UK Parliament / Open data

Autumn Statement Resolutions

Proceeding contribution from Kevin Foster (Conservative) in the House of Commons on Wednesday, 22 November 2023. It occurred during Budget debate on Autumn Statement Resolutions.

It is a pleasure to speak in this debate. It is always easy to throw stones from the Opposition Benches, but it is slightly more difficult to be in government and make decisions based on the situation before us. I will focus on one or two of the things that directly affect Torbay.

Certainly, the Government need to have a clear and distinct Conservative message based on our being the party of aspiration, economic growth, home ownership and people keeping more of the fruits of their labour. Those are the principles that have seen us win general elections and reach out to a whole new group of Conservative supporters, whether in 1979, in the 1980s, or last time in 2019, when we were lucky enough to get a majority under the leadership of Boris Johnson. It is always a privilege to serve in government, and we need to ensure that we continue to deliver for those who put their faith in us.

I welcome in particular the business rates relief for tourism and hospitality. That will be of no surprise to anyone given that I represent the part of the country that we call “the English riviera”, where tourism plays a large part in the community. I was pleased to join colleagues in lobbying for the Chancellor to extend the relief, and am pleased that he has done so. We need to think about business rates because they penalise businesses that need a place to do business. Clearly, an online hospitality venue would not have quite the same outcome for people as being able to go somewhere to meet their friends and enjoy spending time together. Hospitality innately means having a place to get together, be part of a community and enjoy time with friends in celebrations and other events. That is a very serious business, so it is something that is there.

The promise to honour the triple lock will resonate strongly in Torbay among those who have worked hard all their lives and retired to enjoy the natural beauty of our bay. The other side of the issue is those who are of working age. Certainly, the rise in the national living wage will benefit quite a number of people working in

the bay, and the national insurance changes are particularly welcome, enabling many workers to keep more of what they earn.

Sadly, the right hon. Member for Ross, Skye and Lochaber (Ian Blackford) is not in his place. I will miss him in the next Parliament, because he is standing down; even though we disagree on some quite profound points, particularly around the Union, he is right that we should move towards more tax simplification in the long run. Clearly, the issue with national insurance that those who are of state pension age do not pay it. Any unification would have to preserve that part of our system, so that those who are over state pension age do not end up paying the replacement or simplified tax. However, there are many arguments to be made—some of which were made very well by my right hon. Friend the Member for Witham (Priti Patel)—about how we can have not just lower taxes but simpler taxes, recognising that for many businesses, the cost can come from administering the tax as much as paying the amount that is due.

We have just heard some of the debate about welfare changes. It is welcome that we are going to make a difference to so many people’s lives by giving them support to get back into employment, and it is right that for the DWP to expect something in return. If we listen carefully to what the Chancellor actually said, it was about engagement with the DWP. It is not a high bar to say that people should at least engage with the projects and schemes that are being put in place to try to support them in getting into employment, because we know that employment makes a massive difference: it is the thing that lifts people out of poverty and gives them choices in their life, which is what all of us should aspire towards. My good and hon. Friend the Member for Corby (Tom Pursglove) is the Minister for Disabled People, and I know he is looking to make sure that the balance is struck correctly between encouragement and sending a clear sign that there is an expectation that the support that is being offered will be taken up—that that support comes with responsibilities.

Earlier this week, further support to develop Torbay’s economy was announced, in the form of an extremely welcome £20 million from the third round of the levelling-up fund. That brings the funding available to support Torbay’s regeneration to a total of around £100 million. However, I again emphasise that this is not just about Government funding for regeneration, but making sure that private businesses and investors have the confidence to invest. I very much welcome the news in the last 24 hours that two large groups, Willmott Dixon and another investment group, will not only be working with Torbay Council to deliver many of the Government-sponsored schemes, but investing in jobs and housing.

However, things like planning can make such a huge difference. I welcome some of the Chancellor’s comments, particularly around major infrastructure, because it takes far too long to deliver key infrastructure in this country. I was one of those who said we should get shot of the effective moratorium on onshore wind. In the same way, it is high time that the Scottish Government got rid of their ridiculous blocks on new nuclear, given the potential for energy independence and security—as well as jobs and prosperity—that it would bring to Scotland.

Overall, we need to look at cutting the time between making a decision to do something and something happening.

Turning to housing, as I said in the debate on the King’s Speech, we need to look again at cases where local councils have come forward to say they would be happy to have flexibility in some areas, mostly in town centres and areas that are in need of regeneration. I would, however, strike a slight note of caution about the idea of allowing virtually every property to be converted into two flats. I am not necessarily sure that that would produce the best of outcomes, particularly when I look at the experience in parts of Torbay, such as Melville in Torquay. Some properties have been subdivided there, and it is safe to say that that has not produced a great standard of accommodation. There are some issues that come with that, so from what I heard today, that is an area in which I would urge the Chancellor to exercise some caution.

However, I hope the statement is a sign of a Government pointing to where they may look to go further in future. Other colleagues have rightly raised the issue of tax thresholds, not just for personal taxation but for the taxation faced by businesses. The VAT threshold is probably the most dramatically visible impact of a tax threshold. We can see guest houses and small businesses closing literally the day before they would have reached the relevant amount. They are literally stopping doing business because, unless they can jump up significantly in their trade, the cost would not be worthwhile. That is particularly true in the hospitality sector, for example, with businesses not buying large amounts of product on which they could expect to reclaim the tax.

We heard some speculation in the run-up to this statement about inheritance tax. I have to be clear that there are those in Torbay who would find that quite a thought and would like to be able to hand on a little more to the next generation, but I do accept the point that there are other priorities for easing the burden of taxation first, not least those that affect working families.

Finally, it is right that productivity has been mentioned several times. It is what drives wage growth, drives prosperity and generates more income. Clearly, there is a need to link our efforts to increase productivity with a genuine labour market strategy that also covers our immigration policies. Again, my right hon. Friend the Member for Witham mentioned the need to try to link those together, because too often we find ourselves debating one day why a sector is not being invested in and then the next day arguing that we should provide visas to avoid having to do so.

Overall, this is a welcome autumn statement. I think it shows the right direction of travel towards key and core Conservative principles, because we will need to have within the next year a clear message for the electorate on how our party seeks to back their aspirations for them and their family, how we reward innovation and how we will be responsible with the nations finances, because those are the keys to winning another term in government.

6.20 pm

Type
Proceeding contribution
Reference
741 cc412-4 
Session
2023-24
Chamber / Committee
House of Commons chamber
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