Gregory Stafford

My right hon. Friend is right. Per capita growth is down, and that is a shocking indictment on the Government. Across our high streets and the hospitality sector, the pressure is becoming severe. To give some local examples, John from Birdies café in Farnham told me that his business rates are rising from around £290 a month to approximately £1,600 a month, and his energy bills have increased from £300 or £400 to about £,3500. As a result, he has already let a member of staff go. Wey Hill in Haslemere is one of the areas most affected by business rates. The average increase in rateable values is 82%. That is entirely unsustainable for small shops—a butcher, a kitchen shop and a party shop. These are not enormous businesses. At the same time, retail sales are falling and confidence is weakening across the sector, yet the Government still do not appear to grasp the impact of their decisions. In the King’s Speech, instead of backing enterprise, the Government are increasing the cost of employing people. Instead of reducing the burden, they are adding to it, and instead of restoring confidence, they are eroding it. Thirty-year gilt yields are at their highest level since the 1990s, and higher borrowing costs mean higher mortgages, higher debt interest and less capacity to fund public services. The Government are presiding over stagnation and apparently calling that a strategy. Good news: there is a different path, which we Conservatives laid out in our alternative King’s Speech. I say to the Ministers on the Treasury Bench that we are not precious about it; take every single policy and enact it, because we want the best for Britain. We will support them in every way we can, if they pick up those policies. They include reducing regulatory burdens on businesses, cutting energy costs by removing unnecessary levies, restoring domestic energy security by renewing North sea licences, and properly cutting business rates for high streets and the hospitality sector. Jobs are not created through legislation, regulation or press releases; they are created when businesses are confident enough to invest, expand and hire. That requires lower costs, lower taxes, cheaper energy and a stable regulatory environment. Labour came in promising growth, but we have seen anything but. Unless there is a change of direction soon, the cost of this Labour Government to our country will only rise further.