conservativehome--2020-07-08--Daniel Hannan: What broken windows can teach the Chancellor about mending the economy

Daniel Hannan is a writer and columnist .
He was a Conservative MEP from 1999 to 2020 , and is now President of the Initiative for Free Trade .
Anyone can spin the spending taps open .
It ’ s screwing them back again that is the problem .
Once vast subsidies have gurgled down the plughole , it becomes almost impossible to resist demands for an extra spurt here or there .
Sums that were considered colossal in February now seem , next to the hundreds of billions of pounds spent on quantitative easing and the furlough scheme , @ @ @ @ @ @ @ me wrong .
The Coronavirus outbreak was an exceptional event that called for an exceptional response .
Almost every small-government type I know acknowledged that there was a one-off case for interventions .
The worry is that these interventions will turn out not to be one-offs ; that , rather as happened after 1945 , the electorate has come to expect a higher level of state intrusion , so the dial won ’ t return to where it was .
There was a practical and moral case for helping businesses through the lockdown @ @ @ @ @ @ @ a firm ’ s heartbeat going is cheaper , in the long run , than letting it expire and requiring a completely new business to be launched afterwards .
The moral case was that the government had a duty to rescue its own victims : if an otherwise profitable enterprise , such as a pub or a theatre , was closed by law , it had a claim to compensation .
So far , so uncontroversial .
But what when the restrictions are lifted ?
Should the state carry on supporting sectors that @ @ @ @ @ @ @ , for example , continue to subsidise pubs or theatres , even when they are allowed to operate again , on grounds that their customers are staying away ?
What about sandwich shops hit by the shift to working from home – a shift that may be permanent ?
Or charities hit by a general drop in donations ?
What of payouts that are not directly to do with the lockdown ?
It was striking , for example , that the clamour for more free school meals was far louder than the clamour @ @ @ @ @ @ @ .
Demanding money on someone else ’ s behalf is always satisfying and , in current circumstances , the demands are hard to resist .
When we are spending a hundred billion on the furlough scheme alone , who is going to cavil about £19 million for poor kids ?
The dynamics of that decision illustrate , in microcosm , why demands for higher spending end up being granted .
Those who called for higher spending were described as brave and principled , their opponents as selfish and stingy .
In fact , @ @ @ @ @ @ @ Listen – hear me out on this , I know it ’ s controversial – we should do more to feed poor kids ” .
That position might be justified , but expressing it requires no courage .
Indeed , by far the bravest thing I saw during the controversy was a Tweet by the kind and clever Therese Coffey , gently correcting Marcus Rashford ’ s claim that people might be cut off by water companies for want of means .
Therese pointed out that that would be illegal , prompting a @ @ @ @ @ @ @ online mob who did not want facts to interfere with their self-righteous rage .
Few MP want to be accused of being “ mean ” or “ heartless ” ( to quote the adjectives chosen by Sir Michael Wilshaw , the former head of Ofsted ) .
They know that , however absurdly , they will be judged as if it were their own money they were trying to save , not taxpayers ’ .
Yet the economic facts remain .
Britain ’ s output is down by more than a quarter .
@ @ @ @ @ @ @ taken largely by business but , eventually , it will be felt by everyone : students , public sector workers , pensioners and , not least , those the poet calls “ your children yet unborn and unbegot ” .
I wish it weren ’ t so .
But we can ’ t defy economic gravity by intoning “ Our NHS heroes deserve a pay rise !
” or “ Supporting the arts is an investment in the future !
” or “ The government needs to create more green jobs !
” @ @ @ @ @ @ @ the aftermath of an economic catastrophe .
Yes , it makes sense to bring forward some spending , especially on infrastructure .
But the only way out of this mess is economic growth , and the way to get growth to cut taxes .
Think of it like this .
The government can put more cash into circulation by spending more or by taxing less .
The argument for the second is that the money will be more wisely directed by individuals on the ground than by civil servants drawing up project criteria @ @ @ @ @ @ @ as the furlough scheme tapers out , must be to get businesses investing and hiring .
That means cutting corporation tax , stamp duty , national insurance and capital gains tax .
Why tax cuts rather than grants ?
Partly because grants are blunt instruments , expensive to administer and prone to unintended consequences .
Mainly , though , because of what the nineteenth-century French economist Frédéric Bastiat called “ ce qu ’ on voit et ce qu ’ on ne voit pas ” – what we see and what we don ’ @ @ @ @ @ @ @ of broken windows .
Replacing a shop window generates lots of activity : the shopkeeper pays six francs to the glazier , who can then spend that sum on new shoes , meaning that the cobbler now has more to spend and so on .
Why , then , can ’ t a country make itself rich by hiring boys to go around smashing panes of glass ?
Because , Bastiat says , of the unseen costs : the shopkeeper could have invested the six francs on something more productive , the glazier @ @ @ @ @ @ @ make time to fix the window and so on .
It ’ s an argument a ten-year-old can understand , yet we seem unable to internalise its logic .
When a government takes money out of the economy to spend on , say , green jobs , it is creating unseen costs .
We might regard those costs as justified in the name of environmental protection ; but they are still costs .
Subsidising jobs is no more a route to growth than smashing windows .
Who , though , is prepared to @ @ @ @ @ @ @ ?
Who will argue for balanced budgets and low taxes ?
The lockdown may be ending , but I fear our economic woes are just beginning .

Daniel Hannan is a writer and columnist. He was a Conservative MEP from 1999 to 2020, and is now President of the Initiative for Free Trade.
Anyone can spin the spending taps open. It’s screwing them back again that is the problem. Once vast subsidies have gurgled down the plughole, it becomes almost impossible to resist demands for an extra spurt here or there. Sums that were considered colossal in February now seem, next to the hundreds of billions of pounds spent on quantitative easing and the furlough scheme, almost trivial.
Don’t get me wrong. The Coronavirus outbreak was an exceptional event that called for an exceptional response. Almost every small-government type I know acknowledged that there was a one-off case for interventions. The worry is that these interventions will turn out not to be one-offs; that, rather as happened after 1945, the electorate has come to expect a higher level of state intrusion, so the dial won’t return to where it was.
There was a practical and moral case for helping businesses through the lockdown. The practical case was that keeping a firm’s heartbeat going is cheaper, in the long run, than letting it expire and requiring a completely new business to be launched afterwards. The moral case was that the government had a duty to rescue its own victims: if an otherwise profitable enterprise, such as a pub or a theatre, was closed by law, it had a claim to compensation.
So far, so uncontroversial. But what when the restrictions are lifted? Should the state carry on supporting sectors that have been adversely affected? Should it, for example, continue to subsidise pubs or theatres, even when they are allowed to operate again, on grounds that their customers are staying away? What about sandwich shops hit by the shift to working from home – a shift that may be permanent? Or charities hit by a general drop in donations?
What of payouts that are not directly to do with the lockdown? It was striking, for example, that the clamour for more free school meals was far louder than the clamour for schools themselves to reopen in full. Demanding money on someone else’s behalf is always satisfying and, in current circumstances, the demands are hard to resist. When we are spending a hundred billion on the furlough scheme alone, who is going to cavil about £19 million for poor kids?
The dynamics of that decision illustrate, in microcosm, why demands for higher spending end up being granted. Those who called for higher spending were described as brave and principled, their opponents as selfish and stingy.
In fact, there is nothing brave about saying “Listen – hear me out on this, I know it’s controversial – we should do more to feed poor kids”. That position might be justified, but expressing it requires no courage. Indeed, by far the bravest thing I saw during the controversy was a Tweet by the kind and clever Therese Coffey, gently correcting Marcus Rashford’s claim that people might be cut off by water companies for want of means. Therese pointed out that that would be illegal, prompting a pile-on of the nastiest kind from an online mob who did not want facts to interfere with their self-righteous rage.
Few MP want to be accused of being “mean” or “heartless” (to quote the adjectives chosen by Sir Michael Wilshaw, the former head of Ofsted). They know that, however absurdly, they will be judged as if it were their own money they were trying to save, not taxpayers’.
Yet the economic facts remain. Britain’s output is down by more than a quarter. So far, the hit has been taken largely by business but, eventually, it will be felt by everyone: students, public sector workers, pensioners and, not least, those the poet calls “your children yet unborn and unbegot”. I wish it weren’t so. But we can’t defy economic gravity by intoning “Our NHS heroes deserve a pay rise!” or “Supporting the arts is an investment in the future!” or “The government needs to create more green jobs!”
Yes, fiscal loosening is appropriate in the aftermath of an economic catastrophe. Yes, it makes sense to bring forward some spending, especially on infrastructure. But the only way out of this mess is economic growth, and the way to get growth to cut taxes.
Think of it like this. The government can put more cash into circulation by spending more or by taxing less. The argument for the second is that the money will be more wisely directed by individuals on the ground than by civil servants drawing up project criteria. Britain’s immediate priority, as the furlough scheme tapers out, must be to get businesses investing and hiring. That means cutting corporation tax, stamp duty, national insurance and capital gains tax.
Why tax cuts rather than grants? Partly because grants are blunt instruments, expensive to administer and prone to unintended consequences. Mainly, though, because of what the nineteenth-century French economist Frédéric Bastiat called “ce qu’on voit et ce qu’on ne voit pas” – what we see and what we don’t.
Bastiat famously gave the example of broken windows. Replacing a shop window generates lots of activity: the shopkeeper pays six francs to the glazier, who can then spend that sum on new shoes, meaning that the cobbler now has more to spend and so on. Why, then, can’t a country make itself rich by hiring boys to go around smashing panes of glass? Because, Bastiat says, of the unseen costs: the shopkeeper could have invested the six francs on something more productive, the glazier had to turn down another customer to make time to fix the window and so on.
It’s an argument a ten-year-old can understand, yet we seem unable to internalise its logic. When a government takes money out of the economy to spend on, say, green jobs, it is creating unseen costs. We might regard those costs as justified in the name of environmental protection; but they are still costs. Subsidising jobs is no more a route to growth than smashing windows.
Who, though, is prepared to make that case in the current mood? Who will argue for balanced budgets and low taxes? The lockdown may be ending, but I fear our economic woes are just beginning.


conservativehome--2020-07-08--Luke Evans: Snapshot from Bosworth. We haven’t beaten the Coronavirus. But nor are we letting it bea

Luke Evans: Snapshot from Bosworth. We haven’t beaten the Coronavirus. But nor are we letting it beat us.

Dr Luke Evans is a member of the Health Select Committee , and is MP for Bosworth .
I left you last week on something of a ‘ columnist ’ s cliffhanger ’ .
The County of Leicestershire , and the city of Leicester that lies in its centre , had gone through days of speculation about the possibility of a local lockdown , and subsequent uncertainty about exactly where lines would be drawn .
On a personal level , that included working out whether my own constituency of Bosworth would be affected , and if so how , and @ @ @ @ @ @ @ , in the end Bosworth remained free from local lockdown .
Even the areas which may loosely be described as the outer suburbs of the city were left untouched .
The focus for my own constituents quickly , and understandably , changed from fear that they could be part of a Coronavirus spike with all the implications which that brings , to concern that , especially as nationally enforced lockdown restrictions were being lifted , what might be the implications of Leicester residents escaping their locked down city to enjoy the pubs and @ @ @ @ @ @ @ I left you last week , a great deal of time was spent trying to answer exactly that question .
I held several meetings with our local policing unit commander and two further ones with the County ’ s Chief Constable .
County MPs , all Conservative , met virtually to discuss strategy ; and , as you would expect , I stayed in close contact with council leaders , chief executives and the head of our local resilience forum .
Not least , I spoke with councillors , especially those whose wards @ @ @ @ @ @ @ whose concerns were entirely understandably at their most heightened .
There were serious discussions about whether , even at an informal level , the lifting of lockdown restrictions should be postponed .
Should I speak with publicans and ask them to stay closed ?
Should they take a further hit to their livelihoods to ensure that the heightened spread in the city could not be brought out to our rural communities ?
As with so many other things there is seldom a binary choice when it comes to protecting health and livelihoods and @ @ @ @ @ @ @ is a significant difference between the fear of what might happen , and what actually does .
It was interesting to see that research published by YouGov last Friday indicated that in this case the fear of what might happen was substantially greater than the likely reality .
In one of those oddly specific polls that the YouGov panel seems so proficient at producing , regular pub goers , regular prior to lockdown that is , were asked how soon they would return to their locals after July 4th .
Just four per @ @ @ @ @ @ @ out on the day itself , and another four per cent in the first week , but not on Saturday .
Of course , that type of research certainly doesn ’ t mean that city dwellers would definitely stay at home but it does indicate that whatever happens it wasn ’ t going to be likely that pubs , and the police , would be inundated .
My conversations with the police were clear .
They had planned , and part of their planning meant having more officers on duty than they would @ @ @ @ @ @ @ but they weren ’ t expecting a day of mass rebellion .
I was delighted on Monday morning to be able to share a tweet from the Chief Constable stating that over the weekend in Leicester ‘ the was huge compliance with the lockdown rules ’ , whilst in the county the ‘ vast majority of residents were acting responsibly and adhering to guidelines ’ .
Of course , we always knew there would be incidents , which with a camera to hand and a media willing to share them will always gain @ @ @ @ @ @ @ lose sight of the fact that the overwhelming majority of decent people within the city and county are doing all that they can , and all that they have been asked , to beat this virus .
I keep coming back to the same point that when the majority stick together we will win this fight .
Last weekend wasn ’ t the end of the local lockdown and it isn ’ t the end of the lifting of restrictions .
We know that there are going to be outbreaks , people testing @ @ @ @ @ @ @ and trace and temporarily close pubs .
Indeed there have already been such cases .
But those cases aren ’ t indications that lifting the restrictions are failing but rather signs that this new normality is working . ]
We haven ’ t got to the stage where we can say we have beaten Coronavirus , but by the great majority of us following the rules we can at least say we are not letting it beat us .

Dr Luke Evans is a member of the Health Select Committee, and is MP for Bosworth.
I left you last week on something of a ‘columnist’s cliffhanger’.
The County of Leicestershire, and the city of Leicester that lies in its centre, had gone through days of speculation about the possibility of a local lockdown, and subsequent uncertainty about exactly where lines would be drawn. On a personal level, that included working out whether my own constituency of Bosworth would be affected, and if so how, and what that meant.
As it transpired, in the end Bosworth remained free from local lockdown. Even the areas which may loosely be described as the outer suburbs of the city were left untouched.
The focus for my own constituents quickly, and understandably, changed from fear that they could be part of a Coronavirus spike with all the implications which that brings, to concern that, especially as nationally enforced lockdown restrictions were being lifted, what might be the implications of Leicester residents escaping their locked down city to enjoy the pubs and restaurants of Hinckley and Bosworth?
After I left you last week, a great deal of time was spent trying to answer exactly that question.
I held several meetings with our local policing unit commander and two further ones with the County’s Chief Constable.
County MPs, all Conservative, met virtually to discuss strategy; and, as you would expect, I stayed in close contact with council leaders, chief executives and the head of our local resilience forum.
Not least, I spoke with councillors, especially those whose wards lay nearest to the city, and whose concerns were entirely understandably at their most heightened.
There were serious discussions about whether, even at an informal level, the lifting of lockdown restrictions should be postponed. Should I speak with publicans and ask them to stay closed? Should they take a further hit to their livelihoods to ensure that the heightened spread in the city could not be brought out to our rural communities?
As with so many other things there is seldom a binary choice when it comes to protecting health and livelihoods and inevitably, as with crime, there is a significant difference between the fear of what might happen, and what actually does.
It was interesting to see that research published by YouGov last Friday indicated that in this case the fear of what might happen was substantially greater than the likely reality.
In one of those oddly specific polls that the YouGov panel seems so proficient at producing, regular pub goers, regular prior to lockdown that is, were asked how soon they would return to their locals after July 4th.
Just four per cent of regulars said they would venture out on the day itself, and another four per cent in the first week, but not on Saturday.
Of course, that type of research certainly doesn’t mean that city dwellers would definitely stay at home but it does indicate that whatever happens it wasn’t going to be likely that pubs, and the police, would be inundated.
My conversations with the police were clear. They had planned, and part of their planning meant having more officers on duty than they would typically have on New Years Eve – but they weren’t expecting a day of mass rebellion.
I was delighted on Monday morning to be able to share a tweet from the Chief Constable stating that over the weekend in Leicester ‘the was huge compliance with the lockdown rules’, whilst in the county the ‘vast majority of residents were acting responsibly and adhering to guidelines’.
Of course, we always knew there would be incidents, which with a camera to hand and a media willing to share them will always gain penetration.
But we can’t lose sight of the fact that the overwhelming majority of decent people within the city and county are doing all that they can, and all that they have been asked, to beat this virus. I keep coming back to the same point that when the majority stick together we will win this fight.
Last weekend wasn’t the end of the local lockdown and it isn’t the end of the lifting of restrictions. We know that there are going to be outbreaks, people testing positive leading to the need to track and trace and temporarily close pubs. Indeed there have already been such cases.
But those cases aren’t indications that lifting the restrictions are failing but rather signs that this new normality is working.]
We haven’t got to the stage where we can say we have beaten Coronavirus, but by the great majority of us following the rules we can at least say we are not letting it beat us.


conservativehome--2020-07-08--Sandy Verma: Labour has let Leicester down

Baroness Verma is a businesswoman .
She is a former Energy & Climate Change Minister and a former International Development Minister .
The blame behind Leicester ’ s return to lockdown continues to be thrashed out .
Matt Hancock announced last Monday that my city would be pushed backwards whilst the rest of the country enjoys newfound freedoms that the loosening of the lockdown brought over the weekend .
Leicester City Council which is supposed to be led by Peter Soulsby continues to deny that the re-lockdown is their fault , despite local knowledge being ignored .
Even though Leicester @ @ @ @ @ @ @ in the country , Leicester City Council still refuses to assist with any English classes for non-native speakers ; then in the height of a public health crisis they decide to send a leaflet out to every household in the city on Coronavirus and how to stay safe in Leicester – only in English .
This left thousands of residents without a clue about the new measures .
An undercover investigation from the Sunday Times has also shined a light on the total exploitation of workers in Leicester , many have foreign backgrounds @ @ @ @ @ @ @ .
The workers are paid £3.50 per hour or less in some cases , told to work even though they feel unwell , and work in conditions where appropriate safety measures are impossible to impose .
This is not the first time that factories in Leicester have been exposed in this way .
The Financial Times , Radio 4 ’ s Today programme , and Channel 4 have all previously revealed the malpractice of these factories .
With Leicester ’ s local paper , the Leicester Mercury , regularly covering the extended scandal @ @ @ @ @ @ @ brought to my attention shows that the Council have been aware of the problems at some of the factories in the city since 2017 .
Whichever way the Labour Party locally want to spin this , those factories , those poorly paid workers , have been under their noses for a long time .
We , as a local party , contacted the MPs and councillors in the city back in April , shedding light on how some of the workers in the factories were being treated during the lockdown .
We wrote @ @ @ @ @ @ @ of people contacting us in fear that factory owners are flouting the law by appearing closed but with employees still working behind shuttered premises.
” ‘ This is not only dangerous to the workers in the factories but also the families and wider communities at large.
’ “ We want assurances from you as the elected representative that you are ensuring that these occurrences are reported to the police and trading standards and action taken immediately.
” Despite our best efforts all those we contacted declined to pursue or help those who were @ @ @ @ @ @ @ COVID .
The Mayor who had our letter forwarded also declined to help .
Meaning that those who were most defenceless were let down by those elected to preserve their safety For context , although my city is ethnically very diverse , the political makeup is anything but .
The Council Chamber is made up of 51 Labour councillors out of a possible 53 and a directly elected Labour Mayor ; there are three Labour Members of Parliament in the city ; and a Labour Police and Crime Commissioner .
The council must @ @ @ @ @ @ @ local Conservatives were ignored by the Labour Mayor and his councillors .
It appears that they , alongside other agencies , have been caught short on dealing with matters that are the most important within the city .
In a leaked Labour briefing document , the Labour councillors are now being told to blame the Tory government at all costs ; they will not take accountability for their actions .
These issues are not new ; the Labour Party has held power in Leicester for decades ; these communities have been kept poor @ @ @ @ @ @ @ must start to support community integration , and share knowledge of rights and access to services , which up to now has been a total failure from the Labour Party .
The constant carping and blaming the Conservative Party for their mismanagement and their inability to attract investment has been demonstrated time and time again , however , given that up to now they have had no opposition they can not be allowed to get away with it any longer .
The local Members of Parliament have also been blatantly silent on the @ @ @ @ @ @ @ Liz Kendall constantly would rather further their careers than look after their electorate .
Whereas Keith Vaz ’ s replacement , Claudia Webbe , is more interested in her council constituents in Islington .
What a mess my city is in… Labour put forward a local councillor to defend its lack of action on this scandal on the local radio on Monday morning .
Cllr Malik , who is currently under investigation for anti-semitism , appeared on BBC Radio Leicester .
He said : “ It is unfair ( the city is in @ @ @ @ @ @ @ is known all over the world for its positive diversity and community cohesion.
” When questioned why nothing had changed despite the extensive media coverage into the sweatshops he continued : “ We can not say nothing has happened , obviously we are aware of all these practices.
” The pandemic has highlighted so many failings that fall at the door of elected Labour members in Leicester .
I am calling for a full industry-wide investigation into these allegations and I believe that the investigation should include whether elected officials knew about the @ @ @ @ @ @ @ The people of Leicester are quickly losing confidence in the Mayor who himself broke lockdown rules .
His hypocritical followers may try and keep him in place for a little longer but it will be a disgrace to Sir Keir Starmer ’ s Labour leadership if he doesn ’ t ensure the back of Soulsby very soon .
His credibility will diminish if he doesn ’ t root out the anti-Semitic hate-mongers that blight the harmony of a city like Leicester .
His conviction will be questioned if he doesn ’ t call @ @ @ @ @ @ @ industry and the politicians behind the factory scandal .

Baroness Verma is a businesswoman. She is a former Energy & Climate Change Minister and a former International Development Minister.
The blame behind Leicester’s return to lockdown continues to be thrashed out. Matt Hancock announced last Monday that my city would be pushed backwards whilst the rest of the country enjoys newfound freedoms that the loosening of the lockdown brought over the weekend. Leicester City Council which is supposed to be led by Peter Soulsby continues to deny that the re-lockdown is their fault, despite local knowledge being ignored.
Even though Leicester is one of the most diverse cities in the country, Leicester City Council still refuses to assist with any English classes for non-native speakers; then in the height of a public health crisis they decide to send a leaflet out to every household in the city on Coronavirus and how to stay safe in Leicester – only in English. This left thousands of residents without a clue about the new measures.
An undercover investigation from the Sunday Times has also shined a light on the total exploitation of workers in Leicester, many have foreign backgrounds, and many do not speak English. The workers are paid £3.50 per hour or less in some cases, told to work even though they feel unwell, and work in conditions where appropriate safety measures are impossible to impose.
This is not the first time that factories in Leicester have been exposed in this way. The Financial Times, Radio 4’s Today programme, and Channel 4 have all previously revealed the malpractice of these factories. With Leicester’s local paper, the Leicester Mercury, regularly covering the extended scandal.
A Labour document that has been brought to my attention shows that the Council have been aware of the problems at some of the factories in the city since 2017. Whichever way the Labour Party locally want to spin this, those factories, those poorly paid workers, have been under their noses for a long time.
We, as a local party, contacted the MPs and councillors in the city back in April, shedding light on how some of the workers in the factories were being treated during the lockdown. We wrote:
“We have had a number of people contacting us in fear that factory owners are flouting the law by appearing closed but with employees still working behind shuttered premises.”
‘This is not only dangerous to the workers in the factories but also the families and wider communities at large.’
And continued:
“We want assurances from you as the elected representative that you are ensuring that these occurrences are reported to the police and trading standards and action taken immediately.”
Despite our best efforts all those we contacted declined to pursue or help those who were vulnerable and at high risk of catching COVID. The Mayor who had our letter forwarded also declined to help. Meaning that those who were most defenceless were let down by those elected to preserve their safety
For context, although my city is ethnically very diverse, the political makeup is anything but. The Council Chamber is made up of 51 Labour councillors out of a possible 53 and a directly elected Labour Mayor; there are three Labour Members of Parliament in the city; and a Labour Police and Crime Commissioner.
The council must answer why calls of concern from alarmed local Conservatives were ignored by the Labour Mayor and his councillors. It appears that they, alongside other agencies, have been caught short on dealing with matters that are the most important within the city.
In a leaked Labour briefing document, the Labour councillors are now being told to blame the Tory government at all costs; they will not take accountability for their actions. These issues are not new; the Labour Party has held power in Leicester for decades; these communities have been kept poor and excluded. The Council in Leicester must start to support community integration, and share knowledge of rights and access to services, which up to now has been a total failure from the Labour Party. The constant carping and blaming the Conservative Party for their mismanagement and their inability to attract investment has been demonstrated time and time again, however, given that up to now they have had no opposition they cannot be allowed to get away with it any longer.
The local Members of Parliament have also been blatantly silent on the ground for months. Jonathan Ashworth and Liz Kendall constantly would rather further their careers than look after their electorate. Whereas Keith Vaz’s replacement, Claudia Webbe, is more interested in her council constituents in Islington. What a mess my city is in…
Labour put forward a local councillor to defend its lack of action on this scandal on the local radio on Monday morning. Cllr Malik, who is currently under investigation for anti-semitism, appeared on BBC Radio Leicester. He said:
“It is unfair (the city is in the spotlight over this) because Leicester is known all over the world for its positive diversity and community cohesion.”
When questioned why nothing had changed despite the extensive media coverage into the sweatshops he continued:
“We cannot say nothing has happened, obviously we are aware of all these practices.”
The pandemic has highlighted so many failings that fall at the door of elected Labour members in Leicester. I am calling for a full industry-wide investigation into these allegations and I believe that the investigation should include whether elected officials knew about the practices and chose not to act.
The people of Leicester are quickly losing confidence in the Mayor who himself broke lockdown rules. His hypocritical followers may try and keep him in place for a little longer but it will be a disgrace to Sir Keir Starmer’s Labour leadership if he doesn’t ensure the back of Soulsby very soon. His credibility will diminish if he doesn’t root out the anti-Semitic hate-mongers that blight the harmony of a city like Leicester. His conviction will be questioned if he doesn’t call for a full investigation into the fashion industry and the politicians behind the factory scandal.


conservativehome--2020-07-08--Sunak whistles in the dark

Sunak whistles in the dark

Since we don ’ t know the future of the Coronavirus , we don ’ t know that of social distancing .
And since we don ’ t know that of social distancing , we don ’ t know that of restaurants .
It may be that a vaccine for the virus arrives , or that herd immunity is eventually achieved – or that having come like the thunder , Covid suddenly vanishes like the wind .
Or that it turns out to be a seasonal disease , falling away in the summer , as people enjoy the open air @ @ @ @ @ @ @ , anywhere that people congregate indoors .
In which case , the future of restaurants , pubs and cafes will be very different from the past – from the world before roughly the start of March .
It will simply not be profitable for many of them to open as they have done with only a percentage of their customers .
In such circumstances , some will spill onto the streets when the weather is warm , taking advantage of the Government ’ s easing of outdoor restrictions , an ideas flagged up @ @ @ @ @ @ @ .
Makeshift tarpaulins will be hauled up to ward off summer rain .
In the winter , they will be decorated with patio heaters .
But for some restauranteers , such adaptation is impossible , or just too much of a struggle .
We probe the matter because restaurants starred in the final section of Rishi Sunak ’ s statement today , in one of the few sections of it not to have been trailed .
Dishy Rishi ’ s dishes plan – his “ eat out to help out ” discount scheme @ @ @ @ @ @ @ you may wave away this cooked-up idea as a gimmick .
But either way , it ended his statement where it had started : the Chancellor has made his choice .
He will try to preserve , as best he can , the world of pre-Covid 19 .
Sunak began his brief statement – getting to his feet at 12.38 and sitting down again at 13.03 – by claiming that the Government is “ unencumbered by dogma ” and “ driven always by the desire to do what is right ” .
By @ @ @ @ @ @ @ to achieve certain goals , or try to .
These are above all “ to protect , support and create jobs ” .
That ’ s to say , specifically : jobs for young people , the jobs dependent on our housing market working , jobs that come from government infrastucture spending , “ green jobs ” and , as we have seen , jobs in hospitality and tourism .
Some on the Right are less fussed about this exercise in picking winners , or rather survivors , than their anti-intervention rhetoric might @ @ @ @ @ @ @ example , they have no objection to the temporary cut in stamp duty , wishing only that it were permanent , or that the tax might be scrapped altogether .
Ending stamp duty would be good enough in itself , but not enough by itself : in other words , it would be a thoroughly bad thing simply to seek to re-heat Britain ’ s loaded housing system , biased as it is in favour of those who already own property and against those who wish to do so .
Stamp duty cuts @ @ @ @ @ @ @ reform .
This site is happy enough with state action to help people , whether through tax cuts or higher spending .
Iain Duncan Smith ’ s unique contribution to public life , and that of the Centre for Social Justice which he founded , is to have grasped that a rising tide doesn ’ t lift all boats .
Tax cuts don ’ t reach those who pay no tax at all , or who are so indebted that reductions are of little use to them , or are struggling with alcohol @ @ @ @ @ @ @ left the state education system unable to read .
For them , government must be the guarantor , if not necessarily the provider , of help , services and opportunities .
So in saying that he is “ unencumbered by dogma ” , Sunak was signalling the latest Tory retreat from Thatcherism – as it is sometimes proclaimed to be though not at all how it was always practised .
Boris Johnson ’ s boosterism follows Theresa May ’ s good that government can do and David Cameron ’ s view that there @ @ @ @ @ @ @ .
It is possible that this insistence on the role of the state will itself harden into a new dogma , shaped by left-wing antipathy to civil society as well as individual freedom , that will capture all of the main political parties , damaging Britain as it does so : the prospect sketched out on this site last weekend by David Gauke .
But what concerns us more , in the wake of the Chancellor ’ s statement , is a more subtle , unspoken , assumed dogma : that government should @ @ @ @ @ @ @ before Coronavirus arrived here from China .
The Chancellor is a highly intelligent man , and knows that such an aim is unrealisable .
Viewing his statement was like watching a man groping his way in the dark , knowing well that the future is unreadable , trying to hold on to as much of the past as he can , and whistling as he does so – morale-raising melodies about VAT cuts , kickstart schemes , decarbonising social housing and job retention bonuses .
We like the focus on young people , @ @ @ @ @ @ @ will be quite what they ’ re cracked up to be , and believe that the tax cuts are fine as far as they go .
The £30 billion cost of the programme will presumably be met largely by taking a chance of borrowing at present low interest rates .
But how impactful any of these measures turn out to be , given the Covid-19 uncertainties , no-one can possibly know , including Sunak himself – who delivered his statement with the lean , direct eloquence which which we ’ re becoming familiar @ @ @ @ @ @ @ he has been at the top of British politics for less than six months .
Nonetheless , the Chancellor understands that what goes up , including to the top of ConHome ’ s Cabinet League Table , can come down .
Perhaps this is why he spoke for less than half an hour today .
There was as much that wasn ’ t in his statement as was : it didn ’ t sweep across the Government ’ s plans for universities , or the future of railways , or rough sleepers .
@ @ @ @ @ @ @ relatively narrow front .
“ Where problems emerge , we will confront them .
Where support is justified , we will provide it .
Where challenges arise , we will overcome them , ” he said .
Behind that fabulously assured front , Sunak must surely have his doubts .

Since we don’t know the future of the Coronavirus, we don’t know that of social distancing. And since we don’t know that of social distancing, we don’t know that of restaurants.
It may be that a vaccine for the virus arrives, or that herd immunity is eventually achieved – or that having come like the thunder, Covid suddenly vanishes like the wind. Or that it turns out to be a seasonal disease, falling away in the summer, as people enjoy the open air, and rising again in the winter, anywhere that people congregate indoors.
In which case, the future of restaurants, pubs and cafes will be very different from the past – from the world before roughly the start of March. It will simply not be profitable for many of them to open as they have done with only a percentage of their customers.
In such circumstances, some will spill onto the streets when the weather is warm, taking advantage of the Government’s easing of outdoor restrictions, an ideas flagged up early on this site by Nick Boys-Smith. Makeshift tarpaulins will be hauled up to ward off summer rain.
In the winter, they will be decorated with patio heaters. But for some restauranteers, such adaptation is impossible, or just too much of a struggle. We probe the matter because restaurants starred in the final section of Rishi Sunak’s statement today, in one of the few sections of it not to have been trailed.
Dishy Rishi’s dishes plan – his “eat out to help out” discount scheme – may whet your appetite. Or you may wave away this cooked-up idea as a gimmick. But either way, it ended his statement where it had started: the Chancellor has made his choice. He will try to preserve, as best he can, the world of pre-Covid 19.
Sunak began his brief statement – getting to his feet at 12.38 and sitting down again at 13.03 – by claiming that the Government is “unencumbered by dogma” and “driven always by the desire to do what is right”. By which he meant that it will intervene to achieve certain goals, or try to.
These are above all “to protect, support and create jobs”. That’s to say, specifically: jobs for young people, the jobs dependent on our housing market working, jobs that come from government infrastucture spending, “green jobs” and, as we have seen, jobs in hospitality and tourism.
Some on the Right are less fussed about this exercise in picking winners, or rather survivors, than their anti-intervention rhetoric might lead one to believe. So for example, they have no objection to the temporary cut in stamp duty, wishing only that it were permanent, or that the tax might be scrapped altogether.
Ending stamp duty would be good enough in itself, but not enough by itself: in other words, it would be a thoroughly bad thing simply to seek to re-heat Britain’s loaded housing system, biased as it is in favour of those who already own property and against those who wish to do so. Stamp duty cuts should go hand in hand with planning reform.
This site is happy enough with state action to help people, whether through tax cuts or higher spending. Iain Duncan Smith’s unique contribution to public life, and that of the Centre for Social Justice which he founded, is to have grasped that a rising tide doesn’t lift all boats.
Tax cuts don’t reach those who pay no tax at all, or who are so indebted that reductions are of little use to them, or are struggling with alcohol and substance abuse, or who have left the state education system unable to read. For them, government must be the guarantor, if not necessarily the provider, of help, services and opportunities.
So in saying that he is “unencumbered by dogma”, Sunak was signalling the latest Tory retreat from Thatcherism – as it is sometimes proclaimed to be though not at all how it was always practised. Boris Johnson’s boosterism follows Theresa May’s good that government can do and David Cameron’s view that there’s such a thing as society.
It is possible that this insistence on the role of the state will itself harden into a new dogma, shaped by left-wing antipathy to civil society as well as individual freedom, that will capture all of the main political parties, damaging Britain as it does so: the prospect sketched out on this site last weekend by David Gauke.
But what concerns us more, in the wake of the Chancellor’s statement, is a more subtle, unspoken, assumed dogma: that government should work to recreate the economy that existed before Coronavirus arrived here from China. The Chancellor is a highly intelligent man, and knows that such an aim is unrealisable.
Viewing his statement was like watching a man groping his way in the dark, knowing well that the future is unreadable, trying to hold on to as much of the past as he can, and whistling as he does so – morale-raising melodies about VAT cuts, kickstart schemes, decarbonising social housing and job retention bonuses.
We like the focus on young people, are sceptical that all these green jobs will be quite what they’re cracked up to be, and believe that the tax cuts are fine as far as they go. The £30 billion cost of the programme will presumably be met largely by taking a chance of borrowing at present low interest rates.
But how impactful any of these measures turn out to be, given the Covid-19 uncertainties, no-one can possibly know, including Sunak himself – who delivered his statement with the lean, direct eloquence which which we’re becoming familiar.
It is hard to believe that he has been at the top of British politics for less than six months. Nonetheless, the Chancellor understands that what goes up, including to the top of ConHome’s Cabinet League Table, can come down.
Perhaps this is why he spoke for less than half an hour today. There was as much that wasn’t in his statement as was: it didn’t sweep across the Government’s plans for universities, or the future of railways, or rough sleepers. He was concentrating his efforts on a relatively narrow front.
“Where problems emerge, we will confront them. Where support is justified, we will provide it. Where challenges arise, we will overcome them,” he said. Behind that fabulously assured front, Sunak must surely have his doubts.


conservativehome--2020-07-08--Stamp duty cut welcome, but concerns about “tomorrow’s taxpayers”. Centre-right think tanks react to

Stamp duty cut welcome, but concerns about “tomorrow’s taxpayers”. Centre-right think tanks react to Sunak statement.

“ Stamp duty is Britain ’ s worst tax .
This temporary cut is the right move at the right time to get Britain moving .
Temporary measures to get young people work experience , to build inwork skills , are also welcome in the face of an increased minimum wage .
“ Furlough continues for a few more months but reality will hit eventually .
In the forthcoming Budget , the Chancellor should cut the cost of hiring by permanently reducing the burden of employers ’ national insurance , remove red tape like occupational licenses , and abolish the @ @ @ @ @ @ @ their futures .
“ The stimulus proposals are very questionable .
The VAT cut and subsidising restaurants will be expensive and provide limited benefit .
People aren ’ t spending on food , accommodation and attractions because of safety concerns , not lack of demand or cash.
” “ We welcome the focus on jobs and training , which is what the CPS recently called for in our report ‘ After the Virus ‘ , but the challenge will be how to support the economy as we transition to new ways of working @ @ @ @ @ @ @ can see the Government is trying to strike that balance with this package , but these measures are temporary , and will have to be paid for down the line .
This is why we would like to see the sort of long-term structural change that will maximise growth , support businesses and encourage them to create new jobs without placing the burden on the taxpayer.
” “ The chancellor announced a ‘ plan for jobs ’ but it ’ s tomorrow ’ s taxpayers who will have to work hard to pay @ @ @ @ @ @ @ jobs retention bonus will help ensure that the furlough scheme isn ’ t just an expensive pause on mass lay-offs , taxpayers will be concerned about how and when they will pay the bills for ever-more spending promises .
“ It is cheering that the chancellor appreciates the economic benefits of cutting taxes and in particular lifting the stamp duty threshold will provide a boon to the housing market .
“ That said , while easing the burden on taxpayers is always welcome , we must look at longer-term tax simplification and put @ @ @ @ @ @ @ of Economic Affairs – Professor Syed Kamall , Academic and Research Director , said : “ We are in an unprecedented situation and there remains the issue that many individuals and families are fearful of leaving their homes to resume every day activities .
The Chancellor can only do so much in terms of measures introduced to get the economy moving .
“ The cut to Stamp Duty is welcome but why isn ’ t it permanent ?
It is a destructive , regressive tax that clogs up the housing market and limits @ @ @ @ @ @ @ get the property market moving and encourage those who want to downsize as well as those looking for family houses , freeing up homes for first-time buyers .
“ It is disappointing more was not announced to encourage private investment in infrastructure – such as reopening old railways or rezoning to allow homes to be built in places being vacated by shops , such as high streets.
” “ Today ’ s Budget in-all-but-name was a £30 billion top up to a pandemic response that is approaching 10 per cent of GDP and @ @ @ @ @ @ @ this year .
“ The focus on jobs and some , but not all , hard-hit sectors was very welcome .
Kickstart jobs for young people represents a tried and tested policy , but the new Job Retention Bonus is poorly targeted at those jobs that are most at risk of being lost .
“ The Chancellor is right to focus VAT cuts on food , accommodation and attractions .
However , the lack of support for face-to-face retail means significant challenges for Britain ’ s High Streets .
The innovative meal deal @ @ @ @ @ @ @ to make a significant difference .
“ The Chancellor , having previously announced huge measures to protect household incomes , has now set out much more normal demand support for the next phase of this crisis .
That might be sufficient if the UK sees the V-shaped recovery we all hope fora .
But given that this economic crisis is likely to be with us until a vaccine is found , he should expect to be returning with further measures to support the economy in the Autumn.
” Centre for Social Justice – @ @ @ @ @ @ @ said :

Adam Smith Institute – Matthew Lesh, Head of Research, said:
“Stamp duty is Britain’s worst tax. This temporary cut is the right move at the right time to get Britain moving. Temporary measures to get young people work experience, to build inwork skills, are also welcome in the face of an increased minimum wage.
“Furlough continues for a few more months but reality will hit eventually. In the forthcoming Budget, the Chancellor should cut the cost of hiring by permanently reducing the burden of employers’ national insurance, remove red tape like occupational licenses, and abolish the factory tax to get businesses investing in their futures.
“The stimulus proposals are very questionable. The VAT cut and subsidising restaurants will be expensive and provide limited benefit. People aren’t spending on food, accommodation and attractions because of safety concerns, not lack of demand or cash.”
Centre for Policy Studies – Robert Colvile, Director, said:
“We welcome the focus on jobs and training, which is what the CPS recently called for in our report ‘After the Virus‘, but the challenge will be how to support the economy as we transition to new ways of working in a post-virus economy.
“You can see the Government is trying to strike that balance with this package, but these measures are temporary, and will have to be paid for down the line. This is why we would like to see the sort of long-term structural change that will maximise growth, support businesses and encourage them to create new jobs without placing the burden on the taxpayer.”
TaxPayers’ Alliance – John O’Connell, Chief Executive, said:
“The chancellor announced a ‘plan for jobs’ but it’s tomorrow’s taxpayers who will have to work hard to pay for it all.
“While the jobs retention bonus will help ensure that the furlough scheme isn’t just an expensive pause on mass lay-offs, taxpayers will be concerned about how and when they will pay the bills for ever-more spending promises.
“It is cheering that the chancellor appreciates the economic benefits of cutting taxes and in particular lifting the stamp duty threshold will provide a boon to the housing market.
“That said, while easing the burden on taxpayers is always welcome, we must look at longer-term tax simplification and put a stop to temporary fiddles.”
Institute of Economic Affairs – Professor Syed Kamall, Academic and Research Director, said:
“We are in an unprecedented situation and there remains the issue that many individuals and families are fearful of leaving their homes to resume every day activities. The Chancellor can only do so much in terms of measures introduced to get the economy moving.
“The cut to Stamp Duty is welcome but why isn’t it permanent? It is a destructive, regressive tax that clogs up the housing market and limits labour mobility. Making it permanent would get the property market moving and encourage those who want to downsize as well as those looking for family houses, freeing up homes for first-time buyers.
“It is disappointing more was not announced to encourage private investment in infrastructure – such as reopening old railways or rezoning to allow homes to be built in places being vacated by shops, such as high streets.”
Resolution Foundation – Torsten Bell, Chief Executive, said:
“Today’s Budget in-all-but-name was a £30 billion top up to a pandemic response that is approaching 10 per cent of GDP and will push borrowing to around £350 billion this year.
“The focus on jobs and some, but not all, hard-hit sectors was very welcome. Kickstart jobs for young people represents a tried and tested policy, but the new Job Retention Bonus is poorly targeted at those jobs that are most at risk of being lost.
“The Chancellor is right to focus VAT cuts on food, accommodation and attractions. However, the lack of support for face-to-face retail means significant challenges for Britain’s High Streets. The innovative meal deal voucher scheme is far too small scale to make a significant difference.
“The Chancellor, having previously announced huge measures to protect household incomes, has now set out much more normal demand support for the next phase of this crisis. That might be sufficient if the UK sees the V-shaped recovery we all hope fora. But given that this economic crisis is likely to be with us until a vaccine is found, he should expect to be returning with further measures to support the economy in the Autumn.”
Centre for Social Justice – Edward Davies, Director of Policy, said:


conservativehome--2020-07-08--Andrew Gimson’s Commons sketch: There is a place not just for smiles but for Samuel Smiles in the Ch

Andrew Gimson’s Commons sketch: There is a place not just for smiles but for Samuel Smiles in the Chancellor’s vision

Rishi Sunak belongs in a Spy cartoon .
He should be drawn in profile , thin , alert , dark-haired , immaculate in a sombre suit and white shirt , leaning forward slightly at the Dispatch Box , like a batsman about to play an elegant cover drive .
Behind the Chancellor of the Exchequer , at the end of the Treasury Bench , sat his captain , Boris Johnson , round , rumpled , genial , his own knockabout innings at PMQs just over , now content to watch his star player make some runs .
The Speaker , @ @ @ @ @ @ @ decreed a three-minute pause between the end of PMQs and the start of Sunak ’ s statement , so the House could rearrange itself while obeying the laws of social distancing .
The Prime Minister held good-natured exchanges with passing backbenchers , a smile put on the face of each of his fielders , a smile on his face too .
One felt one was watching a team who enjoy doing things together : an impression the media would consider it unprofessional to convey , for there the talk is always of splits @ @ @ @ @ @ @ the suggestion that he will soon take Johnson ’ s job .
The Chancellor began by announcing that the Government is “ unencumbered by dogma ” , and motivated by “ the simple desire to do what is right ” .
The Prime Minister looked on with approval .
He has a dog , but will never allow himself to become encumbered by dogma .
Sunak said that to extend the furlough scheme indefinitely would be “ irresponsible ” , for it would “ give people false hope ” .
He instead announced @ @ @ @ @ @ @ will provide traineeships for “ kickstarters ” , defined as 16 to 24-year-olds at risk of long-term unemployment .
One can kick start a motorcycle , but whether the same applies to 16 to 24-year-olds at risk of long-term unemployment is not yet clear .
The Chancellor observed that the longer one is out of work , the harder it is to return to work , so he hopes to see “ hundreds of thousands of new kickstarters ” .
After this , his statement sagged a bit .
Versions of the Green @ @ @ @ @ @ @ for decades .
As if recognising this , Sunak promised that his final measure has never been tried before .
Members of the public who go out to eat at a restaurant , cafe or pub in August will be entitled to a discount of 50 per cent off , up to a maximum of £10 per head , including children .
The Prime Minister flushed with pleasure , patted his hand on the back of the Treasury Bench , jigged his knee up and down and nodded enthusiastically .
The Chancellor had @ @ @ @ @ @ @ s face .
Here was a Merry England gimmick , cheering everyone up .
Not that Sunak wanted to get carried away .
“ I believe in the nobility of work , ” he added .
There is a place not just for smiles but for Samuel Smiles in the modern Conservative Party .
The Shadow Chancellor , Annaliese Dodds , is a vast improvement on her tricksy , self-satisfied predecessor , John McDonnell .
During her reply , she communicated complete honesty of intention as she reproached the Government for failing to @ @ @ @ @ @ @ is what most damages the economy .
According to Dodds , Johnson has claimed the mantle of Franklin D. Roosevelt because he wants to avoid being compared to FDR ’ s successor , Harry Truman , whose desk bore the famous sign , “ The buck stops here ” .
She claimed Johnson ’ s motto is “ The buck stops anywhere but here ” .
Here is Labour ’ s attack on the Prime Minister : that he wriggles out of responsibility for the grievous mistakes made in the official response to @ @ @ @ @ @ @ s desk carried another , less well-known sign , quoting some words of Mark Twain : “ Always do right .
This will gratify some people and astonish the rest .
”

Rishi Sunak belongs in a Spy cartoon. He should be drawn in profile, thin, alert, dark-haired, immaculate in a sombre suit and white shirt, leaning forward slightly at the Dispatch Box, like a batsman about to play an elegant cover drive.
Behind the Chancellor of the Exchequer, at the end of the Treasury Bench, sat his captain, Boris Johnson, round, rumpled, genial, his own knockabout innings at PMQs just over, now content to watch his star player make some runs.
The Speaker, or umpire, Sir Lindsay Hoyle, decreed a three-minute pause between the end of PMQs and the start of Sunak’s statement, so the House could rearrange itself while obeying the laws of social distancing.
The Prime Minister held good-natured exchanges with passing backbenchers, a smile put on the face of each of his fielders, a smile on his face too. One felt one was watching a team who enjoy doing things together: an impression the media would consider it unprofessional to convey, for there the talk is always of splits, and Sunak is seldom mentioned without the suggestion that he will soon take Johnson’s job.
The Chancellor began by announcing that the Government is “unencumbered by dogma”, and motivated by “the simple desire to do what is right”.
The Prime Minister looked on with approval. He has a dog, but will never allow himself to become encumbered by dogma.
Sunak said that to extend the furlough scheme indefinitely would be “irresponsible”, for it would “give people false hope”. He instead announced “the kickstart scheme”, which will provide traineeships for “kickstarters”, defined as 16 to 24-year-olds at risk of long-term unemployment.
One can kick start a motorcycle, but whether the same applies to 16 to 24-year-olds at risk of long-term unemployment is not yet clear.
The Chancellor observed that the longer one is out of work, the harder it is to return to work, so he hopes to see “hundreds of thousands of new kickstarters”.
After this, his statement sagged a bit. Versions of the Green Homes Grant have been announced every year for decades.
As if recognising this, Sunak promised that his final measure has never been tried before. Members of the public who go out to eat at a restaurant, cafe or pub in August will be entitled to a discount of 50 per cent off, up to a maximum of £10 per head, including children.
The Prime Minister flushed with pleasure, patted his hand on the back of the Treasury Bench, jigged his knee up and down and nodded enthusiastically.
The Chancellor had put a smile on his captain’s face. Here was a Merry England gimmick, cheering everyone up.
Not that Sunak wanted to get carried away. “I believe in the nobility of work,” he added. There is a place not just for smiles but for Samuel Smiles in the modern Conservative Party.
The Shadow Chancellor, Annaliese Dodds, is a vast improvement on her tricksy, self-satisfied predecessor, John McDonnell. During her reply, she communicated complete honesty of intention as she reproached the Government for failing to overcome fear of the pandemic, which is what most damages the economy.
According to Dodds, Johnson has claimed the mantle of Franklin D. Roosevelt because he wants to avoid being compared to FDR’s successor, Harry Truman, whose desk bore the famous sign, “The buck stops here”.
She claimed Johnson’s motto is “The buck stops anywhere but here”.
Here is Labour’s attack on the Prime Minister: that he wriggles out of responsibility for the grievous mistakes made in the official response to the pandemic.
Incidentally, Truman’s desk carried another, less well-known sign, quoting some words of Mark Twain: “Always do right. This will gratify some people and astonish the rest.”


conservativehome--2020-07-08--“Our plan has a clear goal: to protect, support and create jobs.” The Chancellor’s statement. Full t

“Our plan has a clear goal: to protect, support and create jobs.” The Chancellor’s statement. Full text.

“ I stood here in March saying I knew people were worried , and I know they are worried still .
We have taken decisive action to protect our economy , but people are anxious about losing their job and about unemployment rising .
We are not just going to accept that .
People need to know that we will do all we can to give everyone the opportunity of good and secure work .
People need to know that although hardship lies ahead , no one will be left without hope .
So today , we act with a @ @ @ @ @ @ @ a clear goal : to protect , support and create jobs .
It will give businesses the confidence to retain and hire , to create jobs in every part of our country , to give young people a better start and to give people everywhere the opportunity of a fresh start .
Where problems emerge , we will confront them .
Where support is justified , we will provide it .
Where challenges arise , we will overcome them .
We entered this crisis unencumbered by dogma and we continue in that spirit @ @ @ @ @ @ @ to do what is right .
Before I turn to our plan for jobs , let me first outline the nature of the challenge .
Our economic response to coronavirus is moving through three phases .
In the first phase , beginning in March , the Government announced social distancing measures and ordered businesses to close , halting the spread of the disease .
We put in place one of the largest and most comprehensive economic responses in the world .
Our £160 billion plan protects people ’ s jobs , incomes and @ @ @ @ @ @ @ million people and jobs through the job retention and self-employment schemes , alongside billions of pounds for the most vulnerable .
We supported over 1 million businesses to protect jobs through tax cuts , tax deferrals , direct cash grants and over 1 million Government-backed loans .
And we supported public services , with new funding for the NHS , schools , public transport and local authorities .
In total , we have now provided £49 billion to support public services since this crisis began .
Analysis I am publishing today shows our @ @ @ @ @ @ @ , with the least well off in society supported the most , and this crisis has highlighted the special bond which holds our country together .
Millions of people in Scotland , Wales and Northern Ireland have been protected by the UK Government ’ s economic interventions , and they will be supported by today ’ s plan for jobs .
No nationalist can ignore the undeniable truth : this help has only been possible because we are a United Kingdom .
Four months on , as we carefully reopen our economy , @ @ @ @ @ @ @ our economic response .
Despite the extraordinary support we have already provided , we face profound economic challenges .
World economic activity has slowed , with the International Monetary Fund expecting the deepest global recession since records began .
Household consumption—the biggest component of our economy—has fallen steeply .
Businesses have stopped trading and stopped hiring .
Taken together , in just two months our economy contracted by 25 % , the same amount that it grew by in the previous 18 years .
And the independent Office for Budget Responsibility and Bank @ @ @ @ @ @ @ losses , the most urgent challenge we now face .
I want every person in this House and in the country to know that I will never accept unemployment as an unavoidable outcome .
We have not done everything we have so far just to step back now and say , “ Job done.
” In truth , the job has only just begun .
If the first phase of our economic response was about protection and the second phase—the phase we are addressing today—is about jobs , there will come a third @ @ @ @ @ @ @ My right hon .
Friend the Prime Minister has set out our vision to level up , unite the country , spread opportunity , and repair and heal the wounds exposed through this crisis .
I can tell the House that we will produce a Budget and spending review in the autumn .
And we will deal , too , with the challenges facing our public finances .
Over the medium term , we must , and we will , put our public finances back on a sustainable footing .
In other words @ @ @ @ @ @ @ be the last action , but is merely the next , in our fight to recover and rebuild after coronavirus .
Let me now turn to the detail of our plan for jobs .
Central to our economic response has been the jobs retention scheme .
Furlough has been a lifeline for millions , supporting people and businesses to protect jobs , but it can not , and should not , go on forever .
I know that when furlough ends it will be a difficult moment .
I am also sure that @ @ @ @ @ @ @ in October , critics will say it should end in November .
If I say it should end in November , critics will just say December .
But the truth is , calling for endless extensions to the furlough is just as irresponsible as it would have been , back in June , to end the scheme overnight .
We have to be honest : leaving the furlough scheme open forever gives people false hope that it will always be possible to return to the jobs they had before .
The longer people @ @ @ @ @ @ @ it is that their skills will fade , and they will find it harder to get new opportunities .
It is in no one ’ s long-term interests for the scheme to continue forever , least of all those trapped in a job that can exist only because of Government subsidy .
So the furlough will wind down , flexibly and gradually , supporting businesses and people through to October .
While we can not protect every job , one of the most important things we can do to prevent unemployment is to @ @ @ @ @ @ @ furlough back to their jobs .
So , today , we are introducing a new policy to reward and incentivise employers who successfully bring furloughed staff back—a new jobs retention bonus .
If you are an employer and you bring back someone who was furloughed , and you continuously employ them through to January , we will pay you a £1,000 bonus per employee .
It is vital that people are not just returning for the sake of it ; they need to be doing decent work .
For businesses to get the @ @ @ @ @ @ @ at least £520 , on average , in each month from November to January , the equivalent of the lower earnings limit in national insurance .
The House should understand the significance of this policy .
We will pay the bonus for all furloughed employees .
So if employers bring back all 9 million people who have been furloughed , that would be a £9 billion policy to retain people in work .
Our message to business is clear : if you stand by your workers , we will stand by you .
@ @ @ @ @ @ @ support people through the first phase of this crisis , but now , in this new phase , we need to evolve our approach .
Today , I want to set out for the House a new three-point plan for jobs .
We need to : first , support people to find jobs ; secondly , create jobs ; and , thirdly , protect jobs .
Let me start with supporting jobs , in particular the help we want to provide for those who will be hardest hit by this crisis : younger @ @ @ @ @ @ @ education this year .
Many more are just starting out in their careers .
Coronavirus has hit them hard—under-25s are two and a half times as likely to work in a sector that has been closed .
We can not lose that generation , so today I am announcing the kick-start scheme , a new programme to give hundreds of thousands of young people in every region and every nation of Britain the best possible chance of getting on and getting a job .
The kick-start scheme will pay employers directly to create @ @ @ @ @ @ @ at risk of long-term unemployment .
These will be new jobs , with the funding conditional on the firm proving that the jobs are additional .
These will be decent jobs , with a minimum of 25 hours per week paid at least the national minimum wage , and they will be good-quality jobs , with employers providing kick-starters with training and support to find a permanent job .
If employers meet those conditions , we will pay young people ’ s wages for six months , plus an amount to cover overheads @ @ @ @ @ @ @ the grant will be around £6,500 .
Employers can apply to be part of the scheme from next month , with the first kick-starters in their new jobs this autumn .
I urge every employer , big or small , national or local , to hire as many kick-starters as possible .
Today , I am making available an initial £2 billion , enough to fund hundreds of thousands of jobs , and I commit : there will be no cap on the number of places available .
We can do more for @ @ @ @ @ @ @ scheme to get young people ready for work , and we know they work , so for the first time ever we will pay employers £1,000 to take on new trainees , with triple the number of places .
What is more , to help 18 to 19-year-olds leaving school or college to find work in high-demand sectors , such as engineering , construction and social care , we will provide £100 million to create more places on level 2 and 3 courses .
The evidence says that careers advice works , too @ @ @ @ @ @ @ with enough new careers advisers to support over a quarter of a million more people .
We will also expand our universal skills offer .
Sector-based work academies provide training , work placements and a guaranteed job interview in high-demand sectors , and the evidence shows they work , so we will expand them , by tripling the number of places .
We know that apprenticeships work , too , with 91 % of apprentices staying in work or doing further training afterwards , so for the next six months we will pay @ @ @ @ @ @ @ will pay businesses to hire young apprentices , with a new payment of £2,000 per apprentice , and introduce a brand new bonus for businesses to hire apprentices aged 25 and over , with a payment of £1,500 .
I thank my right hon .
Friend the Education Secretary for his support and commitment in developing these measures .
We know that the longer someone is out of work , the harder it is for them to return .
Millions of people are moving on to universal credit and need urgent support to @ @ @ @ @ @ @ are doubling the number of work coaches in jobcentres , increasing the flexible support fund , extending the rapid response service , expanding the work and health programme , and developing a new scheme to support the long-term unemployed .
The academic and economic evidence tells us these are among the most effective things we can do .
For that reason , I am investing an extra £1.2 billion in the Department for Work and Pensions to support millions of people back to work , and I am grateful for everything my right @ @ @ @ @ @ @ Secretary and her incredible team have done .
I am talking about £1 billion of support for the unemployed , more money for skills , traineeships , apprenticeships , and a new , good-quality job for hundreds of thousands of new kick-starters .
That is the first part of our plan for jobs .
The second part of our plan is to support job creation , and that begins with historic investment in infrastructure to create jobs in every region and nation of the UK .
At the Budget , I announced £88 @ @ @ @ @ @ @ and last week the Prime Minister announced our plans to accelerate £5 billion of additional investment projects .
We are doubling down on our ambition to level up , with better roads , better schools , better hospitals and better high streets , creating jobs in all four corners of the country .
As well as investing in infrastructure , we want to create green jobs .
This will be a green recovery , with concern for our environment at its heart , and as part of that , I am announcing today @ @ @ @ @ @ @ .
From September , homeowners and landlords will be able to apply for vouchers to make their homes more energy efficient and create local jobs .
The grants will cover at least two thirds of the cost—up to £5,000 per household—and for low-income households we will go even further , with vouchers covering the full cost , up to £10,000 .
On top of the £2 billion voucher scheme , I am releasing £1 billion of funding to improve the energy efficiency of public sector buildings , alongside a £50 million fund to @ @ @ @ @ @ @ housing .
Taken together , we expect these measures to make more than 650,000 homes more energy efficient ; to save households up to £300 a year on their bills ; to cut carbon by more than half a megatonne per year—equivalent to taking 270,000 cars off the road ; and , most importantly right now , to support around 140,000 green jobs .
A £3 billion green jobs plan to save money , cut carbon and create jobs .
One of the most important sectors for job creation is housing .
The @ @ @ @ @ @ @ to the UK economy .
House building alone supports nearly three quarters of a million jobs , with millions more relying on the availability of housing to find work .
But property transactions fell by 50 % in May .
House prices have fallen for the first time in eight years and uncertainty abounds in the market—a market we need to be thriving .
We need people feeling confident—confident to buy , sell , renovate , move and improve .
That will drive growth .
That will create jobs .
So to catalyse @ @ @ @ @ @ @ I have decided today to cut stamp duty .
Right now , there is no stamp duty on transactions below £125,000 .
Today , I am increasing the threshold to half a million pounds .
This will be a temporary cut running until 31 March next year , and , as is always the case , these changes to stamp duty will take effect immediately .
The average stamp duty bill will fall by £4,500 and nearly nine out of 10 people buying a main home this year will pay no stamp duty @ @ @ @ @ @ @ a £5,000 green homes grant and tens of billions of pounds of new capital projects—we are creating jobs : the second part of our plan for jobs .
The final part of our plan will protect jobs that already exist by helping some of our highest-employing but hardest-hit sectors : hospitality and tourism .
Our economy relies on consumption , especially social consumption : the pubs , cafés , restaurants , hotels and B & Bs that bring life to our villages , towns and cities .
Taken together , these sectors employ @ @ @ @ @ @ @ and people from black , Asian and minority ethnic communities .
Many rural and coastal communities rely on these industries .
Some 80 % of hospitality firms temporarily stopped trading in April and 1.4 million workers have been furloughed—the highest proportions of any sector .
So the best jobs programme we can do is to restart these sectors and get our pubs , restaurants , cafés and B & Bs bustling again .
I know people are cautious about going out , but we would not have lifted the restrictions if we did @ @ @ @ @ @ @ .
I have seen in the last few weeks how hard businesses are working to make their premises safe , and if we follow the guidance and respect what they ask us to do , we can all enjoy summer safely .
In turn , we need to give these businesses the confidence to know that if they open up , invest in making their premises safe and protect jobs , demand will be there—and be there quickly .
So today , I am announcing two new measures to get these sectors moving @ @ @ @ @ @ @ the moment , VAT on hospitality and tourism is charged at 20 % , so I have decided , for the next six months , to cut VAT on food , accommodation and attractions .
Eat-in or hot takeaway food from restaurants , cafés and pubs ; accommodation in hotels , B & Bs , campsites and caravan sites ; attractions like cinemas , theme parks and zoos—all these and more will see VAT reduced , from next Wednesday until 12 January , from 20 % to 5 % .
This is a @ @ @ @ @ @ @ tourism sectors , benefiting over 150,000 businesses and consumers everywhere—all helping to protect 2.4 million jobs .
But we will go further .
The final measure I am announcing today has never been tried in the UK before .
This moment is unique .
We need to be creative .
So , to get customers back into restaurants , cafés and pubs and protect the 1.8 million people who work in them , I can announce today that , for the month of August , we will give everyone in the country an @ @ @ @ @ @ @ participating business , Monday to Wednesday , will be 50 % off , up to a maximum discount of £10 per head for everyone , including children .
Businesses will need to register and can do so through a simple website , open next Monday .
Each week in August , businesses can then claim the money back , with the funds in their bank account within five working days .
Some 1.8 million people work in this industry .
They need our support , and with this measure , we can all @ @ @ @ @ @ @ VAT cut to 5 % and a first-of-its-kind Government-backed discount for all—that is the third part of our plan for jobs .
A £1,000 jobs retention bonus ; new , high-quality jobs for hundreds of thousands of young kick-starters ; £1 billion to double the number of work coaches and support the unemployed ; more apprenticeships , more traineeships and more skills funding ; billions of pounds for new job creation projects across the country ; a £3 billion plan to support 140,000 green jobs ; and , in this vital period , @ @ @ @ @ @ @ cut , stamp duty cut and meals out cut—all part of our plan for jobs worth up to £30 billion .
Governments , much less people , rarely get to choose the moments that define them .
What choice there is comes in how we respond .
For me , this has never just been a question of economics , but of values .
I believe in the nobility of work .
I believe in the inspiring power of opportunity .
I believe in the British people ’ s fortitude and endurance .
@ @ @ @ @ @ @ , more than any other that we need to embody now—a patience to live with the uncertainty of the moment and to find that new balance between safety and normality .
We will not be defined by this crisis but by our response to it .
It is an unambiguous choice to make this moment meaningful for our country in a way that transcends the frustration and loss of recent months .
It is a plan to turn our national recovery into millions of stories of personal renewal .
It is our plan @ @ @ @ @ @ @ to this House .
”

“I stood here in March saying I knew people were worried, and I know they are worried still. We have taken decisive action to protect our economy, but people are anxious about losing their job and about unemployment rising. We are not just going to accept that. People need to know that we will do all we can to give everyone the opportunity of good and secure work. People need to know that although hardship lies ahead, no one will be left without hope. So today, we act with a plan for jobs. Our plan has a clear goal: to protect, support and create jobs. It will give businesses the confidence to retain and hire, to create jobs in every part of our country, to give young people a better start and to give people everywhere the opportunity of a fresh start. Where problems emerge, we will confront them. Where support is justified, we will provide it. Where challenges arise, we will overcome them. We entered this crisis unencumbered by dogma and we continue in that spirit, driven always by the simple desire to do what is right.
Before I turn to our plan for jobs, let me first outline the nature of the challenge. Our economic response to coronavirus is moving through three phases. In the first phase, beginning in March, the Government announced social distancing measures and ordered businesses to close, halting the spread of the disease. We put in place one of the largest and most comprehensive economic responses in the world. Our £160 billion plan protects people’s jobs, incomes and businesses. We supported more than 11 million people and jobs through the job retention and self-employment schemes, alongside billions of pounds for the most vulnerable. We supported over 1 million businesses to protect jobs through tax cuts, tax deferrals, direct cash grants and over 1 million Government-backed loans. And we supported public services, with new funding for the NHS, schools, public transport and local authorities. In total, we have now provided £49 billion to support public services since this crisis began.
Analysis I am publishing today shows our interventions significantly protected people’s incomes, with the least well off in society supported the most, and this crisis has highlighted the special bond which holds our country together. Millions of people in Scotland, Wales and Northern Ireland have been protected by the UK Government’s economic interventions, and they will be supported by today’s plan for jobs. No nationalist can ignore the undeniable truth: this help has only been possible because we are a United Kingdom.
Four months on, as we carefully reopen our economy, we are entering the second phase of our economic response. Despite the extraordinary support we have already provided, we face profound economic challenges. World economic activity has slowed, with the International Monetary Fund expecting the deepest global recession since records began. Household consumption—the biggest component of our economy—has fallen steeply. Businesses have stopped trading and stopped hiring. Taken together, in just two months our economy contracted by 25%, the same amount that it grew by in the previous 18 years. And the independent Office for Budget Responsibility and Bank of England are both projecting significant job losses, the most urgent challenge we now face. I want every person in this House and in the country to know that I will never accept unemployment as an unavoidable outcome. We have not done everything we have so far just to step back now and say, “Job done.” In truth, the job has only just begun.
If the first phase of our economic response was about protection and the second phase—the phase we are addressing today—is about jobs, there will come a third phase, where we will rebuild. My right hon. Friend the Prime Minister has set out our vision to level up, unite the country, spread opportunity, and repair and heal the wounds exposed through this crisis. I can tell the House that we will produce a Budget and spending review in the autumn.
And we will deal, too, with the challenges facing our public finances. Over the medium term, we must, and we will, put our public finances back on a sustainable footing. In other words, our plan for jobs will not be the last action, but is merely the next, in our fight to recover and rebuild after coronavirus.
Let me now turn to the detail of our plan for jobs. Central to our economic response has been the jobs retention scheme. Furlough has been a lifeline for millions, supporting people and businesses to protect jobs, but it cannot, and should not, go on forever. I know that when furlough ends it will be a difficult moment. I am also sure that if I say the scheme must end in October, critics will say it should end in November.
If I say it should end in November, critics will just say December. But the truth is, calling for endless extensions to the furlough is just as irresponsible as it would have been, back in June, to end the scheme overnight.
We have to be honest: leaving the furlough scheme open forever gives people false hope that it will always be possible to return to the jobs they had before. The longer people are on furlough, the more likely it is that their skills will fade, and they will find it harder to get new opportunities. It is in no one’s long-term interests for the scheme to continue forever, least of all those trapped in a job that can exist only because of Government subsidy. So the furlough will wind down, flexibly and gradually, supporting businesses and people through to October.
While we cannot protect every job, one of the most important things we can do to prevent unemployment is to get as many people as possible from furlough back to their jobs. So, today, we are introducing a new policy to reward and incentivise employers who successfully bring furloughed staff back—a new jobs retention bonus.
If you are an employer and you bring back someone who was furloughed, and you continuously employ them through to January, we will pay you a £1,000 bonus per employee. It is vital that people are not just returning for the sake of it; they need to be doing decent work. For businesses to get the bonus, the employee must be paid at least £520, on average, in each month from November to January, the equivalent of the lower earnings limit in national insurance.
The House should understand the significance of this policy. We will pay the bonus for all furloughed employees. So if employers bring back all 9 million people who have been furloughed, that would be a £9 billion policy to retain people in work. Our message to business is clear: if you stand by your workers, we will stand by you.
The furlough was the right policy to support people through the first phase of this crisis, but now, in this new phase, we need to evolve our approach. Today, I want to set out for the House a new three-point plan for jobs. We need to: first, support people to find jobs; secondly, create jobs; and, thirdly, protect jobs.
Let me start with supporting jobs, in particular the help we want to provide for those who will be hardest hit by this crisis: younger people. Over 700,000 people are leaving education this year. Many more are just starting out in their careers. Coronavirus has hit them hard—under-25s are two and a half times as likely to work in a sector that has been closed.
We cannot lose that generation, so today I am announcing the kick-start scheme, a new programme to give hundreds of thousands of young people in every region and every nation of Britain the best possible chance of getting on and getting a job. The kick-start scheme will pay employers directly to create new jobs for any 16 to 24-year-old at risk of long-term unemployment. These will be new jobs, with the funding conditional on the firm proving that the jobs are additional. These will be decent jobs, with a minimum of 25 hours per week paid at least the national minimum wage, and they will be good-quality jobs, with employers providing kick-starters with training and support to find a permanent job.
If employers meet those conditions, we will pay young people’s wages for six months, plus an amount to cover overheads. That means, for a 24-year-old the grant will be around £6,500. Employers can apply to be part of the scheme from next month, with the first kick-starters in their new jobs this autumn. I urge every employer, big or small, national or local, to hire as many kick-starters as possible. Today, I am making available an initial £2 billion, enough to fund hundreds of thousands of jobs, and I commit: there will be no cap on the number of places available.
We can do more for young people. Traineeships are a proven scheme to get young people ready for work, and we know they work, so for the first time ever we will pay employers £1,000 to take on new trainees, with triple the number of places. What is more, to help 18 to 19-year-olds leaving school or college to find work in high-demand sectors, such as engineering, construction and social care, we will provide £100 million to create more places on level 2 and 3 courses.
The evidence says that careers advice works, too, so we will fund it, with enough new careers advisers to support over a quarter of a million more people. We will also expand our universal skills offer. Sector-based work academies provide training, work placements and a guaranteed job interview in high-demand sectors, and the evidence shows they work, so we will expand them, by tripling the number of places.
We know that apprenticeships work, too, with 91% of apprentices staying in work or doing further training afterwards, so for the next six months we will pay employers to create new apprenticeships. We will pay businesses to hire young apprentices, with a new payment of £2,000 per apprentice, and introduce a brand new bonus for businesses to hire apprentices aged 25 and over, with a payment of £1,500. I thank my right hon. Friend the Education Secretary for his support and commitment in developing these measures.
We know that the longer someone is out of work, the harder it is for them to return. Millions of people are moving on to universal credit and need urgent support to get back to work, so we are doubling the number of work coaches in jobcentres, increasing the flexible support fund, extending the rapid response service, expanding the work and health programme, and developing a new scheme to support the long-term unemployed. The academic and economic evidence tells us these are among the most effective things we can do.
For that reason, I am investing an extra £1.2 billion in the Department for Work and Pensions to support millions of people back to work, and I am grateful for everything my right hon. Friend the Work and Pensions Secretary and her incredible team have done. I am talking about £1 billion of support for the unemployed, more money for skills, traineeships, apprenticeships, and a new, good-quality job for hundreds of thousands of new kick-starters. That is the first part of our plan for jobs.
The second part of our plan is to support job creation, and that begins with historic investment in infrastructure to create jobs in every region and nation of the UK. At the Budget, I announced £88 billion of capital funding this year, and last week the Prime Minister announced our plans to accelerate £5 billion of additional investment projects. We are doubling down on our ambition to level up, with better roads, better schools, better hospitals and better high streets, creating jobs in all four corners of the country.
As well as investing in infrastructure, we want to create green jobs. This will be a green recovery, with concern for our environment at its heart, and as part of that, I am announcing today a new £2 billion green homes grant. From September, homeowners and landlords will be able to apply for vouchers to make their homes more energy efficient and create local jobs. The grants will cover at least two thirds of the cost—up to £5,000 per household—and for low-income households we will go even further, with vouchers covering the full cost, up to £10,000.
On top of the £2 billion voucher scheme, I am releasing £1 billion of funding to improve the energy efficiency of public sector buildings, alongside a £50 million fund to pilot the right approach to decarbonise social housing. Taken together, we expect these measures to make more than 650,000 homes more energy efficient; to save households up to £300 a year on their bills; to cut carbon by more than half a megatonne per year—equivalent to taking 270,000 cars off the road; and, most importantly right now, to support around 140,000 green jobs. A £3 billion green jobs plan to save money, cut carbon and create jobs.
One of the most important sectors for job creation is housing. The construction sector adds £39 billion a year to the UK economy. House building alone supports nearly three quarters of a million jobs, with millions more relying on the availability of housing to find work. But property transactions fell by 50% in May. House prices have fallen for the first time in eight years and uncertainty abounds in the market—a market we need to be thriving. We need people feeling confident—confident to buy, sell, renovate, move and improve. That will drive growth. That will create jobs. So to catalyse the housing market and boost confidence, I have decided today to cut stamp duty.
Right now, there is no stamp duty on transactions below £125,000. Today, I am increasing the threshold to half a million pounds. This will be a temporary cut running until 31 March next year, and, as is always the case, these changes to stamp duty will take effect immediately. The average stamp duty bill will fall by £4,500 and nearly nine out of 10 people buying a main home this year will pay no stamp duty at all. Stamp duty cuts, a £5,000 green homes grant and tens of billions of pounds of new capital projects—we are creating jobs: the second part of our plan for jobs.
The final part of our plan will protect jobs that already exist by helping some of our highest-employing but hardest-hit sectors: hospitality and tourism. Our economy relies on consumption, especially social consumption: the pubs, cafés, restaurants, hotels and B&Bs that bring life to our villages, towns and cities. Taken together, these sectors employ over 2 million people—disproportionately younger, women and people from black, Asian and minority ethnic communities. Many rural and coastal communities rely on these industries. Some 80% of hospitality firms temporarily stopped trading in April and 1.4 million workers have been furloughed—the highest proportions of any sector. So the best jobs programme we can do is to restart these sectors and get our pubs, restaurants, cafés and B&Bs bustling again.
I know people are cautious about going out, but we would not have lifted the restrictions if we did not think we could do so safely. I have seen in the last few weeks how hard businesses are working to make their premises safe, and if we follow the guidance and respect what they ask us to do, we can all enjoy summer safely. In turn, we need to give these businesses the confidence to know that if they open up, invest in making their premises safe and protect jobs, demand will be there—and be there quickly. So today, I am announcing two new measures to get these sectors moving and protect jobs.
First, at the moment, VAT on hospitality and tourism is charged at 20%, so I have decided, for the next six months, to cut VAT on food, accommodation and attractions. Eat-in or hot takeaway food from restaurants, cafés and pubs; accommodation in hotels, B&Bs, campsites and caravan sites; attractions like cinemas, theme parks and zoos—all these and more will see VAT reduced, from next Wednesday until 12 January, from 20% to 5%. This is a £4 billion catalyst for the hospitality and tourism sectors, benefiting over 150,000 businesses and consumers everywhere—all helping to protect 2.4 million jobs.
But we will go further. The final measure I am announcing today has never been tried in the UK before. This moment is unique. We need to be creative. So, to get customers back into restaurants, cafés and pubs and protect the 1.8 million people who work in them, I can announce today that, for the month of August, we will give everyone in the country an eat-out-to-help-out discount. Meals eaten at any participating business, Monday to Wednesday, will be 50% off, up to a maximum discount of £10 per head for everyone, including children. Businesses will need to register and can do so through a simple website, open next Monday. Each week in August, businesses can then claim the money back, with the funds in their bank account within five working days. Some 1.8 million people work in this industry. They need our support, and with this measure, we can all eat out to help out. A VAT cut to 5% and a first-of-its-kind Government-backed discount for all—that is the third part of our plan for jobs.
A £1,000 jobs retention bonus; new, high-quality jobs for hundreds of thousands of young kick-starters; £1 billion to double the number of work coaches and support the unemployed; more apprenticeships, more traineeships and more skills funding; billions of pounds for new job creation projects across the country; a £3 billion plan to support 140,000 green jobs; and, in this vital period, as we get going again, VAT cut, stamp duty cut and meals out cut—all part of our plan for jobs worth up to £30 billion.
Governments, much less people, rarely get to choose the moments that define them. What choice there is comes in how we respond. For me, this has never just been a question of economics, but of values. I believe in the nobility of work. I believe in the inspiring power of opportunity. I believe in the British people’s fortitude and endurance. And it is that value, endurance, more than any other that we need to embody now—a patience to live with the uncertainty of the moment and to find that new balance between safety and normality. We will not be defined by this crisis but by our response to it. It is an unambiguous choice to make this moment meaningful for our country in a way that transcends the frustration and loss of recent months. It is a plan to turn our national recovery into millions of stories of personal renewal. It is our plan for jobs, and I commend it to this House.”