High Speed 2 Reset
I call the shadow Minister.
Showing every spoken contribution, including 5,731 under 12 words. Hide short remarks
- Hansard source
- Hansard source
High Speed 2 Reset
I call the Chair of the Transport Committee.
- Hansard source
High Speed 2 Reset
I call the Liberal Democrat spokesperson.
- Hansard source
Energy Security
I inform the House that Mr Speaker has selected amendment (i) in the name of the Leader of the Opposition. I call the shadow Secretary of State for Energy Security and Net Zero.
- Hansard source
Energy Security
Before I call the Lib Dem spokesperson, I think it would be helpful for everybody to know that there will be an immediate five-minute time limit after she has spoken.
- Hansard source
Energy Security
I call the Chair of the Select Committee.
- Hansard source
Energy Security
Order. Can I encourage the hon. Gentleman to return to at least some of the substance of His Majesty’s Gracious Address?
- Hansard source
Energy Security
Order. After the next speaker, the time limit will be reduced to four minutes.
- Hansard source
Speaker’s Statement
I thank the House for the confidence it has shown in me. I will endeavour to ensure that Back Benchers get the opportunity to debate the issues they wish to debate in this Chamber and in Westminster Hall as much as possible. I ask you to use your good offices, Mr Speaker, to prevail on the Government Whips, the Opposition Whips and indeed the Liberal Whips to ensure that they nominate their members of the Committee as fast as possible—preferably by tomorrow—so that the Committee can get up and working in the new Session to formulate those debates as soon as the Government allow us time.
- Hansard source
Energy Security
My right hon. Friend is giving a good lecture on what needs to happen. What incentives do we need to provide to farmers to grow more and to use their land as effectively as possible, as well as to employers to use their time as effectively as possible, so that we can literally operate on a 24-hour day, three-shift production operation?
- Hansard source
Energy Security
It is a pleasure to follow the hon. Member for Cramlington and Killingworth (Emma Foody). As a scientist by background, I welcome the cross-party agreement on nuclear power forming a key part of our energy supply for the future. That was not always the case. There was certainly opposition to nuclear power previously on the Labour Benches, as indeed there was among Liberal Democrat Back Benchers, so I am delighted that we have agreement on this positive way forward. The key is ensuring a mixed economy in energy supply. I welcomed the use of solar power on the roof of the Aspire leisure centre adjacent to the Royal National Orthopaedic hospital, which was granted by the previous Conservative Government. The centre and the hospital are supplied by that solar energy, which also contributes towards the grid. That is welcome news, but I cannot understand why the Government will not agree to exploit the North sea to a further extent. That would not come on stream straight away, but surely we must think about it for the future. Let me cover one or two other areas. The Vagrancy Act 1824 is coming to an end, but we still require from the Government the necessary statutory instrument to make that happen—there was no commitment in the King’s Speech. Can we see that? On the social housing renewal Bill, the Government’s ambition is huge but timid. We must go faster and further to provide the much-needed social housing required in this country, which has not been built for more than 30 years. We live in a dangerous world. With the war in Ukraine causing energy price hikes, we must think about what that has done to the windfall from the petrol pumps going to the Treasury. At the same time, we have a fragile truce in the middle east, the civil war in Sudan, in which more people are being killed than in any other conflict, and half a million Christians in Nigeria have been massacred by Islamists. This is the sad reality. I was absolutely appalled that on 7 October 2023, after the attempt by Hamas to commit genocide against the people of Israel, we saw people celebrating on our streets. We have subsequently turned a blind eye to the hate marches that have assembled 100 yards away from a synagogue in London at midday, just as the Shabbat services were coming to an end. That has continued for week after week, and the congregation have been intimidated while going about their lawful business. The Prime Minister has quite rightly talked about combating antisemitism, but words are not enough; we need action now. A blind eye was turned to the Hamas and Hezbollah flags in those marches. A deaf ear was cocked to the phrase, “From the river to the sea, Palestine will be free”, which means the destruction of the state of Israel. Equally, a deaf ear was cocked to the phrase, “Globalise the intifada”. What have we seen as a result? Jewish businesses and restaurants have been attacked, synagogues have been attacked, and we now see Jewish people on the streets being attacked purely because of their religion. That is absolutely unacceptable. We have to start somewhere, so I welcome the decision by the Government to bring forward legislation on proscribing the Islamic Revolutionary Guard Corps, which is long overdue. I have led the campaign for that in Parliament for many years, but we must go further. Why is the Iranian ambassador still here? He should be kicked out. The embassy should be closed down, and all the so-called diplomats should be refused entry to this country. Iran is the head of the snake that controls all the terrorism in the middle east, and we must recognise that.
- Hansard source
Energy Security
The assets of the IRGC and the despotic regime in Iran must be sequestrated and brought into use for the people of this country. There are 11 well-known properties—detached houses—owned by this despotic regime that are not used at the moment. They could be used for homeless families and Brits who need somewhere to live, but we do not take the necessary action. As I have raised previously, we have 13 charities that get their funding from Iran. They have their headquarters in the UK, and they are banned in Arab countries. Why are they allowed to exist and spread their poison? We must also go further on university campuses. Vice-chancellors have a duty to protect Jewish students, but they do not carry out that duty. Perhaps we could start in our schools by teaching our children the true history of the middle east. In 1948, the Arab countries tried to prevent Israel from being set up and encouraged and almost forced the Arabs to leave the state of Israel so that they could go in and kill everyone. Israel won that war, and no one has forgiven it since. We can also look to 1967 and 1973, when Israel fought wars once again to protect itself. The sad fact is that that is not taught in our schools. We need to understand that if we do not educate our children in the right way, propaganda will unfortunately be allowed to grow. Why was one of our Labour colleagues banned from going into a school in his constituency solely because he is Jewish? That cannot be acceptable. Words are not enough; we need prompt, firm action to root out antisemitism and anti-Jewish hatred once and for all.
- Hansard source
Lord Mandelson: Government Response to Humble Address
Given the scale and significance of the Mandelson files due to be released, why does the Minister not accept that the review of those files over the Whitsun recess would be a good use of everyone’s time, with questions to Ministers being put after 1 June when we return? Is it because Ministers intend to limit scrutiny by this House? That is exactly what it looks like to me and to my constituents.
- Hansard source
Open Prisons: Policy on Convicted Paedophiles
As an MP whose constituency has a category C prison for male sex offenders that is almost at capacity—HMP Littlehey—I welcome the clarity from the Minister regarding paedophiles in the prison estate. We know that the Minister is on the hook to deliver thousands of new category C and D prison places. I want to ask him about the prison places he has made almost no progress on since the election because the contractor ISG went into administration in September 2024. I first highlighted the failure of that project last year. Can he confirm whether, since then, all those 12 prisons have had new contractors appointed? When will those prison places be delivered?
- Hansard source
Lord Mandelson: Government Response to Humble Address
The Foreign Affairs Committee heard about the pressure that the Foreign Office was under to move quickly on the appointment of Peter Mandelson as ambassador to the United States. Now, concerns have been raised about the lack of transparency surrounding the papers connected to that appointment. If the Government have nothing to hide, why are they changing the terms and scope of the Humble Address, and withholding and redacting documents from the Intelligence and Security Committee? Will the Minster ensure that the UKSV summary document will be shared with the ISC?
- Hansard source
Energy Security
Why not?
- Hansard source
Energy Security
I thank all the speakers and contributors to this afternoon’s debate. I especially thank and welcome the contributions from my right hon. Friends the Members for Gainsborough (Sir Edward Leigh), for Herne Bay and Sandwich (Sir Roger Gale) and for South Holland and The Deepings (Sir John Hayes); my hon. Friends the Members for Harrow East (Bob Blackman), for Isle of Wight East (Joe Robertson), for Gordon and Buchan (Harriet Cross) and for Weald of Kent (Katie Lam); and the hon. and learned Member for Folkestone and Hythe (Tony Vaughan). He is not in his place just yet, but he mentioned the Dungeness nuclear power plant. I agree with him that the potential at that plant is huge for new nuclear, especially small modular reactors, and I can very much recommend the fish and chips—or fission chips—they sell at the Pilot Inn just outside the gates of that power plant, if anybody is looking to visit. I also pay tribute and welcome the comments from the hon. Member for Honiton and Sidmouth (Richard Foord), who seemed to suggest that we are all here because of a lack of positive votes for any of us individually. I am not quite sure how that will go down at the next parliamentary Liberal Democrat party meeting, given that is what he thinks of his colleagues, but it was a very enjoyable contribution none the less. Across this House, we all recognise that we live in a turbulent world and that our energy security is being tested at every turn. Russia seeks to exploit vulnerabilities in our subsea infrastructure, Iran is weaponising the supply of oil and gas from the Gulf, and China is seeking to access our critical national infrastructure. It was therefore incredibly welcome to see that a Bill will be introduced to strengthen the United Kingdom’s energy security: an energy independence Bill. Finally, we thought, they get it. Finally, they have listened to the academics, the trade unions, Scottish Renewables, Tony Blair and Jürgen Maier. Finally, the Government are going to take the action necessary to secure our energy future, secure jobs and deliver much-needed revenue to His Majesty’s Treasury. Or so we thought. Sadly and predictably, the Government have not listened. They have not acted. In fact, they are doubling down: doubling down on making this country poorer, on making this country weaker, and on callously abandoning the high-skilled workers and people of Aberdeen and north-east Scotland.
- Hansard source
Energy Security
I thank the hon. Gentleman, who represents a party that for the best part of 10 years had a presumption against oil and gas, for now seeking to be a champion for that industry. There was a global oil price crash in 2014. What did we do? We implemented a policy of maximum economic recovery. We cut taxes and stemmed job losses—the exact opposite of what this Labour Government are doing in the North sea, where they are accelerating the decline, making thousands of people redundant. It is frankly offensive to call the Bill that will be introduced the energy independence Bill. It is an energy dependence Bill, which will make us more dependent on foreign imports, more dependent on China and more dependent for gas on Norway, which drills it from the very same sea that this Government are banning Britain from exploiting. That is insanity. Once again, the Secretary of State has put his ideological fantasies before doing what is right for the people of this country. The only people who will be cheering this on are those in Moscow, Tehran and Beijing who, to be fair, will probably themselves be incredulous—unbelieving of their luck—that they have such useful idiots in the form of this Labour Government, cheered on by the SNP, with their decade-long presumption against oil and gas, and the Liberal Democrats, who have a different position depending on which part of the country they happen to be in at the time. All are choosing to make the UK poorer, colder and more vulnerable to outside influence. Let us be absolutely clear: the position of this Labour Government on oil and gas is downright dangerous. By proposing to legislate for a ban on all new licences, they might as well be hanging a “closed for business” sign over the North sea. I—and it is not just me—do not understand the logic of these actions. The Secretary of State, his Ministers and the current occupant of No. 10 repeatedly tell us that oil and gas will have a role in the UK for years to come. They are right: roughly 85% of homes in the UK rely on gas for heating and more than 90% of vehicles in the UK rely on fossil fuels, so this will not end overnight. All that this legislation will achieve is our increasing reliance on shipments from abroad, at higher cost, with higher emissions and with fewer jobs here in Britain. I—as well as the Leader of the Opposition, the shadow Secretary of State for Energy, my right hon. Friend the Member for East Surrey (Claire Coutinho), and others—come to this House time and again to highlight the damage that this Government’s approach is causing to communities in and around Aberdeen and north-east Scotland.
- Hansard source
Energy Security
My right hon. Friend is absolutely right. We are exporting emissions and exporting jobs, and that is having a detrimental impact on our economy and communities up and down this United Kingdom, not least in north-east Scotland. I see that every time I go home. One thousand jobs will be lost every month under this Labour Government, and we will lose out on £50 billion of investment. Pubs, restaurants and shops are closing up in the granite city under this Labour Government. The impact is being felt across the country—it is true—but it is in Aberdeen and the north-east of Scotland that the pain is most acute.
- Hansard source
Energy Security
My hon. Friend puts it better than I ever could. She is absolutely right; it is completely nonsensical. In Aberdeen there will be a referendum on this Government’s approach to the North sea in just a few short weeks. On 18 June, the people of what was until recently the oil capital of Europe will have their say on how they feel this Government have treated them and the industry of which they are so proud. It is not just the production of oil and gas that is being driven to extinction by this Government’s policies. Nor is it just Aberdeen that is being affected by the Government’s anti-growth, anti-business policies: Lindsey, Mossmorran, Grangemouth, Denby, Pembrokeshire, glassworks and metalworks, potteries, refineries and chemical plants—heavy industry is being crushed by the cost of energy. Yet rather than trying to prevent that, this Labour Government are interested only in accelerating the industry’s decline. The Government’s headlong rush to renewables may be well intentioned, but it is utterly bereft of common sense. This Labour Government are rushing towards a power system that depends on the weather rather than firm, reliable baseloads, exposing us to blackouts, just like the one we saw on the Iberian peninsula last year. Avoiding such blackouts and providing that energy baseload is exactly why the roll-out of new nuclear is an absolute priority. I am pleased that there is consensus on this and that the Government recognise the important role of nuclear in our future energy mix. That said, and as I have said before in this House, sadly this Government’s ambition for nuclear pales in comparison to that of ours when we were in government. This Government’s failure to commit to a third gigawatt-scale reactor in Ynys Môn is a huge disappointment, not just for us on the Conservative Benches but for industry and the people in Ynys Môn too. The roll-out of small modular reactors is good, yes, but it curtails the possibility of gigawatt-scale power at Ynys Môn. A cynic might suggest that the decision was made to rush out the announcement in some desperate and hasty attempt to salvage the Welsh Labour party. Well, it is safe to say that that failed. Back to ambition, the decommissioning of the UK’s stockpile of petroleum, the selection of only one small modular technology, and the refusal to follow our ambition of 24 GW of new nuclear is just not good enough.
- Hansard source
Energy Security
I could run through the list of what we achieved in office on nuclear, as the Minister has heard me do many times, but let me remind the hon. Member that the Labour party has never opened one nuclear power plant in all the years it has been in office —a record that will probably continue over the next three years. This act of national self-harm has to come to an end. There is only one party that has a plan to cut bills, support industry, protect jobs, and make Britain energy secure. Energy costs are stalling growth, deindustrialising the country and weighing down on families and businesses.
- Hansard source
Energy Security
No, I will not. That is why Britain needs a serious plan to cut bills. With the Conservatives’ cheap power plan, that is exactly what Britain would get: a £200 cut to energy bills. It could be delivered right now if this Government prioritised the people of this country rather than wacky, unrealistic ideology. But we would not stop there; we would go much further and much faster. To make this country energy-secure, to protect British jobs, grow tax revenue and welcome billions of pounds of investment, we would tell the world that the North sea is open for business. Our “Get Britain Drilling” Bill would end Labour’s ban on new licences to unlock the gargantuan supply of opportunity that lies beneath our seas.
- Hansard source
Energy Security
I will not. We would back our world-class oil and gas industry by scrapping the ban on exporting technologies and welcoming the £5 billion of exports that that would create.
- Hansard source
Energy Security
I am sorry, I will not. The North Sea Transition Authority would be rechristened the North Sea Authority and tasked with one noble mission: to maximise North sea oil and gas drilling and raise billions of pounds more in tax cuts for the British people. The Conservatives would scrap the energy profits levy—the anvil around the neck of the industry—which Labour extended and increased as one of their first acts in government. A profitable, attractive and investible North sea would strengthen public services and our energy security and grow our economy, making Britain a stronger country. If hon. Members agree with that, if they agree with us that a brighter, more secure and more prosperous future is possible if we fight for it, I urge them to vote for our amendment tonight.
- Hansard source
Energy Security
Businesses in Bognor Regis and Littlehampton need stable and affordable energy to grow and invest, so does my right hon. Friend agree that our “get Britain drilling” Bill is vital not just for energy security but for our future economic security?
- Hansard source
Open Prisons: Policy on Convicted Paedophiles
7. Whether his Department has a policy on the housing of convicted paedophiles in open prisons.
- Hansard source
Open Prisons: Policy on Convicted Paedophiles
Paedophiles should be behind bars, not roaming our communities. I am afraid that the Minister’s words will ring hollow for my constituent who received a call in January and was told that her abuser, the paedophile, who was only two years into a nine-year sentence, had been moved into an open prison, and now had the right to leave the site freely, and even stay out overnight. Will the Government review these moves? Clearly something is not working. Will the Minister also specifically look into this case, which is utterly unacceptable?
- Hansard source
Backing Business to Create Economic Growth
I am grateful to my right hon. Friend—forgive me, I should not call him that; he will be embarrassed. I am grateful to the right hon. Member for his point about the steel industry. Understandably, he has chosen to support one particular aspect of the industry, the steelmaker, but at the expense of and to the cost of every other part of the industry—the steel consumers. How will he balance that and what provision will he make for those who will see steel prices rises because of his intervention?
- Hansard source
Backing Business to Create Economic Growth
Does my right hon. Friend not agree that we are seeing not only young people let down, but the deeply immoral act of people being kept on welfare? In five or 10 years’ time, people will have been on welfare for so long that they will not have any options. They will effectively have been left slaves of a state that has no concern for them. Nobody in this Chamber will have any power over how the welfare state will behave then, and those people will have no options. It will be the fault of this House and this Government for having kept those people there, and having imprisoned them.
- Hansard source
Backing Business to Create Economic Growth
It has been a pleasure to sit here for a number of hours and hear some views that are, frankly, special. Let me start with some of the factors that have been completely missed from not only this debate but the King’s Speech. I do not think the realisation in this place takes the reality of our situation very seriously. We are broke. We owe not only £2 trillion to the debt markets—which, I am afraid, despite orders to foreigners to hand over more money, we do not control—but £10 trillion to people to whom we promised pensions and the businesses that built our schools and hospitals the last time we had a Labour Government. We find ourselves in a situation where the conversation in this House has reached a point of unreality, because we are not addressing a very simple fact: inflation is coming down the tracks very quickly because of the decisions to challenge the energy markets directly in places such as Iran. We are seeing enormous pressures steaming up from Iran, from the strait of Hormuz, from the lack of gas flowing and from the absence of fertiliser. They are about to hit us in the grain markets in September, when the first harvest is not complete, and they will hit us in the meat markets in the spring, because that grain will not have led over the winter to the growth of animals for protein. We are storing up a whole series of challenges for ourselves. Yet here we are talking about how much more we can spend and how much more we can get individuals to put their hands in their pockets, with the promise that they will get the money back in four, 10 or 20 years’ time. I am afraid that is simply not realistic. It is nothing to do with the credibility of this Prime Minister or whomever the Labour party chooses next; it is down to the simple reality that about a year ago, the Government refused to take the first and only decision that would have strategically mattered in this Parliament—to constrain welfare. The moment they refused to do that, they put themselves in opposition to simple financial reality, and the rest of the path was set. I am afraid that is exactly where we find ourselves. The King’s Speech—the King, if not the Government, did it well—set out another series of wish lists for a Government who are going to last another few weeks. They are an Administration who are simply not going to change the reality, because they are not willing to take the decisions that need to be taken. I am afraid that is the reality of the United Kingdom’s position. We are not being serious. We are not dealing seriously with the fact that we have young people who want to work and have energy, drive and determination, but who are being sold down the river by parties that are all sticking to triple locks on pensions and promising benefits to people who are already in work—as the Employment Rights Act 2025 does—but not to those who seek employment. We are seeking to go down a path of control, statism and nationalisation. In fact, we have replaced socialism not with communism, as the Chinese have, or with the kind of authoritarianism that we see in some parts of eastern Europe, but with command capitalism: the illusion of privatisation with the direct intervention of regulation. We are seeing the absolutely predictable results of Government instructing individuals how to behave. Well, guess what? Individuals are opting out. We saw them opting out of hiring when the national insurance rate went up; we will see them opt out of leasing when the Renters’ Rights Act 2025 closes down that market; and we will see people forced out of the choices that they need to build their own lives. That is a hell of a pattern for this Government to set for the country. Let us be honest: with the current way that they are going, there is no way out. Whoever the Labour party picks as its leader, unless its Back Benchers change and decide that they are willing to take their responsibilities seriously, we know what the result will be: the International Monetary Fund, the debt markets, and many, many people losing their homes.
- Hansard source
Backing Business to Create Economic Growth
I am delighted to hear that we will be working more closely with the European Union. As the hon. and learned Lady may know, my wife, being French, will be particularly pleased about that, but what will that mean for the agreement we have struck with the Pacific nations in the comprehensive and progressive agreement for trans-Pacific partnership, or the deal that we did with the Australians? Will the hon. and learned Lady be cancelling those deals as she focuses on the European Union, or will she be staying out of the customs union and the single market, and therefore being focused much more on being a rule taker? I am interested to hear her response.
- Hansard source
Backing Business to Create Economic Growth
This King’s Speech is an empty vessel, which is a surprise, because only last week the Prime Minister was telling anybody who cared to listen that the Government would be leaning into economic growth in a more radical way, and would eschew managerial incrementalism, yet we have heard nothing other than managerial incrementalism, at best, from the right hon. Lady just now. [Interruption.] Of course, I meant the right hon. Gentleman. If only the Chancellor were here, Mr Speaker, I would be right about everything. The Prime Minister also said that Labour would tread more lightly on our lives. Well, we have seen what that has meant in the last few weeks. The Chancellor said that it would all be growth, growth, growth. The Secretary of State trots out and trumpets the latest uplift—a very modest one—in the International Monetary Fund’s forecast, but he neglects to mention that although it is forecasting 1% growth today, it forecast 1.3% back in January. The Secretary of State also neglects to mention that the increase in growth in the first quarter of this year is on the back of risible growth performance in Q4 of last year. The situation in Q4 was exacerbated, according to the Office for Budget Responsibility and the Bank of England, by the Chancellor’s making every possible tax rise; that had a material impact—it depressed the economy. Some of the growth is simply a bounce back from the mistakes made at the end of last year. The Secretary of State refused to answer the question from my hon. Friend the Member for Rutland and Stamford (Alicia Kearns) about what happened to GDP per capita, so let me tell him that it has been utterly anaemic throughout this Government’s period in office. He also failed to mention that the notes to the IMF’s comments on upgrading the growth forecast for this year point to domestic uncertainty possibly weighing down on consumer spending and investment decisions. I wonder what “domestic uncertainty” could possibly be referring to. As to our record, I remind the Secretary of State that on the day of the general election, the previous Conservative Government had inflation bang on target at 2%. It is now 50% more than that. We also had the fastest growth in the G7, employment at near record levels, and near record low levels of unemployment, and we had 13 consecutive months of real wage growth.
- Hansard source
Backing Business to Create Economic Growth
As I will come on to argue, our problems actually rest a little closer to home, rather than having anything to do with our relationship with the European Union. The Labour party promised stability. It also—Members should try not to laugh too loudly—said that it would create the most pro-business Government in the history of our country. None of that has come to pass. It is not just the Prime Minister who is the problem; if this Prime Minister is replaced, whoever goes on to lead the Labour party will not do any better, because Labour had no plan at all for improving our economy. It had a plan for winning an election—keep as low a profile as possible, hold the Ming vase and tiptoe across the shiny floor towards that loveless landslide—but no plan for the people of our country. The Labour Government are in hock to their Back Benchers. Every time they try to do something that requires some backbone, they are stopped by their Back Benchers. The record of this Government is appalling, and not just on growth. I notice that the Secretary of State did not mention unemployment once, and he certainly did not mention youth unemployment. Under this Government, we are seeing the highest unemployment in five years, and youth unemployment is nudging up towards 20%. Under the previous Labour Government, youth unemployment increased by more than 40%; under the previous Conservative Government, it reduced by more than 40%.
- Hansard source
Backing Business to Create Economic Growth
My hon. Friend is entirely right. It is like trying to apply the accelerator while having the brake on fully. That is what this Government are doing. That is the total illogicality of their approach. Inflation is up on where it was under the Conservatives. It is about the highest in the G7; it certainly was last year. As we lean into the challenges of oil and gas price spikes, that is a weak position to be in. Most economists will make that point. The Labour Government will have borrowed a full quarter of a trillion pounds more across this Parliament than would have been borrowed under the plans that they inherited. It is no wonder that our borrowing costs are the highest in the G7—higher than those of Greece, and higher, even, than those of Morocco. Why? We know why: it is just what socialists do. Socialists believe that you can tax your way to prosperity, but I tell the Secretary of State: you cannot. The £25 billion of additional tax on businesses—national insurance increases—has crucified business in this country. The burden has fallen predominantly on young people, because there was not just an increase in the rate, but a reduction to the threshold at which the tax cuts in, meaning that young people have borne the brunt of that tax increase. The sectors that rely predominantly on first-time jobbers and on young, part-time and female workers have been crucified, including the retail, hospitality and leisure sectors, in which more than 100,000 jobs have been destroyed by this Government.
- Hansard source
Backing Business to Create Economic Growth
My hon. Friend is absolutely right. I have had the great pleasure of visiting her constituency to speak to businesses, and that is exactly what they complain of. The Government made no effort, in the King’s Speech, to get on top of the benefits bill. There was a reference to the Timms review of the personal independence payment, but we know that in the review’s terms of reference, there is an explicit statement that it is not about controlling the welfare bill. There will be no savings as a consequence of the Timms review. That is not good enough. We have got to be about getting people off benefits and back into work.
- Hansard source
Backing Business to Create Economic Growth
That is entirely right. The Conservatives know that work matters, and getting people off benefits matters. People’s mental health is improved by going to work, and by having the social interaction, routine and sense of pride and self-worth that comes with work. That is why the level of unemployment and the failure of this Government to tackle benefits is so appalling.
- Hansard source
Backing Business to Create Economic Growth
All these flashbacks to the 1980s are a slightly desperate attempt to get away from the 2020s, I think. The other thing that socialists love to do is borrow, borrow, borrow, and spend, spend, spend until they have run out of other people’s money. That is precisely what this Government have done. The Secretary of State mentioned the fiscal rules, but of course he failed to mention that in the run-up to the election, the Chancellor said that she would abide by our fiscal rules, and then promptly changed them, so that she could borrow more, flipping the definition of “debt” from public sector net debt to public sector financial liabilities. That allowed her to take her foot off the brake and borrow and spend even more.
- Hansard source
Backing Business to Create Economic Growth
The current account went into a slight surplus just around 2015-16. [Interruption.] It did, actually. That was on the back of our inheriting a £160 billion deficit in 2010, which was over 10% of GDP—another example of the disasters of a Labour Government. The Secretary of State rightly spoke of artificial intelligence and the opportunities that it presents, but what we know of artificial intelligence is that it will have a profound and very uncertain effect on the labour market. We need a flexible skills offer to deal with that, and flexible labour markets, but through the Employment Rights Act, the Government are making the labour market more rigid, and that will hurt younger people in particular, who do not have a track record in employment, so do not be surprised if youth unemployment continues to hover around 16% or 17% as a consequence of the actions of this Government. When it comes to leaning into these challenges, we know that there is no plan. This Government are not going to do anything. They are just involved in internecine introspection—a civil war, now—within the Labour party. They said that they would tread lightly on our lives; in fact, they are now stampeding all over them. The rivals to the Prime Minister will be looking to double-down on the ruinous policies that I have just set out. We have seen the real effects of this in recent days. On Friday, after the former Member for Makerfield said that he would step down in order to ease the passage of Andy Burnham to this place, what happened to gilt yields? They spiked up 18 basis points. I have done a little bit of research, and I can tell the House that, if sustained through the forecast period, that would mean over £5 billion of additional debt servicing costs. That is about £300 for every working family in this country. That is the effect of Andy Burnham, and he has not even arrived here yet. We are on the edge of a precipice economically, leaning into a very turbulent time. These are the policies of the madhouse, yet we are told not to worry. The hon. Member for Liverpool Wavertree (Paula Barker), who I believe is an outrider for Andy Burnham, said of the bond markets that they would just have to “fall into line”. Andy Burnham himself said in the New Statesman: “We’ve got to go beyond this thing”—
- Hansard source
Backing Business to Create Economic Growth
I will in a moment.
- Hansard source
Backing Business to Create Economic Growth
I am always ready to give way, Mr Speaker, and to take your direction.