Catherine West

As the hon. Lady knows, a commitment has been made not to tax those who only receive the state pension. Those who earn a lot, whether through pensions, inheritance or other things, will be taxed proportionately, which sounds like a pretty fair principle to me. In the meantime, we on this side of the House are getting on with building a fairer country with a new political and economic model, but we also need to help people right now. That is why Labour has taken immediate action to provide breathing space for people and businesses. A couple of Members have mentioned the IMF report. As so often with the work of economists, it is a bit of a curate’s egg. Some people may prefer the text that was on the opposite side, but the bit that I preferred came from the economist Ms Tenreyro: the world economic outlook report gave the UK’s GDP an upgrade. That, I think, gives us some hope. It sets a fairly positive background for the Budget that is just two weeks away. We on this side of the House have woken up to a little bit of positive news, which is also quite a good background for the decisions that will come in two weeks’ time. I know that many other Members wish to speak, so I will be brief. I am particularly pleased about the scrapping of VAT on electricity bills for the winter, and I know that there is more to come for households that use a lot of electricity, perhaps owing to disability or because a large number of people live in the same home. The capping of bus fares at £2 for the whole of 2027 will help people travel to work or to job interviews. The change in the rules on branded items of school uniform will ease costs for families. Business rates for pubs, social clubs and music venues have been reduced by 20%, and in London all children will have a hot dinner in the middle of the day at school. The public procurement rules have been changed to back British businesses and jobs. So many things have been introduced in the short two years for which Labour has been in office, and there is much more to come. These measures build on work that Labour has done to restore stability and growth to the economy. Difficult decisions have been taken, and I was pleased to note that the Prime Minister had announced a further difficult decision on the triple lock. This, I think, is a moment when we have to be a little bit gutsy in our politics. I was pleased that the Prime Minister announced that very difficult decision; it is coming down the track, but he did at least announce it, so that we can start talking about the difficult challenges that we face in respect of social care. There is a ring of chaos to the proposals flung out by the Conservatives. I know about this, because I was in opposition for 14 years. I know how tempting it is to have a giggle in Opposition day debates, but we have to face the truth. We have to make some difficult decisions in order to restore the reputation of our economy with the markets internationally, but also to build the important foundation with some innovation that has been raised by my hon. Friend the Member for Welwyn Hatfield and others who I am sure will speak in this debate.