Commons Sense

House of Commons · Ministers' Questions

Cost of Living

Wednesday 31 January 2024 · 8 questions

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

At a glance

Answered 3 Partly answered 3 Not answered 0

Key points

  • Wayne David inquired about recent discussions on the cost of living in Wales with Cabinet colleagues.
  • Carolyn Harris questioned the UK Government's intentions regarding pensioners facing food insecurity.
  • Virginia Crosbie stated that helping businesses create jobs is one of the best ways to tackle cost of living issues.

Topics (select to filter)

Questions & Answers

Context

The cost of living pressures have increased due to the pandemic and the Ukraine invasion.

Question

What recent discussions he has had with Cabinet colleagues on the cost of living in Wales?

Answer from David Davies

The UK Government fully recognise the challenges posed by cost of living pressures that have come about as a result of the covid pandemic and the invasion of Ukraine. That is why they are providing £104 billion over 2022 to 2025 to support households and individuals across the UK—an average of £3,700 per household.

Answered
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Q2 Carolyn Harris Lab Neath and Swansea East
Context

A recent Bevan Foundation study highlighted severe pensioner poverty in Wales, with nearly a quarter of the population over 65 experiencing poverty.

Question

What do the UK Government intend to do about this dire situation for pensioners facing food insecurity?

Answer from David Davies

The UK Government fully recognise the importance of supporting pensioners. That is why we have committed to the triple lock and made sure that, even through the difficult crises we have faced over the past few years, pensions have risen in line with inflation. On top of that, there has been an extra payment of £300 for pensioners, and the UK Government's policy of bringing down inflation is going to help everyone in Wales and the UK, including all pensioners.

Partly answered

Not addressed: the questioner asked about concrete steps while the answer focused on general measures without specifics

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Context

Citizens Advice Cymru reported over 21,000 people referred to food banks in Wales during 2023, nearly double the number for 2021.

Question

What does this statistic say about the impact of Government's policies on ordinary people?

Answer from David Davies

As I have just outlined, the UK Government are absolutely focused on supporting those with the least in Wales and across the United Kingdom. That is why the UK Government's policy of bringing down inflation to around half has helped everyone, and it is why the UK Government have made sure that benefits have risen in line with inflation.

Partly answered

Not addressed: the questioner asked about food bank use while the answer focused on general measures without specifics

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Context

Welsh Labour reduced business rates relief from 75% to 40%, impacting small businesses negatively.

Question

Does the Secretary of State agree that Welsh Labour should focus on what people need, not increasing the number of Senedd politicians?

Answer from David Davies

My hon. Friend is absolutely right. It is disgraceful that pubs in Wales are going to be paying, on average, thousands of pounds more in business rates because the Welsh Senedd Government have not passed on the money that has been given to them by the UK Government, and it is disgraceful that small tourism businesses are facing a tourism tax levy.

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Context

The Lobster Pot on Anglesey faces challenges due to increased business rates, despite UK Government maintaining relief at 75%.

Question

Does my right hon. Friend agree that helping businesses create jobs is one of the best ways to tackle cost of living issues?

Answer from David Davies

My hon. Friend is absolutely right. She is a huge champion of businesses in her constituency, and it is a shame that the Senedd does not look to her example of championing businesses instead of imposing all sorts of extra taxes, while—as she mentioned—wasting money on schemes such as creating extra Senedd Members and bringing in road charging on the M4.

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Q6 Jessica Morden Lab Newport East
Context

8,000 homeowners face increased mortgage payments due to the end of fixed-rate deals.

Question

What is the Secretary of State doing to help homeowners facing massive bills caused by Conservative economic mismanagement?

Answer from David Davies

The UK Government have put in place a number of measures to support any mortgage holders facing difficulties at the moment, but the most important measure has been to bring down inflation. Inflation actually peaked at a higher rate in Europe than in the United Kingdom.

Partly answered

Not addressed: the questioner asked about concrete steps while the answer focused on general measures without specifics

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Q7 Liz Saville-Roberts PC Dwyfor Meirionnydd
Context

The government's own estimates warn that new Brexit border checks will increase the cost of fresh imports by £330 million, worsening food inflation which sits at 8%. Previously dismissed as scare stories, these warnings have now come to light.

Question

Diolch yn fawroedd. The Government's own estimates warn that new Brexit border checks will increase the cost of fresh imports by £330 million and worsen food inflation, which sits at an eye-watering 8%. Will he now admit how wrong he was, and recognise that the best way to reduce food inflation would be to rejoin the single market?

Answer from David Davies

I make no apologies for rubbishing the scare stories that came out before Brexit took place. We were told that it was going to lead to the collapse of the economy, to the collapse of house prices, to the end of fresh fruit and veg being sold in shops, and even to no more Magnum ice creams. The reality is that none of those scare stories has happened, but it is a bit ironic that the right hon. Lady, the leader of the Plaid Cymru group, is demanding that we rejoin the European Union while at the same time wanting to take Wales out of one of the most successful financial unions.

Not addressed: Admission of previous dismissal of border control warnings and recognition of single market benefits

How: Changing Subject, Criticising Opposition

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Context

Northern Ireland is set to receive over £3 billion and a fairer funding settlement from the Treasury, including millions of pounds to help balance budgets. In contrast, Wales faces a budget black hole of £646 million, which will decimate social services during the cost of living crisis.

Question

That is a Brexit fantasy, and now we look at the wonder of the UK. Northern Ireland is set to receive over £3 billion and a fairer funding settlement from the Treasury, which I welcome. That includes millions of pounds to help balance budgets. Meanwhile in Wales, councillors face a budget black hole of £646 million, which is set to decimate our social services over the next three years. These cuts will be devastating for people left without resources during the cost of living crisis. As Wales's man in the Cabinet, what has the Secretary of State done to demand equivalent fair funding for Wales?

Answer from David Davies

First, I must point out to the right hon. Lady that, since leaving the European Union, our growth rate has been better than that of Germany, and our manufacturing has now exceeded that of France. As far as fair funding for Wales is concerned, we receive 20% more per head to spend on devolved services than is spent in England. One thing the right hon. Lady and I might agree on is that it is high time the Welsh Labour Government explained why we have longer waiting lists and lower educational standards, despite having more money to spend on devolved services.

Not addressed: Actions taken to secure equivalent fair funding for Wales

How: Changing Subject, Criticising Opposition

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