Andy MacNae

Andy MacNae

Labour — Rossendale and Darwen

Speaking in the House of Commons on 31 October 2024

Debate

Income tax (charge)

Contribution

I congratulate all my colleagues who have made brilliant maiden speeches today. As always, I am taken aback by the range of experience and expertise in this House. I had planned to be radical and speak very briefly about a few matters that are particular to the north-west, but before I do so, I have to pick up on some issues raised by Conservative Members. First, the right hon. Member for Maldon (Sir John Whittingdale) made a seemingly unequivocal statement that businesses facing increases in payroll have only two choices open to them: to reduce their workforce or increase prices. That is patently untrue. Businesses increase payroll all the time for perfectly good business reasons. We cannot be so simplistic in our analysis. Far more important for business is having the right infrastructure, and a skilled workforce who are able to get good healthcare and support—all things that the Budget will provide. Another Conservative Member, who would not take an intervention, drew the tired analogy between household budgets and national budgets. They are not the same. It is that sort of rubbish that got us in this mess in the first place. Finally, there were several references to short-term growth forecasts. Conservative Members are either unaware of or wilfully ignoring the fact that there is a lag between good infrastructure investment and meaningful, sustained growth. The decisions that we are taking now are long-term decisions—the sort of decisions that previous Governments ducked. These decisions will deliver sustained growth in four, five, six or seven years, which will make a real, sustained difference to the country —not short-term, sugar-rush growth for political gain. Let me focus now on the north-west. Like much of the country outside the home counties, the north-west was badly let down by the cuts and false promises of the previous Government, so I am particularly pleased that the Budget will reverse that trend and start the process of rebuilding our infrastructure and public services. I am particularly pleased to see the very significant commitment to northern rail infrastructure. With the commitment to fund a trans-Pennine route upgrade, our cities and towns across the north will be better connected, with more frequent and faster trains. I also welcome the recognition of the importance of local connectivity, with the commitment of £650 million specifically to fund local transport links outside the key city regions. In that context, I look forward to continuing to make the case for a commuter rail link from Rossendale to Manchester. I am also delighted to see our Government’s commitment to properly funded local growth deals and town funds, with both Darwen and Rawtenstall set to benefit from £20 million over 10 years. I will be excited to work with local leaders to develop innovative implementation plans. I look forward to the development of ambitious regional growth and investment plans that will unlock the true potential of our area. Another hugely important aspect of the Budget is the move towards integrated settlements for mayoral combined authorities. That will truly move decision making away from the centre, end the command-and-control mindset, and put power in the hands of local leaders and communities, who know our area so much better than officials in Whitehall. That approach has the potential to bring transformational change to our region and deliver both greater value for money and better outcomes for our residents. While Lancashire is not currently in a position to receive that sort of settlement, the Budget should be a signal to council leaders and other key stakeholders in the county of the huge opportunity for Lancashire if we can all work together to get a devolution structure in place. I look forward to continuing to work with the Government and local leaders to grasp that opportunity and put Lancashire back in the fast lane. Finally, with the average income in Rossendale and Darwen much lower than the standard throughout the UK, and even in the rest of the north-west, I wholeheartedly welcome the rise in the national living wage that the Chancellor introduced. It will mean a £1,400 pay rise for many of my constituents—a rise that can make a truly significant difference to people’s day-to-day lives. Taken together, I am delighted to see how the measures in the Budget start the process of real and sustained change for the north-west, but I am very much aware that it is simply the start of the process. I look forward to future Budgets.

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