Part of the debate – in the House of Commons am 6:09 pm ar 22 Gorffennaf 2024.
I detect a bit of surprise on the Government Benches. I have risen to speak on scrapping the cap. In the grand tapestry of British politics, where the warp and weft of policy and principle interlace, it is not often that a Conservative MP will find threads of agreement with friends across the aisle, but here we are, discussing a proposal backed by Labour MPs, led by Kim Johnson and backed by the Liberal Democrats, the Scottish National party and many Opposition parties. It is one with which I agree, because it speaks to my profound sense of justice and, dare I say, compassion. I will say why Conservatives can and should back scrapping the cap.
Let us not rewrite history, because there has been a lot of nonsense from Labour Front Benchers about the situation that we inherited in 2010. To put it simply, we inherited no less than an economic catastrophe, and we worked hard to recover from that situation. The deficit stood at 10% in 2010; we got that down to 1.9%. Public sector net borrowing was at 10%; we got that down to 3%. We were in a deep recession, and we now have the fastest growing economy in the G7.
We had to make incredibly difficult decisions back in 2010 to reduce our welfare bill, but it is clear to me that through those welfare reforms, spearheaded by my right hon. Friend Sir Iain Duncan Smith, we overhauled an overly complex, bureaucratic system, and helped millions of people get back into work. Four million more people are in work now than in 2010. The unemployment rate is down to 4.4%—almost half what it was in 2010. We can make changes to some of the decisions that we made back then.
It is clear to me from my work with vulnerable families in Fareham that the cap is not working. It is pushing more children and families into relative poverty, causing them to use more food banks. There are three good reasons for scrapping the cap.