Finance (No. 2) Bill — House of Commons, 2015-03-25
Topic: Macroeconomics
Shabana Mahmood (Labour, Centre-left): I have only a short time in which to speak, so let me start by saying that we have heard some very good speeches today. The debate was opened powerfully by the shadow Chief Secretary, my hon. Friend the Member for Nottingham East (Chris Leslie). My hon. Friends the Members for Islwyn (Chris Evans), for Edmonton (Mr Love) and for Swansea West (Geraint Davies) all spoke well. The rover from Dover will live long in our memories and trumps, I think, "Dover soul", which is not really up to the mark in quite the same way I pay tribute to my hon. Friend the Member for Edmonton who made his valedictory speech today. I am sorry that he had to cut his remarks short, but I wish to put it on the record that he has had a very distinguished period of service in this House. It has always been a pleasure to sit in debates on Treasury matters and to hear him speak. I have learned a huge amount from him. His service on the Treasury Committee has been to his credit, and he has a record of which he can be proud. The House and his constituents will miss him greatly As my hon. Friend the shadow Chief Secretary said in his opening remarks, the Budget is as fundamental as it gets when it comes to the business of the Government, and the Finance Act—the legislation that enacts most of that Budget—is also fundamental. But, effectively, the vast majority of this Bill will go through without debate. I confess that the negotiations into which I entered with the Financial Secretary last week was my first experience of the wash-up. Although I acknowledge the hard work done by his officials and even by him in terms of the tenor with which he approached those discussions, neither of us can pretend that this is a satisfactory way in which to make very complex taxation legislation. In particular, we know that outside commentators have an eye today on the diverted profits tax. The Opposition have to make a judgment call based on often very little, or last minute.com, information. For example, we have to judge whether blocking something now so that we can do it better later would give a signal that it will not happen at all and so cause uncertainty or whether an appropriate reassurance can be made I know about the lively discussions outside the House about the diverted profits tax. Let me just say that we support the thrust of what the Government intend to do, but the Bill was being drafted at the end of last week, when the Minister and I were trying to conclude our negotiations. That is unsatisfactory, because the Bill is complex. In our first Finance Bill when we are in government, we will seek to remedy any defects that prevent that measure from being both effective and strong. I am happy to let it through not because I think that it is a completely 100% foolproof bit of work, but because I fear that the Tories in opposition might not be quite so keen to see the measure on the statute book. I wanted to ensure that we got it passed, and then we could fix any issues later Although we will support many of the measures now going through—later we will debate the measures that we think are missing—we think that the Bill is a missed opportunity, as my three hon. Friends who spoke from the Back Benches all said. The Government could and should have taken the opportunity really to start making a difference to the lives of our constituents across the country, but they failed to do so. Only a Labour Government and a Labour Finance Bill immediately after the general election will start putting those matters right.