Derbyshire MPs believe Government’s Autumn Budget will support economic security

The Labour MPs including Chesterfield’s Toby Perkins, North East Derbyshire’s Louise Jones, Bolsover’s Natalie Fleet and Erewash’s Adam Thompson have highlighted what they regard as positive steps in Chancellor Rachel Reeves’s Autumn Budget which was announced on October 30.

Mr Perkins argued the Chancellor had a ‘fiendishly difficult task’ just before Halloween to address what the Labour Government has described as a £22bn blackhole in the public finances left by the previous Conservative Government as the budget has faced criticism over plans to increase Employer National Insurance with implications for those paying wages and their employees.

The Chesterfield MP, Mr Perkins, said: “I believe this budget has taken some key steps towards steering Britain back on to a path of economic security whilst starting the task of tackling the crumbling public services this Government inherited.

“Rachel Reeves, the first woman to hold the office of Chancellor in its 803-year history, had a fiendishly difficult task on her hands, due to the £22bn blackhole left in the public finances by the previous Government and the appalling state of our NHS, schools, roads and other public services.”

The Labour Government has claimed it has presented a budget based on borrowing and introducing £40bn of tax increases to be shouldered by businesses and others to support economic growth and investment to allow for better public services with increased carers’ allowances and more money for Adult Social Care.

It has pledged £25bn for the NHS to reduce waiting lists and to support more appointments, £6.7bn for schools, roads and rail, £13bn for infected blood and Post Office scandal victims, and it is returning a £1.5bn investment reserve into the Mineworkers’ Pension Scheme.

The Government has not increased fuel duty and it has extended a freeze on income tax thresholds and on taxing more on pensions.

But Derbyshire County Council’s Conservative Deputy Leader, Cllr Simon Spencer, has argued this will have to be paid elsewhere because he feels it adds an increase on taxes as wages come up so more taxes will have to be paid.

Chancellor Rachel Reeves has raised spending by £70bn a year over the next five years with about half to be paid for by tax increases and the rest to be paid for with additional borrowing by altering Government debt rules.

Mr Perkins added: “In delivering the biggest expansion in NHS budgets in a generation and boosting funding for SEND pupils, mental health patients and road maintenance whilst keeping her promise not to increase taxes on working people like Income tax, NI or VAT she has made a huge first step towards getting Britain back on the path to growth and sustainability.

“The budget is a long term-plan that will see much needed investment in our schools, local authorities, NHS and infrastructure, and the independent OBR has confirmed it has been done whilst setting Britain on a path towards reducing our nation’s indebtedness.

“And it is a shift away from the austerity, short-termism and ‘sticking plaster’ approach that we have seen over the last 14 years, and which left us with a stagnant economy and crumbling public services.”

But many have become deeply troubled by the Government’s plan to increase Employer National Insurance, and Capital Gains Tax and Inheritance Tax with concerns this could all lead to higher inflation, higher interest rates and mortgage costs and ultimately austerity.

Derbyshire County Council’s Deputy Leader, Cllr Simon Spencer, has also said increases in Capital Gains Tax and Inheritance Tax will be felt deeply by the farming community who may be forced to sell off land affecting national food security.

He is also concerned the Government has failed to indicate how it will support adult social care and special educational needs after committing to the biggest tax increase in many years and he was disappointed to see the single bus fare cap increased from £2 to £3.

GPs, care homes and hospices have also begun to express concerns that they too, alongside businesses, will have to meet increased Employer National Insurance costs that could accumulate to tens of thousands of pounds.

But Ms Reeves said the Autumn Budget aims to restore economic stability and to rebuild public finances with a target of long-term growth but some councils are growing concerned about the future of some planned regeneration schemes.

However, the Government has confirmed plans for an East Midlands Investment Zone scheme alongside plans for five new ‘low-tax’ Freeports including one near East Midlands Airport.

NE Derbyshire MP Louise Jones said the Labour Party stood on a manifesto to deliver real change in North East Derbyshire and she feels a big step has been to deliver for working people.

She added: “Because of our decisions, working people won’t pay higher taxes now or in the next few years and I’m delighted this Labour Government remains firmly on the side of hard-working families.

“We had 14 years of Conservative national mismanagement ending with the catastrophic Mini-Budget in 2022. In July 2024 North East Derbyshire voted for change, and this budget will deliver that change.”

Bolsover MP Natalie Fleet has particularly welcomed the Government’s announcement that former miners will get an immediate boost to their pension packets with £1.5bn to be returned into the Mineworkers Pension Scheme with around 112,000 former miners set to benefit across the UK.

She said: “I am ecstatic that they are finally getting the justice they deserve, brought about by this Labour Government that is delivering for Bolsover and for Britain.”

In a further statement she added: “We are committed to helping the most vulnerable in our society, which is why the minimum wage is rising, pensions are going up, we are investing in breakfast clubs for schools and increasing the carers’ allowance.

“It is those with the broadest shoulders who will rightfully pay to help our public services get on their feet again.

“This budget means that we can reduce waiting times in the NHS, invest in special educational needs provision and repair our terrible roads.”

Erewash MP Adam Thompson welcomed the backing to manufacturers in the East Midlands and support for town centres with business rates relief for pubs, cafes, and restaurants.

He said: “I was also very pleased about new money to fix our crumbling roads and the desperately poor state of SEND provision for children in Derbyshire – issues I have long campaigned on and I know are of serious importance to Erewash residents.”

Derbyshire’s other eight MPs were all asked for statements but by the time of publication they had not yet responded.