Commons Sense

House of Commons · Ministers' Questions

Costs of Living: Households and Businesses

Wednesday 25 May 2022 · 8 questions

Summarised by AI from the official record, so it can contain mistakes.

Read the full transcript on Parliament.uk

At a glance

Answered 1 Partly answered 1 Not answered 0

Key points

  • Government injected support worth over 22 billion in 2023 to mitigate rising costs of living.
  • Wales has the highest child poverty rate in the UK, but devolving welfare powers to Wales is not supported by the Welsh Government.
  • The Secretary of State had conversations with Treasury Ministers about an emergency Budget but suggested waiting for the Chancellor's statement.

Topics (select to filter)

Questions & Answers

Q1 Anum Qaisar
Economy Wales
Context

The cost of living crisis is affecting households and businesses in Wales.

Question

What recent steps the Government have taken to mitigate the impact of rising costs of living on households and businesses in Wales?

Answer from Simon Hart

To alleviate the immediate impacts, we have injected support worth over £22 billion in 2023. For businesses, we cut fuel duty and provided help to high energy-using businesses.

Partly answered

Not addressed: Did not specify specific measures for Wales beyond general UK-wide actions

How: Under Review, General

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Q2 John McNally SNP
Wales Benefits & Welfare Children & Families
Context

The Scottish Government has introduced the Scottish child payment to tackle child poverty.

Question

Given that Wales has persistently had the highest child poverty rate in the UK, does the Secretary of State not agree that welfare powers should now be devolved to Wales so that the Welsh Government can introduce a targeted child payment?

Answer from Simon Hart

Even the Welsh Government have not made that argument. I think they recognise proper distribution of welfare is done effectively UK-wide, and the money used in Scotland via Barnett formula.

Not addressed: Shifted focus to whether devolving powers was a sensible idea rather than addressing child poverty funding in Wales

How: Changing Subject

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Q3 Joanna Cherry SNP
Economy Wales
Context

The Prime Minister made a statement regarding helping people during the current challenges.

Question

Can the Secretary of State tell me what discussions he has had with the Chancellor on an emergency Budget to help the poorest households in Wales and across the UK?

Answer from Simon Hart

The Chancellor may make further comments. I have conversations with Treasury Ministers regularly, but it is sensible to wait for the Chancellor's statement.

Not addressed: Avoided providing specific details about discussions or plans for an emergency budget

How: Too Early, Waiting

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Q4 Simon Baynes
Economy Employment
Context

The UK is currently experiencing a cost of living crisis.

Question

Would the Secretary of State agree that having low unemployment rates helps families during the cost of living crisis?

Answer from Simon Hart

Absolutely. Growing our way out is preferable to spending our way out, and there are measures for those who do not fit solutions.

Answered

Not addressed: null

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Q5 Jo Stevens Lab Cardiff East
Economy Energy
Context

Energy prices are expected to rise significantly in October.

Question

What is the Secretary of State's alternative to help people with rising energy costs given the proposed 138-day delay on a windfall tax?

Answer from Simon Hart

The Treasury will make an announcement imminently. The hon. Lady should apply pressure to her colleagues in Cardiff who have the power to intervene.

Not addressed: Shifted focus to Welsh Government's lack of action on local taxes and policies

How: Changing Subject

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Q6 Jo Stevens Lab Cardiff East
Economy Energy
Context

The Secretary of State's party was wiped out in recent elections.

Question

Does the Secretary of State think buying value brands, getting better-paid jobs or riding around on buses are the Government's answers to high energy costs?

Answer from Simon Hart

The hon. Lady should allow the Chancellor to spell out his plans and benefits before making politicised comments.

Not addressed: Shifted focus back to waiting for a Treasury statement rather than addressing current measures

How: Changing Subject

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Q7 Liz Saville-Roberts PC Dwyfor Meirionnydd
Economy Business & Trade
Context

A local inn faces significant energy bill increases.

Question

Does the Secretary of State agree that small businesses need more support and will he speak to the Chancellor about extending the price cap?

Answer from Simon Hart

I will speak to the Chancellor if she speaks to her leader in Cardiff to cancel the tourism tax.

Not addressed: Shifted focus to cancelling a proposed tourism tax rather than discussing support for small businesses or extending price caps

How: Changing Subject

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Q8 Liz Saville-Roberts PC Dwyfor Meirionnydd
Economy Energy Parliamentary Procedure
Context

Rumors suggest an economic package is being planned, possibly to distract from government lawbreaking. With household energy bills expected to rise to £2,800 in autumn, the Chancellor has not yet taken action.

Question

If the Secretary of State kept to the powers he has in Westminster, perhaps he would have better support. There are now no Tory councillors in any of the Plaid-held councils along the west coast of Wales. Rumours of an economic package are rife, not because the Government care about struggling households and businesses but because they want to distract from their own lawbreaking. Household energy bills will likely increase to £2,800 in the autumn, yet the Chancellor is sitting on his hands until it proves politically convenient. Is the Secretary of State not ashamed of his Government's behaviour?

Answer from Simon Hart

I despair sometimes, with the greatest respect. I urge the right hon. Lady to wait, for what should not be a great deal more time, to hear precisely what we have in store on the cost of living challenges. I remind her that, throughout the pandemic and the cost of living challenges, the Treasury has been unbelievably flexible, unbelievably adaptable and, in some respects, unbelievably generous. To try to pre-empt the Chancellor by making cheap political points undermines the value of what those contributions may be, and it does a disservice to the businesses and individuals that the right hon. Lady purports to support.

Not addressed: Specific actions or commitments regarding household energy bills and economic package

How: To Pre-Empt The Chancellor By Making Cheap Political Points Undermines The Value Of What Those Contributions May Be

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