Pat McFadden

It is a pleasure to open today’s King’s Speech debate on behalf of the Government. As His Majesty said yesterday, we are living in “an increasingly dangerous and volatile world”. This debate is about the labour market, so let us start with some facts. We have 332,000 more people in work than a year ago; the third highest employment rate in the G7; unemployment lower than most OECD countries and lower than the EU average; unemployment down in the three months to February; and economic inactivity down by over 350,000 since the election—it is lower today than in 13 of the 14 years of the previous Government. Since the general election, real wages are up by more than in the first 10 years of the last Government, and this morning’s growth figures were up by 0.6% in the first quarter of this year—services up by 0.8% and construction up by 0.4%. That is the fastest GDP per capita growth in four years and the highest GDP growth in the G7 reported this year. That is on top of GDP per capita growth last year, and on top of six interest rate cuts since the general election. Our economic management has put the UK in a stronger position, better placed to weather the storm of global shocks, and better placed to weather the volatility of which His Majesty spoke yesterday. The leadership task for the country now is to lead the country through the consequences of what is happening in the middle east, because there is no doubt that the shock from the Iran war and the continued closure of the strait of Hormuz is real. It will affect prices, it will affect jobs and it will affect growth. Our Prime Minister took the decision to keep us out of that war, but the UK, like most countries, will be affected by its consequences. However, none of those consequences were thought about by the Leader of the Opposition or the leader of Reform when they were urging us to get involved. What did the Leader of the Opposition say?