Political opinion with Crawley MP Peter Lamb: Economic growth must benefit everyone as cost of living remains key issue
We talk about ‘the economy’ as if it were a force of nature, like weather or Earth’s rotation, as opposed to what it is really: a way of framing what everyone makes or does and who benefits from those efforts.
It’s an abstract concept. That doesn’t mean that it doesn’t massively impact upon our day-to-day lives, but rather that we need to remember the economy exists to serve the needs of humans and not the other way around.
We cannot address the cost of living and increase public service funding long-term without restoring decent rates of economic growth, but that doesn’t mean growth automatically achieves either of those two things. Ultimately, that’s where politics comes into play, with different parties prioritising different outcomes.
For me, economic growth cannot be meaningful without everyone contributing what they can and everyone sharing in the benefits. I suspect next week’s US midterm elections will show exactly what happens when a system fails to deliver this.
Since the General Election, tax and spend policy by Labour has focused on changing the system to deliver for the majority, putting more of the tax burden on those who can afford it—such as by doubling the Bank Corporation Tax Surcharge—and providing greater support where it is needed.
The changes to energy policy are a good example of this: delivering a £150 cut to bills in April, taking another £100 off by removing standing charges, providing a further £100 rebate, and cutting VAT on energy to help address one of the fastest rising areas of household expenses.
It’s a good start, but there’s a long road ahead of us, with everything from enabling people to access housing they can afford—something I have been working on as Vice Chair of the APPG for Council and Social Housing, to ensuring growing productivity delivers increases in incomes which outpace rising costs, to guaranteeing everyone has a role in our economy—something I am working to resolve with the RPD Foundation, local employers, charities, and agencies this week, planning out how we can put an end to NEETs in Crawley.