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Monday, November 25, 2024

Lords hear government plans for economic growth

THE Government’s insistence on economic growth as a prerequisite for its policy platform was underlined in a House of Lords debate on Monday. Bishops spoke about modern slavery, and the worth of co-operation between businesses, civil society, and the State.

Lord Vallance of Balham, who was chief scientific adviser to the Government in the course of the Covid-19 pandemic, made his maiden speech as Minister of State for Science, within the fourth day of debate on last week’s King’s Speech (News, 17 July).

He noted a difference in the best way that scientists and politicians reply to the invention of recent evidence pointing to different conclusions; for scientists, it was a cause for celebration, whereas politicians tended to reply with dread on the prospect of getting to do a U-turn.

“I sit up for welcoming changes based on scientific findings, advances in technology and innovation,” he said, but emphasised that Labour’s policy plans start with economic stability.

“To put it simply, which means no more unfunded spending commitments. . . Every decision shall be shaped by strong fiscal rules designed to deliver a balanced budget and drive down the national debt,” he said.

His opposite number, the Conservative Lord Callanan, said that, given the scale of the Government’s majority within the House of Commons, he was “unsure that there shall be much critical scrutiny happening” within the Lords.

He commended the Government’s deal with economic growth, but queried the wisdom of laws requiring the Office of Budget Responsibility (OBR) to independently assess the financial implications of all recent policies.

“Who holds the OBR to account when, as often happens, it gets its advice mistaken?” Lord Callanan asked: “I actually have little doubt that criticisms shall be product of fiscal policy within the years ahead, but they must be made, in the primary instance, on this Parliament.”

The Liberal Democrat Lord Fox said that growth was vital, but that ultimately it could come only through private investment. “Unlocking that flow of investment is totally crucial,” he said, and “success will rely upon getting the balance of presidency involvement right.”

The Bishop of Leeds, the Rt Revd Nick Baines, began his speech by saying that he was not an economist, and asked the Government to be honest with the general public, and communicate clearly, when it got here to questions of the economy. “Trust us, and tell us the reality, in order that we all know what is happening. We should be treated like adults,” he said.

Bishop Baines spoke in regards to the need for greater investment in infrastructure within the north of England, and questioned why the bosses of water firms were receiving bonuses despite “abject failure”. “This is an ethical issue in addition to an economic issue,” he said.

Another northern bishop, the Bishop of Newcastle, Dr Helen-Ann Hartley, also highlighted regional disparities, and said: “It is important that the expansion we attempt for is for the UK in its entirety.”

Along with the Government, she said, businesses, charities, and civic institutions all had a responsibility to foster growth. She referred to the Big River Bakery, in Newcastle, for instance of a business with “a sustainable business model partnering with external support, rooted in a deprived local people, and nurturing kindness and compassion in its mission to serve”.

On a bigger scale, the Greggs bakery chain served its communities, she said, by distributing grants and establishing breakfast clubs. “How can our Government encourage greater partnership and social responsibility, in order that more communities feel the advantages of growth?” she asked.

The Bishop of Bristol, the Rt Revd Vivienne Faull, focused her contribution to the talk on modern slavery, which is a problem about which she has previously written for the Church Times (Comment, 6 March).

“Modern slavery is a criminal offense which affects every community within the UK. It just isn’t a distinct segment issue: it’s estimated that 130,000 persons are held in modern slavery in our country today,” she said on Monday evening.

Some good work had been done, but immigration laws under the previous government had “put victims of contemporary slavery at further risk”, she said, asking whether this laws could be now be undone.

Bishop Faull also expressed concerns that the scramble to fill vacancies within the social-care sector was resulting in labour exploitation, referring to reports that just about one in five potential victims contacting the helpline worked in social care.

“To tackle exploitation, we must always start by making work visas more flexible in order that employees will not be trapped in exploitative conditions,” she said.

In a speech at the tip of the talk, the Financial Secretary to the Treasury, Lord Livermore, summarised the brand new Government’s plan as being founded on “stability, investment, and reform: stability, so we never again see a repeat of the disastrous mini-Budget and the damage it did to family funds; investment, through partnership between a strategic state and enterprising business; and reform, to confront and overcome the barriers to success which have, for too long, held our country back.”

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