Tuesday Volume 682 20 October 2020 No. 123 HOUSE OF COMMONS OFFICIAL REPORT PARLIAMENTARY DEBATES (HANSARD) Tuesday 20 October 2020 © Parliamentary Copyright House of Commons 2020 This publication may be reproduced under the terms of the Open Parliament licence, which is published at www.parliament.uk/site-information/copyright/. 887 20 OCTOBER 2020 888 Friend the Communities Secretary is actively offering to House of Commons do. I hope those conversations are happening as we speak. Tuesday 20 October 2020 Greater Manchester is being treated exactly the same as every part of our United Kingdom. These are national The House met at half-past Eleven o’clock support schemes that have been put in place that help the most vulnerable in our society. The hon. Gentleman raised a number of questions. As he will know, there are PRAYERS national schemes to protect businesses,to protect employees and to provide support to his local authority. [MR SPEAKER in the Chair] Virtual participation in proceedings commenced (Order, Mrs Lewell-Buck: Repeated local lockdowns with no 4 June). end in sight are killing our economy in South Shields. In [NB: [V] denotes a Member participating virtually.] the past lockdown, we received £26 million of support. I have been advised that the financial package offered to us this time, should we end up in tier 3, would be just Oral Answers to Questions over £1 million. Can the Chancellor confirm or deny that insulting amount? TREASURY Rishi Sunak: I am glad the hon. Lady recognises the economic damage that lockdowns do, which is why, when we had this debate last week, I did pose the The Chancellor of the Exchequer was asked— question as to why the Opposition were suggesting a national lockdown with no end in sight without commenting Local Covid-19 Restrictions: Economic Support on the damage that would do to people’s jobs and livelihoods. With respect to support for local authorities Andrew Gwynne (Denton and Reddish) (Lab): What entering tier 3, as I have set out there is a national plans he has to provide additional economic support to funding formula that provides a per capita amount to areas affected by local covid-19 restrictions; and if he the local authority of up to £8 per head at the highest will make a statement. [907759] tier to provide support for local enforcement, compliance and track and trace. On top of that, there is support Mrs Emma Lewell-Buck (South Shields) (Lab): What that the national Government provide for businesses plans he has to provide additional economic support to that are closed. Their employees can be put on the job areas affected by local covid-19 restrictions; and if he support scheme, and, in addition, my right hon. Friend will make a statement. [907774] the Communities Secretary can talk to local authorities Afzal Khan (Manchester, Gorton) (Lab): What plans about providing bespoke extra support as required. he has to provide additional economic support to areas affected by local covid-19 restrictions; and if he will Afzal Khan [V]: People and businesses in my constituency make a statement. [907779] and across Greater Manchester are suffering. They are facing an uncertain winter with insufficient support. The Chancellor of the Exchequer (Rishi Sunak): Earlier Last night, the Government offered just £22 million to this month, I announced that businesses forced to close the 2.8 million people in Greater Manchester. That as a result of local restrictions will be eligible for a grant comes to just £8 a head to support local people and of up to £3,000 a month. Their employees will be businesses during the months ahead. Other areas were protected through the expanded job support programme given double that amount, despite having just half the and councils will receive extra resources to help with population. Does the Minister seriously believe this is a local track and trace, enforcement and compliance. fair deal for Greater Manchester, and, if so, would he like to take this opportunity to apologise to those Andrew Gwynne [V]: All that Greater Manchester is Mancunians who will lose or have already lost their asking for is proper financial support for our businesses, livelihoods? our self-employed and our lowest paid after 12 weeks of failed lockdown measures and as we face many more uncertain months ahead. When the Prime Minister is Rishi Sunak: With the greatest respect, the hon. reported as struggling to live on his £150,000 a year salary, Gentleman is mistaken in his characterisation of the how does he think the lowest paid in Greater Manchester support provided and confusing two different things. will cope on two thirds of national minimum wage? He is absolutely right: the support is £8 a head. That is Last night, the Secretary of State for Housing, Communities the national funding formula that is provided to all and Local Government offered just £22 million for a local authorities entering tier 3. That is the same as is city region of 2.8 million people. That is less than the provided in Lancashire and indeed, in the Liverpool £25 million he granted to his own town centre. Why do city region, and that is the amount that he refers to, this Government hate Greater Manchester? which is done on an equitable basis for all local authorities. The additional amounts he talks about were reached in Rishi Sunak: It is disappointing to hear the hon. negotiation with my right hon. Friend the Communities Gentleman’s tone. It is obviously a very difficult time Secretary and representatives of the Government. That for many people in this country as we evolve our response offer remains available to Greater Manchester, and to this virus, but what we need is people acting in that is why I hope they engage in these negotiations a constructive spirit, and that is what my right hon. constructively. 889 Oral Answers 20 OCTOBER 2020 Oral Answers 890 Mel Stride (Central Devon) (Con) [V]: My right hon. that people are protected and that those who have lost Friend has done a great deal to support jobs in our out and been excluded from support can be included country, but he will know that lockdowns destroy jobs this time? and lead to increased mental illness and a smaller economy that for many years will be less able to look Rishi Sunak: We have announced the job support after our most vulnerable. Does he agree that the scheme, which will take effect on 1 November, following Government should come forward urgently with a the closure of the coronavirus job retention scheme. comprehensive review of the impact of lockdowns, not Those who are working in closed businesses can be just in terms of epidemiology and the effect on the NHS, placed on that scheme and receive 67% of their wages—an important though that is, but in terms of the economy, amount comparable with all our European peers—at businesses, jobs and the country’s social wellbeing? very little, if no, expense to the employer, helping them to protect those jobs. Rishi Sunak: As ever, my right hon. Friend makes an Alison Thewliss: Sixty-seven per cent. of wages for excellent point. He is right about the damage to not people who are on minimum wage jobs—the lowest only non-covid health outcomes but people’s jobs and paid in our society—is simply not good enough and livelihoods and the long-term damage that that will gives them absolutely no incentive to self-isolate and cause to all our health outcomes.With regard to projections, stick to the rules.The Scottish Government have announced he will know that both the Office for Budget Responsibility a grant of £500 for the lowest paid, but the UK Government and the International Monetary Fund project 3% scarring, may swipe that back and pick the pockets of the poorest which will mean our economy potentially being £70 billion in taxation. Will the Chancellor go further than he has to £80 billion smaller in the future than it otherwise so far and exempt that £500 grant to the poorest in our would have been. As he rightly says, that will obviously society from taxation? have an impact on our ability to fund public services and protect people’s jobs and livelihoods. Rishi Sunak: The hon. Lady talks about the Scottish Government introducing a £500 grant. It was the UK Anneliese Dodds (Oxford East) (Lab/Co-op): Last Government who introduced a £500 grant and provided week, when the Prime Minister was asked whether a Barnett funding for the Scottish Government to do the circuit breaker is likely, he said, “I rule out nothing”. same. She is right that the grant payment is there to help Does the Chancellor rule it out—yes or no? those who are most vulnerable, so that they can isolate, and it provides an incentive for them to do so. Rishi Sunak: Of course I agree with the Prime Minister. Support for Businesses: Covid-19 Anneliese Dodds: That appears to be slightly different from the message we received from the Chancellor last Dr Kieran Mullan (Crewe and Nantwich) (Con): What week. This morning, a member of the Monetary Policy fiscal steps his Department is taking to support businesses Committee stated that affected by the covid-19 outbreak. [907760] “the bulk of spending reductions are due to restrictions that people voluntarily impose on themselves”, Antony Higginbotham (Burnley) (Con): What fiscal steps his Department is taking to support businesses and that affected by the covid-19 outbreak. [907764] “higher virus prevalence is associated with weaker economic performance.” Caroline Nokes (Romsey and Southampton North) Research suggests that not undertaking a circuit breaker (Con): What fiscal steps his Department is taking to now could cost our economy an additional £110 billion— support businesses in sectors that remain subject to that is based on IMF figures, by the way—due to covid-19 restrictions.