:00:00. > :00:09."no". The ayes have it. Motion for an unopposed term. Thank you.
:00:10. > :00:13.Questions to the Chancellor the Chief Secretary to the Treasury. Mr
:00:14. > :00:19.Speaker, the key thing we can do to increase productivity is make sure
:00:20. > :00:22.we are investing in education, improving skills, more people going
:00:23. > :00:29.to university, doing apprenticeships and investing in rail and roads.
:00:30. > :00:34.Like the Scottish Government the UK Government voted for the public
:00:35. > :00:38.sector pay cap and this Government's so-called National living wage is
:00:39. > :00:41.not based on cost of living sought new measures will this Government
:00:42. > :00:48.bring in to provide people with the real liveable wage? What we have
:00:49. > :00:53.done is make sure basic rate taxpayers are paying ?1000 less tax
:00:54. > :00:59.by raising the personal allowance and we are also introducing the
:01:00. > :01:00.national living wage, bringing ?1400 rise in take-home pay for the lowest
:01:01. > :01:07.earners. getting the wage is make you have
:01:08. > :01:18.got the job of the Chief Secretary welcome the
:01:19. > :01:23.record fall in unemployment 342 year low, particularly for young people,
:01:24. > :01:30.giving them better opportunities in Britain and most other EU countries.
:01:31. > :01:34.-- to a 42 year low. We now have the lowest levels of unemployment since
:01:35. > :01:40.1975 and that is thanks to the economic policies pursued by this
:01:41. > :01:48.Government, improving skills, infrastructure and taking sensible
:01:49. > :01:51.decisions on public sector pay. As clearly demonstrated, the Government
:01:52. > :01:54.celebrates falling levels of unemployment without any critical
:01:55. > :02:01.analysis of the nature of that employment. Many residents in North
:02:02. > :02:04.West Durham are in work that exacerbates financial difficulties
:02:05. > :02:08.because pay is low, terms and conditions are poorer and they have
:02:09. > :02:12.not regular hours. Can the Minister opted the hose on the number of
:02:13. > :02:17.people on zero was contract and well they also accept looking at
:02:18. > :02:24.employment figures in a vacuum does not help if people are most secure.
:02:25. > :02:32.It is less than 3% of people on zero hour contracts. As recognised, many
:02:33. > :02:36.people want to have that flexibility in their work and to combine it with
:02:37. > :02:41.other things they do. What we need to do is make sure people have the
:02:42. > :02:46.skills to get better jobs in the future and that is exactly what this
:02:47. > :02:51.Government is investing in. With the Chief Secretary of Treasury
:02:52. > :02:57.joined in welcoming the fact since 2010 75% of the 2.8 million jobs
:02:58. > :03:03.created are full-time and zero I was contracts are just 3% of the entire
:03:04. > :03:07.jobs? Isn't it amazing nobody on the
:03:08. > :03:14.benches opposite have welcomed the fact we have got the lowest
:03:15. > :03:19.unemployment since 1975, lower youth unemployment, in fact, the model
:03:20. > :03:22.their policies on countries like Greece, with exceptionally high
:03:23. > :03:25.levels of youth unemployment and they take for granted the progress
:03:26. > :03:31.we have made over the past seven years.
:03:32. > :03:37.Let me welcome any jobs increase but when it comes to commenting on
:03:38. > :03:45.wages, doesn't the Chief Secretary agree it ill becomes a
:03:46. > :03:49.multimillionaire earning ?145,000 a year, admittedly in a temporary job,
:03:50. > :03:56.and living in the and favour properties, to attack public sector
:03:57. > :04:01.workers, hospital cleaners, nurses, teachers and firefighters, has been
:04:02. > :04:06.overpaid? Public sector workers pay has fallen an average of ?4000 in
:04:07. > :04:11.the first six years of this Government. One in five NHS staff
:04:12. > :04:17.have taken a second job. Teachers face a further cut of ?3000 by 2020.
:04:18. > :04:21.Does she not think the Chancellor should do the right thing and
:04:22. > :04:25.apologise? Yet again the honourable gentleman
:04:26. > :04:31.is not giving the house the full picture about what is happening with
:04:32. > :04:37.public sector wages. Last year teachers' pay rose by 3.3%. More
:04:38. > :04:45.than half of nurses and other NHS workers saw a rise of over 3%. The
:04:46. > :04:49.armed services saw a rise of 2.4%. The cleaner you talk about was not
:04:50. > :04:58.employed by the public sector, they are employed by Serco. Get his facts
:04:59. > :05:07.right. That is true, the Government privatised the jobs. And I note the
:05:08. > :05:11.Chief Secretary did not repute the fact the Chancellor said the staff
:05:12. > :05:17.are overpaid. The Chancellor tried to justify this attack by the
:05:18. > :05:25.classic divide and rule between public and private workers, citing
:05:26. > :05:31.public sector pensions. Is she aware these supposedly generous pensions
:05:32. > :05:36.pay on average the princely sum of 5000 pounds a year and that Lope has
:05:37. > :05:42.forced many public sector workers to opt out of the pension scheme -- low
:05:43. > :05:48.pay. 11% of NHS staff have opted out of the pension scheme and if that
:05:49. > :05:51.figure continues to ride it could undermine the whole scheme. Well she
:05:52. > :05:58.recognises Chancellor damage is causing and left the public sector
:05:59. > :06:04.pay cap so they can have hope of a decent future pension and fair wage
:06:05. > :06:07.settlement. The right honourable gentlemen has
:06:08. > :06:13.not acknowledged the figures I spoke about, the 3% rise for nurses, the
:06:14. > :06:19.teachers rise of 3.3%. He simply will not look at the facts. The
:06:20. > :06:22.reality is at the moment we have a situation where public sector
:06:23. > :06:26.workers are paid in line with the private sector which is right to
:06:27. > :06:31.allow the public sector and private sector to flourish so we can create
:06:32. > :06:37.wealth in the country and also public sector workers have a 10%
:06:38. > :06:45.premium on their wages in pension contributions. That is in the OBR
:06:46. > :06:50.report. Number two, please. I would like to answer this with question
:06:51. > :06:55.six. Debt has steadily declined since 2008 as a result of high
:06:56. > :06:59.levels of deficit. Says 2010 we have reduced the deficit levels by three
:07:00. > :07:05.quarters sought national debt will now peaked at just under 90% of GDP
:07:06. > :07:09.this year. As the risk report last week makes clear at this level of
:07:10. > :07:19.debt, the legacy of Labour's recession,
:07:20. > :07:26.this level of debt leaves us vulnerable to future shocks which is
:07:27. > :07:31.why the Government has committed to eliminating the deficit and level of
:07:32. > :07:36.debt as a share of GDP and as a result of the actions taken to bring
:07:37. > :07:41.public finances under control the OBR will now forecast debt will
:07:42. > :07:50.start following next year and will be below 80% of GDP by 2021 - 22.
:07:51. > :07:53.Those figures are welcome but cant my right honourable friend and firm
:07:54. > :07:57.were the Government to pursue a policy of wiping all outstanding
:07:58. > :08:02.student debts that would cost in excess of ?100 billion, or the
:08:03. > :08:05.national debt to surge and can also come from the biggest beneficiaries
:08:06. > :08:11.by far would be the top earning graduates? Might honourable friend
:08:12. > :08:15.is absolutely right and he might have added were anyone to suggest
:08:16. > :08:19.they were able to do that they could be accused of practising
:08:20. > :08:24.interception on the people they were offering that proposal to, and the
:08:25. > :08:28.cruelty of that would become apparent when that person had to lay
:08:29. > :08:33.to admit they could not possibly deliver it because I would say,
:08:34. > :08:37.honourable friend the challenge we face in this country is a debt
:08:38. > :08:41.challenge and you cannot borrow your way out of debt.
:08:42. > :08:46.The opposition would do well to acknowledge that. Stronger growth,
:08:47. > :08:50.sound public finances are the only sustainable way to deliver better
:08:51. > :08:56.public services, higher real wages and increased living standards.
:08:57. > :09:02.Does my right honourable friend agree the OBR study published last
:09:03. > :09:06.week shows that level is 89% of GDP, this highlights we must continue to
:09:07. > :09:12.be responsible with public finances to other in the uncertainty and
:09:13. > :09:18.ensure the colony continues to grow? My honourable friend is right to
:09:19. > :09:25.express concern about the vulnerability high levels of debt
:09:26. > :09:30.creates, it means if the economy were to face an external shock we
:09:31. > :09:34.would not be in the position to respond in a way we would ideally
:09:35. > :09:37.like to because of high levels of debt and that is why we must get
:09:38. > :09:43.that down and the only way to do so and get the deficit down which means
:09:44. > :09:49.responsible fiscal policy, not the kind of rubbish we hear coming from
:09:50. > :09:54.the front bench opposite. Mr Speaker, wasn't it clear from
:09:55. > :10:02.that OBR report it is a hard Brexit that presents the biggest threat to
:10:03. > :10:07.our national economy, 0.1% the trees and productivity could lead to a 50%
:10:08. > :10:12.increase over 50 years of debt to GDP of the reports are true the
:10:13. > :10:16.Chancellor is prepared to maybe champion a longer transitional
:10:17. > :10:19.period for the UK in the single market, can I say that is welcome
:10:20. > :10:23.news but it would also be something that might be able to secure a lot
:10:24. > :10:28.of support on all sides of the house.
:10:29. > :10:35.I welcome the contribution and an issue as important to our nation's
:10:36. > :10:39.future as our exit from the EU, I welcome any opportunity to build
:10:40. > :10:45.consensus across the House and the nation. He is right to draw
:10:46. > :10:49.attention to what the old BR pointed out, even a very small decline in
:10:50. > :10:55.our productivity performance would add huge amounts to debt and reduce
:10:56. > :10:59.by a significant amount is our projected growth in GDP. That is why
:11:00. > :11:04.it is so important we act responsibly in maintaining fiscal
:11:05. > :11:10.discipline and ensuring we reduce our debt over time. How is this
:11:11. > :11:17.consensus building going around the Cabinet table? Can the Chancellor
:11:18. > :11:21.update the House the assessment he has made on the trade deals that
:11:22. > :11:28.will be done after we leave the single market? That he knows Brexit
:11:29. > :11:32.is going to be a fiscal shock, as he challenged his colleague the
:11:33. > :11:34.Secretary of State and the Department for International Trade
:11:35. > :11:40.to disprove Treasury calculations that show there is no trade deal
:11:41. > :11:46.that we can do after leaving the EU that will make up for the huge loss
:11:47. > :11:51.of trade that Brexit will give us. The honourable lady is assuming that
:11:52. > :11:54.we lose trade with the European Union, I would say to her, it is
:11:55. > :11:58.clear to me all other things being equal, being able to enter into
:11:59. > :12:05.bilateral trade deals with third countries will be a positive for our
:12:06. > :12:11.economy. But we also want to protect our trade with the EU, my focus is
:12:12. > :12:14.on ensuring we get a Brexit deal which protects our existing patterns
:12:15. > :12:18.of trade and commercial engagement with the EU as well as, over time,
:12:19. > :12:24.allowing us to explore new opportunities. He will be aware of
:12:25. > :12:30.the current cost of Government borrowing is that low levels. Does
:12:31. > :12:34.he agree with me that if my kids lose confidence in our ability to
:12:35. > :12:38.live within our means the cost of borrowing will spiral, costing us
:12:39. > :12:45.billions of pounds meaningless to be spent on our public services? He is
:12:46. > :12:50.right to Warren of the danger of loss of market confidence in the UK
:12:51. > :12:54.fiscal policy and I am looking very hard at the honourable member for
:12:55. > :12:57.Hayes and Harlington, if my kids lose confidence in the fiscal policy
:12:58. > :13:04.they would reprice lending to the UK. We already spent more every year
:13:05. > :13:08.on servicing every doubt that we do on our Armed Forces and police
:13:09. > :13:13.services together. It would be doing a huge disservice to taxpayers in
:13:14. > :13:20.this country if we created the conditions that would cause the cost
:13:21. > :13:29.of that debt to rise. He has been forced to give ?1 billion pay-out to
:13:30. > :13:33.the DUP, cough up ?1.3 billion for a schools funding U-turn, scurry
:13:34. > :13:36.around ?2.2 billion to pay for his humiliating tobacco, and bail out
:13:37. > :13:42.his nightmare neighbour's social care receipt. I ask the Chancellor,
:13:43. > :13:50.why should this Has believed a word, a promise or a claim or a target
:13:51. > :13:54.that on reducing the debt? I am glad to see he was smiling by the end of
:13:55. > :14:06.that round. I don't know which planet he lives on, I don't feel
:14:07. > :14:15.enfeebled, and I can tell him... I can't tell him, I don't know what
:14:16. > :14:19.the opposition treasury front bench does all day but my right honourable
:14:20. > :14:23.friend the Secretary of State for Education in her statement yesterday
:14:24. > :14:28.made very clear at the way she has put extra money into the front line
:14:29. > :14:32.schools budget is by re-prioritising across the wider education budget
:14:33. > :14:39.and finding efficiencies across her department. That is the way to do a
:14:40. > :14:44.fiscally prudent protection. They have taken it off some children and
:14:45. > :14:51.given it to others. The national debt has risen by ?707 billion since
:14:52. > :14:56.2010 and is arising. It is barely a year since the Chancellor was given
:14:57. > :15:01.the keys to number 11 and in night-time public sector net debt
:15:02. > :15:07.has reduced according to the old BR, it has increased by 122 billion.
:15:08. > :15:11.Given that record, has he been given notice of eviction by the women in
:15:12. > :15:18.the bunker next or, perhaps they may leave Downing Street in the same
:15:19. > :15:22.removal van. The honourable gentleman, I say the honourable
:15:23. > :15:26.gentleman will know, perhaps you want to know, that public sector net
:15:27. > :15:32.debt will continue to grow until the deficit is eliminated. That is a
:15:33. > :15:37.simple arithmetic fact. His Government pushed our deficit up to
:15:38. > :15:42.almost 10% of GDP and we have spent the last seven years getting it down
:15:43. > :15:45.to 2.4% of GDP and we will carry on getting the deficit down so this
:15:46. > :15:49.country's public finances get back into balance, a responsible
:15:50. > :16:02.Government planning for Britain's future. Thank you very much. This
:16:03. > :16:05.Government is committed to supporting private investment, which
:16:06. > :16:09.finances around half of our infrastructure. We have a trusted
:16:10. > :16:13.and stable regulatory system and we have supported projects worth over
:16:14. > :16:17.?4 billion. We are introducing support such as the digital
:16:18. > :16:25.infrastructure investment fund which will excel in the roll-out of
:16:26. > :16:31.ultrafast network. The north Wales region hosts businesses like
:16:32. > :16:36.Kellogg's, Erebus, JCB. But we need competitive infrastructure in order
:16:37. > :16:46.to ensure we remain competitive. For that reason, can we please have the
:16:47. > :16:54.ability to deliver private sector investment. What are they going to
:16:55. > :16:57.do to deliver roads and rail? I do not recognise what the honourable
:16:58. > :17:03.gentleman says, investment in our infrastructure is at a record high,
:17:04. > :17:06.in roads and in rail, we are seeing investment in the south-east near
:17:07. > :17:12.capacity, in all modes of transport. The point is how we deliver that
:17:13. > :17:17.investment, it is a combination of public and private. He is right to
:17:18. > :17:21.champion his area, and he is right to highlight its impact on the
:17:22. > :17:28.economy. But to say we are not doing anything is factually wrong. One of
:17:29. > :17:31.the disincentives for a private sector to invest in infrastructure
:17:32. > :17:37.is the delay it takes to bring projects through to completion and
:17:38. > :17:40.commencement. The private sector is already committed to a significant
:17:41. > :17:44.contribution for a funding package for Crossrail but we have been
:17:45. > :17:48.waiting for a decision to take forward since March, will you do
:17:49. > :17:53.everything you can across Government to speed up that regional and
:17:54. > :17:56.national infrastructure project? I can see significant merits and
:17:57. > :18:00.Crossrail, just as I can see a significant merits in things like
:18:01. > :18:03.northern power hose reel and projects across our country and will
:18:04. > :18:10.take his point is and really lacked the Transport Secretary. Private
:18:11. > :18:14.investment thrives on stability, but we have a cabinet any state of
:18:15. > :18:22.anarchy when it comes to the terms of our exit from the Union. Does the
:18:23. > :18:26.Government agree with the side of the house an early announcement is
:18:27. > :18:30.essential? If he does, what is the Government's position on the latest
:18:31. > :18:35.date such arrangements could be announced? Or is it the case we are
:18:36. > :18:42.more likely to see a transitional Chancellor than a transitional deal
:18:43. > :18:46.in place? I am not speculating on the negotiations, that would be way
:18:47. > :18:50.above my pay grade. I would just prefer the honourable gentleman to
:18:51. > :18:53.the answer given a moment ago by the Chancellor of the Exchequer on the
:18:54. > :19:03.merits of a Brexit deal which secures our economic future. With
:19:04. > :19:07.your permission, I would like to answer this question with question
:19:08. > :19:15.seven. Infrastructure is at the heart of this Government's economic
:19:16. > :19:20.strategy and investments will boost productivity and growth. We have
:19:21. > :19:25.invested more than ?1 trillion. 7000 individual products have completed.
:19:26. > :19:32.Over 4 million homes have access to superfast broadband for the first
:19:33. > :19:39.time. Nearly 100 years ago the world's first radio broadcast was
:19:40. > :19:44.sent from Chelmsford. Does my honourable friend agreeing new
:19:45. > :19:49.digital infrastructure investment fund will get a massive boost to
:19:50. > :19:54.fibre and superfast broadband through the UK can continue to lead
:19:55. > :20:00.the world in digital and communications sectors? I thank her.
:20:01. > :20:04.I have learnt something about Chelmsford and its history and our
:20:05. > :20:09.digital infrastructure and radio infrastructure. This investment will
:20:10. > :20:13.boost Britain's Internet, make it more reliable and consistent, easier
:20:14. > :20:17.for people to live and work flexibly and boost productivity across the
:20:18. > :20:23.UK. Fibre is the technology of the future, just as radio was 100 years
:20:24. > :20:30.ago and this fund will assist capital to rule it out both in
:20:31. > :20:36.Chelmsford and the UK. Investment and infrastructure projects are
:20:37. > :20:39.absolutely key to keep our nation moving, partly bypass within my
:20:40. > :20:44.constituency was held just to do that and improved quality of life
:20:45. > :20:47.for my constituents. I welcome this funding through the national
:20:48. > :20:51.productivity investment fund. Would ministers meet with me to discuss
:20:52. > :20:58.the delivery of these projects which would affect my constituency? She is
:20:59. > :21:02.a great champion for her constituency and these projects. I
:21:03. > :21:11.have no doubt of the importance of the local brew. -- of them locally.
:21:12. > :21:13.The open up opportunities for development but also to believe the
:21:14. > :21:18.congestion in the heart of her constituency. I will make sure she
:21:19. > :21:25.meets with the transport team as soon as possible. The
:21:26. > :21:29.electrification of the great Western rail between Paddington and Swansea
:21:30. > :21:33.was to provide huge economic benefits for businesses along that
:21:34. > :21:38.you'll be lying. Unfortunately it has been overspent by 1.2 billion
:21:39. > :21:41.and 90 yard of the line has been electrified. What is the Government
:21:42. > :21:48.doing to ensure projects like this do not run over and do not waste
:21:49. > :21:50.taxpayers money in future? The efficiency we deliver our
:21:51. > :21:54.interceptor is a critical consideration when we are putting so
:21:55. > :21:58.much money to transform her into structure at a Government. The point
:21:59. > :22:01.he is making about Network Rail would have been heard by my
:22:02. > :22:09.honourable friend me transport team and I will highlight his comments to
:22:10. > :22:13.them. Last month, the Institute for Government produced a report on
:22:14. > :22:17.infrastructure spending that said decision makers do not know if the
:22:18. > :22:21.projects deliver value for money, we believe Parliament and the public
:22:22. > :22:25.are misinformed. What action is the Chancellor and his department taking
:22:26. > :22:31.to ensure future infrastructure and spent delivers value for money and
:22:32. > :22:36.costs do not spiral out of control? I would simply highlight the
:22:37. > :22:39.extremely rigorous business case process, which every single project
:22:40. > :22:45.has to go through before it receives approval. The idea that these
:22:46. > :22:54.schemes are not considered is simply wrong. The Scottish Government has
:22:55. > :22:58.committed to delivering 50,000 affordable homes by 2021. We
:22:59. > :23:03.recognise Coles Myer organisations like Shelter Scotland and Big Issue
:23:04. > :23:06.who believed in affordable housing. Why are they committing to only
:23:07. > :23:12.building 40,000 affordable homes in the same period? That is the
:23:13. > :23:14.question I would have to go to my colleagues and other departments and
:23:15. > :23:28.I will make sure of gross that the hear the comments. Question five, Mr
:23:29. > :23:32.Speaker. This Government believes in a tax regime that is fair and
:23:33. > :23:38.competitive since 2010 we have reduced the headline corporation tax
:23:39. > :23:45.from 28 to 19% allowing companies to boost wages, lower prices. Onshore
:23:46. > :23:51.corporation tax receipts have increased by over 50% despite
:23:52. > :23:54.lowering the rate. Would the Minister agree that if you raise
:23:55. > :23:59.corporation tax it is normally passed on by business to customers,
:24:00. > :24:06.and if you lower it, you'll hopefully believe that prices will
:24:07. > :24:10.come down? Movie-mac he is entirely right, it is important to remember
:24:11. > :24:16.the burden of corporation tax does not just fall on shareholders. If we
:24:17. > :24:21.were to follow Labour's policy we would see less investment, lower
:24:22. > :24:31.growth, lower productivity, and lower wages and higher prices. Thank
:24:32. > :24:34.you, Mr Speaker. Earlier the Chancellor acknowledged that
:24:35. > :24:39.productivity was the key to economic growth and eliminating our public
:24:40. > :24:44.sector deficit. When many factories and businesses invest they often
:24:45. > :24:49.lose any benefits of corporation tax reduction in higher business rates.
:24:50. > :24:53.This acts as a disincentive to invest, increase output and
:24:54. > :24:59.productivity. Why doesn't he cut business rates instead? This
:25:00. > :25:03.Government has done a great deal in terms of providing some release for
:25:04. > :25:09.business rates and they have been announced and previous budgets and I
:25:10. > :25:10.think our well-known to the House. There will be more to come on
:25:11. > :25:21.finance bill later. Could the Minister tell the house
:25:22. > :25:28.for how much the corporation tax take has gone up since the
:25:29. > :25:34.corporation tax rate has been cut? This is a very important point and
:25:35. > :25:41.as the corporation tax is the feast now to 19% we have seen a 50%
:25:42. > :25:50.increase which is around ?18 billion.
:25:51. > :25:53.Mr Speaker, most economists prioritise building business
:25:54. > :25:57.confidence and improving infrastructure over cutting
:25:58. > :26:01.corporate tax rates. Is the Minister aware loading corporate tax rates
:26:02. > :26:05.now present in Britain as trying to undercut those countries with whom
:26:06. > :26:10.we must agree a good Brexit deal at the very time when businesses are
:26:11. > :26:14.not confident in the Government was 's leadership but I gassed and
:26:15. > :26:20.confused at their approach to Brexit?
:26:21. > :26:24.Can I say we have seen a huge increase to employment in this
:26:25. > :26:31.country to a record level, record drop in unemployment to the lowest
:26:32. > :26:36.since mid-19 70s and a lot has been driven by business and if the
:26:37. > :26:40.honourable lady is seriously suggesting the recipe for increasing
:26:41. > :26:45.the confidence of business is to put up corporation tax to 26%, I'm
:26:46. > :26:52.afraid she has missed the point, I think.
:26:53. > :26:57.Question eight, Mr Speaker. I would like to answer this and want with
:26:58. > :27:01.question 13. Short-term indicators of growth are volatile, quarterly
:27:02. > :27:08.growth was eager .2% in the first quarter but this followed strong
:27:09. > :27:13.growth of 0.7% in the previous. The underlying economy is robust due to
:27:14. > :27:16.record employment levels. Recent rises in inflation caused mainly by
:27:17. > :27:25.the depreciation of sterling last year made temporarily dampen
:27:26. > :27:28.consumer spending, there are signs from surveys of business export
:27:29. > :27:35.orders and business investment are up.
:27:36. > :27:42.Chair of the charitably select committee.
:27:43. > :27:46.-- Treasury Select Committee. It is not be is the Chancellor agreed the
:27:47. > :27:53.global economy is needed to pay for essential public services. It will
:27:54. > :27:57.be aware of the OBR report that says Government should expect nasty
:27:58. > :28:01.fiscal surprises from time to time, I do not refer there to the Shadow
:28:02. > :28:08.Chancellor, and should plan accordingly. This also housed to
:28:09. > :28:13.manage the uncertainties posed by Brexit and soak it responsible
:28:14. > :28:17.Government should not make uncertainties even worse by the
:28:18. > :28:24.risks they take. Can I congratulate my right honourable friend. I very
:28:25. > :28:28.much welcome her to her role on the Treasury select committee and look
:28:29. > :28:34.forward to being drilled or posted or whatever the correct expression
:28:35. > :28:39.is by her in due course. She is exactly right that the only way to
:28:40. > :28:45.build resilience into the economy is having strong public finances and
:28:46. > :28:48.the only way to have a growing standard of living is rising
:28:49. > :28:51.productivity over the medium and long-term and that is what the
:28:52. > :28:54.Government policy is focused towards.
:28:55. > :28:58.These are still worrying times for many in the north-east of Scotland
:28:59. > :29:01.with the law oil price causing concern but would my right
:29:02. > :29:06.honourable friend agree it has been the strength of the UK economy, that
:29:07. > :29:14.the second-highest growing in G-7, that enabled this Government to two
:29:15. > :29:18.point ?7 billion of support to the industry?
:29:19. > :29:24.The UK oil and gas sector made a huge contribution to the UK economy,
:29:25. > :29:30.having paid over ?330 billion in production taxis to date and
:29:31. > :29:34.supporting over 300,000 jobs. In the next phase of the North Sea basin,
:29:35. > :29:38.as many fields come towards the end of their life we are working with
:29:39. > :29:44.industry to extract every drop of oil and gas but is economic to
:29:45. > :29:48.extract and we enable the commissioning and end of life feels
:29:49. > :29:52.to be operated in the most effective way.
:29:53. > :29:57.Much of the growth is related to the fact we're spending more on imports
:29:58. > :30:01.due to the low cost of the pound. The latest ONS figures reveal our
:30:02. > :30:08.trade in goods deficit has increased by 2.6 billion and the last quarter
:30:09. > :30:12.was now stands at ?34.3. Doesn't this and the impact of the extra
:30:13. > :30:17.cost on imports have an impact on the cost of our exports and affect
:30:18. > :30:21.our productivity? The honourable gentleman will know the short run
:30:22. > :30:28.effect of the DPC should install link would be expected to be a
:30:29. > :30:31.decline in our trade balance as we take in more expensive imports but
:30:32. > :30:36.over time and there are signs the economy is now doing this, the
:30:37. > :30:40.economy will adjust and exporters increasing the output to take
:30:41. > :30:45.advantage of weaker sterling and their greater competitiveness in
:30:46. > :30:50.international markets and those who would substitute imported product
:30:51. > :30:56.with the mess ones. Often the best way forward for small companies.
:30:57. > :31:01.One of the ways of reducing the deficit is to have economic growth
:31:02. > :31:06.rather than increase taxes or reduce spending. What steps is the
:31:07. > :31:10.Chancellor taking to produce economic growth and also how and has
:31:11. > :31:14.effort is being affected by those who continually topped the economy
:31:15. > :31:19.down, predicting dire effects on Brexit even though the predictions
:31:20. > :31:23.have proved wrong. The honourable gentleman is exactly
:31:24. > :31:30.right, those who talk the economy down are not doing the country any
:31:31. > :31:35.favours. It's not about borrowing or taxing more, it is about growing our
:31:36. > :31:40.economy faster, increasing productivity so we can have
:31:41. > :31:44.sustainable jobs, economic growth which produces the taxation to
:31:45. > :31:52.support our public services as well as rising living standards for our
:31:53. > :31:59.population. Number nine. Youth unemployment is at a record
:32:00. > :32:07.low of 5.1% of 16-24 -year-olds. This compares with 9.4% in 2009 and
:32:08. > :32:11.at the last Labour Government. -- under the last. I welcome the
:32:12. > :32:17.Minister's record unemployment figures this morning and sought
:32:18. > :32:22.youth unemployment is higher in my constituency that the UK average, so
:32:23. > :32:25.can I ask him to work with me and others to encourage more investment
:32:26. > :32:31.in my constituency and to Scotland as a whole? I am happy to work with
:32:32. > :32:37.my honourable friend because we recognise work is the best route out
:32:38. > :32:41.of poverty and household where there is unemployment are 13 times more
:32:42. > :32:50.likely to be in relative poverty than those in full-time work.
:32:51. > :32:56.I understand the minister as saying there is less unemployment, but
:32:57. > :33:00.where I am concerned is it is not just employment but also retention.
:33:01. > :33:07.Does the Minister agree with me now is the time hard working paying
:33:08. > :33:11.public sector workers got a pay rise they have earned and use scrap the
:33:12. > :33:16.cap? We can see the effects if we follow
:33:17. > :33:20.the honourable lady's policy by looking at youth unemployment rate
:33:21. > :33:27.elsewhere in Europe. If one looks and police, 45.9%, a whole range of
:33:28. > :33:35.countries, -- if we look at Greece. The best way of addressing poverty
:33:36. > :33:39.is helping young people and work. Government investment in Cheltenham
:33:40. > :33:46.cyber accelerators and 2015 is yielding results with numerous
:33:47. > :33:51.start-ups benefiting. Does my honourable friend entry mobilising
:33:52. > :34:00.the UK's sovereign expertise in these areas boost jobs for young
:34:01. > :34:06.people and opportunities? The GCHQ cyber accelerator is part
:34:07. > :34:09.of the Government's ?1.9 billion cyber security strategy, allowing
:34:10. > :34:15.business start-ups begin strategy to GCHQ's personnel and helps
:34:16. > :34:19.businesses expand, contributing to jobs and opportunities, including in
:34:20. > :34:23.Cheltenham, making the UK it's safer place online. This is something my
:34:24. > :34:29.honourable friend has worked very hard on for a considerable period of
:34:30. > :34:35.time and he makes an important point and how his constituency is leading
:34:36. > :34:40.in the UK and across the world. How does the Minister expect to
:34:41. > :34:44.reduce youth unemployment when they have cut further education budgets
:34:45. > :34:51.across the country, particularly in Coventry which has been cut by 27%?
:34:52. > :34:54.We are seeing a record numbers of people going to university and in
:34:55. > :34:59.particular seemed a record numbers of disadvantaged students going to
:35:00. > :35:03.university are those numbers will not be increased by being conned as
:35:04. > :35:10.to the idea student debt will be written off. There is always a first
:35:11. > :35:19.in this place, I have never known a ministerial swap to take place met
:35:20. > :35:23.answer. I assume it was inadvertent because the honourable member is
:35:24. > :35:29.nothing if not immaculate in his parliamentary manners. I put it down
:35:30. > :35:37.to error but I hope they know their own identity, I would be worried for
:35:38. > :35:50.them if they did not. Question ten, sir.
:35:51. > :35:53.Immaculate parliamentary manners but not parliamentary procedure,
:35:54. > :36:00.perhaps. I thought we had moved on. To answer the honourable gentleman,
:36:01. > :36:04.solar energy is a UK success story. In 2013 capacity was expected to
:36:05. > :36:11.reach around ten gigawatts by 2020 which is now expected to reach 13
:36:12. > :36:15.gigawatts by 2020. Feed in tariff provide an incentive for businesses
:36:16. > :36:20.to invest. The sun might be going down on the
:36:21. > :36:27.Chancellor's type and number 11 but it still remains an important source
:36:28. > :36:32.of energy and income for 44,000 micro-generators, including schools
:36:33. > :36:39.and hospitals. Says April they have seen the business rate increase by
:36:40. > :36:42.up to 800% in some cases and some employers of the technology are
:36:43. > :36:47.pulling out of the market. Well the Government reassessed the business
:36:48. > :36:53.rates paid on rooftop solar panels so we can give real growth to this
:36:54. > :36:58.important sector? The Government is continuing to
:36:59. > :37:02.support the take-up of solar panel through business rates and
:37:03. > :37:07.maintaining the exemption for new solar panels generating less than 50
:37:08. > :37:14.kilowatts of power. We have the cut in business rates announced in last
:37:15. > :37:18.year's budget, so the Government has listened to the voice from solar and
:37:19. > :37:27.we are keen to see progress on this and these schemes will help that.
:37:28. > :37:31.When the roll out -- will be wrote of solar panels to be at their
:37:32. > :37:38.Brexit with the Paris imposed on cheaper Chinese sales will be
:37:39. > :37:42.removed and we will no longer be dual -- reliant on the inefficient
:37:43. > :37:48.German industry? I thought he might be seeing the sun might be shining
:37:49. > :37:53.more brightly post-Brexit. Something he would normally do. We are keen to
:37:54. > :37:56.see the progress of solar and all renewables and we will have to see
:37:57. > :38:02.exactly what happens with pricing but the key thing is we will support
:38:03. > :38:08.it, as it is a key part of our power mix for the future. Sign that there
:38:09. > :38:11.I was thinking the Right Honourable member was taking an interest in
:38:12. > :38:15.energy saving because he has got six children. Apparently not. Is it not
:38:16. > :38:21.the reality the Government has cut support for solar because it will
:38:22. > :38:29.kill off any case for the horrendously and clear.
:38:30. > :38:35.They support directly from the board is also forced the cancellation and
:38:36. > :38:41.generating less through efficiencies and columns of skill production
:38:42. > :38:46.house costs come down social production. We thinking that the
:38:47. > :38:55.control support schemes. First and 11th. -- question 11. We
:38:56. > :39:00.have effective legislation to tackle upholders of the doctors and we plan
:39:01. > :39:10.to make it harder for them non-domiciles to withdrawing funds.
:39:11. > :39:15.We have seen 100 countries, to automatically exchanging financial
:39:16. > :39:18.information. The Conservative manifesto said it would take a more
:39:19. > :39:22.proactive approach towards transparency. But the minister
:39:23. > :39:27.believe enough is being done to tackle companies which promote tax
:39:28. > :39:32.avoidance schemes or is there still a tendency for the big former
:39:33. > :39:40.accountancy firms who regulates the big four by the big four in order to
:39:41. > :39:43.protect the big four? The lady muck asked if if enough is being done to
:39:44. > :39:49.clap and tax avoidance and it certainly is. -- the honourable lady
:39:50. > :39:52.asked. We have been clamping down on exactly those behaviours and in the
:39:53. > :39:59.forthcoming Finance Bill there will be further measures to make sure we
:40:00. > :40:00.are bringing in between seven and is building an addition in corporate
:40:01. > :40:11.tax avoidance measures. Would the Minister confirm that now
:40:12. > :40:16.the top 1% of people pay 27% of income tax and that is a higher
:40:17. > :40:23.proportion than under the last Labour Government? My honourable
:40:24. > :40:28.friend is right. The Labour Party will have you believe we are somehow
:40:29. > :40:37.being solved on the wealthy and hard on the less well off. The opposite
:40:38. > :40:41.is the case. The top 1% pay over 27% of tax, the wealthiest 3000 people
:40:42. > :40:46.and our country appear as much as the poorest 9 million. Under Labour
:40:47. > :40:52.the paid more attacks relative to the wealthy not less. No wonder
:40:53. > :41:06.under our policies income and a quality is up to 30 year low.
:41:07. > :41:14.Question number 12. Number 12. The minister at the box. Sorry, my
:41:15. > :41:18.apologies, Mr Speaker, the Government is committed to
:41:19. > :41:24.simplifying the tax system. In 2015 we asked to provide an independent
:41:25. > :41:28.assessment of the alignment of income tax, we are taking action in
:41:29. > :41:32.a number of places highlighted by the report. However alignment night
:41:33. > :41:39.would cause significant upheaval for millions and it is not the right
:41:40. > :41:44.time. I welcome my right honourable friend to his new ministerial role.
:41:45. > :41:48.Last year, bringing national insurance and income tax closer
:41:49. > :41:53.together would create a simpler and fairer system for a business and
:41:54. > :41:57.taxpayers. As national insurance and income tax revenues go into the same
:41:58. > :42:05.part, would it not be simpler and clearer to merge the two and have
:42:06. > :42:09.one single income tax? As I said, we do recognise the value of merging
:42:10. > :42:12.national insurance and income tax player that is practical and
:42:13. > :42:17.achievable and there are some measures coming up in the bills in
:42:18. > :42:21.the autumn that will address that in certain circumstances. To do that at
:42:22. > :42:25.this stage right across the piece is a long-term aspiration rather than
:42:26. > :42:30.one addressing in the short term. As people go into the higher tax
:42:31. > :42:35.threshold they stop paying work national insurance, would one of the
:42:36. > :42:37.impacts of merging the two be to reveal the British tax system is not
:42:38. > :42:47.as progressive as people think and make the case to pay more? I think
:42:48. > :42:50.he needs to recognise that national insurance and income tax function in
:42:51. > :42:54.different ways and have a different role with the tax system. We have
:42:55. > :43:02.one of the most progressive tax system is in the entire country. If
:43:03. > :43:07.you look at those earning above... We have, five and 511, and three to
:43:08. > :43:12.4 million people out of income tax altogether. If you look at those
:43:13. > :43:15.earning over 100,000, when we remove that allowance, that national
:43:16. > :43:24.insurance means the marginal rates are up to 62% at that level of
:43:25. > :43:28.income. Week usually value the work of public servants, teachers, police
:43:29. > :43:32.and nurses. That is why the arcade in line with the private sector.
:43:33. > :43:40.They receive a 10% increment on average for their pensions. We all
:43:41. > :43:45.agree MPs pay recommendations are decided independently and go through
:43:46. > :43:48.automatically. With other public sector pay review bodies, they do
:43:49. > :43:50.take into account Treasury submission, but then they find their
:43:51. > :43:56.recommendations are vetoed by ministers. If it is good enough for
:43:57. > :44:01.members of Parliament why is not good enough for nurses, the Armed
:44:02. > :44:05.Forces, firefighters and teachers? We do take notice of what the
:44:06. > :44:09.independent pay review bodies say, we have just approved the teachers
:44:10. > :44:13.pay review body, the nurses pay review body. If we listen to their
:44:14. > :44:19.recommendations, the pay review body for the NHS said, we do not see
:44:20. > :44:22.significant short-term nationwide recruitment and retention issues
:44:23. > :44:27.related to pay, we followed that advice and gave the pay accordingly.
:44:28. > :44:35.Increases in the tax the personal allowance is the pockets of... Will
:44:36. > :44:42.the Chief Secretary continued to help public sector workers? My
:44:43. > :44:46.honourable friend is right, the worst thing they could do is support
:44:47. > :44:50.the policies of the party opposite, which according to the ISS would
:44:51. > :44:56.lead to the highest levels of taxation that we have seen in
:44:57. > :45:02.peacetime history. I think the Treasury response today to the
:45:03. > :45:07.questions of the 1% pay caps are profoundly disappointing. This is
:45:08. > :45:09.the single biggest thing in assuring inflation is affecting living
:45:10. > :45:16.standards, it is impoverishing workers. When will be Treasury agree
:45:17. > :45:22.with the Foreign Secretary that the time has come to end this cap? I
:45:23. > :45:27.point out to the honourable gentleman that public sector
:45:28. > :45:34.workers, like teachers, has seen a 3% pay rise, nurses get progression
:45:35. > :45:38.pay, those in the Armed Forces get an X factor supplement which is
:45:39. > :45:42.worth 2.4% a year. The salaries are in line with private sector
:45:43. > :45:47.salaries. What would be wrong was to be have a significant difference
:45:48. > :45:52.between the public and private. We need businesses to thrive as well as
:45:53. > :45:58.needing welfare and public services. I want to hear a couple more of the
:45:59. > :46:06.order paper questions. Question 15, Mr Speaker. Treasury ministers have
:46:07. > :46:11.engaged with the Secretary of State for Education, we will have doubled
:46:12. > :46:15.spending on apprenticeships over the decade to 2020, and 3 million
:46:16. > :46:21.apprenticeships start in England by 2020 and giving people the best
:46:22. > :46:25.starts in their careers. Since 2010, the substantial increase in
:46:26. > :46:31.apprenticeships has helped so many young people into work. Stansted
:46:32. > :46:34.Airport is a great provider of apprenticeships. Their employment
:46:35. > :46:39.Academy pleased 700 people into work in the last year alone.
:46:40. > :46:45.Apprenticeships have contributed to the record low level of youth
:46:46. > :46:51.unemployment? I very much agree with my honourable friend. There are a
:46:52. > :46:56.55,000 fewer young people unemployed than a year ago, thanks in large
:46:57. > :46:59.part to the investment of this Government is putting into
:47:00. > :47:06.apprenticeships. If even a fair unaware and in killed in an activity
:47:07. > :47:12.we have got to look at local colleges to do that? Will you
:47:13. > :47:18.support through money and resources and leadership to get those
:47:19. > :47:21.apprenticeships up and down the country, struggling to get onto an
:47:22. > :47:25.apprentice, will you talk to the Education Secretary so we can get a
:47:26. > :47:32.practical course to get these young people on their way? I am sure he
:47:33. > :47:36.will welcome the investment in it he levels, the ?5 million this
:47:37. > :47:40.Government has bitten do exactly the issues he talks about in technical
:47:41. > :47:43.education. The commitment of this Government can be seen in
:47:44. > :47:46.apprenticeships. Whereas under the last Labour Government there were
:47:47. > :47:56.just under 280,000 apprenticeship starts, whereas this year there were
:47:57. > :48:01.500,000. Since 2010, the headline corporation tax rate has been cut
:48:02. > :48:14.from 28% to 19% despite the fact that tax receipts have increased.
:48:15. > :48:19.According to KPMG, we have the second most competitive tax regime
:48:20. > :48:30.anywhere in the G-7, would he agree this encourages businesses to an to
:48:31. > :48:34.locate your? The have made it clear corporation taxes are the most
:48:35. > :48:40.harmful in terms of economic growth. By keeping business taxes down in
:48:41. > :48:51.2015, 16, we saw a record number of investment projects rating over 1600
:48:52. > :48:55.jobs per week. My priority is to ensure the economy remains resilient
:48:56. > :48:59.as we negotiate our exit from the European Union. That means building
:49:00. > :49:05.upon this Government's achievements by reducing the deficit by Truffaut
:49:06. > :49:10.and an unemployment and a loaf Craig overload and 70s while continuing to
:49:11. > :49:12.tackle the long-term talent of productivity enhancement and making
:49:13. > :49:20.steady progress to balancing the budget. Raising the personal tax
:49:21. > :49:23.allowance has been a key achievement of this Government, what recent
:49:24. > :49:25.assessment has he made at the numbers of my Hazel Grove
:49:26. > :49:31.constituents who have benefited from this policy? I agree with my
:49:32. > :49:36.honourable friend, the UK will have increased the tax free personalised
:49:37. > :49:40.right over 90% compared to 2010, completing a decade of sustained tax
:49:41. > :49:51.cuts for working people. Over 31 million taxpayers in Lashkar and in
:49:52. > :49:59.glass and,. Since 2010, more than 4 million taxpayers have been taking
:50:00. > :50:05.out of income tax altogether. Thank you. Personal contract purchase
:50:06. > :50:09.plans by financing cards have gone up by 394% in the last five years.
:50:10. > :50:13.The governor of the Bank of England have said we are failing to learn
:50:14. > :50:18.the lessons of the past when it comes to easy credit. What action is
:50:19. > :50:24.the Chancellor taking to ensure lending is affordable and does not
:50:25. > :50:27.pose a risk to the wider economy? Could I congratulate the honourable
:50:28. > :50:33.lady on her appointment as chair of the committee. She will be aware
:50:34. > :50:39.from the Bank of England days, this is a matter for the FPC, and in a
:50:40. > :50:44.recent report they noted that consumer credit was at a lower rate
:50:45. > :50:50.than it was under the last bull Labour Government but lending rates
:50:51. > :50:54.remain low. Thank you. My right honourable friend will know from his
:50:55. > :50:56.time in the Foreign Office is one of the great strengths of our great
:50:57. > :51:03.kingdom is the perception of fairness. Could you dock about the
:51:04. > :51:08.fairness in financial transactions? The hidden taxes we see imposed by
:51:09. > :51:13.many companies on investment is grossly unfair unders saving for a
:51:14. > :51:18.future intentions. There is a theme, I feel I should congratulate my
:51:19. > :51:21.honourable friend on his election as chair of the following select
:51:22. > :51:26.committee. The Government is committed to the principles of
:51:27. > :51:41.transparency. He will have glued on and fulfil. As chair of the
:51:42. > :51:44.all-party Parliamentary on refugees, they tell me how desperate they are
:51:45. > :51:48.to work once they have achieved status but I hindered by the fixable
:51:49. > :51:52.problems no system. Can the Minister please tell us what they are doing
:51:53. > :52:07.to make it easier for refugees to have bank accounts? She will be a
:52:08. > :52:10.worthy harm others grabbed. I am very happy to discuss with the
:52:11. > :52:20.honourable lady any further measures she feels will be helpful. In order
:52:21. > :52:25.to promote the drive towards world free trade, will the Chancellor of
:52:26. > :52:30.the Exchequer assured the How's he is absolutely, personally and
:52:31. > :52:33.enthusiastically committed to following our manifesto commitment,
:52:34. > :52:40.not just to leave the EU at the end of 2019 but also the single market
:52:41. > :52:45.and the customs union? I have made it clear on many occasions that when
:52:46. > :52:50.we leave the EU on the 29th of March 20 19th we will also leave the
:52:51. > :52:55.single market and the customs union. Those are matters of legal
:52:56. > :52:59.necessity. My focus is on ensuring that thereafter we put in place the
:53:00. > :53:02.closest and deepest possible partnership with our European
:53:03. > :53:07.neighbours that allows us to continue patterns of trade and
:53:08. > :53:09.business, patterns of security cooperation, patterns of educational
:53:10. > :53:15.extremes, scientific and technical research collaboration, as we enjoy
:53:16. > :53:22.now. That is the best way to protect Britain's prosperity. Unsecured
:53:23. > :53:25.borrowing has rocketed and lenders warned that there is default rates
:53:26. > :53:31.on credit cards and other products are going to be at the highest point
:53:32. > :53:35.at any point since the height of the financial crisis. Instead of passing
:53:36. > :53:38.the buck to the FPC, what is the Government going to do in public
:53:39. > :53:45.policy terms to alleviate what I think is a very serious risk of a
:53:46. > :53:48.household debt crisis? Movie-mac the honourable gentleman must take the
:53:49. > :53:52.position, it is an independent responsibility of the Bank of
:53:53. > :53:58.England to address that. It is an area where there are always frequent
:53:59. > :54:02.discussions with the Treasury, but uses a Bank of England matter. The
:54:03. > :54:06.UK Government has a strong record of supporting Scottish businesses and
:54:07. > :54:10.the British business bank has provided nearly ?1.5 million of
:54:11. > :54:13.support to small businesses and used riveter. Many businesses are mine
:54:14. > :54:18.constituency ready disadvantage compared to their counterparts in
:54:19. > :54:21.England. Will my right honourable friend joining calling for the
:54:22. > :54:25.Scottish Government to reverse a decision to double the large
:54:26. > :54:32.business rate supplement and allows Scottish businesses to compete on a
:54:33. > :54:37.level playing field? He is entirely right. The large business supplement
:54:38. > :54:42.is a devolved tax matter and in Scotland it is double that of in
:54:43. > :54:47.England. The consequences can best be summed up by the CEU of the
:54:48. > :54:51.Scottish Chambers of commerce, who said in Scotland we must ensure we
:54:52. > :54:54.are the best place in the UK to do business and that will require a
:54:55. > :55:00.fundamental reassessment by the Scottish Government of its tax
:55:01. > :55:04.policies. The Chancellor will know from his own official analysis the
:55:05. > :55:08.difference between staying in the European Economic Area and a
:55:09. > :55:15.Canadian type deal, which is essentially what the Government is
:55:16. > :55:20.now aiming for, is a hit to GDP of ?16 billion, equivalent to a 4p rate
:55:21. > :55:27.in the basic rate of income tax. How can it not be right to stay in the
:55:28. > :55:37.EEA at least for transition? new Prime Minister in the past has
:55:38. > :55:40.been very clear in Britain is a very large economy in relation to our
:55:41. > :55:46.neighbours and we would expect to have a bespoke arrangement with the
:55:47. > :55:50.EU, as our long-term future status quo, and indeed it is spoke
:55:51. > :55:57.arrangement for any interim period agreed. She is quite right, we need
:55:58. > :56:02.to deliver on our commitment to leave the EU but we need to do it in
:56:03. > :56:08.a way that protects the British economy, protects British jobs and
:56:09. > :56:12.protect Britain's prosperity. Can my right honourable friend,
:56:13. > :56:16.confirm the amount it would cost the economy to cancel student debt,
:56:17. > :56:21.whether he thinks it is affordable and what effect he thinks it would
:56:22. > :56:25.have won the work we have done to reduce the deficit.
:56:26. > :56:30.As the party opposite admits, cancelling student debt would cost
:56:31. > :56:34.?100 billion. Labour made this reckless promise during the election
:56:35. > :56:39.campaign, which would see the debt soaring but now they say it is just
:56:40. > :56:48.an ambition. Are they going to say sorry to the people who are they may
:56:49. > :56:51.be a promise to and are they going to say sorry to the British public
:56:52. > :56:54.for threatening to bankrupt the economy?
:56:55. > :57:00.Further to the questions asked by my friend for Wakefield and Lewisham,
:57:01. > :57:06.can the Chancellor confirmed, as he failed to answer, confirm the cost
:57:07. > :57:12.to's of Brexit is as described by my friend?
:57:13. > :57:17.The honourable lady I think knows that cannot be a definitive answer,
:57:18. > :57:22.we do not yet know what the full agreement with the EU will be and do
:57:23. > :57:27.not yet know what arrangements for any kind of incident or transitional
:57:28. > :57:32.period will be in place. She is speculating. What I can say is that
:57:33. > :57:35.Government is 100% focused on getting the best deal for Britain
:57:36. > :57:40.and delivering in a way that protects British businesses and
:57:41. > :57:47.jobs. Several of my constituents have
:57:48. > :57:53.suggested winter fuel allowance might be a taxable benefit. Is this
:57:54. > :57:58.being given consideration? We have no plans to tax or winter
:57:59. > :58:02.fuel allowance. One of the best boost economic
:58:03. > :58:05.growth is Government infrastructure spending so can the Chancellor
:58:06. > :58:10.looked on the back of this offer what he found the money for the DUP
:58:11. > :58:14.deal and find more change to sign the Edinburgh city growth deal?
:58:15. > :58:20.I would say that at the Autumn Statement I made a conscious
:58:21. > :58:23.decision to borrow an additional ?23 billion for investment in
:58:24. > :58:27.economically productive infrastructure projects, a conscious
:58:28. > :58:31.decision to address one of the challenges needed to improve
:58:32. > :58:35.Britain's productivity and discover and will continue to combine a
:58:36. > :58:44.prudent fiscal approach with investment in our future.
:58:45. > :58:52.The new mayor of Tees Valley is setting up the first Mayall
:58:53. > :58:55.development outside London, the regeneration of this site and
:58:56. > :58:58.contracting inward investment is vital and well my honourable friend
:58:59. > :59:03.work with me at the mayor to deliver the best outcome for the site and
:59:04. > :59:08.local economy? I thank my honourable friend for
:59:09. > :59:11.that question, the South Tees company is currently undertaking
:59:12. > :59:18.investigations to assess the levels of contamination on the site but the
:59:19. > :59:21.corporation are leading plans for developing the Saint and I look
:59:22. > :59:27.forward to working with him and the mere act of Tees Valley to promote
:59:28. > :59:30.the local economy. In the budget the Chancellor
:59:31. > :59:35.promised a consultation on business rates and yet we have not yet seen
:59:36. > :59:40.that, businesses and jock are struggling, somehow leaving due to
:59:41. > :59:47.the astronomical business rates. When we will have this consultation?
:59:48. > :59:51.There are two issues, one is the process by which we operate a
:59:52. > :59:56.business rates and we have all seen earlier this year the bond periods
:59:57. > :00:03.followed by a dramatic revision are not good for anyone, because this
:00:04. > :00:10.option, so we are looking at how to smooth the process. We need to look
:00:11. > :00:13.more broadly at how we address the perceived unfairness, companies
:00:14. > :00:17.operating in bricks and mortar are effectively treated differently from
:00:18. > :00:20.those that do not. That is not an easy challenge because many of those
:00:21. > :00:27.digital companies operate internationally. The paper form a
:00:28. > :00:30.consultation will be issued by the Department for documentaries and
:00:31. > :00:36.local government and I will pass on to the secretary of State for the
:00:37. > :00:43.Department her concerns. Noting the unemployment rate is at a
:00:44. > :00:49.42 year low, I enquire of my honourable friend what has been the
:00:50. > :00:53.effect on average personal incomes for workers in my constituency due
:00:54. > :01:02.to the increases in minimum wage and national living wage? The increase
:01:03. > :01:09.in the national living wage means in total a full-time worker on a
:01:10. > :01:14.minimum wages has seen a pay rise of ?2800 since 2010 and over 150,000
:01:15. > :01:19.low-wage workers in Scotland that have benefited from that extra
:01:20. > :01:23.money. The Tyne and Wear Metro is an urgent
:01:24. > :01:29.need of investment if we will see the new rolling stock rolled out by
:01:30. > :01:33.2021 so watch conversations at the Chancellor had with the Transport
:01:34. > :01:38.Secretary about funding this infrastructure?
:01:39. > :01:42.As the honourable lady may know I take it very clear view about the
:01:43. > :01:52.confidentiality of conversations between Cabinet ministers. While I
:01:53. > :01:57.have had many conversations with my right honourable friend, because
:01:58. > :02:03.positive, I've make it a rule it will be for departmental secretaries
:02:04. > :02:06.of state to make amendments when appropriate.
:02:07. > :02:11.Does my right honourable friend agree lauding corporation tax to 19%
:02:12. > :02:17.as incentivises business investment and my constituency by companies
:02:18. > :02:23.such as Aldi, who has that it's Judaea and also to the UK? My
:02:24. > :02:28.honourable friend is right and he is a champion of business in his
:02:29. > :02:32.constituency. Airport taxis create wealth and the taxes are paid for
:02:33. > :02:44.the public services we all desire -- law taxes create wealth. Where the
:02:45. > :02:52.North East Somerset member of the shadow Chief Secretary if the
:02:53. > :03:03.honourable gentleman aware... He said, if we had a Labour Government
:03:04. > :03:07.the percentage would be even higher. Estimates say nurses and
:03:08. > :03:15.firefighters face losing more than ?2500 by 2020 in real terms but
:03:16. > :03:19.ambulance drivers the figure is more than ?1800. Does the Minister agree
:03:20. > :03:24.we give hard-working public sector workers a pay rise they deserve? The
:03:25. > :03:31.honourable lady should be aware more than half of nurses and NHS workers
:03:32. > :03:39.saw a 3% pay rise last year. She needs to check her facts.
:03:40. > :03:42.Last night I met a major financial institution. Does my right
:03:43. > :03:47.honourable friend agree from London to retain its place as the leading
:03:48. > :03:50.financial centre we need a regime based on mutual recognition and
:03:51. > :03:58.early exit transitional phase to provide certainty?
:03:59. > :04:03.He championed this key sector that provides ?71 billion of tax to fund
:04:04. > :04:08.public services. It is an interest of the UK and EU to avoid
:04:09. > :04:11.fragmentation, which would increase costs, and the Prime Minister made
:04:12. > :04:14.clear we are ambitious and terms of the trade deal we reach with the EU
:04:15. > :04:25.to come to an arrangement Certainty. You Wales does the
:04:26. > :04:30.Chancellor except the confusion of the conflicting ambitions of
:04:31. > :04:33.Government policy on Brexit is having an impact on investment which
:04:34. > :04:38.is massively damaging and the long run to our economic prospects?
:04:39. > :04:44.I do not buy what I readily agreed with the honourable gentleman and
:04:45. > :04:49.have said many times in this chamber is the process of negotiating our
:04:50. > :04:54.exit from the EU and executing that exit is bound to create uncertainty.
:04:55. > :04:59.Uncertainty is always an welcomed by business. Our challenge is to get as
:05:00. > :05:09.much certainty as early as possible and that is our focus. We must move
:05:10. > :05:13.on. I am advised the point of order flows from Treasury questions and
:05:14. > :05:19.therefore I will take it but if it is a continuation of the debate I
:05:20. > :05:25.will be pretty intolerant. I hope it is busy and approaching a point of
:05:26. > :05:30.order. I asked the question of the Minister
:05:31. > :05:33.on something on the Chancellor's of statement. He did not answer because
:05:34. > :05:35.he said it was not in his re-met.