were able to be helped to

:49:44. > :49:49.buy their own houses. Ironically, that was brought in by a Labour

:49:50. > :49:52.government. It's not that long ago that those on the left were arguing

:49:53. > :49:58.that people shouldn't be paying rent, they should be owning their

:49:59. > :50:02.own homes. It is right we continue that opportunity for a new

:50:03. > :50:09.generation, based on dealing with having more housing supply coming.

:50:10. > :50:15.For me, we do need to have some clever ideas around how to mitigate

:50:16. > :50:20.it. I notice we seek the usual magic money trees presented by some. Those

:50:21. > :50:23.are the same people whose oil revenue projections weren't exactly

:50:24. > :50:28.accurate last year either. Sticking to the issue, I have confidence the

:50:29. > :50:31.Chancellor will come forward in the Autumn Statement with proposals to

:50:32. > :50:35.mitigate the impact for the lower paid and that is why I am happy to

:50:36. > :50:40.support this motion to ask the government to look at it again. I

:50:41. > :50:47.think the actual hit, it is fine to talk about the destination of a high

:50:48. > :50:52.wage, low welfare economy. Go on then. I wonder if he could enlighten

:50:53. > :50:58.us on how the Chancellor was going to forecast for the debt reduction

:50:59. > :51:03.in the last parliament? Let me talk about how we have an economy moving

:51:04. > :51:07.forward, we have increased health spending, which has not happened in

:51:08. > :51:16.Scotland and I must say, if we talk about what is happening in Scotland,

:51:17. > :51:27.last week 's daily record, our failing NHS is the SNP's fault. --

:51:28. > :51:30.daily record. But going back to what we are here to debate today, it is

:51:31. > :51:36.always lovely to have an accompaniment from this benches.

:51:37. > :51:40.It's not the e-mails I've received, It's not the e-mails I've received,

:51:41. > :51:44.it's not the stuff in the media, it's about the thousands of families

:51:45. > :51:48.I represent that are like the family I came from. And whatever we may

:51:49. > :51:52.think of the destination of this policy area, it is about making sure

:51:53. > :51:59.that the journey we go to get to it is one that doesn't impact on people

:52:00. > :52:06.who are trying to do their best in life. As I listened to the

:52:07. > :52:10.Birkenhead speech, I think it is important is that we have

:52:11. > :52:16.alternatives that don't make things worse or create the wrong

:52:17. > :52:23.incentives. One member made a point about the House of Commons library

:52:24. > :52:29.figures on his proposals, and indicated an effective taxation rate

:52:30. > :52:36.of almost 100%, which would be higher than what anyone in the world

:52:37. > :52:42.is paying in terms of income. It would be strange to implement that

:52:43. > :52:45.just to the people on under ?20,000. When it turns into something like

:52:46. > :52:53.that, it would be a disincentive to work. For me, I look forward to

:52:54. > :52:59.seeing what the government bring forward. I also look forward to

:53:00. > :53:08.continuing engagement with the Treasury bank. And I think it is

:53:09. > :53:14.right that we cannot just oppose and not offer up alternatives and I hope

:53:15. > :53:21.there will be clear engagement with members of this house and with

:53:22. > :53:26.Parliament on how we can mitigate them and deliver them on a

:53:27. > :53:32.deliverable settlement, which means we achieve our fiscal goals, which

:53:33. > :53:35.were so strongly endorsed in the UK General Election not that long ago.

:53:36. > :53:44.It has been a pleasure to sit through this debate and it will be a

:53:45. > :53:49.pleasure to welcome the proposals put forward to mitigate the impact

:53:50. > :53:57.on the lowest paid, as this motion calls for. Thank you. Can I just

:53:58. > :54:00.started by welcoming the Chancellor's announcement on Tuesday

:54:01. > :54:04.that he will be bringing measures forward to mitigate the changes to

:54:05. > :54:09.tax credits, but the question that is on all of our lives is how far

:54:10. > :54:17.does this inclination stretch? To mitigate some to mitigate all? My

:54:18. > :54:22.message is very clear. Changes must be of a certain way. They should be

:54:23. > :54:27.tapered, so people don't lose out. They should be phased in. The

:54:28. > :54:33.package should increase incomes at the same rate as which tax credits

:54:34. > :54:37.are tapered off. It's easy to admit that I have certain sympathies with

:54:38. > :54:44.the principle being pursued here. I think everybody, everybody sensible

:54:45. > :54:52.person -- every sensible person should agree that work should pay.

:54:53. > :54:57.In an ideal world, the government wouldn't need to prop up wages. But

:54:58. > :55:02.we don't live in that ideal world at the present moment. The economy is

:55:03. > :55:09.not in that position. The government had intended to put the cart before

:55:10. > :55:14.the horse. As a cynic, I don't believe the Chancellor's statement

:55:15. > :55:19.had compassion at its heart. For me, it was driven by fear, fear of

:55:20. > :55:26.losing power in the phoney constitutional law that has now been

:55:27. > :55:33.started with the other place. Yes, of course. I agree with my

:55:34. > :55:37.honourable friend that the second chamber has forced the Chancellor's

:55:38. > :55:42.hand here, but would he agree with me that despite their intervention,

:55:43. > :55:47.it still does not legitimise the constitutional absurdity that is an

:55:48. > :55:52.unelected, unaccountable, and ever-growing legislator at the end

:55:53. > :55:57.of the corridor? I think the house would be unsurprised to know that I

:55:58. > :56:04.completely agree, just because it sees sense on one particular issue,

:56:05. > :56:07.it doesn't legitimise it. The Chancellor's statement was

:56:08. > :56:15.predicated on much as the fact that as an unelected chamber, it stuck

:56:16. > :56:22.its nose into financial matters, so it it's corroborate our view that

:56:23. > :56:26.the other patient should go. -- place should go. We should put

:56:27. > :56:31.ourselves back in the shoes that many of us walked in not so long

:56:32. > :56:36.ago. Figuring out what ordinary people would lose them finding that

:56:37. > :56:40.completely and utterly unacceptable. We were elected in this place to

:56:41. > :56:48.protect vulnerable people. Not to punish them. I was going to use this

:56:49. > :56:52.time to talk about some of my constituents in detail. And outline

:56:53. > :57:02.precisely how these changes could destroy their lives. I was going to

:57:03. > :57:09.Katie and Ollie are going to lose over ?100 a month. So they might not

:57:10. > :57:14.be able to take the mountain bike tracks at the weekend. She will move

:57:15. > :57:19.from fresh to frozen food. Katie has no support network for Ollie, she

:57:20. > :57:23.has no choice but to work part-time because her sister has recently

:57:24. > :57:28.passed away. When Ollie isn't a school, she must be available and

:57:29. > :57:32.with him. She works all the hours available to her, she's got nowhere

:57:33. > :57:37.to go with this. I was going to tell you about Jenny, who was

:57:38. > :57:43.self-employed as a childminder. Her partner is also self-employed. They

:57:44. > :57:47.will lose ?130 a month. Jenny worries that her customers who are

:57:48. > :57:52.in receipt of tax credits will no longer be able to use her service.

:57:53. > :57:55.Jenny told me she literally lies awake at night wondering what this

:57:56. > :58:01.place is going to do to destroy her life. I was going to tell you more

:58:02. > :58:05.about Jenny Katie and others but these stories would only have impact

:58:06. > :58:07.if they were listened to by members opposite who displayed some

:58:08. > :58:12.compassion. It has been the case that most of the speeches today have

:58:13. > :58:17.moved into the realms of compassion, and I welcome that, but it is the

:58:18. > :58:22.compassion of the 300 members that are not here today that really

:58:23. > :58:26.concerns me. So, instead of considering how the cuts will affect

:58:27. > :58:31.Katie and Jenny, perhaps the benches opposite should consider how these

:58:32. > :58:37.cuts will affect them as MPs. What have they got to fear? One of the

:58:38. > :58:43.first changes they may notice, and we all may notice, is that our high

:58:44. > :58:47.streets start to struggle more than they are. High streets are

:58:48. > :58:52.struggling in my constituency and the removal of ?4.4 billion from

:58:53. > :58:55.people's pockets, these are not Internet bargain hunters but people

:58:56. > :59:04.who shop on a high streets, it'll compound a precarious situation. If

:59:05. > :59:09.we remove money from people who shop on our high streets, prepare, my

:59:10. > :59:14.honourable friends, for more charity shops. Members may begin to notice

:59:15. > :59:18.the police services in the local areas are busier than they used to

:59:19. > :59:23.be. And they might wonder why instances of crime have increased.

:59:24. > :59:27.It'll be because desperate people, young people with no hope, people

:59:28. > :59:32.disenfranchised from the communities in government, people like that

:59:33. > :59:38.often turn to crime. If we can mitigate these changes in full, it

:59:39. > :59:41.may well be cost-effective. Members may notice over the course of the

:59:42. > :59:46.next Parliament the performance of schools might begin to drop. Members

:59:47. > :59:52.may see them falling down the league tables and wonder why. This will be

:59:53. > :59:56.happening because hungry children do not learn well. Katie is beginning

:59:57. > :00:00.to really worry about Ollie's education as a result of these

:00:01. > :00:04.proposed cuts. The food budget will be the first thing that struggling

:00:05. > :00:08.families will cut and this will have an immediate impact on the

:00:09. > :00:13.educational achievements of the children in all of our

:00:14. > :00:17.constituencies. How many of the absent members on the opposite

:00:18. > :00:20.benched dining out? I suspect quite a few. Nice to have a range of

:00:21. > :00:25.different restaurants to choose from. Well, Madam Deputy Speaker,

:00:26. > :00:30.they did enjoy them while they can because these, too, would be under

:00:31. > :00:34.threat because the hospitality industry, in which I was brought

:00:35. > :00:38.up, depends upon a thriving local economy. Many of the people we

:00:39. > :00:41.welcome to Dumfries Galloway on holiday are people from the rest of

:00:42. > :00:48.the UK who can't afford to go abroad. People in receipt of tax

:00:49. > :00:51.credits. The holiday will be one of the first cuts from the annual

:00:52. > :00:58.budget. Do I need to continue? Make no mistake, these tax credits will

:00:59. > :01:02.have an impact on the absent Tory MPs, too. If the government cannot

:01:03. > :01:08.mitigate the cuts in full, they'll be responsible for the demise of all

:01:09. > :01:12.of our communities. The constituents of Tory constituencies will not

:01:13. > :01:16.thank them, and I doubt they will re-elect them. Madam Deputy Speaker,

:01:17. > :01:21.I look forward to hearing how the government will mitigate in full the

:01:22. > :01:30.very wide and far reaching effects of these unnecessary and wholly

:01:31. > :01:34.ideological cuts. Thank you, that Deputy Speaker, it is a great honour

:01:35. > :01:38.to follow the honourable member the Dumfries Galloway. I have been one

:01:39. > :01:40.of those who has visited that constituency on holiday and I

:01:41. > :01:47.remember one particular evening being bitten alive by midges. We had

:01:48. > :01:52.to escape on our car and smoke cigars to keep them away. Of course,

:01:53. > :01:56.there was nobody under the age of 18 in the car at the time. One very

:01:57. > :02:01.noticeable thing that happened earlier this month, which may not

:02:02. > :02:12.have come to people's attention, was that the IMF, not an organisation I

:02:13. > :02:16.have always had a lot of some lethal -- sympathy for made a statement,

:02:17. > :02:23.which was that excessive inequality damages growth. It damages the

:02:24. > :02:28.economy, and I think it is amazing, and very welcome, that the IMF has

:02:29. > :02:31.come to that conclusion. It has come to that conclusion not just in

:02:32. > :02:36.respect of developing countries but in respect of any country. In my

:02:37. > :02:45.opinion, tax credits have been a means of reducing inequality in this

:02:46. > :02:50.country. When I spoke last week, the opposition led debate last week, I

:02:51. > :02:54.urge the government to look again at this policy, and in particular the

:02:55. > :02:59.timing. I'm so glad the Chancellor has said he will do this and will

:03:00. > :03:01.bring forward measures. I'd like to pay particular tribute to my

:03:02. > :03:05.honourable friend the minister sitting in his place now because he

:03:06. > :03:11.has always been listening, and is a great credit to his position, as

:03:12. > :03:20.indeed has the Chancellor's PPS, sitting behind him. The honourable

:03:21. > :03:26.member for Kingswood, of course. I mentioned to other things. One was

:03:27. > :03:30.the predictability that income is about predictability. It isn't just

:03:31. > :03:36.about levels of income. If you can't predict your income, it is a great

:03:37. > :03:39.driver into relative poverty. We see that all over the world. Therefore,

:03:40. > :03:50.the proposals that were originally before us were to lead to cut soft

:03:51. > :03:54.10-15% without knowing what was going to happen, so getting a letter

:03:55. > :03:58.in December will turn two January for something happening in a couple

:03:59. > :04:04.of months, you will not have had opportunity to correct that. When

:04:05. > :04:07.you have a low income, things are more expensive. The inflation rate

:04:08. > :04:14.is much higher on low incomes than it is for people on higher incomes.

:04:15. > :04:21.You aren't buying products that come down in price, you are not going

:04:22. > :04:26.with easyJet on holiday, something which may have affected the

:04:27. > :04:32.inflation, and we need to bear that in mind. The inflation might be 0%,

:04:33. > :04:40.but it isn't 0% for people on the lowest incomes. I will give way.

:04:41. > :04:45.Would the honourable gentleman agree with me that poverty in this country

:04:46. > :04:50.is poverty of aspiration, and that the people we are talking about

:04:51. > :04:54.today are trying to work themselves out of that kind of poverty? If we

:04:55. > :05:01.see everything in terms of income, we are a poorer society, as John F.

:05:02. > :05:06.Kennedy once said. Honourable members have also talked about the

:05:07. > :05:09.fallacy of trickle-down economic. I've seen around the world when

:05:10. > :05:16.trickle down economics was supposed to be the way the poor would get

:05:17. > :05:20.richer. What we need is surge up economic speakers the people on the

:05:21. > :05:25.lower incomes spend the money locally, goes into taxes, it goes

:05:26. > :05:34.into VAT. Several hundred million of the 4.4 billion. So we have to

:05:35. > :05:38.remember the consequences on the effects of the local economy, the

:05:39. > :05:44.loss of the spending power. If one thing is to be reduced, then we must

:05:45. > :05:46.seize the other sources of income increase simultaneously. There is

:05:47. > :05:53.also the impact I mentioned last week and other honourable members

:05:54. > :05:56.have mentioned, those on fixed incomes, full-time carers, for

:05:57. > :06:00.example, who won't see rises in their income. They have no

:06:01. > :06:06.opportunity to work more hours most of the time. Also the impact on the

:06:07. > :06:09.self-employed and on farmers. In my constituency, they've seen milk

:06:10. > :06:13.prices fall. That is the only source of income, and they are reliant on

:06:14. > :06:19.tax credits as much as anybody else. Sometimes people see those who are

:06:20. > :06:25.asset rich, those delivering on milk week in week out, our wheat, their

:06:26. > :06:31.incomes are low and they rely on tax credits as well. I'd like to also

:06:32. > :06:38.look to the future. Other than the Macs have mentioned areas where we

:06:39. > :06:46.could raise the extra income to offset the cost of deferring the

:06:47. > :06:49.reductions in tax credits. I mentioned a couple last week and I

:06:50. > :06:53.won't repeat those. But I want to make a couple of points about the

:06:54. > :06:57.future. The first is about National Insurance. There's been talk about

:06:58. > :07:02.merging income tax and National Insurance. I think that would be a

:07:03. > :07:06.big Mac mistake. I believe it is incredibly important to have a

:07:07. > :07:10.progressive national, social National Insurance system into which

:07:11. > :07:14.people contribute, even at low incomes, perhaps at low rates, but

:07:15. > :07:19.which they feel they have a stake in, and to which they are entitled

:07:20. > :07:24.to receive benefits from, if the need arises. And I would urge that

:07:25. > :07:27.the government looks very closely at how instead of getting rid of

:07:28. > :07:31.National Insurance we can actually improve it, and improve the National

:07:32. > :07:36.Insurance system so that we are more like the German system, perhaps,

:07:37. > :07:41.where you contribute more into a National Insurance system but you

:07:42. > :07:47.have benefits when you are sick, and when you are out of work, and,

:07:48. > :07:52.eventually, when you retire. The second thing, Madam Deputy Speaker,

:07:53. > :07:58.is to look at our savings. We don't safe enough. That's a fact. Looking

:07:59. > :08:02.at other countries, like Italy, they are far better at saving. The

:08:03. > :08:08.Japanese are excellent saving. That's why when colleagues of mine

:08:09. > :08:12.and I produced a report calling on social stability last year, we

:08:13. > :08:19.emphasised the importance of introducing a lifetime's savings

:08:20. > :08:21.account which could be supported, perhaps, through tax-free

:08:22. > :08:25.contributions over the course of your lifetime which you to be able

:08:26. > :08:28.to draw down at particularly difficult points in your life, if

:08:29. > :08:33.you became seriously ill, if you are out of work, and could eventually be

:08:34. > :08:38.converted into part of your pension. What that would encourage people to

:08:39. > :08:44.do is put aside money, supported by the state, and that would be able to

:08:45. > :08:50.top up what are always paid out of the state system likely to be fairly

:08:51. > :08:57.basic though, hopefully, liveable off benefits. I welcome the

:08:58. > :09:01.Chancellor 's statement this week. I'd urge and to look at all the

:09:02. > :09:09.points made this week made by members on all sides. I thank the

:09:10. > :09:17.honourable member from Birkenhead for his initiative at bringing

:09:18. > :09:21.forward this debate. I think that as other members have said, this has

:09:22. > :09:28.been a very measured debate. It is in no small part, I have to say, to

:09:29. > :09:31.the way in which it started. And the contribution by the member for

:09:32. > :09:35.Birkenhead because he did approach this debate from the point of view

:09:36. > :09:40.that he is a problem which is going to affect many of those people in

:09:41. > :09:46.our constituencies who want to improve their lives to go out and

:09:47. > :09:53.work every day, and yet are going to be adversely affected by this

:09:54. > :10:01.proposal. And it deserves the kind of measured response, the thoughtful

:10:02. > :10:04.ideas which came forth from this debate, and he has set the standard

:10:05. > :10:09.which has probably been replicated by other members. Of course, a

:10:10. > :10:15.debate like this can lead to the kind of knock-about that you get in

:10:16. > :10:21.a confrontational parliament such as this. Some of us enjoy that. But I'm

:10:22. > :10:26.not so sure that it actually serves those whose lives are being affected

:10:27. > :10:34.by this proposal. And, given that, I think it is then important how the

:10:35. > :10:42.government responds to this debate. And... The government can real

:10:43. > :10:47.against the constitutional outrage of the House of Lords defying the

:10:48. > :10:56.House of Commons, the unelected house modifying the elected house.

:10:57. > :11:01.And can call for someone to get rid of the turbulent toffs down the

:11:02. > :11:08.corridor and come forward with minimal changes. I think that is a

:11:09. > :11:14.mistake. The second option, of course, is for the Autumn Statement

:11:15. > :11:20.to be used for the government to bring forward proposals which are

:11:21. > :11:25.perhaps minimalist in trying to deal with some of those who are uneasy on

:11:26. > :11:31.the backbenches but still don't address the real problems. Or to

:11:32. > :11:36.have a complete rethink and to involve those who wish to be

:11:37. > :11:43.involved constructively. It has been suggested here today the committees

:11:44. > :11:47.which could be used here, and, of course, the devolved administrations

:11:48. > :11:53.should not be exempt from this. In Northern Ireland, we have done

:11:54. > :11:58.extensive work for the northern island executive on the impact which

:11:59. > :12:04.to these changes are likely to have no wide range of groups. And I think

:12:05. > :12:05.that should feed into the data which the member for Birkenhead referred

:12:06. > :12:16.to in his comments. I think there's good reasons why the

:12:17. > :12:21.government should take a constructive approach. There is a

:12:22. > :12:28.wide spread recognition and as a spokesman for all parties here

:12:29. > :12:32.today, they do except that we cannot go on with a situation where

:12:33. > :12:39.taxpayers subsidise low wages from employers who could afford to pay

:12:40. > :12:44.more. -- spokesmen for all parties. That covers the whole basis of the

:12:45. > :12:47.government's policy, which is to rebalance the economy and there is

:12:48. > :12:52.now recognition that that needs to be done. And there is also a

:12:53. > :12:58.willingness to look at the issues that need to be addressed. Antidotes

:12:59. > :13:04.are the issues that need to be addressed, and the ones I need to

:13:05. > :13:11.highlight. One is a issue of timing. If we are going to make that change,

:13:12. > :13:15.then there has to be an assurance that the safety net, which is

:13:16. > :13:22.currently available to those who are low paid, is not removed until the

:13:23. > :13:26.problem of low wages has been fixed. I think that must be a central

:13:27. > :13:35.premise in any way in which this issue is addressed and... I will

:13:36. > :13:42.give way. Which he agree with me that issues like public sector pay

:13:43. > :13:48.must be looked at, and that it is the bedrock of our society, in terms

:13:49. > :13:54.of the public sector, like school cleaners and assistance in schools,

:13:55. > :13:58.which we all depend upon. And it will be addressed if we deal with

:13:59. > :14:03.the issue in the way I have suggested, like a safety net is not

:14:04. > :14:06.being removed until the issue of wages has been dealt with. And I

:14:07. > :14:11.think that's the first important principle. The second one is that we

:14:12. > :14:16.must be sure that we have identified all of the groups that are likely to

:14:17. > :14:22.be affected during the transition period. And one group which I have

:14:23. > :14:27.mentioned time and time again are those who will not be affected by

:14:28. > :14:33.the National Living Wage. The under 25 's. Many of them will have

:14:34. > :14:37.families, many of them, if we set the pattern at the very beginning of

:14:38. > :14:43.their working lives, if work doesn't pay, they will stay in their

:14:44. > :14:47.pattern. And it is important that that group is addressed and also

:14:48. > :14:51.that the families with children are addressed. And on that point, I

:14:52. > :14:57.would appreciate some answer from the Minister that childcare

:14:58. > :15:01.allowance and the extra childcare funding which is available. That is

:15:02. > :15:07.a devolved issue in Northern Ireland, but will there be a bonnet

:15:08. > :15:11.consequential, so that the same arrangements can be put in place as

:15:12. > :15:21.our suggested by the Chancellor for England and Wales -- attempt to

:15:22. > :15:32.consequential. -- tax credits consequential. There are some places

:15:33. > :15:36.where the market is buoyant. In those sectors and regions, of course

:15:37. > :15:41.an increase in the National Living Wage can be afforded. But there are

:15:42. > :15:45.other sectors and other regions where that may not be the case. And

:15:46. > :15:52.there is no point in simply saying let's treat everywhere, or the South

:15:53. > :15:59.East of England and the IT industry, or the banking industry, and then

:16:00. > :16:06.impose burdens on small businesses, retail sectors, they have all been

:16:07. > :16:12.identified here today. And we need to address the fact there is uneven

:16:13. > :16:16.performance across the economy. I will give way. I think we also have

:16:17. > :16:25.to pay some attention to the larger picture. When we look at the USA,

:16:26. > :16:34.the top 0.1% have as much as the bottom 9%. It goes to the top, where

:16:35. > :16:41.they have 350 times what an average worker can get. I suppose that

:16:42. > :16:45.brings me to the last point, how do you find all of this? It's a

:16:46. > :16:52.reasonable question and the Chancellor and Prime Minister asked

:16:53. > :16:57.it all the time. I'll be going to keep on borrowing? The one thing I

:16:58. > :17:07.do know, and I served as finance minister in Northern Ireland for

:17:08. > :17:12.four or five years, I can't count... Which doesn't help. But I remember

:17:13. > :17:19.in the very first year, the last government took over, the July

:17:20. > :17:25.Autumn Statement 5% was taken off our budget three months into the

:17:26. > :17:29.financial year. But it was still possible to find the changes which

:17:30. > :17:35.are required, because necessity required us to do that. We are

:17:36. > :17:39.talking about two thirds of a percent of the total budget for the

:17:40. > :17:49.UK, which has to be found to find that. If we decided to do nothing

:17:50. > :17:54.and keep on paying the tax credits, two thirds of a percent had to be

:17:55. > :18:02.found across the whole UK budget. No one is going to tell me that, with

:18:03. > :18:08.planning, that is not possible to do . The have been suggestions put

:18:09. > :18:12.forward. Different people have different political priorities as to

:18:13. > :18:18.where those cuts should can. But I believe it is doable, if there is

:18:19. > :18:22.the will. My fear is this, that the government can make, because it is

:18:23. > :18:26.cocky at the moment, the opposition is not in the best shape that it

:18:27. > :18:31.should be in. I'm not going to start making point about it. They're not

:18:32. > :18:40.in the best shape they should be. And the temptation will be to use

:18:41. > :18:45.the disarray to try and force things through. And we have heard it time

:18:46. > :18:48.and time again. We have got a majority for this in the House of

:18:49. > :18:53.Commons. That doesn't matter. The question is, will it be perceived as

:18:54. > :18:59.fair? If it is perceived as fair, then it will not have support across

:19:00. > :19:05.the country. That's regardless of what happens here. And my fear is

:19:06. > :19:09.this, that in doing so, the government, which of course is the

:19:10. > :19:14.Labour Party time and time again that they are unelectable, may well

:19:15. > :19:20.annoy people so much, and anger people so much, that the unelectable

:19:21. > :19:25.becomes electable. If people can judge whether that is a good thing

:19:26. > :19:30.or a bad thing. If the process of making that happen means that those

:19:31. > :19:34.who are these drivers in society, the low paid workers suffer, I don't

:19:35. > :19:43.believe that is a price worth paying. -- those who strive in

:19:44. > :19:48.society. Thank you. And the member was right when he was talking about

:19:49. > :19:54.that rush to get involved with a policy. And I think it is a real

:19:55. > :20:00.pleasure to be in the chamber today for that rarest of treat, where we

:20:01. > :20:07.are all furiously agreeing on the right thing to do, which is to make

:20:08. > :20:10.a radical change to this approach. And, on that bus that people have

:20:11. > :20:18.been on, it's like we are seeing that awakening of people, they have

:20:19. > :20:22.been slumbering at the back to find the driver is going to be driving

:20:23. > :20:27.them into a lorry. And I welcome it. The tone and contribution today

:20:28. > :20:31.has been terrific. And I think it's worth repeating, because it is such

:20:32. > :20:36.a rare thing to get in this environment. And I was cynical

:20:37. > :20:42.before I got here, and I think it's great that I am here today to be in

:20:43. > :20:47.this debate. So let's just talk about the basics, because a lot has

:20:48. > :20:50.been said today. All of it makes sense. All of us knows there has to

:20:51. > :20:55.be a change. The current policy means that more family will be

:20:56. > :21:03.driven below the poverty line. That there will be more children in

:21:04. > :21:09.poverty. That there is a clear dawn that minimum wage, members opposite

:21:10. > :21:12.that are calling the minimum wage, which it isn't, is not going to

:21:13. > :21:18.bridge the gap. It isn't going to bridge the gap that is going to be

:21:19. > :21:24.created by the people under the age of 25, who won't have the comfort of

:21:25. > :21:28.getting that even diminished living wage or minimum wage that is coming

:21:29. > :21:35.and, because it won't apply to them. And remember, who is not in his

:21:36. > :21:41.place at the moment, talks about the minimum wage cutting crime. -- the

:21:42. > :21:45.member. My friends talked about the effect of changing people's

:21:46. > :21:53.circumstance. If you create a bigger division, with earnings between

:21:54. > :21:59.people, you may find there is a problem. I don't believe that the

:22:00. > :22:04.outcomes that will be created by this policy have been taken into

:22:05. > :22:10.account by certain members in this house. The O N S have provided the

:22:11. > :22:19.Scottish Government with figures that see the 250,000 people are

:22:20. > :22:29.going to lose ?1500 a year, right away. And that rises to ?3000 when

:22:30. > :22:36.these measures are fully implemented. The Centre for Social

:22:37. > :22:41.Justice says household debt is at ?34 billion. That's a devastating

:22:42. > :22:48.cocktail of an outcome that is a possibility for us here if we do not

:22:49. > :22:52.make a change here to the policy. These things, when you put families

:22:53. > :22:56.under pressure, these things actually have a devastating effect,

:22:57. > :23:07.overwhelming stress affecting mental health, affecting work performance.

:23:08. > :23:10.There is an effect on productivity. And a strain on personal

:23:11. > :23:15.relationships. If you want to see more children going into care, this

:23:16. > :23:19.is a measure that could provide some of the stepping stones for that.

:23:20. > :23:24.When the effects of this bite, and we have been talking about when

:23:25. > :23:32.these effects are hit people, that is when we will see what is going to

:23:33. > :23:37.happen. None of us will have to stare into an empty cupboard. None

:23:38. > :23:42.of us will sit in the cold in our own homes, because we do. None of

:23:43. > :23:50.us, as a result, will lick at a pile of bills afraid to open them. --

:23:51. > :23:55.look at a pile. In my constituency, we have a unique problem of having a

:23:56. > :24:00.low-wage, low unemployment community. I say it's unique, but

:24:01. > :24:06.it's not, but it is a particular problem in our community. 7000 100

:24:07. > :24:13.children are going to be pushed further into poverty. -- 7100

:24:14. > :24:20.children. Coupled with the increased cost of living, will post 210,000

:24:21. > :24:24.children into care. We have had a drain of young people over the

:24:25. > :24:31.decades. We have encouraged people to stay and have larger families,

:24:32. > :24:35.and the two children cap is going to punish Highland families. And that

:24:36. > :24:42.will affect other constituencies in exactly the same way. So a big

:24:43. > :24:49.family tradition is being attacked. And China was mentioned earlier.

:24:50. > :24:53.This is an effect almost going into population control. The limits to

:24:54. > :25:03.two children are going to cost ?7.2 million. And the taper increase,

:25:04. > :25:08.?7.7 billion. We heard from my honourable friend earlier on a range

:25:09. > :25:13.of different measures to take to look at putting money back into the

:25:14. > :25:17.system. It doesn't all have to come from the welfare budget. That is an

:25:18. > :25:27.ideological approach. What we can do is make sure that we are not wasting

:25:28. > :25:33.money where you don't have too. The obscenity of looking seriously at

:25:34. > :25:37.spending ?167 billion on weapons of mass destruction that you can never

:25:38. > :25:42.use, because, if you do, it's mutually assured destruction, it is

:25:43. > :25:48.literally mad to consider it and you don't have the control... I will

:25:49. > :25:52.give way. Thank you. He hits an interesting point on the waste of

:25:53. > :26:02.money there is on the weapons of mass destruction programme. It never

:26:03. > :26:08.ending with the patriotism, but we are looking at a time when Britons

:26:09. > :26:18.cannot live greatly. Some will be in terrible poverty. It will affect the

:26:19. > :26:22.poor of the country as well. I couldn't agree more. When we look at

:26:23. > :26:26.the choices, the choices that we are asked to make in this place, and it

:26:27. > :26:32.was mentioned earlier, these choices are made now we decide to do this or

:26:33. > :26:37.that, is the effective on people further the line and that kind of

:26:38. > :26:40.excess, that kind of nonsense, when you actually are talking about

:26:41. > :26:51.people looking into empty cupboards, sitting in the cold, is just an

:26:52. > :26:55.obscenity. And I am grateful to the motion in the House of Lords the

:26:56. > :27:01.other night that change the course of things to allow us to have this

:27:02. > :27:08.debate, it only delays thinks, but I am grateful for it. But if we want

:27:09. > :27:12.to make savings, that could actually make a difference and we want to

:27:13. > :27:16.have a better system of democracy in this country, then that other place

:27:17. > :27:23.should and must go. You should not be inflated -- should not have an

:27:24. > :27:26.inflated other place, with people claiming ?300 a day, when other

:27:27. > :27:33.people are having their benefits cut. I will give way.

:27:34. > :27:44.What see as surprised as I was to see some of those perhaps signs of

:27:45. > :27:52.socialism? Seven Labour peers voted with the Tories for these obscene

:27:53. > :27:58.welfare measures. It is an incredible thing to note. It is

:27:59. > :28:03.worth repeating in this house today. I think there are lots of measures,

:28:04. > :28:08.there are lots of measures the UK government could take. They don't

:28:09. > :28:14.have to continue down an ideological path to actually look at how do you

:28:15. > :28:19.make sure we are taking money from the people that can least afford it

:28:20. > :28:24.in order to make sure other people are able to enjoy more of the finery

:28:25. > :28:30.they've had. We mustn't do that. The words that have been spoken today

:28:31. > :28:33.have been worth listening to. And I hope that the UK government will

:28:34. > :28:41.take this away, that the minister today will take these thoughts he is

:28:42. > :28:43.heard behind his head and in the chamber today into account and

:28:44. > :28:48.persuade the Chancellor to come back with something that is radically

:28:49. > :28:51.different, and supports people. Supports people in our

:28:52. > :29:03.constituencies, people who will be badly affected if this isn't changed

:29:04. > :29:06.dramatically. I'd like to thank the honourable member for Birkenhead to

:29:07. > :29:09.thank the honourable member for Birkenhead visit during this very

:29:10. > :29:12.important debate. When I voiced my opposition to cuts to tax credits

:29:13. > :29:21.back in July, I spoke of how the cuts would hit the poorest hardest.

:29:22. > :29:27.I spoke of how in my constituency of Edmonton, 72% of people receive tax

:29:28. > :29:31.credits. Over 42% of children live in relative poverty. So, you can

:29:32. > :29:38.well imagine how worried I am for those constituents who, I am sure,

:29:39. > :29:43.are watching now. The latest analysis from the Resolution

:29:44. > :29:55.Foundation projects that over 200,000 more children will be in

:29:56. > :30:00.poverty by 2016 if these unbelievable role... I can't even

:30:01. > :30:05.get the word is out because I'm so upset about this. It is going to

:30:06. > :30:08.affect people that I represent. The government has done nothing to

:30:09. > :30:15.assess the impact on cuts and how it is going to affect children. Indeed,

:30:16. > :30:18.the changing definition of child poverty in the Welfare Reform and

:30:19. > :30:23.Work Bill totally fails to capture the true extent of child poverty. To

:30:24. > :30:30.be clear, two thirds of children in poverty live in households where

:30:31. > :30:45.women and men actually go to work. The situation for Edmonton, ranked

:30:46. > :30:51.the six constituency with the third highest child poverty. It'll be felt

:30:52. > :30:57.across the country. The IFA 's has shown that nearly 3.2 million

:30:58. > :31:02.working families on benefits or tax credits only stand to gain an

:31:03. > :31:09.average of ?200 from this so-called national living wage. Whereas they

:31:10. > :31:16.stand to lose over ?750 per year because of benefits and the tax

:31:17. > :31:21.credit cuts. Also, this personal tax allowance does nothing to address

:31:22. > :31:30.the low paid, and won't help those earning below ?10,000. The value of

:31:31. > :31:35.free childcare and to tax credit recipients is also very limited. And

:31:36. > :31:39.hasn't been thought out. Because the reason I say it hasn't been thought

:31:40. > :31:43.out is because I've had words with the National Association of head

:31:44. > :31:47.teachers, and they've said, after speaking with their members, that

:31:48. > :31:52.they are worried about the intake, and will they be able to expand to

:31:53. > :31:58.take more children. So this needs to be thought out as well. So, to paint

:31:59. > :32:01.these reforms as a valid replacement rather than a necessary

:32:02. > :32:08.accompaniment to tax credits is quite untrue. The government has

:32:09. > :32:13.broken its election promise, and is basically betraying the very people

:32:14. > :32:18.it claims to represent. What I am calling for is the government to

:32:19. > :32:21.reverse the cuts to tax credits. The evidence is against them. We've

:32:22. > :32:29.heard it from all sides of the chamber. It is plain to see that it

:32:30. > :32:33.isn't going to work. It isn't going to work because so many people are

:32:34. > :32:38.going to be living in poverty. And I am sure this isn't what this

:32:39. > :32:43.government is here for. If it is, it needs to think again. We also need

:32:44. > :32:49.to think about our constituencies, and think about the surgeries we all

:32:50. > :32:52.sit in and listen. Listen hard to those people who come and tell you

:32:53. > :32:56.how worried they are, and how they don't know how they are going to

:32:57. > :33:03.survive, and how they're going to look after their children. We saw a

:33:04. > :33:07.woman in Question Time crying that she'd voted for a party and that

:33:08. > :33:11.you'd let her down. It's time to stand with the people you represent.

:33:12. > :33:22.I'm going to end by saying pushing ahead with these planned disgraceful

:33:23. > :33:25.plans... Let me put it straight to you, if you try to do this and put

:33:26. > :33:30.them forward, you're only going to show those people that want to go

:33:31. > :33:35.out and work that it doesn't pay to go out and work. And I think you

:33:36. > :33:45.need to look and think deeply about the decision to take these cuts

:33:46. > :33:49.forward. Thank you, Mr Speaker. Mr Speaker, I'd like to thank the

:33:50. > :33:56.honourable member from Birkenhead for securing this debate today. I'd

:33:57. > :34:00.like to also like to applaud the other place for what they did the

:34:01. > :34:07.other night. I'm not in favour of an unelected chamber, which means mean

:34:08. > :34:14.need a second chamber but unelected chamber. I've said before that my

:34:15. > :34:19.constituency suffers the seventh highest employment poverty. And the

:34:20. > :34:27.11th highest income poverty. I have 5800 families would 8800 living in

:34:28. > :34:31.poverty and at work. The school where I am a governor, there are 400

:34:32. > :34:41.children who take free breakfast in the morning. They take it because

:34:42. > :34:44.they need to. We chose to do that because our children couldn't learn

:34:45. > :34:47.because they were hungry. That is why we did it. They couldn't

:34:48. > :34:55.concentrate to learn, which is why we did it. It makes my blood boil,

:34:56. > :34:58.Mr Deputy Speaker, when I heard today a member from the opposition

:34:59. > :35:07.benches talk about people choosing to be part time zero our contract on

:35:08. > :35:15.16 hours or something like that, and other people said they should get

:35:16. > :35:19.another job to get going. I have to represent hard-working people. There

:35:20. > :35:22.are families, men, that went into the bowels of the earth to get

:35:23. > :35:27.called to make the industry work, and many of those men are still of

:35:28. > :35:32.employment age. Many of them on zero our contract. They know what hard

:35:33. > :35:37.work is, and they don't mind it. They miss the, Rhodri of those

:35:38. > :35:40.colleagues, but they look to work hard and earn their money. Many of

:35:41. > :35:47.them worked in class furnaces. I want to tell a tale about a glass

:35:48. > :35:56.furnace. It closed two years ago, the last one where I worked. 120 men

:35:57. > :36:00.lost their jobs, and they were secured employment with the help of

:36:01. > :36:05.their employer, a very large multinational car manufacturer. In a

:36:06. > :36:09.neighbouring constituency. They got employment because they were skilled

:36:10. > :36:17.workers, hard workers, that could use technology, drive vehicles in

:36:18. > :36:21.the factory, and they were told ?10 an hour, not the rate the other

:36:22. > :36:25.workers were on. They worked for 12 months, and then you'll get a

:36:26. > :36:30.permanent contract with this employer on their rate of pay. Just

:36:31. > :36:40.weeks before that 12 months arose, they came home from work, hundred

:36:41. > :36:43.and 20 of them, and on the Friday, on the Saturday they received calls

:36:44. > :36:51.they weren't needed on the Monday. That was after just tend and a half

:36:52. > :36:55.-- ten and a half months of employment. A few of them got calls

:36:56. > :37:01.after a weeks. There was extra work and they could give them work until

:37:02. > :37:06.this Christmas. And they went back. They hadn't been able to find other

:37:07. > :37:11.work. They went back to those jobs. They got three weeks. Within the

:37:12. > :37:16.week 's previous to that, many of them were in rented accommodation.

:37:17. > :37:19.They'd phoned every week to the housing association explaining their

:37:20. > :37:23.benefits hadn't changed. That he benefits hadn't come through. One

:37:24. > :37:27.thing I'd say is that universal credit will make it simpler because

:37:28. > :37:33.they were waiting for housing benefit, council tax assistance,

:37:34. > :37:36.child tax credit, and working tax credits. Each one comes through

:37:37. > :37:41.separately. They hadn't been able to pay the rent. They rang the housing

:37:42. > :37:47.association, and then one woman rang me literally in tears. Had to go

:37:48. > :37:54.around. She had got a notice of possession. We sorted that one out,

:37:55. > :37:59.and we sorted another few out, and we secured some mechanism that that

:38:00. > :38:02.won't happen, that she would ring the number regularly if it happened.

:38:03. > :38:10.When they were offered these jobs back to Christmas, they lasted three

:38:11. > :38:14.weeks. So back they go again to applying for all these tax credits.

:38:15. > :38:23.These are not people who choose to work on zero our contract or agency

:38:24. > :38:28.work. One of the chaps, the woman's husband, he got a call a few weeks

:38:29. > :38:35.ago that you've got a job with an agency. He says, you can't get a job

:38:36. > :38:41.without an agency. He'd got a call that he'd got a job. He was made up.

:38:42. > :38:47.He got a call 30 minutes later that he had to work two weeks free

:38:48. > :38:51.without pay, and then he would be guaranteed an interview for a job.

:38:52. > :39:00.Thank goodness his wife wouldn't let him go. Modern day slave. That same

:39:01. > :39:07.gentleman has two weeks work with pain now and has gone off to do it.

:39:08. > :39:13.Mr Deputy Speaker, what I would ask the Chancellor is to give due

:39:14. > :39:17.consideration to the 700,000, three quarters of a million people, on

:39:18. > :39:23.zero our contracts, and to the hundreds of thousands of people in

:39:24. > :39:30.agency work. Something simply must happen. These agency workers are

:39:31. > :39:35.exploiting unemployed people. It is modern day slavery what is going on

:39:36. > :39:41.in this country. Implement has risen, yes, it has, but I wonder how

:39:42. > :39:45.many members in this chamber realise that one-hour's work in a month

:39:46. > :39:53.counts as being in employment. I couldn't believe it, but it is true.

:39:54. > :40:01.There has been 400,000 increases in the number of people claiming

:40:02. > :40:10.housing benefits. That is despite the bedroom tax and the cap. Why is

:40:11. > :40:20.that? It is because wages are going down, not up. We have 4,300,000

:40:21. > :40:24.earning less than the living wage. There is a national shortage of

:40:25. > :40:29.heavy goods vehicle drivers. Can anyone get training? Many of these

:40:30. > :40:33.men have asked for it. I've told them there is a national shortage.

:40:34. > :40:40.They asked at the unemployment exchange can they be trained? No.

:40:41. > :40:47.What they did do was they send some way to get retrained or get up

:40:48. > :40:50.skilled on stacker truck drivers. They were sanctioned whilst on that

:40:51. > :40:53.course because they didn't turn up somewhere. This is the same people

:40:54. > :41:00.who set up the training sanctioned them for not turning up. So, Mr

:41:01. > :41:04.Deputy Speaker, my question is that the Chancellor doesn't play games

:41:05. > :41:15.with this mitigation, and that he puts a stop on this tax credit

:41:16. > :41:20.change, puts a stop, listens to the many excellent contributions given

:41:21. > :41:24.today, and to please, please give consideration to how we can protect

:41:25. > :41:30.those hard-working people who want to work, who are being punished on

:41:31. > :41:34.zero our contracts, and through being agency workers. That is my ask

:41:35. > :41:46.of the Chancellor, Mr Deputy Speaker. Thank you.

:41:47. > :41:51.I am delighted we have the opportunity to hold the government

:41:52. > :41:56.to account. I would like to thank all the speakers who have argued

:41:57. > :42:04.that they must change course and I pay tribute to those on the

:42:05. > :42:11.government wenches who have said wise words. -- government benches.

:42:12. > :42:14.Why are we here again discussing tax credits? The government has got

:42:15. > :42:21.itself into a mess and it needs to find a way out of it. These

:42:22. > :42:23.proposals, which have now been passed through the statutory

:42:24. > :42:38.instrument and passed through the other place, are not right. --

:42:39. > :42:45.rejected in the other place. There is no economic or moral or ethical

:42:46. > :42:50.rationale as to why we need to rip 4.3 billion out of the programme.

:42:51. > :42:57.Let's look at what the impact will do. And perhaps we can start with a

:42:58. > :43:03.quote from the Adam Smith Institute, much loved by the government benches

:43:04. > :43:08.in the past. "Working tax credits are the best form of welfare we have

:43:09. > :43:13.and cutting them would be a huge mistake. The government has long

:43:14. > :43:17.claimed to want to make work pay for everyone, but cutting tax credits

:43:18. > :43:27.would this incentivise work and hurt those at the bottom of society." The

:43:28. > :43:35.average negative impact amounts to ?1300 in 2016 and 2017, and impact

:43:36. > :43:39.of around ?25 a week on family budgets. There was a line in the

:43:40. > :43:43.period of Margaret Thatcher's government that if it wasn't

:43:44. > :43:46.hurting, it wasn't working. Well, this is going to hurt and hurt

:43:47. > :43:54.millions of families throughout the country. Is that what we want to

:43:55. > :43:57.do? Is this right? Is it fair? Let's have a real debate about improving

:43:58. > :44:03.living standards, but also recognition that we have to reverse

:44:04. > :44:12.the growing inequality in the UK. Driving sustainable economic growth

:44:13. > :44:17.on a fairer society negates the need for tax credits cuts. I thank him

:44:18. > :44:20.for giving way and he makes a very persuasive case that he is

:44:21. > :44:24.absolutely right that this will negatively impact some of the

:44:25. > :44:30.poorest families. Does he agree with me that this will also

:44:31. > :44:34.disproportionately affect the B and E communities? I thank him for his

:44:35. > :44:47.intervention and he often speaks up for those in the BME communities. It

:44:48. > :44:53.is those who will feel the impact. And others in the land. This must be

:44:54. > :45:03.stopped, regardless of where they come from. We keep hearing that we

:45:04. > :45:09.cannot afford this. Is the reverse is true. We cannot keep doing this

:45:10. > :45:16.to families. We all want to reduce the deficit and national debt. We

:45:17. > :45:21.need to drive economic growth to improve our financial position. You

:45:22. > :45:25.don't do that by taking 4.4 billion out of the economy. It's the failure

:45:26. > :45:39.to deliver growth, that constrains our ability to reduce the debt. If

:45:40. > :45:41.the government 's policy had worked, the Bank of England would not be

:45:42. > :45:48.intervening in the way it had, so-called quantitative easing. When

:45:49. > :45:55.we talk about our debt crisis and the need to reduce spending, we seem

:45:56. > :46:02.to airbrush away that we owed 370 billion to ourselves. Debt created

:46:03. > :46:08.by ourselves. We on these benches understand that quantitative easing

:46:09. > :46:16.was necessary. Can I add that the financial markets have benefited

:46:17. > :46:27.massively from this. The FTSE 100 index was -- is at 370. The Bank of

:46:28. > :46:31.England have acknowledged that those with financial assets have benefited

:46:32. > :46:36.enormously from the quantitative easing programme over the last six

:46:37. > :46:45.years. And if you look at the benefits, 40% have gone to the top

:46:46. > :46:51.5% of our society. Don't talk to us about all of us being in this

:46:52. > :46:56.together. This is important as if I am being charitable, the outcome of

:46:57. > :47:00.policy has been to enhance the quality and we are here today being

:47:01. > :47:05.told that the poor, and the working poor, must pay the price in a desire

:47:06. > :47:13.to balance the books. It is unfair and wrong. Yesterday at Prime

:47:14. > :47:17.Minister's Questions, the Prime Minister said that printing money

:47:18. > :47:22.and putting up taxes, it is working people like Karen that are paying

:47:23. > :47:26.the price. Perhaps I should point out to him that it is his government

:47:27. > :47:33.with quantative easing that have been printing money and that tax

:47:34. > :47:41.credits cuts are a reality -- in reality an increase for Karen. Those

:47:42. > :47:48.who have benefited from quantative easing programmes, are now getting

:47:49. > :47:53.an additional bonus through the changes to inheritance tax. Where is

:47:54. > :48:00.the social justice and social cohesion from what we should be

:48:01. > :48:11.striding to deliver? In the spirit of cooperation, let me help the

:48:12. > :48:16.government. Well done. As he says. A report of the House of Commons

:48:17. > :48:22.committee of Public accounts yesterday said that high levels of

:48:23. > :48:28.benefit and tax cuts fraud remain unacceptable. They cost every

:48:29. > :48:33.household around ?200 a year and most money that government could

:48:34. > :48:43.spend on other things. Since 2010, both departments, talking about two

:48:44. > :48:53.different ones have made progress, particularly Hatem RC. However, the

:48:54. > :49:06.WP and hate RC still owed claimants by 4.6 billion because of fraud and

:49:07. > :49:14.error. -- DWO and HMRC. It's just goes to show that if they weren't

:49:15. > :49:21.making errors in overpayments, this could be used to protect low income

:49:22. > :49:30.families. -- DWP and HMRC. Let me say to them, cut out the mistakes

:49:31. > :49:35.and you have achieved the savings, don't go after the poor. Eliminate

:49:36. > :49:42.fraud and mistakes and it's job done. The economic policies of the

:49:43. > :49:47.government have created inequality and the result is that the poor are

:49:48. > :49:50.having to pay again. Before Christmas, and letters will be

:49:51. > :49:56.delivered to our constituents, who receive tax credits informing them

:49:57. > :50:03.of the cuts that they will receive next April. As my honourable friend

:50:04. > :50:11.says, "happy Christmas from Ebenezer Osborne." They will come to other

:50:12. > :50:19.surgeries in despair as to how they are to make ends meet. Let me turn

:50:20. > :50:23.to the proposals that have come from the Honourable member for

:50:24. > :50:25.Birkenhead. I commend them from seeking a way out of the

:50:26. > :50:33.difficulties that government is facing. The plan would involve

:50:34. > :50:38.introducing a secondary earnings threshold. That would be paid for by

:50:39. > :50:44.a steeper withdrawal rate for those earning above the new minimum rate.

:50:45. > :50:50.But I say to him that we do not agree that those earning less than

:50:51. > :50:56.13,000 should be protected, all of those who receive tax credits should

:50:57. > :50:59.be protected. It is admirable but those earning modest amounts will be

:51:00. > :51:05.protected, but those of modest means are still going to be hit. Take the

:51:06. > :51:12.example of a family with two children and gross earnings of

:51:13. > :51:22.?20,000, who was still lose over ?1000. This is not acceptable. The

:51:23. > :51:29.tax credits should be -- tax credits cuts should be stopped. It should be

:51:30. > :51:33.reversed in full. You are aware that I am new on this is the second time

:51:34. > :51:38.I have been let loose at the dispatch box this week. I had the

:51:39. > :51:42.pleasure of facing the member for South West Hertfordshire and today I

:51:43. > :51:47.am facing the member for East Hampshire for what I hope will be

:51:48. > :51:51.the first of many lively debates. I would like to thank the backbench

:51:52. > :51:55.business committee, the Birkenhead and member and the other members who

:51:56. > :52:01.have secured this very important debate. I would like to place on

:52:02. > :52:04.record my thanks to the eye of S and the resolution foundation and other

:52:05. > :52:16.groups for their work on today's issue. -- IFS. We have heard many

:52:17. > :52:20.issues today. The Birkenhead member stated his case very eloquently,

:52:21. > :52:26.saying that these reforms next April will not be acceptable and the

:52:27. > :52:35.government must carry out due diligence reports on this. I also

:52:36. > :52:44.commend the member in making his comments today in that he realised

:52:45. > :52:48.his previous no cost report on -- reform suggestions will create a

:52:49. > :53:00.higher penalty. This is the beauty, we will change our man -- our minds.

:53:01. > :53:05.I emphasised that I put forward one idea to begin initiating debates. I

:53:06. > :53:09.put three others today and I hope they are not going to use that as a

:53:10. > :53:15.cop out for not giving a very clear message to the government on the

:53:16. > :53:21.very point she has just made. I thank him for his intervention. I

:53:22. > :53:26.also highlight the comments that the member made earlier, stating that

:53:27. > :53:31.the people we should be saluting and CHEERING are sick with worry at the

:53:32. > :53:41.moment. Countless members of an opposite members -- opposite members

:53:42. > :53:45.condemned this. We heard the member for Stevenage saying he didn't feel

:53:46. > :53:49.he could support this, because he had frightened families coming to

:53:50. > :53:53.his surgeries. We heard from another who said we needed to look at this

:53:54. > :53:58.does not penalised the very poorest does not penalised the very poorest

:53:59. > :54:02.in society. Then we heard from another who said that everything he

:54:03. > :54:07.believes in as a conservative is to get people into work, but there's a

:54:08. > :54:14.real risk that these proposals will do the opposite. Then we heard from

:54:15. > :54:18.another who said this policy was a mistake and highlighted the absence

:54:19. > :54:25.of a proper impact statement. Then we had a change from this kind of

:54:26. > :54:29.dialogue from another member. He was one of the members who applauded the

:54:30. > :54:34.Chancellor and championed some of the measures that the government

:54:35. > :54:39.would use to offset the tax credit losses. We heard from the member for

:54:40. > :54:43.Colchester who supported the call for mitigation, the member for

:54:44. > :54:50.Twickenham who supported high wage claims, but that the members at the

:54:51. > :54:56.end should be protected. -- people at the end. And then, the member for

:54:57. > :55:03.Harrow East who supported an amendment of the proposals. Another

:55:04. > :55:12.said they needed to reconsider the pace of change. We heard from a

:55:13. > :55:17.member who said a review was needed and transitional support was needed.

:55:18. > :55:21.The member for Torbay supported the motion because his family was rich

:55:22. > :55:25.in love growing up but poor in money and he realise the effect the

:55:26. > :55:33.proposals may have an aspiration in the long term. Then we heard from

:55:34. > :55:38.the member for Stafford, who cited JFK, saying if we see everything in

:55:39. > :55:47.terms of income, we are a pro rata society. He made some very

:55:48. > :55:54.refreshing comments. -- a poorer society. From this side, we heard

:55:55. > :56:00.from the Darlington member, saying the fear is out there already and

:56:01. > :56:07.the government must act quickly. Then another said the distribution

:56:08. > :56:12.will impact were aggressive. Then another member said his mailbag was

:56:13. > :56:18.full of letters from people who were terrified of what was to come. And

:56:19. > :56:23.another said we need to build an economy where families don't need to

:56:24. > :56:29.rely on tax credits, but it is a mistake to take from them before

:56:30. > :56:32.their wages have risen. The member for Ealing Central and Acton said

:56:33. > :56:35.the Chancellor could still change his mind and we would welcome that

:56:36. > :56:41.on this site and the member for Lewisham and Deptford said the risk

:56:42. > :56:48.is to struggling families and they may fall into debts. -- on this

:56:49. > :56:56.site. We also heard from the member for Nottingham, and I had to say I

:56:57. > :56:59.share his sentiments, said that the debate was lovely and is a

:57:00. > :57:02.collective of all the sensible people and the government should

:57:03. > :57:10.maybe have done it this way in the first place.

:57:11. > :57:15.Then the member for Saint Helen 's south and west and who outlined

:57:16. > :57:20.quite worryingly that her constituency was the seventh highest

:57:21. > :57:24.in terms of unemployment poverty. Then we also heard from the

:57:25. > :57:30.honourable members who confirmed that we can do much better than

:57:31. > :57:33.this. Then another honourable member who highlighted the disincentive

:57:34. > :57:41.biasing effect and the impact of under 25s. And the member who asked

:57:42. > :57:47.to revisit the government's tax avoidance policies. And the worry

:57:48. > :57:58.that the local economy might be affected by tax credits because

:57:59. > :58:04.those on low pay our more likely to holiday in Dumfries Galloway, his

:58:05. > :58:07.constituency. Another member highlighted household debt issues

:58:08. > :58:14.and potential to exacerbate a serious problem. And the member who

:58:15. > :58:18.said we need to drive a sustainable economic growth and you don't do

:58:19. > :58:24.that by taking 4.5 billion out of the economy. Now, the motion before

:58:25. > :58:28.the house today is timely in light of the events which occurred in the

:58:29. > :58:32.other place this week and I make clear that we support the position

:58:33. > :58:36.of our noble friends that these proposals shouldn't go ahead.

:58:37. > :58:39.Certainly until there has been a proper consultation, a government

:58:40. > :58:45.response to the distributional analysis conducted by the Institute

:58:46. > :58:48.for Fiscal Studies, mitigation reform and withdrawal if

:58:49. > :58:50.appropriate. From the names on the motion and the contributions we've

:58:51. > :58:56.heard across the chamber today, it is widespread pressure which spans

:58:57. > :59:02.all parties. For the government to firstly carry out and publish a

:59:03. > :59:06.detailed impact assessment of the impact of cuts to tax credit and

:59:07. > :59:10.then to detail proposals which will ensure that no family is worse off.

:59:11. > :59:14.We are clear on the side of the house that is the government commits

:59:15. > :59:18.to ensuring that no family will be worse off as a result of amended

:59:19. > :59:23.proposals, we will put the interests of those families above party

:59:24. > :59:26.political considerations, and we won't attack the government for

:59:27. > :59:31.doing so. Quite frankly, I cannot think of any recent occasion when

:59:32. > :59:34.any opposition has made such an offer, so I would call upon the

:59:35. > :59:39.Minister to truly listen to the contributions today. This house is

:59:40. > :59:43.at its best when we use the power of debate to convince other members to

:59:44. > :59:46.believe on the merits of a particular argument regardless of

:59:47. > :59:50.our ideologies. On rare occasion such as today, we do actually reach

:59:51. > :59:55.a consensus in this house over certain issues. I hope the Minister

:59:56. > :59:59.and members present will agree that the government's Liz Young tax

:00:00. > :00:04.credits links to be reviewed and changed. To anticipate what he might

:00:05. > :00:10.say in response, the Minister and myself agree on one point. It is

:00:11. > :00:14.necessary to reduce the deficit over the economic cycle. Where we

:00:15. > :00:18.disagree, however, is the economic strategy used to achieve this. And I

:00:19. > :00:24.don't believe that the government's plans achieve that goal either

:00:25. > :00:32.fairly or effectively. In fact, over the long-term, the savage cut would

:00:33. > :00:37.achieve quite the opposite. As we have been reminded, the prime

:00:38. > :00:40.minister denied any need or and to cut tax credits during the election.

:00:41. > :00:44.The Minister must understand therefore that members of the

:00:45. > :00:49.public, especially those that voted Conservative, are quite rightly very

:00:50. > :00:54.angry. Cuts to tax credits would mean that more than 3 million

:00:55. > :00:58.families would be on average ?1300 worse off next year. Some working

:00:59. > :01:07.families will be losing nearly ?3500 a year. ?2.5 billion has been found

:01:08. > :01:11.for an inheritance tax cuts benefiting the wealthiest 4% of

:01:12. > :01:17.people in this country yet, at the same time, ?4.5 billion is being

:01:18. > :01:22.taken out of the pockets of low and middle income families. The

:01:23. > :01:26.Treasury's and analysis and that of the Resolution Foundation shows that

:01:27. > :01:31.cuts to tax credits based on the current proposals would put another

:01:32. > :01:36.200,000 children into poverty. Already half a million more children

:01:37. > :01:40.are in poverty today than in 2010. We are told by the government that

:01:41. > :01:45.cuts to tax credits would be compensated by the so-called living

:01:46. > :01:49.wage. Let me be clear on this - they will not. In fact, the Institute for

:01:50. > :01:52.Fiscal Studies made it quite clear that the increase in the minimum

:01:53. > :01:56.wage cannot provide full compensation for the majority of

:01:57. > :02:01.losses that will be experienced. It'll just be arithmetically

:02:02. > :02:05.impossible. We are grateful for their analysis because the

:02:06. > :02:08.government has refused to publish an adequate version of their own. And

:02:09. > :02:13.the research shows further that because of the different profile and

:02:14. > :02:16.scale of families and individuals on the minimum wage versus those in

:02:17. > :02:20.receipt of tax credits, an increase in the minimum wage, although

:02:21. > :02:23.welcome, went to mitigate the effects of these cuts and the

:02:24. > :02:28.average family will still be significantly worse off. And, of

:02:29. > :02:31.course, the rise in the minimum wage was accompanied by ?4 billion worth

:02:32. > :02:37.of giveaways in cuts to corporation tax. We are also told that the

:02:38. > :02:40.government will compensate for losses to income by providing 30

:02:41. > :02:46.hours free childcare for three and four-year-olds. In my own

:02:47. > :02:50.constituency of Salford and Eccles, our Labour council already provides

:02:51. > :02:53.25 hours of free childcare but demand outstrips supply. The

:02:54. > :02:59.preschool learning Alliance has warned that councils are paying

:03:00. > :03:03.childcare providers insufficient hourly rates to provide the existing

:03:04. > :03:08.hours of free childcare and going up to 30 would push many providers to

:03:09. > :03:11.breaking point. If the minister intends to site childcare as the

:03:12. > :03:15.answer to tax credit cuts, perhaps he can confirm the 30 hours scheme

:03:16. > :03:21.will be properly funded and won't push providers to the limit. In

:03:22. > :03:25.conclusion, in my constituency over 61% of families are receiving tax

:03:26. > :03:40.credits. They are not the so-called scroungers we hear about. They are

:03:41. > :03:43.men and women working hard trying to build a future for themselves and

:03:44. > :03:45.children. They are trying to live their children out of poverty and

:03:46. > :03:47.provide them with the nourishment and financial support they need. So

:03:48. > :03:50.maybe, just maybe, they won't have to suffer the same hardship their

:03:51. > :03:52.parents team. There is no equivalent British dream. They work hard and

:03:53. > :03:55.get nowhere. Low-paid and skilled work is the order of the day for

:03:56. > :03:59.many. For some, it's a case of trying to build up a business to be

:04:00. > :04:03.proud of. For some, they juggle work with the responsibility of caring

:04:04. > :04:07.for loved ones. The government's claims tax credit cuts won't cause

:04:08. > :04:12.any family to be worse off do not stand up to scrutiny. These families

:04:13. > :04:20.deserve a future and, as such, we will support this motion. I'm

:04:21. > :04:22.grateful as ever to have the opportunity to respond to this

:04:23. > :04:26.debate on behalf of the government and I must start by thanking most

:04:27. > :04:32.sincerely the chairman of the select committee, the Right Honourable

:04:33. > :04:35.gentlemen, the member for Birkenhead, his expertise and

:04:36. > :04:43.commitment are well-known and respected. I I look forward to many

:04:44. > :04:52.opportunities to debate over these dispatch boxes with the member for

:04:53. > :04:57.Salford and Eccles. The government is listening. And this debate forms

:04:58. > :05:01.an important part of that process. I've heard the argument put forward

:05:02. > :05:05.by Honourable members today. We are all united in wanting to implement

:05:06. > :05:08.policies to deliver the best possible settlement for our

:05:09. > :05:14.constituents. Now, in the near future and for generations to come.

:05:15. > :05:18.This covenant's belief, Mr Speaker, underpins every aspect of our

:05:19. > :05:22.policies, will that without is honoured bases of economic

:05:23. > :05:25.stability, you can't protect the security of the nation. When

:05:26. > :05:29.economic stability is lost, the entire system falls apart and, as a

:05:30. > :05:34.rule, those who end up losing most of those who started with the least.

:05:35. > :05:39.Mr Speaker, I acknowledge as does my honourable friend the Chancellor the

:05:40. > :05:43.concerns expressed today and elsewhere and earlier by members of

:05:44. > :05:45.this house. The Chancellor has said he has listen to concerns from

:05:46. > :05:48.colleagues and will come forward with proposals in the Autumn

:05:49. > :05:52.Statement to achieve the goal of reforming tax credits, saving money

:05:53. > :05:57.needed to secure our economy while at the same time helping in the

:05:58. > :06:00.transition to these changes. In that context, I fear today I'm not

:06:01. > :06:04.telling the house too much that is new. But I respect the reasons that

:06:05. > :06:09.Honourable members have wished to bring forward this to bait. I and

:06:10. > :06:18.others have spoken at length in the past about how tax credits went out

:06:19. > :06:22.of control, how costs trebled and ended up costing ?30 billion. And

:06:23. > :06:26.about how the level of in work poverty rose over that same period.

:06:27. > :06:30.Mr Speaker, reforming welfare as part of the new settlement we are

:06:31. > :06:33.offering working Britain. Fundamentally, we have a choice

:06:34. > :06:39.about how people should be paid. On lower wages topped up why high state

:06:40. > :06:44.benefits, or high wages taking home more wages, and topped up by less.

:06:45. > :06:49.We believe in rebalancing the economy so that it is the boy who

:06:50. > :06:55.provides decent wages for the employees. -- it is the employer.

:06:56. > :07:02.The national living wage will mean over ?5,000 more gross full-time pay

:07:03. > :07:06.for someone on today's minimum wage. With record employment, although

:07:07. > :07:10.inflation, rising wages, a rising standard of living, this is the time

:07:11. > :07:14.to be making structural reform. Mr Speaker, our record on helping

:07:15. > :07:20.working people stretches far beyond this. Since 2010, our mission has

:07:21. > :07:24.been to get wages up, tax down and welfare under control. The best

:07:25. > :07:29.route out of poverty is work. So we have created conditions for 1,000

:07:30. > :07:33.new jobs to be created every day. 2 million since 2010. And we have

:07:34. > :07:35.plans that 3 million more apprenticeships. We have increased

:07:36. > :07:40.the tax-free personal allowance radically, we are doubling our

:07:41. > :07:46.childcare offer with three or four-year-old families. We have

:07:47. > :07:50.protected spending on our schools and National Health Service. As the

:07:51. > :07:53.prime ministers said yesterday, we remain committed to the vision of a

:07:54. > :08:00.high pay, low tax, lower welfare society. We believe the route to

:08:01. > :08:04.ensuring everyone is better off is to get the finances back in balance,

:08:05. > :08:08.keep growing the economy and jobs, keep inflation low, keep cutting

:08:09. > :08:13.peoples taxes and introduce the national living wage. A number of

:08:14. > :08:27.Honourable members have asked about distributional analysis the effect

:08:28. > :08:31.of these cuts. The burden is spread proportionately, albeit with a tax

:08:32. > :08:34.burden at the top of the distribution. The Right Honourable

:08:35. > :08:38.member for Birkenhead asked specifically about the data that had

:08:39. > :08:44.been available on what could be made available. The government has

:08:45. > :08:54.provided analysis about the overall distributional effect since 2010.

:08:55. > :09:00.That does not include the National minimum wage. He also asked about

:09:01. > :09:04.the interaction with the income tax personal allowance. As the Prime

:09:05. > :09:08.Minister said, with the improving labour market, additional childcare

:09:09. > :09:10.support and the introduction of the national living wage, more people

:09:11. > :09:16.would come into income tax and so would benefit from those raised

:09:17. > :09:25.thresholds. He also asked, as did my honourable friend from Holt on price

:09:26. > :09:30.and Howden, about the key subject of the rate at which money is taken

:09:31. > :09:33.away. I agree with the three Right Honourable gentleman on the

:09:34. > :09:38.importance of these threads and the effect they have on work incentives

:09:39. > :09:43.and I acknowledge the proposals did imply a High Peak margin withdrawal

:09:44. > :09:46.rate for people earning above the personal allowance and on the tax

:09:47. > :09:51.credits and housing benefit tapers at the same time but it is also

:09:52. > :09:55.important to remember that compares to a top rate today which is only

:09:56. > :09:59.two percentage points different. I'm afraid it is true that high marginal

:10:00. > :10:04.withdrawal rates have long been a feature of the UK benefit system and

:10:05. > :10:09.most welfare systems in developed nations. As they will both know very

:10:10. > :10:12.well, the key reform in this area is universal credit that this

:10:13. > :10:17.government has introduced, which sympathised the system by merging

:10:18. > :10:26.six benefits into one and moves the hours thresholds to various bikes at

:10:27. > :10:33.16, 24, and 30 hours. -- to various spikes. I will give way. Can I

:10:34. > :10:36.genuinely welcome the broad tone of the Honourable gentleman's

:10:37. > :10:41.contribution, and the fact he says the government is in listening mode.

:10:42. > :10:48.But from his response, it seems that there is no impact. Can I ask for

:10:49. > :10:50.his response to one specific from the House of Commons library 's own

:10:51. > :10:56.statistics, and it goes to the heart of the debate, that a family with

:10:57. > :11:04.two children after all the other changes he has talked about, a

:11:05. > :11:12.family with two children and ?20,420 will lose ?1233 and ?20,420 will

:11:13. > :11:17.lose does he not believe there will be impacts on these families? Mr

:11:18. > :11:21.Speaker, none of the third-party analysis that has been done takes

:11:22. > :11:25.into account all of the front changes and different elements of

:11:26. > :11:27.support that are coming in. Of course, it is the case that

:11:28. > :11:32.depending on exactly how many earners there are, the age of the

:11:33. > :11:37.children, there will be different impacts from any proposal. But the

:11:38. > :11:41.points I have made today is that as we have been discussing, the

:11:42. > :11:46.government is in listening mode. The Chancellor has said he will come

:11:47. > :11:50.back at the Autumn Statement to be able to say more. The question of

:11:51. > :11:55.childcare came up more than once, including most recently in the

:11:56. > :12:00.summing up from the honourable lady. There is a review going on on the

:12:01. > :12:05.cost reimbursement for childcare providers, and it is important that

:12:06. > :12:13.it must be a sustainable model. The question also came up from the

:12:14. > :12:17.honourable gentleman from East Antrim about the devolved

:12:18. > :12:23.administration Pramac. It is the case the 30 our offer is an England

:12:24. > :12:27.offer but there are and consequential is that go with that,

:12:28. > :12:31.and it is up to the devolved administration to proceed in the way

:12:32. > :12:34.they believe it is right. In the Scottish government, although I am

:12:35. > :12:37.happy to be corrected by members from the SNP, I believe the Scottish

:12:38. > :12:41.government has committed to bringing forward 30 hours from 2020. And I

:12:42. > :12:53.wonder if they might do that soon. There are also questions related to

:12:54. > :12:57.Scotland, but they were batted away. About what the ability of this gosh

:12:58. > :13:03.government might be to pursue their own course on tax and benefits. --

:13:04. > :13:08.the Scottish Government. As early as 2017, they will be able to set rates

:13:09. > :13:13.and bounds for income tax on earnings. That is clear in the

:13:14. > :13:19.Scotland Bill. The bill is also clear that they can top up benefits

:13:20. > :13:28.and make discretionary payments to claimants. The Secretary of State

:13:29. > :13:34.cannot withhold consent for them to do this. I am happy to give way for

:13:35. > :13:41.him to confirm what their intentions are. I am grateful. We have

:13:42. > :13:45.demonstrated that the Scottish Government has mitigated some of the

:13:46. > :13:50.worst effect of the welfare cuts over the last few years. ?100

:13:51. > :13:54.million in order to offset the bedroom tax. We want to protect the

:13:55. > :13:57.people of Scotland, but in order to do that we need the people of

:13:58. > :14:04.Scotland, but in order to do that we need to be powerless to do for power

:14:05. > :14:09.over our economy, taxation and Social Security. Give us to do it,

:14:10. > :14:16.we will protect the people of Scotland that West Minister is

:14:17. > :14:20.letting down! It is a line that they have used for quite some time. I

:14:21. > :14:25.don't know how long they will be able to continue. The reforms have

:14:26. > :14:29.been discussed in this house a number of times and voted on by the

:14:30. > :14:34.whole house on five occasions. The case for change is clear. This is

:14:35. > :14:45.not just on the school grounds, but also because the Labour way is not

:14:46. > :14:50.the way for stability. But we do acknowledge the concerns expressed.

:14:51. > :14:55.The Chancellor said we would listen and that is precisely what we intend

:14:56. > :15:00.to do. He believes and I believe that we can achieve the same goal of

:15:01. > :15:05.reforming tax credits, saving the money we need to save to secure our

:15:06. > :15:10.economy while helping in the transition. That is what he will set

:15:11. > :15:15.out in the Autumn Statement. Because we are determined to deliver that

:15:16. > :15:19.lover welfare, higher wage economy that we were elected to deliver.

:15:20. > :15:29.That the British people want to see and that working Britain deserves.

:15:30. > :15:32.Mr Speaker, I thank again the committee for allowing us to stay

:15:33. > :15:39.for what has been a fine debate, not just because of the eloquence, but

:15:40. > :15:43.because there is a very clear message from all parts of the house

:15:44. > :15:48.to the government. Nobody today has spoken in favour of these changes

:15:49. > :15:53.coming into force next April. And if they do not come into force next

:15:54. > :15:58.April, then it gives the government a good period of time to think

:15:59. > :16:02.seriously about how tax credits are reformed. And because I think that

:16:03. > :16:06.message is so important that we get that over to the Chancellor and his

:16:07. > :16:21.thinking, I hope the house will divide. Order, the question is the

:16:22. > :16:50.motion as on the order paper. Those who see aye. Those who see no.

:16:51. > :18:36.Division, clear the lobby. -- see. -- say.

:18:37. > :18:38.The question is in the motion as on the order paper. Those who see