As we have reopened our economy since the last lockdown, we have continued to provide extensive support through our £400 billion plan for jobs, protecting businesses, families and individuals. I am pleased to say that the early data on household incomes, employment, corporate insolvencies and consumer and business confidence all show that our plan for jobs is working.
Following the Treasury’s announcement of compensation to cover up to 80% of the losses of holders of mini-bonds with London Capital & Finance, will the Chancellor now also act to provide full compensation to the victims of another scandal, the collapse of Equitable Life? The vast majority have received just 22% of their losses.
I can assure not just my hon. Friend, but Keith and Dave from the Titanic brewery, that we have consulted industry on the prospect of such a lower rate as part of our ongoing alcohol duty review. The team and my right hon. Friend the Financial Secretary are working closely with HMRC to further understand the practicalities and the cost of the proposals; we will provide further updates in due course. My hon. Friend is right about securing hospitality in the meantime. The temporary VAT cut, the business rates holiday and, indeed, freezing beer duty at the last two Budgets are all helping in the short term.
Thank you, Mr Speaker.
Whether on social care, on Northern Powerhouse Rail or on tackling climate breakdown, there is a growing gap with this Government between what is promised and what is actually delivered. The Treasury’s response to the net zero review was first due to be published in autumn last year, yet it is nowhere to be seen. The COP26 climate summit begins in November. While the UK is hosting, the Government cannot lead with authority, because the fact is that we cannot have a climate strategy without a sustainable economic plan behind it. Will the Chancellor please tell the House on what date he will publish the final report of the net zero review?
The net zero report will of course be published imminently, but the hon. Lady talked about last autumn. Last autumn, the Prime Minister published the green 10-point plan, perhaps the most comprehensive plan from any Government anywhere in the world, on how we will meet our net zero ambitions. Contained within that plan was £12 billion of new investment, creating probably a quarter of a million jobs when all is said and done, ensuring our leadership in industries such as offshore wind and creating jobs in places such as Teesside and Humberside, which is important to the future prosperity of this country, so I think we are doing a great job of getting on with meeting our climate ambitions and demonstrating leadership to the world.
Then why not publish the net zero review, Chancellor? When it comes to this Government’s net zero strategy, tomorrow never comes. There is no time to waste, because it is the responsibility of all of us to hand on to our children and grandchildren a more sustainable planet, creating new opportunities for our pioneering British industries and investing today in the jobs of the future, whether in hydrogen, tidal energy or electric vehicles, to ensure the fair and just transition that we need to see. So, as the Chancellor still cannot give a date, months after the event, for when he will publish his final report on the net zero review, will he commit to ensuring that our net zero carbon targets are hard-wired through the forthcoming spending review, as I would do as Chancellor?
Meeting our climate ambitions is obviously at the heart of everything that the Government are doing. The hon. Lady talked about sectors where we should show leadership: I have just talked about offshore wind, and we can keep going, with electric vehicles. This country now has more rapid charging points per mile than any country in Europe other than Norway, and we are doing more.[Official Report, 28 June 2021, Vol. 698, c. 3MC.] She talked about showing leadership: as the Financial Secretary to the Treasury, my right hon. Friend the Member for Hereford and South Herefordshire (Jesse Norman) reminds me, we recently published the Dasgupta review, which is a groundbreaking piece of work on tackling biodiversity. She talked about infrastructure: we launched the UK Infrastructure Bank just last week, not a million miles away from her in Leeds, the home of the infrastructure revolution. And at the G7 summit that I recently hosted, we reached a landmark global agreement to get the G7 to agree to mandatory climate disclosures, because, much as she would like us to, this Government alone cannot solve all these problems. The private sector will have to play its part, which is why climate disclosures across the world would help to unlock billions in private capital to help us to meet our climate ambitions.
My hon. Friend is absolutely right, and I briefly pay tribute to him for his work last week on tech net zero. We launched the UK Infrastructure Bank last week in Leeds. Capitalised with £12 billion from the Government, it will unlock £40 billion of investment into tackling both levelling up and our net zero ambitions, and the team there are fantastic. I want to take this opportunity to say an enormous thank you to Chris Grigg for his superb leadership. It is brilliant that we can attract people of his calibre to lead these organisations, and I feel very confident about the UK Infrastructure Bank’s future progress.
Concerns have been raised that the narrow criteria of the Business Banking Resolution Service have left far too many ineligible, and also that not enough banks are participating in the scheme. With many businesses now at risk with covid-19 debt, can the Minister tell me what he intends to do about the situation?
The hon. Lady is right in the sense that many businesses have taken on debt to get through the crisis, which is why we have implemented something called Pay as You Grow. More than 1 million businesses took bounce back loans, and they now have the ability, at their option, to turn those loans instantly into 10-year loans, doubling the term and reducing their monthly payments by around half, and to take further six-months holidays or interest-only repayment periods. They can take any of those options and it will not have any impact on their credit score, because we recognise the burdens on cash flow and we want to do our bit to ease them and support our recovery.
Of course, local taxation in Wales is a matter for the Welsh Government. The UK Government’s primary focus, as my hon. Friend will be aware, has been on supporting recovery from the pandemic, and we recognise that the tourism sector has been particularly hard hit. That is exactly why we have provided more than £7 billion so far through the reduced VAT rate for the hospitality, accommodation and attraction industries across the UK; it is why we have extended the reduced rate until 30 September 2021; and it is why we have put in place a much wider array of support as we come out and play it long in relation to the pandemic.
My hon. Friend is right to highlight the importance of the youth investment fund. It was a manifesto commitment and it is due to launch in the coming months. He will recall that at the spending review 2020 we allocated some funding to inform pilots, as we shape that launch.
The hon. Gentleman will know, as we have discussed it on many occasions, how we have absolutely bent over backwards to attempt to include as many people as possible and have leant into considerable discussion, both with excluded groups and with other related groups. As he will know, it is not a single picture; different groups are not included for different reasons. As a result, we have in part been able to evolve and extend the programmes, and he will be aware that we did so in the last iteration of the self-employed scheme.
My hon. Friend is absolutely right to say that the Government will need to ensure that revenue from motoring taxes keeps pace with the change away from petrol and diesel vehicles so that we can continue to fund infrastructure such as the A3, which she mentions. I am sure that colleagues in the Department for Transport can speak about her petition specifically, but I would like to reassure her and her constituents that this Government will continue to focus on record, unprecedented investment in the strategic roads network over this Parliament, through the £27.5 billion road investment strategy, which will deliver about 70 major upgrades.
It is absolutely clear that there are significant lessons for the FCA to learn from the Gloster review, and I have regular conversations, including just last week, with the new chief executive on the transformation programme. He has employed five new senior executives to drive that programme forward urgently, and I look forward to seeing the results of that intervention.
My hon. Friend rightly recognises the value of the TIGRR report, which we received last week, and we will be looking very carefully at those recommendations. In addition, my right hon. Friend the Chancellor chairs the better regulation committee, which has been established to drive forward a new strategy to deliver better regulation outside the EU. There is a lot of work to be done, but progress is being made.
The hon. Lady will be aware that the Government have made available to local authorities, initially at least, £1.5 billion and a further top-up sum, in order precisely to meet hard cases that may fall between the cracks of the very wide-ranging support that we have given otherwise. I strongly encourage her constituent to talk to her local authority about that funding.
I understand my hon. Friend’s frustration. He will know from the announcement at the Budget that the prospectus set out the process, the types of projects, and indeed how bids will be assessed. To reassure him, there will be further opportunities for local authorities to submit bids to the fund. One of the things that we are encouraging those local authorities to do is to work with elected Members of Parliament in the shaping of those bids, and I hope that they will now take the opportunity to do so.
The hon. Lady talked about outcomes in the labour market. She will know that we have now had six consecutive months of more people in work, which is something to be celebrated. Vacancies are now running higher than they were at the start of the pandemic, which is a fantastic sign of things to come. The unemployment rate, as I highlighted earlier, is now half what was forecast: 2 million fewer people are forecast to lose their jobs, which is lower than most of our major competitor countries. She is right to highlight, as we have discussed previously, the plight of young people. Our interventions, such as the kickstart scheme and the apprenticeship incentive, will continue to provide opportunity for them up and down the country.
I congratulate Elddis, and I congratulate my hon. Friend on giving Elddis profile, on fighting the campaign that he has, and on the outcome and its very successful results in this case. I have it on very good authority that the Chancellor would be delighted to visit Elddis, so I am in a position to make a binding commitment from the Government side, and I am sure that he looks forward to it very much.