Live Treasury Questions

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0:00:00 > 0:00:06the Chancellor of picture Philip Hammond and his ministerial team. --

0:00:06 > 0:00:18the Chancellor of the Exchequer Philip Hammond.

0:00:20 > 0:00:32Order! Order! Question to the Chancellor of the Exchequer.Mr 's

0:00:32 > 0:00:39Mika, with permission I would like Rushton 's one and two. It is right,

0:00:39 > 0:00:43Mr Speaker, that more of our money that is spent locally is raised

0:00:43 > 0:00:51locally. In 2010, councils were 80% dependent on government grants. By

0:00:51 > 0:00:542020, councils will largely be funded by council tax and other

0:00:54 > 0:01:02local revenues.I thank the Minister for her answer but local councils

0:01:02 > 0:01:07have faced devastating cuts. Between 20 ten and 2020 councils will of had

0:01:07 > 0:01:14their direct funding by 79%. In Tower Hamlets, we have lost... In

0:01:14 > 0:01:19budget cuts since 2010. With one of the Conservative Party's own

0:01:19 > 0:01:22councils going bust, can the Minister now commits finally to

0:01:22 > 0:01:30funding locally councils properly so they can provide vital services to

0:01:30 > 0:01:37their communities?It is right we rebalance local spending from

0:01:37 > 0:01:41central government grants to locally raised taxes to help keep councils

0:01:41 > 0:01:44accountable and what we have seen his councils up and down the country

0:01:44 > 0:01:49finding new and innovative ways of working, sharing back-office

0:01:49 > 0:01:53services, doing things like installing Wi-Fi, improving waste

0:01:53 > 0:01:58collection. But what we have also seen is Labour councils wasting

0:01:58 > 0:02:04money. So, for example, momentum supported Birmingham City Council

0:02:04 > 0:02:13bin strikes, which cost the taxpayer £40,000 per day.Order! Order!

0:02:13 > 0:02:21Resume your seat, Mr. You answer for government policy. You do not waste

0:02:21 > 0:02:25the time of the House by going into rants about the policies of other

0:02:25 > 0:02:36parties. And if the...Thank you, it's the speaker. My own council of

0:02:36 > 0:02:42Brighton and Hove has had to make £52 million worth of cuts in three

0:02:42 > 0:02:49years. Despite superb Labour leadership in the city. With one of

0:02:49 > 0:02:53the Minister's own Tory councils going bust, will the Chancellor

0:02:53 > 0:02:58finally commits to properly funding local government in tomorrow's local

0:02:58 > 0:03:07government settlement?We have... To enable them to fund spending in

0:03:07 > 0:03:12their areas. It is absolutely right that councils should not waste money

0:03:12 > 0:03:17and should find savings. The fact is, we went through an incredible...

0:03:17 > 0:03:23Period through labour and we have succeeded in reducing that deficit

0:03:23 > 0:03:29by three quarters. And can I point out to the honourable gentleman that

0:03:29 > 0:03:32councils have reserves of £23 billion. And in fact of those

0:03:32 > 0:03:44reserves have increased by 8 billion since 2010.Which would have brought

0:03:44 > 0:03:47in additional resource. However, with the Minister agree with me it

0:03:47 > 0:03:52is not just about resource but it is also about council structures,

0:03:52 > 0:03:58leadership and creating efficient organisations?My honourable friend

0:03:58 > 0:04:01is absolutely right. Lots of councils have done things better and

0:04:01 > 0:04:05more efficiently and in fact have led the way across government. We

0:04:05 > 0:04:09have also given more powers to local mayors and we are giving mayors

0:04:09 > 0:04:14across the country £4.8 billion of new investment over the next 30

0:04:14 > 0:04:20years.What priority does she attached to local authorities over

0:04:20 > 0:04:26new housing?It is vitally important that we see more housing built

0:04:26 > 0:04:32across the country and that is why at budget we committed to 300,000

0:04:32 > 0:04:43homes being built per year over the next decade.Mr Speaker, with the

0:04:43 > 0:04:49Chief Secretary join me in paying tribute to a council that has made

0:04:49 > 0:04:52substantial savings and efficiencies since 2010 whilst continuing to

0:04:52 > 0:04:58provide excellent services.He's absolutely right. We have seen the

0:04:58 > 0:05:02leadership of numerous Conservative councils across the who find new and

0:05:02 > 0:05:06efficient ways of doing things. And that is what we need to do as a

0:05:06 > 0:05:10government, we need to find better ways of doing things and more

0:05:10 > 0:05:15efficiency, rather than wasting money and crashing the economy as

0:05:15 > 0:05:21happened under the previous Labour governments.My own county council

0:05:21 > 0:05:24of Derbyshire has seen their government funding cut by over £200

0:05:24 > 0:05:29million. Two thirds of their spending goes on adult social care.

0:05:29 > 0:05:33Does the Minister agree it should be a postcode lottery as to which

0:05:33 > 0:05:38counties can afford the most council tax as to whether their elderly get

0:05:38 > 0:05:43looked after decently?We have put additional funding into social care

0:05:43 > 0:05:48and we have also allowed councils to raise a precept. I think it is a

0:05:48 > 0:05:52very important principle that local councils are accountable for the

0:05:52 > 0:05:58money they spend to local voters. And the situation we inherited in

0:05:58 > 0:06:032010 where 80% of the money came from local government means that we

0:06:03 > 0:06:07could have profligate local councils and local taxpayers would not have

0:06:07 > 0:06:13to foot the bill.This week having faced the same central government

0:06:13 > 0:06:16cuts from everywhere else, Conservative controlled Kettering

0:06:16 > 0:06:19Borough which am a member can expect to freeze its council tax for the

0:06:19 > 0:06:24eighth year in a row. Would it not appear that other councils are

0:06:24 > 0:06:31better at Op... Whatunder the previous Labour government council

0:06:31 > 0:06:36tax doubled and we are hearing talk from the benches opposite that if

0:06:36 > 0:06:46they were to getting government... The issue of local authorities and

0:06:46 > 0:06:51other public bodies. Will the Minister commits to lift in the

0:06:51 > 0:06:54public sector pay cap and to properly funding these pay

0:06:54 > 0:07:01increases?I point out that we put an extra £2 billion worth of

0:07:01 > 0:07:05spending power into the hands of the Scottish Government at the last

0:07:05 > 0:07:10budget. We have also said that we want to be flexible over public

0:07:10 > 0:07:13sector pay to make sure we are retaining and recruiting the best

0:07:13 > 0:07:21possible staff.If you'll forgive me, Mr Speaker, as we came into the

0:07:21 > 0:07:27chamber we heard the news of... Who coordinated a large number of

0:07:27 > 0:07:34all-party groups. I would like to send out simply to his family. These

0:07:34 > 0:07:36ministerial responses demonstrate absolutely no understanding

0:07:36 > 0:07:40whatsoever of the crisis of cuts over the last eight years and the

0:07:40 > 0:07:44impact on local government. Local councils are now facing a funding

0:07:44 > 0:07:48gap of nearly £6 billion by 2020 and it is the most vulnerable that are

0:07:48 > 0:07:52suffering. The number of children taken into care is at its highest

0:07:52 > 0:07:57level since 1985. One in three of councils are warning the cuts have

0:07:57 > 0:08:02left them with insufficient resources to support these children.

0:08:02 > 0:08:05The leader of the Chancellor's own Surrey council said, and I quote,

0:08:05 > 0:08:12the government cannot stand by idly when Rome burns. ... Commit today to

0:08:12 > 0:08:18use next month's Spring Bateman to address the funding crisis in our

0:08:18 > 0:08:22local councils?First of all, the springs statement is not a physical

0:08:22 > 0:08:26event and it is vitally important that we maintain the discipline that

0:08:26 > 0:08:31we have achieved over the last eight years, that we keep control of

0:08:31 > 0:08:35public spending because that is what has led to the strong economy we are

0:08:35 > 0:08:39now seeing, record levels of employment and increasing number of

0:08:39 > 0:08:43new businesses starting up. And the reality is that if the party

0:08:43 > 0:08:49opposite where to get into power, we would see that legacy squandered.

0:08:49 > 0:08:56Local government will see a 2.1% increase in cash terms between 2015

0:08:56 > 0:09:01and 2019. And as I pointed out, they have will have also seen an increase

0:09:01 > 0:09:06in local council reserves of £8 billion. Money available to spend

0:09:06 > 0:09:14than invest on investor local services.With the crisis in

0:09:14 > 0:09:18children's services, this is not the time for political knock-about

0:09:18 > 0:09:23responses. I am not sure if the Chief Secretary has witnessed a

0:09:23 > 0:09:28child being taken into care. I have and it can scar that child for life.

0:09:28 > 0:09:34But don't listen to me, listen to the all-party enquiry into children

0:09:34 > 0:09:37social care which won nine out of ten councils are struggling to meet

0:09:37 > 0:09:42their legal duty to children. The director of children's services says

0:09:42 > 0:09:45we cannot go on as we are. It is reported that over half the councils

0:09:45 > 0:09:49in England are planning to cut children's services further. As

0:09:49 > 0:09:56recent estimates say the Chancellor will have sufficient resources to

0:09:56 > 0:10:01protect our children from further cuts. So I'm asking again, I appeal,

0:10:01 > 0:10:06I appeal, once again to the Chancellor, to use the springs

0:10:06 > 0:10:11statement, which he has the flex ability to do, to address the £2

0:10:11 > 0:10:14billion funding gap in our children's services to protect our

0:10:14 > 0:10:22children.I think it is a bit rich of the honourable gentleman to

0:10:22 > 0:10:25suggest we should not bring politics into that when it is precisely what

0:10:25 > 0:10:31he's doing. What we're doing is making sure that local councils have

0:10:31 > 0:10:36the flexibility to raise council tax in order to fund those vitally

0:10:36 > 0:10:40important public services. But I think the party opposite has to

0:10:40 > 0:10:44acknowledge it's not just the money we spend but it's the way we spend

0:10:44 > 0:10:49it. And the reality is, if the entire focus is on the level of

0:10:49 > 0:11:05spending rather than what we're

0:11:05 > 0:11:10I'll sure the oral gentleman knows this, but just to put this in

0:11:10 > 0:11:14context, the vast majority of current PFI contracts were signed

0:11:14 > 0:11:21under the last Labour Government, 86% of all current PFI projects. The

0:11:21 > 0:11:25talented office in 2010, this Government as a reformed the

0:11:25 > 0:11:39approach, so they no deliver better value for money for the taxpayers.

0:11:39 > 0:11:48Newry PF2 project will be subjected to...I am concerned about the

0:11:48 > 0:11:54workers. 90% of contractors have to disagree bulk and it tended to pay

0:11:54 > 0:11:58staff, but only in the interim period. What about the tempo set

0:11:58 > 0:12:02that will not be paid, and what will happen after the interim period?

0:12:02 > 0:12:05While the Government guarantee the employment status and pay of those

0:12:05 > 0:12:12individuals?I think the gentleman might be slightly confusing PFI

0:12:12 > 0:12:16contracts with outsourcing contracts that don't involve capital

0:12:16 > 0:12:20structures, but the resolution of Carillion continues. So far there

0:12:20 > 0:12:27has been a very high rate of uptake of a private cloud of Carillion to

0:12:27 > 0:12:32continue services that are being delivered, and we have high hopes of

0:12:32 > 0:12:39protecting the vast majority of the jobs involve.What is a Government

0:12:39 > 0:12:48doing to approve transparency and public private partnerships?We

0:12:48 > 0:12:52absolutely value transparency. The added important part of the overall

0:12:52 > 0:12:56infrastructure, but as I have explained to the House just now,

0:12:56 > 0:13:00there are currently not PF2 project in procurement. I think that

0:13:00 > 0:13:05indicates that he has said the bar for value for money and public

0:13:05 > 0:13:12private partnership is very high, and we will continue to do so.That

0:13:12 > 0:13:18is a rather extraordinary state of affairs. I hope that the honourable

0:13:18 > 0:13:22gentleman is not and ASBOs, and if he is I am sorry, but otherwise

0:13:22 > 0:13:34there is absolutely no way he should be leaving the chamber while the

0:13:34 > 0:13:37question is being asked. It is a discursive day to the House. It is

0:13:37 > 0:13:42discussed it to Chancellor.The Shadow Chancellor recently wrote to

0:13:42 > 0:13:48the Chancellor asking if there was devised value for money get into and

0:13:48 > 0:13:53an updated list of PFI, as existing data is never two years old, and

0:13:53 > 0:13:57details of any assessment the Government carried out on

0:13:57 > 0:14:02Carillion's readiness to carrier contracts.We get this? I have not

0:14:02 > 0:14:06yet received a letter from the Shadow Chancellor, but if he has

0:14:06 > 0:14:08written to me, I shall of course replied to him and answer his

0:14:08 > 0:14:19questions.This Government has put raising our national productivity at

0:14:19 > 0:14:24the heart of our mission, from The National Productivity Investment

0:14:24 > 0:14:27Fund, we have are ready and it is over £50 million in investment in

0:14:27 > 0:14:31road and rail and in north-west, and this is an addition to the

0:14:31 > 0:14:38allocations in Manchester are 243 million, and Liverpool, 135 billion.

0:14:38 > 0:14:44By my honourable friend agreed that the £31 billion national

0:14:44 > 0:14:47productivity investment targeted at transport, digital communications,

0:14:47 > 0:14:51research and developing and housing lobbyist the infrastructure of the

0:14:51 > 0:14:58UK economy.The latest to six sure that we have had the best run of

0:14:58 > 0:15:03productivity growth says before the financial crisis, but we are

0:15:03 > 0:15:06certainly not complacent. The National Productivity Investment

0:15:06 > 0:15:11Fund but invest in an Rhodes, our broadband connections, and

0:15:11 > 0:15:15delivering more homes, all of which are key to raising wages and living

0:15:15 > 0:15:21standards are people across the country.The problem is that the

0:15:21 > 0:15:26fund is not doing anything to solve the problems on our roads and

0:15:26 > 0:15:30motorways, and it is amply not giving enough money to councils to

0:15:30 > 0:15:37make sure your peers are done. -- repairs to motorways and awards are

0:15:37 > 0:15:43done. We're having a greater crisis than we have seen for some time.I

0:15:43 > 0:15:48am afraid I don't agree with the analysis. The Government has made

0:15:48 > 0:15:52record amounts of investment into our roads, as indeed into error

0:15:52 > 0:15:58rail, and that its ads will announce in the autumn, there is for the

0:15:58 > 0:16:01money. £30 billion in total to improve transport across the north

0:16:01 > 0:16:11of England. -- 13 billion.This Government has done nothing to

0:16:11 > 0:16:15deliver local rail infrastructure in the north-west, which is vital for

0:16:15 > 0:16:20jobs and the economy, so when is the Government going to invest in a

0:16:20 > 0:16:25decent quality services, including services by my constituents from

0:16:25 > 0:16:27Southport to Manchester, because F they want to do it, they should

0:16:27 > 0:16:34stand aside and let us get on with the job.The Government has been

0:16:34 > 0:16:37investing more in railways across the country than any Government

0:16:37 > 0:16:41since Victorian times, and that includes in northern England. Across

0:16:41 > 0:16:45the country, the Government has been investing a quarter of the Chilean

0:16:45 > 0:16:49pounds and infrastructure projects is 2010, 4500 of which have already

0:16:49 > 0:16:57been completed.With your permission, I would like to add to

0:16:57 > 0:17:00this question together with question seven and eight, and as my

0:17:00 > 0:17:04honourable friend has just told us, since 2010 there has been over a

0:17:04 > 0:17:08quarter of a Gillian pounds are public and private investment in

0:17:08 > 0:17:12infrastructure. We continue to invest in infrastructure. In the

0:17:12 > 0:17:16autumn budget 2017, by expanding the national productivity investment

0:17:16 > 0:17:21funds that it will not provide £31 billion additional investment,

0:17:21 > 0:17:25including more than doubling the Housing infrastructure fund, to

0:17:25 > 0:17:30fibre compounds. The ad has set out at the budget, Mr Speaker, that our

0:17:30 > 0:17:33plans was a public investment entries to levels not sustained in

0:17:33 > 0:17:4340 years.Through the major roads network, vehicle excise duty will be

0:17:43 > 0:17:48made available for investment for strategic roads outside the beam at

0:17:48 > 0:17:50the highways agency. I understand that economic growth must be a

0:17:50 > 0:17:55priority, but how much will the pressure of future housing

0:17:55 > 0:17:59development be considered in any of these future schemes, such as in my

0:17:59 > 0:18:03constituency in New York, surrounded by the Northern Renwick, when we

0:18:03 > 0:18:09have a lot of housing?The major roads network will support the

0:18:09 > 0:18:15creation of new housing developments by improving access to future

0:18:15 > 0:18:18development sites and boosting suitable land capacity, so

0:18:18 > 0:18:24investment decisions for this funding will include considerations

0:18:24 > 0:18:28of high proposal schemes will unlock plans for housing development and

0:18:28 > 0:18:32help to improve how transport is planned for new developments at the

0:18:32 > 0:18:36outset, and the ring road that he refers to is of course part of the

0:18:36 > 0:18:41proposed major roads network.The Chancellor will not the great

0:18:41 > 0:18:44Eastern realign task force which has made the economic and business case

0:18:44 > 0:18:49for rail infrastructure directly to the Treasury. He will also note that

0:18:49 > 0:18:55Draco Anglican teenagers are forking out a lot of money to the tragedy

0:18:55 > 0:19:01under the current franchise. Can the Chancellor is generally get some of

0:19:01 > 0:19:03this money back to invest in a

0:19:03 > 0:19:06much-needed improvements that are commuters are not getting?My

0:19:06 > 0:19:10honourable friend is a great champion of infrastructure, and I

0:19:10 > 0:19:13see how was to create a more dependable rear wing with entries

0:19:13 > 0:19:17focus on punctuality and reliability, and that is why the

0:19:17 > 0:19:21Government is pushing the beggars feel investment since Victorian

0:19:21 > 0:19:27times. Under the Greater Anglia franchise that is a commitment to

0:19:27 > 0:19:29deliver more services, faster journey times, including two Norwich

0:19:29 > 0:19:36with trains each weight from 2019. And a great Eastern Menai proposal

0:19:36 > 0:19:41is currently in an early stage of development, but we will consider

0:19:41 > 0:19:47the case this year has been followed.Can the Chancellor update

0:19:47 > 0:19:51has on the steps being taken to ensure the Government's ambitious

0:19:51 > 0:19:54plans for housing are supported by the local infrastructure

0:19:54 > 0:20:01investments, such as through housing infrastructure fund?My honourable

0:20:01 > 0:20:05friend is right to observe that the conduct build the homes is continued

0:20:05 > 0:20:09without infrastructure, and often it is back from local communities to

0:20:09 > 0:20:13the idea of accommodating greater number of homes is if you're that

0:20:13 > 0:20:18infrastructure will not keep it. To budget 2017 more than doubled the

0:20:18 > 0:20:23housing infrastructure fund, taking it to a total of £5 billion, and in

0:20:23 > 0:20:29February the 1st, we announced a by compounds of investment from that

0:20:29 > 0:20:34fund, supporting 133 project that will unlock infrastructure for up to

0:20:34 > 0:20:40200,000 new homes.It is now two years and two months since Boxing

0:20:40 > 0:20:45Day fact that hit much of Yorkshire, including my constituency of Leeds

0:20:45 > 0:20:49West, took still in Leeds West is no better protected from floods than it

0:20:49 > 0:20:54was on Boxing Day 2015, and the Government still have not signed off

0:20:54 > 0:21:01money for the face to alleviation scheme. -- phase two alleviation

0:21:01 > 0:21:09scheme. Buy more that happen, because it is ardently needed?My

0:21:09 > 0:21:13constituency also has been affected by flooding, and some of the

0:21:13 > 0:21:16response projects and major engineering projects which take time

0:21:16 > 0:21:21to develop, and of course Defra and the Environment Agency has funding

0:21:21 > 0:21:25for flood relief projects, but these have to be prioritised, and have to

0:21:25 > 0:21:28be worked up into proper business cases, but I will look at this

0:21:28 > 0:21:34preserve the case, and if I may, I will write to have a busy copy in a

0:21:34 > 0:21:40hazmat.The most important national infrastructure project is a network

0:21:40 > 0:21:45of tidal lagoons for low-carbon energy. Since Jay-Z apparently

0:21:45 > 0:21:49uprooted project as good value for money, why isn't allowing dinosaurs

0:21:49 > 0:21:57in the energy Department to block it?I imagine that the honourable

0:21:57 > 0:22:01gentleman is offending to the Swansea Bay tidal lagoon project,

0:22:01 > 0:22:05which as he knows, is under consideration by the Government, and

0:22:05 > 0:22:13on an item will be made in due course.Contrary to the Treasury's

0:22:13 > 0:22:19on assessment, be visibly found that a sport investment in London is 2.5

0:22:19 > 0:22:25times per capita higher than it is in the north. An knowledge -- in

0:22:25 > 0:22:28knowledge, we know companies are shedding jobs and citing the

0:22:28 > 0:22:34transport as a cause. What action will minister stick to Ederson is an

0:22:34 > 0:22:38just imbalance, and how it will be, to working with the mirrors of

0:22:38 > 0:22:41Manchester and Liverpool on the convention of the north and eyes

0:22:41 > 0:22:49this morning?I just recognise an agree with the honourable

0:22:49 > 0:22:52gentleman's figures. The analysis shows that actively infrastructure

0:22:52 > 0:22:59investment in the north per capita is higher than in the south-east.

0:22:59 > 0:23:04The Chancellor has spoken out in favour of rebalancing the economy

0:23:04 > 0:23:10via a fairer redistribution of tyres were spending, we did therefore

0:23:10 > 0:23:14consider the strategic jazz pipe was cause for a specific entries and

0:23:14 > 0:23:18transport spending across the north of England?The Government is

0:23:18 > 0:23:23committed to the northern powerhouse project, and recognises that that

0:23:23 > 0:23:28has to be supported through infrastructure investment. We are

0:23:28 > 0:23:31looking at northern powerhouse infrastructure investment projects

0:23:31 > 0:23:34on a case-by-case basis, and will continue to support the development

0:23:34 > 0:23:46of the northern powerhouse.Question six, Mr Speaker.The Government is

0:23:46 > 0:23:51undertaking a wide-ranging set of analysis of the impact of our

0:23:51 > 0:23:55departure from the European Union. This is changing through time as we

0:23:55 > 0:23:59develop an approach going forward, and as we move to a bold and

0:23:59 > 0:24:04Scarborough heads of agreement with the union partners -- all that

0:24:04 > 0:24:10comprehensive agreement.The Chancellor new in 2016 that the

0:24:10 > 0:24:17majority of people with proof that a soft Brexit a hard-won, and people

0:24:17 > 0:24:21like the Foreign Secretary who said he would have for a single market,

0:24:21 > 0:24:27but neither Chancellor knows that it will cost us £45 billion in lost tax

0:24:27 > 0:24:30receipts Didier hard Brexit, while he at least acknowledge that the

0:24:30 > 0:24:35people like me and across the chamber who support us remaining and

0:24:35 > 0:24:39both a customs union and the single market do it in the name of

0:24:39 > 0:24:43prosperity and in the name of upholding democracy?The Government

0:24:43 > 0:24:47has made its position very clear. We are leaving the European Union, that

0:24:47 > 0:24:50means we are leaving the customs union and the single market, however

0:24:50 > 0:24:55we are determined to negotiate a deal which will give us fragilis

0:24:55 > 0:25:00trade with the EU 27 as possible, postal aligning herself as a

0:25:00 > 0:25:04globally facing mission to go out and conduct and secure free trade

0:25:04 > 0:25:11agreements with other countries around the world.Could the

0:25:11 > 0:25:14Government minister please confirm that it will be a Conservative

0:25:14 > 0:25:18Government that is and will continue to be the voice of British business,

0:25:18 > 0:25:22and that securing a strong economic future will be at the heart of the

0:25:22 > 0:25:27Brexit negotiations?I thank my right honourable friend for that

0:25:27 > 0:25:32question. I can of course confirm that we remain entirely committed to

0:25:32 > 0:25:36the strength of our economy, to supporting businesses up and down

0:25:36 > 0:25:39our country, not least in our negotiations over the European

0:25:39 > 0:25:45Union, and in a customs respect to that, for which I have some aspire

0:25:45 > 0:25:47to do with us some responsibility in making sure that the move as

0:25:47 > 0:25:54effectively as possible across the EU 27 post our departure.I believe

0:25:54 > 0:25:59that the best way forward for Britain is to negotiate a new

0:25:59 > 0:26:02relationship with the European Union, one based on an economic

0:26:02 > 0:26:05partnership involving a customs union and the single market and

0:26:05 > 0:26:10goods and services. Not my words, Mr Speaker, but the member of

0:26:10 > 0:26:12Parliament for North Somerset, the Secretary of State for International

0:26:12 > 0:26:19Development, from his website just now. Can I ask the Minister, what

0:26:19 > 0:26:23representation as he had from the Secretary of State for International

0:26:23 > 0:26:25Development and supportive membership of the customs union and

0:26:25 > 0:26:39the single market?

0:26:39 > 0:26:44On the customs union and on trade. We are taking forward legislation to

0:26:44 > 0:26:48make sure that the aspirations that we have in that respect in terms of

0:26:48 > 0:26:57our negotiations with the EU can... When those deals are concluded.

0:26:57 > 0:27:00Yesterday I met a delegation of business representatives from my

0:27:00 > 0:27:04constituency who are optimistic about our prospects when we leave

0:27:04 > 0:27:09the single market and Customs union. They are currently examining the

0:27:09 > 0:27:13concept of Freeport. Will the Minister agree to meet them when

0:27:13 > 0:27:17they have developed their thoughts further and try and overcome

0:27:17 > 0:27:25possible obstacles?I thank the honourable member for his question.

0:27:25 > 0:27:29Of course, I or indeed the Chief Secretary to the Treasury will be

0:27:29 > 0:27:35happy to meet him and his business colleagues. We are potentially

0:27:35 > 0:27:39interested in Freeport go forward and we will keep that under review.

0:27:39 > 0:27:42Many members of the cabinets have made their views clear on this

0:27:42 > 0:27:46issue. The Chancellor has said that after we leave the EU he would like

0:27:46 > 0:27:50to see no tariffs with Europe and no hard border with Northern Ireland.

0:27:50 > 0:27:56To quote he said he wanted a deal that would facilitate the freest

0:27:56 > 0:28:02deal with the EU and allow us to forge new relationships around the

0:28:02 > 0:28:10world. ... In a speech made yesterday by the Leader of the

0:28:10 > 0:28:17Opposition which to quote the Chancellor will facilitate the

0:28:17 > 0:28:23freest... And allow us to forge new trade agreements with our partners

0:28:23 > 0:28:32are unwell.Well, I'm clearly here to speak about government policy.

0:28:32 > 0:28:37The zigzag in that we have seen from members opposite on the position of

0:28:37 > 0:28:42the customs union has been quite extraordinary. And it does seem to

0:28:42 > 0:28:45me at first take if I understand what has been suggested that this

0:28:45 > 0:28:50idea that you can be in the customs union and yet go out and have very

0:28:50 > 0:28:53high level of control over doing deals with other countries, I just

0:28:53 > 0:29:02do not think tanks together. Questioned nine, Mr Speaker. Thank

0:29:02 > 0:29:05you, Mr Speaker. My honourable friend will know that in the budget

0:29:05 > 0:29:08might honourable friend the Chancellor announced an additional

0:29:08 > 0:29:16one point. The. Billion we ensure our position of the Welsh government

0:29:16 > 0:29:19that our funding is above that the rate in England and as a consequence

0:29:19 > 0:29:23of those and other measures, Wales is now one of the fastest-growing

0:29:23 > 0:29:30nations within the nations and regions of the United Kingdom.Will

0:29:30 > 0:29:36he further agree with me that leaving the UK single market would

0:29:36 > 0:29:41leave of far bigger risk to the economy the lead in the EU single

0:29:41 > 0:29:52market?It is entirely right. Competitors 12% going into the

0:29:52 > 0:29:56European Union. I think those figures, Mr Speaker, speak for

0:29:56 > 0:30:01themselves.Traditionally Wales has lower wages than the rest of the

0:30:01 > 0:30:04economy. In light of low productivity and low growth

0:30:04 > 0:30:08forecast, what is the government ensuring that high-quality jobs can

0:30:08 > 0:30:16be attracted to the Welsh economy? We're doing a great deal in terms of

0:30:16 > 0:30:20productivity across the country. We have agreed to city deals within

0:30:20 > 0:30:28Wales, £500 million for Cardiff, more for Swansea. Employment is up

0:30:28 > 0:30:34in Wales by 7.3% since 2010 and unemployment in Wales is down by 39%

0:30:34 > 0:30:43since that time.The question is, what investment? They have promised

0:30:43 > 0:30:49to electrify the main line between the two cities. They will not commit

0:30:49 > 0:30:56to the Swansea Bay lagoon... Welsh at the same time as subsidising the

0:30:56 > 0:31:00most expensive row when the world in England. When will the government

0:31:00 > 0:31:06stop taking Wales were right?Am very surprised, Mr Speaker, to hear

0:31:06 > 0:31:08the honourable member levelled those accusations against a government.

0:31:08 > 0:31:12I've already explained we have set aside another 1.2 billion for Wales

0:31:12 > 0:31:17in the recent budget, the two city deals that I have referred to were

0:31:17 > 0:31:23also back back in a South Wales metro and we're big committed to

0:31:23 > 0:31:28agree on further growth deals with North and south Wales.Version ten,

0:31:28 > 0:31:34Mr Speaker. Mr Speaker, the cross Whitehall analysis referred to is

0:31:34 > 0:31:38provisional internal analysis, part of on growing analysis and further

0:31:38 > 0:31:43work is in train. This analysis has been developed as a tool to inform

0:31:43 > 0:31:47Ministers on the European Union exit trade committee and subcommittees

0:31:47 > 0:31:53about the choices that must be made as negotiations progress. Thank you

0:31:53 > 0:31:57for that answer. Does the Chancellor agree with the former international

0:31:57 > 0:32:00trade permanent secretary that giving up the single market and

0:32:00 > 0:32:03customs union is like giving up a three course meal for packet of

0:32:03 > 0:32:09crisps in the future? If he does not agree, can he agree what specific

0:32:09 > 0:32:12evidence his department has seen that future trade agreements will

0:32:12 > 0:32:16outweigh the damage of leaving the single market customs union for

0:32:16 > 0:32:19businesses and jobs across the country but particularly in the

0:32:19 > 0:32:27north-east?It is the government's intention to maintain the highest

0:32:27 > 0:32:30possible access for British businesses to European Union

0:32:30 > 0:32:34markets. And the honourable lady is right that we should approach this

0:32:34 > 0:32:39on an evidence basis. We should look for the evidence of value of our

0:32:39 > 0:32:42trade flows with Europe, what that is generating UK in terms of jobs

0:32:42 > 0:32:49and we should look objectively at the opportunities that lie with

0:32:49 > 0:32:54third country trade deals and the likely profile of new jobs and new

0:32:54 > 0:32:57trade and new opportunities that can be created and we should weigh those

0:32:57 > 0:33:05carefully.Mr Speaker, leaks from the Brexit analysis showed that UK

0:33:05 > 0:33:12Government's borrowing will rise dramatically under bricks fit. Can

0:33:12 > 0:33:17the Chancellor reassures that he will cut vital public services to

0:33:17 > 0:33:22plug this gap?As the honourable lady knows, the analysis she refers

0:33:22 > 0:33:30to models standardised off-the-shelf trade models. The government is

0:33:30 > 0:33:35seeking a bespoke deal with the European Union to deliver a deep

0:33:35 > 0:33:38economic partnership, which would have a completely different set of

0:33:38 > 0:33:46outcomes. That remains our objective.Mr Speaker, it is for

0:33:46 > 0:33:50departments to consider the equalities impact of their proposals

0:33:50 > 0:33:54on workforce strategy and pay. The important thing is we reward public

0:33:54 > 0:33:59servants fairly for the work they do.Public sector servants certainly

0:33:59 > 0:34:07have not been fairly. Can I return to the private sector. Is the chief

0:34:07 > 0:34:10secretary concerned as I am that many private-sector firms in their

0:34:10 > 0:34:15reporting obligations on the gender pay gap are excluding partners

0:34:15 > 0:34:18income on the basis that they are not employees. What will government

0:34:18 > 0:34:26do to close a loophole?We have announced new policies on reporting

0:34:26 > 0:34:31the private sector pay gap. The pay gap has come down under this

0:34:31 > 0:34:34government and we are now seeing a record number of women in work. And

0:34:34 > 0:34:40the reason that is is we have taken the difficult economic decisions to

0:34:40 > 0:34:43close the deficit and to make sure we have allowed the private sector

0:34:43 > 0:34:51to flourish.With inflation at 3% and government cut council tax and

0:34:51 > 0:34:55police budgets forcing up precepts, why should low paid workers

0:34:55 > 0:34:59predominantly who are women have an increase of only 1% next year after

0:34:59 > 0:35:05four years of 1% already?First of all I would point out that those on

0:35:05 > 0:35:12the lowest pay have seen their real wages rise by 7% since 2015. The

0:35:12 > 0:35:17highest level for some time. And also, it is the women that we are

0:35:17 > 0:35:22seeing more likely to be in work, a record level of employment and we

0:35:22 > 0:35:25have also given additional flexibility to public services to

0:35:25 > 0:35:35make sure they are able to recruit and retain.The government is taking

0:35:35 > 0:35:38a proactive approach to support borrowers and to aid people to

0:35:38 > 0:35:42manage their money well and help those in problem debt. We reformed

0:35:42 > 0:35:48the regulation giving the FC a considerable regulatory powers and

0:35:48 > 0:35:51we are setting up a new single financial guidance policy to make it

0:35:51 > 0:35:58easier for people to get help with money matters.After seven years,

0:35:58 > 0:36:03wages are still flowing 2010. Self-employed people are on average

0:36:03 > 0:36:08paid less than they were a generation ago. Does the Minister

0:36:08 > 0:36:11share my alarm that too many people are having to worry about buying

0:36:11 > 0:36:15school uniform, affording a family holiday or even just paying for

0:36:15 > 0:36:21their rent or mortgage?The government recognises it's very

0:36:21 > 0:36:24important that we focus on the poorest people in our society, that

0:36:24 > 0:36:28is why we have increased the national living wage by 4.7% which

0:36:28 > 0:36:34will mean a pay rise of £600 for those working full-time. We have

0:36:34 > 0:36:38also increased the personal allowance, frozen the fuel duty and

0:36:38 > 0:36:45increased childcare support to attend to the concerns raised.As

0:36:45 > 0:36:48part of our enquiry into household finances, the Treasury committee is

0:36:48 > 0:36:51looking at the problems facing financially vulnerable households

0:36:51 > 0:36:56and last week I and my committee colleague visited the citizens

0:36:56 > 0:37:01advice bureau in Nottingham. There they told as the problems caused by

0:37:01 > 0:37:05banks and companies but the harshest of always the government. There is

0:37:05 > 0:37:09forbearance for... Over parents. A live is often the first port of call

0:37:09 > 0:37:14rather than a last resort. Is the Minister concerned by this heavy

0:37:14 > 0:37:25handedness and as you not agree that the local... Should lead...As part

0:37:25 > 0:37:30of the work of the single finance guidance body, we will be

0:37:30 > 0:37:35implementing a breathing space. That work is... That Bill is going

0:37:35 > 0:37:38through committee as you know and I am determined that we will get this

0:37:38 > 0:37:41right, listen to best practice across the country. We are committed

0:37:41 > 0:37:46in our manifesto to a six-week breathing space and we will look

0:37:46 > 0:37:52very carefully at representations received from across the country.

0:37:52 > 0:37:55Citizens advice report on Universal Credit claimants who are having more

0:37:55 > 0:37:59than 40% of their standard allowance taken from the monthly payment.

0:37:59 > 0:38:04There is a 40% cap on repayments to third parties but it does not appear

0:38:04 > 0:38:07to include payments of advanced budgeting loans and it is living

0:38:07 > 0:38:11people and able to look make ends meet. Will the Minister agreed to

0:38:11 > 0:38:17meet with DWP colleagues to ensure people are not pushed into debt by

0:38:17 > 0:38:23the government's own rules?Of course I will meet with colleagues

0:38:23 > 0:38:26across government. I meeting with the Minister as we seek to get this

0:38:26 > 0:38:34legislation right.Mr Speaker, membership of the European Economic

0:38:34 > 0:38:40Area would require free member of people with the rest of the European

0:38:40 > 0:38:43Union and the UK Government has been clear that the free movement of

0:38:43 > 0:38:48people cannot continue as it is now. So we are seeking a bespoke,

0:38:48 > 0:38:52comprehensive and ambitious partnership in the neutral interests

0:38:52 > 0:39:00of the UK and the EU.The government's own forecast at suggest

0:39:00 > 0:39:04that no deal Brexit will cut GDP growth in the north-west of England.

0:39:04 > 0:39:13What steps is he taking to reduce the impacts of no deal?As I said

0:39:13 > 0:39:17earlier in answer to a previous question, the figures to which my

0:39:17 > 0:39:21honourable friend refers are based on standardised trade models, not

0:39:21 > 0:39:24that its bespoke deal that we are seeking to achieve. She asked me

0:39:24 > 0:39:30what steps I am taking to protect her constituents's interest. I am

0:39:30 > 0:39:35supporting my colleagues in seeking to strike an ambitious partnership

0:39:35 > 0:39:43with the EU that delivers maximum benefits for the EU and the UK.What

0:39:43 > 0:39:46assessment has the Chancellor made in particular of the potential

0:39:46 > 0:39:54benefits of EUA benefits... UK economy of the creative industries,

0:39:54 > 0:40:00so important for my constituents in Bristol West?The creative

0:40:00 > 0:40:04industries and one of Britain's a great success stories and more

0:40:04 > 0:40:09broadly our services sector is our strategic strength in many respects.

0:40:09 > 0:40:13We have to ensure that as we negotiate a future relationship with

0:40:13 > 0:40:17the European Union, we protect not only the marketing goods but the

0:40:17 > 0:40:20marketing services where Britain has such significant comparative

0:40:20 > 0:40:28advantage.By helping all places to access the benefits of technological

0:40:28 > 0:40:33progress and reach their full potential, we can drive growth at

0:40:33 > 0:40:37national level. Sizzled in 2016 the government has announced an

0:40:37 > 0:40:41additional £7 billion for science and innovation... To total

0:40:41 > 0:40:50government are indeed spending by 2021.Does he agree with me that

0:40:50 > 0:40:53digital technology enables further devolution away from London of

0:40:53 > 0:41:00high-tech industries but what is the government doing to support a?The

0:41:00 > 0:41:06government's are expanding... By investing 21 million over four years

0:41:06 > 0:41:09to help people grow a digital business and this includes a

0:41:09 > 0:41:14large-scale city the demonstrated in Manchester which demonstrates how

0:41:14 > 0:41:26Internet links can improve energy and health and culture.

0:41:26 > 0:41:32In those centres of excellence in gaydar, health and energy, key

0:41:32 > 0:41:36drivers of future economy. And Saturday, I had a meeting with Sadiq

0:41:36 > 0:41:42can wear start-up is identified attracting investment as a key

0:41:42 > 0:41:47barrier to their growth. What is this Government doing to attract

0:41:47 > 0:41:50investment to businesses in Newcastle, and those that the good

0:41:50 > 0:41:57image in a bank has supported by Labour?We certainly have a national

0:41:57 > 0:42:02bank to encourage investment in small businesses. We also have the

0:42:02 > 0:42:05£400 million digital infrastructure fund, and as a minister, I am doing

0:42:05 > 0:42:09all I can to make sure we find the best conditions for investing across

0:42:09 > 0:42:22the country.ICI FS have confirmed, under our plan, public investment

0:42:22 > 0:42:26will reach levels not sustained until the late 1970s by the end of

0:42:26 > 0:42:30this Parliament, and we want to see that investment across United

0:42:30 > 0:42:34Kingdom. We are delivering £30 billion of transport investment in

0:42:34 > 0:42:38the north, and we will launch a transport as much as what fun to

0:42:38 > 0:42:46kasbah migrate to cities.Devolution in the greatest city scatter

0:42:46 > 0:42:50Manchester region is beginning to unlock opportunities for investment

0:42:50 > 0:42:52and infrastructure, research and development and innovation in the

0:42:52 > 0:42:59north-west. It will allow facilities in my constituency to prosper.

0:42:59 > 0:43:03There's a minister and agree, that FBI able to realise the full

0:43:03 > 0:43:12potential of our regions, devolution has to extend further.I'm delighted

0:43:12 > 0:43:15to hear the positive story that the honourable gentleman is giving that

0:43:15 > 0:43:20we have created as a Government. In the last make, I have met with the

0:43:20 > 0:43:24Mayor of Greater Manchester, and we are committed to working with anyone

0:43:24 > 0:43:26who shares our commitment to economic growth and prosperity in

0:43:26 > 0:43:35the north of England.The Government is committed to picking up

0:43:35 > 0:43:40investment in Scotland and it did the Chancellor announced an

0:43:40 > 0:43:45additional £2 billion at Dinas budget. We have boosted city deals

0:43:45 > 0:43:51are ready by £1 billion, and we have committed for the city deals in

0:43:51 > 0:43:57sterling, the case it is, and the Borders.As shown by honourable

0:43:57 > 0:44:02friend will share my concern and the consent of my constituents activity

0:44:02 > 0:44:09stats were at a recent systematic sure that -- showed a decline below

0:44:09 > 0:44:13the levels of the UK. Does he not agree with me that instead of making

0:44:13 > 0:44:18Scotland the highest tax part of the UK, and increasing taxes, he should

0:44:18 > 0:44:22be encouraging the Scottish Government to follow this

0:44:22 > 0:44:26Government's lead, encouraging enterprise and growing UK

0:44:26 > 0:44:32productivity if that's what it ties levels in ten years.You're

0:44:32 > 0:44:38absolutely right to raise the critical as you are productivity,

0:44:38 > 0:44:40and it is of course the responsibility of both Government

0:44:40 > 0:44:45and that respect. On the matter of tax that you raise, I totally agree,

0:44:45 > 0:44:49that it is important to keep tax down, add to the extent that that

0:44:49 > 0:44:54has achieved in Scotland as been to a last degree the changes we have

0:44:54 > 0:45:05made to personal allowance.

0:45:11 > 0:45:17Mr Speaker, we have made sure that local councils have the reliability

0:45:17 > 0:45:20to serve local residents by giving them additional council tax

0:45:20 > 0:45:29flexibility.I thank the Minister for that answer, but between 2010

0:45:29 > 0:45:38and 2020, bit of a cancer will have had their direct funding cut by 70%.

0:45:38 > 0:45:43Can the minister explain how they are expected to meet the rising

0:45:43 > 0:45:47children service and adult social care demands?As they died, councils

0:45:47 > 0:45:52have been given the ability to increase council tax levels to pay

0:45:52 > 0:45:56for those services, and what is vitally important is that those

0:45:56 > 0:45:59taxes are raised locally so that local councillors are accountable

0:45:59 > 0:46:07for the decisions they make.Can you confirm that the Government will now

0:46:07 > 0:46:11probably to improve their funding for local government to replace the

0:46:11 > 0:46:16transparent and advert system, and what you look closely at the

0:46:16 > 0:46:19Leicestershire model for dinner.It is a good point. Local government

0:46:19 > 0:46:24funding has not been fair, and that is why we have been consulting on

0:46:24 > 0:46:27affair from you at the moment, analyst with interest that has

0:46:27 > 0:46:40representations.With the Minister give... Number 20, Mr Speaker.Since

0:46:40 > 0:46:462010, when we had a post-war record level of deficit of 9.9%, we have

0:46:46 > 0:46:52reduced that to 2.2% as of last year, and a forecast in November

0:46:52 > 0:47:00that this deficit bolt for the decline to 1.1% of GDP by 2022,

0:47:00 > 0:47:042023.With the Minister give an estimate of his recent assessment of

0:47:04 > 0:47:07his effect that our deficit reduction measures have taking up on

0:47:07 > 0:47:12relieving the tax burden for younger generations?My honourable friend

0:47:12 > 0:47:15rate is an absolutely critical point about the borders of getting the

0:47:15 > 0:47:19debts down in order to make sure that future generations do not carry

0:47:19 > 0:47:23the burden of that debt, which is why we have reduced the deficit by

0:47:23 > 0:47:27three quarters, it is why we are going to hit our reduction and the

0:47:27 > 0:47:37level of debt to years early in 2020.The an agenda for Huddersfield

0:47:37 > 0:47:46is very eager, and I think we ought to hear the fellow.Some people in

0:47:46 > 0:47:49the us will not I am not the most radical member of the pages, but can

0:47:49 > 0:47:54I tell the Minister that if we had been successful in reducing the

0:47:54 > 0:48:00budget of this Government, my constituents in Yorkshire could

0:48:00 > 0:48:04forget that, but the fact of the matter is that we have had the money

0:48:04 > 0:48:09for the electrification of the trans-Pennine relied stolen from us,

0:48:09 > 0:48:15and as Chancellor refuses to give it back. When will he make amends?As

0:48:15 > 0:48:24the honourable member but not, that we are awaiting the business case

0:48:24 > 0:48:28for this project, and when we receive that, we will accept that

0:48:28 > 0:48:45most closely.Thank you so much, Mr Speaker.In summer 2015, the summer

0:48:45 > 0:48:53as the CEO of virgin money to bleed a view to gender diversity. And

0:48:53 > 0:49:01response, she lodged the women's finance Charter, which as pharmacy,

0:49:01 > 0:49:10to four.I thank the Minister for that excellent answer, and following

0:49:10 > 0:49:17the Royal mind's appointment of its first funeral Chief Executive in its

0:49:17 > 0:49:201001 year history, but the Secretary of State journey in congratulating

0:49:20 > 0:49:27her on her new role?Yes, I would be delighted to congratulate Art, and I

0:49:27 > 0:49:32wish her all the best in the new role. If I may, I would also like to

0:49:32 > 0:49:38take this opportunity to apply to congratulate my own constituents who

0:49:38 > 0:49:46was elected the first woman president... I wish the Secretary of

0:49:46 > 0:49:48State are the best with that. LAUGHTER

0:49:48 > 0:50:03.I'm sure he'll be back with some anxiety.My principal responsibility

0:50:03 > 0:50:05is to ensure economic responsibility and the continued prosperity of the

0:50:05 > 0:50:10British people and I will do so by building on the plan set out in the

0:50:10 > 0:50:13autumn budget. This Government is determined to meet the important

0:50:13 > 0:50:17challenges we face as well as to seize the opportunities ahead, as we

0:50:17 > 0:50:22create an economy fit for the future. And I balanced approach to

0:50:22 > 0:50:26the public finances enables ASBO to give households and businesses

0:50:26 > 0:50:30supporting the near term, and to invest in the future of this country

0:50:30 > 0:50:34while also being fair to the next generation by reducing the national

0:50:34 > 0:50:42debt that remains far too large. Reducing to raise VAT to 5% after

0:50:42 > 0:50:47really the European Union would create an extra 121,000 jobs and

0:50:47 > 0:50:51£4.6 billion in revenue to the tragedy of a tenuous. It will be a

0:50:51 > 0:50:59great boost to our cities and also our coastal towns. While he commit

0:50:59 > 0:51:05to looking at this edgy as we leave the EU?My honourable friend is

0:51:05 > 0:51:09nothing if not persistent and consistent. At that can never have

0:51:09 > 0:51:12maintained he has raised this issue. There have been numerous requests

0:51:12 > 0:51:17for new VAT believes since the referendum, some of which is

0:51:17 > 0:51:22currently not permitted under EU law. And have that everywhere to

0:51:22 > 0:51:26gather the VAT relief request that we have received, that has come to

0:51:26 > 0:51:33more than £38 billion a year. On VAT and tourism, the Government has

0:51:33 > 0:51:36received representations on this issue. We are looking again at the

0:51:36 > 0:51:40case for change, and we have issued a call for evidence on the impact of

0:51:40 > 0:51:44the 80 on tourism in Northern Ireland, analyst at the keep this

0:51:44 > 0:51:50issue and a careful review.The chief secretary gave a speech last

0:51:50 > 0:51:54year, far better value for money from public finances, and are not

0:51:54 > 0:51:59spending money we don't have. He talked about not wasting money. So

0:51:59 > 0:52:03how can she justify spending hundreds of millions of pounds on

0:52:03 > 0:52:08for the tax giveaways was £2000 per child via the tax free childcare

0:52:08 > 0:52:14scheme to the wealthiest families using, for example, private schools.

0:52:14 > 0:52:19Isn't that a waste of money? Is that not spending money we don't have?I

0:52:19 > 0:52:24will point out that the voucher scheme invented by the previous

0:52:24 > 0:52:31Labour Government only benefited 600,000 families, whereas our scheme

0:52:31 > 0:52:43is much broader. It benefits 1.5 million people. And... And the skin

0:52:43 > 0:52:48of the Labour Government was open to private schools and private

0:52:48 > 0:52:55mercenaries as well.Last weekend the chamber, we had an opposition MP

0:52:55 > 0:52:58complained that they believe they should be personally be paying far

0:52:58 > 0:53:03more tax. Can the Minister confirm the mechanism by which anybody can

0:53:03 > 0:53:10currently voluntarily do exactly that?As a minister of the tragedy,

0:53:10 > 0:53:15I would be delighted if the people voluntarily stepped forward to pay

0:53:15 > 0:53:20more tax than they argue, that is, I am pleased to inform my honourable

0:53:20 > 0:53:24friend, about the possible by way of a gifted to the Crown, and I am

0:53:24 > 0:53:28looking at ways to raise awareness of that particular opportunity. I

0:53:28 > 0:53:32would be happy to meet with him to discuss those options with them. I

0:53:32 > 0:53:35would also to all members are very generous gift aid relief that the

0:53:35 > 0:53:40Treasury provides for those to which to make direct contributions to

0:53:40 > 0:53:45charities of their choice.Four intent of Enfield's children are

0:53:45 > 0:53:54living below the poverty line. But on a 34 children -- that is almost

0:53:54 > 0:53:5734 thousand children. My constituency is in the top 20

0:53:57 > 0:54:00constituencies in the country with the fastest growing level of child

0:54:00 > 0:54:06poverty. If the Chancellor pursuing any kind of joined up policies with

0:54:06 > 0:54:10other relevant departments didn't by the Prime Minister said and make

0:54:10 > 0:54:14Britain a country that works not for a privileged few but for every one

0:54:14 > 0:54:20of us, including those 34,000?The Government believes that one of the

0:54:20 > 0:54:24most important divers are bringing people out of poverty is work, and

0:54:24 > 0:54:28we are rolling out Universal Credit as a consequence, with it is ever is

0:54:28 > 0:54:34that that is more successful online and legacy benefits. Since 2010, the

0:54:34 > 0:54:41honourable lady will probably know that 200,000 fewer children are now

0:54:41 > 0:54:46in absolute poverty than was the case in 2010.What preparations as

0:54:46 > 0:54:51the Treasury be making for leaving the European Union, and by the

0:54:51 > 0:54:54tragedy be ready on day one to adjure frictionless borders when we

0:54:54 > 0:55:01leave the European Union, Deal or no Deal?The Government is continuing

0:55:01 > 0:55:08with data preparations for all possible March 20 scenarios, and

0:55:08 > 0:55:10this includes adjourning the partners have adequate resources to

0:55:10 > 0:55:16prepare for a year at it. To date, the Treasury has allocated

0:55:16 > 0:55:18departments nearly £790 for preparation activity, and we are

0:55:18 > 0:55:25currently in the process of allocating the 18-19 funding from

0:55:25 > 0:55:31the additional funding INS in the autumn budget.The health and social

0:55:31 > 0:55:36care system has been pushed to its limit in recent weeks, not my words,

0:55:36 > 0:55:39but those of my local hospital trust, and last month they were

0:55:39 > 0:55:48forced to cancel and 9025 operators, and 640 outpatient appointment. --

0:55:48 > 0:55:57325 operations. It also makes it just's challenge and financial

0:55:57 > 0:56:00situation even worse. When will he get the system be sustainable

0:56:00 > 0:56:06funding it needs?

0:56:06 > 0:56:09The NHS has been rated the best health care system in the world but

0:56:09 > 0:56:13we do recognise there are extra demands on the help system which is

0:56:13 > 0:56:20why at the budget we put in an extra £6.3 billion worth of funding.What

0:56:20 > 0:56:23progress has been made in reducing the level of corporation tax

0:56:23 > 0:56:31evasion?I'm delighted to warm the House considerable progress has been

0:56:31 > 0:56:36made in reducing the level of tax evasion amongst the corporate

0:56:36 > 0:56:40sector. We have been at the forefront of the initiative's

0:56:40 > 0:56:48launched with the... The profit diversion tax was brought in in 2015

0:56:48 > 0:56:54as a consequence we have brought in £53 billion in by clamping on this

0:56:54 > 0:57:00area since 2010.Members have already raised the insufficient

0:57:00 > 0:57:06funding of local authorities by this government. The local campaign in

0:57:06 > 0:57:11Lewisham prevented children and adults with mental health services

0:57:11 > 0:57:14still lost from central government. When will the government finally

0:57:14 > 0:57:18take this seriously and reversed the cuts to children's mental health

0:57:18 > 0:57:26services?We are putting additional funding and support into children's

0:57:26 > 0:57:29mental health services and the Department for Education has

0:57:29 > 0:57:32recently announced additional support for children's mental health

0:57:32 > 0:57:39issues in schools.Could my right honourable friend tell the House

0:57:39 > 0:57:46what assessment the Treasury has made either separately or jointly of

0:57:46 > 0:57:48how external initiatives on competitiveness and investment might

0:57:48 > 0:57:55help the rail sector and Network Rail in particular?This is that

0:57:55 > 0:58:00question for my right honourable friend the Transport Secretary is

0:58:00 > 0:58:03looking at how to improve the productivity of the role way of

0:58:03 > 0:58:08course. How to ensure that every pound we invest in the railway

0:58:08 > 0:58:12delivers the maximum possible benefit to railway users and he will

0:58:12 > 0:58:19make further announcements in due course.Could the Chancellor set out

0:58:19 > 0:58:22the benefits or otherwise of the arrangement the government appears

0:58:22 > 0:58:32to have for a customs union between Camden, Islington and Westminster?

0:58:32 > 0:58:35I'm sure, Mr Speaker, when I go home and reflect on it the meaning that

0:58:35 > 0:58:43question will become later me. What I'll say to the honourable lady is

0:58:43 > 0:58:47that if we look at the way goods and services flow freely between

0:58:47 > 0:58:50different parts of our own economy and indeed between different parts

0:58:50 > 0:58:56of the United kingdom we see at once the huge benefits that it brings

0:58:56 > 0:59:01having frictionless borders as we move our goods and services.I am

0:59:01 > 0:59:06very much in favour gifting but I do find that when some large charities

0:59:06 > 0:59:13say they receive no direct support from the government but do receive

0:59:13 > 0:59:17gift aid that the Exchequer will not publish those figures. Will the

0:59:17 > 0:59:23Chancellor reconsider that?And the revenue does not disclose the funds

0:59:23 > 0:59:28individual charities receive from gift aid due to their obligations to

0:59:28 > 0:59:32respect taxpayer confidentiality under the 2005 act. Of course some

0:59:32 > 0:59:38large charities do so voluntarily. Cancer research is one example that

0:59:38 > 0:59:42received £31 million in this way but I'm very sympathetic to my right

0:59:42 > 0:59:44honourable friend's argument and it is a matter that I'll be taking

0:59:44 > 0:59:51forward. Alan Mak Ryanair have announced slashing of 20 Glasgow

0:59:51 > 0:59:55airport routes, a cut of over a million passengers in the loss of

0:59:55 > 1:00:03many jobs the departure tax caused by this government has been cited as

1:00:03 > 1:00:08a reason. Another is the Brexit uncertainty in the aviation sector.

1:00:08 > 1:00:12With more routes and jobs likely to go, what is the Chancellor and his

1:00:12 > 1:00:15colleagues doing to support the aviation sector during the

1:00:15 > 1:00:23negotiations?The issue of devolution has been delayed after

1:00:23 > 1:00:26consultations between ourselves and the Scottish Government and both

1:00:26 > 1:00:30governments been satisfied with the current arrangement. As to the

1:00:30 > 1:00:33announcement by Ryanair, I believe part of that announcement was also

1:00:33 > 1:00:36that they would be extending the number of routes out of Edinburgh

1:00:36 > 1:00:45airport.If we want to see sustainable rising wages, we will

1:00:45 > 1:00:49need to see higher productivity. Does my honourable friend welcome

1:00:49 > 1:00:54the recent improvement in these figures that we have seen?We have

1:00:54 > 1:00:59seen two quarters of good activity data but we should recognise that

1:00:59 > 1:01:03the productivity challenge we face in this country is long-term. The

1:01:03 > 1:01:06government has taken a range of measures to address it and we will

1:01:06 > 1:01:12watch the evolution of this data very carefully. But there is

1:01:12 > 1:01:17certainly no scope for any complacency about the scale of the

1:01:17 > 1:01:24challenge that we face and we're determined to rise it.Artificial

1:01:24 > 1:01:28intelligence brings huge economic opportunities but to date big tech

1:01:28 > 1:01:32companies have seemed even more likely than traditional corporate is

1:01:32 > 1:01:37to engage in aggressive tax avoidance and concentrate power in a

1:01:37 > 1:01:41narrow homogenous group of people. What will the Chancellor do to

1:01:41 > 1:01:47ensure companies in this growing sector will pay and take account of

1:01:47 > 1:01:51their wider corporate responsibility to society?The honourable lady will

1:01:51 > 1:01:55know that we have made announcements at the budget in respect of the...

1:01:55 > 1:02:02Those that operate from digital platforms and so create value as a

1:02:02 > 1:02:04consequence, we are consulting on the measures that we may take. We

1:02:04 > 1:02:08have said in our consultation document. It is possible we may look

1:02:08 > 1:02:12at revenue taxes as a particular approach ago but our preference is a

1:02:12 > 1:02:18multilateral move with our partners in the EU but we are prepared to go

1:02:18 > 1:02:24it alone if that proves necessary. The services sector makes a huge tax

1:02:24 > 1:02:30contribution to the public purse. What confidence can you give to my

1:02:30 > 1:02:33constituents who work in financial services that our new free trade

1:02:33 > 1:02:41agreements will cover services as well as goods?We are clear that the

1:02:41 > 1:02:43future comprehensive trade partnership with the European Union

1:02:43 > 1:02:47must include goats as well as services. A deal can only be done if

1:02:47 > 1:02:56it is fair to both sides -- include goods as well as services. We have

1:02:56 > 1:02:59heard it asserted that it is impossible for services to part of a

1:02:59 > 1:03:03trade agreement. I do not believe that is the case and next week I

1:03:03 > 1:03:10shall make a speech in which I will set out our view of how it is

1:03:10 > 1:03:16possible to include services within such a trade deal.The Chancellor

1:03:16 > 1:03:20referred earlier to what he called the continued prosperity in the UK.

1:03:20 > 1:03:26Will he undertake to do two things, one to ensure that the significance

1:03:26 > 1:03:30of the tax system is undertaken by looking at the level at which the

1:03:30 > 1:03:36low paid, part-time and full-time employees get the first £300 free of

1:03:36 > 1:03:45national insurance each week?We will continue to seek to simplify

1:03:45 > 1:03:50the tax system although I have to say my personal observation is that

1:03:50 > 1:03:55whenever a proposal is made to simplify, those who benefit from

1:03:55 > 1:03:59complexity is quickly speak up and those are not always people on high

1:03:59 > 1:04:03incomes, they are often on low incomes as well so we shall continue

1:04:03 > 1:04:08to try to simplify the system that is fair and appropriate for all.

1:04:08 > 1:04:11Whilst accepting that the MoD is in need of serious reform as well as

1:04:11 > 1:04:17more money, can the Chancellor confirmed that he has agreed with

1:04:17 > 1:04:20the Secretary of State for Defence that there will be no further

1:04:20 > 1:04:22reductions in capability of the modernising defence review takes

1:04:22 > 1:04:24place on the money required that in the region of two million pounds

1:04:24 > 1:04:30will be forthcoming?As the House will know I have the privilege to

1:04:30 > 1:04:35serve the nearly three years as Defence Secretary and I will one in

1:04:35 > 1:04:39my operation in the work that our Armed Forces do I also understand

1:04:39 > 1:04:45how complex and challenging managing the defence budget is being a

1:04:45 > 1:04:49multi-annual budget with many conflicts procurements in it. My

1:04:49 > 1:04:52right honourable friend the Prime Minister and myself are working very

1:04:52 > 1:04:55carefully with our right honourable friend the Defence Secretary as he

1:04:55 > 1:05:00carries out the modernisation review and we will ensure that defence has

1:05:00 > 1:05:09the funding it needs to continue to defend this country appropriately.

1:05:09 > 1:05:15Thank you. North Derbyshire CCG finished last year £27 million in

1:05:15 > 1:05:19the red and £16 million of cuts were demanded. In spite of closing

1:05:19 > 1:05:24hospital beds at a time when name I most needed, they will end this year

1:05:24 > 1:05:29£27 million in the red again. When will this government give the NHS

1:05:29 > 1:05:37sustainable settlement to ensure proper services?We have given the

1:05:37 > 1:05:41NHS sustainable settlement. The received an additional £6.3 billion

1:05:41 > 1:05:46but it is also important we reform our health care services on that we

1:05:46 > 1:05:51put in place the sustainable transformation plans, that investing

1:05:51 > 1:05:54capital and new technology and making sure that we use our

1:05:54 > 1:05:58fantastic front line workers, nurses and doctors, in the best way

1:05:58 > 1:06:04possible.As the Chancellor knows, investment in infrastructure is key

1:06:04 > 1:06:08to ensure that we can build the thousands of homes that this country

1:06:08 > 1:06:13needs. Would the Chancellor agreed to meet with me and other

1:06:13 > 1:06:15Hertfordshire MPs and the leader of Hertfordshire County Council to

1:06:15 > 1:06:19discuss how we might be able to do this in Hertfordshire, where we need

1:06:19 > 1:06:25to deliver about 100,000 new homes? Yes, Mr Speaker, I am always

1:06:25 > 1:06:28delighted to meet with my honourable friend and his colleagues and

1:06:28 > 1:06:31Hertfordshire is one of the high-pressure housing areas where it

1:06:31 > 1:06:35is absolutely essential that we deliver additional housing if we are

1:06:35 > 1:06:41to improve affordability.Cold weather payments were triggered in

1:06:41 > 1:06:46all postcodes in my constituency yesterday. Information that I shared

1:06:46 > 1:06:50on social media, yet a constituent has got up to me this morning to say

1:06:50 > 1:06:53that when she contacted Universal Credit they said they knew nothing

1:06:53 > 1:06:57about it. So could the Chancellor work with colleagues in the

1:06:57 > 1:07:00Department for Work and Pensions given the freezing weather and the

1:07:00 > 1:07:03fact that people will be nervous to turn the heating on if they do not

1:07:03 > 1:07:07know they can pay for it to resolve this as soon as possible?I'm

1:07:07 > 1:07:18grateful to the honourable will look into the point that she has raised

1:07:18 > 1:07:20immediately. This is obviously an immediate issue in relation to the

1:07:20 > 1:07:23colder weather we're having now and I will find out letter no later

1:07:23 > 1:07:25today.Of the discipline