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Economic Update
08 July 2020
Lead MP
Rishi Sunak
Debate Type
General Debate
Tags
EconomyTaxationHousingEmploymentCulture, Media & SportEnergyLocal Government
Other Contributors: 122
At a Glance
Rishi Sunak raised concerns about economic update in the House of Commons. A government minister responded. Other MPs also contributed.
How the Debate Unfolded
MPs spoke in turn to share their views and ask questions. Here's what each person said:
Lead Contributor
Opened the debate
The Prime Minister's plan for jobs aims to protect, support and create employment opportunities across the UK. It includes a £160 billion economic response with job retention schemes, self-employment grants, tax cuts, loans, and direct cash assistance for businesses. The second phase focuses on job creation through infrastructure investment, green initiatives like the £2 billion Green Homes Grant scheme, reducing VAT on hospitality services to 5%, cutting stamp duty up to £500,000, and a unique 'Eat Out To Help Out' discount during August.
Rishi Sunak
Con
Richmond and Northallerton
He outlined the new jobs retention bonus scheme rewarding employers for rehiring furloughed workers, a kick-start programme creating hundreds of thousands of new jobs for young people at risk of long-term unemployment, doubling work coaches to support job seekers on universal credit, tripling places in sector-based work academies, funding apprenticeships and traineeships, expanding the rapid response service, extending the flexible support fund, and increasing investment in infrastructure and green initiatives.
Lindsay Hoyle
Speaker
Chorley
Informed Members that at the end of questions on this statement, the Chancellor of the Exchequer will move a provisional collection of taxes resolution. Copies of the resolution are available in the Vote Office.
Anneliese Dodds
Lab Co-op
Oxford East
Our country has been through a great deal over these past few months. Hundreds of thousands have wrestled with this terrible disease. For many months, people have had to go without being able to embrace their loved ones or even to say goodbye. Tens of thousands have died. Our NHS, social care and other workers had made extraordinary sacrifices. We owe them so much.
The Government have had to take big decisions, too—we acknowledge that—but today should have been the day when our Government chose to build a bridge between what has been done so far and what needs to be done to get our economy moving again. It should have been the day when the millions of British people worried about their jobs and future prospects had a load taken off their shoulders. It should have been the day when we got the UK economy firing again. Today, Britain should have had a back-to-work Budget; but instead we got this summer statement, with many of the big decisions put off until later, as those on the Government Benches know full well.
Labour is a constructive Opposition during this time of crisis. We will not criticise for criticism’s sake. But when the Government fall short we will speak up, and the blunt truth is that we have one of the highest death rates in the world and among the deepest economic damage in the industrialised world from coronavirus. So the very first thing the Chancellor must do is prevent additional economic damage due to the slow public health response of his Government.
As we have seen throughout this crisis, the failure to match soaring rhetoric with meaningful action has consequences for people across our country. Despite all their talk, the Government have failed to create a fully functioning test, track and isolate system. That has damaged public confidence and, in turn, harmed consumer demand. Despite all their talk, the Government have failed to produce a clear system for local lockdowns. The lack of timely information sharing has led, as we all know, to the imposition of an additional wide-scale lockdown in Leicester.
The Government’s contracts with outsourcing firms amount to almost £3 billion, but we still have not got test, track and isolate working properly in the UK, as it is in many other countries, and the Government still have not got a grip on the low value and limited scope of sick pay, risking people’s ability to self-isolate. Fear is corrosive. Fear is hurting our economy. The Government have got to get this right.
Of course, we welcome the Government’s announcement today of targeted VAT cuts on hospitality and tourism and of vouchers to be used in restaurants. Local businesses desperately need that support, and so many low and middle-income people in particular really need help right now. That is why we have repeatedly called for social security to better meet their needs and prevent people risking losing their homes. If delivered properly, these measures should help.
But the Chancellor himself said, when interviewed on “The Andrew Marr Show”, that the best the Government can do to boost demand is to give consumers and workers the confidence and psychological security that they can go out to work, to shop and to socialise in safety. So please, Chancellor, work with your colleagues so our public health response catches up with that operating in other countries. The Prime Minister asked, what have I been doing about that? My party has been repeatedly suggesting solutions to the public health problems facing our country, and we need to adopt them in the UK before this crisis becomes even more severe.
Now the Government must act not just to deal with unemployment as a symptom, but also with its cause. Research reported this week in the “Telegraph” indicates that British workers have already been the biggest casualty in the global jobs cuts. It showed that while jobs markets in many other countries have already fully recovered, in Britain it could take comparatively much, much longer for vacancy levels to return to normal. The levels of unemployment that this country saw in the past were not just an economic waste; they ruined lives. We are seeing the same impacts again—the same devastated high streets and communities robbed of their pride and purpose.
Of course the re-employment bonus announced by the Chancellor is necessary, not least because his Government refused to put conditions on the use of those funds related to employment. But, first, how can he ensure that that money will not just go to those employers who were already planning to bring people back into work and, secondly, what will he do for those firms that lack the cash flow to be able to operate even with that bonus? Related to that, the Chancellor still needs to abandon his one-size-fits-all approach to withdrawing the job retention and self-employed schemes. No one is saying that those schemes should stay as they are indefinitely; the Opposition have never said that, but we have said that the money spent on the job retention scheme must not serve merely to postpone unemployment. The scheme must live up to its name, supporting employment in industries that are viable in the long term. We also need a strategy for the scheme to become more flexible so that it can support those businesses forced to close again because of additional localised lockdowns. There is still time to avoid additional floods of redundancy notices. It is the Government’s duty to help Britain through this and stop employment reaching mass levels again.
We need action to ensure the support needed for key sectors of our economy—for our small and medium-sized enterprises and our manufacturers. While we of course welcome the long-overdue arts and culture package, we still have not heard the Government’s plans for other sectors. Many of us expected to hear them today, but we have not. The Project Birch process has been slow, tortuous and opaque. Large parts of industrial Britain need help to get through this—to keep their employees in jobs and keep their suppliers in jobs. Meanwhile, it appears that there will be no solutions for SMEs who cannot take on additional debt until the autumn. This risks many SMEs going to the wall.
Until now, the Chancellor has described a targeted, sectoral approach as the Treasury “picking winners”, but the necessary public health measures have created losers. As the Chancellor himself said just now, the Government required many businesses to shut down to prevent the spread of this disease. Supporting businesses that are viable in the long run but currently starved of cash flow is not a matter of “picking winners”: it is about protecting our country’s economic capacity for the future. Failure to do so—to make the job retention and self-employed schemes more targeted and focused and to support viable businesses—is driving up unemployment in this country. The claimant count is on course to top 3 million people in June—the highest number since the previous record in 1986. This is the Chancellor’s record, and one that cannot and must not be worsened.
Where unemployment arises as a symptom of economic damage, more must be done to help. Labour repeatedly called for the Government to match the ambitions of Labour’s future jobs fund and Welsh Labour’s Jobs Growth Wales programme, and finally the Government have come forward with a scheme apparently modelled on them—the kick-start scheme. The Conservatives cancelled the future jobs fund, of course, and it has taken almost 10 years for them to catch up. As with their belated adoption of our call for “jobs, jobs, jobs”, perhaps this gives a new meaning to the phrase “Project Speed”. We now need to make sure that the kick-start scheme provides genuinely additional opportunities for young unemployed people. The Government must also recognise the specific challenges faced by older jobseekers, many of whom are becoming unemployed for the first time, and those based in especially hard-hit places. Reimposing sanctions now is punitive and counter- productive when jobseekers need support.
We must be ambitious for the future of our country’s economy. Our ambition should not just be to build our way out of this but to do so in a greener and cleaner way. For this, we need more than the reheated announcements by the Prime Minister last week. Of course the investment announced was welcome, not least because much of it was already committed to by the Government. However, core elements are missing. For example, £50 million to support retrofitting in social homes is just a seventh of what the Conservatives said they would be spending every year. The muddled confusions over stamp duty over the past 48 hours reflect a broader lack of strategy when it comes to house building, particularly for genuinely affordable and social homes. Overall, the UK’s green investment package barely touches the sides of other countries’ commitments. Even with what was announced today, it only equates to just over the value of Germany’s investment in one green technology alone—hydrogen. The Committee on Climate Change has indicated how far behind the UK is in the race to decarbonise. Failure to heed its recommendations is not only damaging to our planet, but it also cuts us out of leading the development of the key technologies of the future. The Conservatives are still refusing to impose conditions on investment to ensure that it contributes to the goal of net zero and that it supports local jobs, uses local firms, leads to sustainable skilled employment in local areas and prevents the use of tax havens and other forms of asset stripping.
If the Chancellor really wants to “build back better”, he must prevent a rerun of the past. From 2010 onwards, we have seen how families’ resilience has been eroded. We entered this crisis with a quarter of families lacking even £100 in savings. In a typical classroom of 30, nine children are growing up in poverty, and our economy is the most regionally unequal in Europe. Our local authorities continue to be cut to the bone, with many standing on the brink of bankruptcy as we speak, and rather than the promise that our NHS and social care services would get whatever they needed this winter—to weather a potential second wave—those words were conspicuously absent from the Chancellor’s speech just now.
Politicians in this House have gone out on our doorsteps to clap key workers, while the lowest paid have struggled to keep a roof over their heads. We must have a new settlement for the future: an end to poverty pay for our social care workers and those who clean our hospitals and deliver our groceries. We want a recognition of the value of the work of those who have been taken for granted for far too long.
There were some initial press reports that the Government were due to announce generalised tax increases or cuts to services this autumn, which were contradicted by the Prime Minister, who rejected whatever had apparently been briefed out by the Treasury—that has happened quite a few times. I say to the Government that, if they do increase taxes during the recovery and cut back on the public services that we all rely on, it will damage demand and inhibit our recovery. Labour is not calling for tax rises. We are calling for growth.
The Tory manifesto committed to no rises in income tax, national insurance or VAT, and therefore it is for the Conservatives to set out how any additional spending will be paid for. It is the Chancellor’s job to ensure that the economy bounces back from this crisis, so that there is money in the coffers to protect the public finances.
Last week, the Chancellor’s colleague, the Prime Minister, tried to claim the mantle of FDR—as we all know. Perhaps now we know why he went for Roosevelt. It is because this week the Prime Minister blamed carers for the failings in the system that his Government had underfunded for the past decades. Now we know why he went for Roosevelt. It is because the last thing that his Government would have wanted was the sign on the desk of Harry Truman, the successor to Roosevelt, which said, “The buck stops here.” If this Government had a sign, it would probably say, “The buck stops anywhere but here”. But they cannot escape their responsibilities: to govern is to choose. It is to choose to finally sort out test, track and isolate, to prevent unnecessary additional unemployment and to build the green jobs of the future. This is a moment when our country needs its Government to help Britain through.
Mel Stride
Con
Central Devon
Welcomed Rishi Sunak's plan for jobs, highlighting the issue of corporate debt that many small and medium-sized enterprises will face post-crisis. Asked about specific solutions to support businesses in investing in jobs and growth instead of focusing on de-leveraging.
Rishi Sunak
Con
Richmond and Northallerton
Thanked Mel Stride for his support and highlighted that while corporate indebtedness levels were low when entering the crisis, this could become a drag on recovery. Mentioned looking at proposals from various sources to address the issue of leverage.
Alison Thewliss
SNP
Glasgow Central
The Chancellor's budget statement was heavily redacted and not useful. Supports job support schemes but urges the Chancellor to be more ambitious with stimulus plans, calling for at least £80 billion in new investment, equivalent to Germany's package. Urges the UK Government to devolve financial powers to Scotland so that it can tailor its response to the crisis. Highlights concerns about proposed withdrawal of job support schemes prematurely and calls for continuation and extension of them. Expresses concern over child poverty rising to 5.2 million by 2022, urging a £20 per week increase in universal credit's child element. Questions whether sanctions will be applied to those who do not take up the proposed plan and if it is open to those currently not on universal credit.
Rishi Sunak
Con
Richmond and Northallerton
Responds to Alison Thewliss's questions, confirming that OBR will do final costings for the policies soon after which the block grant adjustment will be done. Confirms £4.6 billion in Barnett funding for Scotland due to interventions through the crisis. Explains inclusion of different businesses in VAT cut via existing legislation and publication of guidance tomorrow. Emphasises on future investment by tripling investment from last four decades, introducing a payment of £1,500 per apprentice taken on by employers for those over 25 years old. Announces measures such as the jobs retention bonus, kick-start scheme, VAT cut, and 'eat out to help out' discount all benefiting UK economy.
Peter Bottomley
Con
Basingstoke
Welcomed the positive approach of the Chancellor, advocating for an economically and environmentally sustainable recovery. Raised concerns about those excluded from support schemes, such as leaseholders affected by proposed regulations allowing additional floors on blocks of flats.
Edward Davey
Lib Dem
Kingston and Surbiton
Critiqued the Chancellor's green recovery ambition for being too small compared to European countries like Germany and France, urging for a larger investment in home insulation and job creation.
Praised the Chancellor’s actions but urged him to set out new fiscal rules in his autumn Budget to ensure debt control over time.
Sammy Wilson
DUP
East Antrim
Welcomed the measures and highlighted the importance of protecting Northern Ireland's aerospace and aviation sectors, urging for more action on these areas.
Laura Trott
Con
Sevenoaks
Supported bold demand-side measures such as “eat out to help out” and VAT cut over extending the furlough scheme indefinitely.
Expressed cautious welcome for youth employment schemes, urged Chancellor to introduce a windfall profit tax for green apprenticeship schemes, and highlighted the need for support of further education colleges.
Richard Holden
Con
Basildon and Billericay
Emphasised that constituents welcome measures protecting jobs and supporting young people, highlighting VAT cuts and bonus for employers hiring young people.
Called attention to the 3 million people excluded from Government support, urging Chancellor to revisit providing assistance to those on zero-hours contracts or self-employed.
Saqib Bhatti
Con
Meriden
My constituents in Meriden are very environmentally focused and will welcome the green homes grant. It is about not just protecting the environment but creating jobs and giving the greatest benefit to those households on the lowest incomes.
Rishi Sunak
Con
Richmond and Northallerton
The Chancellor supports the green homes grant, which provides up to £10,000 grants for low-income households. The policy aims to create local employment, save money on bills, and cut carbon emissions.
Nick Smith
Lab
Blaenau Gwent
To boost employment in Blaenau Gwent, the proposal is to redouble the Ebbw Vale train line with improved signalling and bridging works. The Welsh Government has a business plan; will the Chancellor commit to providing investment for jobs?
Rishi Sunak
Con
Richmond and Northallerton
The Chancellor is happy to look at Nick Smith's proposal, and he will discuss it with the Transport Secretary.
Asks for a review of taxes, subsidies, and public procurement regulations so that they can be amended to allow Britain to grow more food, process more fish, generate power and supply things needed by health service and Ministry of Defence better in Britain.
Rishi Sunak
Con
Richmond and Northallerton
The Chancellor supports reviewing procurement rules post-Brexit to ensure supporting the local economy and creating jobs, which is vital today.
Asks if doubling of work coaches will be new posts or redeployments. Also asks if jobcentre closure programme will be suspended and if terms and conditions package will be built to attract staff given high turnover in DWP.
Rishi Sunak
Con
Richmond and Northallerton
The Chancellor is investing an extra £1 billion in the DWP this year to double work coaches from 13,500, with recruitment already under way. The jobcentre closure programme will be assessed based on his announcements.
Bernard Jenkin
Con
Harwich and North Essex
Thanking the Chancellor for support to self-employed people and those remunerating through dividends, highlighting help for hospitality sector in coastal communities like Harwich.
Rishi Sunak
Con
Richmond and Northallerton
The Chancellor appreciates Bernard Jenkin's support, emphasising importance of enjoying summer safely and supporting industries vital to areas less resilient than others.
Barry Gardiner
Lab
Brent West
Expresses disappointment at the disparity between promised grants and reality for hospitality businesses in Brent. Asks Chancellor to back announcements with real cash this time.
Rishi Sunak
Con
Richmond and Northallerton
Responds that over £10 billion has been deployed through business rates grants targeting retail, hospitality, and leisure sectors across the country.
Rachel Hopkins
Lab
Luton South and South Bedfordshire
Highlights dependency of businesses on Luton airport passengers for support. Asks if detailed equality impact assessments have been done considering BAME backgrounds in affected employees.
Rishi Sunak
Con
Richmond and Northallerton
Acknowledges the importance of addressing social justice issues by providing bold and decisive action to help sectors disproportionately affecting younger, BAME communities, women, part-time workers.
Asks Chancellor for support in rebuilding east midlands through an effective voice for area as a counterbalance to West Midlands. Emphasises importance of local leadership and recovery efforts.
Rishi Sunak
Con
Richmond and Northallerton
The Chancellor encourages efforts for east midlands recovery, emphasising the role of local authorities in driving forward recovery one area at a time.
Highlights disproportionate suffering from health and economic effects among least well-off. Asks to ensure cost is borne by wealthier individuals with assets rather than poor and low-paid.
Rishi Sunak
Con
Richmond and Northallerton
Responds that the Government has done more to tackle tax evasion and avoidance than any other Government in history, collecting hundreds of billions of pounds.
Thanks Chancellor for measures introduced during coronavirus crisis. Asks if generous new arts funding will be available for live events industry or further support might be announced soon.
Rishi Sunak
Con
Richmond and Northallerton
The Culture Secretary is working on distributing the funds; Chancellor directs hon. Friend to him regarding precise question raised, emphasising benefits for local cultural institutions across communities.
Yvette Cooper
Lab
Pontefract, Castleford and Knottingley
Welcomes reintroduction of future jobs fund and wider youth job guarantee measures. Asks if the scheme will be bigger due to crisis and from which month it will apply.
Peter Gibson
Con
Darlington
Welcomed the Chancellor's initiatives for furloughed workers and unemployed young people in his constituency. He highlighted the bold changes to stamp duty as a key measure to unlock the housing market.
Catherine West
Lab
Hornsey and Friern Barnet
Asked the Chancellor for an exact impact assessment of each funding pot, to ensure value for money, consider environmental impacts, and prevent corruption or fraud in the measures announced.
Tim Loughton
Con
East Worthing and Shoreham
Welcomed hospitality industry measures but suggested adding a 'work out' aspect with gyms reopening. Raised concerns about perinatal mental illness among new parents and the need for support.
Paula Barker
Lab
Liverpool Wavertree
Critiqued the Chancellor's failure to address social care funding inadequacies, highlighting the underfunding and market instability impacting the sector's ability to respond to crises.
David Evennett
Con
Bexleyheath and Crayford
Supported the Chancellor's plans for young people including kick-start schemes, traineeships, and better career advice services. He emphasised these measures' importance in providing hope during a challenging economic period.
Kevan Jones
Lab
North Durham
Critiqued the Chancellor's statement for not mentioning local government finance crisis. He called for a comprehensive settlement to prevent service cuts and job losses.
Maria Miller
Con
Basingstoke
Asked about measures to build employer confidence in creating apprenticeships during difficult times, highlighting the positive impact of apprenticeships on young people's career prospects.
Darren Henry
Lab Co-op
Broxtowe
Supported the green homes grant as a way to support microbusinesses and cut emissions. He emphasised the need to unleash economic activity through such measures.
Stella Creasy
Lab Co-op
Walthamstow
Questioned about childcare funding, citing data on women's inability to return to work due to lack of childcare and voluntary sector agencies operating at a loss. She asked for clarity on support measures.
Gareth Bacon
Con
Orpington
Praised the Chancellor’s efforts in safeguarding livelihoods and urged rejection of wealth tax proposals from the opposition, stressing focus on creating rather than plundering wealth.
Maria Eagle
Lab
Liverpool Garston
Argues against withdrawing support from viable businesses due to health restrictions, citing examples in her constituency. Asks the Chancellor to change his approach and avoid a wave of redundancies.
Welcomes the Chancellor's announcements but urges for the opening of tourism-related businesses in Wales by no later than 19 July.
Expresses concern about local government revenue loss due to covid-19 and asks for a firm commitment on full funding support for councils in 2021 and 2022.
Encourages people to eat out to help the hospitality sector, particularly in Milton Keynes.
Emma Hardy
Lab
Kingston upon Hull West and Haltemprice
Highlights the potential collapse of 13 universities due to covid-19 and asks for a commitment from the Chancellor to prevent university closures.
Welcomes the VAT cuts on food, accommodation and attractions and asks for continued support for tourism in his constituency.
Andrew Slaughter
Lab
Hammersmith and Chiswick
Asks for support for the events industry which contributes £70 billion to the UK economy and calls for a timetable for reopening.
Praises the Chancellor's statement on apprenticeships, suggests raising public sector target for apprenticeships by 5%, and proposes procurement rules change.
Asks the Chancellor to take opportunity to reform procurement regulations to prioritise British-based companies and jobs from next year.
Chris Grayling
Con
Odiham
Welcomes expansion of employment programmes, expresses concern about aerospace and aviation sectors, and asks for support measures including VAT reductions.
Caroline Lucas
Green
Brighton, Pavilion
Critiques the Chancellor's green record and calls for cancellation of roads scheme to invest in public transport and broadband instead.
Lucy Allan
Con
Congratulated Rishi Sunak on his statement and £30 billion jobs plan, thanked him for commitment to young people; asked about review of the kick-start scheme after initial six months.
Rishi Sunak
Con
Richmond and Northallerton
Thanked Lucy Allan for her support; clarified that the kick-start programme will run longer than six months, starting bids in autumn with duration until end of next year.
Stephen Flynn
SNP
Aberdeen South
Asked Rishi Sunak to deliver an oil and gas sector deal to protect jobs now while creating new sustainable jobs for Aberdeen's future, highlighting £350 billion contribution from Scotland’s oil and gas sector over the past decade.
Rishi Sunak
Con
Richmond and Northallerton
Acknowledged difficulties in oil and gas sector; mentioned Barnett consequentials and interventions for crisis; committed to reviewing mechanisms for future support if needed.
Bim Afolami
Con
Thanked the Chancellor for his statement and proposal on recapitalising SMEs; asked about infrastructure funding (£5.6 billion), how to deliver more quickly, whether through planning regulations or other means.
Rishi Sunak
Con
Richmond and Northallerton
Acknowledged the importance of delivering projects quickly; introduced Project Speed to streamline procurement, planning, construction, and regulatory approval processes.
Beth Winter
Lab
Asked about potential for raising £174 billion annually from wealth tax at same rate as income tax, citing Richard Murphy's opinion; questioned whether time is right for radical overhaul of taxation system to fulfill 'levelling-up' promise.
Rishi Sunak
Con
Richmond and Northallerton
Rejected idea of wealth tax; focused on providing hope and opportunity for young people at risk due to economic impact of coronavirus through kick-start programme, traineeships, apprenticeships.
Andrew Jones
Con
Congratulated Chancellor on statement; highlighted risks faced by young people during pandemic; praised introduction of kick-start programme and need for comprehensive support for apprenticeships and traineeships.
Rishi Sunak
Con
Richmond and Northallerton
Agreed with Andrew Jones on importance of supporting young people to acquire skills needed for future opportunities, including kick-start programme, traineeships, apprenticeships.
Jessica Morden
Lab
Newport East
Cited StepChange Debt Charity report showing 4.5 million lost income and £6 billion debt in arrears; asked Chancellor to ensure economic recovery plans include strategy to support those in coronavirus-related financial difficulties.
Rishi Sunak
Con
Richmond and Northallerton
Acknowledged Financial Secretary's work on debt advisory services (£37 million investment); mentioned ongoing efforts with breathing space initiative to address financial difficulties.
Richard Fuller
Con
North Bedfordshire
Complimented Chancellor's approach and tone of statement; echoed comments about need for sustainability in public finances as economy recovers from fall.
Rishi Sunak
Con
Richmond and Northallerton
Acknowledged Richard Fuller’s comments on importance of values-driven policies and commitment to sustainable public finances; assured future focus on balancing economic recovery with financial sustainability.
Darren Jones
Lab
Bristol North West
Critiqued Chancellor for lack of sector-specific help for British manufacturers, questioning why there's no support comparable to Germany, France and the US; challenged Sunak about opposition to supporting manufacturing sectors.
Rishi Sunak
Con
Richmond and Northallerton
Clarified that support schemes benefited all sectors equally; highlighted use of furlough scheme by manufacturers for protecting jobs during recovery period; mentioned plans to double research and development investment.
Andrea Leadsom
Con
Complimented Chancellor on job protection efforts; emphasised importance of green recovery through COP26, suggesting international collaboration in areas like battery storage, offshore wind, carbon capture for future green jobs.
Rishi Sunak
Con
Richmond and Northallerton
Acknowledged Andrea Leadsom's point on global leadership opportunities; committed to working closely with international partners in finance track led by Mark Carney; mentioned leading world in developing technologies like offshore wind and carbon capture.
Brendan O'Hara
SNP
Argyll, Bute and South Lochaber
Welcomed the temporary reduction in VAT but criticised it for not being sufficient to help tourism and hospitality businesses. Suggested an extension of furlough and access to grants.
Rishi Sunak
Con
Richmond and Northallerton
Defended against the suggestion of extending furlough, highlighted provision of £10,000 or £25,000 grants for businesses in retail, hospitality, and tourism. Mentioned 'eat out to help out' discount.
Suggested a change from working from home guidance to going to work if it is safe to do so. Also suggested cutting or suspending air passenger duty for aviation sector recovery.
Alistair Carmichael
Lib Dem
Orkney and Shetland
Welcomed the VAT reduction but asked for further consideration on extending it or making it permanent. Questioned if many businesses in highly seasonal visitor economies will benefit from it.
Complimented Chancellor's measures including VAT and stamp duty cuts, and kick-start scheme to provide opportunities for young people.
Expressed gratitude towards the Chancellor for the economic measures. Pressured the Chancellor to commit solidly to unlocking hydrogen strategy that could unlock £1.5 billion investment.
Lindsay Hoyle
Speaker
Chorley
Joked about Ian Paisley Jnr's eagerness and warned him not to expect immediate responses.
Invited Chancellor to visit Dudley to support initiatives such as the Institute of Technology that will future-proof people for jobs in the future.
Seema Malhotra
Lab Co-op
Feltham and Heston
Expressed concern about lack of a flexible furlough scheme for aviation, questioned whether there would be enough work coaches to meet demand.
Welcomed the kick-start scheme and urged that it be constructed in such a way as to provide meaningful work opportunities.
Urged Chancellor to recognise care workers' efforts during the crisis by paying them a real living wage of £10 an hour.
Rishi Sunak
Con
Richmond and Northallerton
Emphasised the ongoing support for public sector workers, highlighted two years of inflation-busting pay rises for almost a million people, mentioned record increases in core spending power for local authorities, and reiterated efforts to implement a cap on public sector exit payments.
Christchurch
Called for the implementation of a cap on public sector exit payments without delay, as it was supported by the House five years ago.
Hilary Benn
Lab
Leeds South
Expressed concern about the remaining budget gap facing councils like Leeds, which is £63 million, and urged for further assistance to avoid job cuts in essential services due to a statutory requirement for balanced budgets.
Kieran Mullan
Con
Bexhill and Battle
Commended the Chancellor's support for young people, noting that proportionately the lowest-income families have benefited the most from recent measures.
Liam Byrne
Lab
Birmingham Hodge Hill and Solihull North
Welcomed investments but criticised the lack of capital investment in manufacturing, expressing fears about a potential manufacturing meltdown due to furlough changes and the absence of new car subsidy schemes.
Edward Leigh
Con
Gainsborough
Stressed that long-term subsidised jobs are not sustainable and advocated for deregulation, market flexibility, and tax cuts on entrepreneurship.
Asked about the urgency of bringing forward legislation to improve access to cash in rural communities as part of the community access to cash scheme.
Called for more support for early years providers, highlighting their struggles and requesting a meeting to discuss solutions.
Justin Madders
Lab
Ellesmere Port and Bromborough
Asked the Chancellor what actions he would take to save jobs in light of Airbus's announcement of 1,700 job losses.
Expressed gratitude for tackling furlough fraud and invited the Chancellor to a webinar on combating corruption and fraud in procurement.
Claire Hanna
SDLP
Belfast South and Mid Down
Thanked the Chancellor for advancing important mechanisms but expressed concerns about individuals on precarious contracts. Suggested meeting with banks to offer lower-cost mortgage products.
Rishi Sunak
Con
Richmond and Northallerton
Acknowledged efforts by Economic Secretary to provide forbearance during difficult times, mentioning the scheme that provided mortgage holidays to one in six mortgages. Agreed to meet Claire Hanna.
Martin Vickers
Con
Brigg and Immingham
Quoted the Grimsby Telegraph, praising the Chancellor for delivering support to businesses. Urged the Chancellor to consider freeport status for Immingham and Grimsby despite ending consultation next week.
Clive Efford
Lab
Eltham and Chislehurst
Welcomed nine-month cut to stamp duty but expressed concern it could increase house prices, making homes harder to buy for first-time buyers. Suggested injecting capital into the housing market for social housing.
Thanked the Chancellor for announcements supporting hospitality and tourism industries, inviting everyone to come to Cornwall this summer.
Welcomed Barnett consequentials for youth unemployment response but asked about analysis of where redundancies have occurred and are likely to occur over the coming months. Suggested targeting £9 billion furlough bonus more towards sustainable sectors facing long-term issues.
Asked the Chancellor for support on flood management in constituencies like his, given recent flooding disasters and ongoing recovery needs.
Vicky Foxcroft
Lab
Lewisham North
Expressed concern about lack of support for high-risk individuals to return to work safely when shielding programme ends. Asked the Government to consider extending full job retention scheme for those who cannot return safely.
Thanked the Chancellor for furlough scheme and emphasised the importance of helping businesses in the private sector generate jobs, prosperity, and tax revenues.
James Murray
Lab Co-op
Ealing North
Inquired about procedures if British Airways used taxpayers’ money to put furloughed staff on notice of redundancy. Asked for confirmation that such a company would be liable to pay back the funds.
John Penrose
Con
Weston-Super-Mare
Thanked the Chancellor for subsidising local businesses and tourism, emphasised the importance of competition laws for long-term job security.
Rishi Sunak
Con
Richmond and Northallerton
Clarified that the 'eat out to help out' discount does not apply to alcohol but benefits 90% of pubs. Emphasised the importance of dynamic competition policy for job creation.
Drew Hendry
Lab
Inverness West, Glen Urquhart
Asked about support for businesses and sole traders excluded from pandemic support, suggested converting loans into grants to aid seasonal businesses.
Rishi Sunak
Con
Richmond and Northallerton
Announced a reduction in VAT for sectors affected by the pandemic. Discussed the 'eat out to help out' discount aimed at protecting jobs and businesses.
Steven Baker
Con
Wycombe
Expressed concern about the long-term sustainability of public finances, asked for reassurance regarding a contingency plan if inflation rises.
Rishi Sunak
Con
Richmond and Northallerton
Reassured on the long-term sustainability of public finances, committed to returning them to a position of sustainability over the medium term.
James Daly
Con
Heywood and Middleton
Welcomed support for young people in the country, requested a meeting with the Chancellor to discuss expanding job opportunities at Bury College.
Rishi Sunak
Con
Richmond and Northallerton
Expressed willingness to meet representatives of Bury College to explore ways to expand sector-based work academies in their constituency.
Kerry McCarthy
Lab
Bristol East
Asked for specific support measures for the car manufacturing industry, particularly electric vehicle subsidies and a scrappage scheme.
Rishi Sunak
Con
Richmond and Northallerton
Announced £1 billion in support for low-emission vehicles at Budget, including a £400 million charging infrastructure fund.
James Sunderland
Lab
Workington
Suggested reviewing investment and procurement strategies to prioritise British businesses, reducing overseas spending.
Rishi Sunak
Con
Richmond and Northallerton
Agreed with the importance of supporting local economies through procurement rules post-Brexit.
Wendy Chamberlain
Lib Dem
North East Fife
Asked for detailed figures on financial support delivered by the Treasury to Scotland and other devolved nations during the crisis.
Rishi Sunak
Con
Richmond and Northallerton
Provided details of £4.6 billion in Barnett funding provided to Scotland throughout the pandemic, along with a block grant adjustment based on stamp duty cuts.
Desmond Swayne
Con
New Forest West
Asked for intervention to ensure campsites remain open despite a company's refusal to do so, highlighting potential loss of income for local traders.
Rishi Sunak
Con
Richmond and Northallerton
Acknowledged the importance of opening campsites, highlighted VAT reduction for campsites, and offered to use influence to address the issue.
Government Response
EconomyTaxationHousingEmploymentCulture, Media & SportEnergyLocal Government
Government Response
Acknowledged the points raised by MPs, including comprehensive support for self-employment schemes, importance of green jobs, need to balance fiscal sustainability with recovery measures, and plans for further education colleges. Emphasises policies supporting job creation, business incentives, and economic recovery. Responds to concerns about viable businesses, local government funding, university support, tourism, events industry, apprenticeships, procurement reforms, aviation sector, and green measures. Responded to various speakers, defending government's actions on grants for hospitality sector, expressing commitment to review aerospace taxation, inviting work coaches' insights into kick-start scheme, and promising additional investment in hydrogen technology. Responded to each MP's concerns, outlining measures taken by his team to support businesses and individuals affected by economic downturn. Acknowledged freeport issue for Immingham and Grimsby, supported social housing programme increase, and clarified furlough scheme rules.
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Assessment & feedback
Summary accuracy
About House of Commons Debates
House of Commons debates take place in the main chamber of the House of Commons. These debates cover a wide range of topics including government policy, legislation, and current affairs. MPs from all parties can participate, question ministers, and hold the government accountable for its decisions.