Commons rejects Labour's amendment to Queen's speech - as it happened
Rolling coverage of the day's political developments as they happen, including Theresa May and Jeremy Corbyn at the first PMQs of the new parliament
8.44pm BST
That concludes our live coverage. Here is a summary of the evening's events:
8.38pm BST
The Lib Dems have now released a statement on the defeat of the amendment. The party's leader, Tim Farron, said:
This evening, the DUP have stood alongside their Tory paymasters cheering at the fact that they have withheld more pay for our police, our firefighters, our nurses and our teachers. Shame on them.
After Theresa May's disastrous missteps this shows nature of the government we have been left with.
8.10pm BST
Following the defeat of Labour's amendment, the party's leader Jeremy Corbyn has said:
Tonight, the Conservatives had an opportunity to put their money where their mouth is, by ending cuts to our police and fire service and lifting the public sector pay cap.
"Although government ministers said they had learned the lessons of the general election and were listening to voters, it is clear that nothing has changed.
7.55pm BST
Amid the confusion over the government's public sector pay plans, the Conservative MP, John Penrose, tells the BBC there is cross-party consensus that more money needs to be spent on public services.
He was asked what the government's position was on the pay freeze. Perhaps hinting that he believes it should end, he says the government should pay heed to the general election result.
7.36pm BST
Here's where to find out how individual MPs voted on the amendment.
And Ian Jones of the Press Association has a more general breakdown. Note that, as was perhaps expected, no Conservative MPs voted with the Labour party.
All 10 DUP MPs voted with 313 Tories to defeat the amendment. Those voting in favour: 256 Lab, 35 SNP, 12 Lib Dems, 4 PC, 1 Green, 1 Ind.
7.17pm BST
MPs have defeated a Labour amendment to the Queen's Speech which called for an end to the public sector pay cap by 323 votes to 309, a majority of 14.
7.02pm BST
Hunt is pressing his point that Labour want to use the NHS "as a political football" and as a way to "milk votes". He calls the "Conservative party the party of the NHS".
With that, the Speaker, John Bercow, calls for the lobby to be cleared for MPs to vote on the amendment:
The Speaker selected amendment (i) to the motion on the #QueensSpeech. Read the amendment: https://t.co/s9M0Iousby pic.twitter.com/RY7TbBbqv9
6.55pm BST
Referring to public sector pay, Hunt says that whichever party is in power must do the right thing for the economy as a whole and blames the Conservative-led governments' decisions to restrict wages on the financial crash.
We will not make our decision on public sector pay until the pay review body has reported and we will listen to what they say, and what people in this House say, before making a decision.
6.52pm BST
Hunt accuses the Labour party of "trying to turn the election into a referendum on the NHS", before giving way to Labour's Yvette Cooper, who asks whether or not the health secretary will make it free for women from Northern Ireland to have abortions in England on the NHS. Hunt says he believes it is important that the "voices of the women of Northern Ireland are listened to".
6.50pm BST
Responding, the health secretary Jeremy Hunt pays tribute to NHS workers, whose work he calls a "vocation", not a job.
Hunt also hints that the Tories are still committed to low taxation after Oliver Letwin, a key figure in setting up austerity under David Cameron, suggested ministers must consider tax rises and increased spending on public services.
6.46pm BST
The Conservatives "can't even competently do a U-turn", the shadow health secretary Jonathan Ashworth has told MPs as they debate the Queen's speech. He moves the party's amendment and appeals directly to those Tory MPs who have called for an easing of the government's pay freeze to vote with Labour, telling them they can hand a pay rise to public sector workers tonight if they do so.
6.42pm BST
My colleagues, Jessica Elgot and Peter Walker, have a full report on the confusion surrounding the government's public sector pay freeze:
Related: Downing Street U-turns on end to public sector pay cap
5.46pm BST
The Lib Dems have accused Conservatives of performing two U-turns in a single day amid the confusion over ministers' plans for the public sector pay cap. The party's current leader, Tim Farron, said:
The Tories are in utter chaos. They have U-turned on their own U-turn within the space of a few hours. This is not strong and stable, it is a government that is spinning out of control.
The Treasury can find 1bn for the DUP so Theresa May can cling on to power, but can't find the cash to properly pay our teachers, nurses and police.
5.26pm BST
5.13pm BST
My colleague Alan Travis was written a very good analysis assessing which of the claims made by Theresa May and Jeremy Corbyn at PMQs about how policy decisions impacted on Grenfell Tower are well founded.
Related: Grenfell Tower fire: was Tory austerity to blame or do problems date back to Blair?
5.05pm BST
In the Queen's speech this afternoon Sir Nicholas Soames, the Conservative backbencher, said he could not understand why the government could not come up with a "sane national plan" for social care. He said:
What is it in our system that seems to mean that we cannot arrive at a sane national plan - like Denmark, the Netherlands or Japan - that deals effectively, humanely and decently with care for the elderly in all its complexity?
I say to the government, just get on and do it - and work across all parties and with all the considerable expertise that this country has to get this done.
5.02pm BST
In the Commons Joanna Cherry, the SNP's justice and home affairs spokeswoman, confirmed that the SNP will vote for the Labour amendment tonight. She said:
The SNP has consistently opposed the [Conservative party's] austerity agenda and the manifesto on which we won the General Election in Scotland indicated that in these times the pay cap is no longer sustainable and they would be looking at it very closely.
So I'm very happy to lend our support to [Labour] on this matter.
4.59pm BST
The seeming government U-turn over lifting the public sector pay cap saw faintly farcical scenes at the regular afternoon Downing Street media briefing, where Theresa May's spokesman was asked for clarification about the policy only to insist there was nothing to see.
"The policy has not changed," the spokesman said, again and again - by my reckoning he said this, or variants of it, 16 times.
In the past the government has accepted recommendations, and on other occasions it has not accepted recommendations. The government always sets out the reasons for doing so.
There is a recognition that it has required hard work and sacrifice, including from public sector workers, but we also have to ensure that, that sacrifice having been made, we continue to protect jobs and deal with our debts.
4.42pm BST
Here is some more comment from political journalists on what is being described by one as a U-turn on a U-turn.
From ITV's Robert Peston
In the course of 3 hours government has u-turned on public-sector pay cap and then u-turned on u-turn. So pay cap stays, confusingly
New: No10 now trying to damp down expectations that pay cap will be lifted - spokesman says about 15 times the policy "hasn't changed".
After two Downing St press briefings this pm, I can reveal there will either still be a 1% cap on public sector pay or there won't be.
4.34pm BST
The Daily Mail's Jason Groves says the Treasury was responsible for restoring the government's commitment to the public sector pay cap.
Uh oh. Hearing that major govt 'clarification' on the way over public sector pay cap. Chancellor not happy at suggestions it's for the chop
The death of austerity lasted less than four hours
4.27pm BST
The afternoon Downing Street lobby briefing has now finished. And, having signalled earlier that the public sector pay cap might be lifted, Number 10 is now insisting that the policy has not changed. This is from the Mirror's Jack Blanchard.
Screeching U-turn as No10 insists public sector pay now not under review. "Our policy has not changed." Sounds like Treasury's gone bananas
4.20pm BST
There was no mention of the Heathrow third runway in the Queen's speech. But on Radio 5 Live this morning, Chris Grayling, the transport secretary, said the government was still committed to the project and that, even without a majority, the government would get it through parliament. He said:
There is wide support for expanding Heathrow across the parties in Westminster. We're most of the way through the consultation process. We've now got to go through the period of parliamentary scrutiny. There is a set process in law which takes us through to effectively the outline planning permission early next year.
3.44pm BST
Andrew Gwynne, the shadow communities secretary, has said that if the Tories are serious about lifting the public sector pay cap, they should vote of the Labour amendment tonight. In a statement he said:
The British people denied Theresa May a majority in the general election. The Conservatives have no mandate to carry out their damaging cuts to vital public services and attacks on the British people.
They have already been forced to drop some of their most damaging policies, such as taking winter fuel payments away from more than 10 million pensioners or removing the triple lock guarantee on pensions.
3.41pm BST
One of the reasons why the national parties at Westminster regard the Democratic Unionist kingmakers in parliament as toxic is their consistent opposition to gay marriage equality in Northern Ireland.
The DUP has constantly vetoed legislation in the Stormont Assembly that would legalise LGBT marriages in the region. Northern Ireland is the only part of the UK were gay marriage is still not legal.
3.31pm BST
The Conservative MP Johnny Mercer says he wants to lift the public sector pay cap. But he says he won't be voting with Labour tonight.
I will persistently be a loud voice to remove public sector pay cap for frontline workers. But will not vote with this political game today. https://t.co/baW69KHZoo
It's a game to try and change the QS/score political points. We will address this at the right time (budget), I have no doubt. https://t.co/vaBWSNmi23
Judge me if public sector pay cap is not lifted. Results for hard-working people, not vanity votes for attention. https://t.co/vaBWSNmi23
3.26pm BST
Labour MPs in the Commons have been wearing these badges, referring to the public sector pay cap. This is from Labour's Julie Cooper.
Today Labour will support all NHS staff #ScrapTheCap. pic.twitter.com/DEWBjoWMZi
3.15pm BST
John Bercow's deputies in the speaker's chair have been chosen by MPs, with Labour's former chief whip among those elected, the Press Association reports.
Dame Rosie Winterton is the newest member of the Speaker's team and joins Lindsay Hoyle in the role, a fellow Labour nominee who was re-elected.
The pair defeated Labour colleague Roberta Blackman-Woods (City of Durham) in a secret ballot.
2.11pm BST
And those cuts to the fire service have meant there are 11,000 fewer firefighters, the public sector pay cap is hitting recruitment and retention right across the public sector.
What the tragedy of Grenfell Tower has exposed is the disastrous effect of austerity
The cladding of tower blocks began under the Blair government. [Corbyn] talks about local authority resources and talks about changes to the regulation.
In 2005 it was a Labour government that introduced the Regulatory Reform (Fire Safety) Order which changed the requirement to inspect a building on fire safety from the local fire authority - which was usually the fire brigade - to a responsible person.
We're now in the slightly odd position where each DUP MP is worth more than Ronaldo. Does the secretary of state agree with Jonathan Powell that it is now impossible for the UK Government to be even-handed in Northern Ireland?
1.43pm BST
Here is more on the hint from Number 10 about the public sector pay cap being lifted, from my colleague Heather Stewart.
NEWS: Strong hint from government that PM preparing to lift 1% public sector pay cap in the autumn Budget: focus of Labour amendment later.
Gov source told reporters after #PMQs that it had "heard the message" from the election; would look at recommendations from review bodies.
Those recommendations have been overridden in recent years because of @George_Osborne's 1% pay cap, extended for 4 years in 2015.
Government source said any decision about what should happen to public sector pay would have to wait for a "fiscal event" - ie the Budget.
1.35pm BST
This is what political journalists and commentators are saying about PMQs on Twitter.
There is praise for both Jeremy Corbyn and Theresa May. Mostly people were impressed by the tone of the exchanges, although there were also complaints about the two leaders politicising the Grenfell Tower.
That was a very unusual exchange between Corbyn and May: sensible questions (on Grenfell & fire safety) elicited useful answers. #PMQs
I'm not sure @theresa_may plea to depoliticise Grenfell response will work, because @jeremycorbyn hates Blair government more than she does
My #PMQs verdict for @MirrorPolitics as Theresa May and Jeremy Corbyn clash for first time in new Parliament
https://t.co/ZxV8x5D6Qv pic.twitter.com/dQJsD0oP3T
Corbyn win at #PMQs. Impressive probing questions on the Grenfell Tower tragedy
Verdict: Was dreading a return of the Corbyn May show but in fact, May 2.0 Humbled Edition is quite agreeable. #PMQ
Given how weak Theresa May's position was two weeks ago, she's done well to get through #PMQs unscathed. Backbenches rallied around her.
I think Corbyn won that but May did enough for it not to panic people. A scrappy 1-0. #pmqs
In the circumstances, this must count as 1 of Theresa May's better PMQs performances. Will have reassured Tory MPs about her ability to KBO
Corbyn forensic in his Grenfell Tower questioning.. May giving factual answers. Refreshing change for #PMQs
Corbyn and May insinuating blame on each other's former Governments for #GrenfellTower tragedy is about as ugly as politics gets #PMQs
I'm confused. May says it's not the regulations which are to blame, but enforcement. Now reading out regulation changes under Blair.
May used PMQs to argue that everyone had a part to play in Grenfell disaster. True - but when you're the party in govt you can change things
At this first #pmqs since election May seemed confident and had her MPs behind her - not what you might have imagined a couple of weeks ago
Before you get to that bit we discussed a serious and properly political #PMQs: important Qs from Corbyn and important As from May
May & Corbyn blaming each other's parties for #Grenfell cladding scandal is repulsive.
They're BOTH to blame. #pmqs
Given everything that's happened, this is a remarkably strong performance from May.
1.16pm BST
The public sector pay cap of 1% is under review because the general election showed people are "weary", Number 10 sources said.
It follows calls from the transport minister Chris Grayling and the defence secretary Michael Fallon that Theresa May should look again at lifting the pay of public sector workers.
1.05pm BST
The Press Association's Ian Jones says that was almost the longest PMQs on record, but not quite.
That wasn't quite the longest session of #pmqs, but it came close. The record is 56 minutes, set on April 26 of this year.
12.58pm BST
Ian Blackford, the new SNP leader at Westminster, used his two questions at PMQs to ask about the Tory/DUP deal. He starting by asking if David Mundell, the Scottish secretary, was consulted.
The Scottish secretary insisted that Scotland would see increased funding if the DUP secured increases money for NI as part of a confidence and supply deal. Did the prime minister receive any representations from her Scottish secretary on the DUP deal - either before or after it was signed?
Of course when we look at what has happened in terms of funding for the rest of the UK ... the chancellor set aside an infrastructure fund of 23bn, we're putting more money into our NHS, more money into schools and of course there is an impact on Scotland ... As the result of that Autumn Statement 800m extra is going to Scotland, as a result of the budget 350m is going to Scotland.
The prime minister's failure to give a straight answer to that question speaks volumes and has only succeeded in piling more pressure on the Scottish secretary whose position now looks less secure with every day that passes ... I will give the prime minister one more opportunity: did she receive any representations from the secretary of state for Scotland about the DUP deal?
I regularly receive representations from the secretary of state for Scotland ... including regular representations which point out that if the Scottish Nationalists have the interests of Scotland at heart they will want to remain part of the UK.
12.51pm BST
Labour's Rachel Reeves says there are 9m people in the UK facing loneliness. She says that loneliness can be as bad for your health as smoking 15 cigarettes a day. Will she attend a Jo Cox commission event later today to consider this?
May praises the work of the Jo Cox commission on this issue.
12.49pm BST
Peter Bone, a Conservative, says that NatCen report today says 75% of people want to leave the EU. He says people take the view that the referendum decided the issue.
May agrees. People want the government to deliver Brexit, she says.
12.48pm BST
Nigel Dodds, the DUP leader at Westminster, says Northern Ireland has a high suicide rate. The money for mental health in the Tory/DUP deal is very welcome, he says.
May agrees.
12.47pm BST
Bob Neill, a Conservative, asks if the people of Gibraltar will be covered by the proposals on EU nationals. The Spanish disagree, he says.
May says the government's commitment to Gibraltar remains unchanged.
12.46pm BST
Labour's Barry Sheerman asks May to listen to Europeans who fear we are sleepwalking to a disastrous Brexit deal and who have no confidence in the three Brexit ministers.
May says the Brexit talks have started. She says she has a plan for Brexit; Labour doesn't.
12.45pm BST
Ben Bradley, a Conservative, asks what May thinks an opposition leader saying one thing to remain voters in London and another to leave voters in a constituency like his.
May says Bradley is right. She says she will deliver on the EU referendum vote.
12.44pm BST
Labou's Angela Smith asks if May agrees with David Davis that it will be simple to agree a trade deal with the EU.
May says it will be possible to agree one, because the UK and the EU are starting from the same point.
12.43pm BST
Kevin Hollinrake, a Conservative, says some care charities are at risk of closing because of the extension of the national living wage to sleep-in shifts.
May says the department of health and other departments are looking at this carefully.
12.42pm BST
Labour's Rupa Huq thanks May for visiting her Ealing constituency. She says her majority went up.
12.41pm BST
Philip Davies, a Conservative, says spending more money on aid does not make the government seem compassionate to the public. Will May cut spending on aid and spend the money here. That would be popular, he says. He says he hopes May is not against popular policies.
May disagrees. She says aid money can be used to help reduce the terrorist threat to the UK.
12.40pm BST
Labour's Paula Sheriff says May visited her constituency recently. May said people worried about the closure of the A&E provision at Dewsbury were scaremongering. Will it stay open?
May says it is not closing. It will stay open, and most patients will see no change to their service.
12.38pm BST
The SNP's Marion Fellows says it is "outrageous" that in Scotland the police and fire services have to pay VAT. Will May extend VAT exemptions to Scotland now she has found the magic money tree?
May says the Scottish government was told Police Scotland would have to pay VAT when it proposed creating it through the merger of police forces. But it went ahead with the merger anyway.
12.36pm BST
Marcus Fysh, a Conservative, asks if May is aware of the crisis in Venezuala. And are there lessons to be learnt from that?
May say she hopes Corbyn has followed that. She sometimes thinks the only trade deals Corbyn is interested in are with Cuba, Venezuala and North Korea.
12.35pm BST
Leo Docherty, the new Conservative MP for Aldershot, asks May what she thought of Corbyn saying at Glastonbury that he would scrap Trident.
May says people were shocked by this. With Corbyn, it appears "he says one thing to the many and other thing to the few.)
12.33pm BST
Labour's Ian Austin says police chiefs wrote to the government last week saying counter-terrorism budgets were being cut.
May says she does not accept this. She says counter-terrorism budgets are being protected. And the government will give the police the laws they need.
12.32pm BST
May tells Suella Fernandes, a Conservative, that the Tories got more seats and votes at the election. That is why they are a stable government.
12.31pm BST
Labour's Jo Stevens asks about the suffering caused by reckless gambling. (That triggers laughter.) Will May legislate against fixed-odds betting terminals?
May says a consultation is under way. The conclusions will be announced in due course.
12.27pm BST
That was one of the most solid and impressive PMQs we've seen for quite some time. Corbyn hit exactly the right note, and May inadvertently gave him an opening for a very powerful final answer (when he said he could help May as to why building regulations were not being complied with). He had the edge over May quite easily, but she looked more robust than you might have expected in the light of the last three weeks and she made the case that political responsibility for Grenfell Tower was long-term, and complicated, quite effectively. But these weren't arguments that damaged Corbyn. She was criticising decisions taken by Tony Blair and the last Labour government. Corbyn, of course, is about the last person who can be held responsible for anything that happened under the Blair regime.
(I will post on Ian Blackford's questions at the end.)
12.20pm BST
Corbyn says there have been two coroners' reports. They have not been acted upon. And councils have had their budgets cut by 40%.
Will May guarantee that further cuts planned for the fire service will be halted?
Mr Speaker, this disaster must be a wake-up call.
12.14pm BST
Corbyn says May said on Thursday she would make the results of the test on the Grenfell Tower cladding public. He is not sure she has done that.
When will the tower block tests be finished?
12.10pm BST
Corbyn says he hopes May will be able to meet her aim of putting families in temporary accommodation within three weeks.
He asks May if the cladding on Grenfell Tower was legal.
12.08pm BST
Jeremy Corbyn says we should pay tribute to those who campaigned for justice for Hillsborough.
He says 79 people died at Grenfell Tower. On Thursday May said a judge would be appointed soon. When will that come? And what is the timetable for the inquiry?
12.04pm BST
Sheryll Murray, a Conservative, talks about the abuse she suffered during the election. It was hardly kinder, gentler politics. What can be done to stop this?
May says this sort of intimidation was experienced particularly by women. It could put people off going into politics. She mentions the new Commons plaque for Jo Cox, and says Cox was right about us having more in common than what divides us.
12.02pm BST
Theresa May starts by saying the CPS have announced charging decisions in relation to Hillborough. This will be a day of mixed emotions for relatives of the victims, she says. She says she cannot comment further.
12.02pm BST
From my colleague Heather Stewart
"We're now in the slightly odd position where each DUP MP is worth more than Ronaldo": nice line from SNP's @alisonthewliss at NI Questions.
12.00pm BST
From PoliticsHome's Kevin Schofield.
Not a murmur from Labour MPs as Jeremy Corbyn takes his seat for #pmqs, but Theresa May cheered by hers. Shome mishtake shurely?
11.59am BST
This is from the Times' Patrick Kidd.
First PMQs of the new Parliament about to start. Oddly Corbyn entered in silence while May's troops, better drilled, give a rumbling cheer
11.59am BST
This is from the Independent's Tom Peck.
The Labour MPs are handing cheap badges to each other for immediate lapel attachment. No idea what for...#PMQs
11.58am BST
Theresa May has arrived in the chamber, to some cheering.
11.51am BST
PMQs starts in 10 minutes.
Here is the list of MPs down to ask a question.
First #pmqs of Parliament up at 12..no new MPs on order paper... PMQs panel returns with @PaulBlomfieldMP @StewartHosieSNP & Victoria Atkins pic.twitter.com/1XlKpNGR6e
11.46am BST
Chris Grayling, the transport secretary, is now being interviewed by Andrew Neil on the Daily Politics, and it is not going well. Asked about taxation, Grayling made the point he made earlier (see 11.26am) about the wealthy paying a higher share of tax. That was because of fiscal drag, said Neil (more people paying higher rates of tax because pay rises are taking them into high tax brackets). He asked Grayling if he could give examples of the government actually raising taxes for the wealthy. Grayling dodged the question, saying the government had introduced a range of tax measures.
11.42am BST
Earlier I mentioned the National Centre for Social Research report (NatCen) report saying support for increasing taxes and spending is higher than at any time since 2004. Here is the Guardian's write-up, and here is the report.
This is the key chart.
11.26am BST
On BBC News a few minutes ago Chris Grayling, the transport secretary, was asked if the government would carry on with the public sector pay cap. He gave a non-committal answer, although he did imply that a shift might be coming. He replied:
Philip Hammond has said we obviously have to learn lessons from the general election. We will have a budget later this year. He will set out our ongoing plans in that budget. Now is not the time or the place, in the Queen's speech debate, to start setting out plans for the economy. That is what budgets are for.
11.05am BST
Sir Michael Fallon, the defence secretary, has also hinted that he favours lifting the public sector pay cap, PoliticsHome reports. Fallon was asked about pay at the end of his speech to the Royal United Services Institute (Rusi) this morning and he replied:
That is obviously a huge question.
It's partly a matter for the pay review bodies but it also involves a forecast of where you expect inflation to be. I think we expect inflation to start falling back again from the autumn onwards.
11.00am BST
On the Today programme this morning Peter Ammon, Germany's ambassador the UK, said that he was "unnerved" by talk about Brexit amounting to a divorce. He said that he hoped the UK and Germany would remain close after Brexit.
I am unnerved about this debate about a divorce. This is as if the two countries would be separated forever and not talk to each other after Brexi.
I think this overlooks the fact that we have so much in common. Even after Brexit we will, of course, trade, we will have exchange of students, of culture, of the arts.
We are at the beginning of negotiations. I have never seen a negotiation starting with total agreement, where we could simply go home and probably you have made the wrong offer if that was the case. I think both sides have to come together.
10.47am BST
The Liberal Democrats have said they will back the Labour amendment (see 10.15am) tonight. Alistair Carmichael, the Lib Dem chief whip, said:
The government must listen to the overwhelming tide of public opinion and give our police, firefighters and nurses a pay rise.
But Labour must be honest and admit we won't be able to pay for strong public services by crashing the economy through an extreme Brexit.
10.28am BST
Two of David Cameron's former Number 10 aides have welcomed what Sir Oliver Letwin said in his interview.
This is from Sir Craig Oliver, Cameron's communications director.
Oliver Letwin's lesson in fiscal reality on @BBCr4today. Taxes will have to rise if we want better public services & controlled borrowing.
The brilliant Oliver Letwin delivers a spin-resistant economics lesson to @BBCr4today - very enjoyable https://t.co/YEkcv9C59C
Significant from Oliver Letwin on #r4today - public mood has changed, voters want more spending on schools/NHS - taxes must rise "a little"
10.15am BST
For the record, here is the Labour amendment to the Queen's speech that will be put to a vote at 7pm tonight.
At end add 'but respectfully regret that the Gracious Speech fails to end cuts to the police and the fire service; commend the response of the emergency services to the recent terrorist attacks and to the Grenfell Tower fire; call on the government to recruit more police officers and fire-fighters; and further call on the government to end the public sector pay cap and give the emergency and public services a fair pay rise.'.
9.47am BST
Here are some more quotes from Sir Oliver Letwin's Today interview, with a summary of the key points.
People were much more concerned at this election than they had been at the previous two about spending on schools, spending on health, spending on social care, crucial public services which now seem to be under strain.
I think sooner or later there will need to be some movement on the rate of increase of public sector pay because we are getting close to the point at which the huge increase in public sector pay compared to private sector pay which we inherited in 2010 is levelling out. And I have no doubt that at some point or other we will need to look at that.
I find these catch phrases very deeply misleading because if you want to get a quote from me which enables some newspaper to say that I or others are saying that we should go easy on deficit reduction, you won't get it. I think we do need for the sake of the whole country to keep reducing the deficit and balancing budgets eventually so that we are well protected against the next downturn.
The Labour amendment is playing politics. Obviously they want to amend the Queen's speech so the government falls. So we are not going to fall for that kind of party game.
Sir Oliver Letwin says it is possible to increase public spending with some well judged and careful tax rises https://t.co/LIw1Xwkh1g pic.twitter.com/legzt0dtTy
9.14am BST
Politics can often seem superficial. In the Commons and in the TV studios MPs often fling around partisan and exaggerated claims, character and appearance count, and the debate often fixates on relatively narrow problems or gaffes.
But, ultimately, what matters is who is winning the big arguments. And this morning, on the Today programme, in a remarkable interview, a key plank in the Conservative party worldview just gave way. A senior Tory said taxes should go up so that more money can be spent on public services.
[Getting back to balanced budgets] is compatible with easing up a little, not a great splurge, but easing up a little on spending on key public services if one is prepared to bite the bullet of carefully judged and carefully presented tax increases ...
I think there is a recognition that, while some taxes are extremely difficult to live with for some people, other taxes, if you get it right, can be raised in a careful way without provoking massive problems for families ...
It may well be that, in one way or another, a large number of people will have to pay a little more tax if we are going to maintain the trend towards reduced deficits, and yet spend a bit more on the crucial public services that do need more spent on them.
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