(6 years, 5 months ago)
Commons ChamberThis text is a record of ministerial contributions to a debate held as part of the Northern Ireland (Regional Rates and Energy) Act 2018 passage through Parliament.
In 1993, the House of Lords Pepper vs. Hart decision provided that statements made by Government Ministers may be taken as illustrative of legislative intent as to the interpretation of law.
This extract highlights statements made by Government Ministers along with contextual remarks by other members. The full debate can be read here
This information is provided by Parallel Parliament and does not comprise part of the offical record
I beg to move, That the Bill be now read a Second time.
I start by wishing my hon. Friend the Member for Tewkesbury (Mr Robertson) an early happy birthday because I know that it is coming up. I am afraid that I will not be able to celebrate with him, but I wanted to wish him a happy birthday in the Chamber. I am sure that we will all join in wishing the former Chair of the Northern Ireland Affairs Committee a happy birthday.
As with the Northern Ireland Budget (Anticipation and Adjustments) Bill that we introduced yesterday, I stand today to ask the House to give a Second Reading to legislation that is a necessary intervention to safeguard public services and finances in the ongoing absence of a Northern Ireland Executive and sitting Assembly. I covered the broader political situation in my statement last week, but it will be helpful to remind the House of the context in which we are taking forward this Bill today.
During the past 14 months, in the absence of an Executive and Assembly in Northern Ireland, the UK Government have worked tirelessly to facilitate the restoration of devolved government. It had been my firm hope that a new Executive would be in place to complete its own 2017-18 estimates process and to set their own budget for 2018-19, as well as to extend the current cost capping on the renewable heat incentive scheme. It was therefore with disappointment that I had to bring forward yesterday’s Bill to put 2017-18 public spending on a legal footing.
As I set out in my statement on 8 March, there are acute pressures across public services to be addressed in 2018-19, which is why I took steps that day to provide clarity and certainty on Northern Ireland’s finances for 2018-19. The Northern Ireland (Regional Rates and Energy) Bill seeks to build on that certainty, delivering on this Government’s commitment to protect public services and to ensure good governance in Northern Ireland. Today, the focus is on taking forward key steps to provide support for public services and sustainable finances in Northern Ireland as we move into the next financial year.
Will my right hon. Friend elaborate on something that the public may not be aware of? There are key decisions that ought to be taken and priorities that ought to be set, but that cannot happen because there is no ministerial grouping in Northern Ireland to make such decisions.
My hon. Friend is absolutely right. There are decisions that ideally would be taken by Ministers sitting in Stormont as part of a devolved Government, but that has not been the case for 14 months. I am therefore taking steps today, reluctantly, and it is pressing that we are able to proceed. I hope that we can get devolved government in Stormont again in the near future, because that is the best thing for the people of Northern Ireland to be able to take advantage of the available opportunities.
Clause 1 addresses the collection of the regional rate, which represents more than 5% of the total revenue available to the Northern Ireland Executive. With a devolved Government in place, it would be set via an affirmative rates order in the Assembly, enabling bills to be issued in 10 instalments, providing certainty to ratepayers and allowing various payment reliefs to be applied. Last year, it fell to the UK Government to take that step in the absence of an Executive. When I took office as Secretary of State earlier this year, I had sorely hoped that it could be one of the first acts of a new devolved Government and Assembly and would not fall again to this Government and this Parliament to set the regional rates. That will not be possible before the next financial year, and it would be unacceptable to allow uncertainty to linger in the meantime until a new Executive are formed.
While we are clear that it is a devolved matter, we are also clear that only the UK Government and Parliament can take such action to secure the interests of individuals and businesses in Northern Ireland. This Bill therefore sets out rates, in pence-per-pound terms, for both domestic and non-domestic properties. For non-domestic properties, the rate reflects a 1.5% inflationary increase. For domestic properties, the rate would be raised by inflation—1.5%—plus 3%, as I set out in my budget statement on 8 March.
I am sure the Secretary of State would like to confirm that she is well aware that the general public in Northern Ireland will not be one bit pleased that, when rates are going up in Northern Ireland, it is expected that Members of the Legislative Assembly will get a salary increase from 1 April, unless the Secretary of State exercises the power that she will take later this afternoon. Will she confirm that she will cut their salaries and eliminate any increase before 1 April?
The hon. Lady is pre-empting the speech that I will make later—I hope not in six hours’ time—when I will be legislating to bring powers to this Parliament to vary the rates of MLA pay. I am doing so this week to ensure that it happens before the start of the new financial year, so that no pay increases go through. I well understand her strong feeling, which is one that has been expressed to me by many in Northern Ireland.
The Secretary of State will know that the Assembly Commission, which comprises all the parties, recommended that she should take a power to ensure that the pay increase would not go ahead. That is the view of all the political parties in Northern Ireland. It is a sensible step, and we welcome what the Secretary of State is saying.
I thank the right hon. Gentleman. He is right that it was cross-party, cross-community view that the pay rise should not go ahead, which is why we are legislating today.
Returning to domestic rates, I well understand the concerns that people will have, but this important measure will address a hole in the budget for 2018-19, so that public services can still be delivered. In my view, the measure represents an important contribution to delivering a sustainable budget picture for 2018-19. As the budget consultation launched by the Northern Ireland civil service last year pointed out, there are important conversations to be had about the right balance in Northern Ireland between revenue raising and spending efficiencies, and that document discussed rises in regional rates of as much as 10% above inflation. Having reflected on conversations with the parties and stakeholders more broadly, and having understood the pressures on key services, I concluded that it was right that we ask households to pay a little more to help to protect and preserve public services.
However, I also considered that we had to balance that increase at the right level. That is why I propose a 3% on top of inflation rise—less than £1 a week for the average household—to help to address pressures in health, education and elsewhere. It is also why I have held business rates in line with inflation—within a broader budget envelope that allows the safeguarding of the small business rate relief—to keep a focus on the growth that Northern Ireland needs to see. That forms an important part, along with the flexibilities that we set out in last week’s budget statement, of helping Northern Ireland to live within its means at a challenging time, maintaining the UK Government’s responsibilities to uphold good governance in Northern Ireland.
Does the Secretary of State agree, in addition to the information that she is imparting to the House, that the onus falls on district councils as well because they set a district rate? If they are effective and efficient, the increase will be even less than she has indicated.
The hon. Gentleman makes an important point. We all know that local government finances operate at both district and regional levels, and he is absolutely right to make the point that some of the regional rates paid by households go to district councils. It is important that they reflect the efficiencies that we are asking the rest of the civil service to reflect. As the Bill makes clear, nothing that we do would cut across the continuing right of the Executive to set a rate by order in the usual way. Should a devolved Government be restored in Stormont, they would therefore be able to make an Executive decision about the regional rate.
Clause 2 deals with the administration of Northern Ireland’s renewable heat incentive scheme, which was established in 2012 to support efforts to increase uptake in the use of renewable energy. However, owing to incorrect assumptions about boiler size and usage, tariff levels and lack of cost controls led to substantial excess payments. Over the 20-year lifespan of the scheme, the projected overspends were well over £500 million, with £27 million of overspend in the 2016-17 year alone, putting the sustainable finances of the Northern Ireland Executive at significant risk.
As colleagues will be aware, the administration of the scheme and the circumstances that led to errors in its administration are subject to an ongoing public inquiry. One of the final acts of the last Executive was to introduce regulations in January last year that put in place robust cost controls. Those made sure that the costs were sustainable. They were put in place only for a year, to allow for longer-term consideration of the scheme as a whole.
Again, I am grateful to the Secretary of State for giving way. Will she confirm for the benefit of people in Northern Ireland in particular the savings to the public purse as a result of the Bill? How much would it cost without a cap on the RHI scheme for another 12 months, compared with the measures in the Bill?
As I have said, the estimated saving for 2016-17 was £27 million. I assume a similar sort of saving this year. The total saving as a result of the cost capping is in the region of £450 million.
The Secretary of State rightly said that this was a continuation of measures that were put in place by Simon Hamilton, the DUP Economy Minister, and which saved money last year. Will the Secretary of State confirm that the Bill replicates the excellent legislation introduced by Mr Hamilton?
I can confirm that that is the case. We are following the same cost capping as was put in place by the Executive and Simon Hamilton as Economy Minister. The right hon. Gentleman will know the restrictions placed on this Parliament in terms of what we can do with changes, and we are very much guided by decisions taken in the last Executive. He will also know that since then there has not been an Executive to undertake that broader consideration of the right energy policy for Northern Ireland. We are now at the point where the existing cost controls are due to expire. If that happened, there would be no legal basis, not only for maintaining the current cost cap but for paying all those who receive payments under the scheme and whose installations were accredited before November 2015. Neither of these would be acceptable outcomes, nor would it be suitable for the Northern Ireland civil service to administer payments on an extra-statutory basis, which would create unnecessary legal uncertainty for all concerned.
That is why clause 2 ensures that the present cost controls, and the legal basis for payments, can continue for the 2018-19 financial year. As with the 2017 regulations, there is a sunset provision that expires after one year. This is a devolved policy matter, and it is right that the longer-term approach is one for a restored Executive to decide. In the meantime, I am assured that the Northern Ireland civil service will undertake detailed analysis to enable a new Executive to consider the right course for the future.
In summary, this is a modest Bill doing two discrete things. In setting a regional rate and extending the cost controls of the RHI scheme, it upholds our responsibilities to ensure good governance and to safeguard public services and finances in Northern Ireland. It does so in a way that continues our approach of intervening only as necessary to meet those aims, and only at a point at which it is critical that the measures are taken forward. I hope that colleagues across the House agree that it is important we now make progress to see these measures passed into law to put Northern Ireland on its strongest financial footing for the year ahead. The UK Government shall continue to meet our responsibilities to the people of Northern Ireland. To that end, I commend the Bill to the House.
The Secretary of State is right that this is a modest Bill with relatively few clauses and few substantive measures. I thank her and her office for providing me with a draft copy yesterday evening, but it is a pretty poor showing that the rest of the House had precisely 10 minutes to look at the Bill before debating its contents, however modest they are. That does not strike me as a terribly long time to look at a measure that increases taxes on 1.8 million people in this country.
We support the Bill. As the Secretary of State said, it is a necessary measure to allow councils to raise the regional rate. It legislates in an area of clearly devolved competence, and it sets the regional rate at about 4.5%, which is above inflation. My first question—I hope that the Under-Secretary will be able to answer it at the end of the debate—is, how did the Government arrive at that figure? Was it discussed with political parties or with the Northern Ireland civil service, or, indeed, with local councils in Northern Ireland? The Secretary of State could have set a lower or a higher rate. How did she reach that figure?
Will the Secretary of State explain the cash impact on households in Northern Ireland? The explanatory notes are scant, so we do not have an impact assessment, and I do not think that anyone in Northern Ireland knows the net effect on average households. It would be useful to learn that.
The RHI measure was a poorly drawn piece of legislation. It is right that we are extending the cap again today. As the Secretary of State said, the liabilities for the taxpayer were potentially £500 million—some people have even said £700 million—so it is absolutely right that we should legislate to mitigate that figure. We are amending the Renewable Heat Incentive Scheme Regulations (Northern Ireland) 2012, which were laid in the Northern Ireland Assembly, passed and amended there. It is Northern Ireland legislation, and we support its further amendment today. However, that raises an important question relating to yesterday’s debate that is vital in the halfway-house period—the limboland—for Northern Ireland. We have had 14 months without an Assembly or Executive, during which Ministers have not been accountable to people, either in Northern Ireland or in the House. We have legislation on issues that fall squarely within the devolved competence of the Northern Ireland Assembly when the Government choose to introduce them, but there are other issues on which the Government choose not to introduce measures. Yesterday, I mentioned the historical institutional abuse inquiry compensation scheme and the prospect of a pension for people who were severely disabled and injured in the troubles.
I was troubled by the answer that the Secretary of State gave to my question, in which she explained why she could not legislate on those things:
“Constitutionally, the inquiry”—
the HIA inquiry—
“was set up by the Executive and reported to the Executive. Unfortunately, the Executive were unable to take decisions on the recommendations before they collapsed…he”—
meaning me—
“will understand that the constitutional implications of the Westminster Parliament or Government taking a decision about something set up by a devolved institution mean that such decisions are not to be taken lightly.”—[Official Report, 20 March 2018; Vol. 638, c. 204.]
I completely accept that, but the Secretary of State is taking a decision—I presume not lightly—to legislate in other areas of devolved competence, including MLA pay, later today. We need to understand why it is deemed permissible to legislate in certain areas but not in others.
To that end, yesterday evening I commissioned the House of Commons Library and an independent Queen’s counsel to provide legal advice to the House, and I will happily place those items in the Library later today. I asked them to explain what the difference might be, constitutionally and legislatively, between those two areas. The Library agreed with what I assumed would be the fairly standard interpretation, which is that there is no constitutional reason why the Secretary of State cannot legislate on historical institutional abuse or on the victims’ pension—the pension for the severely injured and disabled. The Library says:
“As a matter of constitutional law, the UK Parliament can legislate with regard to any matter whatsoever in relation to Northern Ireland, relying on the principle of Parliamentary sovereignty.”
It goes on:
“If the Assembly is unable to introduce legislation, UK Government Ministers may decide that it is either necessary or expedient to ask Parliament to do so.”
Of course, they may decide it is not politically expedient to do so or not timely to introduce those things. That is what we are dealing with here—
I hope that when the Secretary of State intervenes she will explain that.
I wanted to make the point that although, constitutionally, this Parliament can legislate on any matters regarding the United Kingdom, where a matter had been devolved we would be undermining the devolution settlement—that is the point. It would be extraordinary for this Parliament to decide to legislate, unilaterally, where, for example, such an inquiry was set up by the Welsh Assembly or the Scottish Government. We do not take these things lightly and we need to give them great consideration, although I have enormous sympathy with the victims, in both cases.
The hon. Gentleman will know that I was in the Home Office at the time we set up the inquiry on institutional abuse across England and Wales. We carefully considered, and had many debates in the House on, whether the issues in Northern Ireland and the existing Hart inquiry should be brought into that inquiry, but the decision was taken that they should not, because the Executive had already set up the Hart inquiry.
I thank the Secretary of State for that intervention, but she cannot have her cake and eat it. She cannot argue that it would undermine the devolution settlement to intervene and legislate in areas of devolved competence—for example, on the HIA or the pension for those who have been severely disabled—and then do so. She is doing precisely that today on the renewable heat incentive scheme, which was introduced in the Assembly, by the Assembly, for Northern Ireland, and on the regional rates, which is an area to do with local government that is entirely devolved to the Assembly in Belfast. One cannot have one’s cake and eat it. One cannot speak out of both sides of one’s mouth on this issue, and I fear that that is what the Government are seeking to do.
I will give way to the hon. Gentleman in a moment, because I want to complete this point. I sought some support from KRW Law, a firm of lawyers at the Bar in Belfast. Its view is:
“There are three significant points which would support a conclusion that Parliament should in fact legislate”
particularly in respect of the HIA. It continued:
“(i) The Sewel Convention is a…convention, not a rule of law, and can be departed from for good reasons;
(ii) The constitutional obligation to avoid a vacuum in governance clearly has more weight in the present constitutional circumstances”
where we do not have an Assembly.
The hon. Gentleman raised that second point. The third was that the HIAI made a clear case for intervention. Therefore, I put it to the Secretary of State that there is clear precedent and legal support for her intervening to support some of the most vulnerable and damaged people, either under the terms of the abuse inquiry or in respect of those who have been physically disabled.
I raise the pension for those who were disabled and injured because they are here today—some are in the Gallery for today’s debate and some are meeting hon. Members from across the House. I think they would want to hear from the Secretary of State that she understands the nature of the issues they face.
I want to clarify the difference between the two issues the hon. Gentleman is talking about. The HIAI—the Hart inquiry—was set up by the Executive and therefore, constitutionally, it is a matter for the members of the Executive to make a decision on its recommendations. The Hart inquiry reported to the Executive after they had collapsed and therefore they were unable to do that. That therefore gives a legal difficulty: what would the Executive have decided on those recommendations for this Parliament to try to second-guess?
On the victims of the troubles, the hon. Gentleman will know that I have made it clear that this Government are committed to setting up the institutions that were agreed under the Stormont House agreement. We are committed to consulting on how that is done, and as part of that, we will deal with all the issues regarding the victims of the troubles, because I agree with him that those people have been waiting far too long to see remedy for what they went through.
I am grateful to the Secretary of State for the intervention, and let me answer it and the point made by the hon. Member for North Antrim (Ian Paisley). She makes my point for me. She asks what the Executive decided in respect of the HIAI and the answer is we do not know. We know that they said they thought they ought to implement its findings in full—they said that just before the Assembly went down—so we have some clarity on that. Crucially, we do not know what the Executive would have decided in respect of the regional rate and we do not know whether the Assembly would have decided to change the terms of the cap on the RHI, yet we are legislating in this place, in this Bill, to change those things, without any knowledge of what the Assembly would have done. So it precisely relevant to the business at hand—
I note that we voted earlier to allow six hours to debate these matters, so I am more than happy to hold forth at great length. The right hon. Gentleman will have to await my Select Committee’s report on this matter, which will deal partly with how, as an option for future-proofing governance in Northern Ireland, powers might be given to local government in future rather than to a body that I am afraid has shown itself to be unstable. It would clearly be inappropriate for any body to levy taxes for services for which that body was not responsible. That is the burden of the point that he was trying to make: the two clearly have to go together. I hope that my Select Committee report, which will be published in the next few weeks, will make that clear.
Although we have six hours to debate these matters, I am sure that we do not want to take that length of time.
Well, if the Secretary of State wants me to go on, I certainly will, but I think I would rapidly lose the House’s sympathy. I clearly support the Bill, which is completely uncontroversial, given the grave situation.
It is a great pleasure to follow the moving words of the hon. Member for Ealing North (Stephen Pound). I thank all those who have contributed today from across the political divide. It is particularly good that we all broadly agree about the way forward for this Bill. In bringing it forward, alongside the Northern Ireland Budget (Anticipation and Adjustments) Bill, which the House considered yesterday, we will be providing support for public services and finances in Northern Ireland.
The Bills deal solely with matters that are rightly the responsibility of the Executive and the Assembly and I very much hope that they will be dealt with at a devolved level and in a devolved Assembly in future, as that remains our overriding priority—one shared, I know, by Members across the House. In the absence, however, of an Executive and sitting Assembly, it falls to the UK Government to bring forward necessary measures, such as those in the Bill.
Setting the regional rates will give certainty to citizens and businesses over the level and frequency of their bills and to the Northern Ireland Departments that rely on the revenue from those rates. The extension of the cost-capping regulations for the Northern Ireland renewable heat incentive scheme will protect the public purse in a way that fairly upholds the interests of those receiving payments under the scheme. It is important that we take action now to address those issues.
I am particularly grateful to the hon. Member for Pontypridd (Owen Smith), who opened on behalf of the Opposition. I felt that some of the points he raised were dealt with by the Secretary of State. I am also grateful for the comments of the hon. Member for Edinburgh North and Leith (Deidre Brock) and my hon. Friend the Member for South West Wiltshire (Dr Murrison). The comments made by the right hon. Member for East Antrim (Sammy Wilson) were very much appreciated, as were those made by the hon. Member for North Antrim (Ian Paisley).
I thank the hon. Member for Belfast South (Emma Little Pengelly) for her moving and passionate speech, which certainly had the attention of all the House—I do not mean that the House was not listening to everyone else, but it listened more attentively to the hon. Lady. I also thank the hon. Members for South Antrim (Paul Girvan) and for Strangford (Jim Shannon). The Secretary of State and I are both particularly grateful for the kind comments that the hon. Member for Strangford extended in our direction.
I will try to cover some of the questions raised, but I am mindful that brevity is the order of the day and of this particular debate. The measures being taken are necessary and proportionate to safeguard public finances and public services in Northern Ireland. The decision to raise the rate was not taken lightly. The Secretary of State took account of the budgetary scenarios outlined by the Department of Finance in Northern Ireland and spoke to the parties and to stakeholders. It was clear that, to enable Northern Ireland to live within its means while safeguarding growth and addressing pressures in key areas such as health and education, the right course was to ask households to pay slightly more—in this case, less than £1 per week per household. The levels outlined in the Secretary of State’s statement on 8 March strike that balance and offer a necessary, fair and reasonable position on regional rates.
In the absence of an Executive and sitting Assembly, the measures in the Bill will help to safeguard public finances and services in Northern Ireland. I propose that the Bill be read a Second time.
Question put and agreed to.
Bill accordingly read a Second time; to stand committed to a Committee of the whole House (Order, this day).
Bill considered in Committee (Order, this day).
[Sir Lindsay Hoyle in the Chair]
Clauses 1 to 3 ordered to stand part of the Bill.
Schedule agreed to.
Bill reported, without amendment.
Bill read the Third time and passed.
Northern Ireland Assembly Members (Pay) Bill (Business of the House)
Ordered,
That the following provisions shall apply to the proceedings on the Northern Ireland Assembly Members (Pay) Bill:
Timetable
(1) (a) Proceedings on Second Reading and in Committee of the whole House, any proceedings on Consideration and proceedings up to and including Third Reading shall be taken at today’s sitting in accordance with this Order.
(b) Notices of amendments, new Clauses or new Schedules to be moved in Committee of the whole House may be accepted by the Clerks at the Table before the Bill has been read a second time.
(c) Proceedings on Second Reading shall be brought to a conclusion (so far as not previously concluded) four hours after the commencement of proceedings on the Motion for this Order.
(d) Proceedings in Committee of the whole House, any proceedings on Consideration and proceedings up to and including Third Reading shall be brought to a conclusion (so far as not previously concluded) six hours after the commencement of proceedings on the Motion for this Order.
Timing of proceedings and Questions to be put
(2) When the Bill has been read a second time:
(a) it shall, despite Standing Order No. 63 (Committal of bills not subject to a programme order), stand committed to a Committee of the whole House without any Question being put;
(b) the Speaker shall leave the Chair whether or not notice of an Instruction has been given.
(3) (a) On the conclusion of proceedings in Committee of the whole House, the Chairman shall report the Bill to the House without putting any Question.
(b) If the Bill is reported with amendments, the House shall proceed to consider the Bill as amended without any Question being put.
(4) If, following proceedings in Committee of the whole House and any proceedings on Consideration of the Bill, a legislative grand committee withholds consent to the Bill or any Clause of or Schedule to the Bill or any amendment made to the Bill, the House shall proceed to Reconsideration of the Bill without any Question being put.
(5) If, following Reconsideration of the Bill—
(a) a legislative grand committee withholds consent to any Clause of or Schedule to the Bill or any amendment made to the Bill (but does not withhold consent to the whole Bill), and
(b) a Minister of the Crown indicates his or her intention to move a minor or technical amendment to the Bill, the House shall proceed to consequential Consideration of the Bill without any Question being put.
(6) For the purpose of bringing any proceedings to a conclusion in accordance with paragraph (1), the Chairman or Speaker shall forthwith put the following Questions in the same order as they would fall to be put if this Order did not apply—
(a) any Question already proposed from the Chair;
(b) any Question necessary to bring to a decision a Question so proposed;
(c) the Question on any amendment moved or Motion made by a Minister of the Crown;
(d) any other Question necessary for the disposal of the business to be concluded;
and shall not put any other questions, other than the question on any motion described in paragraph (17)(a) of this Order.
(7) On a Motion so made for a new Clause or a new Schedule, the Chairman or Speaker shall put only the Question that the Clause or Schedule be added to the Bill.
(8) If two or more Questions would fall to be put under paragraph (6)(c) on successive amendments moved or Motions made by a Minister of the Crown, the Chairman or Speaker shall instead put a single Question in relation to those amendments or Motions.
(9) If two or more Questions would fall to be put under paragraph (6)(d) in relation to successive provisions of the Bill, the Chairman shall instead put a single Question in relation to those provisions, except that the Question shall be put separately on any Clause of or Schedule to the Bill which a Minister of the Crown has signified an intention to leave out.
Consideration of Lords Amendments
(10) (a) Any Lords Amendments to the Bill may be considered forthwith without any Question being put; and any proceedings interrupted for that purpose shall be suspended accordingly.
(b) Proceedings on consideration of Lords Amendments shall (so far as not previously concluded) be brought to a conclusion one hour after their commencement; and any proceedings suspended under sub-paragraph (a) shall thereupon be resumed.
(11) Paragraphs (2) to (11) of Standing Order No. 83F (Programme orders: conclusion of proceedings on consideration of Lords amendments) apply for the purposes of bringing any proceedings to a conclusion in accordance with paragraph (10) of this Order.
Subsequent stages
(12) (a) Any further Message from the Lords on the Bill may be considered forthwith without any Question being put; and any proceedings interrupted for that purpose shall be suspended accordingly.
(b) Proceedings on any further Message from the Lords shall (so far as not previously concluded) be brought to a conclusion one hour after their commencement; and any proceedings suspended under sub-paragraph (a) shall thereupon be resumed.
(13) Paragraphs (2) to (9) of Standing Order No. 83G (Programme orders: conclusion of proceedings on further messages from the Lords) apply for the purposes of bringing any proceedings to a conclusion in accordance with paragraph (12) of this Order.
Reasons Committee
(14) Paragraphs (2) to (6) of Standing Order No. 83H (Programme orders: reasons committee) apply in relation to any committee to be appointed to draw up reasons after proceedings have been brought to a conclusion in accordance with this Order.
Miscellaneous
(15) Standing Order No. 15(1) (Exempted business) shall apply so far as necessary for the purposes of this Order.
(16) Standing Order No. 82 (Business Committee) shall not apply in relation to any proceedings to which this Order applies.
(17) (a) No Motion shall be made, except by a Minister of the Crown, to alter the order in which any proceedings on the Bill are taken, to recommit the Bill or to vary or supplement the provisions of this Order.
(b) No notice shall be required of such a Motion.
(c) Such a motion may be considered forthwith without any Question being put; and any proceedings interrupted for that purpose shall be suspended accordingly.
(d) The Question on such a Motion shall be put forthwith; and any proceedings suspended under sub-paragraph (c) shall thereupon be resumed.
(e) Standing Order No. 15(1) (Exempted business) shall apply to proceedings on such a Motion.
(18) (a) No dilatory Motion shall be made in relation to proceedings to which this Order applies except by a Minister of the Crown.
(b) The Question on any such Motion shall be put forthwith.
(19) Proceedings to which this Order applies shall not be interrupted under any Standing Order relating to the sittings of the House.—(Paul Maynard.)
(6 years, 4 months ago)
Lords ChamberThis text is a record of ministerial contributions to a debate held as part of the Northern Ireland (Regional Rates and Energy) Act 2018 passage through Parliament.
In 1993, the House of Lords Pepper vs. Hart decision provided that statements made by Government Ministers may be taken as illustrative of legislative intent as to the interpretation of law.
This extract highlights statements made by Government Ministers along with contextual remarks by other members. The full debate can be read here
This information is provided by Parallel Parliament and does not comprise part of the offical record
My Lords, with the leave of the House I shall speak to all three Motions standing in my name on the Order Paper.
The UK Government take seriously our responsibility to uphold our commitment to govern in the interests of all parts of the community in Northern Ireland. To that end, there are three Bills before the House that represent a series of necessary steps now required to protect and preserve public services, ensure good governance and increase public confidence in Northern Ireland’s political institutions. We have deferred action on these measures for as long as possible in the hope that a restored Executive could take this legislation forward. That is now not possible. So, with the greatest reluctance, it is important that we proceed with the Bills.
With the leave of the House, I will discuss each Bill in turn, starting with the Northern Ireland Budget (Anticipation and Adjustments) Bill. Members of the House will recall that, last November, Parliament approved the Northern Ireland Budget Act 2017. This was a step we took reluctantly. This Act gave the Northern Ireland Civil Service the clear legal basis required to manage resources and perform the important work it continues to do in the absence of an Executive. The Northern Ireland Civil Service has continued since then to assess where pressures lie across the system, taking decisions to reallocate resources as required. It has also requested since then to draw down £20 million in 2017-18—of the £50 million of support arising from the financial annexe to the confidence and supply agreement—which the Government committed to releasing for 2017-18 to help address immediate health and education pressures. The remainder of that £50 million will form part of the resource totals available in 2018-19.
Noble Lords will want to be reassured that the additional funding for 2017-18 was confirmed in the Supply and Appropriation (Anticipation and Adjustments) Act 2018, which received Royal Assent on 15 March. These changes to the financial position approved in the Northern Ireland Budget Act 2017 in November must now be placed on a legal footing for the Northern Ireland Administration as we approach the end of the financial year, and that is what this Bill does.
In addition, the Bill will provide for a vote on account in the early months of next year to give legal authority for managing day-to-day spending in the run-up to the estimates process. This will avoid the unorthodox need for the Northern Ireland Civil Service to rely on emergency powers set out in Section 59 of the Northern Ireland Act and Section 7 of the Government Resources and Accounts Act (Northern Ireland) 2001 to issue cash and resources. For 2018-19, we do not consider it would be appropriate if we did not provide the usual vote on account facility to the Northern Ireland Civil Service—a facility provided to the UK Government departments through our own spring supplementary estimates process.
To be very clear, this is not a forward-looking budget for the year ahead. The Bill does not seek to set out in legislation the departmental allocations of the Secretary of State’s Budget Statement on 8 March, nor does it seek to vote any new moneys for Northern Ireland. The totals to which it is related are either locally raised or have been subject to previous votes in Parliament, most recently in the Supply and Appropriation (Anticipation and Adjustments) Bill.
Instead, the Bill looks back to confirm spending totals for 2017-18 to ensure that the Northern Ireland Civil Service has a secure legal basis for its spending in the past year. As such, it formally allocates the £20 million of confidence and supply funding already committed for 2017-18; it is not concerned with any of the £410 million set out in the 2018-19 Budget Statement, which will be a matter for the UK estimates in the summer and for a Northern Ireland budget Bill thereafter.
I will turn briefly to the content of the Bill, as it largely rehearses what I set out to your Lordships in November when bringing forward the Northern Ireland Budget Act 2017. In short, it authorises Northern Ireland departments and certain other bodies to incur expenditure and use resources for the financial year ending 31 March 2018.
Clause 1 of the Northern Ireland Budget (Anticipation and Adjustments) Bill authorises the issue of £16.1 billion out of the Consolidated Fund of Northern Ireland. The allocation levels for each Northern Ireland department and the other bodies in receipt of these funds are set out in Schedule 1, which also states the purposes for which these funds are to be used.
Clause 2 authorises the use of resources amounting to £18 billion in the year ending 31 March 2018 by the Northern Ireland departments and other bodies listed in Clause 2(2).
Clause 3 sets revised limits on the accruing resources, including both operating and non-operating accruing resources in the current financial year. These are all largely as they appeared in the Northern Ireland Budget Act 2017, and the revised totals for departments appear in Schedules 1 and 2 to the Bill.
Clause 4 does not have a parallel in that Act. It sets out the power for the Northern Ireland Civil Service to issue out of the Northern Ireland Consolidated Fund some £7.35 billion in cash for the forthcoming financial year. This is the vote on account provision that I have already outlined. It is linked to Clause 6, which does the same in terms of resources. The value is set, as is standard, at around 45% of the sums available in both regards in the previous financial year. Schedules 3 and 4 operate on the same basis, with each departmental allocation simply set at 45% of the previous year.
Clause 5 permits some temporary borrowing powers for cash management purposes. As I have already noted, there is no new money contained within the Bill; there is simply the explicit authority to spend in full the moneys that have already been allocated and locally raised.
This Bill would ordinarily have been taken through the Assembly. As such, at Clause 7, there are a series of adaptations that ensure that, once approved by Parliament, the Bill will be treated as though it were an Assembly Budget Act, enabling Northern Ireland public finances to continue to function notwithstanding the absence of an Executive.
Noble Lords may already be aware from the Library that, alongside the Bill, a set of supplementary estimates for the departments and bodies covered by the budget Bill have also been laid as a Command Paper. These estimates, which have been prepared by the Northern Ireland Department of Finance, set out the breakdown of their resource allocation in greater detail. This is a different process from that which we might ordinarily see for estimates at Westminster, where the estimates document precedes the formal budget legislation and is separately approved. That would also be the case at the Assembly, but as was the case in November, the Bill provides that the laying of the Command Paper takes the place of an estimates document laid and approved before the Assembly, again to enable public finances to flow smoothly.
This Bill is very much a technical step as we approach the end of the financial year to provide a secure legal footing for the Northern Ireland Civil Service. It looks backwards rather than forward, although it avoids the use of emergency powers for the forthcoming financial year. It is on that platform that the Secretary of State’s 2018-19 Budget Statement of 8 March builds. It is worth making it clear that the 2018-19 Budget Statement will need to be the subject of formal legislation later in year. I am sure that noble Lords will share the hope that this will be taken forward by a restored Executive. However, I should highlight to your Lordships that this is something that the UK Government would be prepared to progress if required as we uphold our responsibilities to the people of Northern Ireland.
Before we reach such a point and in addition to the technical steps of this Bill there are some further pressing steps proposed in the Northern Ireland (Regional Rates and Energy) Bill that need to be taken now to build on the Government’s efforts to safeguard public services and finances in Northern Ireland. I ask the House also to give a Second Reading to the Northern Ireland (Regional Rates and Energy) Bill.
Clause 1 of the Northern Ireland (Regional Rates and Energy) Bill addresses the collection of the regional rate, which represents more than 5% of the total revenue available to the Northern Ireland Executive. With a devolved Government in place, this would be set via an affirmative rates order in the Assembly, enabling bills to be issued in 10 instalments, providing certainty to ratepayers and allowing various payment reliefs to be applied. It would not be acceptable to allow uncertainty to linger in the absence of an Executive to set its own rates and begin collection from ratepayers. So while we are clear that this is a devolved matter, we are also clear that only the UK Government and Parliament can take this action to secure the interests of individuals and businesses in Northern Ireland.
This Bill therefore sets out rates, in pence per pound terms, for both domestic and non-domestic properties. For non-domestic properties, this reflects a 1.5% inflationary increase. For domestic properties, the rate will be raised by inflation plus 3%, as set out in the Secretary of State’s 2018-19 Budget Statement on 8 March. In deciding on these levels we have reflected on conversations with the parties and stakeholders more broadly; considered the budget consultation launched by the Northern Ireland Civil Service in December, which discusses rises in regional rates of as much as 10% above inflation; considered the pressures on key services and the need to balance any increase to rates at the right level.
We have concluded that it is fair that we ask households to pay a little more—less than £1 per week for the average household—to help address pressures in health, education and elsewhere. In order to keep a focus on the growth that Northern Ireland needs to see, holding business rates in line with inflation is the right approach. This rates income, along with the flexibilities set out in the Secretary of State’s Statement, will represent an important contribution to delivering a sustainable budget picture for 2018-19, upholding the UK Government’s responsibilities to uphold good governance in Northern Ireland. Yet the Bill also makes clear that nothing we do cuts across the continuing right of a restored Executive to set a rate by order in the usual way.
The second element of the Bill concerns the administration of Northern Ireland’s renewable heat incentive scheme. The scheme was established in 2012 to support efforts to increase the uptake in the use of renewable energy. However, errors in the administration of the scheme led to substantial excess payments. Over the 20-year lifespan of the scheme, the projected overspends were well over £500 million, with £27 million of overspend in the 2016-17 year alone, putting the sustainable finances of the Northern Ireland Executive at significant risk. The administration of the scheme and the circumstances which led to the errors in its administration are subject to an ongoing public inquiry.
One of the last acts of the previous Executive was to make regulations in January 2017 that put robust cost controls in place. These made sure that the costs were sustainable, but they were put in place for one year only, to allow for a longer-term consideration of the scheme as a whole. They are now due to expire. If they are allowed to expire, there will be no legal basis not only for maintaining the current cost cap but also for paying all those who receive payments under the scheme and whose installations were accredited before November 2015. Neither of these would be acceptable outcomes. Nor would it be suitable for the Northern Ireland Civil Service to administer payments on an extra-statutory basis, which would create unnecessary legal uncertainty for all concerned. That is why Clause 2 will ensure that the present cost controls and the legal basis for payments can continue for the 2018-19 financial year. These are sunsetted for a year, as it is right that the longer-term approach is one for a restored Executive to decide. In the meantime, I am assured that the Northern Ireland Civil Service will undertake the detailed analysis to enable a new Executive to consider the right course for the future.
I hope noble Lords will agree that this is a modest Bill, doing two very discrete but necessary things in the interests of safeguarding public finances: setting a regional rate and extending the cost controls of the RHI scheme.
The third and final Bill before the House today is the Northern Ireland Assembly Members (Pay) Bill. Where the other Bills focus on increasing clarity and confidence in Northern Ireland’s finances, this Bill looks to increase public confidence in Northern Ireland’s political institutions. The continued payment of full salaries for Members of the Northern Ireland Assembly, when the Assembly has not met for over a year and there has been no Executive for 14 months, is a matter of considerable public concern in Northern Ireland and there is a broad desire for action. The Bill will grant the Secretary of State the power to vary pay and allowances for Members of the Northern Ireland Assembly, the MLAs.
MLAs’ salaries and allowances are rightly a devolved matter. In 2011, the Assembly appointed an independent body, the Independent Financial Review Panel, to set MLA pay and allowances by means of determinations. Its last determination was made in March 2016, before the election in May that year. As no members have been appointed since the first panel’s term of office ended in 2016, however, there is presently nobody with the power to change MLA pay to reflect the current extraordinary circumstances. The Bill would allow the Secretary of State to do that; that is, to vary the pay and allowances of MLAs by means of a determination. One important difference from the panel’s powers is that, while the panel also makes determinations on pensions, the Bill includes an explicit protection for MLAs’ pensions so that they are not affected by any changes to pay under this Bill.
Under the panel’s most recent determination, an automatic £500 per year inflationary increase in MLAs’ salaries is due on 1 April. It is simply not appropriate for this increase to apply in the present circumstances, and my right honourable friend the Secretary of State intends—if granted the power by this Bill—to stop that increase from being applied. Support for this action comes in the advice on MLA pay and allowances that Trevor Reaney, a former Clerk to the Northern Ireland Assembly, gave to the then Secretary of State in December 2017. It also comes from the Assembly Commission, whose chair, the Speaker of the Assembly, wrote to the Secretary of State earlier this month. There was also widespread support for it in the other place when this Bill was debated there last week. I hope that noble Lords across the House will agree that this is a suitable step to take in the current circumstances.
More broadly, Mr Reaney’s advice provided an independent assessment of what action should be taken on MLA pay and allowances in the current circumstances, taking account of all of the important work that many Members continue to do in the absence of an Assembly. These recommendations included a 27.5% reduction in MLAs’ salaries. The Secretary of State has been clear that she is minded to follow Mr Reaney’s recommendations, with the exception of the proposed cut to the staff costs allowance. As the Secretary of State has said,
“The position of”,
MLAs’ staff,
“should not be prejudiced by what is happening with their political masters”.—[Official Report, Commons, 21/3/18; col. 339.]
Before making her final decision, however, she has asked for final representations from the political parties. This is a sensible approach that I hope noble Lords will support.
This Bill would not itself alter MLAs’ pay or allowances. It simply creates the power to make a determination during the current period without an Executive. Once an Executive is formed, the power to make a determination would return to being entirely a devolved matter. A future panel would, of course, be free to make a new determination as it sees fit, including to cover periods without an Executive. This determination would supersede any made by the Secretary of State under this Bill. To ensure that we do not again find ourselves in the situation where MLAs remain on full pay when there is no Executive and no panel determination covering the situation, the Bill allows a determination made by the Secretary of State in the current period to apply again should that situation arise. To be clear, it is the determination that would apply again: the power to make a new determination would in that situation remain devolved.
Overall, the focus of this Bill is narrow, and I consider that taking the power to set MLA pay is a necessary step to uphold public confidence in Northern Ireland in the absence of an Executive and sitting Assembly.
I recognise the extent of the ask of the House in considering all three Bills in one day. As I conclude, I would like to reaffirm that the Government have considered very carefully the necessity of and timing required for this legislation. We are doing this reluctantly in order to put Northern Ireland finances on a legal footing for the financial year 2017-18; to provide more certainty and a sustainable footing for the financial year 2018-19, in the interests of protecting public services; and to ensure good governance and uphold public confidence in Northern Ireland. I believe that these Bills reflect our approach of intervening only as necessary, and only at a point when it is critical that the measures are taken forward. I hope noble Lords will agree that it is important we now make progress to see the measures of each Bill passed into law. I beg to move.
My Lords, this has been a very wide-ranging discussion, as it always is when we confront the serious issues we encounter in Northern Ireland. I am struck by the remarks of the noble Lord, Lord Hay of Ballyore, who spoke of the Belfast city deal and the Derry/Longdonderry city deal. Would it not be great if that was all we were talking about today: the UK Government’s contribution to a deal determined by an Executive in Northern Ireland which was about jobs, growth, employment and prospects? Would that not be something that we could celebrate?
However, we are not doing that, and more is the pity. I do not detect any dispute among noble Lords today that we must take forward these three Bills. I recognise that we are doing so in an expedited manner, and for that I apologise on behalf of the Government, but that is what we must do today. I am conscious that a number of the issues that have been raised today are about future spend, and it is important to stress that the Bills before us here today are, in effect, about regularising the 2017-18 spend, the spend that we are currently engaged in delivering. A separate Bill will be brought before another place and this House with regard to specific provisions of future spend inside Northern Ireland. That will be an opportunity again to touch upon a number of these issues as we go forward.
Before I delve into the budget itself, it is important to talk a little about future talks and the future status as a number of noble Lords have raised those matters—I thank the noble Lord, Lord Murphy, and the noble Baroness, Lady Suttie, for doing so. We are in a period of reflection. That is sometimes used euphemistically, but it means to look inside and ask yourself what is going on and what should be going on. This period will be short, I hope. It is also important to stress that during the talks progress was made. We did not get to the other side of the chasm, but we made substantial progress, and it is on that basis that my right honourable friend the Secretary of State for Northern Ireland continues to emphasise that she is of the view that we will find the means of bringing about an agreement upon which we can build and which will, I hope, supersede all that we do here today.
As we consider the various elements that might help us move forward—the noble Lord, Lord Murphy of Torfaen, has raised a number of these points—we welcome Senator George Mitchell to our shores. We pay tribute to the service he rendered our country in helping bring about that agreement in the past. As I have said on more than one occasion, we are not ruling out an independent referee, to use that term. If I may be frank, I would welcome noble Lords’ thoughts in that regard. Nothing can be ruled out. We need to be conscious of that.
It is important for me to emphasise that my right honourable friend the Prime Minister has been very active in this regard, and I do not doubt that she will continue to be active. Indeed, as we mark and celebrate the Belfast agreement—the Good Friday agreement—the Prime Minister will be in Belfast taking part in those celebrations, marking that important moment and meeting participants at that time.
The core point raised by the noble Baroness, Lady Suttie, was the notion of what model we can look at to see this afresh. Part of the challenge for anyone who listened to or read of the outcomes of the two recent conferences of the two principal parties in Northern Ireland is that it is clear that there is no alternative model ready to be pulled off the shelf. I am sad to say that, but it is a simple statement of fact. If there was, I believe we would have done so already. That does not mean that it cannot be found, but it certainly means that we have not yet found it. It is sad, but I must reflect upon that point.
If I may touch upon the Bills themselves, I am struck again by some of the very useful remarks made by the noble Lord, Lord Empey—they always are useful. I will not go into the details of the Historical Institutional Abuse Inquiry, which I suspect are well known in our House, but it remains our overriding priority to see devolution restored—I cannot, frankly, say that often enough—so that a new Executive can take decisions on a range of strategic issues and respond directly to Sir Anthony’s report. For anyone who has read it and recognised what it contains, it makes challenging reading. Of that there is no doubt. The courage and dignity of those who have taken part in that particular inquiry are to be commended. I acknowledge the frustration so many feel about the lack of progress, particularly in the absence of an Executive to consider that particular report. But I welcome the preparatory work being taken forward by the Executive office to enable action to be taken swiftly once an Executive is restored.
As to the matter of the wider question of legacy, we do have a very clear duty to survivors and victims to bring forward proposals to address the legacy of the past. There is broad agreement among victims and survivors that the legacy institutions, as they are currently set up, are not working. That is a sad admission in itself. We continue to seek the implementation of the legacy institutions in the Stormont House agreement as the best way to provide better outcomes for victims and survivors. We believe that the institutions have the potential to provide better outcomes. We believe that very strongly. The proposed Stormont House legacy institutions would be under legal obligation to be balanced, proportionate, transparent, fair and equitable. The next phase is to consult publicly on the details of how the new institutions will work in practice. A public consultation will provide everyone with an interest the opportunity to see the proposed way forward and contribute to the discussion on the issues. The Government want to begin that consultation soon with the aim of building support and confidence in the new legacy institutions from across the community. We are obliged to move forward so that the victims and survivors are able to see progress—not just hope that it will occur in due course. We continue to support reforms of the legacy inquest system to provide the best way to address this. We are also committed to provide £150 million—
Could the Minister give us some indication about how long the consultation process will be?
That was a question I did not anticipate. I thought you might ask when it would begin, but not how long it would be. On that basis, I will write to the noble Baroness with the specific duration, as I do not have that information to hand.
If I may turn my attention to the harrowing remarks of the noble Lord, Lord Hain, who opened the debate today. There are complex issues. A number of noble Lords have touched upon this. I have in front of me a very clear statement of the Government’s position, which I will read out. We will work to seek an acceptable way forward on the proposal for a pension for severely physically injured victims for a restored Executive to take forward. I hope a new Executive might bring forward a pension proposal that has the support of and meets the need of victims and survivors in Northern Ireland. I know that does not respond adequately to the points he raised in his remarks. If he will forgive me, might I suggest we meet after this point to discuss this further? That would be useful and important.
I am grateful to the Minister for his positive response. May I ask him to reflect before we meet—and I am grateful for that invitation—on the fact that we do not know how long it will take to restore the Executive? This Government and this Parliament have responsibility ultimately for legacy matters. There is no reason why the small cost could not be proceeded to at least rectify one injustice while the wider question of the legacy issues is addressed.
I thank the noble Lord for that point. Yes, I will reflect before we meet, and I hope we can meet soon.
If I may touch upon some of the wider issues raised, a number of noble Lords made the point about the question of particular meetings taking place without minutes being taken and so on. I thought I had better seek guidance from the wise people in the Box. They have come back simply saying it would not be appropriate for me to comment on the actions of the Northern Ireland Civil Service nor the ongoing public inquiry. What I can say in my own personal capacity is that minutes matter and should be taken.
I am conscious that a number of points were raised about the RHI question. There is an inquiry exploring how the scheme itself was constructed and put together, and I invite all noble Lords who contributed today to take the opportunity to make their points very clearly to that inquiry. I am aware, however, that the Bill before us today has a very specific purpose, which is to allow an extension of one year only to the current arrangements with a sunset clause. I am conscious that a number of individuals will be concerned about this initiative, and we need to find a way to bring some comfort to them as they contemplate what that will mean. I hope there will be a welcome outcome. I have specific notes here saying that there will be a 12-week consultation period—helpfully, this time I have the exact duration—between April and June, when these views can be put. We are working against the deadline of 31 March for the longer-term solution. There is a recognition that there needs to be a longer-term solution to address these aspects.
The noble Lord, Lord Maginnis, described himself as blunt. I think we can all endorse that view. The points that he made are none the less important. Specifically, he questioned how the Northern Ireland scheme compares to the scheme in the rest of the UK. If he will forgive me, I will write to him on that point so that we can set out in greater detail how the two schemes measure against each other. There are a number of technical aspects that I hope will be able to be addressed in that letter.
I emphasise again that the purpose of moving this forward for one year is not to enshrine this approach for ever but rather to provide an opportunity for the incoming Executive to focus quickly and carefully on what I believe are a number of the well-established flaws in this approach and to address them head-on. We have, I hope, time in which we can do that, and the notion that we are creating primary legislation in this instance should be no impediment to that because of the manner in which the Bills themselves are drafted. I hope that will help the noble Lord to address this.
I am aware that on more than one occasion the noble Lord has raised the point about the wisdom that is contained within this House. I too am grateful for that, even during today’s debate. I believe that, as the talks and discussions are ongoing, that wisdom should be drawn upon. I welcome again the meeting that took place between my right honourable friend the Secretary of State for Northern Ireland and some of your Lordships earlier today. I would like to see that happen with greater frequency so that we can ensure that, as the ideas begin to coalesce and crystallise, the views in this House are taken forward.
The noble Lord, Lord Bew, raised the issue of how we can understand the breakdown of the data. After the last time when we spoke on this matter, I am aware that I promised to give him that breakdown of the data but I fear that I may not have done so as yet. The noble Lord is right: it is important that we not only understand what we are doing at the moment but see it as part of a longer trend so that we understand exactly what is happening in Northern Ireland and interrogate the data where there appear to be things that on the surface do not look as if they are comparable with anywhere else. I would much rather see the five-year rolling cycle of data that can be fully interrogated. I commit again to breaking down the data with regard to the educational question, and I hope to be able to give some greater clarification in that regard.
As to the notion of the Commonwealth games, I am happy to give a personal commitment on that matter. I would like to think that the Government would join me in that commitment; that is an initiative that would be well worth taking forward.
I am conscious that the noble Lord, Lord Browne, raised an interesting point regarding the continuity of the business rate support scheme. Helpfully, the little note that I got back from the Box simply contained the word “Yes”, so I believe that that particular scheme will indeed be continuing. If the noble Lord requires further details, I can provide them as well.
I shall touch on some of the matters raised by the noble Lord, Lord Empey. I am aware that we have squeezed this debate into a very short time, and for that I apologise. I would much prefer a Northern Ireland Executive to take as long as they felt they needed to interrogate all this. I would much prefer that Executive to be dealing with it because they are living it, rather than sitting on burgundy Benches, but we are not quite there yet. I hope I have addressed the issues about the minutes to the noble Lord’s satisfaction—or as best I can. I am aware of the concern he raised about the heating initiative and I hope we can make some progress to give certainty there.
As for the wider questions of legacy, support for victims and so on, the noble Lord is absolutely correct: this needs to be above politics. It is humanitarian; it is not and should not be a matter for partisan division, and I hope we can take it forward on that basis. Progress will need to be made on that sooner rather than later.
My noble friend Lord Lexden raised an important issue about mental health. I can confirm that there will be £10 million in the budgetary cycle of 2018-19 to address those specific and serious issues, which I believe will be necessary.
Commenting on the remarks of the noble Lord, Lord Murphy, we too, on this side, regret the departure of Owen Smith. He was an asset to the ongoing discussion and leaves behind a void. I am sorry to see that.
In conclusion, the noble Lord, Lord Murphy, pointed out that he was not the right person to take forward direct rule in Northern Ireland. Nor am I. I am no better equipped—frankly, far less equipped—than he is.
Before the Minister sits down, I draw his attention to one thing that he and the noble Lord, Lord Murphy, said: perhaps it would be a good idea to have a second-generation George Mitchell. We do not want another George Mitchell. Much as we loved him, much as we worked under him and much as we sought to achieve an agreement, that agreement was voted on north and south. I have nothing more to concede as an Ulster Unionist, and I hope noble Lords will remember that.
I thank the noble Lord, Lord Maginnis, who makes his point clear, as always. I understand exactly what he is saying.
On that basis, I hope your Lordships will accept that this is not what we want to do, it is not how we want to do it and it is not when we want to do it, but it is what we must do.
Before the noble Lord sits down, I ask him to reflect on the Judge Hart inquiry. If I picked up him correctly, he indicated that this would await the return of an Executive. I point out to him that every solitary MLA I am aware of supports the implementation of that inquiry. Other parties represented here can say no if they disagree. Every party supports it. Some of the material in the report is very harrowing. One lady started off in the system at four years old. She is now 87. How much more do we have to put these people through? I therefore ask the Minister to discuss with his colleagues and reflect on that.
Secondly, on the RHI scheme, although I appreciate that this is a renewal, it was originally based on no substantive information. I suggest that the Minister again consult his colleagues and ensure that a proper working party is established to alleviate this, because people are losing their livelihoods as a result of this botched scheme.
Just before the Minister gets to his feet, I should like to say that I broadly agree with what the noble Lord, Lord Empey, said. There is no doubt that all the political parties in Northern Ireland want this issue resolved. The issue I raised earlier was that the institutions that carried out the abuse should be made to pay for some of that abuse and repent for all of it. I do not think there is an issue in resolving this, but it would be totally wrong if only taxpayers’ money was used to resolve it.
I thank both noble Lords for their interventions, and I will reflect on them.
As to the RHI scheme, there will be an opportunity to feed in about past failings. The key thing now is to ensure that its future workability is also examined in some detail. These are matters on which I hope we can move forward on that basis. Therefore, I beg to move.