Budget Resolutions
I want to thank Nick Coombes from my office for his help on this speech. Unsurprisingly, I am disappointed by the Chancellor’s first Budget. From a new Administration who spent a by-election and leadership campaign claiming that they had all sorts of plans and ambitions to fix the economy after the previous Labour Administration constantly talked us down, we have a “do no harm” Budget that does decidedly little to help pensioners, fund our armed forces, support young people or back the businesses that are essential to creating jobs. The tax burden has continued to rise above record levels; inflation has not been at the 2% target since before the first Budget of this Labour Government; and the welfare bill is set to go up by another £60 billion—and neither the Prime Minister nor the Chancellor is willing to commit to reducing it in this Parliament. As the Leader of the House has said, we are now spending more on debt interest than on the Army and schools combined, which is clearly wrong, especially when we face some of the biggest and most rapidly evolving threats since the cold war. Yet the Chancellor, who resigned as Defence Secretary over the previous Administration’s refusal to increase defence spending to 3% of GDP, has delivered a Budget that has deferred the difficult choices necessary to keep our country safe until next year, in favour of the Prime Minister’s plan to prioritise social security over national security.<span id="668" class="column-number" data-column-number="668"></span> Young people are already struggling for support to get into education, employment or training. The increase in employer national insurance contributions, and now the further increase in the minimum wage, will make young people even more expensive for small businesses to hire, while pushing more and more workers into higher tax brackets. This was the Chancellor’s first opportunity to take bold steps to correct the errors of the previous Labour Budgets, and to provide support for businesses and entrepreneurs, which would have been a notable break from the massive tax hikes and regulatory burdens that have so far fallen on businesses under this Government. The Prime Minister and the Chancellor needed to use this opportunity to take drastic action to slash the size of the state, and to get Britain working again—to support those who are working, and to encourage into work those who are not working, but who are able to. My constituents are happy to support those in genuine need, but this Labour Government have come back every year for more money from the same hard-working people they promised not to raise taxes on to fund an ever-increasing welfare state. This “do no harm” Budget has led to the worsening of the OBR forecasts on inflation, economic growth, unemployment and living standards, and has left my constituents disappointed. I hope that the Prime Minister’s 10-year plan and the upcoming spending review have some much-needed good news and serious economic support for businesses and young people in South West Hertfordshire.