:00:07. > :00:24.Order, order. New Southgate Cemetery Bill third reading. Tuesday 7th of
:00:25. > :00:34.March. Questions to the Chancellor of the Exchequer. I would like to
:00:35. > :00:41.group this question with question 12. Annual funding to the Department
:00:42. > :00:44.of Health is already being increased by ?17 billion by 2020/ 21. This
:00:45. > :00:53.reflects the priority the Government puts on investing in the NHS. The
:00:54. > :01:00.governments of Germany, Holland, Sweden and Denmark spent 9% of GDP
:01:01. > :01:04.on health care about 7% in the UK. This is a massive difference. The
:01:05. > :01:12.NHS is underfunded. If the Chancellor going to take this
:01:13. > :01:19.seriously in the budget? The OECD has put out revised numbers to show
:01:20. > :01:23.the UK has expenditure on health close to some of those other
:01:24. > :01:29.countries. We can only have a properly funded NHS if we have a
:01:30. > :01:36.strong economy and it is only this party that can deliver. When lives
:01:37. > :01:45.are on the line, it is imperative we get it right. We need honesty about
:01:46. > :01:50.what the current NHS crisis means. Will the Minister agree that the
:01:51. > :01:58.Government needs to provide a long-term package to guarantee NHS
:01:59. > :02:01.services for the future? It was this Government that announced a
:02:02. > :02:08.long-term financially sustainable package which is why in real terms
:02:09. > :02:15.funding for the NHS will increase by ?10 billion above inflation by 2020
:02:16. > :02:22./20 one. Since 2010, there are 2300 more people attending A
:02:23. > :02:28.departments. 5000 more operations every day, 1400 more people every
:02:29. > :02:35.day treated for mental health conditions and the NHS is conducting
:02:36. > :02:41.16,000 more diagnostic tests every day. The Department of Health has
:02:42. > :02:48.cut its capital budget by 20% and used that for running costs to pay
:02:49. > :02:53.for salaries. Did the Treasury press for these cuts in capital spending
:02:54. > :02:57.and does the Chief Secretary agree with me that raiding the capital
:02:58. > :03:03.budget is no way to find efficiency savings? It was the request of the
:03:04. > :03:07.health service and Department of Health that there was this which
:03:08. > :03:14.from capital to resource but in terms of finding efficiencies in the
:03:15. > :03:18.NHS and in the public sector as a whole, it is important we deliver
:03:19. > :03:24.sustainable efficiencies and ensure we get value for money for the
:03:25. > :03:28.taxpayer. Whilst I welcome this Government's commitment to health,
:03:29. > :03:31.may I invite my right Ron Ball friend to take a leaf out of
:03:32. > :03:42.President Trump's book and increase expenditure by 10% flooded from the
:03:43. > :03:48.budget? In naughty idea but it has nothing to do with the Department of
:03:49. > :03:53.Health budget. The minister is a dextrous fellow and I'm sure he can
:03:54. > :04:00.answer in an orderly way. Although it may have a tenuous link with the
:04:01. > :04:07.question, it was a predictable question with my right honourable
:04:08. > :04:14.friend. We are delivering on that 2% plus expenditure on defence and we
:04:15. > :04:18.are increasing defence spending in real terms and it is important we
:04:19. > :04:28.have a strong economy so we can fund our defence. This shocking
:04:29. > :04:32.revelation that NHS business services Ltd misplaced half a
:04:33. > :04:38.million pieces of medical data as a direct result of a health service
:04:39. > :04:40.that is being squeezed by the Chancellor's purse strings, the Tory
:04:41. > :04:47.Government is putting patient safety at risk through lack of resourcing
:04:48. > :04:49.and a targeted savings drive. When the Chancellor reassess the
:04:50. > :04:57.situation and the level of NHS funding? On the level of NHS
:04:58. > :05:02.funding, she will find that the expenditure has gone up more in
:05:03. > :05:07.England than it has in Scotland and given that it is a devolved matter,
:05:08. > :05:14.she might want to raise her concerns with the Scottish Government. Will
:05:15. > :05:18.he confirm record amounts of money are being spent on the NHS and
:05:19. > :05:22.record numbers are being treated and he will bring forward clear
:05:23. > :05:32.incentives for local authorities and health services to join up the
:05:33. > :05:36.delivery of NHS and social care? He is correct in terms of the resources
:05:37. > :05:41.we are putting in but it is also important if we want to improve the
:05:42. > :05:45.quality of health care in the context of social care, that there
:05:46. > :05:50.is greater integration and that is why we announced the better care
:05:51. > :05:51.fund that is making an important contribution and improving
:05:52. > :06:02.integration. The chair of the Treasury Select
:06:03. > :06:07.Committee is spot-on. If the Chancellor does discuss any increase
:06:08. > :06:15.in levels of funding, when he point out to the Health Secretary that the
:06:16. > :06:21.report says he should stop plundering NHS funds? In particular,
:06:22. > :06:32.that is what it said. We ask him to stop his repeated raise on NHS
:06:33. > :06:39.capital funds and stop ?950 million out of 4.5 million. Can I
:06:40. > :06:47.congratulate the gentleman to his post. He is my eighth shadow as a
:06:48. > :06:59.Treasury minister so I look forward to sparring with him over the weeks
:07:00. > :07:05.ahead. In terms of the question he asks, let me repeat what I said
:07:06. > :07:09.earlier. In terms of the budget settlement of the NHS and the
:07:10. > :07:12.balance between resource spending and capital spending, it was an
:07:13. > :07:18.agreement that was reached with the Department of Health and in terms of
:07:19. > :07:20.that switch towards more resources, it was something that was pushed by
:07:21. > :07:38.the Department of Health. 4000 agent operations cancelled,
:07:39. > :07:43.18,000 people in January waiting on trolleys, ?4.6 million cut from
:07:44. > :07:47.social care, so when those funding levels are discussed with the
:07:48. > :07:51.Department of Health, will he tell he's -- his colic that he should be
:07:52. > :08:03.caring for the NHS, not giving it a lethal injection. If they could move
:08:04. > :08:07.beyond the level of black cord -- Black design, that might help. Let
:08:08. > :08:12.me be clear we are putting more money in the NHS. The NHS is
:08:13. > :08:15.providing more support and help to people than it has done before and I
:08:16. > :08:21.listed some of the achievements since 2010. This Government remains
:08:22. > :08:25.committed to the NHS and why it has been a priority in our public
:08:26. > :08:32.spending plans for the last seven years. You need to speed up in terms
:08:33. > :08:36.of questions and answers. The Government will drive a community
:08:37. > :08:41.and growth in Yorkshire by investing in its infrastructure, developing
:08:42. > :08:45.the secures -- is people and its companies. We announced the four
:08:46. > :08:52.local enterprise partnerships covering Yorkshire will receive ?26
:08:53. > :08:58.million to back local priorities and support new jobs as well as ?3.7
:08:59. > :09:02.million extra investment to bolster its resistance. Will the Chancellor
:09:03. > :09:07.join me in welcoming recent investments by the likes of Boeing
:09:08. > :09:23.and McLaren in Yorkshire and will he continue to see more
:09:24. > :09:30.investment it is important we support small and medium enterprises
:09:31. > :09:33.and the Northern Powerhouse investment fund will have a remit to
:09:34. > :09:42.support smaller businesses across the North. 14 months after the
:09:43. > :09:48.devastating storm either floods, it is welcome news for people in my
:09:49. > :09:52.constituency that a restaurant is opening tomorrow but many other
:09:53. > :09:55.businesses in my constituency are still struggling with astronomical
:09:56. > :10:00.increases in the costs of insurance and we still don't have a date for
:10:01. > :10:07.having proper flood defences in my constituency. What assurance can
:10:08. > :10:16.make Chancellor give us that will show he has not forgotten about us?
:10:17. > :10:19.We have put additional money into flood defence spending. I take on
:10:20. > :10:24.board the comments the honourable lady has made about the delay others
:10:25. > :10:31.are experiencing and I will look at the fax. In relation to Yorkshire. I
:10:32. > :10:38.would love to visit that restaurant, by the way. My right honourable
:10:39. > :10:44.friend will know that Boeing is a major employer in the UK and the
:10:45. > :10:49.opening of Boeing Sheffield as it is going to be known as, is a major
:10:50. > :10:53.manufacturing plant which is the only one of its type to be
:10:54. > :10:59.introduced into Europe. Is this not a major endorsement by Boeing of
:11:00. > :11:09.post-Brexit Britain? It is an endorsement by a global
:11:10. > :11:13.company, our major vote of confidence in the British economy.
:11:14. > :11:17.It is also of course a reflection of this government's policy that where
:11:18. > :11:23.we place large contract for military equipment, as we have done with
:11:24. > :11:28.Boeing, we will insist on some compensating investment in our
:11:29. > :11:34.economy, so that investment in our military capability pays for jobs,
:11:35. > :11:47.skills and investment in the UK. The Chancellor referred to the let's.
:11:48. > :11:53.Will see look at what further powers can be given to the LEPS, regarding
:11:54. > :11:57.deciding priorities for regional infrastructure investment and also
:11:58. > :12:01.the skills agenda? Will he bring them together to talk about what
:12:02. > :12:07.needs to be done in terms of prioritising the potential we have
:12:08. > :12:12.four at in word investment in terms of Brexit? We are keen on LEPs
:12:13. > :12:17.across Britain working together. These large pots of devolved funding
:12:18. > :12:27.including some of the money I announced in the Autumn Statement,
:12:28. > :12:32.ensuring it can be used across an economic geography coherently. I
:12:33. > :12:41.would encourage them to work together. Yorkshire is home to some
:12:42. > :12:45.of the country's finest financial institutions, the Yorkshire bank and
:12:46. > :12:50.the Yorkshire Building Society. Like all financial institutions in the
:12:51. > :13:00.UK, they will be keen to understand what the government's plans are
:13:01. > :13:06.regarding Brexit? We need to know how things will be made certain.
:13:07. > :13:13.These are reasonable questions. Can we start to have some answers? They
:13:14. > :13:22.are perfectly reasonable questions. I'm not sure the Skipton building
:13:23. > :13:27.society is holding its breath on how equivalence will work. But these are
:13:28. > :13:33.matter for negotiation. If we end up with an equivalence regime to allow
:13:34. > :13:36.financial services and businesses to continue to trade in the European
:13:37. > :13:41.Union, it will be important that is an equivalence regime based on
:13:42. > :13:46.objective criteria, not political criteria. So long as our regulatory
:13:47. > :13:56.regimes are in fact equivalent, we can be confident of being able to
:13:57. > :13:59.continue to trade. As honourable members will know, national
:14:00. > :14:07.insurance contributions are primarily used to fund state
:14:08. > :14:14.pensions. A portion is used for the NHS. Beyond that, the government's
:14:15. > :14:18.plans to ringfence national insurance contributions for health
:14:19. > :14:25.and social care. Thank you for the answer. Can she look into this as a
:14:26. > :14:28.means of deep politicising the debate and ensuring long-term
:14:29. > :14:34.funding not just today but for decades to come for health and
:14:35. > :14:39.social care. I understand her core point. The government has taken
:14:40. > :14:45.action to ensure the NHS has the funding it needs by increasing its
:14:46. > :14:49.annual budget by ?10 billion above inflation by 2021. Were mindful of
:14:50. > :14:53.the long-term challenges. If you look at issues recently highlighted
:14:54. > :14:59.by the Office for Budget Responsibility in the latest fiscal
:15:00. > :15:05.sustainability report, the laid out quite starkly. In terms of deed
:15:06. > :15:10.politicising, backing the NHS' own plan for its future in the way that
:15:11. > :15:24.we have done is the best way to do that. In 2010, I proposed a
:15:25. > :15:33.compulsory care levy. At the time, Conservative ministers showed
:15:34. > :15:37.pictures of my gravestone and called it a death tax. I read in the Times
:15:38. > :15:43.newspaper today that conservatives are considering it. Can this
:15:44. > :15:50.possibly be true? No. Given the fact we have the benevolent care fund, if
:15:51. > :15:53.he has any wriggle room in the forthcoming budget, can I ask him if
:15:54. > :15:59.he cannot have some transitional relief for social care until we can
:16:00. > :16:03.work out the best moral? The government has been clear on a
:16:04. > :16:07.number of occasions. We recognise that the pressures on the system,
:16:08. > :16:12.additional money has been made available through the social care
:16:13. > :16:20.precept. We are well aware of the pressures on the system as my
:16:21. > :16:25.honourable friend has said. His point is well made. How can it be
:16:26. > :16:31.right for those local authorities that are under the most pressure in
:16:32. > :16:35.terms of social care can raise the least amount through the council tax
:16:36. > :16:39.precept that this government's policy around social care has
:16:40. > :16:51.produced. East Riding Council can raise 56% more than half and yet
:16:52. > :16:55.it's demand is less. The better care fund adjusts for that and there are
:16:56. > :16:59.a range of ways in which we are responding to these pressures which
:17:00. > :17:06.we acknowledge in the social care system. We recognise the need to
:17:07. > :17:12.enhance public infrastructure across all regions of the UK. In the Autumn
:17:13. > :17:24.Statement la Stuart Kuttner we announced new capital for the
:17:25. > :17:27.productivity fund. We are spending ?1.1 billion on local projects to
:17:28. > :17:38.improve our existing transport networks. As the UK automotive
:17:39. > :17:42.sector continues to embrace new technologies, ensuring the necessary
:17:43. > :17:50.energy supplies are in place is of increasing importance. What support
:17:51. > :17:53.can the government give to the Midlands regarding electric
:17:54. > :17:59.vehicles? The Midlands is home to some of the world's leading
:18:00. > :18:05.automotive manufacturing and is also home to some cutting-edge battery
:18:06. > :18:09.technology research, including by the Warwick Manufacturing group at
:18:10. > :18:14.Warwick University. He is right. If we are going to electrify the
:18:15. > :18:21.vehicle fleet, we have to also make sure that clean, sustainable,
:18:22. > :18:24.reliable supplies of electricity are available to meet the needs of the
:18:25. > :18:31.economy in the 21st century and our national Infrastructure Plan does
:18:32. > :18:35.exactly that. Yorkshire will no longer benefit from EU structural
:18:36. > :18:41.funding. How will the Chancellor meet this shortfall? As we have made
:18:42. > :18:46.clear, the arrangements we have with the European Union and with any of
:18:47. > :18:50.the organisations and funds that the European Union operates remain to be
:18:51. > :18:55.discussed during the negotiation phase. If he is right and we end up
:18:56. > :18:58.not participating in such arrangements in the future, we will
:18:59. > :19:07.clearly have to make separate similar arrangements on a UK only or
:19:08. > :19:10.indeed on an individual nation within the UK basis. Alongside
:19:11. > :19:13.large-scale investment infrastructure such as the
:19:14. > :19:18.Thameslink upgrades, relatively small amounts of money on local
:19:19. > :19:23.roads and station facilities can rapidly improve journey times and
:19:24. > :19:30.therefore boost productivity? I agree. It is often the smaller local
:19:31. > :19:35.projects that deliver the greatest benefit. They don't have the same
:19:36. > :19:39.kind of grandstanding possibilities around them and therefore they are
:19:40. > :19:44.not always quite as favoured. They are often the most effective way of
:19:45. > :19:54.intervening. They can often be delivered very quickly by local
:19:55. > :19:59.levels of government. The Chancellor simply did not answer my friend for
:20:00. > :20:05.Barnsley. The UK Government's funding and investment in London has
:20:06. > :20:09.always way outstripped any other region. The OECD says that we have
:20:10. > :20:17.had no regional policy since 2010. What will happen in investment in
:20:18. > :20:20.the north when Brexit occurs? We will continue to invest in our
:20:21. > :20:23.economy and the distribution of that investment will be in accordance
:20:24. > :20:27.with the government's priorities. I think she should look at the
:20:28. > :20:30.industrial strategy paper that has been published and she should look
:20:31. > :20:36.at statements that the government has made, including around the
:20:37. > :20:42.national infrastructure, the National productivity fund that we
:20:43. > :20:45.announced in the autumn. We are committed to infrastructure
:20:46. > :20:53.development in all regions of the UK. That is a key element of our
:20:54. > :20:56.productivity agenda. In order to effectively support infrastructure
:20:57. > :21:01.investment, we will meet ups kill our workforce to deliver the kinds
:21:02. > :21:09.of projects we need. Especially regarding high-tech projects. Does
:21:10. > :21:15.the Chancellor agree that we need investment now to get the skills
:21:16. > :21:20.pipeline filled. I will take that as a budget representation. Yes, I do
:21:21. > :21:23.agree. We set out and Autumn Statement how we would increase
:21:24. > :21:33.investment in infrastructure. That is one of the challenges we face in
:21:34. > :21:41.raising this country's productivity. Skills is another. The deal in
:21:42. > :21:49.Swansea has the ability to boost productivity. The proposals have
:21:50. > :21:52.support of the Welsh Government, universities and local companies.
:21:53. > :22:01.When can we expect support from the government? Discussions are ongoing.
:22:02. > :22:09.I hope it will be concluded within the next eight days. I note the
:22:10. > :22:15.constructive meeting we had yesterday with representatives from
:22:16. > :22:21.across the beer and Pub sector. The Treasury has received representation
:22:22. > :22:25.from a number of other organisations and individuals with suggestions for
:22:26. > :22:35.what should be in the budget, including on beer duty. The pub and
:22:36. > :22:45.the beer industry contribute 10 billion in tax and employ 1 million
:22:46. > :22:55.people. In the last government, we have cut beer duty. Will she
:22:56. > :23:00.consider cutting beer duty? Of course we recognise the contribution
:23:01. > :23:05.of the beer and pubs industry across the UK. In particular, I am aware
:23:06. > :23:11.from my previous job the role that pubs have in promoting responsible
:23:12. > :23:20.drinking. It is worth noting that the public finances as soon alcohol
:23:21. > :23:32.duties rise by RPI each year, so there is a cost to freezing or
:23:33. > :23:37.lowering beer duty. Labour's law cider duty has led to a fantastic
:23:38. > :23:46.renaissance of cider drinking and orchard planting in England. If the
:23:47. > :23:51.differential is lowered further, it will do untold damage. I am well
:23:52. > :23:55.aware of the sensitivities around the duty bands and we have received
:23:56. > :23:59.a number of representations. I'm very aware of the Renaissance in the
:24:00. > :24:05.industry the honourable gentleman referred to, but also in the number
:24:06. > :24:09.of micro-breweries and the flourishing investment in that area.
:24:10. > :24:19.That have been an number of good news stories in this sector in
:24:20. > :24:29.recent years. Super-strength white ciders are very harmful and cheap.
:24:30. > :24:36.Will the government take seriously minimum unit price of alcohol? I am
:24:37. > :24:39.extremely well aware of the points he makes, not least because of the
:24:40. > :24:46.role I last held in government, and we look carefully at all these
:24:47. > :24:50.things, particularly regarding white cider. The government continues to
:24:51. > :24:54.support small businesses to access the finance the need to grow through
:24:55. > :25:01.the British business bank, which is supporting almost ?3.4 billion of
:25:02. > :25:06.finance, 254,000 smaller businesses. In the Autumn Statement, I asked for
:25:07. > :25:15.an additional ?400 million of funding for the bank. We doubled the
:25:16. > :25:22.small business rates relief. 600,000 small businesses occupy a third of
:25:23. > :25:30.all business properties and will pay no rates at all. The Federation of
:25:31. > :25:35.small business has researched into this and has said over a third of
:25:36. > :25:43.small businesses expect to see an increase in rates as of April. In my
:25:44. > :25:49.constituency, it has led to businesses telling me the expect to
:25:50. > :25:53.see jobs and businesses cut. Will he now commit to writing the wrong in
:25:54. > :25:55.his budget and will he support Labour's 5-point plan to help small
:25:56. > :26:05.businesses through the revaluation? The last thing small businesses
:26:06. > :26:12.needed help from the Labour Party. That would be the final straw for
:26:13. > :26:16.most of them. As we have already said, we recognise some small
:26:17. > :26:23.businesses are facing substantial percentage increases, even when the
:26:24. > :26:27.amounts may not be very large. That is difficult for businesses to
:26:28. > :26:31.absorb. We have committed to coming forward with the proposal that will
:26:32. > :26:38.address those most hard-hit by that phenomenon. The actual business
:26:39. > :26:44.rates payable by Tesco five minutes walk from the centre is ?220 per
:26:45. > :26:47.square metre where as the delicatessen in the centre of town
:26:48. > :26:56.will pay ?500 per square metre. Isn't this system of rating
:26:57. > :27:01.valuation needing to be re-examined? It is what it is and reflects the
:27:02. > :27:05.rental value of properties. I would readily acknowledge that in an
:27:06. > :27:08.economy which is changing shape rapidly, where the Digital economy
:27:09. > :27:13.plays a larger role and where some of our prisoners -- biggest
:27:14. > :27:16.businesses are not based on bricks and mortar, there are some
:27:17. > :27:20.significant challenges for us. We need to look at them. In the
:27:21. > :27:27.short-term and medium term, business rates play a vital role in providing
:27:28. > :27:33.revenue to the Exchequer and from 2020, it will be used to support
:27:34. > :27:37.local authorities. In York, many businesses playing -- paying
:27:38. > :27:41.inflated rates but from overseas landlords putting up the rateable
:27:42. > :27:46.value and business rates are sky-high. The revaluation has caused
:27:47. > :27:51.some businesses to have it increase in detriment to the local economy
:27:52. > :27:54.and the high street. But the Treasury work to put a review on the
:27:55. > :28:01.business rate system because the model is broken? I will say
:28:02. > :28:04.something more about the medium and longer term challenges around
:28:05. > :28:11.business rates when I deliver my budget of the House next week. She
:28:12. > :28:15.would not want to alarm anybody in her constituency and she will know
:28:16. > :28:22.that nobody will see their rates bill go up by 600%. Nobody will see
:28:23. > :28:29.their rates bill go up by 600% and the damping mechanism make that
:28:30. > :28:32.clear. Rateable values may go up by very significant amounts but I will
:28:33. > :28:38.have more to say next week about this. I welcome the Chancellor's
:28:39. > :28:42.promise to explain more in the budget next week as to what he will
:28:43. > :28:48.be doing about about business rates but does he recognise that in taxing
:28:49. > :28:53.our towns and villages around the UK, he is in danger of changing the
:28:54. > :28:58.culture at the heart of our community and not just raising money
:28:59. > :29:04.for the Exchequer? I recognise the concern my honourable friend
:29:05. > :29:08.outlines and it is for this reason as well as for reasons of the
:29:09. > :29:13.economic sustainability of individual businesses that we have
:29:14. > :29:20.said we will look at how we can best help those most seriously affected.
:29:21. > :29:28.Excellent businesses like dams bakery, Railway Tavern and Elsie's
:29:29. > :29:31.Kevin in areas like Crouch end have made representations. Can he confirm
:29:32. > :29:38.he will look at the business rates evaluation? What I can do is look at
:29:39. > :29:42.the business rates play valuation. That is an independent exercise that
:29:43. > :29:50.is undertaken by the valuation office agency. If past experience is
:29:51. > :29:54.anything to go by, of the 2 million business properties revalued, 1
:29:55. > :29:58.million will lodge appeals. There will be a process of reviewing the
:29:59. > :30:02.way the valuations have been conducted. What I have said I will
:30:03. > :30:10.do is look at those small businesses who are facing the largest increases
:30:11. > :30:14.and see how we can help them. Can I welcome the Chancellor's commitment
:30:15. > :30:19.to look again at small business rates, taxation and the budget. The
:30:20. > :30:22.big four supermarkets are getting a 6.9% cut in their business rates.
:30:23. > :30:29.Come the Chancellor consider setting that at zero and using that money to
:30:30. > :30:34.soften the blow on small businesses? I don't think that is the way to
:30:35. > :30:37.proceed. The business rates revaluation reflects the underlying
:30:38. > :30:43.value premises and it is an inconvenient fact that some large
:30:44. > :30:46.organisations have premises in low belly areas and some small
:30:47. > :30:52.organisations have premises in high-value areas. The Chancellor was
:30:53. > :30:57.right to talk about access to finance but most small businesses
:30:58. > :31:00.require and depend on lending from safe high street banks. Can I ask
:31:01. > :31:06.the Chancellor what discussions he has had with the banks to ensure
:31:07. > :31:10.they remain safe and continue to fund small businesses to benefit
:31:11. > :31:15.from the other fiscal measures? Dealing with the high-street banks,
:31:16. > :31:19.different high-street brands have different models but we have
:31:20. > :31:26.high-street banks who are progressively pursuing small and
:31:27. > :31:30.medium enterprise customers. I mean seeking their business, actively
:31:31. > :31:34.seeking their business. It is also important that we diversify the
:31:35. > :31:37.range of financing options available to small and medium enterprises and
:31:38. > :31:41.that is one of the reasons why we have pushed money through the small
:31:42. > :31:49.business bank to the media rates that can get equity and debt finance
:31:50. > :31:54.out to small and medium... The Chancellor will have seen the
:31:55. > :31:58.worrying signals from the US that the new President intends to roll
:31:59. > :32:01.back some of the regulation put in place to make banks safer. Can we
:32:02. > :32:05.have an assurance today that he doesn't intend to play follow my
:32:06. > :32:11.leader and deregulate the banks are necessarily here? We have a banking
:32:12. > :32:17.regulation system in the UK that does ensure our banks are safe and
:32:18. > :32:23.that it is tackling the two big to fail culture. We have a high level
:32:24. > :32:28.of confidence in our banking system and the reserve ratios of our banks
:32:29. > :32:33.are improving consistently. We don't want to do anything that would
:32:34. > :32:39.undermine that. Thank you for allowing me to join in today. The
:32:40. > :32:42.FSB has found over a third of small businesses will see significant
:32:43. > :32:49.increase in business rates whereas their four big superstores may see a
:32:50. > :32:53.5.9% reduction. Over 55% of those small businesses plan to reduce,
:32:54. > :32:58.postpone or cancel further investment. If the Chancellor is
:32:59. > :33:00.serious about addressing productivity, can he confirm what
:33:01. > :33:09.additional transitional relief you will provide to businesses facing a
:33:10. > :33:13.cliff edge? She is only repeating what I have acknowledged. Many small
:33:14. > :33:18.businesses that would be seeing big increases will be seeing them
:33:19. > :33:23.because they are coming out of small business rates relief and are facing
:33:24. > :33:28.the full rates regime for the first time. We understand the stress at
:33:29. > :33:31.that point as they come out of small business rates relief and we will be
:33:32. > :33:41.looking at how best we can address those who are worst affected by that
:33:42. > :33:45.phenomenon. The Government is taking action to give the UK the world's
:33:46. > :33:51.leading infrastructure it needs. The 1.7 billion superfast broadband
:33:52. > :34:01.programme will extend coverage to 95% of UK promises by the end of
:34:02. > :34:04.2017. We live in a period of unprecedented technological change
:34:05. > :34:09.and the Government should foster it in rural and urban areas. Can the
:34:10. > :34:18.secretary confirm that he will resist the cause of a new generation
:34:19. > :34:24.of Luddites to tax robots? I was going to make a joke about the Lib
:34:25. > :34:27.Dems but as they aren't in the Chamber, I will merely reassure my
:34:28. > :34:36.honourable friend that the Government has no current plans to
:34:37. > :34:41.introduce a robot tax. Current tax rules don't allow companies to set
:34:42. > :34:46.against tax the cost of research into mathematics. This is very out
:34:47. > :34:50.of date in an era of data signs and it is difficult from science and
:34:51. > :34:56.engineering. Good ministers take this as a budget representation
:34:57. > :34:59.please? We have significantly increased the tax credits and as a
:35:00. > :35:10.mathematician, I would agree that maths is always important. I would
:35:11. > :35:14.like to group this question would question 13. We recognise that the
:35:15. > :35:19.need to increase public spending on infrastructure is at the heart of
:35:20. > :35:29.our productivity agenda. That is why at Autumn Statement 2016 we
:35:30. > :35:33.committed ?23 billion additional capital to this. Commitment is made
:35:34. > :35:41.at Spending Review 2015, this means central Government investment in
:35:42. > :35:50.economic structure will rise by 60% between 2016/17 and 2020, 2021 from
:35:51. > :35:55.?14 billion to ?22 billion. I'm delighted the Chancellor has
:35:56. > :36:06.announced a ?25.7 million investment in Stubbington bypass. I commend my
:36:07. > :36:11.neighbour for her work. This is a great example of partnership and
:36:12. > :36:22.will be at catalyst for boosting jobs and creating jobs. At the
:36:23. > :36:26.bypass was well worth waiting for. It will support greater than
:36:27. > :36:32.development by improving access to the motor may Wake Road 27 and A27,
:36:33. > :36:38.allowing much-needed investment, creating new jobs but also enabling
:36:39. > :36:41.the development of 900 new homes. Where we can get transport
:36:42. > :36:45.infrastructure investment to perform, but also to help lower open
:36:46. > :37:01.up Langford of element for new homes, that is a double here. Can he
:37:02. > :37:05.confirm there will be infrastructure bonds and will he meet with funders
:37:06. > :37:18.to attract -- discuss their retractions? That is the lowest cost
:37:19. > :37:22.to the public purse. The Treasury does support bonds issued by the
:37:23. > :37:29.private sector through the UK guarantee scheme and that scheme
:37:30. > :37:37.will be extended. It has played a vital role in underwriting and
:37:38. > :37:50.guaranteeing finance for products. It allows a large number of projects
:37:51. > :37:53.without the Government guarantee. I agree on this answer. What steps has
:37:54. > :38:01.he taken to support and facilitate -- facilitate with them while
:38:02. > :38:07.Scotland on the lagoon project in Swansea following the Hendry review?
:38:08. > :38:15.We have received the Spending Review report and we are considering the
:38:16. > :38:18.merits of this and we are discussing it with the Welsh Government. Why
:38:19. > :38:27.does he believe the balance of infrastructure spending between the
:38:28. > :38:31.North and South East is fair? The Government is committed to
:38:32. > :38:36.addressing the infrastructure needs across the whole of the UK. We will
:38:37. > :38:39.look at how best to use the available infrastructure funds based
:38:40. > :38:44.on their value for money of the projects that are brought forward.
:38:45. > :38:47.Different regions of the country will receive different allegations
:38:48. > :38:54.according to the projects available in them for development. We have to
:38:55. > :39:00.be sensitive to the fact that lots of the -- lots of other people are
:39:01. > :39:07.trying to get in. It is knowing that other people want to take part. It
:39:08. > :39:11.is an elementary point. The Treasury discusses social care funding with
:39:12. > :39:13.the Department of Health and the Department for Communities and Local
:39:14. > :39:16.Government. We have introduced so cool -- social care presets and a
:39:17. > :39:23.grant for social care. Taken together those provided ?7.6 billion
:39:24. > :39:27.of dedicated funding for social care means councils can afford to
:39:28. > :39:32.increase spending on social care every year. The lack of funding for
:39:33. > :39:36.social care is having a devastating impact on those requiring care,
:39:37. > :39:42.carers and workers themselves. A 3% levy raises 2.8 million pounds watch
:39:43. > :39:48.Dale. It doesn't cover the cost of increasing the minimum wage for care
:39:49. > :39:53.workers. How does the Minister access that? It is not just about
:39:54. > :39:57.the council tax precept but we have got the better care fund coming in.
:39:58. > :40:03.We should accept this isn't just about money. There is a performance
:40:04. > :40:06.around the country and it is worth pointing out 50% of delayed
:40:07. > :40:13.discharges attributed to social care and they take place in only 24 local
:40:14. > :40:15.authority areas. Summaries have taken the difficult decision to
:40:16. > :40:23.increase council tax by 3% to protect social care including the
:40:24. > :40:26.island. Would the Secretary of State can -- consider finding ways to
:40:27. > :40:32.ensure councils have done all they can to help themselves and to
:40:33. > :40:39.recognise any Government support is made available now? My honourable
:40:40. > :40:42.friend raises an important point. There is a considerable amount of
:40:43. > :40:46.discretion of the local authorities in how much they want to prioritise
:40:47. > :40:50.social care. What is clear is the Government has given local
:40:51. > :40:59.authorities greater flexibility in terms of the council tax precept.
:41:00. > :41:16.In Number Ten. The government is focused on establishing city deals
:41:17. > :41:24.in Scotland. The government has published its White Paper on this
:41:25. > :41:29.strategy and is engaging with the Scottish Government. Having heard
:41:30. > :41:35.earlier of the investment in Yorkshire, what yet knowledge the
:41:36. > :41:50.Ayrshire growth deal would drive growth? As I have said before, we
:41:51. > :41:55.are focusing on city deals on cities. If the Scottish Government
:41:56. > :42:03.wishes to take forward projects to enable growth in Ayrshire, then it
:42:04. > :42:07.is able to do so. The UK's wine industry benefited from a duty frees
:42:08. > :42:26.of budget in 2015. The English wine industry is growing
:42:27. > :42:33.from strength to strength. In Sussex, there are five award-winning
:42:34. > :42:40.vineyards. At 2% reduction in duty would generate an extra ?358 million
:42:41. > :42:44.for the Treasury. Will it be considered next week in the budget?
:42:45. > :42:48.I heard these arguments directly from the Wine and spirits
:42:49. > :42:54.Association recently, along with parliamentary representatives from
:42:55. > :43:01.the all-party group. I listened carefully to the budget
:43:02. > :43:13.representations. We are ambitious for the deal. It is clear that in
:43:14. > :43:22.the interests of both sides, it is the end result which is important.
:43:23. > :43:27.US banks can locate subsidiaries in the UK and trade freely across
:43:28. > :43:33.Europe. What are the prospects for keeping all those jobs in the UK
:43:34. > :43:37.after Brexit? We want to ensure that British companies have the maximum
:43:38. > :43:41.freedom to trade and operate within European markets. Financial services
:43:42. > :43:47.is one of the areas where we have bold and ambitious agreement that we
:43:48. > :43:53.will be seeking. As the Minister continues his discussions on
:43:54. > :43:55.passports, will he ensure he maintains dialogue with trade bodies
:43:56. > :44:04.to make sure we have the best possible settlement? The Treasury is
:44:05. > :44:08.listening. We want the best possible deal and we should be clear, it is
:44:09. > :44:23.the end result not the mechanism which is important. I'm pleased to
:44:24. > :44:31.say the government is taking action. It is forecast to be 2.8% higher in
:44:32. > :44:37.2021 than last year. There can be fewer things more tragic than a
:44:38. > :44:43.treasury department in denial. The collapse of the pound will lead to
:44:44. > :44:47.higher prices in food and household technology. When will his department
:44:48. > :44:51.get their head out of the sand and bring forward proposals to help
:44:52. > :45:01.boost disposable income so that people can meet rising costs.
:45:02. > :45:07.Average earnings growth has now it stripped growth for 27 consecutive
:45:08. > :45:14.months. The recent figures for the ONS say that exports have grown and
:45:15. > :45:19.imports have fallen. Is not good for jobs and the economy and for a
:45:20. > :45:25.People's employment? It is good for jobs and the economy and indeed in
:45:26. > :45:32.Scotland for the Scottish whiskey industry. Topical questions. Lucy
:45:33. > :45:37.Powell. As we approach the beginning of the UK's negotiations with the
:45:38. > :45:45.European Union, my responsible -- principal responsibility maintains
:45:46. > :45:54.delivering principal measures regarding resilience in our economy.
:45:55. > :46:04.The package I announce next week will meet this objective. Going to a
:46:05. > :46:11.four day week is an option some hard-pressed schools are having to
:46:12. > :46:15.consider. Will the Chancellor use his budget to invest in our future,
:46:16. > :46:20.reduced the productivity gap and ensure we have a high wage high
:46:21. > :46:28.skill economy? There was a slight disconnect in those questions, but I
:46:29. > :46:33.will do those things. Dealing with the skills gap will be at the centre
:46:34. > :46:41.of the budget. What steps is the government taking to support
:46:42. > :46:46.economic growth through investment in the transport infrastructure and
:46:47. > :46:51.also support for small businesses? The government is taking forward
:46:52. > :46:56.plans for the lower Thames crossing, as well as major road upgrades. We
:46:57. > :47:03.are establishing a Thames Estuary growth commission to set out a
:47:04. > :47:18.commission for growth in that area. Last week, the government denied
:47:19. > :47:23.disabled people access to payments. The previous Chancellor absorb the
:47:24. > :47:30.costs last year. Are disabled people being denied benefits because the
:47:31. > :47:35.Chancellor is refusing to absorb these costs of the tribunal
:47:36. > :47:38.decision? We are restoring parliament's original intention
:47:39. > :47:43.around these payments, ensuring they go to the people that they were
:47:44. > :47:48.intended to go to and making sure that the benefits cat that is in
:47:49. > :47:59.place, part of our fiscal rules, is able to be met. One of those people
:48:00. > :48:02.contacted us. She has diabetes, depression and anxiety. She will not
:48:03. > :48:08.be extended support the courts have awarded her. After the announcement
:48:09. > :48:12.last night of further austerity measures by individual departments,
:48:13. > :48:19.this government is about forcing departments to meet spending targets
:48:20. > :48:26.to support his tax giveaways to the wealthy. Cutting the top rate of
:48:27. > :48:32.income tax to 40p in this Parliament. Otherwise it is clear he
:48:33. > :48:38.will want tax giveaways for the wealthy few and austerity for the
:48:39. > :48:42.most vulnerable in our society. You will have to wait until next week to
:48:43. > :48:48.find out what my proposals are. Let me be clear. We have said we have no
:48:49. > :48:52.plans for further welfare reforms in this Parliament. The welfare reforms
:48:53. > :48:56.we have legislated for have to be delivered. Original intent of
:48:57. > :49:03.Parliament in legislating those reforms has to be insured. In
:49:04. > :49:11.constituencies in London suburbs like mine, ordinary family homes are
:49:12. > :49:18.cot by the upper level of stamp duty land attack. If people are not
:49:19. > :49:26.moving at that level, they are not moving further down. Is it time to
:49:27. > :49:36.look again at the unintended consequences of the upper level
:49:37. > :49:40.stamp duty tax? Reforms were adjusted for the vast majority of
:49:41. > :49:48.home buyers in 2014. All transactions up to ?937,000 note pay
:49:49. > :49:54.the same or less in stamp duty land tax. I am aware of the phenomenon he
:49:55. > :50:01.describes. We really don't have a clear consensus of the market impact
:50:02. > :50:13.of the higher rate of STL tea for properties at the upper end.
:50:14. > :50:18.Systemic maltreatment of businesses requires action. Does the Chancellor
:50:19. > :50:26.accept there is a case for imposing a duty of care on banks with their
:50:27. > :50:37.dealings with small or medium-sized enterprises. This is carefully being
:50:38. > :50:44.considered and it would not be appropriate for me to comment whilst
:50:45. > :50:49.this process is ongoing. I have been conducting a survey in my
:50:50. > :50:54.constituency. Many people have raised concerns about road safety in
:50:55. > :51:01.our towns and villages. Could he informed me of any additional
:51:02. > :51:09.funding available for road safety? She makes an important point. Road
:51:10. > :51:13.safety is a key priority for the ?15.2 billion road investment
:51:14. > :51:19.strategy. It's also a case that in November we announced additional
:51:20. > :51:23.?175 million to improve the most dangerous roads in the country.
:51:24. > :51:27.Cardinal has received ?70 million from the local growth fund,
:51:28. > :51:37.including for local roads investment. Today we find that
:51:38. > :51:44.Casemiro has paid zero in corporation tax. What more is the
:51:45. > :51:51.Chancellor going to do to stop profit-making companies avoiding tax
:51:52. > :51:56.on his watch? I can't discuss the affairs of an individual taxpayer in
:51:57. > :52:00.this House. This government and its immediate predecessor have taken
:52:01. > :52:06.more steps over seven years than the previous government did over its
:52:07. > :52:12.whole 13 years in office to address abuse of the tax system and
:52:13. > :52:17.aggressive tax avoidance. -- Cafe Nero. In the past year,
:52:18. > :52:25.international tourist rates and spend grew faster in the south-west
:52:26. > :52:28.than London. Given the Mayor of London's plans for a Hotel Levy,
:52:29. > :52:38.will the Chancellor look again at cutting the rate of VAT on tourism?
:52:39. > :52:43.I agree that when a man is tired of London he can visit Somerset. While
:52:44. > :52:45.tourism growth across the UK is indeed very welcome and the
:52:46. > :52:53.government will look at all opportunities to support it,
:52:54. > :52:56.reducing VAT would cost up to ?10 billion. Money which is needed to
:52:57. > :53:11.underpin our public services and help to deal with our deficit. Can I
:53:12. > :53:17.urge the Chancellor to listen regarding funding local authorities?
:53:18. > :53:24.I will take those comments as a budget submission and will pass it
:53:25. > :53:32.on to the Secretary of State for communities and local. Billions of
:53:33. > :53:44.pounds in VAT on customs duties is not accounted for. Will he look into
:53:45. > :53:49.the case at Amazon and eBay that the Treasury gets the money they are
:53:50. > :53:57.entitled? The measures are forecast to raised ?875 million by 2021 and I
:53:58. > :54:02.would update the host to the fact that HMRC has already seen over the
:54:03. > :54:09.last year more than a tenfold increase in online non-EU businesses
:54:10. > :54:15.applying to register for VAT. Before the election, his predecessor
:54:16. > :54:26.pledged support for improvements to the real line between London and
:54:27. > :54:34.Brighton. The report was never released. It will be released
:54:35. > :54:40.shortly. Even a small amount of household debt can turn out to be
:54:41. > :54:44.unaffordable for many. It can turn into a personal financial nightmare
:54:45. > :54:48.for them and their families. When will the Treasury response to the
:54:49. > :54:54.excellent breathing space proposals to help people who are really trying
:54:55. > :55:05.to get on top of their household debts and give them statutory
:55:06. > :55:12.protection from scrupulous ruthless loners? We will report in due course
:55:13. > :55:18.shortly. Unsecured consumer credit is rising now at a level last seen
:55:19. > :55:24.before at the banking crisis. Does the Chancellor accept that is
:55:25. > :55:29.unsustainable? It cannot go on forever. Households have some
:55:30. > :55:32.capacity for debt and consumer borrowing and consumer spending has
:55:33. > :55:39.been an important component of the robustness of the economy over the
:55:40. > :55:42.last few months. What I hope to see during 2017 is business investment
:55:43. > :55:50.and exports providing a greater share of the growth during this
:55:51. > :55:52.year. I welcome this government's healthy commitment to scientific
:55:53. > :55:59.spending over the last several years. It seems the business --
:56:00. > :56:04.business investment is below the OECD average. Will he look at
:56:05. > :56:10.measures to increase private company business expenditure on research?
:56:11. > :56:20.As the Chancellor announced, the Government is increasing investment
:56:21. > :56:27.in RND come rising to ?2 billion a year. We have made the RND tax
:56:28. > :56:38.regime much more generous. We want to make sure the UK remains an
:56:39. > :56:43.attractive place. Given the neglect of social care spending in the
:56:44. > :56:48.Autumn Statement, and the straws in the wind that will be put right in
:56:49. > :56:54.the budget, will the Chancellor take account of the fact that in
:56:55. > :57:01.authorities like Wirral, we are having to deal with ?45 billion of
:57:02. > :57:05.depression because of our older people needing help. The increasing
:57:06. > :57:13.council tax will deliver us 22 million. I find it best not to
:57:14. > :57:18.comment on straws in the wind but I would say I recognise the pressure
:57:19. > :57:24.that many authorities are under from underlying democratic -- demographic
:57:25. > :57:33.trends. We are alert to that concern and we will seek to address it in a
:57:34. > :57:38.sensible and measured way. For people moving into residential care
:57:39. > :57:42.homes, the means tests take into account the value of their home but
:57:43. > :57:47.if they were applying for a carer in the own home, the means test does
:57:48. > :57:52.not take into account the value of their home. Does the Chancellor
:57:53. > :57:55.agree there should be one system of means testing, whatever state
:57:56. > :58:01.funding people are applying for? Persist that my honourable friend
:58:02. > :58:04.refers to has been around for many years and predates the purchase
:58:05. > :58:11.agreements which all local authorities to people contributing
:58:12. > :58:14.to their care. We need to look not just at individual specific aspects
:58:15. > :58:18.of this challenge but we need to look broadly at the question of
:58:19. > :58:24.making social care funding sustainable for the future in the
:58:25. > :58:29.face of a rapidly ageing population. Since 1994, the Government has
:58:30. > :58:34.received ?10 billion pension cash which could have benefited miners.
:58:35. > :58:38.The Treasury which says 153 million will be pocketed in the next three
:58:39. > :58:42.years. Will the Chancellor use the budget to look again at the
:58:43. > :58:47.injustice of the mine workers pension scheme? I have to say I
:58:48. > :58:52.don't recognise the numbers the honourable lady has given to the
:58:53. > :58:59.House but I will look at them and I will write to her accordingly. If
:59:00. > :59:01.that -- estate agents report that the number of transactions prime
:59:02. > :59:07.properties in London and elsewhere has fallen by 50% last year and the
:59:08. > :59:12.beginning of this year is even worse than the year before. If it were
:59:13. > :59:16.proven that tax revenues had fallen as a result of this profit --
:59:17. > :59:22.policy, would he be willing to review and change it? We have
:59:23. > :59:26.mentioned that there isn't a consensus of -- on what the data is
:59:27. > :59:36.saying but we keep them under constant review. Oil and gas
:59:37. > :59:40.received a passing mention in the industrial strategy and it was
:59:41. > :59:43.classed as a low priority in terms of the Brexit negotiations. Could
:59:44. > :59:48.the Chancellor commit to doing something to support the future of
:59:49. > :59:53.the oil and gas industry in the budget next week? She will have to
:59:54. > :59:57.wait and see that I am well aware of the concerns the industry is
:59:58. > :00:03.expressing. She has met with industry representatives and we
:00:04. > :00:08.understand what their principles are. Will he give a guarantee to the
:00:09. > :00:12.House that the details of the budget will be first revealed to this house
:00:13. > :00:21.and that we will not find out the details in the budget in this
:00:22. > :00:25.weekend's press? What I can do is give my honourable friend a
:00:26. > :00:30.guarantee that I will follow all proper procedures. I can't give him
:00:31. > :00:39.a guarantee that my following all probably sieges will lead to the
:00:40. > :00:43.outcome that he seeks. The former Chancellor said we -- withdrawn from
:00:44. > :00:46.the single market will be the biggest neglect of protectionism in
:00:47. > :00:49.the history of the UK and the Government has chosen not to make
:00:50. > :00:54.the Government priority. Is he launching a soft coup or has he got
:00:55. > :00:59.this Government bank to write for his economic vandalism? The
:01:00. > :01:03.gentleman understands very well that being a member of the single market
:01:04. > :01:11.was not an option for the UK given the clear views expressed by the
:01:12. > :01:15.electorate in the referendum. Having comprehensive access to the single
:01:16. > :01:20.market will deliver the great majority of the benefits that the
:01:21. > :01:25.honourable gentleman seeks from single market membership. 100,000 UK
:01:26. > :01:30.businesses are registered companies in the Republic of Ireland to hedge
:01:31. > :01:33.their best -- that's about the policy uncertainty caused by the
:01:34. > :01:38.Vote Leave the European Union. Can he urges Cabinet colleagues to give
:01:39. > :01:41.policy and regulatory certainty to industries like the chemical
:01:42. > :01:46.industry who want waiting to see what the Government is doing but
:01:47. > :01:54.simply haemorrhaging jobs and investment out of this country? I
:01:55. > :01:57.agree that certainty as soon as possible is important and
:01:58. > :02:00.understanding what is implement -- what is implemented will look like
:02:01. > :02:07.and what timescale is also important. I would urge her not to
:02:08. > :02:20.be hysterical about these things. Many companies are making
:02:21. > :02:25.contingency plans, including setting up and incorporating subsidiaries in
:02:26. > :02:29.other European Union countries. It is another step altogether to be
:02:30. > :02:33.moving jobs and enterprises abroad. Most of the companies we talked to
:02:34. > :02:37.have made clear there is more time yet for them to be reassured Jim
:02:38. > :02:48.this process before we see a revocable moves. The Treasury
:02:49. > :02:55.supported a launch assessment infrastructure report. It states
:02:56. > :02:58.clear where carbon capture and storage is required. Will the
:02:59. > :03:06.Treasury do the right thing and reinstate the funding for carbon
:03:07. > :03:11.capture storage? I was talking about carbon capture and storage and it is
:03:12. > :03:16.a matter for my right honourable friend, the Secretary of State and I
:03:17. > :03:23.will raise with him the point of the honourable gentleman has made. If it
:03:24. > :03:29.flows from discussions, point of order, Mary Creagh. In response to
:03:30. > :03:32.my question, the Chancellor of the Exchequer accuse me of being
:03:33. > :03:37.hysterical. Can we have a ruling from you as to whether this sort of
:03:38. > :03:41.sexist language to use to diminish women who make a reasonable point,
:03:42. > :03:42.that is the language that would not