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Ways and Means
12 March 2020
Lead MP
John Martin McDonnell
Debate Type
General Debate
Tags
No tags
Other Contributors: 54
At a Glance
John Martin McDonnell raised concerns about ways and means 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
It is crucial that the Government demonstrate a comprehensive approach to the coronavirus crisis, both medically and economically. We support the NHS receiving necessary resources but also urge for additional clarity on social care funding gaps and immigration policies affecting care workers. The UK must invest in long-term stability for the NHS and address issues like zero-hours contracts and eligibility criteria for sick pay. Furthermore, there needs to be international co-operation to tackle this global pandemic.
Stephen Timms
Lab
East Ham
The announcement of a £500 million fund is a belated recognition by the Government that a social fund is needed to support those in need. This fund should provide resources to people with needs efficiently and minimise costs.
Hayes and Harlington
The social fund previously provided necessary support, but the current package lacks comprehensiveness and may not ensure safety for all. There is a need for international co-operation as this virus respects no borders.
Co-ordination between the Treasury and the Bank of England can serve as a model to show our international partners how to address the economic consequences of this emergency. We may not have used the right tools yet, but we must work together to find solutions.
Hayes and Harlington
While individual country strategies are not as effective against a global crisis, international co-operation is essential. The example of Gordon Brown’s leadership during the banking crisis shows the importance of bringing world leaders together to agree on a global strategy.
Pat McFadden
Lab
Wolverhampton South East
There needs to be international action for countries with basic healthcare systems, ensuring testing and treatment are accessible globally. This virus respects no borders, thus requiring a co-ordinated global response.
Hayes and Harlington
The UK Government should coordinate policies effectively to address the global issues presented by the pandemic, especially through international bodies like the UN. Additionally, the Budget failed to adequately address social emergencies such as in-work poverty, public service crises, and climate change. There was no substantial effort to tackle long-term funding gaps in areas like justice, domestic violence support, education, housing, and community services.
John Hayes
Con
South Holland and The Deepings
Agrees with the need for collaboration and swift action to address global issues. Suggests that the Commonwealth could play an active role in mobilising international efforts as proposed by McDonnell.
Hayes and Harlington
Reiterates support for using international bodies but emphasises immediate action at senior levels to address medical crises before they exacerbate economic issues. Also highlights other pressing social emergencies such as in-work poverty, public service funding shortages, climate change, domestic violence, education staffing, housing cuts, and library closures.
Points out that £13 million is being allocated to community libraries across the country which could make a significant difference, challenging McDonnell's assertion about inadequate funding.
Hayes and Harlington
Responds to Afolami by stating that £13 million is minuscule compared to previous cuts, suggesting it will not revitalise library services significantly. Local authorities might struggle to maintain existing services with such limited funds.
Diana R. Johnson
Lab
Kingston upon Hull North and Cottingham
Asks McDonnell about the funding gap for combating violence against women and girls, despite £393 million raised from abolishing the tampon tax.
Order was given by the Speaker to maintain the rules of engagement for contributions in this debate.
Alok Sharma
Con
Fareham
Defended the government's economic policies and achievements over the past decade, highlighting record employment levels and positive commentary from business groups regarding the Budget. Emphasised support measures for public services, individuals, and businesses affected by the pandemic.
Steve McCabe
Lab
Birmingham Selly Oak
Asked whether the Secretary of State was willing to concede that within a year of George Osborne’s emergency Budget in 2010, he had to reverse many capital cuts due to economic damage caused.
Henry Smith
Con
Crawley
Asked for support measures specifically targeting the aviation industry, given the increased air passenger duty and concerns about airline business survival during the pandemic.
Andrew Griffith
Con
Arundel and South Downs
Asked Alok Sharma whether the ability to attract global investors was a sign of economic success. Emphasised that the UK attracts more direct investment than France and Germany combined.
Alok Sharma
Con
Wokingham
Agreed with Andrew Griffith, stating the importance of attracting inward investment under the current government.
Stephen Timms
Lab
East Ham
Questioned Alok Sharma about the 2010 Red Book warning on debt levels. Challenged the claim that previous policies had caused the country to be on an economic precipice in 2010.
Alok Sharma
Con
Wokingham
Defended the government's fiscal policy, highlighting a reduction from record deficit levels and down to less than 2% now. Stressed employment statistics since 2010: record high employment rates and reduced unemployment rate.
Stephen Timms
Lab
East Ham
Pointed out that the government's aim was to eradicate the deficit by 2015, but it has continued to rise beyond that date.
Alok Sharma
Con
Wokingham
Replied with statistics on corporation tax reduction and business registrations growth. Emphasised research and development spending increases and initiatives like the British Business Bank's start-up loan scheme extension, supporting up to 10,000 loans.
Diana R. Johnson
Lab
Kingston upon Hull North and Cottingham
The Humber is one of the areas that have been put forward for the carbon capture pilot, as it is the highest emitter of carbon in the United Kingdom. The speaker believes the area should be the first to receive some of the £800 million allocated for this purpose and asks the Secretary of State to support her proposal.
The minister expresses willingness to engage with the hon. Member about her proposals in a bipartisan spirit, aiming for up to 2 million green jobs by 2030 as part of green growth efforts. He notes that since 1990, the UK economy has grown by 75% while cutting emissions by 43%, demonstrating the feasibility of green growth. The minister also highlights the importance of COP26 in November and its potential to drive global momentum towards a zero-carbon economy.
Alison Thewliss
SNP
Glasgow Central
Ms Thewliss criticises the UK Government's Budget for failing to adequately address the economic and social challenges posed by both coronavirus and a decade of austerity. She supports measures to mitigate the impacts of COVID-19 but notes that these are insufficient in the context of Brexit uncertainties. She raises concerns about the lack of support for Scotland-specific issues, including business rates, VAT relief for hospitality, and European funding replacements. Thewliss highlights the SNP's approach to economic growth through innovation and international collaboration, contrasting it with the UK Government’s perceived isolationist policies. She also discusses issues such as statutory sick pay eligibility, universal credit delays, and immigration policy changes that are detrimental to Scotland’s economy.
Pat McFadden
Lab
Wolverhampton South East
This Budget marks a shift from previous Conservative fiscal policies, driven largely by the economic impact of Brexit and low growth forecasts. The Government's focus on sovereignty over prosperity is unusual in recent history. While investment in infrastructure is welcome, it cannot mask the underinvestment during Tory years. Levelling up must also address educational inequality, affordable childcare, skill training for new job markets, and social mobility challenges.
Sally-Ann Hart
Con
Hastings and Rye
Sally-Ann Hart, a newly elected Conservative MP for Hastings and Rye, thanked her constituents for their support and highlighted the constituency's rich history, natural attractions, tourism industry, fishing fleet, economic challenges, need for investment in education, special educational needs, family life importance, transport infrastructure issues, and paid tribute to her predecessor Amber Rudd. She also emphasised the opportunities presented by leaving the EU.
Steve Reed
Lab Co-op
Streatham and Croydon North
Congratulates the new Member for Hastings and Rye on her maiden speech, then discusses the impact of the Budget on people with mental ill health. Criticises the Government's lack of follow-through on promises to help vulnerable individuals with mental health issues despite temporary measures implemented due to coronavirus. Highlights failures in the roll-out of universal credit and insensitive assessments that exacerbate health conditions. Points out insufficient investment in crumbling facilities, staff recruitment, training, and high-quality services needed for people to lead independent lives. Mentions the delay in implementing Seni’s law aimed at reducing violent restraint against patients with mental ill health.
Andy Carter
Con
Warrington South
Pays tribute to his predecessor, Faisal Rashid, and David Mowat, expresses gratitude to family for support in turning a political interest into a career. Describes Warrington South's geographical and economic importance, highlighting its transport infrastructure, natural beauty, and historical significance. Mentions the closure of the Unilever plant affecting 123 jobs but notes ongoing regeneration efforts. Discusses the role of small businesses in the economy and welcomes measures to support them such as increased business rate discounts and broadband investment. Highlights potential for Daresbury science park with up to 9,000 future jobs.
Stephen Timms
Lab
East Ham
It is a privilege to follow the hon. Member for Warrington South and to congratulate him on his maiden speech, highlighting the potential of Daresbury science park in particular. The Financial Times noted that yesterday marked the end of the Tory promise to eliminate the deficit, citing a 'decade-long slowdown in productivity' by the current Chancellor, who now claims a plan to ‘fund...our future prosperity’. Timms welcomes several measures in the Work and Pensions Committee's policy area, such as wider availability of statutory sick pay, faster access to employment support allowance, and a £500 million hardship fund. He also supports changes on universal credit but points out that it still causes significant harm due to delays before benefit payments start. The Select Committee aims to address these issues through their inquiries. Timms criticises the increase in the immigration health surcharge as an unjust burden on settled families.
James Grundy
Con
Leigh
Grundy, representing Leigh since 1880 for the first time, paid tribute to his predecessor Jo Platt and praised Andy Burnham's work. He welcomed the creation of a £4.2 billion local public transport fund and committed road schemes, expressing hope for better rail links in his constituency and the completion of Atherleigh Way bypass. Grundy emphasised the regeneration of town centres through brownfield site development and business rate exemptions. While supporting cultural heritage preservation, he requested that the Chancellor reconsider spending on HS2's Golborne spur, arguing it would cost £2-3 billion with minimal benefits.
Kate Green
Lab
Stretford and Urmston
Ms. Green expressed concerns about the Conservative Government's shift towards borrow-and-spend policies in light of Brexit and the ongoing coronavirus pandemic. She highlighted the negative impacts on business investment, output reduction, and trade barriers as noted by the OBR. Ms. Green also raised issues regarding NHS recruitment and the immigration health surcharge affecting healthcare workers. Concerns were also voiced about public health budgets and the need for more funding details. She welcomed the £500 million hardship fund for local authorities but stressed that support would be needed beyond council tax relief to cover increased welfare needs. In terms of skills development, Ms. Green welcomed capital budget announcements but pointed out gaps in adult skills funding and apprenticeships, urging for a return of unused levy money to regions like Greater Manchester. She noted the lack of information on the national retraining scheme and called for more devolution of adult skills funding. Concerns were also raised about social security issues such as the two-child policy and benefit cuts affecting low-income families. Additionally, Ms. Green pushed for greater climate change ambition beyond recent announcements and sought immediate details on clean bus and freight funds for Greater Manchester.
John Hayes
Con
South Holland and The Deepings
The Chancellor's bold action in stabilising the economy with a £30 billion stimulus, supporting workers including self-employed individuals and those on zero-hours contracts, creating a hardship fund, and refunding statutory sick pay for small firms is welcome. Hayes emphasises the need for long-term strategic planning over short-term gains, advocating investment in road and rail infrastructure, further education to build a skilled workforce, research and development with mindful risk-taking, avoidance of bureaucratic red tape, meaningful employment that fosters societal solidarity, and rethinking globalisation to focus on local support.
Diana R. Johnson
Lab
Kingston upon Hull North and Cottingham
Committed the Government for financial support during the coronavirus crisis, including £12 billion to provide support for public services, businesses, and individuals affected by the virus, and £5 billion for NHS and other public services. Emphasised the need for emergency legislation to help those not covered by statutory sick pay. Raised concerns over social care's ability to cope with the virus, local authority funding cuts, and lack of budget allocations for public health directors. Highlighted gender disparities in accessing benefits increases due to being in lower-paid jobs. Mentioned the tampon tax and called for continued funding projects combating violence against women and girls. Supported Hull and Humber’s carbon capture scheme, caravan sector protection, and flood resilience plans. Criticised division of Yorkshire's devolution deal into north-bank and south-bank deals.
Thomas Tugendhat
Con
Tonbridge
Welcomed the Budget as pragmatic and designed for Tonbridge and west Kent, praising measures on flooding protection, reduction of business rates, investment in further education, and focus on potholes. Highlighted the need to build reserves and prepare for an unpredictable global emergency. Urged Government to consider urgent operational requirements and experimental technologies to save lives during the crisis. Criticised certain aspects of globalisation that threaten liberties, especially regarding competitive practices in telecoms markets. Advocated for devolution and power returning to local communities, suggesting devo-Kent as a positive move.
Yvonne Fovargue
Lab
Warrington South
Congratulated Members who made their maiden speeches and emphasised the need for more detail on extending statutory sick pay to all employees from day one. She highlighted concerns about people's financial stability, especially those with low savings, and called for a no-interest loan scheme for the lowest-income individuals. Additionally, she discussed the importance of free debt advice and local welfare provision, as well as the necessity of reviewing high-interest mortgages and guaranteeing access to cash. Fovargue also raised issues regarding housing infrastructure and social care funding.
Richard Fuller
Con
North Bedfordshire
Divided the Budget into three categories: coronavirus emergency, current expenditure, and strategic investment. He praised Chancellor's support for small businesses, the NHS, and raising wages for low-paid workers. However, he expressed concern about fiscal prudence and potential additional taxes due to uncertainties. Richard Fuller also discussed issues with loan charges and IR35 taxation policies. He emphasised the importance of investment in meeting future opportunities post-Brexit and called for a broader approach to assessing return on investment beyond productivity rate.
Margaret Ferrier
SNP
Rutherglen and Hamilton West
The Budget fails to address the financial hardships caused by the closure of local banking services and high cash machine charges. The MP urges the Chancellor to support her cash machines Bill, which aims to end the practice of charging for ATM usage. She also calls for legislation ensuring banks deliver a minimum level of service for constituents in communities where local banking has declined. Additionally, she highlights concerns about planned fuel duty increases on red diesel affecting fairground operators and stresses the need for exemptions or alternatives to protect their industry. Furthermore, Ferrier criticises the Budget's failure to support the steel industry, which was saved from closure but lacks necessary financial support for rejuvenation.
David Johnston
Con
Wantage
Welcomes the innovation aspects of the Budget, highlighting commitments to research and development at 0.8% of GDP, surpassing countries like the US, China, and Japan. Commends the £180 million commitment for a new Natural History Museum centre at Harwell campus, which will move about 40% of the museum's collection there along with scientists, aiding in addressing global challenges such as climate change. Emphasises that the project will help inspire young people to pursue careers in science and contribute significantly to UK’s scientific standing.
Colleen Fletcher
Lab
Blackley and Broughton
Welcomes additional NHS funds but expresses concern over the Government's failure to address healthcare service challenges proactively. Points out that improvements in life expectancy have stalled for the first time in 100 years, health inequalities have grown, and investment seems reactive rather than proactive. Calls for a whole-of-Government approach including welfare, local government, and education to improve health outcomes.
Matt Rodda
Lab
Reading Central
Asked his colleague if she agrees that health inequalities are closely tied to other life aspects like education and housing.
Colleen Fletcher
Lab
Coventry North West
Health inequalities are about understanding what people see when they wake up in the morning. In Coventry, there are examples of local agencies working together to improve health outcomes through the sustainability and transformation partnership. However, underfunding is a concern, particularly for A&E at University Hospital Coventry and Warwickshire. She proposes a second walk-in centre to divert patients with minor conditions, reducing pressure on A&E staff. She hopes that the Budget will provide funding for this proposal and supports a more coordinated approach to healthcare improvement across all income levels.
Scott Benton
Con
Blackpool North and Cleveleys
Welcomes the measures announced in the Budget to support businesses affected by coronavirus, particularly those in Blackpool's tourism industry. Mentions 100% business rate relief for guesthouses and leisure businesses, a £5,000 rates discount for pubs, and additional funding for local authorities. Supports statutory sick pay measures that assist vulnerable individuals and help contain virus spread. Appreciates the Chancellor’s comprehensive package of support for individuals and businesses, which aligns with manifesto commitments to assist the least financially well-off.
Steve McCabe
Lab
Birmingham Selly Oak
Acknowledges the Chancellor's response to the international crisis but criticises the long-term reform of business rates. Supports temporary measures for businesses affected by coronavirus, but emphasises the need for longer-term reforms. Expresses concern over reductions in entrepreneurs’ relief and pension tax relief tapering. Welcomes additional resources for British Business Bank and borrowing for infrastructure plans at low interest rates. Proposes a step change in lifelong learning to address unemployment issues.
Andrew Griffith
Con
Arundel and South Downs
Commends the Chancellor's Budget for its support of businesses and economic growth, highlighting the importance of an export-led renaissance to level up the UK. He praises the natural advantages that make the UK attractive for business but also calls for further measures such as a 100% business rates discount for specific sectors like exhibition suppliers affected by recent events. He supports maintaining the corporation tax rate at 19% and advocates for sustainable housing development over unsustainable large-scale projects.
Sarah Olney
Lib Dem
Richmond Park
The Government's Budget, focusing heavily on the coronavirus crisis, was criticised for being a litany of short-term emergency measures rather than long-term reforms. Olney welcomed the Chancellor's decision to re-fund the response to the coronavirus and provide statutory sick pay to those who would not otherwise be eligible. However, she expressed disappointment over the lack of major reform to address issues such as business rates, which are detrimental to town centre businesses. She highlighted that the scrapping of business rates for one year does little to solve long-term problems faced by these businesses post-coronavirus and post-Brexit. Olney also criticised the absence of significant mention of Brexit in the Budget despite its major economic implications. She further noted the modest steps taken, such as the removal of VAT on tampons, while calling for a halt to negotiations until an extension of the transition period is agreed upon due to the coronavirus pandemic. Additionally, she welcomed the reversal of corporation tax cuts but called for a review of IR35 legislation and stressed the need for action towards carbon emissions reduction and net zero targets.
Bim Afolami
Con
City of London and Westminster
Welcomes the fiscal stance adopted by the Chancellor, emphasising it as a well-targeted stimulus for the British economy. Acknowledges increased investment but notes that borrowing is being managed prudently. Highlights measures to tackle productivity issues and regional imbalances through R&D investments and infrastructure spending. Supports government’s actions in response to coronavirus and future challenges such as business rates reform.
Central Ayrshire
Expresses surprise at the availability of 'magic money' for the Budget, noting it was funded partly by an increase in borrowing. Welcomes response to coronavirus but criticises Brexit's impact on trade and productivity as outlined by OBR reports. Supports carbon capture initiatives but calls for more clarity and push from the government. Concerned about low GDP growth forecasts despite increased borrowing. Criticises lack of coherence and detail in stimulus proposals.
Mike Wood
Con
Kingswinford and South Staffordshire
Welcomed the Chancellor's investment in skills, infrastructure, transport, housing, and support for businesses during the coronavirus outbreak. He highlighted the importance of revising business rates to better suit modern needs and proposed a review of the duty system to support community pubs post-Brexit.
Weston-super-Mare
Critiqued the Chancellor's Budget, expressing concerns about school funding cuts over 10 years, lack of social care provisions, and insufficient support for creative industries. She also addressed issues with Brexit negotiations, potential no-deal exit consequences, and criticised the Budget’s approach to climate change as inadequate.
Theo Clarke
Con
Stafford
Clarke welcomed the Chancellor’s first Budget, highlighting its support for business and innovation. He mentioned the freezing of beer and fuel duty as well as increased support during the coronavirus pandemic. Clarke praised the economic growth under Conservative leadership, noting over 3 million new jobs created since 2010 and higher employment rates in Stafford compared to other regions. He also emphasised the importance of apprenticeships and skilled workforces for future economic success.
Salford
Long-Bailey acknowledged the speeches given during the debate, particularly those from new MPs who gave maiden speeches. She criticised the Chancellor's Budget as inadequate in addressing three crises: coronavirus, social inequality, and climate change. She highlighted measures to help businesses but pointed out shortcomings in providing adequate sick pay and support for insecure workers. Long-Bailey also criticised the lack of focus on renewable energy sources like solar power and wind power and expressed disappointment with the commitment to fund carbon capture through regressive funding mechanisms.
Jesse Norman
Con
Hereford and South Herefordshire
Norman discussed the Government’s approach to addressing the national crisis of coronavirus while laying foundations for future infrastructure investment. He highlighted positive responses from business sectors like CBI, FSB, BCC, and Make UK regarding the Budget's measures aimed at supporting businesses through tough times and boosting R&D. Norman criticised Labour’s focus on PFI, arguing it was largely initiated by them but now receives criticism despite being a major issue since their time in power.
Alison Thewliss
SNP
Glasgow Central
Thewliss sought to intervene during Norman's speech to discuss Barnett consequentials, indicating her concern about the financial implications of the budget on Scottish regions.
Jesse Norman
Con
Hereford and South Herefordshire
Responded to interventions from other Members of Parliament regarding the Budget. Discussed further education college investment (£1.5 billion over several years), tampon tax revenue allocation, importance of long-term investment with minimal bureaucracy, Government's commitment during the coronavirus crisis, and initiatives such as free debt advice and small business support including rate relief for nurseries and business rates review. Mentioned red diesel consultation, monitoring impact of entrepreneurs’ relief reduction, green packages in the national infrastructure strategy, historical references to Lord Hennessy, and overall economic strengthening through the Budget.
Government Response
Government Response
Defended government's economic policies and highlighted achievements such as record employment levels. Acknowledged concerns but emphasised positive measures for public services, individuals, and businesses affected by the pandemic. In the spirit of bipartisan friendship, I would be very happy to sit down and talk with the hon. Member about her proposals. We aim to have up to 2 million green jobs in our economy by 2030. The UK has grown its economy by 75% since 1990 while cutting emissions by 43%. COP26 will be a crucial moment for global climate action, aiming to send out a message of ambition and hope towards decarbonisation.
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