Topical Questions 2023-06-20
2023-06-20
TAGS
Response quality
Questions & Answers
Q1
Partial Answer
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Context
The question arises from concerns about the UK's economy and inflation. The MP is asking for a statement on the Chancellor's departmental responsibilities, specifically regarding financial services and mortgage rates.
If he will make a statement on his departmental responsibilities regarding the impact of current economic policies and support measures for families dealing with higher mortgage payments due to rising interest rates.
We will not hesitate in our resolve to support the Bank of England as it seeks to strangle inflation in the economy, and the best policy is to stick to our plan to halve inflation. I also want to make sure that we do everything possible to help families paying higher mortgage rates in ways that do not themselves feed inflation, so later this week I will be meeting the principal mortgage lenders to ask what help they can give to people who are struggling to pay more expensive mortgages and what flexibilities might be possible for families in arrears.
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Assessment & feedback
The answer does not provide specific commitments or timelines on addressing the high mortgage rates issue directly requested by the MP.
Response accuracy
Q2
Partial Answer
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Context
CRH and Arm's decision to delist from the London stock exchange highlights a broader issue. The MP is concerned about the reduced exposure of British pension funds to UK equities post-financial crisis.
Despite being the gateway to most financial services in the City, I suggest that the London stock exchange is ailing, with CRH and Arm being the latest canaries in the coalmine. While welcoming the Edinburgh reforms, what further consideration has the Chancellor given to my suggestion that tax incentives be introduced to encourage our British pension funds—the big beasts—to invest more in UK equities, given that, since the financial crisis of 2008-09, they have reduced their exposure to equities by 90%, unlike in most other developed economies?
My hon. Friend always speaks extremely wisely on financial matters, and he is absolutely on the money when he talks about the opportunity that would present itself by unlocking £3 trillion of pension fund assets, many of which would get a better return for pensioners if they were invested more in our high-growth businesses, as well as that being a good outcome for the London stock market. All I will say is: watch this space.
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Assessment & feedback
The answer avoids providing any specific commitment on introducing tax incentives and instead suggests further consideration might be given in the future.
Response accuracy
Q3
Partial Answer
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Context
The MP criticises the government for failing to address issues such as high inflation, leading to increased mortgage payments. She cites specific figures on average increases in mortgage costs.
While the Government squabble over parties and peerages, mortgage products are being withdrawn and replaced by mortgages with much higher interest rates. This is a consequence of last year's Conservative mini-Budget and 13 years of economic failure, with inflation higher here than in similar countries. Average mortgage payments will be going up by a crippling £2,900 this year, so where does the Chancellor think families will get the money to pay the Tory mortgage penalty?
At the autumn statement, we announced £94 billion of support to help families going through very difficult times. That is more support than was ever proposed by Labour. The answer to these pressures is not borrowing an extra £28 billion a year, as people like Paul Johnson are saying that more borrowing means higher inflation, higher interest rates and higher mortgage rates.
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Assessment & feedback
The Chancellor avoids addressing the specific ask about where families will find money for increased mortgage payments and instead focuses on Labour's policies.
Response accuracy
Q4
Partial Answer
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Context
The MP links the current economic situation to previous government policies, highlighting specific impacts on mortgage payments in different constituencies.
Is the Chancellor for real? These are the real-life consequences of what is happening under the Conservative Government today, so do not try to pass the buck. Let me bring this home. In Selby and Ainsty, 12,000 households will be paying, on average, £2,700 more on their mortgage. In Uxbridge and South Ruislip, 10,000 households will be paying, on average, £5,200 more. Each and every family know who is responsible for trashing the economy: the Conservative party. Will the Chancellor apologise for the harm that his Government have caused with the Tory mortgage penalty?
I am proud of our economic record, which has seen our economy grow faster than those of France and Japan since 2010, and at the same rate as Germany. Those mortgage holders in Selby, Uxbridge or Mid Bedfordshire will be paying even more for their mortgages if a Labour Government borrow £100 billion more in the next Parliament, and we will not let that happen.
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Assessment & feedback
The Chancellor avoids apologizing and instead counters by blaming potential future Labour policies.
Blaming Opposition
Response accuracy
Q5
Direct Answer
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Context
The MP acknowledges the importance of a strong insurance and financial services sector for economic growth, referencing the Prime Minister's pledge.
As the Minister knows, having a strong insurance and financial services sector is vital to the growth of our economy, which is one of the Prime Minister's pledges. So will the Minister confirm that he is doing everything in his power to make that happen, particularly with a view to our international competitiveness in those key sectors?
I can give my hon. Friend the assurance he seeks. He will know from his significant contribution to the Financial Services and Markets Bill as it has gone through this House that it introduces a new duty on our financial regulators to promote the growth and international competitiveness of the United Kingdom. Thanks to him, the Bill also contains specific reporting measures as to how they are going to achieve that important objective.
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Assessment & feedback
Response accuracy
Q6
Partial Answer
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Context
The MP has proposed a costed plan for piloting universal free school meals in Liverpool to the Minister for Schools, who directed him to the Treasury.
I recently met the Minister for Schools to present him with a costed proposal for piloting universal free school meals in Liverpool. He said that he was not ideologically opposed to that but all roads lead to the Treasury, so here we are. Will the Chancellor work with me and that Minister to enable this pilot, which would transform the education, health and wellbeing of thousands of children across my great city?
I will be happy to write to the hon. Gentleman to talk to him about that initiative. We are making great progress in our schools—we have risen to fourth in the global league table for reading—but we can always do more.
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Assessment & feedback
The Chancellor does not provide a direct commitment to facilitating the pilot and instead suggests he will write about it, which is vague.
Response accuracy
Q7
Partial Answer
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Context
The MP references the Institute for Fiscal Studies' assertion that Labour's green prosperity plans would lead to higher rates of interest and inflation.
I welcome my right hon .Friend's commitment to making inflation and the cost of living his top priority, as it is also a top priority of my constituents. Does he agree that the Institute for Fiscal Studies is entirely correct to say that Labour's plans for £28 billion of borrowing in its green prosperity plan would simply lead to higher rates of interest and higher inflation?
My right hon. Friend is absolutely right; the answer to inflation is to tackle it, not to make it worse.
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Assessment & feedback
The Chancellor avoids giving a direct stance on whether he agrees with IFS's critique and instead reiterates his commitment to tackling inflation.
Response accuracy
Q8
Partial Answer
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Context
The MP highlights the impact of current economic policies, specifically on real wages and rates of child poverty in his constituency.
Real-terms wages are lower now than they were in 2008, which is a disgrace. The north-east has been hit harder than other regions, worst of all on child poverty. The rates of child poverty have shot up, with the result that we have 67% of children in working families living in poverty. Is the Chancellor's deliberate, brutal policy of wage suppression working? If so, who for?
We understand the pressures that families are going through up and down the country, but we have responded with generous support this year and last of more than £3,000 for the average household. Not only that, but since 2010 the number of children in absolute poverty has fallen by 400,000.
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Assessment & feedback
The Chancellor does not address whether wage suppression is a deliberate policy and instead focuses on overall support measures and reductions in child poverty.
Response accuracy
Q9
Partial Answer
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Context
Paying half the cost of energy bills and freezing fuel duty have helped with cost-of-living pressures, but more is needed.
I am concerned about whether there is further action to reduce inflation. Are we on track to halve it by the end of this year?
Controlling public spending and prioritising growth enablement is a continuous effort. The Household Support Fund of £2.5 billion continues to provide additional support for households, but there are no quick fixes; our focus remains on the goals set at the start of this year.
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Assessment & feedback
The specific ask about further actions and halving inflation by end-year was not directly addressed
No Quick Fixes
Response accuracy
Q10
Partial Answer
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Context
The Chancellor is out of touch with homeowners' worries due to his past financial disclosures.
How can the Chancellor understand homeowners when he failed to declare £3.5 million investment in Southampton property in 2018? Is this an indication that he and his team are not aligned with homeowner issues?
The hon. Gentleman should correct his facts before making such suggestions.
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Assessment & feedback
Specific ask about addressing transparency issues was ignored
Incorrect Fact Suggestion
Response accuracy
Q11
Direct Answer
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Context
Loss of bank branches necessitates community-based post office banking hubs.
With the loss of all but one bank branch, will the Minister support efforts to establish a community banking hub in Leigh-on-Sea?
I thank my hon. Friend for her question and confirm our commitment to protecting free access to cash facilities through legislation. I would be happy to meet her to discuss this.
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Assessment & feedback
null
Response accuracy
Q12
Partial Answer
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Context
Recent government pronouncements on food security need certainty regarding future funding.
Will the Chancellor engage with DEFRA and devolved Administrations about budget availability? Will he meet to discuss this with me and NFUS?
The farming support payment is ported to Scotland on a different basis due to devolution. We have committed £2.4 billion for this Parliament with increasing uptake in schemes.
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Assessment & feedback
Meeting and engagement specifics were not addressed directly
Different Basis
Response accuracy
Q13
Direct Answer
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Context
The last remaining bank branch in the constituency is closing, leading to a community recommendation of a banking hub.
Following interventions and discussions with LINK, Bramhall was chosen as the 100th banking hub. Will interim bridging options be considered until it opens?
I would be happy to meet my hon. Friend to discuss a range of options, including those for Bramhall and Vip Varsani's new hub.
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Assessment & feedback
null
Response accuracy
Q14
Partial Answer
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Context
Landlords selling properties due to tax decisions, leading to evictions.
With two thirds of people owning homes and many finding landlords are selling their properties, will the Government look closely at protecting those in need?
I am happy to meet the hon. Gentleman to discuss what is happening in his constituency, including pressures since section 24 changes.
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Assessment & feedback
Specific actions and protection measures were not detailed
Meet To Discuss
Response accuracy
Q15
Direct Answer
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Context
The UK has a chance to lead on AI regulation and ecosystem.
What is the Chancellor doing to ensure we seize this opportunity for leadership?
We have a third of Europe's AI start-ups, and risks are well understood. We host a global AI summit with President Biden to ensure correct regulation.
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Assessment & feedback
null
Response accuracy
Q16
Partial Answer
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Context
Inflation and cost-of-living concerns have not included costs of green levies and renewable energy firms.
What is the cost of the government's net zero policies to consumers? Are they picking their pockets dry?
We have a world-leading track record on net zero, but must balance costs with mobilising more private capital.
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Assessment & feedback
Consumer cost details were not provided
Mobilising Private Capital
Response accuracy
Q17
Partial Answer
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Context
The Brunswick site in Darlington is a critical part of the local economic campus project.
Can my hon. Friend update the House as to when we will see spades in the ground on the Brunswick site in Darlington for the Darlington economic campus?
My hon. Friend is a great champion of Darlington, and Darlington's economic campus is a critical part of levelling up. The Government Property Agency has been working hard to finalise commercial negotiations. I would be happy to write to my hon. Friend when I have a more substantive update.
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Assessment & feedback
Did not provide a specific timeline or date for when spades will be in the ground.
I Would Be Happy To Write To My Hon. Friend When I Have A More Substantive Update
Response accuracy
Q18
Partial Answer
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Context
Rising food prices are affecting families' ability to purchase sufficient amounts of food.
Ever-increasing food prices mean that some families are having to cut down on the amount they eat. Will the Minister support Labour's plan to negotiate a new veterinary agreement for agriculture products to reduce the cost for food producers and bring down those crippling food prices?
We will always look at Labour policies, but they are normally not right.
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Assessment & feedback
Did not address the specifics of Labour's plan or its potential impact on food prices.
They Are Normally Not Right
Response accuracy
Q19
Direct Answer
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Context
The UK is recognised as a world leader in financial technology.
Clear policy direction and a strong regulatory framework have led to the UK being the world's leading centre in financial technology. Does my hon. Friend agree that the crypto industry offers the same opportunity for the UK to exploit?
My right hon. Friend is absolutely right. I was pleased to join him in a Westminster Hall debate about the regulation of the cryptoassets sector. I commend the work done in this House by the crypto and digital assets all-party parliamentary group. He might join me in welcoming the decision by Andreessen Horowitz, one of the world's largest technology companies, to locate its only international office outside of San Francisco here in the UK and to run its 2024 cryptoassets school here.
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Assessment & feedback
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Response accuracy
Q20
Partial Answer
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Context
Exercise Cygnus tested the UK's pandemic preparedness in 2016.
In 2016, Exercise Cygnus tested the country's preparedness for a pandemic. Was the Government's response at that time adequate, and what can the Chancellor do in his current role to make sure that we are properly prepared in the future?
I am looking forward to answering questions about that tomorrow afternoon at the covid inquiry. We did what was recommended following Exercise Cygnus. Certainly, Ministers did what they were advised to do, but the operation was focused on pandemic flu. The question that we must ask ourselves is why we did not have a broader focus on the different types of pandemic that could have happened, such as covid.
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Assessment & feedback
Did not provide specific actions or timeline for improving future preparedness.
I Am Looking Forward To Answering Questions About That Tomorrow Afternoon At The Covid Inquiry
Response accuracy
Q21
Direct Answer
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Context
The Government's business rates review was considered inadequate by some.
The Government's business rates review last autumn was anything but fundamental, because it did not even look at the calculations for fair and maintainable trade, which are hammering the viability of pubs in St Albans. If the Chancellor has in fact abandoned his commitment for a fundamental review of business rates, which he himself called for last summer, will he at least look at the calculations for fair and maintainable trade before any more of our valuable pubs have to close?
We conducted a review and put in place the £13.6 billion package of support to help businesses on our high streets. If the hon. Lady is able to look at, for example, the multiplier freeze, she will see that that has had a significant impact on those rates, as has the retail, hospitality and leisure business rates relief, which will help raise the rate of relief from 50% to 75%. We have targeted this very carefully at exactly the businesses that she mentions.
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Assessment & feedback
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Response accuracy
Q22
Partial Answer
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Context
A study by the Centre for Economic Performance at LSE shows that a third of UK price inflation since 2019 is due to Brexit.
The Chancellor was shaking his head during my question earlier on, so will he say whether he accepts the findings from the Centre for Economic Performance at the London School of Economics that shows that Brexit is responsible for a third of UK price inflation since 2019? Regulatory sanitary checks and other border checks added almost £7 billion to total domestic grocery bills over the period from December 2019 to March 2023. Does he accept that?
No.
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Assessment & feedback
Did not provide any reasoning or evidence to support his rejection.
No.
Response accuracy