Dan Tomlinson

It is a pleasure to close this Budget debate on good growth in every postcode. I thank Members from across the House for their contributions in today’s debate. In particular, I want to thank my hon. Friend the Member for Holborn and St Pancras (Sagal Abdi-Wali) for her fantastic maiden speech. She spoke powerfully of the “everyday way”, in her words, that people in her part of London look out for each other. I know that she will look out for her constituents every single day. I, along with Members from across the House, I am sure, warmly welcome her to the Labour Benches. The Budget last week was a Budget to provide breathing space now and fresh hope for the future. It backed British business to unleash growth in every postcode and it kick-started the changes needed to put our country on a better course. It was also a Budget set against the backdrop of global economic storms, with trade tensions acting as a drag on global growth and Putin’s illegal invasion of Ukraine approaching the end of its fifth year. These shocks may be global, but the effects are being felt here at home. According to the Office for Budget Responsibility, we will spend £14 billion more each year on debt interest compared with the previous forecast. The Government’s responsibility is, of course, to determine how to respond to that. We have chosen to respond by using some of the headroom, which was built up last year, to absorb the impacts of the war and to protect the economy and family budgets as much as possible. We have also chosen, crucially, to meet the fiscal rules in full, with borrowing falling in every year of the forecast. Britain’s economic reputation was badly damaged under the Conservatives—so badly damaged, in fact, that the IMF publicly warned them to change course. The contrast now could not be clearer. The IMF said recently that the UK “stands out” as a country where we are taking “action to reduce the debt and deficit” and that action “has been taken decisively”. Despite the warnings from forecasters and the gloomsters on the Opposition Benches that our economy would slow down, Britain has defied expectations this year. The OBR has upgraded the UK’s growth forecast and in the first half of this year we had the joint-fastest growth in the G7. Productivity growth is up at 2.2% a year, compared with an average growth rate of 0.5% a year between 2015 and 2024.