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PARLIAMENTARY REPORT


UNITED KINGDOM


Above: The Acting Leader of the Opposition, Rt Hon. Harriet Harman MP,


to two children per household, reducing the “benefits cap” from £26,000 to £23,000 in London and £20,000 in the rest of the country, reducing the income threshold for tax credits from £6,420 to £3,850 a year and removing universal credit work allowances from non-disabled claimants without children. Concluding his statement, the Chancellor said: “This is the first Conservative Budget for 18 years. It was the Conservatives who first protected working people in the mills. It was the Conservatives who took great steps towards state education. It was the Conservatives who introduced equal votes for women. It was the Conservatives who gave working people the right to buy. So, of course, it is now the Conservatives who are transforming welfare and introducing the national living wage. This is the party for the working people of Britain.”


Responding for the


Opposition the acting Leader of the Labour Party, Rt Hon. Harriet Harman MP, argued that the Chancellor’s package of tax credit changes and living wage would actually leave “low- paid working people” worse off. She criticised the Government for “ducking” decisions on infrastructure – such as whether there should be a third runway at Heathrow, for postponing planned railway enhancements and for taking other measures that she argued could improve UK productivity. She concluded: “Before the Chancellor makes more promises, he has to deliver on those he has already made. He says that he stands up for working people; what he does is make them worse off. He says he has a long-term economic plan; what he does is duck the big infrastructure projects. He talks one nation, but many of the measures announced today will make this country more divided. The hopes of millions of working people are more important than his hopes of being the future Tory leader.”


234 | The Parliamentarian | 2015: Issue Three


Speaking as Chair of the Treasury Committee Rt Hon. Andrew Tyrie MP (Con) drew attention to four economic risks that he felt could threaten growth – the potential for the crisis in Greece to have an impact on the UK economy, the possible of impact of a Chinese stock market crash, the impact of domestic interest rate rises and the high level of personal debt in the economy. He also addressed the need to “unwind” the Bank of England’s quantitative easing programme and pressed for Parliament to have a role in scrutinising whether that programme made a loss or profit. Approaching his conclusion, he criticised the Government for “tying its hands” through pre- election pledges on taxes and spending. He said: “Almost half of public expenditure is now ring-fenced by pledges to protect or increase spending on health, schools, foreign aid, pensions and child benefit, and that, of course, excludes the defence announcement [that the Government would spend 2% of national GDP on defence each year] that we have just heard. While it is understandable on political grounds, it could make economic management considerably more difficult in the years ahead.”


Speaking for the Scottish National Party, Stewart Hosie MP, also focused on the UK’s poor productivity record. He observed: “I hope the [Chancellor’s] plans to tackle productivity are rather more successful than the plans to tackle the deficit and the debt and borrowing, where he failed to meet every single one of the targets he set for himself.” The focus on welfare and wages in the Budget debate set the tone for the early weeks of the Parliament, with an internal Labour Party debate about whether to vote against the


Government’s Welfare Reform and Work Bill becoming a key issue in their leadership contest. In the end, all four candidates voted for a “reasoned amendment” that would have prevented the Bill having its second reading, with Jeremy Corbyn also voting against the second reading itself once the amendment had been defeated.


English Votes for English Laws (EVEL) The “West Lothian question” has been a running debate in British politics since the 1970s. The question, posed by the then Member for West Lothian, Tam Dalyell MP (Lab), asks why should Scottish, Welsh and Northern Irish MPs be able to vote on matters that only effect England when English MPs cannot vote on the same issues when they relate to Scotland, Wales or Northern Ireland because they have been devolved.


Making a statement to the House on 2 July 2015, the Leader of the House, Rt Hon. Chris Grayling MP (Con), said he intended to “make a real start in addressing these concerns”. His proposals were intended to ensure that a Bill, provision in a Bill or piece of secondary legislation relating only to England could only be approved if it were supported by a majority of English MPs. The proposal would, in effect, require a “double majority” to support such measures – a majority of all Members and a majority of English Members. Concluding, the Leader of the House said: “Today we are answering the West Lothian question and recognising the voice of England in our great union of nations. This change is only a part of the wider devolution package, but it is a vital next step in ensuring that our constitutional settlement is fair and fit for the future.”


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