The Prime Minister faced a grilling from senior MPs this afternoon for the first time since July’s election.
All PMs have to face the Liaison committee 2 or 3 times a year, in a much more policy-focused and substantive scrutinising exercise than weekly Prime Ministers Questions.
The Liaison committee is comprised of all the chairs of the various House of Commons select committees, with MPs from all different parties working together to scrutinise the government. It is an uncomfortable ordeal for any Prime Minister.
A notable moment occurred right at the end. When committee chair Dame Meg Hillier asked Starmer what he would have done differently over the last 5 months, he replied “”No. We had to do tough stuff. We’re getting on with it.”
He elaborated, saying that after 9 years as an opposition MP, it has been far better “to be in a position of power to change lives for the better”.
Here is a summary of Starmer’s first time facing the dreaded Liaison Committee:
The Economy
Committee Chair Dame Meg Hillier started with the economy, asking Starmer about his plans to achieve growth. When Starmer responded by touting a “decade of low growth” and a £22 billion black hole as his inheritance, he was pressed by Hillier on how he plans to turn this around.
He argued that changes to planning and regulations were essential to achieving growth, particularly on housing and infrastructure.
Pressed on his target to achieve the highest sustained growth in the G7 by the end of the parliament, he reaffirmed his commitment to the goal. Starmer admitted that “it will take some time” for economic growth to arrive, but that he hopes his plans will help working people feel better off.
Housing
The conversation then turned to housing, with Labour MP Florence Eshalomi asking the PM why he froze the Local Housing Allowance rate earlier this year – a benefit payment that helps those on low incomes pay for rented accommodation.
Starmer didn’t address LHA directly, but said that the way out of the housing crisis was to build more homes, citing his pledge to build 1.5 million houses by the end of this parliament.
Eshalomi pressed the PM further on homelessness and temporary accommodation, which Starmer admitted was in an “appalling” state. He reasserted the importance of the 1.5 million pledge, arguing that while it was difficult, it was “hugely important” and cited government funding announced this week to help local councils address homelessness.
He vowed to take on the “blockers in the way” of new housing and infrastructure developments, citing the fact that wind turbines often take 13 years to build due to planning objections, when they could actually take just 2.
Farmers and Inheritance Tax
Lib Dem MP Alistair Carmichael then turned to the controversial inheritance tax changes imposed on farmers, asking if the target was either “the super-rich sheltering wealth” or family farmers. Starmer said the purpose was merely to raise revenue and wasn’t aimed at any particular group.
He repeated an earlier argument that most farms would be unaffected, and that the £3 million inheritance tax threshold would “protect the family farm”.
Employing some classic Blairite New Labour rhetoric, he said that “what the very wealthy do with their money, within the rules, is a matter for them”.
Pensioners and Winter Fuel Allowance
Another difficult topic was then brought up, with statistics put to Starmer suggesting that 300,000 more pensioners are in poverty compared to a decade a go, a figure which may increase thanks to his decision to cut universal winter fuel payments.
In response, the PM said that pension credit had been uplifted, and that his government was committed to the triple-lock, although these measures won’t take effect until April.
He said neither of these decisions could have been made if the Chancellor had not “stabilised the economy” in the budget with spending cuts such as winter fuel.
International Affairs
The conversation turned then turned to the possibility of trade tariffs being introduced by incoming US-President Donald Trump. Starmer said he was aware of the danger, and is “not a fan” of tariffs.
When asked about balancing US relations with EU relations, he refused to accept that the UK had to “either be with the US or the EU”.
“We do want a closer relationship with the EU on security and trade, at the same time I want to improve our relationship with the US”.
The conversation finished on the ongoing Israel-Palestine conflict, and the role the UK would play in the aftermath of a potential ceasefire. Starmer said “we need this ceasefire and we need it right now” and that the UK would use its “considerable influence” to ensure that a viable Palestinian state is formed. On the terms of the agreement, he declared “a ceasefire is not worthy of its name if it does not involve the release of the hostages” held by Hamas.
