Budget Resolutions — House of Commons, 2017-11-22
Topic: Social Welfare
Joanne Kate Swinson (Liberal Democrats, Centre to centre-left): Next year, £1.9 billion, so the Chancellor has fallen significantly short. I am sure the Foreign Secretary will be beating a path to his door to try to make that bus happen—or perhaps not On social care, we need serious responses and serious cross-party work to find long-term solutions instead of the half-baked policies, cooked up in secret, that the Government offered at the last election. On taxation, there was a missed opportunity not only to increase income tax in the way my party has suggested to fund the NHS, but to increase capital gains tax and corporation tax. Instead of this race to the bottom of trying to get to 17%, we could keep that a competitive rate of 20% and get the additional funding that that would generate The Chancellor was right to say that international action is needed to create fairer taxation, but he failed to address the role of the overseas territories. We should require them to comply with UK standards on transparency, or companies registered there should be prevented from doing business in the UK. In the spirit of being transparent, I ought to be transparent about the fact that my husband works for Transparency International UK. In the context of rocketing executive pay, it is impossible to escape the contrasts between the rich, who can hide their assets and avoid tax, those on middle incomes in both the public and private sectors, who are facing real-terms pay cuts, and the poor, many of whom, whether they are working or not, rely on benefits to make ends meet. The right hon. Member for Ross, Skye and Lochaber (Ian Blackford) mentioned the £12 billion of cuts to benefits that are still to come—£12 billion of cuts that the Liberal Democrats blocked in the coalition. The rise in the income tax threshold, although welcome, contrasts with the continued freeze in benefits. That was bad enough last year or the year before, but in the face of inflation of 3% it will cause real hardship. We see some changes to universal credit, but the wider problems have been ignored, not least the £3 billion of cuts that were introduced in 2015. Universal credit needs to be paused while the problems are ironed out. There is merit in having a simpler system, but using the new system to make deep cuts fools no one and undermines the important principles that underlie universal credit On the environment, I welcome the consideration of new charges on single-use plastics—a Lib Dem idea—but there is precious little else to demonstrate that the Government appreciate the scale of the climate threat we face. They have scrapped rules for zero-carbon homes, cut subsidies for solar and renewable heat, privatised the green investment bank and scrapped the Department of Energy and Climate Change. Today, we saw no new resource for tidal, waste from energy or carbon capture and storage. The Government do not have a strong record on the environment On a positive note, I welcome a couple of things in the Budget. I welcome the investment in technology, such as artificial intelligence, driverless cars and geospatial data. I was going to make the point that ethics need to be at the heart of how we proceed, because whether we can do something is not the same as whether we should do something. I was therefore delighted to read on page 45 of the Red Book that the Government intend to establish a centre for data ethics and innovation. That is urgently needed and we should lead the way in that area. On that issue, I say well done to the Government and I look forward to exploring it further with Ministers I also welcome the national retraining scheme, in particular the partnership with the CBI and the TUC to make that work, with the focus on digital and construction skills in the first instance. However, I would say, particularly in the context of the automation challenge to our workforce, that we should be looking more at the care sector. There are certain things that robots will not be able to do in the near, or indeed the distant, future. One such thing is caring and human empathy. We also face a demographic time bomb, so we need to be upskilling and investing in the care sector to change it from a low-status profession to one that we recognise as high-skilled. We should therefore ensure that it is properly resourced In conclusion, our country faces big challenges and opportunities. There is a bleak economic outlook, low productivity, the threat of climate change, the pace of technological change and the impact of automation on work. Those challenges are enough to keep any Government awake at night. They need attention, innovation and new ideas. Instead, we have a Government obsessed and consumed by Brexit, and they are not even doing that competently. The economic picture outlined by the Chancellor today makes it clearer than ever that we need an exit from Brexit.