Live Treasury Questions House of Commons

"no". The ayes have it. Motion for an unopposed term. Thank you.

Questions to the Chancellor the Chief Secretary to the Treasury. Mr

Speaker, the key thing we can do to increase productivity is make sure

we are investing in education, improving skills, more people going

to university, doing apprenticeships and investing in rail and roads.

Like the Scottish Government the UK Government voted for the public

sector pay cap and this Government's so-called National living wage is

not based on cost of living sought new measures will this Government

bring in to provide people with the real liveable wage? What we have

done is make sure basic rate taxpayers are paying ?1000 less tax

by raising the personal allowance and we are also introducing the

national living wage, bringing ?1400 rise in take-home pay for the lowest

earners. getting the wage is make you have

got the job of the Chief Secretary welcome the

record fall in unemployment 342 year low, particularly for young people,

giving them better opportunities in Britain and most other EU countries.

-- to a 42 year low. We now have the lowest levels of unemployment since

1975 and that is thanks to the economic policies pursued by this

Government, improving skills, infrastructure and taking sensible

decisions on public sector pay. As clearly demonstrated, the Government

celebrates falling levels of unemployment without any critical

analysis of the nature of that employment. Many residents in North

West Durham are in work that exacerbates financial difficulties

because pay is low, terms and conditions are poorer and they have

not regular hours. Can the Minister opted the hose on the number of

people on zero was contract and well they also accept looking at

employment figures in a vacuum does not help if people are most secure.

It is less than 3% of people on zero hour contracts. As recognised, many

people want to have that flexibility in their work and to combine it with

other things they do. What we need to do is make sure people have the

skills to get better jobs in the future and that is exactly what this

Government is investing in. With the Chief Secretary of Treasury

joined in welcoming the fact since 2010 75% of the 2.8 million jobs

created are full-time and zero I was contracts are just 3% of the entire

jobs? Isn't it amazing nobody on the

benches opposite have welcomed the fact we have got the lowest

unemployment since 1975, lower youth unemployment, in fact, the model

their policies on countries like Greece, with exceptionally high

levels of youth unemployment and they take for granted the progress

we have made over the past seven years.

Let me welcome any jobs increase but when it comes to commenting on

wages, doesn't the Chief Secretary agree it ill becomes a

multimillionaire earning ?145,000 a year, admittedly in a temporary job,

and living in the and favour properties, to attack public sector

workers, hospital cleaners, nurses, teachers and firefighters, has been

overpaid? Public sector workers pay has fallen an average of ?4000 in

the first six years of this Government. One in five NHS staff

have taken a second job. Teachers face a further cut of ?3000 by 2020.

Does she not think the Chancellor should do the right thing and

apologise? Yet again the honourable gentleman

is not giving the house the full picture about what is happening with

public sector wages. Last year teachers' pay rose by 3.3%. More

than half of nurses and other NHS workers saw a rise of over 3%. The

armed services saw a rise of 2.4%. The cleaner you talk about was not

employed by the public sector, they are employed by Serco. Get his facts

right. That is true, the Government privatised the jobs. And I note the

Chief Secretary did not repute the fact the Chancellor said the staff

are overpaid. The Chancellor tried to justify this attack by the

classic divide and rule between public and private workers, citing

public sector pensions. Is she aware these supposedly generous pensions

pay on average the princely sum of 5000 pounds a year and that Lope has

forced many public sector workers to opt out of the pension scheme -- low

pay. 11% of NHS staff have opted out of the pension scheme and if that

figure continues to ride it could undermine the whole scheme. Well she

recognises Chancellor damage is causing and left the public sector

pay cap so they can have hope of a decent future pension and fair wage

settlement. The right honourable gentlemen has

not acknowledged the figures I spoke about, the 3% rise for nurses, the

teachers rise of 3.3%. He simply will not look at the facts. The

reality is at the moment we have a situation where public sector

workers are paid in line with the private sector which is right to

allow the public sector and private sector to flourish so we can create

wealth in the country and also public sector workers have a 10%

premium on their wages in pension contributions. That is in the OBR

report. Number two, please. I would like to answer this with question

six. Debt has steadily declined since 2008 as a result of high

levels of deficit. Says 2010 we have reduced the deficit levels by three

quarters sought national debt will now peaked at just under 90% of GDP

this year. As the risk report last week makes clear at this level of

debt, the legacy of Labour's recession,

this level of debt leaves us vulnerable to future shocks which is

why the Government has committed to eliminating the deficit and level of

debt as a share of GDP and as a result of the actions taken to bring

public finances under control the OBR will now forecast debt will

start following next year and will be below 80% of GDP by 2021 - 22.

Those figures are welcome but cant my right honourable friend and firm

were the Government to pursue a policy of wiping all outstanding

student debts that would cost in excess of ?100 billion, or the

national debt to surge and can also come from the biggest beneficiaries

by far would be the top earning graduates? Might honourable friend

is absolutely right and he might have added were anyone to suggest

they were able to do that they could be accused of practising

interception on the people they were offering that proposal to, and the

cruelty of that would become apparent when that person had to lay

to admit they could not possibly deliver it because I would say,

honourable friend the challenge we face in this country is a debt

challenge and you cannot borrow your way out of debt.

The opposition would do well to acknowledge that. Stronger growth,

sound public finances are the only sustainable way to deliver better

public services, higher real wages and increased living standards.

Does my right honourable friend agree the OBR study published last

week shows that level is 89% of GDP, this highlights we must continue to

be responsible with public finances to other in the uncertainty and

ensure the colony continues to grow? My honourable friend is right to

express concern about the vulnerability high levels of debt

creates, it means if the economy were to face an external shock we

would not be in the position to respond in a way we would ideally

like to because of high levels of debt and that is why we must get

that down and the only way to do so and get the deficit down which means

responsible fiscal policy, not the kind of rubbish we hear coming from

the front bench opposite. Mr Speaker, wasn't it clear from

that OBR report it is a hard Brexit that presents the biggest threat to

our national economy, 0.1% the trees and productivity could lead to a 50%

increase over 50 years of debt to GDP of the reports are true the

Chancellor is prepared to maybe champion a longer transitional

period for the UK in the single market, can I say that is welcome

news but it would also be something that might be able to secure a lot

of support on all sides of the house.

I welcome the contribution and an issue as important to our nation's

future as our exit from the EU, I welcome any opportunity to build

consensus across the House and the nation. He is right to draw

attention to what the old BR pointed out, even a very small decline in

our productivity performance would add huge amounts to debt and reduce

by a significant amount is our projected growth in GDP. That is why

it is so important we act responsibly in maintaining fiscal

discipline and ensuring we reduce our debt over time. How is this

consensus building going around the Cabinet table? Can the Chancellor

update the House the assessment he has made on the trade deals that

will be done after we leave the single market? That he knows Brexit

is going to be a fiscal shock, as he challenged his colleague the

Secretary of State and the Department for International Trade

to disprove Treasury calculations that show there is no trade deal

that we can do after leaving the EU that will make up for the huge loss

of trade that Brexit will give us. The honourable lady is assuming that

we lose trade with the European Union, I would say to her, it is

clear to me all other things being equal, being able to enter into

bilateral trade deals with third countries will be a positive for our

economy. But we also want to protect our trade with the EU, my focus is

on ensuring we get a Brexit deal which protects our existing patterns

of trade and commercial engagement with the EU as well as, over time,

allowing us to explore new opportunities. He will be aware of

the current cost of Government borrowing is that low levels. Does

he agree with me that if my kids lose confidence in our ability to

live within our means the cost of borrowing will spiral, costing us

billions of pounds meaningless to be spent on our public services? He is

right to Warren of the danger of loss of market confidence in the UK

fiscal policy and I am looking very hard at the honourable member for

Hayes and Harlington, if my kids lose confidence in the fiscal policy

they would reprice lending to the UK. We already spent more every year

on servicing every doubt that we do on our Armed Forces and police

services together. It would be doing a huge disservice to taxpayers in

this country if we created the conditions that would cause the cost

of that debt to rise. He has been forced to give ?1 billion pay-out to

the DUP, cough up ?1.3 billion for a schools funding U-turn, scurry

around ?2.2 billion to pay for his humiliating tobacco, and bail out

his nightmare neighbour's social care receipt. I ask the Chancellor,

why should this Has believed a word, a promise or a claim or a target

that on reducing the debt? I am glad to see he was smiling by the end of

that round. I don't know which planet he lives on, I don't feel

enfeebled, and I can tell him... I can't tell him, I don't know what

the opposition treasury front bench does all day but my right honourable

friend the Secretary of State for Education in her statement yesterday

made very clear at the way she has put extra money into the front line

schools budget is by re-prioritising across the wider education budget

and finding efficiencies across her department. That is the way to do a

fiscally prudent protection. They have taken it off some children and

given it to others. The national debt has risen by ?707 billion since

2010 and is arising. It is barely a year since the Chancellor was given

the keys to number 11 and in night-time public sector net debt

has reduced according to the old BR, it has increased by 122 billion.

Given that record, has he been given notice of eviction by the women in

the bunker next or, perhaps they may leave Downing Street in the same

removal van. The honourable gentleman, I say the honourable

gentleman will know, perhaps you want to know, that public sector net

debt will continue to grow until the deficit is eliminated. That is a

simple arithmetic fact. His Government pushed our deficit up to

almost 10% of GDP and we have spent the last seven years getting it down

to 2.4% of GDP and we will carry on getting the deficit down so this

country's public finances get back into balance, a responsible

Government planning for Britain's future. Thank you very much. This

Government is committed to supporting private investment, which

finances around half of our infrastructure. We have a trusted

and stable regulatory system and we have supported projects worth over

?4 billion. We are introducing support such as the digital

infrastructure investment fund which will excel in the roll-out of

ultrafast network. The north Wales region hosts businesses like

Kellogg's, Erebus, JCB. But we need competitive infrastructure in order

to ensure we remain competitive. For that reason, can we please have the

ability to deliver private sector investment. What are they going to

do to deliver roads and rail? I do not recognise what the honourable

gentleman says, investment in our infrastructure is at a record high,

in roads and in rail, we are seeing investment in the south-east near

capacity, in all modes of transport. The point is how we deliver that

investment, it is a combination of public and private. He is right to

champion his area, and he is right to highlight its impact on the

economy. But to say we are not doing anything is factually wrong. One of

the disincentives for a private sector to invest in infrastructure

is the delay it takes to bring projects through to completion and

commencement. The private sector is already committed to a significant

contribution for a funding package for Crossrail but we have been

waiting for a decision to take forward since March, will you do

everything you can across Government to speed up that regional and

national infrastructure project? I can see significant merits and

Crossrail, just as I can see a significant merits in things like

northern power hose reel and projects across our country and will

take his point is and really lacked the Transport Secretary. Private

investment thrives on stability, but we have a cabinet any state of

anarchy when it comes to the terms of our exit from the Union. Does the

Government agree with the side of the house an early announcement is

essential? If he does, what is the Government's position on the latest

date such arrangements could be announced? Or is it the case we are

more likely to see a transitional Chancellor than a transitional deal

in place? I am not speculating on the negotiations, that would be way

above my pay grade. I would just prefer the honourable gentleman to

the answer given a moment ago by the Chancellor of the Exchequer on the

merits of a Brexit deal which secures our economic future. With

your permission, I would like to answer this question with question

seven. Infrastructure is at the heart of this Government's economic

strategy and investments will boost productivity and growth. We have

invested more than ?1 trillion. 7000 individual products have completed.

Over 4 million homes have access to superfast broadband for the first

time. Nearly 100 years ago the world's first radio broadcast was

sent from Chelmsford. Does my honourable friend agreeing new

digital infrastructure investment fund will get a massive boost to

fibre and superfast broadband through the UK can continue to lead

the world in digital and communications sectors? I thank her.

I have learnt something about Chelmsford and its history and our

digital infrastructure and radio infrastructure. This investment will

boost Britain's Internet, make it more reliable and consistent, easier

for people to live and work flexibly and boost productivity across the

UK. Fibre is the technology of the future, just as radio was 100 years

ago and this fund will assist capital to rule it out both in

Chelmsford and the UK. Investment and infrastructure projects are

absolutely key to keep our nation moving, partly bypass within my

constituency was held just to do that and improved quality of life

for my constituents. I welcome this funding through the national

productivity investment fund. Would ministers meet with me to discuss

the delivery of these projects which would affect my constituency? She is

a great champion for her constituency and these projects. I

have no doubt of the importance of the local brew. -- of them locally.

The open up opportunities for development but also to believe the

congestion in the heart of her constituency. I will make sure she

meets with the transport team as soon as possible. The

electrification of the great Western rail between Paddington and Swansea

was to provide huge economic benefits for businesses along that

you'll be lying. Unfortunately it has been overspent by 1.2 billion

and 90 yard of the line has been electrified. What is the Government

doing to ensure projects like this do not run over and do not waste

taxpayers money in future? The efficiency we deliver our

interceptor is a critical consideration when we are putting so

much money to transform her into structure at a Government. The point

he is making about Network Rail would have been heard by my

honourable friend me transport team and I will highlight his comments to

them. Last month, the Institute for Government produced a report on

infrastructure spending that said decision makers do not know if the

projects deliver value for money, we believe Parliament and the public

are misinformed. What action is the Chancellor and his department taking

to ensure future infrastructure and spent delivers value for money and

costs do not spiral out of control? I would simply highlight the

extremely rigorous business case process, which every single project

has to go through before it receives approval. The idea that these

schemes are not considered is simply wrong. The Scottish Government has

committed to delivering 50,000 affordable homes by 2021. We

recognise Coles Myer organisations like Shelter Scotland and Big Issue

who believed in affordable housing. Why are they committing to only

building 40,000 affordable homes in the same period? That is the

question I would have to go to my colleagues and other departments and

I will make sure of gross that the hear the comments. Question five, Mr

Speaker. This Government believes in a tax regime that is fair and

competitive since 2010 we have reduced the headline corporation tax

from 28 to 19% allowing companies to boost wages, lower prices. Onshore

corporation tax receipts have increased by over 50% despite

lowering the rate. Would the Minister agree that if you raise

corporation tax it is normally passed on by business to customers,

and if you lower it, you'll hopefully believe that prices will

come down? Movie-mac he is entirely right, it is important to remember

the burden of corporation tax does not just fall on shareholders. If we

were to follow Labour's policy we would see less investment, lower

growth, lower productivity, and lower wages and higher prices. Thank

you, Mr Speaker. Earlier the Chancellor acknowledged that

productivity was the key to economic growth and eliminating our public

sector deficit. When many factories and businesses invest they often

lose any benefits of corporation tax reduction in higher business rates.

This acts as a disincentive to invest, increase output and

productivity. Why doesn't he cut business rates instead? This

Government has done a great deal in terms of providing some release for

business rates and they have been announced and previous budgets and I

think our well-known to the House. There will be more to come on

finance bill later. Could the Minister tell the house

for how much the corporation tax take has gone up since the

corporation tax rate has been cut? This is a very important point and

as the corporation tax is the feast now to 19% we have seen a 50%

increase which is around ?18 billion.

Mr Speaker, most economists prioritise building business

confidence and improving infrastructure over cutting

corporate tax rates. Is the Minister aware loading corporate tax rates

now present in Britain as trying to undercut those countries with whom

we must agree a good Brexit deal at the very time when businesses are

not confident in the Government was 's leadership but I gassed and

confused at their approach to Brexit?

Can I say we have seen a huge increase to employment in this

country to a record level, record drop in unemployment to the lowest

since mid-19 70s and a lot has been driven by business and if the

honourable lady is seriously suggesting the recipe for increasing

the confidence of business is to put up corporation tax to 26%, I'm

afraid she has missed the point, I think.

Question eight, Mr Speaker. I would like to answer this and want with

question 13. Short-term indicators of growth are volatile, quarterly

growth was eager .2% in the first quarter but this followed strong

growth of 0.7% in the previous. The underlying economy is robust due to

record employment levels. Recent rises in inflation caused mainly by

the depreciation of sterling last year made temporarily dampen

consumer spending, there are signs from surveys of business export

orders and business investment are up.

Chair of the charitably select committee.

-- Treasury Select Committee. It is not be is the Chancellor agreed the

global economy is needed to pay for essential public services. It will

be aware of the OBR report that says Government should expect nasty

fiscal surprises from time to time, I do not refer there to the Shadow

Chancellor, and should plan accordingly. This also housed to

manage the uncertainties posed by Brexit and soak it responsible

Government should not make uncertainties even worse by the

risks they take. Can I congratulate my right honourable friend. I very

much welcome her to her role on the Treasury select committee and look

forward to being drilled or posted or whatever the correct expression

is by her in due course. She is exactly right that the only way to

build resilience into the economy is having strong public finances and

the only way to have a growing standard of living is rising

productivity over the medium and long-term and that is what the

Government policy is focused towards.

These are still worrying times for many in the north-east of Scotland

with the law oil price causing concern but would my right

honourable friend agree it has been the strength of the UK economy, that

the second-highest growing in G-7, that enabled this Government to two

point ?7 billion of support to the industry?

The UK oil and gas sector made a huge contribution to the UK economy,

having paid over ?330 billion in production taxis to date and

supporting over 300,000 jobs. In the next phase of the North Sea basin,

as many fields come towards the end of their life we are working with

industry to extract every drop of oil and gas but is economic to

extract and we enable the commissioning and end of life feels

to be operated in the most effective way.

Much of the growth is related to the fact we're spending more on imports

due to the low cost of the pound. The latest ONS figures reveal our

trade in goods deficit has increased by 2.6 billion and the last quarter

was now stands at ?34.3. Doesn't this and the impact of the extra

cost on imports have an impact on the cost of our exports and affect

our productivity? The honourable gentleman will know the short run

effect of the DPC should install link would be expected to be a

decline in our trade balance as we take in more expensive imports but

over time and there are signs the economy is now doing this, the

economy will adjust and exporters increasing the output to take

advantage of weaker sterling and their greater competitiveness in

international markets and those who would substitute imported product

with the mess ones. Often the best way forward for small companies.

One of the ways of reducing the deficit is to have economic growth

rather than increase taxes or reduce spending. What steps is the

Chancellor taking to produce economic growth and also how and has

effort is being affected by those who continually topped the economy

down, predicting dire effects on Brexit even though the predictions

have proved wrong. The honourable gentleman is exactly

right, those who talk the economy down are not doing the country any

favours. It's not about borrowing or taxing more, it is about growing our

economy faster, increasing productivity so we can have

sustainable jobs, economic growth which produces the taxation to

support our public services as well as rising living standards for our

population. Number nine. Youth unemployment is at a record

low of 5.1% of 16-24 -year-olds. This compares with 9.4% in 2009 and

at the last Labour Government. -- under the last. I welcome the

Minister's record unemployment figures this morning and sought

youth unemployment is higher in my constituency that the UK average, so

can I ask him to work with me and others to encourage more investment

in my constituency and to Scotland as a whole? I am happy to work with

my honourable friend because we recognise work is the best route out

of poverty and household where there is unemployment are 13 times more

likely to be in relative poverty than those in full-time work.

I understand the minister as saying there is less unemployment, but

where I am concerned is it is not just employment but also retention.

Does the Minister agree with me now is the time hard working paying

public sector workers got a pay rise they have earned and use scrap the

cap? We can see the effects if we follow

the honourable lady's policy by looking at youth unemployment rate

elsewhere in Europe. If one looks and police, 45.9%, a whole range of

countries, -- if we look at Greece. The best way of addressing poverty

is helping young people and work. Government investment in Cheltenham

cyber accelerators and 2015 is yielding results with numerous

start-ups benefiting. Does my honourable friend entry mobilising

the UK's sovereign expertise in these areas boost jobs for young

people and opportunities? The GCHQ cyber accelerator is part

of the Government's ?1.9 billion cyber security strategy, allowing

business start-ups begin strategy to GCHQ's personnel and helps

businesses expand, contributing to jobs and opportunities, including in

Cheltenham, making the UK it's safer place online. This is something my

honourable friend has worked very hard on for a considerable period of

time and he makes an important point and how his constituency is leading

in the UK and across the world. How does the Minister expect to

reduce youth unemployment when they have cut further education budgets

across the country, particularly in Coventry which has been cut by 27%?

We are seeing a record numbers of people going to university and in

particular seemed a record numbers of disadvantaged students going to

university are those numbers will not be increased by being conned as

to the idea student debt will be written off. There is always a first

in this place, I have never known a ministerial swap to take place met

answer. I assume it was inadvertent because the honourable member is

nothing if not immaculate in his parliamentary manners. I put it down

to error but I hope they know their own identity, I would be worried for

them if they did not. Question ten, sir.

Immaculate parliamentary manners but not parliamentary procedure,

perhaps. I thought we had moved on. To answer the honourable gentleman,

solar energy is a UK success story. In 2013 capacity was expected to

reach around ten gigawatts by 2020 which is now expected to reach 13

gigawatts by 2020. Feed in tariff provide an incentive for businesses

to invest. The sun might be going down on the

Chancellor's type and number 11 but it still remains an important source

of energy and income for 44,000 micro-generators, including schools

and hospitals. Says April they have seen the business rate increase by

up to 800% in some cases and some employers of the technology are

pulling out of the market. Well the Government reassessed the business

rates paid on rooftop solar panels so we can give real growth to this

important sector? The Government is continuing to

support the take-up of solar panel through business rates and

maintaining the exemption for new solar panels generating less than 50

kilowatts of power. We have the cut in business rates announced in last

year's budget, so the Government has listened to the voice from solar and

we are keen to see progress on this and these schemes will help that.

When the roll out -- will be wrote of solar panels to be at their

Brexit with the Paris imposed on cheaper Chinese sales will be

removed and we will no longer be dual -- reliant on the inefficient

German industry? I thought he might be seeing the sun might be shining

more brightly post-Brexit. Something he would normally do. We are keen to

see the progress of solar and all renewables and we will have to see

exactly what happens with pricing but the key thing is we will support

it, as it is a key part of our power mix for the future. Sign that there

I was thinking the Right Honourable member was taking an interest in

energy saving because he has got six children. Apparently not. Is it not

the reality the Government has cut support for solar because it will

kill off any case for the horrendously and clear.

They support directly from the board is also forced the cancellation and

generating less through efficiencies and columns of skill production

house costs come down social production. We thinking that the

control support schemes. First and 11th. -- question 11. We

have effective legislation to tackle upholders of the doctors and we plan

to make it harder for them non-domiciles to withdrawing funds.

We have seen 100 countries, to automatically exchanging financial

information. The Conservative manifesto said it would take a more

proactive approach towards transparency. But the minister

believe enough is being done to tackle companies which promote tax

avoidance schemes or is there still a tendency for the big former

accountancy firms who regulates the big four by the big four in order to

protect the big four? The lady muck asked if if enough is being done to

clap and tax avoidance and it certainly is. -- the honourable lady

asked. We have been clamping down on exactly those behaviours and in the

forthcoming Finance Bill there will be further measures to make sure we

are bringing in between seven and is building an addition in corporate

tax avoidance measures. Would the Minister confirm that now

the top 1% of people pay 27% of income tax and that is a higher

proportion than under the last Labour Government? My honourable

friend is right. The Labour Party will have you believe we are somehow

being solved on the wealthy and hard on the less well off. The opposite

is the case. The top 1% pay over 27% of tax, the wealthiest 3000 people

and our country appear as much as the poorest 9 million. Under Labour

the paid more attacks relative to the wealthy not less. No wonder

under our policies income and a quality is up to 30 year low.

Question number 12. Number 12. The minister at the box. Sorry, my

apologies, Mr Speaker, the Government is committed to

simplifying the tax system. In 2015 we asked to provide an independent

assessment of the alignment of income tax, we are taking action in

a number of places highlighted by the report. However alignment night

would cause significant upheaval for millions and it is not the right

time. I welcome my right honourable friend to his new ministerial role.

Last year, bringing national insurance and income tax closer

together would create a simpler and fairer system for a business and

taxpayers. As national insurance and income tax revenues go into the same

part, would it not be simpler and clearer to merge the two and have

one single income tax? As I said, we do recognise the value of merging

national insurance and income tax player that is practical and

achievable and there are some measures coming up in the bills in

the autumn that will address that in certain circumstances. To do that at

this stage right across the piece is a long-term aspiration rather than

one addressing in the short term. As people go into the higher tax

threshold they stop paying work national insurance, would one of the

impacts of merging the two be to reveal the British tax system is not

as progressive as people think and make the case to pay more? I think

he needs to recognise that national insurance and income tax function in

different ways and have a different role with the tax system. We have

one of the most progressive tax system is in the entire country. If

you look at those earning above... We have, five and 511, and three to

4 million people out of income tax altogether. If you look at those

earning over 100,000, when we remove that allowance, that national

insurance means the marginal rates are up to 62% at that level of

income. Week usually value the work of public servants, teachers, police

and nurses. That is why the arcade in line with the private sector.

They receive a 10% increment on average for their pensions. We all

agree MPs pay recommendations are decided independently and go through

automatically. With other public sector pay review bodies, they do

take into account Treasury submission, but then they find their

recommendations are vetoed by ministers. If it is good enough for

members of Parliament why is not good enough for nurses, the Armed

Forces, firefighters and teachers? We do take notice of what the

independent pay review bodies say, we have just approved the teachers

pay review body, the nurses pay review body. If we listen to their

recommendations, the pay review body for the NHS said, we do not see

significant short-term nationwide recruitment and retention issues

related to pay, we followed that advice and gave the pay accordingly.

Increases in the tax the personal allowance is the pockets of... Will

the Chief Secretary continued to help public sector workers? My

honourable friend is right, the worst thing they could do is support

the policies of the party opposite, which according to the ISS would

lead to the highest levels of taxation that we have seen in

peacetime history. I think the Treasury response today to the

questions of the 1% pay caps are profoundly disappointing. This is

the single biggest thing in assuring inflation is affecting living

standards, it is impoverishing workers. When will be Treasury agree

with the Foreign Secretary that the time has come to end this cap? I

point out to the honourable gentleman that public sector

workers, like teachers, has seen a 3% pay rise, nurses get progression

pay, those in the Armed Forces get an X factor supplement which is

worth 2.4% a year. The salaries are in line with private sector

salaries. What would be wrong was to be have a significant difference

between the public and private. We need businesses to thrive as well as

needing welfare and public services. I want to hear a couple more of the

order paper questions. Question 15, Mr Speaker. Treasury ministers have

engaged with the Secretary of State for Education, we will have doubled

spending on apprenticeships over the decade to 2020, and 3 million

apprenticeships start in England by 2020 and giving people the best

starts in their careers. Since 2010, the substantial increase in

apprenticeships has helped so many young people into work. Stansted

Airport is a great provider of apprenticeships. Their employment

Academy pleased 700 people into work in the last year alone.

Apprenticeships have contributed to the record low level of youth

unemployment? I very much agree with my honourable friend. There are a

55,000 fewer young people unemployed than a year ago, thanks in large

part to the investment of this Government is putting into

apprenticeships. If even a fair unaware and in killed in an activity

we have got to look at local colleges to do that? Will you

support through money and resources and leadership to get those

apprenticeships up and down the country, struggling to get onto an

apprentice, will you talk to the Education Secretary so we can get a

practical course to get these young people on their way? I am sure he

will welcome the investment in it he levels, the ?5 million this

Government has bitten do exactly the issues he talks about in technical

education. The commitment of this Government can be seen in

apprenticeships. Whereas under the last Labour Government there were

just under 280,000 apprenticeship starts, whereas this year there were

500,000. Since 2010, the headline corporation tax rate has been cut

from 28% to 19% despite the fact that tax receipts have increased.

According to KPMG, we have the second most competitive tax regime

anywhere in the G-7, would he agree this encourages businesses to an to

locate your? The have made it clear corporation taxes are the most

harmful in terms of economic growth. By keeping business taxes down in

2015, 16, we saw a record number of investment projects rating over 1600

jobs per week. My priority is to ensure the economy remains resilient

as we negotiate our exit from the European Union. That means building

upon this Government's achievements by reducing the deficit by Truffaut

and an unemployment and a loaf Craig overload and 70s while continuing to

tackle the long-term talent of productivity enhancement and making

steady progress to balancing the budget. Raising the personal tax

allowance has been a key achievement of this Government, what recent

assessment has he made at the numbers of my Hazel Grove

constituents who have benefited from this policy? I agree with my

honourable friend, the UK will have increased the tax free personalised

right over 90% compared to 2010, completing a decade of sustained tax

cuts for working people. Over 31 million taxpayers in Lashkar and in

glass and,. Since 2010, more than 4 million taxpayers have been taking

out of income tax altogether. Thank you. Personal contract purchase

plans by financing cards have gone up by 394% in the last five years.

The governor of the Bank of England have said we are failing to learn

the lessons of the past when it comes to easy credit. What action is

the Chancellor taking to ensure lending is affordable and does not

pose a risk to the wider economy? Could I congratulate the honourable

lady on her appointment as chair of the committee. She will be aware

from the Bank of England days, this is a matter for the FPC, and in a

recent report they noted that consumer credit was at a lower rate

than it was under the last bull Labour Government but lending rates

remain low. Thank you. My right honourable friend will know from his

time in the Foreign Office is one of the great strengths of our great

kingdom is the perception of fairness. Could you dock about the

fairness in financial transactions? The hidden taxes we see imposed by

many companies on investment is grossly unfair unders saving for a

future intentions. There is a theme, I feel I should congratulate my

honourable friend on his election as chair of the following select

committee. The Government is committed to the principles of

transparency. He will have glued on and fulfil. As chair of the

all-party Parliamentary on refugees, they tell me how desperate they are

to work once they have achieved status but I hindered by the fixable

problems no system. Can the Minister please tell us what they are doing

to make it easier for refugees to have bank accounts? She will be a

worthy harm others grabbed. I am very happy to discuss with the

honourable lady any further measures she feels will be helpful. In order

to promote the drive towards world free trade, will the Chancellor of

the Exchequer assured the How's he is absolutely, personally and

enthusiastically committed to following our manifesto commitment,

not just to leave the EU at the end of 2019 but also the single market

and the customs union? I have made it clear on many occasions that when

we leave the EU on the 29th of March 20 19th we will also leave the

single market and the customs union. Those are matters of legal

necessity. My focus is on ensuring that thereafter we put in place the

closest and deepest possible partnership with our European

neighbours that allows us to continue patterns of trade and

business, patterns of security cooperation, patterns of educational

extremes, scientific and technical research collaboration, as we enjoy

now. That is the best way to protect Britain's prosperity. Unsecured

borrowing has rocketed and lenders warned that there is default rates

on credit cards and other products are going to be at the highest point

at any point since the height of the financial crisis. Instead of passing

the buck to the FPC, what is the Government going to do in public

policy terms to alleviate what I think is a very serious risk of a

household debt crisis? Movie-mac the honourable gentleman must take the

position, it is an independent responsibility of the Bank of

England to address that. It is an area where there are always frequent

discussions with the Treasury, but uses a Bank of England matter. The

UK Government has a strong record of supporting Scottish businesses and

the British business bank has provided nearly ?1.5 million of

support to small businesses and used riveter. Many businesses are mine

constituency ready disadvantage compared to their counterparts in

England. Will my right honourable friend joining calling for the

Scottish Government to reverse a decision to double the large

business rate supplement and allows Scottish businesses to compete on a

level playing field? He is entirely right. The large business supplement

is a devolved tax matter and in Scotland it is double that of in

England. The consequences can best be summed up by the CEU of the

Scottish Chambers of commerce, who said in Scotland we must ensure we

are the best place in the UK to do business and that will require a

fundamental reassessment by the Scottish Government of its tax

policies. The Chancellor will know from his own official analysis the

difference between staying in the European Economic Area and a

Canadian type deal, which is essentially what the Government is

now aiming for, is a hit to GDP of ?16 billion, equivalent to a 4p rate

in the basic rate of income tax. How can it not be right to stay in the

EEA at least for transition? new Prime Minister in the past has

been very clear in Britain is a very large economy in relation to our

neighbours and we would expect to have a bespoke arrangement with the

EU, as our long-term future status quo, and indeed it is spoke

arrangement for any interim period agreed. She is quite right, we need

to deliver on our commitment to leave the EU but we need to do it in

a way that protects the British economy, protects British jobs and

protect Britain's prosperity. Can my right honourable friend,

confirm the amount it would cost the economy to cancel student debt,

whether he thinks it is affordable and what effect he thinks it would

have won the work we have done to reduce the deficit.

As the party opposite admits, cancelling student debt would cost

?100 billion. Labour made this reckless promise during the election

campaign, which would see the debt soaring but now they say it is just

an ambition. Are they going to say sorry to the people who are they may

be a promise to and are they going to say sorry to the British public

for threatening to bankrupt the economy?

Further to the questions asked by my friend for Wakefield and Lewisham,

can the Chancellor confirmed, as he failed to answer, confirm the cost

to's of Brexit is as described by my friend?

The honourable lady I think knows that cannot be a definitive answer,

we do not yet know what the full agreement with the EU will be and do

not yet know what arrangements for any kind of incident or transitional

period will be in place. She is speculating. What I can say is that

Government is 100% focused on getting the best deal for Britain

and delivering in a way that protects British businesses and

jobs. Several of my constituents have

suggested winter fuel allowance might be a taxable benefit. Is this

being given consideration? We have no plans to tax or winter

fuel allowance. One of the best boost economic

growth is Government infrastructure spending so can the Chancellor

looked on the back of this offer what he found the money for the DUP

deal and find more change to sign the Edinburgh city growth deal?

I would say that at the Autumn Statement I made a conscious

decision to borrow an additional ?23 billion for investment in

economically productive infrastructure projects, a conscious

decision to address one of the challenges needed to improve

Britain's productivity and discover and will continue to combine a

prudent fiscal approach with investment in our future.

The new mayor of Tees Valley is setting up the first Mayall

development outside London, the regeneration of this site and

contracting inward investment is vital and well my honourable friend

work with me at the mayor to deliver the best outcome for the site and

local economy? I thank my honourable friend for

that question, the South Tees company is currently undertaking

investigations to assess the levels of contamination on the site but the

corporation are leading plans for developing the Saint and I look

forward to working with him and the mere act of Tees Valley to promote

the local economy. In the budget the Chancellor

promised a consultation on business rates and yet we have not yet seen

that, businesses and jock are struggling, somehow leaving due to

the astronomical business rates. When we will have this consultation?

There are two issues, one is the process by which we operate a

business rates and we have all seen earlier this year the bond periods

followed by a dramatic revision are not good for anyone, because this

option, so we are looking at how to smooth the process. We need to look

more broadly at how we address the perceived unfairness, companies

operating in bricks and mortar are effectively treated differently from

those that do not. That is not an easy challenge because many of those

digital companies operate internationally. The paper form a

consultation will be issued by the Department for documentaries and

local government and I will pass on to the secretary of State for the

Department her concerns. Noting the unemployment rate is at a

42 year low, I enquire of my honourable friend what has been the

effect on average personal incomes for workers in my constituency due

to the increases in minimum wage and national living wage? The increase

in the national living wage means in total a full-time worker on a

minimum wages has seen a pay rise of ?2800 since 2010 and over 150,000

low-wage workers in Scotland that have benefited from that extra

money. The Tyne and Wear Metro is an urgent

need of investment if we will see the new rolling stock rolled out by

2021 so watch conversations at the Chancellor had with the Transport

Secretary about funding this infrastructure?

As the honourable lady may know I take it very clear view about the

confidentiality of conversations between Cabinet ministers. While I

have had many conversations with my right honourable friend, because

positive, I've make it a rule it will be for departmental secretaries

of state to make amendments when appropriate.

Does my right honourable friend agree lauding corporation tax to 19%

as incentivises business investment and my constituency by companies

such as Aldi, who has that it's Judaea and also to the UK? My

honourable friend is right and he is a champion of business in his

constituency. Airport taxis create wealth and the taxes are paid for

the public services we all desire -- law taxes create wealth. Where the

North East Somerset member of the shadow Chief Secretary if the

honourable gentleman aware... He said, if we had a Labour Government

the percentage would be even higher. Estimates say nurses and

firefighters face losing more than ?2500 by 2020 in real terms but

ambulance drivers the figure is more than ?1800. Does the Minister agree

we give hard-working public sector workers a pay rise they deserve? The

honourable lady should be aware more than half of nurses and NHS workers

saw a 3% pay rise last year. She needs to check her facts.

Last night I met a major financial institution. Does my right

honourable friend agree from London to retain its place as the leading

financial centre we need a regime based on mutual recognition and

early exit transitional phase to provide certainty?

He championed this key sector that provides ?71 billion of tax to fund

public services. It is an interest of the UK and EU to avoid

fragmentation, which would increase costs, and the Prime Minister made

clear we are ambitious and terms of the trade deal we reach with the EU

to come to an arrangement Certainty. You Wales does the

Chancellor except the confusion of the conflicting ambitions of

Government policy on Brexit is having an impact on investment which

is massively damaging and the long run to our economic prospects?

I do not buy what I readily agreed with the honourable gentleman and

have said many times in this chamber is the process of negotiating our

exit from the EU and executing that exit is bound to create uncertainty.

Uncertainty is always an welcomed by business. Our challenge is to get as

much certainty as early as possible and that is our focus. We must move

on. I am advised the point of order flows from Treasury questions and

therefore I will take it but if it is a continuation of the debate I

will be pretty intolerant. I hope it is busy and approaching a point of

order. I asked the question of the Minister

on something on the Chancellor's of statement. He did not answer because

he said it was not in his re-met.