Jim Dickson

The Chancellor’s Budget, delivered at the end of November, enables the Government to deliver on the priorities that we set out clearly in our manifesto last year. I pay tribute to the work that the Chancellor and the Ministers on the Front Bench tonight and across the Treasury team have done on that. As the Minister said, this is a very straightforward Bill. It means that from April 2029, there will be limits to NICs relief that higher earners can take advantage of through salary sacrifice. Importantly, it protects lower earners with a £2,000 threshold. It is always a challenge for any Government to find the right balance in their policies. This change ensures fairness in a system where we could otherwise have seen the costs of salary sacrifice schemes triple between 2017 and the end of the decade. That would undermine vital public service and investment priorities, such as the armed services, the NHS, SEND, our prison system and a vast number of other public services that everyone in this House would want to see properly funded. The greatest burden in this change is therefore being borne by those with the broadest shoulders. It is right that we have kept our manifesto pledges on tax, and it should only be in the most challenging of circumstances that we step back from those commitments. This change has enabled us to keep those pledges. It is good to see the Government getting on with delivering the change we promised, with inflation coming down; a sixth cut in interest rates coming soon, we hope; gilt prices moving in the right direction; and growth forecast to rise next year. As a Member of the Treasury Committee, I have not had a chance to speak in the Chamber since the Budget. With your indulgence, Madam Deputy Speaker, I would like to welcome the lifting of the two-child benefit cap. It was clear from the evidence we heard on the Committee that this change will transform thousands of young lives—