As this will be the final PMQs of this Session, I wanted to remind the House of what we have achieved. More than 20 Acts of Parliament have been passed, including our National Insurance Contributions Act 2022, which will increase the thresholds from July and be worth an average of £330 a year—the largest single personal tax cut for a decade—and our Economic Crime (Transparency and Enforcement) Act 2022 to respond to Putin’s illegal war in Ukraine. We hope by the end of the Session to have passed our Nationality and Borders Bill, to take control of our immigration system; our Police, Crime, Sentencing and Courts Bill, to make our streets safer; and our Health and Care Bill, to reduce bureaucracy and help to cut the covid backlogs. Only today, new figures show that already, since 2019, we have recruited over 13,500 additional police—well ahead of our 12,000 target. Those police are already on our streets, making our communities safer. We are focusing on delivering the people’s priorities, and there is plenty more to come in the Queen’s Speech on 10 May.
This morning I had meetings with ministerial colleagues and others. In addition to my duties in this House, I shall have further such meetings later today.
As a proud maritime nation, the United Kingdom has long relied on its coastal communities to help to deliver national prosperity, but today too many of them face shared challenges and disproportionately high levels of deprivation. Does my right hon. Friend therefore agree that to ensure that beautiful constituencies such as mine—Hastings and Rye—can properly unleash their full potential, a specific and targeted Government strategy focusing on coastal communities is needed; and will he meet me to discuss this?
Yes indeed, and if my hon. Friend looks at the levelling-up White Paper she will find that it is clearly directed at enhancing and improving the lives of people in our coastal communities, tilting resource and attention to those fantastic communities. I will make sure that she gets a meeting with the relevant Minister as soon as possible.
I know the Prime Minister has whipped his Back Benchers to scream and shout, and that is fine, but I hope he has also sent a clear message that there is no place for sexism and misogyny or for looking down on people because of where they come from, in his party, in this House, or in modern Britain.
Next year, the UK is set for the slowest growth and the highest inflation in the G7. Why is the Prime Minister failing to manage the economy?
First, in response to what the right hon. and learned Gentleman said about sexism and misogyny, let me say that I exchanged messages with the right hon. Member for Ashton-under-Lyne (Angela Rayner) over the weekend, and I will repeat what I said to her. There can be absolutely no place for such behaviour or such expression in this House, and we should treat each other with the respect that each other deserves.
On the right hon. and learned Gentleman’s point about the economy, yes of course it is true that there is a crisis of inflation around the world, but this Government are tackling it in all the ways you would expect, Mr Speaker. We are helping people with the cost of their energy—putting in far more than Labour would—and we have a British energy security strategy to undo the mistakes made by previous Labour Governments. Above all, we made sure that we had the fastest growth in the G7 last year, which would not have been possible if we had listened to him—frankly, had we listened to the right hon. and learned Gentleman, we would not have come out of lockdown in July last year. Never forget that no Labour Government have left office with unemployment lower than when they came in.
The Prime Minister sounds like the Comical Ali of the cost of living crisis. He pretends the economy is booming and where there are problems they are global, but in the real world our growth is set to be slower than every G20 country except one—Russia—and our inflation is going to be double that in the rest of the G7. Does he think that denying the facts staring him in the face makes things better or worse for working people?
The facts are, as the International Monetary Fund has said, that the UK came out of covid faster than anybody else. That is why we had the fastest growth in the G7 last year. That would not have happened if we had listened to Captain Hindsight. If the right hon. and learned Gentleman studies its forecasts, he will see that we will return to being the fastest by 2024 and the fastest in 2025. That is what the IMF forecast says—read it. He asks about working people. This is the Government, this is the party that supports working people, unlike Labour, with the biggest increase—[Interruption.] Yes, I will tell them what is going up: the living wage is going up by record amounts, employment is going up by record amounts. Five hundred thousand more people—[Interruption.]They do not want to hear it. Let me give them the figures: 500,000 more people in paid employment now than there were before the pandemic began and youth unemployment at or near record lows. Under Labour, just to remind everybody, youth unemployment rose by 45%.
These must be the Oxford Union debating skills we have been hearing so much about: failing to answer the question, rambling incoherently, throwing in garbled metaphors. Powerful stuff, Prime Minister. Here is the problem: it is not just his words that are complacent; it is his actions as well. The cost of living crisis was blindingly obvious months ago, but he said that worries about inflation were unfounded and he backed a tax-hiking Budget. Does he think that his choice to be the only leader in the G7 to raise taxes during a cost of living crisis has made things better or worse for working people?
As I have just explained to the House, and will repeat once more, this Government and our Chancellor cut taxes on working people. The national insurance contribution went down by an average of £330. If the right hon. and learned Gentleman is talking about the health and care levy—maybe that is what he is droning on about—that is what is enabling us to pay for 50,000 more nurses and to pay for clearing the covid backlog. How tragic, how pitiful that the party of Bevan should now be opposed to that investment in the NHS.
The Prime Minister is an ostrich, perfectly happy keeping his head in the sand. Working people are worried about paying their bills. They are spending less and cutting back. That is bad for business and bad for growth. Working people are looking for help, but this week millions will look at their payslip and see a tax rise with his fingerprints all over it. Does he think that his 15th tax rise has made things better or worse for working people?
What we are doing for working people is not only lifting the living wage by a record amount and helping people on universal credit with a £1,000 tax cut, but cutting national insurance contributions and lifting the threshold so that, on average, people pay £330 less. What we are also doing is taking our country and our economy forward, investing in our NHS, which is a priority for the people of this country—unlike for the Labour party—and ensuring that we have record creation of jobs. That is what matters: high-wage, high-skill jobs. Half a million more—[Interruption.] Labour Members do not care about jobs; we do. We believe in high-wage, high-skill jobs and that is the answer for the economy.
It is as if the Prime Minister is only just waking up to the cost of living crisis. And his big idea: fewer MOTs—it actually makes the cones hotline sound visionary and inspirational.
North sea oil producers are making so much unexpected profit that they call themselves a “cash machine”. That cash could be used to keep energy bills down. Instead, the Prime Minister chooses to protect their profits, let household bills rocket and slap taxes on working people who are earning a living. Does he think that that choice has made things better or worse for working people?
What we are doing is making things better for working people than his plans would by a mile. We are putting in more to support people with their energy costs than he would with his new tax on business. We are putting in £9.1 billion, with an immediate £150 cut in people’s council tax. Labour’s thing raises only £6.6 billion, and it clobbers the very businesses that we need to invest in energy to bring the prices down for people across this country. Clean, green energy—the wind farms, the hydrogen that this country needs. What this Government are also doing is reversing the tragic, historic mistake of the Labour party in refusing to invest in nuclear. We are going to have a nuclear reactor every year, not a nuclear reactor every decade, which is what we got under Labour.
So the Conservatives are the party of excess oil and gas profits and we are the party of working people. This Tory Government have had their head in the sand throughout the cost of living crisis. First, they let prices get out of control and then they denied it was happening. They failed to do anything about it and then they made it worse with higher taxes. Because of the Prime Minister’s choices, we are set to have the slowest growth and the highest inflation in the G7.
A vote for Labour next week is a vote for a very different set of choices. We would ask oil and gas companies to pay their fair share and reduce energy costs. We would not hammer working people with the worst possible tax at the worst possible time. We would insulate homes to get bills down. And we would close the tax avoidance schemes that have helped the Prime Minister’s Chancellor—where is he?—to reduce his family’s tax bill while putting everyone else’s up. That is a proper plan for the economy, so why does the Prime Minister not get on with it and finally make choices that make things better, not worse, for working people?
I have listened to the right hon. and learned Gentleman over many weeks and many years, and this guy is doomed to be a permanent spectator. We have a plan to fix the NHS and fix social care; the Opposition have no plan. We have a plan to fix our borders with our deal with Rwanda; they have no plan. We have a plan to take our economy forward; they have no plan.
The right hon. and learned Gentleman talks about the elections in a few days’ time. Let me remind him that everywhere we look at a Labour administration, it is a bankrupt shambles. Labour-run Hammersmith Council spent £27,000 on EU flags three years after the referendum. Labour-run Nottingham Council—bankrupt because of its investment in some communist energy plan, of the kind that he now favours; he should apologise for it. Labour-run Croydon—bankrupt because of its dodgy property deals. And never forget Labour-run Britain in 2010—bankrupt because of what the Labour Government did, and they said that they had “no money” left.
If the right hon. and learned Gentleman looks at council tax—he boasts that he lives in Islington or Camden, or somewhere like that—he should contrast neighbouring Westminster, which has the lowest council tax in the country and better services, too. That is the difference between Labour and Conservative across the country. Vote Conservative on 5 May.
Nigel Mills (Amber Valley) (Con)
2. Will the Prime Minister join me in welcoming the huge step forward this week in the regeneration of Heanor town centre in my constituency with the successful purchase of the run-down old grammar school building, using the Government’s towns fund money? Does he agree that that is exactly the sort of local delivery that people should be voting on in next week’s local election?
My hon. Friend is entirely right: those are the issues on which people will be voting. As I said, they will be voting for better value, better services and lower council tax, and I hope they will be voting Conservative.