22/03/2016

:00:00. > :00:00.on HPV, and we're looking at it in detail to see how we take it

:00:07. > :00:13.forward. We must now move on. Point of order, Mr Pat McFadden.

:00:14. > :00:25.I wonder if I could ask you if there have in any discussions on the

:00:26. > :00:29.terrible unfolding event in Brussels. We do not know the facts,

:00:30. > :00:34.but a number of innocent people have been killed. We do not yet know if

:00:35. > :00:39.there are any British victims, but there will be many families and just

:00:40. > :00:43.to find news of relatives, and I'm sure all sides of the House would

:00:44. > :00:46.welcome the opportunity to question the Prime Minister and the Home

:00:47. > :00:51.Secretary about the ongoing efforts of the police and security services

:00:52. > :00:58.here to protect the public in the UK from similar attacks. I thank him

:00:59. > :01:07.for his point of order and the terms on which he put it to me. As members

:01:08. > :01:16.present will know, condolences have expressed by members on both sides

:01:17. > :01:21.of the House to the fit them is of this terrible outrage, and to their

:01:22. > :01:26.loved ones, who will be living with the consequences. The short answer

:01:27. > :01:32.to him is that I have had no such discussions with any minister to

:01:33. > :01:36.date. I think it is a matter of public record that the Prime

:01:37. > :01:42.Minister has been chairing an important meeting of Cobra this

:01:43. > :01:46.morning, and I think also it will be accepted in all parts of the House,

:01:47. > :01:52.not least by the right honourable gentleman, that the Minister will

:01:53. > :01:57.come to the House to address these matters at such point as he feels he

:01:58. > :02:04.has the requisite level of information to impart to colleagues

:02:05. > :02:12.and is best placed to be informative and helpful. I think we should await

:02:13. > :02:15.the development of events. At the serious concern registered by him

:02:16. > :02:23.will be keenly felt across the House, and I thank again. Point of

:02:24. > :02:36.order, Bicester bill esters and folds up -- I understand that

:02:37. > :02:40.ministers will have the priority of working with our colleagues in

:02:41. > :02:45.Brussels and putting security in this country first. I have been

:02:46. > :02:49.contacted by a number of my constituents in Brussels, who

:02:50. > :02:57.travelled there today and are trying to get home. They have been told by

:02:58. > :03:04.Ryanair that it will cost them ?6,000 to be brought back to this

:03:05. > :03:07.country. I wondered if I can ask ministers if perhaps they might

:03:08. > :03:12.intervene and suggest to Ryanair and other carriers that all efforts are

:03:13. > :03:17.made to help people come back to this country in a reasonable way. I

:03:18. > :03:24.thank him for his attempted point of order. It is not a matter for the

:03:25. > :03:28.chair, but again he has raised a matter of real and immediate

:03:29. > :03:34.concern. That the real and immediate concern will have been heard on the

:03:35. > :03:39.Treasury bench, and knowing the ingenuity of the honourable

:03:40. > :03:44.gentleman, I feels sure that if he does not receive the assurance from

:03:45. > :03:53.an appropriate quarter, he will not rest on continuing to highlight his

:03:54. > :04:00.concern. On Friday the government were taken to the Supreme Court for

:04:01. > :04:05.failing to meet air quality standards resulting in 40,000 deaths

:04:06. > :04:24.a year at the cost of ?20 billion a year.

:04:25. > :04:30.The honourable gentleman has put his concerns on the record and they will

:04:31. > :04:36.have been heard. Doubtless he will return to this if he does not

:04:37. > :04:40.receive satisfaction. May I seek your advice and guidance on a matter

:04:41. > :04:47.of principle of this House. Select committees have the power through

:04:48. > :04:53.this House to obtain evidence to allow them to undertake their work.

:04:54. > :05:00.The Business, Innovation and Skills committee chair is taking evidence

:05:01. > :05:06.from the owner of sports direct, Mr Mike Ashley, on the treatment of his

:05:07. > :05:10.staff. Workers at his warehouse say they are not being paid the minimum

:05:11. > :05:17.wage. I have received correspondence from workers at sports direct to

:05:18. > :05:20.have told me that employees have the clock out but continued to work so

:05:21. > :05:25.that wages are not overbudget, staff being kept over one hour passed

:05:26. > :05:32.their finishing time, and workers finishing at 5am and being required

:05:33. > :05:41.back at work two hours later. We wish to question him on the review

:05:42. > :05:48.of working conditions that he would investigate personally. Last week

:05:49. > :05:57.the committee formally ordered him to attend after the refused our

:05:58. > :06:05.invitation. Yesterday he announced to the press that he has no

:06:06. > :06:15.intention of attending. I do not think that scrutinising reports like

:06:16. > :06:19.this are a joke. Has the committee acted in accordance with the

:06:20. > :06:23.procedures of this House? Could you also advise me what steps can now be

:06:24. > :06:34.taken to ensure that he complies with the very reasonable request of

:06:35. > :06:42.the Business Select Committee? I am grateful to the honourable

:06:43. > :06:46.gentleman. The chair of the Business, Innovation and Skills

:06:47. > :06:50.committee. The House delegates to nearly all its select committees the

:06:51. > :06:57.power to send her persons, papers and records. Each committee is free

:06:58. > :07:03.to decide whom to invite to give oral evidence, and if the invitation

:07:04. > :07:13.is refused, the committee may decide to make an order. In response to the

:07:14. > :07:20.honourable gentleman's question, it appears that the proper procedures

:07:21. > :07:24.have so far been followed. As long as the committee is acting within

:07:25. > :07:34.its terms of reference, the House expects its witnesses to obey the

:07:35. > :07:40.committee's order to attend. If, after due consideration, his

:07:41. > :07:49.committee wishes to take further action, the next step, which is to

:07:50. > :07:55.report to the House, setting out the facts. The honourable gentleman may

:07:56. > :08:00.then wish to apply to me to consider the issue as a matter of privilege,

:08:01. > :08:09.and to ask me to give it priority in the House. Under procedures agreed

:08:10. > :08:18.to buy the House in 1978, and set out on page 273, this application

:08:19. > :08:23.should be made to me in writing, rather than a point of order. I

:08:24. > :08:33.would then be happy to advise him on the options open to him. Point of

:08:34. > :08:38.order, Mr Dennis Skinner. This could be a long drawn-out process based

:08:39. > :08:47.upon what Mike Ashley has been doing and saying over the years. He

:08:48. > :08:52.operates 0-hours contracts with many it thousands of people. There are

:08:53. > :08:58.very few full-time people. He believes that he can do as he likes

:08:59. > :09:01.as a billionaire, but I put it on the record for you, Mr Speaker,

:09:02. > :09:11.you'd better that very firmly with the person concerned. There used to

:09:12. > :09:17.be a woman in the House call won called Mary Frampton, and we need

:09:18. > :09:26.one to deal with him. We have such a person! And I can say only that I

:09:27. > :09:36.shall always profit by the councils of the honourable gentleman. I do

:09:37. > :09:40.not know that there is more to add, but I will give him the benefit of

:09:41. > :09:44.the doubtful stop I have tried to treat this matter the early and

:09:45. > :09:50.factually, but I will take a point of order if he persists. I wish to

:09:51. > :09:55.ask simply this, in view of the obvious contempt of this person --

:09:56. > :10:01.content this person has shown, would it not be appropriate for him to

:10:02. > :10:06.appear at the bar of the House? There have been occasions in the

:10:07. > :10:11.past when this has occurred under House of Commons has shown it will

:10:12. > :10:14.not tolerate such content. Haps this could be considered.

:10:15. > :10:20.Very grateful to the honourable gentleman for his point of order,

:10:21. > :10:26.irregular eyes are historical precedents but it is only right for

:10:27. > :10:32.me to say that it is not for me to make any such decision. If we were

:10:33. > :10:36.to get to that point and I'm not suggesting that we shall do so, I'm

:10:37. > :10:42.not seeking to anticipate events, that would be a matter for the house

:10:43. > :10:47.to decide but I hope that I have dealt fairly, squarely and

:10:48. > :10:53.intelligibly the important matter that the chair of the select

:10:54. > :10:56.committee and others have raised. Perhaps we can now move to the ten

:10:57. > :11:06.minute rule motion. Thank you Mrs Bika, I beg to move

:11:07. > :11:09.that lead be given to bring in a bill to make provision about the

:11:10. > :11:13.skills and knowledge required of a person driving a taxi or private

:11:14. > :11:18.hire vehicle related responsibilities of taxi or private

:11:19. > :11:22.hire vehicle operators and service providers to require operators of

:11:23. > :11:26.taxi or private hire vehicle companies and service providers to

:11:27. > :11:30.hold specified types and levels of insurance to make provision about

:11:31. > :11:34.the tax liability of taxi or private hire vehicle companies and service

:11:35. > :11:38.providers and for connected purposes. I am grateful for the

:11:39. > :11:42.opportunity to present this bill and am delighted by the trends --

:11:43. > :11:47.strength of support from right Honourable members across the house,

:11:48. > :11:51.reflected in the attendance today. This is a bill that seeks to put

:11:52. > :11:55.fair competition and passenger safety at the heart of the taxi and

:11:56. > :11:59.private hire vehicle industry in London and across the country. The

:12:00. > :12:03.advent of new technology in the taxi and private hire industry is

:12:04. > :12:09.revolutionising the way that people are able to navigate our great C T

:12:10. > :12:13.stop indeed, it is revolutionising transport in cities across the

:12:14. > :12:17.United Kingdom and across the world. -- our great city. At the best,

:12:18. > :12:20.disruptive technology drives innovation and increases competition

:12:21. > :12:26.with enormous benefits for businesses and consumers alike. As

:12:27. > :12:29.we had seen on the streets of London, it also brings significant

:12:30. > :12:32.challenges. This bill seeks to address some of the challenges that

:12:33. > :12:37.have been neglected for far too long. The debate about the future of

:12:38. > :12:42.London's taxi industry has been unfairly characterised as a debate

:12:43. > :12:45.between those who support competition and innovation on one

:12:46. > :12:50.hand and those who want to cling to the past on the other. Mr Speaker,

:12:51. > :12:54.this is lazy and analysis. It is true that London's iconic black taxi

:12:55. > :12:58.trade is at risk and I would school is far too said that the threat to

:12:59. > :13:02.the blackcap trade is existential but the cabbies I represent aren't

:13:03. > :13:05.afraid of change and innovation, they are not afraid of you

:13:06. > :13:11.technology and the not of competition either. -- of new

:13:12. > :13:16.technology. They are finding it hard to compete in a changing marketplace

:13:17. > :13:24.with both hands tied behind their back. It is great to see even the

:13:25. > :13:33.chance like taking an interest in their plight. The Chancellor might

:13:34. > :13:41.need a taxi, Mr Speaker. I represent many black cab drivers, Ilford North

:13:42. > :13:48.was once known as Green badge Valley and still not unusual to see taxis

:13:49. > :13:51.parked on the banks of Woodford. I represent hundreds of minicab

:13:52. > :13:57.drivers and drivers who work for new market entrants like Uber. I use

:13:58. > :14:05.black taxis, particularly in central London and I also use minicabs and

:14:06. > :14:08.Uber locally. I welcome the choice and welcomed the benefit of

:14:09. > :14:12.competition but I also recognise that the explosion in the number of

:14:13. > :14:15.private hire vehicles in London presents regulatory challenges and

:14:16. > :14:22.risks for passengers. An investigation for LBC exposed the

:14:23. > :14:25.ease with which individuals can access a private hire licence

:14:26. > :14:28.without adequate insurers. We know that the number of vehicles are

:14:29. > :14:33.already on the road without appropriate insurers. Last year the

:14:34. > :14:41.Guardian was able to demonstrate how easy it was for an Uber to pick up a

:14:42. > :14:43.customer having provided fake insurance paperwork via its

:14:44. > :14:48.operating system. Some private hire vehicles are illegally applying for

:14:49. > :14:53.hire and heading, increasing the risk passengers getting into cars by

:14:54. > :14:57.unlicensed and unknown drivers with considerable risk to their safety.

:14:58. > :15:03.Mr Speaker, this is in legal practice and one for the regulator

:15:04. > :15:08.to act a lot harder on. Guide dogs UK found in a survey of assistance

:15:09. > :15:14.dog owners that 43.5% of respondents had been refused access to private

:15:15. > :15:19.hire vehicles and it is all too common or LGBT passengers to

:15:20. > :15:23.experience discrimination. Although I enjoy price competition as much as

:15:24. > :15:27.anyone else, is it really fair to expect cabbies to compete on fears

:15:28. > :15:35.while TEFL continue to put regulated fares or black taxis up while Uber

:15:36. > :15:39.can drive their prices down as profit shifting allows them to avoid

:15:40. > :15:47.paying their fair share of tax here in the UK. If we fail to act,

:15:48. > :15:50.London's iconic black taxis will be driven off our streets. This is bad

:15:51. > :15:56.for competition, bad for passengers and bad for London. This will

:15:57. > :16:01.proposes action in three areas to improve passenger safety and make

:16:02. > :16:06.competition fairer so our black taxi industry can continue continue to

:16:07. > :16:10.survive and thrive alongside other operators. Firstly, on the issue of

:16:11. > :16:14.training, live at hire vehicle drivers only undertake a rudimentary

:16:15. > :16:18.topographical test and in many cases do not undergo full training. This

:16:19. > :16:23.sees many relying on sat nerve which means the risk of collision is

:16:24. > :16:29.increased due to sharp braking or not focusing on the road ahead. This

:16:30. > :16:34.bill proposes that in order to or obtain a license, all drivers must

:16:35. > :16:38.complete an enhanced DVLA assessment requiring additional skills such as

:16:39. > :16:43.how to drop off and pick passengers up and wheelchair exercise is to

:16:44. > :16:47.learn how to support the disabled. PHP drivers should undertake an

:16:48. > :16:49.assessment on the principle of applying for hire and toting

:16:50. > :16:55.regulations so there can be no excuses for breaching regulations.

:16:56. > :16:59.The age of the driver should be properly and assessed and their

:17:00. > :17:03.obligations in the equalities act so that protected groups such as LB GT

:17:04. > :17:09.people and disabled people can travel with confidence. The second

:17:10. > :17:12.point of this bill seeks to address the issue of insurance, the current

:17:13. > :17:17.system requires higher and reward insurers for all drivers and the

:17:18. > :17:22.responsibility of insurance rests with drivers. There is a higher cost

:17:23. > :17:26.for this insurers which means many private hire vehicle drivers can be

:17:27. > :17:28.tempted to opt for a cheaper form of insurance when accepted by

:17:29. > :17:33.unlicensed operator. In order to resolve this issue, I propose moving

:17:34. > :17:38.to a system of operators ensuring that places the responsibility on

:17:39. > :17:40.operators as a pre-requisite for obtaining a licence, this would

:17:41. > :17:43.deliver three key benefits for passengers and industry are

:17:44. > :17:48.guaranteeing that cars managed by the operator have confidence that

:17:49. > :17:52.they are safe, reducing the cost of insurance through bulk purchasing

:17:53. > :17:56.and delivering better value for money and making the regulator 's

:17:57. > :17:59.case easier because checking a few thousand operators is easier than

:18:00. > :18:04.checking over 100,000 individual policies. Some companies such as

:18:05. > :18:08.Addison Lee already do this voluntarily which is why customers

:18:09. > :18:10.and businesses can book with the confidence that are sometimes

:18:11. > :18:16.lacking around five at hire operators. Only, my bill makes

:18:17. > :18:19.provision for tax liabilities for taxi and private hire vehicle

:18:20. > :18:24.companies, it cannot be right that some companies in this industry are

:18:25. > :18:28.making huge profits but not paying their fair share of taxes. Lower

:18:29. > :18:32.fares are great but some operators are frankly trying to drive their

:18:33. > :18:35.competition off the road through new applications by offering lower fares

:18:36. > :18:40.made possible by offshore tax arrangements, effectively robbing

:18:41. > :18:44.Peter to pay Paul. I would like to pay particular tribute to my right

:18:45. > :18:49.now friend member for Don Valley who brought her own ten minute rule

:18:50. > :18:52.motion forward for transparency for multinationals and her proposals

:18:53. > :18:55.would be a refreshing step in the right direction. This bill would

:18:56. > :18:58.introduce a requirement for the Chancellor or financial Secretary to

:18:59. > :19:04.the Treasury to make an annual steam into this has on the progress of the

:19:05. > :19:06.OECD -based erosion and profit shifting project and the action the

:19:07. > :19:09.government is taking to make sure the proper scrutiny in this area

:19:10. > :19:16.hopefully this Chancellor might be better at making progress in this

:19:17. > :19:20.area rather than his own targets. It would indicate the government needs

:19:21. > :19:24.to do much more to tackle tax avoidance and these changes would go

:19:25. > :19:30.some way to levelling the playing field. TEFL need to go further than

:19:31. > :19:34.the proposed. These challenges also exist in towns and cities across our

:19:35. > :19:41.country. Mr Speaker, Gwyneth Paltrow once said, it's our far more

:19:42. > :19:44.intelligent and civilised than Americans was that I love the fact

:19:45. > :19:50.you can hail a taxi and just pick up your pram and put it in the back of

:19:51. > :19:54.a cab without having to collapse it. Perhaps more profoundly, Professor

:19:55. > :19:58.John O'Keefe, a Nobel prize-winning unit neuroscientist said some of the

:19:59. > :20:02.best navigators in the world are London taxi cab drivers, they have

:20:03. > :20:07.delivered 25 Thousand St and how to get from one to the other. Mr

:20:08. > :20:11.Speaker, I'm sure the whole house will agree that Brits are more

:20:12. > :20:14.intelligent and taxi cab drivers are the best navigators in the world and

:20:15. > :20:17.they are also small business men and women providing a world-famous

:20:18. > :20:22.service and struggling to make sure that they or their families and make

:20:23. > :20:28.their families a good living. We owe them a chance to compete fairly and

:20:29. > :20:33.we owe it to our great capital city to ensure this iconic black taxi

:20:34. > :20:39.industry and that great iconic black taxi itself is not confined to

:20:40. > :20:42.London's history books. For these reasons and so many more, Mr

:20:43. > :20:46.Speaker, I commend this bill to the house.

:20:47. > :20:49.The question is the honourable member has leave to bring in the

:20:50. > :21:04.bill. I think the ayes habit. When Brown,

:21:05. > :21:12.Neal Coyle, John Pryor, five effort, Mr David Lambie, Kate also more,

:21:13. > :21:13.Joan Ryan, Gareth Thomas, Charles Walker and myself will bring in the

:21:14. > :21:49.bill. Taxi and private hire vehicle

:21:50. > :21:58.operators regulation Bill. Second reading what day? Friday 22nd April.

:21:59. > :22:05.We will proceed to read the orders of the day.

:22:06. > :22:11.The question is as on the order paper. Before I call the Chancellor

:22:12. > :22:20.of the Exchequer, I should inform the house that I have selected both

:22:21. > :22:24.amendments be and a, so both can be debated together with the budget

:22:25. > :22:28.motions today. With the leave of the house I will call the Shadow

:22:29. > :22:32.Chancellor to move amendment be after the Chancellor has opened the

:22:33. > :22:38.debate. At the end of the day's debate, the question will first be

:22:39. > :22:43.put on amendment be as long as time permits before 7pm, ice shall then

:22:44. > :22:50.call the honourable member for Dewsbury to move amendment A

:22:51. > :22:54.formally on the question on that amendment will be put, the house

:22:55. > :22:58.will then proceed to decide on the budget resolutions to open the

:22:59. > :23:07.debate, call the Chancellor of the Exchequer.

:23:08. > :23:19.Mr Speaker, let me start by offering all of our condolences to the

:23:20. > :23:23.victims and their families of the attacks in Belgium. The full details

:23:24. > :23:26.of this morning in an horrific attacks are still emerging but we

:23:27. > :23:31.know that at least 13 people died in the attack at Brussels airport and

:23:32. > :23:35.there are reports of multiple deaths at the metro station. As details of

:23:36. > :23:38.these events continue to unfold, my thoughts and prayers and indeed

:23:39. > :23:42.those of honourable and right on more members on all sides of the

:23:43. > :23:46.house with those who have lost loved ones or have been injured. This

:23:47. > :23:51.morning the prime Mr Cheddar meeting of Cobra, attended by the Home

:23:52. > :23:54.Secretary, myself and others. -- cheered a meeting. On a

:23:55. > :23:58.precautionary basis, the policing presence is being increased in key

:23:59. > :24:01.locations including transport hubs to protect the public and provide

:24:02. > :24:06.reassuring. In London, the Met police have the Clwyd additional

:24:07. > :24:11.officers and on the transport network and border force efforts

:24:12. > :24:14.have been intensified. The is still too soon to comment on the details

:24:15. > :24:19.of the attacks but the government would reiterate that the UK threat

:24:20. > :24:23.level remains at severe, meaning that an attack is highly likely. We

:24:24. > :24:27.urge the British people to remain vigilant and the Home Secretary will

:24:28. > :24:31.keep the house updated. Let's be clear, terrorist seek to threaten

:24:32. > :24:34.our values and our way of life and they will never succeed.

:24:35. > :24:41.Mr Speaker it is a reminder of what a precious thing our democracy is

:24:42. > :24:46.and this budget debate as part of that democratic process. This is the

:24:47. > :24:49.first time in 20 years that a Chancellor has spoken on the last

:24:50. > :24:56.day of the budget debate and I think it is fair to say we have had a

:24:57. > :24:59.lively debate about this budget. Let's be clear, the key principles

:25:00. > :25:05.behind this budget that if we are going to deliver a and compassionate

:25:06. > :25:09.society to the next generation, we have to live within our means, we

:25:10. > :25:14.have two back business to create jobs and we had to make sure work

:25:15. > :25:18.pays by putting more money into the pockets of working people. That is

:25:19. > :25:22.what we committed to in our manifesto, that is what the British

:25:23. > :25:26.people elected us to deliver on that is what this budget does and that is

:25:27. > :25:30.what we are going to vote on tonight.

:25:31. > :25:40.I will give way in a moment. Let me address the resignation of my right

:25:41. > :25:43.honourable friend the Member for Chingford and Woodford Green. I am

:25:44. > :25:49.sorry that he chose to leave the government, and let me recognise his

:25:50. > :25:54.achievements in helping to make work pay, protecting the vulnerable and

:25:55. > :26:00.breaking the decades-old cycle of welfare dependency. Together we had

:26:01. > :26:04.to confront a huge deficit, and uncontrolled welfare spending. Of

:26:05. > :26:08.course, there is always the bus discussion between the Treasury and

:26:09. > :26:18.spending department, when money needs to be saved. Where we do not

:26:19. > :26:22.get decisions right, I have always been prepared to listen and learn.

:26:23. > :26:27.But I am very proud that my right honourable friend and I worked

:26:28. > :26:31.together longer than any two people doing our jobs before us in any

:26:32. > :26:36.government, and we have been part of a team that has reduced the number

:26:37. > :26:44.of people on out of work benefits to levels not seen for 40 years. Seeing

:26:45. > :26:59.child poverty fall, pensioner poverty fall, and got a record

:27:00. > :27:03.number of people... I am grateful to the Chancellor for giving way. It is

:27:04. > :27:07.less than a week since he stood up in the budget and made the decision

:27:08. > :27:09.affecting disability payments, something which upset many hundreds

:27:10. > :27:16.of thousands of people across the country. He has made a welcome

:27:17. > :27:21.U-turn, but he should not -- should he not acknowledge it was a mistake

:27:22. > :27:25.he should apologise for? I am going to speak about their disability

:27:26. > :27:30.benefits, and I made it very clear, where we made a mistake, where we

:27:31. > :27:35.have got things wrong, we listen and learn. That is precisely what we

:27:36. > :27:43.have done. But where is the apology from the Labour Party for the things

:27:44. > :27:48.they got wrong? Why don't they take a leaf out of the book? Why do they

:27:49. > :27:54.not apologise for the countless decisions adding to the deficit but

:27:55. > :28:01.a drop in the country? The progress we have made on social justice did

:28:02. > :28:08.not happen by accident. It happened because in this government, we set

:28:09. > :28:14.out to turn round our economy, to control spending and bag business,

:28:15. > :28:24.and to reform welfare. That reform... I will give way in a

:28:25. > :28:27.moment. The D4 has meant difficult decisions to strengthen the

:28:28. > :28:33.incentives, to find work and the sanctions for not doing so. To make

:28:34. > :28:39.sure that extra that people work is rewarded, rather than seeing them

:28:40. > :28:44.trapped in dependency. The welfare system should be feared to those who

:28:45. > :29:00.need it handles who pay for it. It has not been easy. The in any

:29:01. > :29:04.democracy you have to fight to make lasting improvements in society,

:29:05. > :29:09.which is what we have done. I thank the Chancellor for giving way. I

:29:10. > :29:12.want to associate myself with his remarks about the situation in

:29:13. > :29:15.Brussels. Would he agree that the one thing more dangerous for the

:29:16. > :29:21.economy than him remaining Chancellor is that we might leave

:29:22. > :29:24.the European Union? Him being called out by his former colleague as

:29:25. > :29:33.acting not in the economic interests of the country, and acting in a

:29:34. > :29:38.short-term political way brings a risk on him and not for the future

:29:39. > :29:45.of our role in Europe. Will he resign? Could I remind members that

:29:46. > :29:50.interventions should be brief! We want to hear from both frontbenchers

:29:51. > :30:02.and we want to hear from dozens of backbenchers. Interventions, brief.

:30:03. > :30:06.It is like one of those things where I would prefer to be in the Council

:30:07. > :30:16.and not. Reforms we are making to the economy... I will give way. Is

:30:17. > :30:24.he aware that had the Chancellor stuck with Labour's plans for fuel

:30:25. > :30:29.duty, petrol would now cost 18p more than it actually does, and has he

:30:30. > :30:38.assessed the impact on the lowest earning people? He is absolutely

:30:39. > :30:41.right. If we had stuck with the fuel duty escalator that we inherited

:30:42. > :30:52.from the last government, it would cost much more to fill a car, much

:30:53. > :30:55.more for small businesses. Wheater -- we took action, because we are on

:30:56. > :31:04.the side of working people. I will give way. To put this debate in

:31:05. > :31:10.context, would he like to share with the House, in financial and

:31:11. > :31:16.non-financial terms, how much help this government since May 2010 has

:31:17. > :31:26.given to assist the second the disabled? I am coming on to talk

:31:27. > :31:29.about disability benefits, but he is right, to draw attention to the

:31:30. > :31:36.support we give, close to ?15 billion in support to disabled

:31:37. > :31:43.people, and that has gone up, when you just look at disability payments

:31:44. > :31:49.and DLA, from ?15 billion to ?16 billion today, and up to 18 billion

:31:50. > :31:56.in the future. As the new welfare secretary made clear, we will

:31:57. > :32:03.continue to give support to disabled people. Let me give way. He boasted

:32:04. > :32:07.that this was the first time a Chancellor had opened the final day

:32:08. > :32:10.of the budget debate. He will know that is because it is the first time

:32:11. > :32:15.that a Chancellor has had to drop the biggest revenue raiser in his

:32:16. > :32:22.budget within two days of announcing it. The Work and Pensions Secretary,

:32:23. > :32:27.who has just resigned, who he paid tribute to, described his budget is

:32:28. > :32:30.deeply unfair, drifting in the wrong direction that will divide the

:32:31. > :32:35.country, not unite it, and he said those words after the Chancellor

:32:36. > :32:47.announced he was ditching the PIP cuts. Is the former work and pension

:32:48. > :32:53.secretary deleted? I have done some research, and when she was the Chief

:32:54. > :32:58.Secretary to the Treasury, I wish we had seen a few more revenue raisers

:32:59. > :33:03.in budget, such as savings in welfare and public expenditure.

:33:04. > :33:10.During the period she was chief Secretary, the deficit went from ?76

:33:11. > :33:17.billion a year to 154 billion pounds. The measures my right

:33:18. > :33:31.honourable friend and I have been taking at the clean-up MS they left

:33:32. > :33:36.in government. -- to clean up the mess. These difficult changes are

:33:37. > :33:44.worthwhile. I will give way in a moment. Let me make progress. Okie,

:33:45. > :33:48.I will give way, I have said where we made a mistake we have listened

:33:49. > :33:51.and learned, when it is she going to apologise and say she made mistakes

:33:52. > :33:56.and her colleagues made mistakes during that period in government,

:33:57. > :34:08.which is what we have been cleaning up? The Chancellor did not address

:34:09. > :34:13.the issue about the unfairness of his budget. Will he address the

:34:14. > :34:23.issue of the revenue behind his budget? He has abandoned ?4.4

:34:24. > :34:28.billion in revenue raisers from his budget. Wave is the money going to

:34:29. > :34:32.come from or will he change the scorecard with which he set out? Al

:34:33. > :34:37.tell you what is unfair, to saddle the next generation with debts there

:34:38. > :34:49.is no way of paying off. That is what she did. I will come on

:34:50. > :34:54.specifically to disability benefits. But let me tell you about fairness.

:34:55. > :34:59.We have taken action which means half a million fewer children

:35:00. > :35:03.growing up in workless households, 1 million fewer people on out

:35:04. > :35:12.benefits. Over 2 million more people in work than when we came to office.

:35:13. > :35:22.That is the social office on the side of the House that I am proud

:35:23. > :35:25.of. The work we take takes further steps to improve this. Is action to

:35:26. > :35:31.reduce sugar intake and give children better health care. There

:35:32. > :35:33.is support for savings of lower-income families, more help and

:35:34. > :35:40.housing for homeless people. Personal allowance increases that

:35:41. > :35:45.left a million of the low paid out of tax credit altogether. There is

:35:46. > :35:49.an increased minimum wage ahead of the introduction of the first-ever

:35:50. > :35:55.national living wage into weeks, all in the budget we debate today, all

:35:56. > :36:00.the actions that are compassionate one Nation Conservative Vermont are

:36:01. > :36:09.determined to deliver social justice and economic security. The new

:36:10. > :36:13.Secretary of State for work and pension is yesterday in his first

:36:14. > :36:17.statement said that the government would not be making any further cuts

:36:18. > :36:21.to welfare during this parliament, but later he said there were no

:36:22. > :36:26.plans to make further cuts to welfare during this Parliament.

:36:27. > :36:30.Could the Chancellor confirmed for the sake of disabled people and

:36:31. > :36:36.others, that there will be no further cuts to the welfare budget

:36:37. > :36:43.in this Parliament? My right honourable friend said yesterday

:36:44. > :36:48.exactly what the plans where that there were no plans to make welfare

:36:49. > :36:53.savings beyond the savings legislated for two weeks ago, which

:36:54. > :36:58.we will focus on implementing. I will come on to address the specific

:36:59. > :37:01.issue of welfare savings and disability, but she could have got

:37:02. > :37:07.to her feet and thanked the government for delivering her flood

:37:08. > :37:14.defence schemes that she asked for her city and that were in the budget

:37:15. > :37:17.statement one week ago. Let me turn to the disability benefits. We are

:37:18. > :37:23.all proud that this government is giving more support to the most

:37:24. > :37:28.disabled people. While the reforms proposed two weeks ago drew on the

:37:29. > :37:36.work of an independent review, they did not command support. We have

:37:37. > :37:40.listened and they will not go ahead. The government is spending more than

:37:41. > :37:57.disabled people than the last Labour government ever did, and let me

:37:58. > :38:01.directly address what that means. First, over 3 million disabled

:38:02. > :38:10.people are now in work, 300,000 more than just -- a couple of years ago.

:38:11. > :38:15.The budget has risen, will continue to rise, and is much greater than

:38:16. > :38:21.the one we inherited. We will take time, listen and consult widely to

:38:22. > :38:25.build disability support which works better with health and social

:38:26. > :38:30.services. As my honourable friend said yesterday, we will continue to

:38:31. > :38:42.support disabled people and work with them to continue the work we

:38:43. > :38:45.do. Second, on the welfare gap, I will give way. Beer can only be a

:38:46. > :38:57.compassionate conservative government if we have a strong,

:38:58. > :39:03.stable economy... He is absolutely right, I am coming onto precisely

:39:04. > :39:07.that point. Let me deal with the measures we take to control spending

:39:08. > :39:11.and then I will take interventions. On the welfare cap, this is the

:39:12. > :39:15.instrument we have introduced to set out in a transparent way to

:39:16. > :39:19.Parliament what we aim to spend on welfare of the stop it is judged by

:39:20. > :39:25.the OBR every autumn, and that is when we have to comply with the cap

:39:26. > :39:29.or explain to Cabinet and the country why we have not done so. It

:39:30. > :39:33.is incredible to hear the party opposite protesting about the

:39:34. > :39:42.welfare gap. It has never existed under the devious government. Did is

:39:43. > :39:45.no control on the largest single area of transparency, no independent

:39:46. > :39:51.forecasts, and as a result welfare cost soared on the country was

:39:52. > :39:58.brought to the brink of bankruptcy. On Friday, a couple came to visit me

:39:59. > :40:05.at my surgery. He is in a wheelchair, unable to feed himself,

:40:06. > :40:10.dress himself, they let on 590 5p a month plus ?63 a week carers

:40:11. > :40:15.allowance. They still have a mortgage to pay and have a teacup --

:40:16. > :40:20.80 years of contributions between them. Will the Minister please

:40:21. > :40:24.apologise to these people for the distress?

:40:25. > :40:33.I have already said we're not going ahead with those changes. And I have

:40:34. > :40:39.addressed these issues. The truth is, that family and many others are

:40:40. > :40:43.getting increased support and this government and we would not be able

:40:44. > :40:47.to provide any of that unless we had a strong economy and controlled

:40:48. > :40:58.public spending because the people who suffer most... I apologise for

:40:59. > :41:04.interrupting. Order. Members are shouting from sedentary position is

:41:05. > :41:10.very nicely. If people put questions to the Chancellor, they must leave

:41:11. > :41:12.him to respond and the same will go to the government backbenchers

:41:13. > :41:16.challenging members from the opposition. Let us try to restore

:41:17. > :41:28.some order to this debate. The Chancellor...

:41:29. > :41:34.I think the Chancellor forgiving way, will he confirm that this

:41:35. > :41:38.government is spending ?2 billion more on support for the disabled but

:41:39. > :41:43.according to the ISS, inequality is at its lowest rate for 25 years and

:41:44. > :41:47.thanks to this government there are 2 million people more in work. Is

:41:48. > :41:53.that what we're doing for the vulnerable? My right honourable

:41:54. > :41:58.friend is right, more people in work, reduced inequality and

:41:59. > :42:07.poverty, or disabled people in work and we got a freeze on beer duty as

:42:08. > :42:12.well! Let me make some progress. By not proceeding with the PIP changes

:42:13. > :42:16.it means that spending on disabled people would be just over ?1 billion

:42:17. > :42:19.higher than by the end of the decade than set out in the budget. This

:42:20. > :42:24.will be an important factor but only one of many that will affect the

:42:25. > :42:31.overall forecast for welfare that the OBR will make in the autumn. The

:42:32. > :42:37.overall forecast, and at that point we shall assess the level of the cap

:42:38. > :42:40.and what my right honourable friend suggest today, with my full support,

:42:41. > :42:45.we will not have further plans to make further welfare savings to

:42:46. > :42:51.replace the ?1 billion more spent on PIP. We made substantial savings in

:42:52. > :42:57.the welfare reform and work act that has just passed through Parliament

:42:58. > :43:01.so we have legislated for ?12 billion a year of working age well

:43:02. > :43:06.first savings, that will be committed to in the manifesto and we

:43:07. > :43:13.shall focus on and lamenting that. Let me just say... About ten to

:43:14. > :43:16.pensioners because it has been raised. In the same breath, some

:43:17. > :43:20.people say that we are not saving enough from pensioners while at the

:43:21. > :43:24.same time complaining about everything from long-term increases

:43:25. > :43:28.in the state pension age to keep pace with rising life expectancy to

:43:29. > :43:33.restrictions on the left-hand allowances for the largest pension

:43:34. > :43:38.pots. The truth is, we have made substantial savings from pensioner

:43:39. > :43:42.welfare, half of ?1 trillion of savings and are vital to the vital

:43:43. > :43:47.that in ability of public finances and we have made these in a way that

:43:48. > :43:52.enables us to go on giving people who have worked hard for all of

:43:53. > :43:55.their lives a decent, generous, basic state pension that we

:43:56. > :44:05.committed to in our manifesto and I am not going to take that away from

:44:06. > :44:09.people. Would he accept that very people spend a higher proportion, if

:44:10. > :44:12.not all, of their income and richer people save it so in his budget,

:44:13. > :44:22.which is transferred money from April the rich, he is like a Sheriff

:44:23. > :44:29.of Nottingham budget. Does it accept that will undermine growth and

:44:30. > :44:35.deficit reduction, morally and economically, that is wrong? Under

:44:36. > :44:42.this government the richest 1% are paying a higher proportion of income

:44:43. > :44:44.tax than any single -- than in any single year of the last Labour

:44:45. > :44:48.government that he would support as a Member of Parliament for Croydon

:44:49. > :44:57.until he was replaced by a veteran Member of Parliament for Croydon! --

:44:58. > :45:03.better. I will say this and takes a more interventions later. Let me

:45:04. > :45:06.turn to the numbers. I do find it ironic to get all of these

:45:07. > :45:10.expressions of concern from members opposite about making things add up

:45:11. > :45:15.when they decided over the biggest single fiscal fiasco in the history

:45:16. > :45:19.of the country and they had a black hole any current plans so large it

:45:20. > :45:25.would break the Large Hadron Collider. That is the truth about

:45:26. > :45:36.them, the central fiscal judgment of the government is clear, borrowing

:45:37. > :45:43.has been cut... From ?155 billion when it came to office ?255 billion

:45:44. > :45:46.next year, it falls every year, higher spending on disability will

:45:47. > :45:49.be reflected in the Autumn Statement forecast and we do not propose to

:45:50. > :45:55.make any further changes ahead of that. These are the changes you can

:45:56. > :45:58.afford to absorb when you are getting public spending under

:45:59. > :46:08.control so we can make these changes and still achieve a sensible surplus

:46:09. > :46:11.of 0.5% of GDP by 19 -- 2019. In short, we go on delivering the

:46:12. > :46:16.economic security that this country elected us to provide. I am grateful

:46:17. > :46:21.to my right honourable friend. Talking of Labour fiascoes, what

:46:22. > :46:31.about the 10p tax fiasco from Gordon Brown? Taking the lowest paid

:46:32. > :46:36.workers out of tax altogether! My right honourable friend is right,

:46:37. > :46:42.what a contrast, we turned 10p into zero. As we raise the personal

:46:43. > :46:49.allowance. And of course, these improvements, I will give way to my

:46:50. > :46:55.right honourable friend. If it has been so simple to absorb this

:46:56. > :47:01.change, why on earth did he put it in the first place and frighten the

:47:02. > :47:05.life of disabled people? People are terrified about what has been

:47:06. > :47:13.proposed and you have just said we can absorb this easily. While earth

:47:14. > :47:17.do it in the first place? -- why on earth. If you take the decisions to

:47:18. > :47:20.control expenditure, you destroy the finances and the people who suffer

:47:21. > :47:26.are precisely the most honourable in society. Yes, we have taken

:47:27. > :47:30.difficult decisions and where we have not got the right, we have

:47:31. > :47:33.listened and learned but if we had not taken all of these decisions the

:47:34. > :47:38.country would be in an even bigger mess than the one we inherited. I

:47:39. > :47:45.will take the member from the Scottish and lasts and then make

:47:46. > :47:53.progress. -- nationalists. He mentions security. He mentions the

:47:54. > :48:00.security of the poor. Does he not realise that until Monday, 340,000

:48:01. > :48:05.people on PIP were worried that their benefits were going to be cut?

:48:06. > :48:11.If you just apologised and change, we could move on and discuss

:48:12. > :48:13.economics. I could not have been clearer, we have listened and

:48:14. > :48:21.learned and made a mistake and withdrew those proposals. He talks

:48:22. > :48:27.about... On Thursday, it'll be the day when separated from the UK if

:48:28. > :48:32.the nationalists had their way. They would have plunged the country into

:48:33. > :48:40.a fiscal crisis likes of which few Western countries have ever seen.

:48:41. > :48:43.And they would have been impoverished Scottish people and

:48:44. > :48:47.driven business away, they based their numbers on oil forecasts that

:48:48. > :48:52.were fanciful and it is time they apologised for leading the Scottish

:48:53. > :49:01.people down that potential trap. Thankfully, the Scottish people saw

:49:02. > :49:05.better. Let me make some progress. We have taken difficult decisions to

:49:06. > :49:09.control public expenditure, costs and reduce the crippling deficit. We

:49:10. > :49:14.took more decisions last week. I will give way to my right honourable

:49:15. > :49:21.friend. I will explain what we have done to clear up this mess. More

:49:22. > :49:23.decisions in the budget. We also have lamented decisions today to

:49:24. > :49:27.make sure the work of reducing the deficit is done fairly and we ask

:49:28. > :49:33.more from the well-off. Look at the measures. On dividends, lifetime

:49:34. > :49:38.pension allowances, stamp duty on second property, banks and hedge

:49:39. > :49:43.funds is and a host of measures to tackle aviation and avoidance. The

:49:44. > :49:53.ISS, which has been quoted a lot, says... The head said this... Be

:49:54. > :49:56.very highest earners have seen significant tax increases and that

:49:57. > :50:01.has been a reasonable thing to ask of the most well-off when faced with

:50:02. > :50:11.such a budget deficit because we're all in this together. I am grateful

:50:12. > :50:14.to my right honourable friend. On the question of personal economic

:50:15. > :50:22.security, during his statement, my constituent, Dan, from Addington,

:50:23. > :50:27.tweeted that this lifetime I get one? Does this demonstrate that

:50:28. > :50:33.young people around the country see opportunity in this budget? An

:50:34. > :50:41.opportunity to save, an opportunity for their generation. My right

:50:42. > :50:46.honourable friend is right to raise the concerns of his constituent

:50:47. > :50:50.about where he can get hold of the new lifetime icer, it will come in

:50:51. > :50:55.from April but he can open a Help To Buy 19, rule into that, keep the

:50:56. > :51:00.government bonus and then choose about saving for his home by saving

:51:01. > :51:03.for his pension and not have to face the agonising choice that summary

:51:04. > :51:12.people have faced in the choice of a crew in the past. I will give way...

:51:13. > :51:21.I will make some progress and then takes a more interventions. It is a

:51:22. > :51:26.classic socialist illusion to think you can solve all of society 's

:51:27. > :51:29.problems with taxes on the rich. The age-old excuse for not managing

:51:30. > :51:35.public spending were welfare costs and this brings me to a central

:51:36. > :51:40.point I wish to make to the House today. There is no inherent conflict

:51:41. > :51:47.between delivering social justice and the savings required to deliver

:51:48. > :51:51.sound finances. They were one and the same thing. Without sound public

:51:52. > :52:03.finances, there is no social justice. Of course, I will give way

:52:04. > :52:10.in a moment to the taxi business... Let me say this... Without sound

:52:11. > :52:14.finances there is no social justice and of course, Mr Speaker, it is the

:52:15. > :52:19.easiest thing in the world to do this job and so, yes, to every new

:52:20. > :52:23.demand for government spending and pleasing all the people all the time

:52:24. > :52:29.but we know where this leads, because we had a chance before me

:52:30. > :52:32.who spent a decade going around the country saying yes to even more

:52:33. > :52:37.spending, yesterday even higher welfare bills and yes, we know what

:52:38. > :52:43.happens then. It brought other country to the brink of collapse. --

:52:44. > :52:48.brought this country. It was economic cruelty and that price for

:52:49. > :52:52.the people, they were the people who always pay the price when spending

:52:53. > :52:56.is out of control and Welfare Bill 's spiral, it was not the

:52:57. > :53:00.politicians at the time he pay that price, although they're happy

:53:01. > :53:02.sitting on the benches opposite... It was the poorest who paid the

:53:03. > :53:08.price. And the most foldable suffered. These are the people who

:53:09. > :53:12.lost their jobs and had their livelihoods snatched from them.

:53:13. > :53:18.These are the people I am fighting for, decent, hard-working people.

:53:19. > :53:20.Not numbers on a spreadsheet. But people whose lives would be

:53:21. > :53:24.impoverished and hopes and aspirations would be crushed if we

:53:25. > :53:28.had gone on spending more and more than the country earns. Getting

:53:29. > :53:33.things right for these people is what I am all about. And it weighs

:53:34. > :53:37.in every decision I have taken as Chancellor over the last six years.

:53:38. > :53:47.These are the people we in this party have been elected to serve. He

:53:48. > :53:51.rightly talks about learning lessons but it is also important that we

:53:52. > :53:55.have clarity about the future. The government line seems to be that

:53:56. > :53:59.there are no plans to further reduce the welfare budget but yesterday,

:54:00. > :54:03.the new Secretary of State said in this House, we will not be seeking

:54:04. > :54:07.alternative offsetting savings and the government will not be coming

:54:08. > :54:13.forward with further proposals for welfare savings. Wetherby any

:54:14. > :54:19.further welfare cuts or not? What is the answer? He has not offered any

:54:20. > :54:26.clarity. That is exactly the position set up by my friend. We

:54:27. > :54:31.understand that if you do not control spending, then you have a

:54:32. > :54:36.fiscal crisis, and because we're controlling spending and we have

:54:37. > :54:39.passed welfare legislation in recent months, we have got the deficit

:54:40. > :54:45.coming down and we're delivering economic Secretary for people. I

:54:46. > :54:49.think the Chancellor. Given what he said about the importance of fiscal

:54:50. > :54:51.responsible at it, will he confirm that had he listened to the advice

:54:52. > :54:59.of the party opposite in the last five years national debt would be

:55:00. > :55:04.?900 billion higher? My right honourable friend is right. The

:55:05. > :55:08.analysis shows that if we had not taken the decision is to reduce the

:55:09. > :55:12.structural deficit, it would have added ?1 trillion further to the

:55:13. > :55:13.national debt, proof you can never trust Labour with the nation 's

:55:14. > :55:23.public finances. I give way to my honourable friend.

:55:24. > :55:29.Would he agree with me that members of this side will not take lectures

:55:30. > :55:39.in fiscal management from the party office it? 13 years in government,

:55:40. > :55:46.then an old saying no money left. She is right, a letter saying, I am

:55:47. > :55:53.sorry, there is no money left. After 13 years of a Labour government,

:55:54. > :55:58.that was the summary of the economic achievement. Let me make a little

:55:59. > :56:07.progress then give way. We will go on driving down the budget deficit,

:56:08. > :56:12.down from borrowing ?1 on every four macro, then onto security and good

:56:13. > :56:17.times of a budget surplus. A country earning more than it spends, but

:56:18. > :56:21.does not pass on debts to its children and grandchildren. We

:56:22. > :56:27.committed to this, we were elected to do this, and it is what the

:56:28. > :56:33.budget delivers. Let me turn to the measures in the budget, again I

:56:34. > :56:37.completely refute those on the other side who say that there is a choice

:56:38. > :56:43.between backing business and promoting social justice. You cannot

:56:44. > :56:49.have social justice without a strong economy. And you cannot have a

:56:50. > :56:58.strong economy unless you have a tax system that backs business and

:56:59. > :57:03.enterprise. I will give way. Is it not the case that when you inherit

:57:04. > :57:07.an unprecedented budget deficit like we did, it is not just about

:57:08. > :57:12.controlling spending. The country has too earned more. And the only

:57:13. > :57:16.way to do that is to cut corporation tax, capital gains tax, so

:57:17. > :57:26.entrepreneurs can go out into the world on their own this country what

:57:27. > :57:28.it needs. He is right. Without a strong economy you cannot have

:57:29. > :57:41.social justice, and you cannot have a strong economy without successful,

:57:42. > :57:46.vibrant businesses. He spoke a lot about the next-generation. One thing

:57:47. > :57:51.he said last week which was welcomed by many young people in Southampton

:57:52. > :57:55.and across the South was to back the new Children's Hospital with ?2

:57:56. > :57:59.million of matched funding. That is what looking after the next

:58:00. > :58:04.generation looks like, and can I just say on the half of many people

:58:05. > :58:09.across the South, thank you. My honourable friend campaigned for the

:58:10. > :58:14.extra money for the hospital in Southampton. He raised it countless

:58:15. > :58:21.times in the chamber, and it shows that if you persevere, you have a

:58:22. > :58:27.government that listens to you and delivers to you. Let me make a

:58:28. > :58:33.couple of more points and then I will take an intervention. Yesterday

:58:34. > :58:38.the Leader of the Opposition stood and replied to my right honourable

:58:39. > :58:45.friend the Prime Minister, and people have focused on what he

:58:46. > :58:50.failed to save. I am focused on what he said, we should not be reducing

:58:51. > :58:56.taxes on business. He thinks the answer to the challenge of low

:58:57. > :59:01.productivity is that taxes on business should be higher. I totally

:59:02. > :59:08.disagree. That is Labour's answer these days. Increase the basic rate

:59:09. > :59:15.of income tax on working people, as they propose in Scotland, and again

:59:16. > :59:17.the price would not be paid by those opposite, it would be paid by young

:59:18. > :59:23.people who cannot get jobs in countries where business taxes are

:59:24. > :59:28.too high, and enterprise is stifled. It would be paid by people who work

:59:29. > :59:31.in public services whose resources would be drained as the economy

:59:32. > :59:36.became more and more uncompetitive. It would be paid by the country as

:59:37. > :59:46.living standards declined and the nation became poorer. If that is the

:59:47. > :59:50.budget you want, vote in the division lobby tonight. But if you

:59:51. > :59:57.want one that takes 6000 businesses out of business rates, reforms

:59:58. > :00:01.commercial tax, that is the budget we are voting on tonight. If you

:00:02. > :00:08.want and enterprise budget that this investment in our small and medium

:00:09. > :00:14.firms, dramatically reduces burdens on vital oil and gas industry, and

:00:15. > :00:16.gives us the lowest headline business tax rates of any

:00:17. > :00:23.competitors, that is the budget we are voting on tonight. And if you

:00:24. > :00:27.want a one Nation budget but increases the resources for

:00:28. > :00:34.education, supports children's health care, the volts power across

:00:35. > :00:39.our nation, builds infrastructure for the future, that is the budget

:00:40. > :00:45.we are voting on tonight. And if you want budget working people that

:00:46. > :00:48.helps save for the future, freezing there fuel duty, cuts income tax or

:00:49. > :00:53.they keep more money that they are, that is what we are voting on

:00:54. > :00:56.tonight, a budget that delivers security, the health of the

:00:57. > :01:01.next-generation, and that backs working people. It is a passionate

:01:02. > :01:04.Conservative budget, and I ask the House to support it tonight.

:01:05. > :01:31.CHEERING Order, I shall now call the Shadow

:01:32. > :01:52.Chancellor to respond to the Chancellor and to move amendment be.

:01:53. > :01:54.Mr John McDonnell. Mr Speaker, I and my party share the sentiments

:01:55. > :01:58.expressed by the Chancellor Randles across the House, in condemnation of

:01:59. > :02:04.what happened in Brussels today. Our thoughts and prayers are with the

:02:05. > :02:07.Vic in Zambia families. We support the security measures taken by the

:02:08. > :02:17.government, and we say to the people of Alger, we stand with you, we

:02:18. > :02:21.stand with you. I wish to move amendment B. I am glad to see the

:02:22. > :02:35.Chancellor turned up at the least today. In my view, and I believe

:02:36. > :02:40.that of many others, I believe the behaviour of the Chancellor over the

:02:41. > :02:49.last 11 days calls into question his fitness for the office he now holds.

:02:50. > :03:01.Shouting . I also believe it calls into

:03:02. > :03:09.question his fitness for any leading office in government. What we have

:03:10. > :03:17.seen is not the actions of the Chancellor, a senior government

:03:18. > :03:32.minister, but the grubby, incompetent actions of Chancellor.

:03:33. > :03:35.Let's go back to last Friday week. The Chancellor personally forced to

:03:36. > :03:40.cuts in Personal Independence Payment is. A statement issued by

:03:41. > :03:47.the government that Freddie on the IPs was not a consultation. It was

:03:48. > :03:52.not a suggestion, it was a statement of policy -- PIPs. Personal

:03:53. > :03:58.Independence Payment are the benefits that for many disabled

:03:59. > :04:07.people actually make life worth living. They help them get to work,

:04:08. > :04:14.they help them have some normality in their lives. And they often keep

:04:15. > :04:17.them out of residential care. The Chancellor was willing to cut away

:04:18. > :04:26.this vital support to some of the coolest and most disadvantaged

:04:27. > :04:37.members of our community. Do not tell us we are all in this together.

:04:38. > :04:42.Disability groups... Give way. Wouldn't you help to dispel the

:04:43. > :04:44.impression that the Chancellor is acting in his own political

:04:45. > :04:50.interests rather than in the national economic interest. If he

:04:51. > :04:56.had made clear today that he was not going to stand in the leadership of

:04:57. > :05:05.the Tory party but in order to concentrate on his job as Chancellor

:05:06. > :05:15.of the Exchequer. The reason I referred back to fitness for office

:05:16. > :05:24.is because many of us know the distress this has been caused to so

:05:25. > :05:29.many people over the last week. He makes a very personal point about

:05:30. > :05:34.fitness for office on a day of major terrorism attack. Will he withdraw

:05:35. > :05:44.his previous support for terrorist organisations that have attacked

:05:45. > :05:50.this country? Mr Speaker, you heard me share the sentiments of the House

:05:51. > :05:55.on the issue of Belgium. To bring that into the debate as a political

:05:56. > :06:07.point at this stage is an acceptable. Order. Order. Order. I

:06:08. > :06:13.made it clear earlier that attempts to shout down the Chancellor were

:06:14. > :06:20.unacceptable. That was made very clear. I do not think anybody would

:06:21. > :06:25.doubt or deny it. I make similarly clear that no attempt in this

:06:26. > :06:33.chamber will be successful if it is an attempt to shout down the Shadow

:06:34. > :06:40.Chancellor. Get the message, it will not happen. On the Friday before

:06:41. > :06:47.last, disability groups were outraged. The Multiple Sclerosis

:06:48. > :06:53.Society, the Parkinson Society, disability rights, why? Because all

:06:54. > :06:58.of them, like many of us, had gone through the process of agreeing the

:06:59. > :07:01.criteria, at least coming to some compromise on what would actually

:07:02. > :07:10.constitute the criteria for access to this benefit. But the Chancellor

:07:11. > :07:15.moved the goalposts. Those already agreed through consultation,

:07:16. > :07:19.disabled people and their families, have been sick with worry about the

:07:20. > :07:25.threats to their benefits. I will give way. He has called into

:07:26. > :07:28.question the morality of the leadership of my right honourable

:07:29. > :07:35.friend. Would he please discuss with the House the morale of the that

:07:36. > :07:38.allows him to stand with bombers who murdered my friends in Northern

:07:39. > :07:50.Ireland and question the Chancellor? Order! Order! Before we proceed

:07:51. > :07:55.further, perhaps I could say to the House, and I do so on my own

:07:56. > :08:03.account, but also on the basis of sound procedural advice, we must

:08:04. > :08:09.stick to the matter of the budget. I do not require any comeback or

:08:10. > :08:15.comment, agreement or disagreement. Let us proceed in a seemingly matter

:08:16. > :08:20.with the debate. Batters in the interests of the House, and it is

:08:21. > :08:28.what the country has a right to expect. This is a challenge to the

:08:29. > :08:34.judgment of the Chancellor. I give way. During the Chancellor's opening

:08:35. > :08:44.speech, we heard them say that the government will make savings in the

:08:45. > :08:50.welfare budget, which means 4.4 billion regarding PIPs was in

:08:51. > :08:55.addition. It shows this government is mean minded, and prepared to

:08:56. > :08:58.attack people with disabilities, and it is not necessary to make these

:08:59. > :09:04.cuts in welfare and they should give a guarantee that they will not

:09:05. > :09:08.return with this cut. The proposals that came forward did not just shock

:09:09. > :09:20.us at this side of the House, it shocked many members across the

:09:21. > :09:27.House for the brutality. There is scheduled to be a 6% real terms

:09:28. > :09:32.decline on spending on disability benefits between 2015 and 2020. When

:09:33. > :09:36.it came after that Friday, to the Wednesday of the budget, we

:09:37. > :09:44.discovered that these cuts to disabled people were being made to

:09:45. > :09:49.pay for capital gains tax cuts, benefiting the richest 5% in

:09:50. > :09:55.society. And four corporation tax cuts as well. Of course there was a

:09:56. > :10:03.deep feeling of unfairness in this House on all sides. And I welcome

:10:04. > :10:06.the right honourable member for Chingford and Woodford Green's

:10:07. > :10:15.expression of concern during that period. His conversion to our cause

:10:16. > :10:21.of opposing these benefit cuts. At the first person to call to question

:10:22. > :10:25.was my honourable friend for Oldham East, who said in response to the

:10:26. > :10:31.announcement, and I quote, and coming to this decision, the Tories

:10:32. > :10:35.are yet again ignoring the views of disabled people, their carers and

:10:36. > :10:40.experts in the field, trying to press ahead with changes just two

:10:41. > :10:44.years since the introduction of the system itself.

:10:45. > :10:53.After it became clear that cuts to PIPs the planned as a way to fund

:10:54. > :10:57.tax cuts for the wealthy, it was my honourable friend, the leader of the

:10:58. > :10:59.Labour Party, who made it a key part of his excellent response to the

:11:00. > :11:04.budget last week and he was not alone. The members for Ilford North

:11:05. > :11:08.and Nottingham East were among several others on these benches who

:11:09. > :11:14.pressed the Chancellor on this issue. As I did in opening the

:11:15. > :11:20.debate last Thursday. I want to give thanks to everyone on our benches

:11:21. > :11:27.and across the House whose help forced this rethink and helped end

:11:28. > :11:31.the wording which thousands of disabled people have been

:11:32. > :11:37.experiencing in the past week. I thank the Shadow Chancellor. He is

:11:38. > :11:41.right, but turns are embarrassing but I remember his embarrassing

:11:42. > :11:46.U-turn on the charter for fiscal responsibility. Does he regard

:11:47. > :11:50.himself at the moment as a socialist or Marxist and does he agree that

:11:51. > :11:56.the politics of the far left only offer the people and equal share of

:11:57. > :12:00.misery? This is a debate about the threat of cuts to some of the most

:12:01. > :12:14.vulnerable people in society. This is not a time for student union

:12:15. > :12:17.politics in this chamber. By Friday, the Chancellor was under so much

:12:18. > :12:22.criticism, he needed to find someone to blame. I think he did one of the

:12:23. > :12:26.most despicable acts we have witnessed in recent litigant

:12:27. > :12:31.history- he sent out his team of spin doctors to lay the blame on the

:12:32. > :12:34.former Secretary of State for work and that is. The right honourable

:12:35. > :12:39.member for Chingford and Woodford Green. This was a disgraceful act of

:12:40. > :12:43.betrayal of one of his own Cabinet colleagues. To save his own

:12:44. > :12:58.political skin and his leadership post. Order! Mr cleverly. I have

:12:59. > :13:03.known four years, you have always struck me as very polite fellow. Did

:13:04. > :13:06.you get overexcited? You will have an opportunity to intervene in due

:13:07. > :13:14.course but you do not do this in this way. I am surprised that he has

:13:15. > :13:18.been taken by some of the crocodile tears from the Tories opposite in

:13:19. > :13:23.his concern for the disabled. Surely have degrees of me that this is

:13:24. > :13:36.nothing to do with new-found concern for the disabled, it is about the

:13:37. > :13:44.Civil War. Let me move on... ! I appreciate the point made. Can I

:13:45. > :13:53.just say, the reason the betrayal was why the member resigned. I have

:13:54. > :13:58.agreed to be frank with not a single policy he has put forward but I do

:13:59. > :14:06.not doubt his sincerity in the policies he has pursued. Would he

:14:07. > :14:10.not agree with the words of the member for Chingford and Woodford

:14:11. > :14:14.Green said, that the policies of the Chancellor are in danger of drifting

:14:15. > :14:21.in a direction that divide society rather than unites it? I believe his

:14:22. > :14:26.interview on the Andrew Marr programme professed effect that he

:14:27. > :14:30.has concern about this budget, that we agreed with. I have not agreed

:14:31. > :14:38.with the single policy he has pursued but I do not doubt his

:14:39. > :14:49.sincerity. There is no need to shout. He saw the unfairness of the

:14:50. > :14:55.cuts to PIPs contained in the budget, as he said, a budget that

:14:56. > :15:05.benefits high earners. And he saw himself being set up by his own

:15:06. > :15:09.Cabinet colleagues. I thank the Shadow Chancellor forgiving way and

:15:10. > :15:13.he is right to say he does not agree with the former Secretary of State's

:15:14. > :15:20.policies because even with this U-turn, to the PIPs, disabled people

:15:21. > :15:23.are still left distressed by the current reforms that are still going

:15:24. > :15:28.to be going through and will you join me in urging the Chancellor and

:15:29. > :15:34.the new Secretary of State to look again at this very flawed process? I

:15:35. > :15:43.fully concur. Because the same weakness was discussed, the ESA was

:15:44. > :15:52.cut by ?30 per week as well. I think the member opposite. He has been

:15:53. > :15:55.speaking for 14 minutes and West criticising people on my side of the

:15:56. > :15:59.House for making this about politics and people, I was wondering if you

:16:00. > :16:14.would get round to talking about any of the budget proposals? Can I say

:16:15. > :16:21.to the honourable gentleman... The role of the opposition is to hold

:16:22. > :16:26.government to account. We are holding this Chancellor to account

:16:27. > :16:31.for a potential attack on disabled people which I believe would have

:16:32. > :16:38.devastated their lives. In a minute... What I find most

:16:39. > :16:43.disgraceful from all of this is that there has been not one word of

:16:44. > :16:51.apology from its answer or any member on that side. Apologise, I

:16:52. > :16:55.say. I say, apologise, for the pain and anguish he has caused disabled

:16:56. > :17:02.people and their families, for the last two weeks. I understand when

:17:03. > :17:06.mistakes are made, we all make mistakes, but when you make a

:17:07. > :17:12.mistake, and you corrected, at least you should apologise. Does my

:17:13. > :17:15.honourable friend share my view that the most distressing thing that the

:17:16. > :17:17.former Secretary of State said throughout this weekend was the

:17:18. > :17:22.point about it does not matter because they do not vote for us

:17:23. > :17:28.anyway? Isn't there a constant thread, from the government cuts, in

:17:29. > :17:37.this budget, it does not care unless people vote Tory? I find it a form

:17:38. > :17:40.of electoral politics went just because a certain vulnerable group

:17:41. > :17:52.does not vote for you, you target them. That is unacceptable. Not one

:17:53. > :18:03.word of apology. One nation conservatism? It is a contradiction

:18:04. > :18:08.in terms. Can I remind the Shadow Chancellor that the richest 2% are

:18:09. > :18:12.paying 52% of all income tax, up from 49%, and the National Living

:18:13. > :18:17.Wage is putting money into the pockets of the poorest citizens? Can

:18:18. > :18:23.I say that he refers only to income tax. If he had seen last weekend the

:18:24. > :18:28.analysis of the overall cuts and what has happened regarding tax and

:18:29. > :18:33.benefits, he would see that it is actually the poorest but are paying

:18:34. > :18:38.the most and the two groups hit hardest, young women with children

:18:39. > :18:44.and older women with care and responsibilities. Cuts, Eddie 1% are

:18:45. > :18:55.falling on women. That is a discriminatory budget. -- 81%. We

:18:56. > :19:03.are all pleased that the Chancellor has found that attacking the

:19:04. > :19:07.disabled, the cuts in this way, is one cut too far for this government

:19:08. > :19:10.but would you agree that characterising all benefits

:19:11. > :19:15.claimants as work-shy stay in bed, lazy scroungers, which the

:19:16. > :19:22.Chancellor has done on many occasions, contribute to an

:19:23. > :19:25.atmosphere in which it is acceptable to enrich the better off at the

:19:26. > :19:33.price of the poorest amongst us? That language has been used. It has

:19:34. > :19:39.been used. Let me return to the budget. The honourable gentleman,

:19:40. > :19:46.who has left us, ask me to return. Can I say this... Even worse, there

:19:47. > :19:55.is still no certainty about further welfare cuts. We were told yesterday

:19:56. > :20:01.and we have repeated today, that there will be no further cuts in

:20:02. > :20:04.this Parliament. Within minutes, the Treasury were briefing to correct

:20:05. > :20:13.the Secretary of State. It became no planned cuts. There is complete

:20:14. > :20:16.confusion, chaos upon chaos. Assurances, mealy-mouthed assurances

:20:17. > :20:21.given today are being given but nobody believes or has any

:20:22. > :20:28.confidence in them. In one second. The withdrawal of PIPs leaves a ?4.4

:20:29. > :20:35.billion hole in the budget, as pointed out consistently by my

:20:36. > :20:41.honourable friend for Pontefract. The simple fact is, the sums in this

:20:42. > :20:49.budget, as my honourable friend pointed out, simply do not add up,

:20:50. > :20:52.they do not compute. On that point, the Shadow Chancellor will be aware

:20:53. > :20:58.that page 26 says that the Chancellor will set out plans to

:20:59. > :21:05.meet the welfare cap by this autumn and page 198 of the OBR report says

:21:06. > :21:11.that would require further welfare savings of ?3 billion every year.

:21:12. > :21:16.Did he hear the Chancellor clearly saying this afternoon that he was

:21:17. > :21:21.going to ditch those plans for ?3 billion a year of additional welfare

:21:22. > :21:33.cuts? By the end of this Parliament? Cuts upon cuts. And to the most

:21:34. > :21:38.vulnerable in society. I believe the Shadow Chancellor is a decent man,

:21:39. > :21:42.he said that I do not agree with the single policy of the former Work and

:21:43. > :21:45.Pensions Secretary during his time in office and given his knee fiscal

:21:46. > :21:49.responsibility and his new rules announced one week ago, could he

:21:50. > :21:52.tell the House, because people will look at him as the Shadow

:21:53. > :21:57.Chancellor, will he tell the House, would he keep the welfare cap? Or

:21:58. > :22:05.tell me one single saving that he could take from the welfare budget?

:22:06. > :22:09.We supported the welfare cap. I find it ironic that this is on behalf of

:22:10. > :22:14.a government that is not meeting the welfare cap, it is then moving it

:22:15. > :22:22.up. They are changing the goalposts again. Let us be clear. The ?4.4

:22:23. > :22:27.billion hole in the budget means that either further cuts in

:22:28. > :22:34.departmental budgets or benefits or stealth taxes will come in. No

:22:35. > :22:39.solution has been announced today. We were told this would be resolved

:22:40. > :22:47.by the autumn so between nine and then, no public sector job, no

:22:48. > :22:53.benefit, no service, will be safe. He is right to say that the

:22:54. > :22:56.Chancellor has a ?4.4 billion black hole and it could be filled by cuts

:22:57. > :23:03.to other public services or to stealth tax cuts. But also, that is

:23:04. > :23:07.only in existence because he set himself a false target. Would he

:23:08. > :23:12.agree with me that the real problem at the heart of the Chancellor's red

:23:13. > :23:17.ability is the fiscal charter? -- credibility. I will come back to

:23:18. > :23:25.that. I realise we are under pressure with time. There has been a

:23:26. > :23:30.solution announced today. And I think this political manoeuvring has

:23:31. > :23:36.real consequences. The drama also very the past budget week has

:23:37. > :23:41.clouded a further astounding revelation about his behaviour. His

:23:42. > :23:44.former college, David Laws, revealed at the weekend that the Chancellor

:23:45. > :23:49.pressurised senior officials to reduce their estimates of the

:23:50. > :23:53.funding needed to maintain the NHS. We discovered that the Chancellor

:23:54. > :23:59.had been forced to cut by almost a half of the funding for the

:24:00. > :24:03.independent assessment for what the NHS needs and the result is hospital

:24:04. > :24:07.trusts cannot plan, they are facing a crisis, waiting times are rising,

:24:08. > :24:13.staff are under intense pressure and morale is at rock autumn. At the

:24:14. > :24:15.start of the year, the NHS recorded its worst ever performance as

:24:16. > :24:22.services struggled to cope with demand. It is now facing its against

:24:23. > :24:29.funding crisis for one generation. And it is putting patient care at

:24:30. > :24:35.risk. I want to go back to the issue of the welfare cap. The existence of

:24:36. > :24:43.the welfare cap and the support for the welfare cap, does that not imply

:24:44. > :24:47.that if welfare spending goes up, then there will have to be a

:24:48. > :24:51.revisiting of welfare spending? And at that stage, with the Shadow

:24:52. > :24:52.Chancellor cease to support the welfare cap would he support

:24:53. > :25:04.measures to keep within it? We supported it because we believed

:25:05. > :25:11.he had better policies such as homes, -- we believe we have better

:25:12. > :25:16.policies such as building homes. The NHS, and nothing says Embers

:25:17. > :25:21.Budget that the NHS is capable of finding the ?22 billion in savings

:25:22. > :25:26.over the next few years, and this idea is pure fantasy written into

:25:27. > :25:30.this Budget. It is typical of this Chancellor to look for Spain and

:25:31. > :25:33.presentation over addressing the real problem. I have been extremely

:25:34. > :25:39.generous, I will come back to the honourable gentleman, we are running

:25:40. > :25:41.out of time. He needs to stop living in the fantasyland and started being

:25:42. > :25:49.honest with the public over his own numbers. On schools, this is far

:25:50. > :25:52.from it being a Budget for the next generation, as the Chancellor

:25:53. > :25:56.claimed. Not only is the plan to turn every school into an academy

:25:57. > :26:00.unpopular with parents and teachers, we now know that schools face an 8%

:26:01. > :26:09.real terms cut in their funding, the first time since the 1990s but

:26:10. > :26:12.schools funding has been cut. At the heart of all this failure, and this

:26:13. > :26:17.is the point the honourable gentleman made, at the heart of all

:26:18. > :26:21.this failure, to be frank, is the Chancellor 's economic incompetence.

:26:22. > :26:26.His huge mistake of forcing through a fiscal rule that has proved to be

:26:27. > :26:34.unworkable against all sound economic advice, he put politics

:26:35. > :26:39.above economic 's. He imposed a fiscal rule which, like his Budget

:26:40. > :26:44.sums, now simply doesn't add up. Virtually every target he has set

:26:45. > :26:48.himself has been missed. The deficit which he promised would be

:26:49. > :26:53.eradicated last year, he has failed. The debt was supposed to be

:26:54. > :27:00.rising... Supposed to be falling, but it is rising. I thank him for

:27:01. > :27:03.giving way. The former Work and Pensions Secretary described the

:27:04. > :27:08.cuts to PIP as deeply unfair when juxtaposed with the tax cuts to the

:27:09. > :27:13.wealthy. Does he agree with me that the Chancellor should consider

:27:14. > :27:18.scrapping that tax decrease for the wealthy to help fill the black hole

:27:19. > :27:23.left of ?4.4 billion? Perhaps that would help? Those are the sort of

:27:24. > :27:30.proposals we should be considering and voting for today. Let me finish

:27:31. > :27:34.the next section. I understand I am straining your patience, Mr Speaker,

:27:35. > :27:40.I will press on. On debt, the Chancellor is set to leave our

:27:41. > :27:44.children with ?1.7 trillion of Government dead, hundreds of

:27:45. > :27:49.billions borrowed under his watch. The welfare cap, the point the

:27:50. > :27:52.honourable gentleman made, said to be breached this year until 2020.

:27:53. > :27:58.The OBR confirmed it would be breached by ?20 billion over five

:27:59. > :28:04.years. Having broken two of his own rules already, the third hangs by a

:28:05. > :28:08.thread, and only thanks to some serious creative accounting will he

:28:09. > :28:13.meet the overall surplus. Meanwhile, across the country, his economic

:28:14. > :28:20.approach is failing, evidence last week by the OBR report. Forecasts

:28:21. > :28:26.for growth, Daum. Forecasts for wages, down. Forecasts for

:28:27. > :28:29.productivity, down. Forecasts for business investment, down again. Why

:28:30. > :28:36.won't he take responsibility for the last six years? Would he give way?

:28:37. > :28:40.Could I give way to the honourable lady?

:28:41. > :28:44.I am very grateful for the honourable gentleman giving way.

:28:45. > :28:51.Could he confirm that he celebrates the fact that 1700 of the lowest

:28:52. > :28:55.paid in my constituency will be taken out of tax altogether as a

:28:56. > :29:02.result of this Budget, and 1.3 million of the lowest paid are being

:29:03. > :29:07.taken out of tax altogether in this Parliament already? Does he welcome

:29:08. > :29:12.mat? That is why we support the increase in the lower rate

:29:13. > :29:17.threshold, but we have concerns that shifting the thresholds benefits the

:29:18. > :29:28.higher earners too much as well. If I can press on, please. At the

:29:29. > :29:31.bottom, to be frank, of this whole Budget, is a Chancellor more

:29:32. > :29:35.interested, as some have referred to, in his political career than the

:29:36. > :29:40.welfare of disabled people, more interested in becoming leader of his

:29:41. > :29:44.party than the health of our economy, not a Chancellor, but a

:29:45. > :29:49.political Chancellor. Let me pay tribute to the colleagues in this

:29:50. > :29:53.house on all sides who have forced the Chancellor to force this U-turn

:29:54. > :29:59.on his proposed cuts to disabled people. Let me conclude with this,

:30:00. > :30:03.this is not a one nation, passionate Budget, nobody believes that. It is

:30:04. > :30:08.a Budget shot through with unfairness at its heart. Even his

:30:09. > :30:13.own Cabinet colleague denounced it last month. It is fundamentally

:30:14. > :30:17.divisive and unfair. This is not a competent budget, it fell apart

:30:18. > :30:22.within a couple of days and the Chancellor is unable to explain how

:30:23. > :30:26.he will fill the ?4 billion hole. It is not a Budget for the long-term, a

:30:27. > :30:31.long-term economic Lambert lasted three days...

:30:32. > :30:34.LAUGHTER It is a Budget built around

:30:35. > :30:40.short-term political tactics that has backfired spectacularly.

:30:41. > :30:46.They used to say a week is a long time in politics, under this

:30:47. > :30:51.Chancellor the weekend 's counts as the length of a long-term economic

:30:52. > :30:56.plan. What a failure. This is not a Budget for the economy or the

:30:57. > :31:01.country, it is a Budget constructed around a self imposed austerity,

:31:02. > :31:05.about politics, not economic, incompetent politics which has blown

:31:06. > :31:12.up in the Chancellor 's phase. Let me say to him... Let me say to him,

:31:13. > :31:16.he might think of for the sake of his party, but I certainly think for

:31:17. > :31:22.the sake of the country, it is time for him to go.

:31:23. > :31:30.Order, the original question was as on the order paper, since when

:31:31. > :31:37.Amendment B has been proposed as on the order paper. The question is

:31:38. > :31:45.that amendment the be made. Mr Kenneth Clarke?

:31:46. > :31:48.Mr Speaker, may I begin by congratulating my right honourable

:31:49. > :31:51.friend the Chancellor on providing much addition of the Chancellor

:31:52. > :31:58.speaking on the last day of the Budget debate. It is one of the many

:31:59. > :32:03.things that should not have been abandoned by my successor, Gordon

:32:04. > :32:10.Brown. It has, I think we will all agree, the effect of enlivening the

:32:11. > :32:12.debate very considerably. I also congratulate him on the extremely

:32:13. > :32:20.effective and spirited performance he has just made in defending the

:32:21. > :32:24.Government and quite rightly taking pleasure in the achievements he has

:32:25. > :32:28.made so far in his term as Chancellor. It is quite remarkable

:32:29. > :32:32.that we are having such a lively debate on the Budget at a time when,

:32:33. > :32:37.as we just discovered from listening to the Shadow Chancellor, there is

:32:38. > :32:43.absolutely no alternative economic strategy or policy on offer of any

:32:44. > :32:47.kind. No doubt my party will make up for that lack of challenge in its

:32:48. > :32:55.own curious way. Meanwhile, I congratulate the Chancellor on where

:32:56. > :32:59.he has got so far. In case he is worried about the controversy

:33:00. > :33:04.surrounding his Budget, that is not unusual. I have been here so long,

:33:05. > :33:12.let me assure him, I have seen much worse. The 1981 Budget of Geoffrey

:33:13. > :33:15.Howe was extremely controversial and passions run far higher and more

:33:16. > :33:21.seriously than on this particular occasion. Nigel Lawson had his

:33:22. > :33:26.speech interrupt did and the House was suspended because of disorder

:33:27. > :33:34.when he tried to cut the taxes on the higher paid. I merely had one

:33:35. > :33:38.defeat on a finance Bill, I had a rebellion which I lost on the floor

:33:39. > :33:43.of the house. My mitigation is it was not my proposal, it was Norman

:33:44. > :33:48.Lamont who had proposed VAT on domestic fuel. I also had to say

:33:49. > :33:55.that I think it was a perfectly sensible proposal, and I still do.

:33:56. > :34:00.But what I did was come back immediately with more tax proposals

:34:01. > :34:04.in order to get the revenue I had just lost. I think my right

:34:05. > :34:07.honourable friend is quite right to wait for events and see what happens

:34:08. > :34:12.between now and the Autumn Statement, and then continued the

:34:13. > :34:19.fiscal discipline he has so far quite rightly maintained. I will

:34:20. > :34:21.give way. The right honourable gentleman

:34:22. > :34:27.probably knows that the Royal College of physicians has an that

:34:28. > :34:31.40,000 people are dying a year at a cost of ?20 billion from diesel

:34:32. > :34:35.emissions and pollution. Do you think the Chancellor should look

:34:36. > :34:39.again at promoting green transport, public health and savings and

:34:40. > :34:46.rebalance the tariffs on electric and diesel, on hydrogen and petrol,

:34:47. > :34:50.to save lives and money? He is extremely active on that

:34:51. > :34:53.front. Scientific knowledge is moving on. I remember when diesel

:34:54. > :34:57.was positively subsidised by government because it was thought to

:34:58. > :35:02.be more environmentally friendly. In a more appropriate debate, those

:35:03. > :35:05.issues are quite well worth pursuing.

:35:06. > :35:12.I do understand the problem. I turned to what the Chancellor has to

:35:13. > :35:15.devote himself to, the Budget, and the Budget judgment and its

:35:16. > :35:20.imprecations for the economy. The Chancellor did actually I accept, as

:35:21. > :35:24.he has too, that is his principal responsibility. The Chancellor has

:35:25. > :35:28.the most difficult job in Government because he has to spend all his time

:35:29. > :35:32.challenging all the lobbies that demand extra expenditure,

:35:33. > :35:36.challenging his colleagues to find savings or improvements in the

:35:37. > :35:40.budgets of their departments in order to close the gap. What this

:35:41. > :35:46.Chancellor has not done is take a short-term view at any stage, which

:35:47. > :35:53.is why he has achieved such remarkable economic success. What I

:35:54. > :35:57.liked about his Budget speech was when he stressed how it was for

:35:58. > :36:02.future generations. I think what he just said a few moments ago, a sound

:36:03. > :36:08.bite which I had not heard before, there is no social justice without

:36:09. > :36:12.sound finance, it is one of the best summations of one nation

:36:13. > :36:17.conservatism I have heard for a very long time. Let me just turn, I

:36:18. > :36:20.should be in trouble with the Speaker and everyone else who wants

:36:21. > :36:31.to speak if I gave way, otherwise I would love to give way for the

:36:32. > :36:36.honourable member to Leicester. If I give way, I shall get even more... I

:36:37. > :36:43.am trying to be reasonably concise, I apologise to the honourable

:36:44. > :36:48.member. I tried to think of what I would have done had I been

:36:49. > :36:52.Chancellor in the present situation. Before the Budget was delivered I

:36:53. > :36:56.decided that if I were in that position, and thank the Lord I am

:36:57. > :37:03.not, because I never face problems of the kind that my honourable

:37:04. > :37:08.friends inherited from his predecessor, but I expected a much

:37:09. > :37:13.tougher Budget. This is classic traditional stuff. When the iron of

:37:14. > :37:19.the Treasury has entered one peers sole, this is the first Budget after

:37:20. > :37:22.an election, we have not made fast enough progress in eliminating the

:37:23. > :37:26.deficit and debt and we will not have sound future progress with a

:37:27. > :37:31.modern rebalance the economy unless we do. My first thoughts would have

:37:32. > :37:36.been to get on with it. I would have introduced a Budget, as I did in my

:37:37. > :37:40.time, raising taxes and cutting public expenditure. And I am glad to

:37:41. > :37:45.hear for reasons I will come onto again in a moment that my right

:37:46. > :37:48.honourable friend has committed himself to his continuing long-term

:37:49. > :37:54.objective, but he has decided to pause. I thought this was going to

:37:55. > :38:00.be a popular Budget, people would speculate as to why we had a popular

:38:01. > :38:04.Budget. The Chancellor has in the short-term relax the fiscal policy,

:38:05. > :38:15.which is why it is very good that the Bank of England is retaining a

:38:16. > :38:18.very, very relaxed monetary policy, he would tighten it if we were to

:38:19. > :38:25.abandon fiscal discipline. In the short term he has lower taxation and

:38:26. > :38:32.Lola Department spending target -- and lowered Department spending

:38:33. > :38:37.targets. He has these are fun spending and lower taxation. I was

:38:38. > :38:40.surprised by that. I assume it is partly caused by the quite

:38:41. > :38:47.considerable uncertainty facing the economy. No one has addressed that

:38:48. > :38:51.in any debate. The Chancellor did in his Budget speech. The global

:38:52. > :38:57.economy is slowing down. The British economy is mainly, in consequence,

:38:58. > :39:05.slowing down. The uncertainties to our economic prospects over 2016 are

:39:06. > :39:09.very, very concerning. There are many uncertainties, all of which

:39:10. > :39:16.would threaten most other developed if things go wrong. In China, we

:39:17. > :39:21.still don't know if they will achieve a soft landing, I think they

:39:22. > :39:25.will. In the emerging markets and, associated with that, the problems

:39:26. > :39:29.of emerging market debt, the volatility in the market, some

:39:30. > :39:34.uncertain as in the financial world and the risk of Brexit, I am very

:39:35. > :39:37.glad that the governor of the Bank of England decided to reassure

:39:38. > :39:42.people by setting out publicly that he was prepared to take action if we

:39:43. > :39:48.had a flight of capital from this country. People get alarmed about

:39:49. > :39:54.this referendum. So far it has only led to a big decline in the value of

:39:55. > :39:58.sterling and the freezing of most people's investment plans, because

:39:59. > :40:03.you are a bit of an idiot to invest in the British economy in anything

:40:04. > :40:07.other than the slightest bit of risk when you do not know what the

:40:08. > :40:11.circumstances will be in six months' time of the trading patterns in the

:40:12. > :40:14.country in which you are investing. I assume that one of the features

:40:15. > :40:16.that made my right honourable friend take a more relaxed view than a

:40:17. > :40:25.judicial Chancellor would have done, not to make those big spending

:40:26. > :40:28.cuts, not to increase taxation, T Eaves taxation on business in

:40:29. > :40:32.particular and the low paid, was because to make sure that he didn't

:40:33. > :40:35.make the mistake of being too severe when circumstances could well worsen

:40:36. > :40:56.as the year goes on. A great deal of the debate centred

:40:57. > :41:01.on the OBR forecast. The fact that it changed so dramatically just

:41:02. > :41:04.underlines what I'm saying about the uncertainties for the immediate

:41:05. > :41:11.future. Fortunately, thanks to my right honourable friend, the British

:41:12. > :41:24.economy has been the fastest growing. The factors that this is a

:41:25. > :41:28.time to be cautious. I would have maintained the squeeze, I put it all

:41:29. > :41:32.off to the latter half of the parliament next, if you're not

:41:33. > :41:35.careful, because long as the economy continues to grow, there was

:41:36. > :41:37.reasonable spec that the British economy will continue to grow, we

:41:38. > :41:42.should not be deficit of this percentage of GDP.

:41:43. > :41:50.And piling up more debt for our successes.

:41:51. > :41:58.If my only dose were this is internally justified. -- doubts. The

:41:59. > :42:02.Shadow Chancellor plainly does not have an idea in his head about how

:42:03. > :42:08.you would save any money I do anything other than spend money

:42:09. > :42:17.which is totally profligate staff. I certainly am very glad that my right

:42:18. > :42:21.honourable friend as changes to business taxation. When I was in

:42:22. > :42:24.office put up taxes but never business taxes because trying to

:42:25. > :42:30.encourage growth. We still need to make a economy stronger so it is

:42:31. > :42:36.welcome that he stepped in, keeping the corporation tax level at

:42:37. > :42:40.competitive rate and particularly I welcome help he has given to small

:42:41. > :42:46.and medium-sized businesses, encouraging business is actually the

:42:47. > :42:51.best way of protecting ourselves against economic risks of the future

:42:52. > :42:55.in this uncertain world. And big business he has not been wholly

:42:56. > :43:04.generous. He and the government have been reading in the OECD -- leading

:43:05. > :43:10.in attempts to actually tackle this problem of tax evasion and tax

:43:11. > :43:12.avoidance on the part of big multinational companies and he has

:43:13. > :43:20.actually incorporated the first serious attempt to attack the

:43:21. > :43:24.problem of tax relief on interest 20 to six budget and misuse, after

:43:25. > :43:30.actually for royalties and tax relief on past losses. I get told a

:43:31. > :43:39.lot about how the Chancellor should be electing more. No government has

:43:40. > :43:45.done a blind thing about tackling tax avoidance for the last ten

:43:46. > :43:55.years. In this budget he has started to act. We are told we have relieved

:43:56. > :44:01.tax on the rich and everybody knows, I certainly know not just in the

:44:02. > :44:05.newspapers, the Treasury have the looking at the idea of doing more on

:44:06. > :44:12.tax relief for the wealthy when they contribute to their pension funds.

:44:13. > :44:17.When you have very high earnings the tax relief on pension funds is our

:44:18. > :44:22.way of avoiding tax and it is a very great way of making sure that you do

:44:23. > :44:26.not pay 45% and a very considerable part of your income, or it was. We

:44:27. > :44:31.have now put a cap on it but I do rather feel it is still rather too

:44:32. > :44:41.generous at the moment that the taxpayer is predicting 45%. When

:44:42. > :44:46.some delete that outside the scene after the pensions industry in ten

:44:47. > :44:49.days flat so he was not actually allowed that occasion I suspect

:44:50. > :44:53.because of fear on this side of the House to proceed with more of these

:44:54. > :45:03.changes to tax relief for the rich. So far as other tax move see has

:45:04. > :45:10.made, personal allowances and the thresholds for the higher rate,

:45:11. > :45:14.because the higher paid wretch no peace education' tax, it is also

:45:15. > :45:20.possible to ease the tax burden on the low paid and the ordinary

:45:21. > :45:26.citizen without it being able to be demonstrated man thematically that

:45:27. > :45:31.you have done quite a lot for the rich as well. -- mathematically. If

:45:32. > :45:36.you bought this argument you would never move the threshold at which

:45:37. > :45:40.people pay tax and he would never raise the 40% rate to stop people

:45:41. > :45:44.and modest jobs at the moment who find it but a marginal rate of 40%

:45:45. > :45:52.because Gordon Brown started this habit of freezing the threshold in

:45:53. > :45:55.order to get still taxation. It is a welcome thing to raise thresholds

:45:56. > :46:02.and collaborate my writable friend was able to do so. The pension

:46:03. > :46:08.benefits, which I entitled to, get raised every now and again and I've

:46:09. > :46:12.always told that we put things in a manifesto and I've yet to meet

:46:13. > :46:15.candidate or elector in the last election and read this manifesto

:46:16. > :46:19.which she was tough considerable detail in it that was not set the

:46:20. > :46:27.crucial to my victory in my constituency nor I suspect in the

:46:28. > :46:30.body else's. -- anybody. We have ruled out ever raising income tax

:46:31. > :46:34.and national insurance are VAT and we appear to have ruled out to have

:46:35. > :46:39.done anything at all the stops were very wealthiest people having feed

:46:40. > :46:44.bus passes and winter fuel allowance and so on. I would not advocate the

:46:45. > :46:49.breaking of manifestos but I know of no prosperous pensioners, certainly

:46:50. > :46:55.nobody in full-time employment and myself would not object to two at

:46:56. > :47:00.the very least making it taxable and I do think that there is case from

:47:01. > :47:03.looking at these things and various other alternatives which I will not

:47:04. > :47:08.risk going any further for time and secondary because today populist

:47:09. > :47:18.politics means some unknown lobby are known not get to me to send only

:47:19. > :47:29.and blow it out of the water in the next two or three days. -- not next

:47:30. > :47:37.known to me. No two chancellors would ever have done exactly the

:47:38. > :47:43.same on every measure and within our system we make an overall judgment

:47:44. > :47:46.and the Chancellor retained my full confidence. I'm prepared to support

:47:47. > :47:50.his judgment. On top of that, one of the reason for supporting his

:47:51. > :47:54.judgment as I have already said that we are in a strange position this

:47:55. > :48:03.government where that is absolutely no alternative opposition being made

:48:04. > :48:08.by anybody outside. There are some pundits and some politicians as a

:48:09. > :48:11.result we seem to believe that we are wrong to have this target of a

:48:12. > :48:17.balanced budget of the cycle or however you would put it. But

:48:18. > :48:23.actually that are not any problems, you always run a deficit on and on

:48:24. > :48:28.and on. It is free money and it is troublesome that interest rates

:48:29. > :48:32.might go back to normality one day and meanwhile just let it pile-up

:48:33. > :48:36.that will sort itself out and people on the far right say tax cuts,

:48:37. > :48:41.that's all we want. Tax cuts will inspire such tremendous

:48:42. > :48:45.entrepreneurship that jobs will be greeted in both be created and you

:48:46. > :48:51.will have all paid back and not be in debt long. On the left boost

:48:52. > :48:54.every welfare payment and increase public spending every public service

:48:55. > :48:57.which will generate such the man from the grateful recipients that

:48:58. > :49:06.they will pump it into the economy and will pay for itself. This is a

:49:07. > :49:09.Mickey Mouse economics. Mickey Mouse economics is practised by the last

:49:10. > :49:14.Labour government and got us into this trouble that we are still,

:49:15. > :49:17.faxed to my right honourable friend, getting out of now. Finally my

:49:18. > :49:26.reason for backing his judgment, and this is my last point, is this is

:49:27. > :49:34.aid budgets in six years now. His record is absolutely amazing. I have

:49:35. > :49:40.to concede is one of his competitors are one point T is by far the most

:49:41. > :49:47.successful departmental minister in this government so far. If anybody

:49:48. > :49:50.had said when he took over the state of affairs that the Duke over more

:49:51. > :49:56.than aid budgets ago, that he was going to come here in charge of the

:49:57. > :50:03.fastest-growing economy in the world, near full employment and

:50:04. > :50:10.employment at record-breaking heights and able to show her

:50:11. > :50:16.steadily improving state, not only the public finances, but the

:50:17. > :50:18.condition of the poor and the alleviation of social problems

:50:19. > :50:21.across the country would not have been believed. There's quite a

:50:22. > :50:31.remarkable informants and I back a judgment and I'm delighted that he's

:50:32. > :50:39.helping us all to avert the risk of Brexit in the forthcoming referendum

:50:40. > :50:45.which did really said things off the rails at a public bar as an advised

:50:46. > :50:52.to vote for it. Before I called a spokesperson for the Scottish

:50:53. > :50:55.National party it might be for the convenience of those to know that on

:50:56. > :51:00.account of the level of demand to contribute to the debate there will

:51:01. > :51:05.then have to be a five-minute limit on backbench speeches. That Levitt,

:51:06. > :51:18.as I have said, will follow the honourable gentleman, Mr George

:51:19. > :51:27.caravan. --Kerevan. I expressed sympathy to the peoples of Belgium

:51:28. > :51:38.and recent immigrants in this tragic hour. To give the Chancellor his due

:51:39. > :51:43.he gave a performance of his more assured the more interesting than we

:51:44. > :51:48.got last week. I am always worried when the Chancellor goes into his

:51:49. > :51:55.expansive and emotional mode. What is he hiding? We know what he had

:51:56. > :51:59.last week which was the fact he would have to come back into the

:52:00. > :52:04.peace budget and do a new one that what he always hides and was never

:52:05. > :52:18.addresses is a crucial issue of productivity. -- to his budget into

:52:19. > :52:23.pieces. There's no wage growth and low productivity growth. According

:52:24. > :52:29.to this but it productivity growth has risen at an annual average of

:52:30. > :52:39.0.1%. Since the top of the boom in 2007 the community of increasing UK

:52:40. > :52:42.productivity is less than 1%. That is the failure of the Chancellor.

:52:43. > :52:49.This is the Chancellor, and I have a great respect for him, never had a

:52:50. > :52:52.real job. He is not a Chancellor ever worked in the private sector

:52:53. > :52:57.are ever had to lie awake at night as I have had to do is ensure as

:52:58. > :53:01.many other members have, and worry about how to pay the wage bill. This

:53:02. > :53:10.is an intellectual Chancellor, that is his problem. A summary spent the

:53:11. > :53:14.last 15 years setting up and running businesses and glad it is this

:53:15. > :53:22.Chancellor who is sitting in that seat and grating jobs and helping

:53:23. > :53:31.businesses like mine. Can I say for the benefit of the House, moderation

:53:32. > :53:38.and good humour at the precepts and members of both side can learn order

:53:39. > :53:42.from the right honourable Leonard gentleman who has just given a

:53:43. > :53:50.textbook example of making a robust speech with good humour and there

:53:51. > :53:56.are many members on the opposition benches who could do that. I served

:53:57. > :54:02.with the honourable member on the Treasury Select Committee and I did

:54:03. > :54:07.not take that personally. If we do not get productivity, what happens

:54:08. > :54:13.question might we do not get growth. The right Honourable member for Rush

:54:14. > :54:20.broke give a wise presentation as he always does. He said the UK has had

:54:21. > :54:24.the fastest growth and develop world but that is not true. As he phrased

:54:25. > :54:29.it, that is not true unless of course Australia is not developed by

:54:30. > :54:33.the United States is not developed or Sweden is not developed or Korea

:54:34. > :54:38.is not developed or Spain is not developed because they all had

:54:39. > :54:43.faster GDP growth in 2015 than the UK. This is largely because they had

:54:44. > :54:47.faster productivity growth. That is what this Chancellor has not

:54:48. > :54:51.delivering. That is not what this budget contains and that is the

:54:52. > :54:55.weakness of this budget. If you look at the weakness and failure in

:54:56. > :55:02.productivity growth in the UK and at this Chancellor, you would be

:55:03. > :55:10.interested to know that virtually every commercial industrial sector

:55:11. > :55:16.has productivity lacking and falling 1% per year on average in the

:55:17. > :55:24.financial services industry, a key service industry, the industry that

:55:25. > :55:29.is leading a severed exports. -- our service exports. The Chancellor has

:55:30. > :55:34.spent a lot of time reconstructing the service sector but we have

:55:35. > :55:39.falling productivity so that as we speak, according to ONS,

:55:40. > :55:46.productivity in the British financial sector is now behind

:55:47. > :55:51.financial services activity in France and Italy.

:55:52. > :55:58.That is not a great record, Chancellor. If you don't have

:55:59. > :56:03.productivity growth, then the cash economy does not grow, wages do not

:56:04. > :56:10.grow and, therefore, income to the Treasury does not grow.

:56:11. > :56:14.I thank the honourable gentlemen for giving way. Does he not recognise

:56:15. > :56:18.that in this Budget there is a mod to improve the performance of the

:56:19. > :56:24.economy in that, does he not agree that a massive cut in business rates

:56:25. > :56:32.is going to deliver exactly that productivity he is talking about?

:56:33. > :56:35.Well, Madam Deputy Speaker, I utterly unacceptable point, it comes

:56:36. > :56:40.to the core of what I'm going to say. The sort of cuts in business

:56:41. > :56:45.rate to small companies the Chancellor has belatedly introduced

:56:46. > :56:49.in this Budget have long been available in Scotland. What has

:56:50. > :56:52.happened to productivity in Scotland, with the Scottish

:56:53. > :56:58.Government's limited drivers for economic growth? Productivity in

:56:59. > :57:02.Scotland, since the recession, has gone up 4.4%, more than four times

:57:03. > :57:08.what this Chancellor has delivered, as we have been forced, with limited

:57:09. > :57:12.tax powers, to concentrate on the supply side. The Chancellor does not

:57:13. > :57:17.concentrate on the supply side. There are bits and pieces that I

:57:18. > :57:22.welcome in his Budget, particularly the move to clamp down on transfer

:57:23. > :57:28.pricing in multinational companies. But, in the end, the Chancellor has

:57:29. > :57:37.no strategy apart from his rendezvous with 2020 and trying to

:57:38. > :57:41.run a Budget surplus. Is he perhaps being a bit harsh insofar as there

:57:42. > :57:48.are many supply-side matters in this Budget, including the improved

:57:49. > :57:52.investment in infrastructure, the Digital economy, the cuts in

:57:53. > :58:00.Corporation Tax and, as has been mentioned, the cuts in business

:58:01. > :58:03.rates, all of which should help investment? Indeed, and I welcome

:58:04. > :58:11.all the supply-side measures. We have had, wait for it, five Budgets

:58:12. > :58:17.in the last 15 months. Why wouldn't they appear in the last four? If you

:58:18. > :58:22.can't today at last week, we have had six Budgets, white or not they

:58:23. > :58:28.appear before? It is not the Chancellor or the Treasury

:58:29. > :58:32.officials, it is because there is no strategy apart from trying to run a

:58:33. > :58:36.budget surplus and trying to run a budget surplus in a particular year

:58:37. > :58:41.goes the Chancellor knows that if he does not deliver in 2020, what is

:58:42. > :58:45.left of his reputation after this week is in shreds.

:58:46. > :58:49.I just wish to draw his attention, he says this is precisely why the UK

:58:50. > :58:53.has been working through its long-term economic plan. Since 2010,

:58:54. > :58:58.the plan has been focused on reducing the deficit while

:58:59. > :59:00.delivering the supply-side reforms necessary to improve long-term

:59:01. > :59:05.productivity. Will he at least concede that the Chancellor has in

:59:06. > :59:13.his Redbook was I see the kind of strategy that he is criticising? --

:59:14. > :59:17.precisely the kind of strategy? No. Because in the Chancellor's mind

:59:18. > :59:25.there is a tension, like the good and evil on his shoulder. One sign

:59:26. > :59:29.says, run a budget surplus. It is an easy road. It is not badly thought

:59:30. > :59:33.out, given the number of financial rules that chancellors over the

:59:34. > :59:38.years have thought up and failed to implement, it is extremely simple,

:59:39. > :59:45.it is just too crude. It vies with the supply-side strategy. Following

:59:46. > :59:51.on from my other friend from the Treasury's question, and OBR report

:59:52. > :59:58.says looking at how the Budget supply-side measures will bear out,

:59:59. > :00:02.the report says we expect smaller positive contributions to potential

:00:03. > :00:12.output growth from population growth, while average hours worked

:00:13. > :00:16.are expected to trend down. Average hours less, less growth in

:00:17. > :00:21.population, less input, where will the productivity increase come from?

:00:22. > :00:26.Would he agree that the reason we have such hopeless productivity

:00:27. > :00:30.growth is firstly that research and development, by international

:00:31. > :00:36.standard, is very, very low. Secondly, infrastructure investment

:00:37. > :00:40.is very, very low. Thirdly, rights at work security is very low, people

:00:41. > :00:47.can be sacked. If they could stay in work, as in Germany, the employer

:00:48. > :00:53.has to invest in their productivity because they can't get rid of them.

:00:54. > :00:57.We are creating short-term jobs, lower pay and less productivity. I

:00:58. > :01:02.could not agree more on all three points, so to be brief I will accept

:01:03. > :01:08.them as agenda. In addition, if you look at the back of the red book you

:01:09. > :01:12.will discover that public sector net investment, the capital investment

:01:13. > :01:16.in the public sector, falls for the next four years. I have to ask

:01:17. > :01:23.members on the other side of the house, if industry is in trouble,

:01:24. > :01:28.manufacturing is contracting as it has, according to the latest data,

:01:29. > :01:34.if in the public sector in order for the Chancellor to meet this

:01:35. > :01:38.rendezvous with destiny in 2020 and have this budget surplus, if we have

:01:39. > :01:43.to cut public sector net investment, how does that help budgeted at it?

:01:44. > :01:48.You need investment in capital to have productivity, that is where it

:01:49. > :01:52.comes from. In order to make the books balance, it is interesting to

:01:53. > :01:55.see what the OBR thinks has to happen. The OBR thinks that UK

:01:56. > :02:00.private sector business investment has to make up the difference. The

:02:01. > :02:04.OBR thinks that UK private business investment will come to the rescue

:02:05. > :02:08.and contribute a quarter of the expenditure contributions to GDP

:02:09. > :02:12.growth in the period to 2020 in order to achieve the Chancellor's

:02:13. > :02:17.fabled budget surpluses. Now what we have to say, to make all the sums

:02:18. > :02:23.were, there has to be growth. According to the OBR, all the

:02:24. > :02:31.growth, the expenditure between now and 2020, has to come from business

:02:32. > :02:38.investment. There was me on the numbers, they are quite important,

:02:39. > :02:43.-- bear with me on the numbers, they are quite important, the OBR has to

:02:44. > :02:53.that are Chris says that business has to contribute 0.6%. Just let me

:02:54. > :02:59.finish. There is only one problem. Historically, from 1990 to 2008,

:03:00. > :03:05.what did British business manager as a percentage of GDP annually in

:03:06. > :03:09.investment? 0.3%, was icy half in the boom years what OBR thinks

:03:10. > :03:12.business has to invest between now and 2020 in order for the

:03:13. > :03:19.Chancellor's numbers to work. That will not happen. The honourable

:03:20. > :03:24.member says the Chancellor lacks strategy. He was not listening to

:03:25. > :03:27.the same Budget that I was, we are seeing business tax down,

:03:28. > :03:31.infrastructure improves, in the Northern powerhouse we are seeing

:03:32. > :03:35.massive Government investment to tackle the challenges and private

:03:36. > :03:38.sector investment on the back of it, ?1 billion in Manchester Airport

:03:39. > :03:43.over ten years. Isn't that the sort of leverage that the Government

:03:44. > :03:47.should be seeking? I think if the honourable member had been listening

:03:48. > :03:48.carefully, rather than following the script, I am in

:03:49. > :03:50.favour of all the supply-side measures that we can

:03:51. > :03:57.get, that is how you get growth. I am pointing out that the Budget

:03:58. > :04:01.figures we have been pointing out in the Redbook with the OBR has Mike

:04:02. > :04:06.Weir independent analysis, business investment will be have to be double

:04:07. > :04:11.what it is historical averages. The economy is slowing, in order for the

:04:12. > :04:16.budget numbers to work. That will not happen. It comes to the

:04:17. > :04:21.question, it is a reasonable point, how do we boost business investment?

:04:22. > :04:27.In the Budget, first of all, we have a cut in corporation tax. It is

:04:28. > :04:34.already the lowest in the G20. If it is already the lowest in the G20,

:04:35. > :04:37.how can a cut in corporation tax actually produce any more inward

:04:38. > :04:43.investment? It is the biggest incentive it will be, cutting its

:04:44. > :04:50.even more will not be an increased incentive, it is wasting funds. I

:04:51. > :05:01.have raised this with the House before, much of the profits from the

:05:02. > :05:08.reduced Corporation Tax are going into shares, so that does not add to

:05:09. > :05:12.productivity. The other issue in the Budget is the cut in capital gains

:05:13. > :05:13.tax. There is an argument for cutting capital gains

:05:14. > :05:23.tax, but here is the point. Who was at raise the capital gains tax in

:05:24. > :05:27.2010? Which Chancellor raised capital gains tax? It is the

:05:28. > :05:31.Chancellor sitting there. If he could raise it, and now here's

:05:32. > :05:36.lowering it, what long-term plan is that? That confusion of signals is

:05:37. > :05:40.exactly why business does not invest, they don't know what taxes

:05:41. > :05:50.will be from one Budget to another which is, at the moment, every three

:05:51. > :05:53.months. I wasn't seeking to make a point, but I will now. Surely the

:05:54. > :05:56.Chancellor has demonstrated very nearly, he has his public finances

:05:57. > :06:02.under control, he is now in a position to take forward these

:06:03. > :06:08.changes referred to? Before I called the honourable gentleman, he has

:06:09. > :06:11.been on his feet for 15 minutes, he has taken a lot of intervention,

:06:12. > :06:16.there are around 40 members waiting to speak and I don't think we will

:06:17. > :06:21.get everyone in, so if you could limit the number of interventions, I

:06:22. > :06:25.would be grateful. As ever, I am at your service and the service of the

:06:26. > :06:29.House. I final point, I am sure we will discuss this in another three

:06:30. > :06:35.months at the next Budget. LAUGHTER

:06:36. > :06:39.The Chancellor talks about living beyond our means.

:06:40. > :06:43.He prioritises the Budget surplus. He talks about intergenerational

:06:44. > :06:48.fairness, he says that if we don't get the deficit down, the overall

:06:49. > :06:54.national debt down, it will be a burden on future generations. Let us

:06:55. > :07:02.test that. Letters go back to the late 40s and 1950s when the national

:07:03. > :07:08.debt as a share of GDP was more than twice what it is now. It was

:07:09. > :07:12.coasting over 200% at one point, for most of the 50s it was at 150%,

:07:13. > :07:17.twice what we have at the moment. That came from governments,

:07:18. > :07:21.particularly conservative governments, borrowing money. Most

:07:22. > :07:25.of the rise in national debt did not come through World War II, it was in

:07:26. > :07:30.the late 40s and early 50s as we try to rebuild Britain's infrastructure

:07:31. > :07:38.as a result of the degradations of the war. Harold Macmillan billing --

:07:39. > :07:44.building a million houses the year. -- each year. But if a huge national

:07:45. > :07:48.debt like that weighed heavily on a future generation, let's go forward.

:07:49. > :07:53.What happened to the baby boomers like myself and the other honourable

:07:54. > :07:59.member? Our generation has houses, we have pensions, we have benefited

:08:00. > :08:08.from that investment in national chair funded by the state. -- in

:08:09. > :08:13.national structure. So the idea that if you invest and run up a deficit

:08:14. > :08:17.it places a burden on the next generation is not true. Did the

:08:18. > :08:24.economy grow faster through the 50s and early 60 's? Yes. What it

:08:25. > :08:29.depends on, this is the message I will leave the Chancellor and I

:08:30. > :08:32.would liken to reflect on, what it depends on when he was trying to

:08:33. > :08:37.control public spending is what you spend it on. If like Harold

:08:38. > :08:42.Macmillan and the Conservative governments of the 50s, you invest

:08:43. > :08:45.in real infrastructure, rather than borrowing to invest in current

:08:46. > :08:51.spending, which is blown away by the wind, like this Chancellor is, if

:08:52. > :08:56.you do that, you will fail. The Chancellor wants to pretend he can

:08:57. > :09:01.run a Budget surplus. It may never happen, even if it does for one

:09:02. > :09:04.year, it is unsustainable. This Chancellor does not understand

:09:05. > :09:09.business, he does not understand how the economy does, he talks a good

:09:10. > :09:11.game but he has not delivered productivity, which is the core

:09:12. > :09:18.thing we need. Maria Miller! Thank you, Madam

:09:19. > :09:22.Deputy Speaker. It is a pleasure to follow the gentleman who always

:09:23. > :09:26.speak so eloquently, but I disagree with absolutely every word he has

:09:27. > :09:30.just said. At the heart of this Government

:09:31. > :09:35.Klose Budget is boosting productivity, that is plain for

:09:36. > :09:40.everyone to see. My right honourable friend the member from Rushcliffe

:09:41. > :09:45.said extremely clearly that the global economy is slowing down and

:09:46. > :09:49.we need to be fighting fit for the future, and this Budget will help

:09:50. > :09:53.put Britain in that place. I would like to pay tribute to the

:09:54. > :09:57.Chancellor for discovering such a strong Budget -- for delivering. But

:09:58. > :10:02.we should also be paying tribute to the wealth creators of the nation,

:10:03. > :10:06.it is them, not as in parliament, lab would Britain back on top with

:10:07. > :10:10.one of the strongest economies in the world. It is the farmers I met

:10:11. > :10:13.last week in Hampshire, the partners who run the new John Lewis

:10:14. > :10:20.store in my constituency, small and medium-size businesses up and down

:10:21. > :10:26.this country, people like Beryl Huntington who run absolute offices,

:10:27. > :10:29.or J -- Graeme Murphy, who runs our DT, those innovators and

:10:30. > :10:34.entrepreneurs putting Britain back on top. We have to acknowledge the

:10:35. > :10:36.immense hard work of those people to put our country in the position that

:10:37. > :10:49.it is. In what this government has been

:10:50. > :10:55.able to do is to recognise its role in creating the conditions for that

:10:56. > :10:57.business success because it is a government who have created

:10:58. > :11:03.environment where businesses feel confident to invest to make sure

:11:04. > :11:08.that the right reductions in business and job tax and in place to

:11:09. > :11:12.encourage that business growth and success in the right infrastructure

:11:13. > :11:16.and investment and ?100 billion going into infrastructure of this

:11:17. > :11:19.Parliament including Crossrail two will do so much to reduce the

:11:20. > :11:25.pressure and other parts of the rail network including I know for many

:11:26. > :11:28.Honourable members here the Wessex route which is well overcapacity at

:11:29. > :11:36.the moment. It is also a budget which is investing in people again

:11:37. > :11:40.underlining the commitment to 3 million new apprenticeships by 2020

:11:41. > :11:46.mile in section six 5000 apprenticeships came through my

:11:47. > :11:50.local college funding degree level apprenticeships and this is in that

:11:51. > :11:55.particular point that I want to make my main points because it is people

:11:56. > :11:58.who are the biggest assets of most organisations. When the CBI talks

:11:59. > :12:06.with the biggest challenges facing business in the UK today, it is

:12:07. > :12:09.retaining top cat talent and having appropriately skilled staff. We may

:12:10. > :12:12.have recognisable is an employment which is to be applauded in the

:12:13. > :12:16.highest numbers of women and were going to be fighting for the future

:12:17. > :12:22.we need to make sure we're getting the best out of every single member

:12:23. > :12:27.of accuracy. I believe that is much that is being done with still more

:12:28. > :12:31.to do, particularly in regards to the role of women in the workforce.

:12:32. > :12:36.As I said we have recognised as a said we have recognise women work

:12:37. > :12:39.today the Chancellor is to be congratulated on that, particularly

:12:40. > :12:45.because of the investment he has made sure as happened in Dublin

:12:46. > :12:52.seeing the amount of free childcare. -- doubling. 1 million women who

:12:53. > :13:00.work would like to work more but can't find the right job to do that.

:13:01. > :13:03.41% of them in this country work part-time and may do so because they

:13:04. > :13:07.cannot get hold of the right flexible work to be able to fit

:13:08. > :13:11.around a family and caring responsibilities. I hope I can

:13:12. > :13:13.gently draw the attention of the Chancellor to the second report of

:13:14. > :13:18.the authority select committee which is all about one of the great

:13:19. > :13:23.aspirations of this government which is to eliminate gender pay gap in a

:13:24. > :13:28.generation and I believe can do that if we have all jobs be more flexible

:13:29. > :13:35.and we have a better share of care for men in the family life and we

:13:36. > :13:42.have national ways, pathways for women to get back into work. I would

:13:43. > :13:49.like to draw his attention to report today that shows 77% of pregnant

:13:50. > :13:55.mothers are enduring. This is not making the best use of in this

:13:56. > :13:57.country outlet heard of -- and I would like to hear a pledge from

:13:58. > :14:00.this government that they will take steps to make sure everybody can

:14:01. > :14:05.take part in the job they want to do to make the biggest conservation can

:14:06. > :14:20.to boost productivity of this country. I rise to move the tenant a

:14:21. > :14:23.-- amendment A. I served on the finance committee with the

:14:24. > :14:27.honourable member with Glasgow Central last year and she and I

:14:28. > :14:32.first tabled amendment on this issue. We hope this year we can see

:14:33. > :14:38.them finally reflected in legislation. I would like to thank

:14:39. > :14:41.them Honourable member for Berwick-upon-Tweed for co-sponsoring

:14:42. > :14:46.the amendment and I would like to thank many of my Honourable friends

:14:47. > :14:50.for their support. It is the campaigning work so many others said

:14:51. > :14:54.this chamber that has driven us forward including more than 300,000

:14:55. > :15:02.people who signed the petition on this issue. Campaign against the

:15:03. > :15:08.tampon tax will serve as an example and inspiration to make positive

:15:09. > :15:13.change the highest level. It is one of the absurdities of attacks resume

:15:14. > :15:16.tampons and sanitary towels are treated as luxuries when periods are

:15:17. > :15:22.simply a fact of life for women. Last week we had a pollen portion

:15:23. > :15:28.food banks about women unable to afford tampons resorting to using

:15:29. > :15:34.newspapers and socks. Would she join me in thanking the Treasury Minister

:15:35. > :15:37.for the hard work is done in taking that fight directly to the European

:15:38. > :15:43.Union are negotiating with change the government is able to bid on the

:15:44. > :15:46.table today? I thank for intervention and I do thank the

:15:47. > :15:50.Treasury minister in common with everybody who supported this

:15:51. > :15:57.long-standing campaign throughout the service. It cannot be acceptable

:15:58. > :15:59.women are having to use socks and newspapers as substitutes for

:16:00. > :16:02.sanitary protection and I hope as well as cutting prices across the

:16:03. > :16:08.board we can ensure that all women have access to the protection they

:16:09. > :16:12.need. Nor is it just about money. It's about the stigma attached the

:16:13. > :16:16.basic facts of women's lives. The Prime Minister suggested he will

:16:17. > :16:19.always be expending this issue to the other 27 heads of government at

:16:20. > :16:24.the European council but the fact they had to address this issue

:16:25. > :16:27.directly is itself a great step forward for women. I am therefore

:16:28. > :16:31.glad the government has taken on board the message of the campaign

:16:32. > :16:37.and for making me the first opposition backbench MP to

:16:38. > :16:44.successfully move an amendment to a budget resolution. If nothing else I

:16:45. > :16:52.will least achieve lasting fame as a parliamentary pub quiz answer. But

:16:53. > :16:57.that does not mean her pop the back -- that does not mean our work is

:16:58. > :17:02.done. Most pressingly there's a question of what will happen from

:17:03. > :17:08.those women charities were benefiting from the tampon fund. I

:17:09. > :17:11.hope he will pledge she will continue to provide the financial

:17:12. > :17:15.support they desperately need even after this tax was scrapped and will

:17:16. > :17:18.need to take the final step by legislating through the Finance Bill

:17:19. > :17:22.at European level and I think it would be fitting of this House that

:17:23. > :17:27.chance to pass these moments prior to the referendum in June. I hope

:17:28. > :17:32.the Minister can commit to that timetable today. I hope he will be

:17:33. > :17:37.back at the dispatch box tomorrow with the expected announcement of

:17:38. > :17:42.the EE VAT action plan. This also a challenge to make sure women get

:17:43. > :17:47.full benefit and it does not simply increase profit phone manufacturers

:17:48. > :17:55.and retailers of sanitary products and I'm waiting there myself and

:17:56. > :18:00.would encourage the comment Ojomoh. I hope it will not be too much for

:18:01. > :18:04.test of our powers of persuasion to encourage them to advertise women's

:18:05. > :18:08.charities in the packaging and make donations themselves. Women have no

:18:09. > :18:11.choice but to pay companies for these products and I do hope that

:18:12. > :18:19.these companies will make the choice to help pay for our services. I

:18:20. > :18:23.thank my Honourable sister for giving way and this point for

:18:24. > :18:34.support and what the group is than this. Would she accept my concern

:18:35. > :18:37.that perhaps the definition of sanitary products needs to be

:18:38. > :18:41.slightly widened to cover things such as breast pads for mothers who

:18:42. > :18:44.are breast-feeding and maternity pads for women who have just had

:18:45. > :18:52.children and incontinence pads which are not always available to people

:18:53. > :18:55.on free VAT. I very much look forward to campaigning with her on

:18:56. > :19:02.the issues that she has just addressed. This evening we have the

:19:03. > :19:05.opportunity to make right historic injustice and make clear our intent

:19:06. > :19:09.to abolish VAT and female sanitary products and the amendment allows us

:19:10. > :19:17.to do just that and I hope the whole House will support it. It is a

:19:18. > :19:24.pleasure to follow the honourable lady for Dewsbury and at the two B

:19:25. > :19:27.to the mark she has made this place and I think I can speak for the

:19:28. > :19:36.whole House that she will be more than just the answer to a future pub

:19:37. > :19:41.quiz. It was a pleasure to follow Kenneth Clarke who is turning out to

:19:42. > :19:44.be a bit of a national treasure and outside of the House. This is a

:19:45. > :19:52.budget that puts the next-generation first and I have three young

:19:53. > :19:56.children. It continues our long-term plan to reduce the deficit and

:19:57. > :20:00.achieve surpluses as a long-term solution to long-term problems. To

:20:01. > :20:06.ensure that Britain is in a strong economic position for the future.

:20:07. > :20:11.Back to work in my constituency neighbour, the Chancellor, -- thanks

:20:12. > :20:16.to the work. The old BR protects growth rates for Britain in excess

:20:17. > :20:30.of 2% for the remainder of the Parliament. Eyes-mac all BR. --OBR.

:20:31. > :20:34.The challenges of the country faces a growing global stock markets have

:20:35. > :20:39.had the worst performance for 45 years and the sharp fall in the

:20:40. > :20:44.prices and commodities has contributed to slower global growth.

:20:45. > :20:49.Eight years ago the UK was one of the worst prepared to face the

:20:50. > :20:54.financial pricess crisis and today the UK is one of the best prepared

:20:55. > :20:58.and we have fixed the roof of the sun was shining. Against the

:20:59. > :21:09.backdrop of global uncertainty this budget that the lover 's security --

:21:10. > :21:18.deliver security. 60% of all private sector employment, the combined

:21:19. > :21:24.annual turnover of S M E was nearly half of all private sector turnover

:21:25. > :21:29.denied a kingdom. I welcome the announcement from last week

:21:30. > :21:31.statement that business rate relief will be doubled permanently.

:21:32. > :21:40.Businesses with a writable value of ?12,000 below will receive relief.

:21:41. > :21:53.-- rateable. 6000 small businesses across the country will have no rate

:21:54. > :21:57.at all. I welcome the 600,000 small businesses will be taken out of

:21:58. > :22:04.business rates. But that does not happen for a year. Retail business

:22:05. > :22:09.rate relief is worth ?1500 and that has been abolished so small shop

:22:10. > :22:15.owners will still have to pay extra. Is that not disappointing? I bow to

:22:16. > :22:19.his greater knowledge of small businesses. I know we does a great

:22:20. > :22:22.job in Rochdale. We cannot do everything the same time but overall

:22:23. > :22:25.I do welcome this budget and I'm sure he will welcome the overall

:22:26. > :22:37.message to support businesses and help them with those relieves. There

:22:38. > :22:42.will be tapered relief. 2000 properties in Holton and 7000 in

:22:43. > :22:47.Cheshire West have a rateable value of the low ?50,000 and would benefit

:22:48. > :22:49.substantially from these changes. Golding in northern powerhouse and

:22:50. > :22:55.rebalancing the national economy is all part of the economic strategy of

:22:56. > :22:59.this government. In 2015 doubled over have a million more businesses

:23:00. > :23:02.established as a London in the south-eastern in 2010 and one third

:23:03. > :23:05.of new businesses are in the northern powerhouse and overwhelming

:23:06. > :23:10.evidence is that these new businesses are creating more and

:23:11. > :23:15.more jobs. In my constituency unemployment is down by 57% since

:23:16. > :23:19.2010 and almost three quarts of the growth employment has been in

:23:20. > :23:25.full-time jobs and real wages are rising strongly. Since 2010 the have

:23:26. > :23:32.been around 4000 new housing starts in Cheshire West and Chester and

:23:33. > :23:40.just over 2000 in the Holton and Runcorn area. They are up by 91%

:23:41. > :23:44.when compared by the low point in 2009. Local authorities will be able

:23:45. > :23:49.to access 1.2 billion starter homeland funds to bail to prepare

:23:50. > :23:57.more brown field sites for starter homes in my constituency which is

:23:58. > :24:00.legacy Brownfield sites from ICI. This is helping young people in the

:24:01. > :24:06.20s and 30s to buy their first home and crucially protecting our green

:24:07. > :24:10.belt and helping more people on the property ladder. UK was the

:24:11. > :24:15.fastest-growing major advanced economy 2014 in the second fastest

:24:16. > :24:29.2015 and is forecasted by the old BCD to be the fastest-growing in

:24:30. > :24:34.2016. -- old BCD. --OBCD. Under Labour one in every ?4 was borrowed

:24:35. > :24:38.and now it is one in every 14. We will build up a surplus by the end

:24:39. > :24:44.of this Parliament. The snooze button from a high tax on high

:24:45. > :24:50.welfare low-wage economy and next year the long awaited messy Gateway

:24:51. > :25:00.Bridge will be opened by a Conservative government. --Mersey.

:25:01. > :25:07.This reminds the world that Great Britain and the north of England is

:25:08. > :25:10.open for business. I would like FMA to advance the argument made by the

:25:11. > :25:18.honourable gentleman for East Lothian. Productivity was central

:25:19. > :25:21.economic challenge of the Parliament, according to the

:25:22. > :25:26.Chancellor last year. It failed to address the productivity gap between

:25:27. > :25:32.ourselves and our competitors and that would be addressed by the

:25:33. > :25:37.government producing July 2015 productivity plan. In this like

:25:38. > :25:45.committee of enquiry into the plan funded to somewhat worthy but vague

:25:46. > :25:46.and without the firm delivery and implementation measures need to

:25:47. > :26:00.truly addressed the productivity challenge.

:26:01. > :26:06.The downgrade to productivity in last week's budget reinforces the

:26:07. > :26:10.view of the select committee that although many measures in the Plan A

:26:11. > :26:15.welcome they did not constitute a radical departure or step change

:26:16. > :26:19.that would boost productivity. As the OBR stated in its report last

:26:20. > :26:26.week, lower productivity growth means lower forecasts for company

:26:27. > :26:30.profits and also consumer spending and business investment. In

:26:31. > :26:35.aggregate this reduces tax receipts significantly. To ensure

:26:36. > :26:40.productivity improvements, that requires a sustained approach to

:26:41. > :26:43.business investment. It shows how much business investment that engine

:26:44. > :26:49.that will power better competitiveness and create better

:26:50. > :26:52.employment and higher living standards has actually stalled. Real

:26:53. > :26:57.business investment fell in the final quarter of last year. The

:26:58. > :27:05.manufacturing sector in our country is in recession. The OBR forecast

:27:06. > :27:07.business investment will be 2.67% in 2015. A massive percentage point we

:27:08. > :27:15.care than four months ago in the Autumn Statement. The

:27:16. > :27:17.not helping. The Chancellor should be in courage in firms to invest in

:27:18. > :27:21.the latest technology, plant and machinery, to ensure they can

:27:22. > :27:25.compete with the most modern kit anywhere in the world. The most

:27:26. > :27:29.modern kit anywhere in the world, as well as investing in research and

:27:30. > :27:34.innovation to ensure British-based firms are coming forward with the

:27:35. > :27:40.goods, services, and products the world will -- the world wants to

:27:41. > :27:45.buy. Isn't that why the Chancellor has cut corporation tax and capital

:27:46. > :27:53.gains tax? To encourage companies of all sizes to invest in research and

:27:54. > :27:57.development and jobs of the future. Capital gains tax, I would suggest

:27:58. > :28:03.it is contrary to having a long-term economic plan. You do not scale up,

:28:04. > :28:08.you sell out quickly. That is a major structural concern. To a large

:28:09. > :28:11.extent, the Chancellor, in this parliament, has done positive things

:28:12. > :28:14.when it comes to encouraging investment, particularly with annual

:28:15. > :28:20.investment allowances. These are very welcome. Other countries are

:28:21. > :28:25.doing much more. Britain risks missing out. Addressing the huge

:28:26. > :28:28.disincentive in business rates for firms wanting to invest in new plant

:28:29. > :28:34.and machinery should have been at the very top of the Tunstall's list.

:28:35. > :28:39.Although changes to business rates. All businesses constitute the

:28:40. > :28:42.largest tax cut of this budget, it does seem ridiculous that the

:28:43. > :28:47.Chancellor did not resolve what is a ludicrous situation. This is

:28:48. > :28:53.important in terms of different sectors. The ludicrous situation

:28:54. > :28:56.where a firm faces a larger tax bill in the form of big business rates by

:28:57. > :29:00.investing in new plant and machinery. For a government pledging

:29:01. > :29:05.all it can to be balanced the economy and specifically in the last

:29:06. > :29:09.six to seven months to help the hard-hit British Steel industry, the

:29:10. > :29:16.omission of a single measure from the budget was a significant blow,

:29:17. > :29:22.particularly the steel industry. Thank you for giving way. It seems

:29:23. > :29:26.there is only one club in the Conservative golf bag and that is

:29:27. > :29:32.taxes alone. You have to face up to having a low-wage economy and the

:29:33. > :29:39.lack of housing. House-building is low as well. Workers need houses.

:29:40. > :29:43.Productivity will remain low. That is important point in terms of

:29:44. > :29:46.infrastructure. There was little in this budget to address that. I

:29:47. > :29:52.mentioned the possibility of rebalancing. The Government

:29:53. > :29:57.announced proudly in 2012 target of ?1 trillion of exports by 2020. I am

:29:58. > :30:00.all for ambition and stretching targets. Given the Government's

:30:01. > :30:06.limited ability to shift the needle of the value of exports, this

:30:07. > :30:11.ambition, this target, it seemed, at best, misplaced, and, at worst,

:30:12. > :30:20.foolish. The OBR stated the Government will miss its target by

:30:21. > :30:25.30%, ?357 billion. Net trade will actually be a drag on economic

:30:26. > :30:29.growth for every single year of this Parliament. There was nothing in

:30:30. > :30:34.this budget to boost exports. That did not pass from the Chancellor's

:30:35. > :30:37.lips in his statement and was not mentioned this morning. Does this

:30:38. > :30:42.mean the Government has shelved this target? Well the ministers consider

:30:43. > :30:46.providing assistance and encouragement in the form of export

:30:47. > :30:55.vouchers to ensure firms will Britain can invest and export?

:30:56. > :30:57.Further way to boost productivity is by investing in skills. The flagship

:30:58. > :31:02.skills policy is the target of 3 million apprenticeships by 2020.

:31:03. > :31:06.Only 2% of large firms will be paying less. In terms of the 98

:31:07. > :31:11.cents of other firms and what will happen in terms of the detail of the

:31:12. > :31:14.levy, we were promised by the Minister of State for skills in the

:31:15. > :31:18.run-up to the budget all would be revealed, like this new shiny model,

:31:19. > :31:24.in the Chancellor's budget statement. For a bill that is

:31:25. > :31:29.putting the next-generation first, there is precious detail about how

:31:30. > :31:34.the apprenticeship levy will actually operate in practice. As

:31:35. > :31:39.with exports, the word apprenticeships was not mentioned by

:31:40. > :31:45.the Chancellor. With the honourable member agree one of the biggest

:31:46. > :31:50.drags skill wise is intermediate and higher intermediate skills level? We

:31:51. > :31:53.have had this problem for 30 years. The honourable gentleman makes an

:31:54. > :31:59.important point. While trying to ramp up the level, the quantity of

:32:00. > :32:03.apprenticeships while having the major change to institutional

:32:04. > :32:07.architecture of apprenticeship delivery, I think the Government

:32:08. > :32:17.risks missing its target. The skills policy of this government will be

:32:18. > :32:22.affected. This will be remembered but for all the wrong reasons.

:32:23. > :32:28.Incompetence, callousness, clumsiness and the resignation of a

:32:29. > :32:31.Cabinet minister. It will be remembered for downgraded

:32:32. > :32:36.productivity and failure to address this, leading to falling living

:32:37. > :32:39.standards, lower tax receipts and deteriorating public finances. The

:32:40. > :32:45.budget has helped to make this country somewhat poorer. I rise to

:32:46. > :32:52.support the budget and in particular to welcome the Government's reforms

:32:53. > :32:55.which are most welcome. It has been du Matic budget. I feel like I would

:32:56. > :33:00.be failing the Government if I did not concentrate my words on the

:33:01. > :33:04.areas of drama and first on the disability reforms. The challenge

:33:05. > :33:10.before the Government is very clear. It is to deliver a policy which all

:33:11. > :33:15.of us can be proud to defend in our constituencies in front of any

:33:16. > :33:17.objective scrutiny. I do not think we would have been able to lift the

:33:18. > :33:24.Government had not made the decisions it has in the last few

:33:25. > :33:28.days. When I look at the OBR report, page 150, the successive forecast

:33:29. > :33:33.was spending on disability benefits, I can see the Government's envelope

:33:34. > :33:39.to deliver this policy is very clear. When we came to power in

:33:40. > :33:44.2010, the Government was spending ?12 billion on disability benefits.

:33:45. > :33:49.It rose to 16 billion. By now an increase of a third. It is forecast

:33:50. > :33:54.with the reverse of these measures to reach 18 billion by 20 20, 20 21.

:33:55. > :33:58.It is clear the Government has an envelope in which to work to ensure

:33:59. > :34:03.it has a world-class policy which any of us can defence, even in an

:34:04. > :34:07.environment of fierce partisan political attack. I'd like to turn

:34:08. > :34:12.to be a TV we have had two amendments tabled. The purpose of

:34:13. > :34:23.signing these was to highlight the extent to which VAT was highlighted

:34:24. > :34:27.in European Union. Neither amendment has legislative effect. As the

:34:28. > :34:31.member for Dewsbury said, what it does is make clear our content to

:34:32. > :34:37.zero rate tampons and other sanitary products. Both these amendments are

:34:38. > :34:40.pursuing to government policy. This is the bitter irony to our

:34:41. > :34:46.membership of the EU. We have had to have a dramatic row over the VAT in

:34:47. > :34:58.the context of an EU referendum in order to secure a commitment as

:34:59. > :35:01.follows from the European Council. There will be proposals for

:35:02. > :35:12.increased flexibility for member states with respect to reduce rates

:35:13. > :35:16.of VAT which would provide zero rating for sanitary products. It is

:35:17. > :35:20.clear the wish of the house is that sanitary products would be zero

:35:21. > :35:24.rated. It would be diverging from EU policy and it is welcome the

:35:25. > :35:33.Government has secured this change of EU policy. I not want us to have

:35:34. > :35:38.an EU membership referendum every time we want to have a different

:35:39. > :35:44.policy on our second largest tax. I give way. When you say British

:35:45. > :35:50.governments have always supported the framework on the 80, the problem

:35:51. > :35:54.is you have pressure on governments to compete with each other in

:35:55. > :35:57.lowering the tax on selected products where they think

:35:58. > :36:03.manufacturers will benefit all producers will benefit. Also, it is

:36:04. > :36:07.about having an open trade area where everyone will have

:36:08. > :36:12.competitively different tax rates. The main beneficiaries are

:36:13. > :36:18.smugglers. You mention some interesting points. I am grateful

:36:19. > :36:23.for the minute he has given me. What he indicates is the difficulty in

:36:24. > :36:26.operating a customs union amongst interventionist states. The old

:36:27. > :36:33.doctrines of liberalism did not require one to get rid of non-trade

:36:34. > :36:37.barriers because there were none. I abridge an argument one could make

:36:38. > :36:42.over a much greater length. At the heart of the exchange we have just

:36:43. > :36:46.had, at the heart of that is the difficulty we face of having

:36:47. > :36:53.interventionist nation states attempting to engage in free trade.

:36:54. > :36:56.In a world of globalisation and the internet, what we need is

:36:57. > :37:02.harmonisation on a global scale which enjoys democratic consent. I

:37:03. > :37:15.am grateful for your intervention. It is the case that until the aid to

:37:16. > :37:20.directive, it -- until the EU directive, it will become law even

:37:21. > :37:26.if it is not applied. A similar situation on insulation products

:37:27. > :37:32.where a 4th of June judgment in the European Court of Justice ruled the

:37:33. > :37:39.UK cannot apply a reduced rate of VAT to the supplying of energy

:37:40. > :37:44.materials. That is solely for social housing. That is the position in law

:37:45. > :37:47.while we are in the EU. I hear what my right honourable friend but it is

:37:48. > :37:51.a fact that while we remain in the EU we cannot control what is

:37:52. > :37:57.currently our second biggest tax. I am very grateful we have had this

:37:58. > :38:02.opportunity to put this part of the EU membership debate on record and

:38:03. > :38:06.discussed in the media. I'm grateful the Government will not oppose

:38:07. > :38:12.either amendments. If there is a division, I will vote for a and

:38:13. > :38:18.probably abstain on the other. I want to talk about what is possibly

:38:19. > :38:23.the most Matic aspect of this budget. I have talked about it in

:38:24. > :38:27.every budget. The subject I mentioned in the maiden speech. The

:38:28. > :38:32.insane state of monetary policy all around the world. If the European

:38:33. > :38:36.Central Bank was printing up 80 billion euros of new money every

:38:37. > :38:38.month in paper and shipping it around the continent in articulated

:38:39. > :38:44.lorries, I think they would already have undermined faith in paper

:38:45. > :38:49.currency and destroyed it. Because it is done through corporate bonds,

:38:50. > :38:56.we simply notice the recirculation of money. In 25 seconds I cannot

:38:57. > :39:00.give a lecture on capital -based macroeconomics but if the honourable

:39:01. > :39:05.members of is that like to call a backbench debate in in time, I would

:39:06. > :39:08.be happy to give a lesson. The dramatic consequences will be felt

:39:09. > :39:20.much later than they are today as a result of easy money. Thank you. The

:39:21. > :39:26.Government was a story of missed targets for the Chancellor, missed

:39:27. > :39:31.opportunities for our country. It is rapidly turning into a total and at

:39:32. > :39:36.a mess. I am pleased to see some of the U-turns but much more is needed.

:39:37. > :39:41.I would like to start by associating myself with the remarks made by my

:39:42. > :39:45.honourable friend, the member for Hartlepool, and the chair of the

:39:46. > :39:48.business select committee. He spoke about the importance of rebalancing

:39:49. > :39:55.our economy. That is so much needed after some of the numbers we saw in

:39:56. > :39:58.the budget last week. As a result of the lower productivity and the lower

:39:59. > :40:02.exports and other things my honourable friend has spoken about,

:40:03. > :40:07.economic growth has been revised down for every single year of this

:40:08. > :40:11.Parliament. A staggering ?71 billion has been knocked off our tax

:40:12. > :40:16.revenues. The Government is now set to borrow an extra ?38 million over

:40:17. > :40:21.the next five years that is why, after breaking his promise to clear

:40:22. > :40:25.the deficit in the last parliament, the Chancellor has broken his pledge

:40:26. > :40:41.to bring the debt down as a share of GDP in this Parliament as well.

:40:42. > :40:46.You would not have a lot more waiting credibility had her

:40:47. > :40:54.government and thought opposed every single one of the cuts that had to

:40:55. > :41:04.be made? I wonder if he still feels we should go ahead with cuts? It

:41:05. > :41:07.sounds like it from those remarks. Let me go on with issues around

:41:08. > :41:14.personal independence payments and the impact this comment is sad on

:41:15. > :41:21.disabled people. Let's remember the border points. This is a government,

:41:22. > :41:24.the Chancellor and by minister and former and present Secretary of

:41:25. > :41:29.State for Work and Pensions who forced through the bedroom tax

:41:30. > :41:33.affecting 500,000 people, the majority of those disabled, affected

:41:34. > :41:36.by ?700 per year. They forced through the closure of the

:41:37. > :41:40.independent living fund and forced to cuts in employment supported

:41:41. > :41:44.living allowance affecting 500,000 people with around ?30 per week am

:41:45. > :41:51.not one and a half thousand pounds per year. The U-turn and personal

:41:52. > :41:55.independence payments, while welcome, was only a fraction of the

:41:56. > :42:01.damage of the pain they of course to disabled people by constituencies.

:42:02. > :42:06.Let's be clear as well about what the shooter naturally means because

:42:07. > :42:09.the new Secretary of State into the chamber yesterday so the government

:42:10. > :42:13.are not going to go back to the welfare bill and to disabled people

:42:14. > :42:15.for further cuts that during the course of the statement yesterday

:42:16. > :42:29.afternoon that became what down a little bit. They now have new plan

:42:30. > :42:39.to combat the -- come back to the welfare budget and new plans. I will

:42:40. > :42:44.idea from the Chief Secretary when he went up this evening whether

:42:45. > :42:47.there are no plans for the government can guarantee that there

:42:48. > :42:50.will be no further cuts to the welfare budget and will be no

:42:51. > :42:55.further cuts to the benefits of disabled people. We do know after

:42:56. > :43:01.all of those that that is a black hole in the public finances of ?4.4

:43:02. > :43:06.billion and if it is not for disabled people who will be the

:43:07. > :43:10.people paying the price? Will be further cuts to education and health

:43:11. > :43:14.and defence and police? Will be further increases in taxes and VAT

:43:15. > :43:20.and taxes on ordinary working people? Something needs to give a

:43:21. > :43:25.mini dance about how this black hole in this budget that we reported on,

:43:26. > :43:31.we do not know what that means. What does it mean for all the different

:43:32. > :43:35.groups of people? As the chair of the office for budgets but ability

:43:36. > :43:41.told us at the select committee meeting this morning, it is not just

:43:42. > :43:43.that that is ?4.4 billion black hole in the Social Security budget. The

:43:44. > :43:57.government have failed to meet the well field target and warfare-- have

:43:58. > :44:06.failed to meet the target and will feel every year. Why did the get

:44:07. > :44:15.into this mess? Act-mac will fail. They wanted to cut capital gains tax

:44:16. > :44:23.and want to increase the threshold for you started paying the 40p tax

:44:24. > :44:33.and wanted to raise the ice limit to ?20,000 which is great if you have

:44:34. > :44:38.the money. --ISA. That is why the government raided the Social

:44:39. > :44:42.Security budget again to give tax breaks to their friends, the

:44:43. > :44:44.wealthiest in society. The budget could've been different and the

:44:45. > :44:48.government could have more money infrastructure investment. In my

:44:49. > :44:52.constituency invades we are paying a heavy price for the floods on the

:44:53. > :44:57.26th of December. The Chancellor said earlier that I should've

:44:58. > :45:04.welcomed the money for flood defences but in truth 2011 Southern

:45:05. > :45:10.government cancelling flood defence scheme and Leeds ?135 million and

:45:11. > :45:15.have now put in money from Leeds for ?35. I'm sorry for not thanking him

:45:16. > :45:19.that 35 million rather than 135 million is not really worth it

:45:20. > :45:28.thanks and businesses are my constituency will pay a heavy price

:45:29. > :45:31.of those come again. I was with the Environment Agency just last night

:45:32. > :45:36.they were telling me that they will not have sufficient funds to put in

:45:37. > :45:43.measures to stop future flooding, particularly with catching

:45:44. > :45:47.management. -- catchment. The reality is that the government

:45:48. > :45:53.announced last week under ?59 for York and Leeds and for Cumbria but

:45:54. > :46:00.the scheme that was cancelled just in Leeds was worth ?135 million in

:46:01. > :46:04.that 150 million is for flood defences and flood resilience and

:46:05. > :46:07.flood maintenance see it again the government is short-changing the

:46:08. > :46:13.people who at this time need the government to step up to the mark as

:46:14. > :46:19.our volunteers and York and Leeds who was stepping in when the rains

:46:20. > :46:23.fell and the visuals and houses and buildings were flooded. The budget

:46:24. > :46:26.could be different last week, it could be a different budget for

:46:27. > :46:30.disabled people there could've been a budget that helped ordinary

:46:31. > :46:34.working people and those most vulnerable society and the could've

:46:35. > :46:37.put them money into the northern powerhouse with the infrastructure

:46:38. > :46:40.that we need to stop it was a different budget because this

:46:41. > :46:43.government has different priorities which is why we need a Labour

:46:44. > :46:47.government on the side of order working people and the most

:46:48. > :46:53.honourable and our society. -- ordinary working people. The

:46:54. > :46:57.honourable people makes a strong case but is is desperately flawed.

:46:58. > :47:01.She knows in the 13 years of Labour government the gap between the

:47:02. > :47:09.richest and poorest 10% actually widened and under her party this

:47:10. > :47:15.situation where we sell recognise is of children workless households and

:47:16. > :47:23.unemployment and youth unemployment rose. He makes a very powerful

:47:24. > :47:33.point. So many gaps were created under 13 years of Labour and

:47:34. > :47:40.particularly the north South divide. This high-speed train from

:47:41. > :47:46.Manchester to Leeds will cut journey times to the magpie 30 minutes. --

:47:47. > :47:55.will cut journey times by 30 minutes. The previously but

:47:56. > :47:59.government and economic circumstances driven by debt and

:48:00. > :48:04.borrowing failed to do this. I welcome this budget in general terms

:48:05. > :48:11.and I took issue with the comments of the Chancellor about Brexit. I

:48:12. > :48:28.think the anodyne comments of the old BR were represented -- OBR were

:48:29. > :48:35.misrepresented. It was largely a neutral budget and I welcome the

:48:36. > :48:39.lifetime ISA and the tax crackdown on offshore property developers and

:48:40. > :48:43.tax pricing and it was good to see the changes in personal loans which

:48:44. > :48:46.will take many my constituents and Peterborough out of tax and in my

:48:47. > :48:52.constituency women are in a very posh position. I pay tribute to the

:48:53. > :48:55.charge before nothing short of jobs medical and we have seen the largest

:48:56. > :49:09.reduction and youth unemployment in the history of my seat which is 70%.

:49:10. > :49:20.That record apprenticeships -- that our record numbers apprenticeships.

:49:21. > :49:28.I welcome the decision to resign from the commitment on PIP. It is a

:49:29. > :49:43.U-turn. Very well spotted by the benches opposite. It was absolutely

:49:44. > :49:53.right to do this. It was right for my honourable friend to point out

:49:54. > :49:56.the juxtaposition of tax reductions for people back to the party

:49:57. > :49:59.opposite voted against every single welfare change in the previous

:50:00. > :50:06.government. Being in opposition actually you are encumbered in

:50:07. > :50:13.coming through with a coherent and comprehensive alternative in terms

:50:14. > :50:17.of fiscal policy. And in public expenditure and tax. Can I race to

:50:18. > :50:28.particular issues which of Cosmo some concern with the budget? One is

:50:29. > :50:32.concerning the problem the government has encountered which has

:50:33. > :50:37.given rise to a proper debate about generational fairness and the need

:50:38. > :50:43.to look again at pensioner benefits. It cannot be right to effectively be

:50:44. > :50:57.making, and I very rarely agree with my right honourable friend and

:50:58. > :51:01.everything but it is wrong morally I believe to make large-scale

:51:02. > :51:05.transfers of wealth from the young to the old. I think there has to be

:51:06. > :51:08.a consensus. One of the suggestions I would make is that if you are

:51:09. > :51:16.going to means test pensioner benefits, he perhaps the event it

:51:17. > :51:20.towards the most acute societal issue we have at the moment which is

:51:21. > :51:24.adult social care and coordination and integration between acute

:51:25. > :51:27.district hospitals and providing care and housing for older people. I

:51:28. > :51:30.think that our older pensioners who would understand that and I think it

:51:31. > :51:34.is something the Treasury would need to go forward with. They need to

:51:35. > :51:39.look at it very seriously. The second issue of concern is, as we

:51:40. > :51:46.speak, Cambridge county council, which is not my local authority, is

:51:47. > :51:51.looking at the devolution plans for East Anglia. I think at the moment

:51:52. > :51:59.they do not stack up. I think we have not had enough information and

:52:00. > :52:01.we do not know and in some senses I am reprising the comments of my

:52:02. > :52:11.honourable friend for Northwest North Fork yesterday? -- Norfolk

:52:12. > :52:17.yesterday. , it needs to be finessed and we need to carry businesses with

:52:18. > :52:19.this and both local enterprise partnership did not agree with that

:52:20. > :52:24.and the majority of councils are at best ambivalent, including Cambridge

:52:25. > :52:33.City Council which has refused it, we need to look at again. It may be

:52:34. > :52:39.that there are synergies between Lowestoft and Peterborough are

:52:40. > :52:44.between Norwich and Ipswich but I'm yet to see them. Let's have more

:52:45. > :52:47.information about the funding and about governance and about

:52:48. > :52:55.infrastructure spending in the role of executive may and what will

:52:56. > :53:08.happen to existing local government structure. -- Maher. --Mayor. We

:53:09. > :53:13.need more facts and that is the challenger gift to the Treasury fund

:53:14. > :53:17.bends. We learned many things from the budget last week and perhaps

:53:18. > :53:20.more from the followed sense but the overriding message we seem to be

:53:21. > :53:26.getting is that six years into this job is Chancellor cannot keep a

:53:27. > :53:29.promise and does not seem to learn from his past shambolic budget

:53:30. > :53:36.mistakes. He promised to balance the books by last year and get debt

:53:37. > :53:39.falling as a percentage of GDP each year and keep welfare spending

:53:40. > :53:46.within his welfare cap but in virtually all his own fiscal targets

:53:47. > :53:48.the independent Office for Budget Responsibility confirmed last week

:53:49. > :53:54.that he has failed to deliver. Of course this government and its

:53:55. > :53:57.shortcomings go much further than the meaningless targets of the

:53:58. > :54:00.Chancellor. A mere six months ago the premise that all this party

:54:01. > :54:05.conference that he would govern according to one nation modern,

:54:06. > :54:12.compassionate conservatism. This is the same premise that featured on a

:54:13. > :54:18.budget cut capital gains tax and further cut corporation tax and

:54:19. > :54:22.which would see the poorest losing around ?1500 per year in the next

:54:23. > :54:30.two years while some of the richest with action against ?200. To top it

:54:31. > :54:34.off, the Chancellor pledged to slash disability benefits by up to ?1.3

:54:35. > :54:41.billion per year which the Office for Budget Responsibility estimated

:54:42. > :54:46.it would see disabled people move an average of three and thousand pounds

:54:47. > :54:52.per year. Context on the point of capital gains tax. I believe Jim

:54:53. > :54:59.Callaghan crated capital gains tax when he was Chancellor in 1965. It

:55:00. > :55:03.has always been under label Chancellor is the capital gains tax

:55:04. > :55:05.has been lower than under Conservative chancellors. The

:55:06. > :55:11.capital gains tax, even after this change, will be 2% higher under this

:55:12. > :55:17.Chancellor than it was under Alistair Darling and indeed Gordon

:55:18. > :55:25.Brown the last Labour government. -- in the last Labour government.

:55:26. > :55:42.I do not understand the point made by the honourable gentleman. He is

:55:43. > :55:48.talking about that and not the fact it impacts most on the poorest and

:55:49. > :55:56.most bombed rubble in society. I am angry those people who rely on the

:55:57. > :55:59.personal independent payment, 1100 people in Newcastle North, have

:56:00. > :56:04.enjoyed days and weeks of anxiety about how they would cope if that

:56:05. > :56:10.level of support were cut. It is unforgivable. I remain equally

:56:11. > :56:14.concerned about how existing reforms to PIP are failing people.

:56:15. > :56:17.Constituents continue to get in touch with me following my recent

:56:18. > :56:22.question to the Prime Minister because they have been told they are

:56:23. > :56:26.no longer eligible for a mobility vehicle, despite it being the only

:56:27. > :56:32.means they leave the house or get to work. The new assessment is

:56:33. > :56:38.fundamentally flawed. I strongly urge the Work and Pensions Secretary

:56:39. > :56:43.and the Chief Secretary to the Treasury today to take some fresh

:56:44. > :56:49.eyes and to revisit this issue and look at reforming the current PIP

:56:50. > :56:54.changes before they embark on any further welfare reform. Despite the

:56:55. > :56:59.Chancellor's called Revolution in the way we govern England with the

:57:00. > :57:04.pledge last made to give local areas greater control over housing, skills

:57:05. > :57:09.and health care, it appears the Chancellor does not place the same

:57:10. > :57:13.faith in local communities when it comes to schools. Last week, they

:57:14. > :57:17.confirmed far from handing control, the Government is about to embark on

:57:18. > :57:26.the greater centralisation of a school system that will see the end

:57:27. > :57:33.to a century-old role about education. There is a glaring lack

:57:34. > :57:37.hole in the financing of this plan. That raises questions about the

:57:38. > :57:42.extent to which the schools budget will be raided to make up the

:57:43. > :57:48.shortfall. He mentioned the schools budget. I do not know whether she is

:57:49. > :57:52.aware that in Coventry already one or two academies are in serious

:57:53. > :57:58.trouble due to falling numbers as a result of changes in education

:57:59. > :58:03.budgets. I appreciate the question raised by my honourable friend. It

:58:04. > :58:07.is not just local academies that are in trouble. I think there are much

:58:08. > :58:13.bigger than serious questions we need to raise. First of all, why is

:58:14. > :58:18.the Government doing this? There is no proof whatsoever that academies

:58:19. > :58:22.raise educational standards. It is a distraction that schools need to

:58:23. > :58:26.focus on this rather than focusing on educational attainment in

:58:27. > :58:29.schools. How will the Government unable that local political

:58:30. > :58:37.leadership to drive up standards and work together when it has worked so

:58:38. > :58:41.effectively with the London challenge. Power and decision-making

:58:42. > :58:47.must be so centralised in Whitehall. If the Department for Education --

:58:48. > :58:53.is the Department for Education fit for purpose to deal with 20,000

:58:54. > :58:59.schools across the country? Almost 1700 primaries. There are signs it

:59:00. > :59:04.is struggling with the current workload for the 4000 schools it

:59:05. > :59:07.has. The education select committee has recently uncovered the

:59:08. > :59:16.department could not deliver its annual accounts to Parliament in

:59:17. > :59:21.time and is requiring a statutory extension. This will only add to the

:59:22. > :59:25.current mess. The only have to look at the fiasco of the Free School

:59:26. > :59:30.application process. There is no clear rhyme or reason to the

:59:31. > :59:34.Department decisions to authorise new schools. We see a department in

:59:35. > :59:38.disarray. A particular concern for my constituents is how this process

:59:39. > :59:42.will fit alongside the large-scale house building that is planned for

:59:43. > :59:48.our area as a result of the coalition's national planning

:59:49. > :59:55.framework. There will be 21,000 new homes expected to be built in

:59:56. > :59:59.Newcastle by 2030. It will require new school capacity. Who will be the

:00:00. > :00:06.guiding mind in terms of matching and creating the new school capacity

:00:07. > :00:09.in an area that is now going to be controlled by Whitehall? Newcastle

:00:10. > :00:13.City Council ready finds itself in the impossible position of being

:00:14. > :00:18.unable to establish new schools to cope with existing demand. How can

:00:19. > :00:23.it deliver the right places across Newcastle North when every school is

:00:24. > :00:27.accountable to be Secretary of State? Finally, Madam Deputy

:00:28. > :00:33.Speaker, as well as apprenticeships not being mentioned in the

:00:34. > :00:35.Chancellor's budget, there was another glaring omission, the lack

:00:36. > :00:40.of any announcement as to how the Government intends to protect

:00:41. > :00:44.regional airports as a result of devolving air passenger GT to

:00:45. > :00:50.Scotland. It is crucial. It supports 12,000 jobs in the region and

:00:51. > :00:54.exports ?300 million of goods in the New Year. All talk of the Northern

:00:55. > :01:00.powerhouse is undermined if the Chancellor fails to deal with this

:01:01. > :01:06.issue urgently. Thank you. It is a pleasure to follow you. This budget,

:01:07. > :01:09.like my right honourable friend's review budget helps create jobs.

:01:10. > :01:13.That is the right thing to do. That is why continue to support the

:01:14. > :01:23.strategy of lowering business taxes to encourage growth. The business

:01:24. > :01:27.rates measure will help 600,000 businesses cutting taxes. My

:01:28. > :01:34.honourable friend in Newark has talked about this. There has been

:01:35. > :01:40.reforms in stamp duty. This will help the smallest businesses of all.

:01:41. > :01:45.This government has my whole hearted support in putting the next

:01:46. > :01:50.generation first. On this side of the House, we will say debt is the

:01:51. > :01:55.most unethical thing of all to lead to the next generation. We must pay

:01:56. > :01:59.down the country's debts. Reducing spending and not having consent of

:02:00. > :02:06.those yet to come and steer towards a surplus which puts public finances

:02:07. > :02:08.in the strongest edition today. It is also crucial for

:02:09. > :02:13.intergenerational fairness to make it feasible for young people to buy

:02:14. > :02:20.a home, or to save into a pension. That is why I think a lifetime I

:02:21. > :02:29.said in this budget is positive. -- Isa. Ultimately, building homes

:02:30. > :02:34.itself is the most important way to ensure a home at prices that can be

:02:35. > :02:40.afforded. I urge the Chancellor and housing ministers to continue to

:02:41. > :02:51.build. With the average pay for someone on zero hours contract being

:02:52. > :02:57.?189 a week. Does she expect them to save for an Isa or save for a house?

:02:58. > :03:04.The percentage remains at 2.5% of the total number in work. As he will

:03:05. > :03:10.know for every ?4 somebody saves, the Chancellor will give one. That

:03:11. > :03:16.means, at the rate for example he cites, it is possible to consider

:03:17. > :03:23.taking up a savings product. It is also vital, there is every

:03:24. > :03:26.opportunity for a person may have of education and skills training. That

:03:27. > :03:29.is why this government is right to keep up job creation and investment

:03:30. > :03:38.in infrastructure. The description we look to represent the values of

:03:39. > :03:42.this next generation. We talk about value enterprise. Many will set up

:03:43. > :03:46.their own businesses and work in a totally different pattern over their

:03:47. > :03:49.lifetime. The budget is smart to turn attention to the growing army

:03:50. > :04:00.of the self-employed and many of the smallest businesses of all, as I

:04:01. > :04:08.say, -- as I say. Could I congratulate the Government on the

:04:09. > :04:15.start up scheme? I welcome that reminder. He would also agree with

:04:16. > :04:20.me on my next point which is that we should also price the ethical value

:04:21. > :04:24.towards business, which we see in many entrepreneurs. We should

:04:25. > :04:29.welcome measures in this budget which continue to make sense at

:04:30. > :04:33.taxing multinationals in the 21st century. We must ensure our tax

:04:34. > :04:39.system demands and get a fair contribution from companies large

:04:40. > :04:47.and small, domestic and global. Let meal so turn to the welfare measures

:04:48. > :04:53.in this budget. It is well documented there is a sceptical

:04:54. > :04:57.approach to the welfare state. This has steadily declined. We should

:04:58. > :05:01.remind ourselves on the principles of welfare. It is a safety net for

:05:02. > :05:05.when we are unable to look after ourselves, perhaps because of

:05:06. > :05:09.sickness, old age and disability. We will all need this in one way or

:05:10. > :05:14.another. You'll have responsibly tee to maintain it. Because we will

:05:15. > :05:18.longer than previous generations, we need to make sure it is affordable

:05:19. > :05:22.for the future. We expect the richest to pay the most. In summary

:05:23. > :05:27.we need a sensible method of working out who needs the most support and

:05:28. > :05:29.getting it to them. I do not support the measures that have been

:05:30. > :05:34.announced in this budget which sought to reduce support for

:05:35. > :05:39.disabled people through PIP. The manifesto which I stood for and they

:05:40. > :05:42.stood for suggest we would spend less on the welfare budget and would

:05:43. > :05:51.do so by protecting the most vulnerable. I have supported welfare

:05:52. > :06:00.reforms since 2010. The most recent reform of the rates, for those who

:06:01. > :06:05.get FAA, can work, puts work first. In the 21st-century we should not be

:06:06. > :06:10.writing the blog from work and independence. That particular policy

:06:11. > :06:16.is right on helping people to be able to work despite the disability

:06:17. > :06:20.or a health condition. Some reforms have been about justice in other

:06:21. > :06:25.ways. The removal of the spare room subsidy. Another way is the pay to

:06:26. > :06:28.save policy which will relieve taxpayers are subsidising housing

:06:29. > :06:34.and those who may well earn more than they do, such as the leader of

:06:35. > :06:38.Norwich City council himself. Those are about fairness for taxpayers who

:06:39. > :06:43.foot the bill for the benefit they themselves could not expect to

:06:44. > :06:46.enjoy. I am here today to speak up for many constituents who simply

:06:47. > :06:53.want us to use limited resources to provide properly for those who need

:06:54. > :06:58.it. Helping constituents record their concerns about AIDS and

:06:59. > :07:00.appliances. I am pleased my right honourable friend has stopped that

:07:01. > :07:10.provision. We should protect the savings and make -- protect the

:07:11. > :07:15.disabled and make savings elsewhere. Our manifesto did also pledge very

:07:16. > :07:19.clearly that week back pensions. At some point in the future we will

:07:20. > :07:24.have to look again at universal benefits. The welfare state is a

:07:25. > :07:28.safety net. That means pensioners do need a decent income. That is why I

:07:29. > :07:33.wholeheartedly support the triple lock. It does not necessarily mean

:07:34. > :07:36.the most well-off pensioners need benefits as well. As my honourable

:07:37. > :07:42.friend from Peterborough and my right on boyfriend for Rush lives

:07:43. > :07:49.have already argued this afternoon. -- right honourable friend for Rush

:07:50. > :07:54.Cliff. That needs to be balanced as well, maintaining those policies

:07:55. > :07:59.into the future. Mrs Brown wrote to the Eastern evening news letters

:08:00. > :08:08.page saying, I was brought up in post-war abject poverty. I work --

:08:09. > :08:12.worked for everything I have. She is right. I deeply respect her and all

:08:13. > :08:16.of my constituents in any generation who have worked hard and done the

:08:17. > :08:21.right thing. I making and arguing for fairness in the future. By

:08:22. > :08:32.making an argument for those who need help the most and to balance

:08:33. > :08:36.generations. Personal independence payments, Madam Deputy Speaker,

:08:37. > :08:42.there is not a single member of this house who has not received scores of

:08:43. > :08:49.letters in the last couple of weeks of people in deep concern for what

:08:50. > :08:53.was proposed in the budget. Let me give you an example from my

:08:54. > :08:58.constituency. A woman living in a rural area, about 15 miles from the

:08:59. > :09:04.nearest railway station, was about to lose home most ability vehicle to

:09:05. > :09:10.get to work. She had a pretty severe disability. I think it is abhorrent

:09:11. > :09:14.the changes we have seen, whether they be you turned whatever, we

:09:15. > :09:21.welcome them. Isn't it extraordinary this has come about to do with the

:09:22. > :09:26.internal workings of the Tory Party and not the needs of people in the

:09:27. > :09:30.most need and disabled people across our country? There is no morale it

:09:31. > :09:35.in the way this decision was made and the Government should hang its

:09:36. > :09:41.head in shame for all that has happened over the last few days. I

:09:42. > :09:47.turn now to a different subject, that of infrastructure. Others have

:09:48. > :09:52.noticed, my honourable friend, the member for Leeds West, wrote an art

:09:53. > :09:55.good about and made the point. According to the latest figures from

:09:56. > :10:00.the National infrastructure pipeline, which monitors public and

:10:01. > :10:09.private sector projects at more than ?50 million, only 114 of 565 major

:10:10. > :10:18.projects are in construction. The economists noticed in 20 to 2013,

:10:19. > :10:24.they wrote an article, let's try to catch up with Marley, not to see

:10:25. > :10:29.OECD figures to show how low Britain was in terms of investment on

:10:30. > :10:34.infrastructure. Infrastructure, rail, road and energy. The

:10:35. > :10:42.Chancellor mentioned the Government now claimed to be opening the door

:10:43. > :10:45.on growth in North Wales. Madam Deputy Speaker, it is rather

:10:46. > :10:49.difficult to open the door to anything if you cannot actually get

:10:50. > :10:55.there. All the rhetoric about the Northern powerhouse matters precious

:10:56. > :11:01.little if we do not deal with things like taxing the accident blackspots

:11:02. > :11:07.and single-track highways on both sides of main roads. And we do not

:11:08. > :11:17.make it quicker to travel on both sides of the border. You need to get

:11:18. > :11:22.on with speeding away with HS2. We need to have more direct London

:11:23. > :11:28.trains on the Wrexham to shrews realigned to take precious of the

:11:29. > :11:32.chest lining the collectivity. Let's sort out a proper North Wales train

:11:33. > :11:35.infrastructure to Manchester and Liverpool airports. Letters

:11:36. > :11:43.all-seater let us try to see the reality of what should be happening

:11:44. > :11:48.with 4G. -- let us all seen the reality. I was intrigued to see Tim

:11:49. > :11:55.Peake wishing us all a happy Saint Davids Day.

:11:56. > :11:59.Two further points very quickly. There has been, I believe the

:12:00. > :12:02.previous speaker spoke about an ethical dimension in terms of

:12:03. > :12:07.corporate taxation, there is one issue the Government didn't look at.

:12:08. > :12:14.And that is the insidious closure of banks across our country. In Wales

:12:15. > :12:19.130 bank branches have close or will close over four year, over FIA year,

:12:20. > :12:24.that is simply unacceptable, that banks can do this, they have nothing

:12:25. > :12:32.to pay back to wider society. My final point Madame developer is to

:12:33. > :12:37.do with measures on philanthropy, in this budget. -- Deputy Speaker. We

:12:38. > :12:42.have seen Gordon Brown bringing in millennium Gift Aid, I know if the

:12:43. > :12:46.honourable member for up cliff would have been there he would have said

:12:47. > :12:51.it was he or John Major who brought it in in 1990. There was no measure

:12:52. > :12:56.of anything to do with philanthropy in this budget. I think it is time

:12:57. > :13:00.that we consider this in greater detail, whether that is the

:13:01. > :13:05.implementation of a Gift Aid package on text donations or a look again

:13:06. > :13:10.after cop rat philanthropy. Those are the measures I am trying to fit

:13:11. > :13:14.into a five minute speech on a mixed budget, but in the last few seconds

:13:15. > :13:18.I welcome what the Chancellor had to say on EU membership there is three

:13:19. > :13:23.MPs in Denbighshire, this might be the only one to welcome a stay in

:13:24. > :13:29.vote, but I do. Madame Durham, I am grateful to have

:13:30. > :13:36.the opportunity to speak in support of this one nation, responsible, and

:13:37. > :13:41.pro enterprise budget. -- Madam Deputy Speaker. Tucks in the

:13:42. > :13:46.Yorkshire dales is a thriving community, a community built on the

:13:47. > :13:50.jobs provided by our small and medium sized businesses, businesses

:13:51. > :13:54.like the Wensleydale creamery whose cheese has taken a slice of

:13:55. > :14:01.Yorkshire to tables across the world. Or Tenants, one of the UK's

:14:02. > :14:04.private auction house, before I arrived in this place I spent my

:14:05. > :14:10.career round the world investing in companies like these. Providing the

:14:11. > :14:13.capital to help them grow. And I am delighted that this budget

:14:14. > :14:23.recognises what my own experience has taught me. That for growing SME

:14:24. > :14:28.there are few more greeneds for success to sack Tess to finance.

:14:29. > :14:31.There are a few more than growing SMEs, small and medium size

:14:32. > :14:36.businesses account for over half of private sector employment. They are

:14:37. > :14:40.responsible for three-quarters of the jobs created since the recession

:14:41. > :14:45.and they are delivering social justice, with the unemployed being

:14:46. > :14:50.six times more likely to find work with a smaller company.

:14:51. > :14:53.These companies need the fuel of deep capital markets to power their

:14:54. > :14:57.growth. However, despite improvement, it is still not always

:14:58. > :15:01.easy for SMEs to get the funding they need.

:15:02. > :15:05.The challenge they face fall into two distinct category, debt and

:15:06. > :15:10.equities. When it comes to debt finance, companies can either go to

:15:11. > :15:15.banks or the corporate bond market. However, our bond markets are under

:15:16. > :15:20.developed. Europe's economy is the same size as the United States, yet

:15:21. > :15:24.its bond market is only a third as big. This means our companies are

:15:25. > :15:27.reliant on banks for their debt needs, indeed four times more

:15:28. > :15:33.reliant than their American counter pars. And at a time when banks are

:15:34. > :15:36.right he deliver ranging the reality for British companies is far too

:15:37. > :15:40.many loan applications are going without success.

:15:41. > :15:45.There are issues for companies wishes to access equity finance.

:15:46. > :15:51.Although we are a European leader, the UK's Venture Capital markets

:15:52. > :15:56.still has room to grow. Adjusted for GDP, the United States VC market is

:15:57. > :16:01.seven times the size of the UK. We also lag behind Sweden, South

:16:02. > :16:05.Africa, Ireland and Israel. This matters because equity is the kind

:16:06. > :16:09.of capital that SMEs need to grow beyond their early stages. Thanks in

:16:10. > :16:13.part the policies of this Chancellor, our nation has become

:16:14. > :16:17.one of the world's start up capitals. But now, we must focus our

:16:18. > :16:22.unEgyptian are growing the start ups. For just 3% of British

:16:23. > :16:27.companies manage to expand beyond ten employee, which is half the

:16:28. > :16:32.success rate of the companies in the United States. Madame Deputy Speaker

:16:33. > :16:38.this Government has shown that it understands these challenges. That

:16:39. > :16:41.is why it created the seed enterprise investment scheme which

:16:42. > :16:45.has helped over 3,000 companies. That is why it launched the funding

:16:46. > :16:51.for lending programme, to ease credit for SMEs, hand is why it

:16:52. > :16:56.funds the British business bank to power our growing companies.

:16:57. > :17:01.I thank him for giving away, I really agree with him wholeheartedly

:17:02. > :17:06.on the fact that getting enough capital out there Venture Capital in

:17:07. > :17:10.particular, and allowing a small business to grow, especially some

:17:11. > :17:14.that may you know, the traditional banking systems don't necessarily

:17:15. > :17:18.support, is absolutely key to stimulating more growth in our

:17:19. > :17:23.economy, and I very much welcome his comments.

:17:24. > :17:27.Very grateful for my colleague and chairman of the Defra Select

:17:28. > :17:31.Committee for those comments, I will go on to sop of them in due course.

:17:32. > :17:37.I an delighted this budget goes further to encourage investment in

:17:38. > :17:42.our businesses, and our job creator, I am confident that reducing capital

:17:43. > :17:45.gains tax rates together with a brand-new 10% rate for long-term

:17:46. > :17:49.investment in private businesses will unlock millions in much-needed

:17:50. > :17:54.funding. Speaking with investors this week, it is clear that these

:17:55. > :17:59.policies have cut through and generated a fresh wave of enthusiasm

:18:00. > :18:04.for investing in British companies. On the debt side, I welcome the

:18:05. > :18:08.budge's further help for businesses rejected by traditional a big, they

:18:09. > :18:14.will now be more easily be able to access ala terntive providers of

:18:15. > :18:19.finance. Madame Deputy Speaker, whether it is cheese makers or

:18:20. > :18:21.companies in Old Street, this Chancellor has always backed the

:18:22. > :18:28.aspirations of Britain's growing companies. By continuing to close

:18:29. > :18:31.the loopholes that Labour left open, this budget has another message,

:18:32. > :18:35.Britain isn't only becoming the best place to do business, it is becoming

:18:36. > :18:40.the fairest place to do business as well. This is a budget for the

:18:41. > :18:44.little guy, for a new generation of British ideas and for a country

:18:45. > :18:48.where the rules don't bend for big balance sheets. This is a

:18:49. > :18:52.responsible, one nation, pro enterprise budget that will get our

:18:53. > :18:55.companies the vital funding they need to unleash their potential and

:18:56. > :19:02.I commend it wholeheartedly to this house.

:19:03. > :19:05.I want to focus this section of the debate on apprenticeships because it

:19:06. > :19:10.is key to tonnes for young people in Bristol South. I support the 3

:19:11. > :19:14.million target by 2020. It is ambitious but we should be for our

:19:15. > :19:19.young people. In many ways Bristol is a booming city with the highest

:19:20. > :19:24.household income outside London and easily the highest productivity of

:19:25. > :19:32.any big conurbation outside the capital present ships are important

:19:33. > :19:37.because it is the constituency that Ucas says sends fewer people into

:19:38. > :19:42.higher education. Apprenticeships and training are the root to a

:19:43. > :19:46.better future for so many people living in our communities.

:19:47. > :19:50.While Bristol South isn't home to a large number of companies there are

:19:51. > :19:55.have many small and medium size enterprises based in the

:19:56. > :20:01.constituency, owned by and employing local residents. I am glad the

:20:02. > :20:05.honourable member for Richmond. I a interested in the role SMEs will

:20:06. > :20:10.play in the delivery role and how the Levy is going to work for them.

:20:11. > :20:13.Last week, there have been three important interventions that have

:20:14. > :20:18.merged that cause concern, firstly the co-chair of the Government's

:20:19. > :20:21.delivery board confirmed SMEs won't be in the Levy system and the only

:20:22. > :20:27.firms paying it will have access to a new funding system from April

:20:28. > :20:31.2017. Secondly, at the FE conference, we have heard from the

:20:32. > :20:35.former Business Secretary, that, about concerns that the Levy may in

:20:36. > :20:42.fact be a revenue raising measure rather than a genuine one, and

:20:43. > :20:45.thirdly, we have seen comments from the social mobility commission

:20:46. > :20:49.concerned that the younger of numb apprenticeships has flat lined since

:20:50. > :20:52.2010 and many don't offer people the foundation they can build on.

:20:53. > :20:57.I would like the Government to be able to give a guarantee every penny

:20:58. > :21:01.of the ?3 billion in Levy is expected to raise will be invested

:21:02. > :21:05.back in to improving training and apprenticeships and the SMEs will

:21:06. > :21:08.have their fair share that the special and unique opportunities and

:21:09. > :21:12.challenges they bring to the apprenticeship table will be fully

:21:13. > :21:16.taken into account. How will young people, business,

:21:17. > :21:21.colleges and other training providerings be able to access the

:21:22. > :21:24.opportunities and what guarantee can the Government give that my

:21:25. > :21:27.constituency will receive its fair share? The Government plan for

:21:28. > :21:32.apprenticeship seems to be at the drawing board stage so I am envying

:21:33. > :21:36.firms in my constituency to help. I have been issued an open call to set

:21:37. > :21:41.out their ambitions, for the shape of apprenticeship schemes over the

:21:42. > :21:45.next decade. I am sure the Government agree that the reaction

:21:46. > :21:47.of employers will make or break the target, so will the Government

:21:48. > :21:52.please accelerate the publication of the action plan, that shows how the

:21:53. > :21:58.target will be met, how the Levy will work, and o other fine details

:21:59. > :22:02.of the plan so I and others can work alongside employer, colleges and

:22:03. > :22:06.other training providers to promote and encourage full engagement. An

:22:07. > :22:12.additional consideration is the number of Bristol South residents

:22:13. > :22:13.who are not ready to take up a apprenticeship so details for

:22:14. > :22:19.preapprenticeship training is of interest, it is essential we ensure

:22:20. > :22:22.the residents are no blocked for accessing these valuable

:22:23. > :22:26.opportunities. I have concerns about the realism of the 3 million target

:22:27. > :22:31.by 2020. As does the Government agree with me there is a danger that

:22:32. > :22:36.arbitrary target will risk a dangerous trade off between quality

:22:37. > :22:40.and quantity. When I heard a call to my office about a young pep in

:22:41. > :22:44.Bristol South who has been asked to work from 7.00am to 7pm with poor

:22:45. > :22:48.support, it highlights the importance that driving towards the

:22:49. > :22:54.3 million target we must not ignore the quality of that experience and

:22:55. > :22:58.support to young people. I fear post 19 loans will deter people accessing

:22:59. > :23:03.training, which have a negative effect. So I look forward to

:23:04. > :23:08.reassurances from the minister. Earlier on today the Chancellor in

:23:09. > :23:14.his opening, did say to a member of his own side, I hope he extends it

:23:15. > :23:18.to others where constituency MPs raise vital services, this is a

:23:19. > :23:23.government that is listening, because in concluding this is not a

:23:24. > :23:26.party political issue. I make my points in the spirit of cooperation,

:23:27. > :23:29.what is best for the people of south Bristol who sent me here to

:23:30. > :23:35.represent their interest and this is key to their ambition and

:23:36. > :23:39.aspiration. Parents will have wanted a budget

:23:40. > :23:44.that would have said yes, we will make sure you get a good job, yes,

:23:45. > :23:49.we are going to make sure you get a decent amount of pay, whatever job

:23:50. > :23:54.you do, yes, we will make shoe you can keep as much of your tax as

:23:55. > :23:58.possible and yes, we will deliver a budget, make sure your children have

:23:59. > :24:03.a better future than you do and the Chancellor in his robust performance

:24:04. > :24:09.today has demonstrated that this budget can deliver on all three of

:24:10. > :24:11.those item, I was shocked to hear the response from the Shadow

:24:12. > :24:16.Chancellor in as much as he seemed to spend 20 minutes of his speech

:24:17. > :24:19.trying to hold the Chancellor to account, for something the

:24:20. > :24:25.Chancellor is not doing. That, I think is part of the problem with

:24:26. > :24:29.the party opposite have. There is no coherence in their approach to this

:24:30. > :24:34.Government. So what I would like to dos, is provide a bit of coherence

:24:35. > :24:42.in criticism on one aspect of this budget if I may. That relates to the

:24:43. > :24:47.sugar tax. I do that because it isn't what it says it is, it won't

:24:48. > :24:52.in my view will not raise the taxes that ares a scribed to it and it

:24:53. > :24:57.will not achieve the health benefits that were its original vaunted

:24:58. > :25:03.purpose. It is not a sugar tax, there will be no tax on sugar this

:25:04. > :25:08.cakes, in puddings, confectionary which may be great for food

:25:09. > :25:14.manufactures, and chefs. It is not a tax on sugar. In fact, it isn't even

:25:15. > :25:19.a tax on soft drinks because sugar in milk based drinks or fruit juices

:25:20. > :25:28.are not covered. Either in fact, it appears to be a tax not only sugar,

:25:29. > :25:29.but on five companies, Coca-Cola, Britvic, AG Barr, Vimto and

:25:30. > :25:42.Lucozade. I would say on that, government

:25:43. > :25:47.ought to be very careful about having specific taxes targeted on

:25:48. > :25:53.specific companies. They will be open to challenge. Thank you for

:25:54. > :25:58.giving way. Jeering the budget, the Chancellor made it very clear that

:25:59. > :26:02.one of the objectives of the sugar tax was to get companies to change

:26:03. > :26:07.their behaviour and have low sugar drinks rather than full sugar. I

:26:08. > :26:14.speak as someone who used to drink a lot of full sugar Vimto and now has

:26:15. > :26:16.no added sugar content. It is bizarre for the Government to attack

:26:17. > :26:24.a sector of British industry that has done a great deal of

:26:25. > :26:29.innovations. As my honourable friend rightly says, at the core of this is

:26:30. > :26:35.an issue about the impact on obesity. These statistics on obesity

:26:36. > :26:39.show that between 1993 and 2013 there was a doubling of obesity

:26:40. > :26:44.amongst adults. When it comes to children in that same report by the

:26:45. > :26:51.ONS, they say a proportion of these children in 2013 was 9.5%, higher

:26:52. > :27:00.than 2012 but lower than in 2006/ 2007. I would point out the products

:27:01. > :27:05.being targeted came from way before the issue of obesity. Irn-Bru, often

:27:06. > :27:10.described as the national drink of Scotland was originated in 1991. The

:27:11. > :27:14.Government is ignoring advice from Public Health England. In October

:27:15. > :27:20.2015, they said it is not possible to compare the impact of price

:27:21. > :27:28.increases achieved by the sugar tax on sweetened drinks. It is also

:27:29. > :27:32.about the impact of promotions in store on purchasing habits. The

:27:33. > :27:37.effect of restrictions on marketing and promotions may be greater than

:27:38. > :27:40.those from fiscal measures. I thank my honourable friend fray much for

:27:41. > :27:44.giving way. Do not think it is better for the Government to work

:27:45. > :27:48.with these companies and work with the amount of sugar in the drinks

:27:49. > :27:52.and bringing any form of tax? Or you're going to do is make it more

:27:53. > :27:57.expensive very often for poorer people to buy the drink. -- all you

:27:58. > :28:02.are going to do. If you reduce the amount of sugar, it is having a

:28:03. > :28:08.greater effect on diet. You speak with enormous sense and knowledge.

:28:09. > :28:13.It is absolutely right. It is better to engage the industry than

:28:14. > :28:19.arbitrarily imposed levy. I quote from the budget. The levy will

:28:20. > :28:24.operate with a specific revenue target of ?500 million for the

:28:25. > :28:29.second year of implementation. Then it says, from a pre-behavioural

:28:30. > :28:35.yield of over ?900 million, behavioural responses lower the

:28:36. > :28:40.yield to ?500 million. As a new tax likely to prompt a large behavioural

:28:41. > :28:45.response, these estimates are subject to significant uncertainty.

:28:46. > :28:51.There we have it. Not a clue at all. Thank you for giving way was surely

:28:52. > :28:58.the idea behind the two-year lead into the sugar levy is the right way

:28:59. > :29:01.to go. It is saying to manufacturers reformulate. Surely the future of

:29:02. > :29:07.our children and their health is more important than anything else.

:29:08. > :29:12.The health of our children is extremely important. As I have just

:29:13. > :29:15.said, this sector is one of those sectors that is already innovating.

:29:16. > :29:20.Remarkable reductions in the sugar content of soft drinks compared with

:29:21. > :29:24.other sectors with no changes in that area at all. There are some

:29:25. > :29:28.queries about whether it will achieve the impacts on health that

:29:29. > :29:32.is supposed to make. In Mexico, when the sugar tax was recently

:29:33. > :29:39.introduced, the calorie rejection amounted to six calories a day.

:29:40. > :29:42.Madam Deputy Speaker, this is a regressive measure, much against the

:29:43. > :29:47.principles the Chancellor himself rightly outlined as the overall,

:29:48. > :29:53.overarching ethos of the budget. I will give way again. Would he agree

:29:54. > :29:57.with me that this tax with so many ambiguities is simply indulging our

:29:58. > :30:02.fellow British chefs in giving them credence, more than they deserve? I

:30:03. > :30:07.could not be more delighted to have given way to the honourable lady

:30:08. > :30:12.opposite. She is quite right. The sugar tax is a passion of the TV

:30:13. > :30:19.chef, Mr Jamie Oliver. He is just the latest in a line of celebrities

:30:20. > :30:24.to use his position to influence public policy. Think people like Mr

:30:25. > :30:29.Russell Brand, Mr Benedict Cumberbatch. To quote the

:30:30. > :30:31.Independent newspaper, the chief beneficiaries of star-studded

:30:32. > :30:37.attempts to raise the profile of a good cause are the celebrity

:30:38. > :30:44.themselves. So, Madam Deputy Speaker, can we have a new levy on

:30:45. > :30:49.policy pronouncements by well-heeled celebrities, who sprinkle their fame

:30:50. > :30:52.to dazzle ministers into ill thought through changes, so that the levy

:30:53. > :31:00.can pay for the unintended consequences of the brief, highly

:31:01. > :31:05.jaundiced opinions, on the public. Emma Thomson's announcement should

:31:06. > :31:12.alone secure the defence budget. Thank you. The Chancellor of the

:31:13. > :31:15.Exchequer's budget and the figures reported by the Office for Budget

:31:16. > :31:19.Responsibility, considered by many as a contradiction in terms with the

:31:20. > :31:25.mysteries yet again the Chancellor's ability to adequately manage the

:31:26. > :31:28.economy he has failed in several key economic indicators and missed

:31:29. > :31:33.targets set by Tories will stop notably debt, deficit and borrowing

:31:34. > :31:37.levels are even worse than promised last autumn. Given time constraints,

:31:38. > :31:40.I will mention a few the problems I have seen with the budget before

:31:41. > :31:47.focusing on an issue of real concern that has not been adequately covered

:31:48. > :31:50.by others. Inflation, the forecast shows inflation is set to see a

:31:51. > :31:57.significant rise from as close to zero... I will give way. Does my

:31:58. > :32:01.honourable friend agree that a sharp rise in inflation can have a

:32:02. > :32:05.negative impact on working households? I thank you for your

:32:06. > :32:16.intervention. I agree with my honourable friend. With the sterling

:32:17. > :32:21.depreciation and uncertainty created by the EU referendum, consumer

:32:22. > :32:27.inflation has begun to rise. OBR has predicted the CPI will rise from .7%

:32:28. > :32:34.to 1.6% next year. Likewise the retail price index is set to rise

:32:35. > :32:39.from 1.7% this year to 3.2% in 2017. Such a spike in inflation can impact

:32:40. > :32:43.negatively, as my right arm ball friend mentioned, across the

:32:44. > :32:49.economy. It means many households around the country and my

:32:50. > :32:54.constituents in households that are already struggling will see the

:32:55. > :32:58.price of necessities rise at a time they can least afford it. Exports

:32:59. > :33:08.which are already weak will likely see further decline. Sales fell from

:33:09. > :33:16.521,000,000,020 -- 2013 to 513 billion in 2014. No surprise it will

:33:17. > :33:20.fall short of this target by 300 billion. That has been touched on by

:33:21. > :33:26.the right honourable member for Hartlepool. On business investment,

:33:27. > :33:29.touched on by my honourable friend brought East Lothian and my

:33:30. > :33:37.honourable friend for Hartlepool, more bad news for the business

:33:38. > :33:42.investment with the OBR predicting business investment will only grow

:33:43. > :33:46.by 2.6% this year, substantially lower than the 7.4 predicted three

:33:47. > :33:53.months ago in the Autumn Statement. Furthermore, the investment at 2019

:33:54. > :33:58.will be 10% lower than predicted in December. So far, not so good.

:33:59. > :34:04.Moving on to an area of concern for myself on page 27 of the red book.

:34:05. > :34:09.The Government expects to lose 25 billion from the sale of The Royal

:34:10. > :34:14.Bank of Scotland. There are several factors and I feel this prize may be

:34:15. > :34:21.somewhat exaggerated. Focusing on this issue, I would point out that

:34:22. > :34:25.between 2011 and 2014, RBS arranged 14.3 billion in leveraged loans to

:34:26. > :34:29.the oil and gas industry. It has been a leader among key banks in

:34:30. > :34:39.arranging these high risk loans. The falling price of oil has resulted in

:34:40. > :34:51.the default rates of these loans increasing. Many are in the form of

:34:52. > :34:58.collateral loan obligations. It remains uncertain how many of these

:34:59. > :35:02.loans RBS still has on its books, hence my concern for that 25

:35:03. > :35:05.billion. I would like to take a minute to highlight what I see is a

:35:06. > :35:11.failure on the part of this government to the risk to the

:35:12. > :35:19.financial system in relation to the price of oil. A number of US lenders

:35:20. > :35:23.with large active presence in UK markets have high energy exposure,

:35:24. > :35:29.due to leveraged lending on the oil/ gas sector. JP Morgan has 13.8

:35:30. > :35:34.billion outstanding debt relating to loans. Of the roughly 100 billion in

:35:35. > :35:43.leveraged loans it issued to the oil and gas sector between 2011 and

:35:44. > :35:49.2014. Wells Fargo arranged 20,000 leveraged loans to that sector in

:35:50. > :35:55.that period. 17.4 billion of these are already outstanding. Alarm bells

:35:56. > :36:03.should be ringing somewhere. When the price of Brent was at $50 a

:36:04. > :36:07.barrel it was predicted, if the price of oil is to continue to fall,

:36:08. > :36:16.there is a stark parallel with the collapse of the US property prices

:36:17. > :36:20.index. The systemic risk inherent to the financial system due to these

:36:21. > :36:24.high yield loans and the slice and dice nature of derivative products

:36:25. > :36:29.relating to these loans which have been sold to investors are not even

:36:30. > :36:34.mentioned in the most recent bank of England stress test results.

:36:35. > :36:42.Finally, Madam Deputy Speaker, in the year since 2007 and 2008, the

:36:43. > :36:45.Tory government has demonstrated its expectations that the most

:36:46. > :36:50.vulnerable in society should pay the price for these institutions. The

:36:51. > :36:57.bureau of investigative journalism found most of the funding came from

:36:58. > :37:04.the city. This budget has clearly highlighted the fact this attitude

:37:05. > :37:08.has not changed, as is evidenced in the ?3.5 billion of cuts. Madam

:37:09. > :37:11.Deputy Speaker, this budget again is not good enough. If the Chancellor

:37:12. > :37:18.really wants to be head boy, he should heed his report card which

:37:19. > :37:22.should read, must do better. Thank you, Madam Deputy Speaker. Before I

:37:23. > :37:29.start, in the five minutes I have, can I first of all condemned the

:37:30. > :37:34.outrage in Brussels today? Those who perpetrate it have my symphonies and

:37:35. > :37:39.prayers -- those who perpetrated it, my civvies and prayers go to the

:37:40. > :37:48.loved ones of those who have had any losses. May I put in a plug for the

:37:49. > :37:51.armed police in Dorset and around the country and the capital as well

:37:52. > :37:58.that more money is spent on training? I know full well the

:37:59. > :38:02.convocations of storming buildings and dealing with civilians fleeing

:38:03. > :38:06.from bombs, as they were doing in the departure lounge this morning.

:38:07. > :38:13.The chaos surrounding it, the blood, the Gore, the mess, the noise. To go

:38:14. > :38:16.into a building that has been attacked, as an armed policeman, you

:38:17. > :38:26.need an incredibly high degree of training. I am grateful to my

:38:27. > :38:29.honourable friend for giving way. The Prime Minister did say after

:38:30. > :38:33.Bataclan that he would support continued funding for the police,

:38:34. > :38:37.particularly the armed police. I agree. I am making the point. I

:38:38. > :38:41.welcome comments from the Prime Minister. What I am expanding on

:38:42. > :38:47.this need for highly specialist training. You need buildings, images

:38:48. > :38:51.that can change as you attack, different lights, all sorts of

:38:52. > :38:54.things to make this sort of very highly strategic attack you would

:38:55. > :39:01.have to do. Our armed police will not be able to stay outside and wait

:39:02. > :39:05.for the special air they would have to get in and save lives, as I am

:39:06. > :39:12.sure they would do. I do not doubt their courage and dedication. What I

:39:13. > :39:18.am questioning is they should look very carefully at the money

:39:19. > :39:22.available to meet what appears to be sadly and tragically a more common

:39:23. > :39:27.use of the assaults we have seen this morning. Talking of military,

:39:28. > :39:32.may I congratulate my right honourable friend, the Chancellor,

:39:33. > :39:36.for resorting to military tactics. They say attack is the best form of

:39:37. > :39:40.defence of his robust performance in the House of Commons today was a

:39:41. > :39:45.very good example of that. Can I welcome much in the budget, raising

:39:46. > :39:52.the tax-free personal allowance, increasing the higher threshold,

:39:53. > :40:00.freezing beer and cider duties. Cutting taxes. Small businesses, may

:40:01. > :40:04.I claim my next remark at the opposite benches. We heard the

:40:05. > :40:07.Shadow Chancellor saying it is a tax cut for the rich. Can I remind them

:40:08. > :40:13.the businesses that are the engine room of the country, they risk their

:40:14. > :40:18.homes to invest in businesses and for many years struggled to make a

:40:19. > :40:22.profit? They then pay for all the people we tried to get work and make

:40:23. > :40:32.fast risks. The money they keep the more they

:40:33. > :40:37.can re-invest in their companiesches it is not a matter of people jetting

:40:38. > :40:41.off in their 747s and I know, because I have been to many

:40:42. > :40:43.businesses, as I am sure they have in their constituency, small

:40:44. > :40:49.engineering companies are having to buy equipment that is worth, 6, 7,

:40:50. > :40:54.800,000 and the profits are minimal. We need to help them for the future

:40:55. > :40:58.of our country, and for the future of those wanting to get back in to

:40:59. > :41:03.work. I agree with my honourable friend about the sugar tax, I have

:41:04. > :41:08.doubts on that and I hope the front bench will relook that the. Can I

:41:09. > :41:12.ask them about the effect of raising the threshold of, business rates on

:41:13. > :41:18.small businesses and taking some out of it all together. I understand,

:41:19. > :41:23.unless, I am sure one will correct me if I am wrong, more and more

:41:24. > :41:27.local authorities will rely more and more on business rates because

:41:28. > :41:32.central Government funding will be reduced to zero. If that is the

:41:33. > :41:35.case, and we are going to take businesses out of business rates

:41:36. > :41:40.which I applaud, don't get me wrong, where is it going to come from for

:41:41. > :41:43.small rural councils like mine? I would be grateful when the minister

:41:44. > :41:48.sums up, if he could give an answer to that particular question. Can I

:41:49. > :41:54.just touch on the personal dependent payments and all that has gone on,

:41:55. > :41:57.may I too pay my huge praise to the member, right honourable member for

:41:58. > :42:01.Chingford who has dedicated so up many of his life, having been the

:42:02. > :42:04.leader of his party, a lesser man would have gone into a cave and

:42:05. > :42:08.stayed there. Not this man, he went out there and he did all he could

:42:09. > :42:16.and has done for the poorest in our society and I commend him for it.

:42:17. > :42:22.Can I look at one aspect of this particular tax, and this particular

:42:23. > :42:29.PIP payment and what concerns me, what I found in my surgeries, many

:42:30. > :42:36.constituent say they have been unfairly assessed, and it is a tick

:42:37. > :42:41.box culture, I have never liked tick boxing, what happens is in. So

:42:42. > :42:46.cases, their support is withdrawn while the case is assessed. This,

:42:47. > :42:49.despite the fact many have doctors certificates explaining why they

:42:50. > :42:57.need the money they are going to get. Can I urge, urge, urge, please,

:42:58. > :43:01.the Government we really look at the assessing system. We need

:43:02. > :43:04.occupational therapist, we need family member, doctors, all to

:43:05. > :43:09.contribute, yes it is more expensive probably but least then we will get

:43:10. > :43:13.the assessment right. Rather than causing huge distress to frankly

:43:14. > :43:18.those who least can deal with it, by taking away what support they have

:43:19. > :43:24.and giving back to them, ex months later when an MP has got involved. I

:43:25. > :43:28.make the point we have infenced everything to the front bench. What

:43:29. > :43:33.can we stop ring-fencing and there are savings to be made in overseas

:43:34. > :43:42.aid, which can can spend and target far better.

:43:43. > :43:45.May I start by associating myself with the member South Dorset made

:43:46. > :43:50.about the dreadful situation we saw in Brussels today. This debate has

:43:51. > :43:54.seen more like a concern about astronomy than budget. We have all

:43:55. > :44:01.been talking about black holes, but there is a very clear analogy to be

:44:02. > :44:05.drawn, people will remember that Stephen has been, described what was

:44:06. > :44:10.called the black hole paradox, the idea that information would

:44:11. > :44:16.disappear into a black hole, never to be restored again, despite all

:44:17. > :44:20.matter that was to be held forever. What an analogy for the budget we

:44:21. > :44:24.face today, where we have no information about how it is going to

:44:25. > :44:27.stack up. Our colleagues in local Government would rightly be

:44:28. > :44:31.horrified. So where can we find information about the impact of this

:44:32. > :44:35.budget? We can find it our constituencies and in those people

:44:36. > :44:39.who we represent, and in the time I have, I want simply to offer three

:44:40. > :44:43.areas of information on which we can judge the Chancellor's work. First

:44:44. > :44:49.of all, on personal debt, secondly then on savings and finally on

:44:50. > :44:53.productivity, three areas, into which this budget singly fails the

:44:54. > :44:57.British people. Because we know it is not by accident that personal

:44:58. > :45:02.household debt in this country is doing up and up and up. -- going up

:45:03. > :45:04.and up and up. Unpress dented is the term the Office for Budget

:45:05. > :45:10.Responsibility uses for the Chancellor's plans when it comes to

:45:11. > :45:15.the impact on our constituents, that unsecured personal debt will reach

:45:16. > :45:18.3% of GDP and stay there. It is indeed a black hole into which the

:45:19. > :45:22.Chancellor issing is the public to pour their own money to pay for his

:45:23. > :45:27.mistakes, just how bad is it? The Bank of England tell us that people

:45:28. > :45:34.are now borrowing a billion pounds a month in this country, just in

:45:35. > :45:38.January alone people put ?500 million on their credit cards, Aviva

:45:39. > :45:43.tell us the average family debt is 13,00 pounds. Up 4,000 from last

:45:44. > :45:46.summer alone. Now those on the opposite benches who are casual

:45:47. > :45:50.about credit miss the point. Not even is paying the same levels of

:45:51. > :45:54.credit. Some are being charged excessive amounts for the credit.

:45:55. > :45:58.The debts they are getting into to pay for this Chancellor's mistake,

:45:59. > :46:04.the member for South Dorset talks about people putting their houses up

:46:05. > :46:08.to fund businesses but many in our community, home ownership is a dream

:46:09. > :46:13.they have long given up on. When we see wages have risen 4% in the last

:46:14. > :46:18.few years but house prices have gone up 76%, we know every single penny

:46:19. > :46:23.matter, and that is why it is such a problem that people are in these

:46:24. > :46:27.levels of debt. This Chancellor is banking on the British habit of

:46:28. > :46:31.borrowing. It is like putting Wayne Rooney in charge of a stocktake in

:46:32. > :46:35.the Nike shop. It is about the fact we are nation that can't savement we

:46:36. > :46:40.are saving just 4% of our disposable income, half as much as we were four

:46:41. > :46:46.years ago, the lowest levels of personal saving since 1963. So help

:46:47. > :46:51.to save will do little to those 26 million people in our country, who

:46:52. > :46:54.don't have access to ?1,000 for an emergency, they have no rainy day

:46:55. > :46:59.money under this Government's watch. Lifetime Isas are out of reach for

:47:00. > :47:03.those people who have too much month at the end of their money.

:47:04. > :47:07.So we are seeing a situation of rising personal debt, and low or no

:47:08. > :47:13.savings at all, into which wages are now stalling. That has an impact on

:47:14. > :47:18.public finances too, it will lead to lower tax receipt, they are down ?44

:47:19. > :47:22.billion on the projections made in 2011, so yes, that is why we on this

:47:23. > :47:27.side are angry when we see those who will do well are those who can well

:47:28. > :47:30.afford to pay for it. That 80% of the games -- gains from this budget

:47:31. > :47:35.will go top to the top half of the income distribution and half of that

:47:36. > :47:38.to the top 20%. Debt is locking people out of opportunities, I will

:47:39. > :47:43.happily give way. Is the member also wear the very act

:47:44. > :47:52.of running a budget surplus, taking more out than you put in, forces the

:47:53. > :47:57.public sector, the public accounts into private borrowing, increasing?

:47:58. > :48:01.The member, my long held concerns about the way the government is

:48:02. > :48:06.managing, we don't have time to go into the depth that is PFI or PF 2

:48:07. > :48:10.which will lead to many of the problems we are been say we get we

:48:11. > :48:14.want to get the deficit down because every penny we are paying in

:48:15. > :48:17.interest, every penny with are paying is money that could be going

:48:18. > :48:21.into investing in our people, it is money that could be going into

:48:22. > :48:25.investing in the public services that our communities need to suck

:48:26. > :48:30.said. That is the point, it is not just the damage it is doing today to

:48:31. > :48:33.people, the destitution they face today, it is narrowing of the

:48:34. > :48:39.horizons it presents for tomorrow too. Because we see this Government

:48:40. > :48:43.singly failing to deal with the productivity gap Britain faces, the

:48:44. > :48:49.18% difference between ourselves and our competitor, failing to invest in

:48:50. > :48:52.our young people, by the end of this Parliament, China intends to produce

:48:53. > :48:57.195 million graduates and it is not just China that is investing in its

:48:58. > :49:00.people. It is Brazil. Russia, Argentina, these are the country,

:49:01. > :49:04.the graduates our children will have to compete with and this Government

:49:05. > :49:08.is offering them nothing by return, and we see the consequences for

:49:09. > :49:13.them, in that productivity gap. We see when the Government is trying to

:49:14. > :49:16.force every school to become an academy abjecting their own

:49:17. > :49:19.responsibility. How different from a year ago when we sat here and

:49:20. > :49:22.listened to a Chancellor claim he was fixing the roof, that Britain

:49:23. > :49:26.would be able to walk tall again. It seems to me this is one of those

:49:27. > :49:30.builders you see the Watchdog programme about. I would encourage

:49:31. > :49:33.the British people to go to Trading Standards about them but the

:49:34. > :49:37.Government's cut that service too. They are left with their only

:49:38. > :49:42.alternative which is to look to an alternative party of Government,

:49:43. > :49:47.which is the Labour Party. To offer a genuine investment in

:49:48. > :49:53.young people, a recognition of why fiscal responsibility matters this

:49:54. > :49:56.is a black hole sucking everything out of this country, including

:49:57. > :50:02.hopefully the Chancellor's career. A pleasure and honour to follow the

:50:03. > :50:08.member for Walthamstow, who as a graduate of physics and maths from

:50:09. > :50:18.Liverpool university, the fact she managed to get Steven hawkings and

:50:19. > :50:24.Wayne Rooney in her speech at the same time I applaud her. Can I add

:50:25. > :50:29.my condolences to the victims in Brussels and to their family, I was

:50:30. > :50:33.in Brussels shortly after the Paris attacks, and the degree of security

:50:34. > :50:38.that was being implemented there demonstrated that I were on high

:50:39. > :50:43.alert already, and clearly it is a devastating tragedy that has taken

:50:44. > :50:48.place there. In terms of the budget, we should be clear unfortunately the

:50:49. > :50:53.events of the past few days seem to have overshadowed a remarkably good

:50:54. > :50:57.budget from the Chancellor. A position where by reductions in

:50:58. > :51:02.business taxes, to promote growth to allow people to have the dignity of

:51:03. > :51:05.earning a living, rather than having a life on benefits should be

:51:06. > 3:44:10applauded by all sides, rather than condemned. I trust that