debates/debates2025-03-04b conversation_13
Source: hansard.parliament.uk (2025-03-04)

UK Parliament Hansard data: debates/debates2025-03-04b conversation_13

Josh Newbury:If she will make a statement on her departmental responsibilities. \p Rachel Reeves: It is clear that the world is changing, which is why we must bring about a new era of security and renewal to keep our country safe. Last week, I convened European Finance Ministers at the G20 to discuss our shared challenges. I set out that national security will always be the first responsibility of this Government as well as national security being the bedrock for economic prosperity.

I was also proud to welcome President Zelensky to Downing Street alongside the Prime Minister at the weekend, where we signed a loan agreement that will deliver £2.26 billion in funding to Ukraine above our other commitments to bolster its military capacity, repaid by the profits from frozen Russian sovereign assets. We will use the additional investment in defence to create more good jobs paying decent wages in all parts of the UK. That is why we are giving the National Wealth Fund a new strategic steer to invest in technologies that better support our security and defence. Britain is a strong country with strong defences, and I know that we can weather this changing world. \p Josh Newbury: As the father of five-year-old, I know at first hand how important indoor play facilities are. Providers in Cannock Chase, such as the Beach Hut in Norton Canes and the Kids Rule Play Cafe in Cannock,  have written to me asking for consideration for a sector-specific VAT reduction and the opportunity to shape the reform of business rates. Is Treasury Minister willing to meet me, local providers and the Association of Indoor Play to discuss the sector’s priorities? \p Rachel Reeves: The Government have no plans to consider zero rating indoor play facilities for VAT. All tax breaks must provide value for money and evidence suggests that such savings are only partially passed on. I would, however, welcome my hon. Friend engaging with us as we look to inform our “Transforming Business Rates” paper ahead of the Budget later this year. \p Lindsay Hoyle: I call the shadow Chancellor of the Exchequer. \p Mel Stride: How many jobs will the right hon. Lady destroy as a result of her jobs tax? \p Rachel Reeves: I know that the right hon. Gentleman will have looked at the OBR forecast from the Budget last year, which forecasted that employment will rise in this Parliament, unemployment will fall and real household disposable income will increase. That is a far cry from the last Parliament, which was the worst on record for living standards. \p Mel Stride: I am surprised that the right hon. Lady did not reference the fact that the OBR also said that there would be 50,000 fewer jobs as a result of the NICs increase; indeed, Bloomberg put that figure at 130,000 jobs. It does not need to be that way. On 26 March, the right hon. Lady should come to this House with a spring statement containing a clear plan around welfare savings, which we had when we were in Government. Will she now confirm that she is prepared to do that with our support and put an end to the pernicious tax increase? \p Rachel Reeves: The right hon. Gentleman and his party had 14 years to reform the welfare system. They failed to do so, but this Government will. We are turning the British economy round after the disaster left to us by the previous Government: three cuts in interest rates since the general election, real wages rising at their fastest rate for three years, fuel duty frozen, the payslips of working people protected, and millions getting a pay rise through an increase in the national living wage. That is the change that this Government are delivering; that is the change that the Opposition are blocking. \p Lindsay Hoyle: Order. I call Jacob Collier.