Lindsay Roy (Glenrothes) (Lab)
1. What assessment he has made of the potential effects on jobs in Scotland of Scottish independence.
The Parliamentary Under-Secretary of State for Scotland (David Mundell)
The UK Government firmly believe that Scotland is, and always will be, better off in the UK. The UK Government are undertaking a programme of analysis to evaluate how Scotland contributes to, and benefits from, being part of the UK.
Lindsay Roy
I thank the Minister for that answer. Will he explain why there is so much concern among those working in the defence and supply chain industries in Scotland over the future of their jobs?
David Mundell
I can advise the hon. Gentleman that, as of April, there were 15,880 regular armed forces and Ministry of Defence civilian personnel based in Scotland, and an additional 40,000 people employed in defence-related industries in around 800 companies. Not one of those people could guarantee their job under an independent Scotland.
Mr James Gray (North Wiltshire) (Con)
The SNP’s commitment to a nuclear-free Scotland will presumably mean the end of Trident, the end of the Vanguard submarines that carry it and the end of Rosyth. Am I right in thinking that that affects something like 6,500 jobs in Scotland? Does the Minister think that these jobs would be replicated elsewhere, or would those people simply lose their jobs, thanks to an SNP Government?
David Mundell
I can advise my hon. Friend that by 2020, there will be 8,000 jobs based at Faslane, following the recent announcement by the Secretary of State for Defence of an additional 1,500 jobs. There is absolutely no certainty about what would happen to anybody employed in the Ministry of Defence or the defence industries in Scotland under an independent Scotland.
Stewart Hosie (Dundee East) (SNP)
The list of recent investment and job announcements in Scotland has been quite remarkable, particularly in the renewables sector. The Minister will know there were £2.3 billion-worth of completed projects to July this year, and that there is a future pipeline of £9.4 billion with many thousands of jobs attached. Each of those investment decisions has been taken in the sure and certain knowledge that the referendum is coming and independence is likely. Why does the Minister think that these investment decisions continue to be made, and why is nobody listening to his scare stories?
David Mundell
I do not agree with the hon. Gentleman’s analysis. These investments are taking place despite the uncertainty, not because of it. I tend to agree with the chief executive of Aggreko, who said yesterday in giving evidence to a parliamentary Committee that the supposed benefits of independence were “small and tenuous” and unlikely to arise, while the dangers were “large and serious”.
Stewart Hosie
The Minister mentions uncertainty, but the only uncertainty we have seen is the massive increase made in the North sea supplementary charge with no discussion with the sector, and the uncertainty for employees now that this Government are making it easier to sack people. Is it not the case, as Douglas Sawers of Ceridian said when he made a significant investment earlier this year, that in the event of independence, the Scottish Government’s approach will be to make Scotland more, not less, competitive? Is that not the truth? Instead of scare stories, we are going to move to independence with a Government who will make Scotland more, not less, competitive?
David Mundell
When the people of Scotland make a decision on independence in the referendum, they must be sure that that decision is a long-term one. Independence is not for Christmas 2014. If the hon. Gentleman looked at the Institute for Fiscal Studies report, he would see that it says that an independent Scotland would face much harder decisions than the rest of the UK in the longer term.
Anas Sarwar (Glasgow Central) (Lab)
13. The Minister will be aware that 30,000 Scots are employed by UK Government agencies to work as civil servants in Scotland, including in the Department for International Development, which has 450 staff members in East Kilbride. What would happen to those jobs if Scotland voted for independence, and has there been any clarity on that from the SNP?
David Mundell
There has been no discussion between the SNP, or indeed the Scottish Government, and the UK Government about the future of defence-based jobs, civil service jobs or any other jobs in Scotland. The people in those jobs would face, as would everybody else, great uncertainty if Scotland were to become independent.
Bob Blackman (Harrow East) (Con)
2. What role the Electoral Commission will play in the referendum on Scottish independence.
The Secretary of State for Scotland (Michael Moore)
The agreement reached between the United Kingdom and Scottish Governments recognises the importance of the independent Electoral Commission and that the referendum should be based on the normal rules for referendums held across the UK.
Bob Blackman
It is clearly important for all parties to respect the independence of the Electoral Commission. Does my right hon. Friend agree that if the SNP Administration in Scotland were to ignore the commission’s advice, that would taint the whole process and call into question whether the referendum was fair?
Michael Moore
My hon. Friend is right to highlight the expertise and experience of the Electoral Commission, which is indeed a highly respected institution. I do not think that it would be in the interests of the Scottish Government or any nationalists to pit themselves against the commission’s advice.
Karen Lumley
Does my right hon. Friend share the concern that the referendum question submitted to the Electoral Commission by the Scottish Government is weighted in favour of a positive outcome?
Michael Moore
I understand the concern that people feel about the formulation presented by the Scottish Government, but I think that, given its great experience, great expertise and trusted status, the Electoral Commission is in the right position to carry out the right procedures. I am ready to stand by its advice, and I hope that the Scottish Government are too.
Mr Ian Davidson (Glasgow South West) (Lab/Co-op)
Does the Secretary of State accept that while the Electoral Commission may be a trifle wishy-washy on occasion, it is necessary for an impartial body to decide important questions such as the question of the question? The alternative is for separatists to be both referee and player, and it is simply unacceptable for the party that is on one side of the argument to decide the rules as well.
Michael Moore
I entirely agree with the eminent Chair of the Scottish Affairs Committee. He and his colleagues have been conducting a series of investigations of that issue and others relating to independence. I believe that the referendum must be seen to be fair to both sides. We cannot possibly have folk calling the outcome into question at the end of the process, which is why we have laboured long and hard to secure a referendum that is legal, fair and decisive. I hope that the Scottish Government will accept the Electoral Commission’s advice.
Ann McKechin (Glasgow North) (Lab)
Given that any proposal to extend the franchise to 16 and 17-year-olds is unlikely to take effect until the spring of 2014, will the Electoral Commission provide advice on how all those young people will be able to register and vote in any referendum?
Michael Moore
The hon. Lady has raised an important point about the potential extension of the franchise. It will be for the Scottish Government to present detailed proposals, but I imagine that the Electoral Commission will be closely involved in the guidance that is provided for all voters as we approach the referendum.
Mrs Eleanor Laing (Epping Forest) (Con)
Yesterday, the gentleman who gave evidence to the Select Committee chaired by the hon. Member for Glasgow South West (Mr Davidson) on behalf of the Yes Scotland campaign for separation refused to state categorically that his campaign would abide by the advice of the Electoral Commission. What sanctions can be imposed on a Government, a Parliament or a campaign that blatantly refuses to take the commission’s advice ?
Michael Moore
I understand my hon. Friend’s anxiety, but this Government and their predecessors have always followed the advice of the Electoral Commission, and I would expect the Scottish Government to do so as well.
Mr Mike Weir (Angus) (SNP)
The Secretary of State has just asserted yet again that no Government have ever ignored the advice of the Electoral Commission, and has implied that the Scottish Government might. Far from ignoring the commission’s advice, the Scottish Government have yet to receive it. Meanwhile, the right hon. Gentleman’s Government have rejected the Electoral Commission’s advice on the desirability of referendums on council tax in England. Will he now put the record straight?
Michael Moore
I hope that I can reassure the hon. Gentleman and help him to calm down. As the Electoral Commissioner John McCormick said on television just the other weekend,
“For every referendum that has taken place, the Electoral Commission’s advice and question has been accepted.”
As for the issue of local government referendums, none has taken place. We have already said that we have reflected on the Electoral Commission’s advice, and I shall be presenting proposals on that question very shortly.
Andrea Leadsom (South Northamptonshire) (Con)
3. What steps his Department is taking to promote businesses in Scotland around the world.
Alun Cairns (Vale of Glamorgan) (Con)
12. What steps his Department is taking to promote businesses in Scotland around the world.
The Secretary of State for Scotland (Michael Moore)
The Government are committed to promoting United Kingdom businesses, including in Scotland, around the world. Brian Wilson, the former Trade Minister, is currently carrying out a review of Scottish exporting and has been appointed a UK business ambassador with special focus on Scotland.
Andrea Leadsom
I am grateful to my right hon. Friend for that reply. Does he agree that, as well as promoting business, we need to support businesses at this time when access to finance is so difficult? What steps is he taking to work with the devolved Government to ensure that there are prompt payments in the supply chain, and in particular that the public sector pays private sector suppliers in a timely fashion?
Michael Moore
My hon. Friend makes an important point. The Government are committed to ensuring that private sector suppliers are paid on time so they can sustain their businesses, and I am happy to work with the Scottish Government, or anybody else in the public sector, to ensure that everybody adheres to best practice.
Alun Cairns
What action is the Secretary of State taking to ensure there is no conflict between Scottish Development International and UK Trade & Investment when they use public money to try to attract companies either side of the border by offering bigger carrots?
Michael Moore
My hon. Friend underlines the importance of trade for the Scottish and UK economies. Scotland’s exports are worth some £22 billion, but to put things in perspective, that is half the value of what we sell into England, Wales and the rest of the UK. SDI has 21 offices in 13 countries, whereas UKTI has 162 offices in 96 countries, and 270 Foreign and Commonwealth Office consuls operate in 170 countries. That network offers a great opportunity to Scottish business to get the best out of the United Kingdom. It is important that we work together, and it is clear that we are stronger together and would be weaker apart.
Margaret Curran (Glasgow East) (Lab)
As we have seen, the work undertaken here has an impact on Scottish businesses both at home and abroad. May I draw the Secretary of State’s attention to the troubles that Scottish businesses are currently experiencing, however? Unemployment is now higher in Scotland than in the rest of the UK. Recent research by the Fraser of Allander Institute reveals another challenge for the Scottish economy and Scottish businesses: it found that welfare changes in Glasgow alone will remove £115 million from the local economy and lead to the loss of almost 2,000 jobs across Scotland. What does the Secretary of State plan to do about that?
Michael Moore
I share the hon. Lady’s analysis in this respect: there is a huge mess that has to be cleared up, and there are significant challenges and some deep-seated problems in the Scottish and UK economies, as well as real problems on our doorstep in Europe. Every time she comes to the Dispatch Box, however, she tries to duck Labour’s responsibility for the mess we inherited, and she simply cannot do that. We are determined to ensure that through welfare reform we make work pay, by supporting the most vulnerable and helping people into work. We are also determined to put money back into the pockets of low-income and middle-income Scots; from next April, 162,000 will be taken out of tax entirely, and 2 million will have seen their tax bills reduced.
Margaret Curran
Perhaps I can draw the Secretary of State’s attention to some of the comments made by his Liberal Democrat colleagues, who I do not think share his enthusiasm for his welfare changes, and ask him to focus on the loss of jobs that they will cause in Scotland. Perhaps he should focus a little more on that. The truth is that the Government’s policies are hitting Scotland hard, and the Secretary of State must start addressing the work his Government are doing in Scotland. Earlier this month in a letter to me, the Secretary of State revealed he is not on a single one of the Cabinet Committees dealing with either the economy or welfare. The last time I questioned the Secretary of State we had no action on food banks, and now there is no action on Scotland’s economy. It would seem that he does not understand the impact of the welfare changes in Scotland. When are you going to start doing your job in relation to the Scottish economy?
Mr Speaker
Order. I am certainly doing my job, but I think the hon. Lady is referring to the Secretary of State, and we will now hear about how he is doing his.
Michael Moore
Once again, we are going to take no lessons from the Labour party about the state of the United Kingdom economy. We have a plan that will make sure we deal with the mess it left us, and that gets us back on the right track and gets us sustainable growth—unlike Labour, which has no plan whatever.
Mr David Amess (Southend West) (Con)
4. What recent discussions he has had with the Scottish Government on the referendum on Scottish independence.
John Robertson (Glasgow North West) (Lab)
5. When he last met the First Minister to discuss the planned referendum on Scottish independence.
The Secretary of State for Scotland (Michael Moore)
I have discussed the referendum with the Scottish Government on a number of occasions, most recently on 15 October, when Scotland’s two Governments reached agreement on the process to ensure that there is a legal, fair and decisive referendum.
Michael Moore
I certainly agree with my hon. Friend that Scotland is stronger as part of the United Kingdom economy. We would be weaker if we were outside it, primarily because it gives us access to this huge single market which takes twice as many of our exports—if we can call them that—as anywhere else in the world; it has the resilience to absorb huge financial catastrophes, such as the bank collapse; and it gives us the clout internationally to be at the top table, where all the key economic decisions are made. That is far better for Scotland.
John Robertson
Does the Secretary of State agree that last week we saw an example of what happens when people do not listen to the Electoral Commission—the debacle of the police commissioner elections, with a turnout of less than 10% in some places and empty boxes? Will he talk to the Scottish Government to ensure that a similar debacle does not happen in Scotland?
Michael Moore
Funnily enough, I do not agree with the hon. Gentleman on the example he uses, but I am in complete agreement with him on the principle that we should listen to the Electoral Commission and follow its advice.
Dr Eilidh Whiteford (Banff and Buchan) (SNP)
I was not particularly going to ask about this issue, but I am happy to ask the Secretary of State—
Pete Wishart (Perth and North Perthshire) (SNP)
Thank you for clearing up that confusion, Mr Speaker.
Can the Minister confirm that following the Edinburgh agreement, which all parties agreed to, the referendum on independence is now exclusively a matter for the Scottish Parliament and that this House has no further role in it?
Michael Moore
I know that the hon. Gentleman always wants to denigrate the Parliament of which he is a part, and I wish he would stop doing that, but I point out to him that a rather important part of that agreement is that we will pass the section 30 order, which will transfer the powers to the Scottish Parliament. Importantly, that will involve debates in this place and in the other place, as well as in the Scottish Parliament. We are all part of this debate, and all Scots will be part of that political process.
Mr William Bain (Glasgow North East) (Lab)
When the Secretary of State next meets the First Minister will he share with him the powerful call of President Clinton and Secretary Albright when they visited these shores reminding us that what binds us together is far more powerful than any distinctions in identity?
On economic co-operation, was the Institute for Fiscal Studies not right to point out that if we want to diversify the Scottish economy away from our dependence on oil and gas revenues, we need not only a shared currency and interest rate, but a powerful and strong fiscal union which benefits Scotland? That is the likely result in terms of our shared prosperity in the future.
Michael Moore
The hon. Gentleman makes two important points. One is that when senior international figures look at the issue confronting Scots—the most important political decision in 300 years—time and again they say that they think Scotland would be better off as part of the United Kingdom. Secondly, the report he highlights is significant as it shows the strength of Scotland’s economy as part of the UK, both in terms of its opportunity and in reducing the risks attached to it. [Interruption.]
Mr Speaker
Order. Far too many noisy private conversations are taking place—mainly on the Opposition Benches at the moment. Let us hear from Mark Pritchard.
Mark Pritchard (The Wrekin) (Con)
6. What recent assessment he has made of the benefits to Scotland of the UK’s membership of NATO; and if he will make a statement.
The Parliamentary Under-Secretary of State for Scotland (David Mundell)
Scotland is stronger in defence terms as part of the United Kingdom within NATO. NATO is the bedrock of our national security, and the UK is one of its largest contributors. There is no guarantee that an independent Scotland would gain automatic membership.
Mark Pritchard
What discussions has my right hon. Friend held with the Scottish Government on their dialogue with NATO, given that so many within that Government are anti-nuclear and NATO is a pro-nuclear alliance?
David Mundell
It is not clear whether the Scottish Government have had any dialogue with NATO about prospective membership and it is quite clear that membership could not be guaranteed. As the NATO Secretary-General said, the
“door does not open…just because you stand in front of it.”
Thomas Docherty (Dunfermline and West Fife) (Lab)
Rosyth dockyard in my constituency works for the Ministry of Defence and the Royal Navy. Will the Minister clarify whether, if Scotland were a separate country, regardless of its NATO membership, Rosyth dockyard would get work from the Royal Navy?
David Mundell
Many UK defence contractors benefit from contracts that are exempt from EU procurement rules for national security reasons, meaning that they have to be placed or competed for within the United Kingdom. Many such contracts have been awarded in the hon. Gentleman’s constituency and there is no guarantee that they would be awarded in an independent Scotland.
Sir Menzies Campbell (North East Fife) (LD)
Does my right hon. Friend accept that there is an inherent contradiction in saying that one thinks that nuclear weapons are an obscenity while at the same time wishing to join an alliance based on both conventional and nuclear deterrence? Are not those two positions wholly irreconcilable?
David Mundell
I absolutely agree with the right hon. and learned Gentleman. Some honourable former members of the Scottish National party, such as MSPs Jean Urquhart and Mr Finnie, agree with him and they could not reconcile their positions. Many SNP MSPs continue to sit in government in Scotland, however, despite being unable to reconcile those two positions.
Ian Murray (Edinburgh South) (Lab)
7. What recent assessment he has made of the economy in Scotland.
The Secretary of State for Scotland (Michael Moore)
The UK Government have reduced the deficit by a quarter and we are taking important steps to promote growth. Cutting corporation tax, accelerating infrastructure projects and establishing the funding for lending scheme are just some of the range of measures being implemented.
Ian Murray
Does the Secretary of State agree with the recent assessment of the Institute for Fiscal Studies that in the event of a separate Scotland the economy will not be sustainable in the long term?
Michael Moore
I quite agree with the hon. Gentleman. We will have much stronger opportunities if we continue as part of the United Kingdom than we will if we go our own separate ways.
Sir Robert Smith (West Aberdeenshire and Kincardine) (LD)
Vion has put up for sale McIntosh Donald, a meat processing factory at Portlethen in my constituency that employs 600 people. Will the Secretary of State emphasise to any potential buyer north-east Scotland’s excellent reputation for high-quality meat production and the importance of the factory in a route to market for that excellent product?
Michael Moore
My hon. Friend makes an important point. These have clearly been difficult months, particularly for those employed by Vion at Hall’s in West Lothian, and now we have the sale of the rest of the group. I am happy to meet my hon. Friend and other Scottish colleagues to discuss the implications, and encourage everybody to see the potential in the company. I hope that we will sustain the jobs that are in it.
Tom Greatrex (Rutherglen and Hamilton West) (Lab/Co-op)
Vion’s decision to cease operations in Scotland also affects up to 400 people in my constituency in Cambuslang. Does the Secretary of State agree that it is intolerable for the company to refuse to provide those 400 people, who are obviously very anxious about their future, with meaningful information? Will he make contact with the company to remind them that they should be ensuring that their employees get clarity about their positions as soon as possible?
Michael Moore
The hon. Gentleman makes a very fair point and I shall certainly take it up on his behalf and add to his efforts with the company. I will be happy to meet him in due course to discuss it further.
Mr Alan Reid (Argyll and Bute) (LD)
8. What steps the Government are taking to widen access to superfast broadband in Scotland.
The Parliamentary Under-Secretary of State for Scotland (David Mundell)
The UK Government are committed to delivering the best superfast broadband network in Europe by 2015. As part of that, the Scottish Government were allocated more than £100 million to support broadband improvements. It is now the responsibility of the Scottish Government to deliver on this investment by the UK Government.
Mr Reid
I am pleased that the Government have allocated more than £100 million to Scotland for rural high-speed broadband. Will the Minister do all he can to encourage the Scottish Government and Highlands and Islands Enterprise to get a move on and use that money to bring high-speed broadband to the rural parts of Argyll and Bute as soon as possible?
David Mundell
I most certainly will encourage the Scottish Government and all other agencies to get on with deploying rural broadband. My constituents are as concerned about it as the hon. Gentleman’s.
Michael Connarty (Linlithgow and East Falkirk) (Lab)
I am very concerned, as everyone is, about all of Scotland getting superfast broadband. Is the Minister aware that BT is going to use fibre optics in West Lothian, and has just announced that it is going to roll out copper wire into Bo’ness and parts of my constituency? Copper wire is last century’s technology. Will he intervene and talk to BT about rolling out fibre optics to all parts of Scotland, so that superfast broadband is a reality for everyone?
David Mundell
I am happy to arrange a meeting involving myself, the hon. Gentleman and BT to discuss that issue.
Mr Angus Brendan MacNeil (Na h-Eileanan an Iar) (SNP)
In what appears to be a break with the constant scaremongering in this session, may I ask the Minister whether he agrees that broadband coverage percentages should be based on local authority area rather than national area?
David Mundell
What I think is that the Scottish Government, having been given £100 million by the UK Government to roll out broadband, should get on with it in the hon. Gentleman’s constituency and elsewhere.
Tristram Hunt (Stoke-on-Trent Central) (Lab)
Q1. If he will list his official engagements for Wednesday 21 November.
The Prime Minister (Mr David Cameron)
Before I list my engagements, the whole House will wish to join me in sending our sympathies and our condolences to the family of Captain Walter Barrie, of 1st Battalion the Royal Regiment of Scotland. He was described as a fantastic, engaging and professional soldier. He will be truly missed by all who knew him. Our nation must never forget his service and his sacrifice. [Hon. Members: “Hear, hear.”]
This morning I had meetings with ministerial colleagues and others, and in addition to my duties in this House I shall have further such meetings later today.
Tristram Hunt
May I join the Prime Minister in paying tribute to Captain Barrie and all our soldiers working so heroically in Afghanistan?
In Stoke-on-Trent, libraries are closing, teachers are being laid off and youth clubs are shutting their doors. Given that public funds are so precious, does the Prime Minister really think it was a good use of taxpayers’ money to waste £100 million on the farcical police and crime commissioner elections in November?
The Prime Minister
I think it is good that, right across the country, we are now going to have local law and order champions, who will stand up for the public and ensure that we get a good deal from the police. I have noticed that Labour has two criticisms of the police and crime commissioners: on the one hand it said we spent too much money; on the other hand, it said that we did not spend enough money promoting the elections. I am prepared to accept one criticism or the other, but not both.
Claire Perry (Devizes) (Con)
Yesterday the British Government borrowed money from international investors at record low levels, saving taxpayers millions of pounds. Does my right hon. Friend agree that this is more evidence that our economic plans are working?
The Prime Minister
My hon. Friend makes a good point, which is that because of the fact that we have a credible plan to get on top of debt, to get on top of deficit, to show how we will pay our way in the world, we have record low interest rates, which were described by the shadow Chancellor as the key test of economic credibility.
Edward Miliband (Doncaster North) (Lab)
May I start by joining the Prime Minister in paying tribute to Captain Walter Barrie, of 1st Battalion the Royal Regiment of Scotland? He showed the utmost courage and bravery, and all our thoughts and condolences are with his family and friends.
May I also express my deep sorrow about the loss of life and suffering in Israel and Gaza in recent days, including the latest appalling terrorist attack on a bus in Tel Aviv? There is widespread support on both sides of the House for the agreement of an immediate and durable ceasefire in Israel and Gaza, so will the Prime Minister set out, in his view, the remaining barriers to that ceasefire agreement now being reached?
The Prime Minister
May I say how much I agree with the right hon. Gentleman about the appalling news this morning about the terrorist attack on a bus in Tel Aviv? May I also express our deep concern about the intolerable situation for people in southern Israel and the grave loss of life in Gaza?
The right hon. Gentleman asked specifically what more we can do to help bring this ceasefire about. I think that all of us, right across the European Union, and in America and beyond, need to be putting pressure on the Israeli Prime Minister and all those who have contacts with Hamas, to de-escalate, to stop the fighting, to stop the bombing; and that is exactly what I have done. Over the weekend, I spoke twice to the Israeli Prime Minister and once to the President of Israel—my right hon. Friend the Foreign Secretary is working very hard on this as well—to persuade both sides that we need a ceasefire. Beyond that, obviously what we need is proper discussions about the future of Israel and Palestine.
Edward Miliband
I agree with the Prime Minister: he is right to say that any such ceasefire deal can be turned into permanent peace only if there is a resumption of meaningful negotiations towards a two-state solution. This week has shown us once again that there is neither peace nor a peace process, and the reality is that the international community bears some responsibility for the abject failure to have those meaningful negotiations, nine years on from the promise of the road map for peace. Can the right hon. Gentleman set out for the House what steps beyond the hoped-for ceasefire need to be taken to pressure both sides into meaningful negotiations?
The Prime Minister
I agree that we need a process to be put in place and we have to do everything we can to persuade President Obama that this should be a leading priority for his second presidential term, but I make this point: of course we all want this process and we all want this peace, but in the end peace can come about only by Israelis and Palestinians sitting down and talking through the final status issues—they have to discuss borders, Jerusalem and refugees. In the end, as President Obama is fond of saying, and I agree, we cannot want this more than they want it. We have to encourage them, provide the framework and push for a process, but in the end we need courageous leadership from Israelis and Palestinians to talk through those final status issues.
Edward Miliband
That is completely right, but we have to use every means at our disposal to pressure both sides into those negotiations, because the reality is that confidence that there can be a two-state solution is dwindling month by month. There will be an opportunity to support the cause of the two-state solution at the UN General Assembly later this month by recognising enhanced observer status for the Palestinian Authority. The Opposition support that because we believe it will strengthen the moderate voices among the Palestinians who want to pursue the path of politics, not the path of violence. I urge the Prime Minister to consider adopting that position in the days ahead.
The Prime Minister
I agree with the right hon. Gentleman on the first part of what he said: confidence is dwindling that there is time left for a two-state solution. That is why there is such a sense of urgency in the international community—this could be the last chance for peace, because the facts on the ground are changing. Frankly, I think it is so much in Israel’s interest now to push for the two-state solution, so we should keep up the pressure.
On the potential vote at the United Nations, our view, which I know the Foreign Secretary set out for the House in some detail yesterday, is that the Palestinians should not take it to the UN in the short term, and we have urged them not to do that. Clearly, if they do so, we will have to consider the right way to vote. The point is this: we will not solve this problem at the United Nations; it will be solved only by Israelis and Palestinians sitting down and negotiating. Indeed, there may be dangers in pushing the issue too early at the UN in terms of funds for the Palestinian Authority being cut off and all the other consequences, so let us get negotiations going, rather than discussions at the UN.
Sir Alan Beith (Berwick-upon-Tweed) (LD)
If the Prime Minister wants to send a clear message that Scotland and England belong together and have a better future together, should he not be doing his best to make sure that the principal road from London to Edinburgh is a modern dual carriageway and does not become a country lane?
The Prime Minister
My right hon. Friend makes a very attractive spending bid for the autumn statement. Although my right hon. Friend the Chancellor is not here, I am sure that Treasury colleagues were listening closely.
Julie Hilling (Bolton West) (Lab)
Q2. The Prime Minister claimed that universal credit will “bring about the most fundamental and radical changes to the welfare system since it began”. Given the Government’s propensity for omnishambles, can he guarantee that the second phase of universal credit will be implemented in April 2014 and not delayed?
The Prime Minister
Universal credit is a good reform and I thought it was welcomed across the House because it puts in place proper work incentives for people at all levels of income, and is also highly progressive in channelling money to those who need it the most. I can tell the hon. Lady that universal credit is on time and on budget and, indeed, a pilot scheme is to start shortly.
Mr Robert Buckland (South Swindon) (Con)
The person responsible for the murder of Becky Godden-Edwards, whose mother is my constituent, has not been brought to justice because important incriminating evidence was excluded from the court process. Will my right hon. Friend join our cause in calling for a thorough review of code C of the Police and Criminal Evidence Act 1984, so that such terrible situations will not occur in future?
The Prime Minister
I will look very carefully at what my hon. Friend raises and the specific case he mentions. I will also look at the issue of the Police and Criminal Evidence Act. It is always important that all information that possibly can be put in front of a court is put in front of a court, so that it can reach the correct decision.
Rosie Cooper (West Lancashire) (Lab)
Q3. Cuts in front-line policing, together with cuts to police pensions and conditions in service, have led 96% of the police force to believe that this Government do not support them. Does the Prime Minister think that that is a problem and, if so, what will he do about it?
The Prime Minister
This Government strongly support our police service and what it does. These are people who go out every day and put their lives on the line to keep the rest of us safe. Frankly, whoever was in government right now would have to be making cuts to police budgets, but if we actually look at what is happening in policing, we see that the number of neighbourhood police has gone up, the percentage of police on the front line has gone up, the number of police in back-office roles has gone down and, crucially, that crime is down and satisfaction with the police is up.
Damian Hinds (East Hampshire) (Con)
Q4. So that people do not have to wade through hundreds of bamboozling tariff plans, will the Prime Minister confirm that this Government will legislate to ensure that people can access the best deals, which the Leader of the Opposition failed to do as Energy Secretary?
The Prime Minister
I am delighted to tell my hon. Friend that, having stood at this Dispatch Box and said that we wanted to ensure that people got access to the lowest tariffs, that is exactly what we have achieved. If Opposition Members have doubts about this, let me quote a Labour shadow Energy Minister, who said this about our change:
“It also means some of the most expensive deals would have to go...Being able to reduce the number of tariffs for people is going to help people get a clearer picture of what is happening and that can only be a good thing.”
That is the sort of endorsement that I welcome.
Edward Miliband
The Government promised that there should be no rationing in the NHS on grounds of cost alone. Can the Prime Minister tell us whether he has kept that promise?
The Prime Minister
The promise that we have kept is that we said that we would increase NHS spending every year under this Government, and in England that is what is happening. In Wales, of course, there is a massive cut in the NHS, because it is run by Labour.
Edward Miliband
First of all, there are 7,000 fewer nurses in the NHS than when the Prime Minister came to power, according to the figures published this morning. I asked him a specific question about the promise made a year ago by the then Health Secretary—the Prime Minister sacked him and he is now the Leader of the House—that there would be no rationing on the grounds of cost alone, but the president of the Royal College of Ophthalmologists said recently—[Interruption.] Government Members should listen, because he said that
“PCTs are not following government guidelines.”
Half of health commissioners are restricting access to cataract surgery. [Interruption.] I do not think that the Prime Minister should ask the former Health Secretary for help, because he got rid of him from the post. Can the Prime Minister tell me why, for the first time in six years, the number of cataract operations actually fell last year?
The Prime Minister
What I can tell the right hon. Gentleman is that, under this Government, the number of doctors is up, the number of operations is up, waiting lists are down and waiting times are down. That is what is happening because we took the responsible decision. He quotes primary care trusts, which, of course, we are abolishing and putting the money into front-line services. That is what is happening under this Government. The Opposition and he believe that increasing spending on the NHS is irresponsible; we think it is the right thing to do.
Edward Miliband
Once again, the Prime Minister has no clue about the detail—he has no idea what is actually happening out there on the ground. To give him credit, he did make history this week, because he now has his very own word in the “Oxford English Dictionary”: “omnishambles.” The reality is that the reason people are suffering on the ground is that he has wasted billions of pounds on a top-down reorganisation of the NHS that nobody wanted and nobody voted for, just like he wasted millions of pounds on police commissioner elections. He does not listen, he is out of touch and last Thursday the people of Corby spoke for the country.
The Prime Minister
Last Thursday the people of Humberside spoke for the whole nation. [Hon. Members: “More!”] Happily, there is more, because the former Deputy Prime Minister, John Prescott, said that this
“is not just about the police. This is a referendum on everything this…government has done…On the health, on the education, on the local authorities”,
and people took the first opportunity to kick him out.
I think that it is the leader of the Labour party who made history this week, because he told his conference that he wanted to be Disraeli; he told Radio 4 that he wanted to be Margaret Thatcher; he came to this House and said that he was more Eurosceptic than Bill Cash; and then he went to the CBI and said that he loved Europe even more than Tony Blair. He has impersonated more politicians than Rory Bremner, but this time the joke is on him.
Gordon Henderson (Sittingbourne and Sheppey) (Con)
Q5. Does my right hon. Friend agree that a free press is one of the cornerstones of a true democracy, and that any attempt to muzzle newspapers, such as those of the excellent Kent Messenger Group in my constituency, should be strenuously resisted?
The Prime Minister
My hon. Friend makes an important point. I join him in expressing my admiration for the Kent Messenger Group and all that it does. The problems there have been in our newspaper industry have not concerned regional and local titles, which perform an incredibly important function in our democratic system. However, we all have to wait for the Leveson report, study it carefully and respond to what it says.
Mr Tom Harris (Glasgow South) (Lab)
Q6. Allow me to present a tale of two companies. The first is Red Hot Comics in my constituency, which employs seven people and pays every penny of the tax that is due, on time. Its main competitor, Amazon UK, brings in revenue of up to £4.5 billion, and yet last year it paid less than £1 million in tax. Will the Prime Minister follow the example of the French Government, who have issued a back claim for unpaid tax against Amazon, or will he allow us to draw our own conclusions about whose side he is on?
The Prime Minister
The hon. Gentleman makes an important point about ensuring that companies make fair contributions and fair tax payments in our country. We have put an extra £900 million into the Inland Revenue to ensure that we get companies and individuals to pay their taxes properly. Yesterday I announced that one of the key priorities of the G8, which I will be chairing from January and which, I am pleased to announce, will meet in County Fermanagh in Northern Ireland next June, will be to get proper international agreement so that companies pay their taxes properly.
Paul Uppal (Wolverhampton South West) (Con)
May I highlight for my right hon. Friend a free school that will be opening in one of the most deprived wards in Wolverhampton next year? It will provide a real ladder for social mobility for young people. It is a great, tangible advert for what this Government are doing in education, and he is more than welcome to visit.
The Prime Minister
That is a very kind invitation. I recently held a meeting at No. 10 Downing street for all the 78 free schools that have been established over the past two and a half years. We are making good progress. I want many hundreds of free schools to be established between now and the next election. It is of note that, whereas the last Government managed 200 hundred academies in 13 years, we have managed 2,000 in two and a half years. We want to give the academies and free schools agenda the biggest boost that we can.
Mr Brian H. Donohoe (Central Ayrshire) (Lab)
Q7. When he next expects to visit Central Ayrshire.
The Prime Minister (Mr David Cameron)
I look forward to visiting Scotland soon and will obviously look carefully at whether I can visit the hon. Gentleman’s constituency of Central Ayrshire.
Mr Donohoe
Mr Speaker, you hold one of the great offices of state, as does the Prime Minister. What is he personally going to do to drive these sharks out of our economies?
The Prime Minister
I enjoyed my visit to Troon. I made the offer to the hon. Gentleman at that time that I would happily share a platform with him to defend our United Kingdom, but for some reason the invitation got lost in the post. I therefore make the offer to him again.
The hon. Gentleman makes a serious point about payday loans. We have seen the preliminary report by the Office of Fair Trading. We need to take action, and that is why we are giving the OFT a new power to suspend a consumer credit licence with immediate effect when there is an urgent need to protect consumers. The report shows that many companies are not sticking to the guidelines, and that is not acceptable.
Engagements
Iain Stewart (Milton Keynes South) (Con)
Has my right hon. Friend seen the recent Experian study which shows that Milton Keynes is the area of the UK best placed to lead economic growth, with a forecast growth of 3.1% a year?
The Prime Minister
My hon. Friend is a great spokesman for Milton Keynes and has welcomed me there many times. It has a successful economy based largely on small and medium-sized enterprises. One thing we need to do, in Milton Keynes and elsewhere, is to get the housing market moving again. I am convinced that that is an important part of driving recovery in our economy.
Mrs Mary Glindon (North Tyneside) (Lab)
Q8. Many young apprentices receive very low wages—the youngest only £2.60 an hour. Is it fair for the Prime Minister to take housing benefit from young people who cannot live with their parents but are trying hard to build a future for themselves?
The Prime Minister
The Government strongly support the growth in apprenticeships, and we have seen something like 1 million new apprenticeships under this Government. I know that housing benefit is a very important issue, but there is a problem, which needs proper attention: we seem to give some young people a choice today, in that if they are on jobseeker’s allowance they can have access to housing benefit, but if they are living at home and trying to work they cannot. We need to recognise that in many cases we are sending a negative signal to young people through our welfare system.
Andrew Stunell (Hazel Grove) (LD)
Is it still the Prime Minister’s intention that this should be the greenest Government ever?
The Prime Minister
Yes, it is. It is this Government who, in record time, have established a Green Investment Bank that is now in Edinburgh and starting to make loans.
Simon Danczuk (Rochdale) (Lab)
Q9. I am sure the Prime Minister agrees with me that a Government spokesman describing the report by the Children’s Commissioner into child abuse as “hysterical” was extremely unhelpful. Victims of abuse already find it difficult to come forward, including those who were abused by Cyril Smith in Rochdale. Will the Prime Minister now help these victims by publishing all the police files on Smith, and ensure that a police investigation takes place into all the allegations and any cover-up?
The Prime Minister
On the hon. Gentleman’s first point, the issue that is being examined is very serious, and we need to study carefully the interim report that has been produced. It has some extremely disturbing findings and we need to give every encouragement to the Children’s Commissioner to ensure that a final version of the report is produced. The specific issue raised by the hon. Gentleman concerns very serious allegations about a former Member of this House. I understand that Greater Manchester police have today confirmed that they will investigate any allegations of sexual abuse involving the late Sir Cyril Smith from 1974 onwards.
I say to the hon. Gentleman and all Members of this House, particularly in the light of what has happened over the past few weeks, that if anyone has information or facts they should take them to the police. That is the way we should investigate these things in this country.
Mr David Ruffley (Bury St Edmunds) (Con)
Q10. Businesses are helping to cut the borrowing deficit by paying tax on their profits. Some multinationals, such as Starbucks and Amazon, appear to be paying low amounts of UK corporation tax. Does the Prime Minister think that that part of the tax code needs investigating?
The Prime Minister
I think it does need investigating. I have asked the Treasury to do that and it is looking as hard as it can at what can be done. There are clearly things that one can do nationally, and that is worth examining. Because we live in a competitive global economy where companies can move their capital, headquarters or money around, we need greater international agreements. We have come to a very important international agreement with Switzerland that will recover billions of pounds of tax for our country, but we need to work hard. That is where the G8 can help to ensure we get a fair share of tax from companies, especially given that Britain is doing its bit to cut rates of corporation tax so that they are some of the most competitive in the world.
Kate Hoey (Vauxhall) (Lab)
Q13. The Prime Minister quite rightly praised the wonderful work of London’s emergency services during the Olympics, Paralympics and Her Majesty’s jubilee. Does he share the concern of the London public about the number of fire stations that are threatened with closure, in particular the one in Clapham Old Town in my constituency? Will he join the campaign to save that fire station, and does he agree that it is not right to choose a fire station for closure simply because it is on very expensive land?
The Prime Minister
Obviously this is an issue for the Mayor as well as for the Government, but I will look closely at what the hon. Lady has said. Hon. Members must recognise that the most important thing is the time it takes the emergency services to get to an incident. As constituency MPs, we are naturally focused on the bricks and mortar items—whether ambulance or fire stations, or other facilities—but what really matters for our constituents is how quickly the emergency services get to them and how good the service is when they do so.
Sir Tony Baldry (Banbury) (Con)
Q11. Does my right hon. Friend share my deep disappointment, and that of many hon. Members on both sides of the House, that the Church of England yesterday failed to make proper provision for women bishops? It was a sad day for our national Church and our national character, particularly given that 42 of 44 dioceses voted overwhelmingly in support of women bishops. Is the dangerous consequence of that vote not the disestablishment of the Church of England but simply disinterest?
The Prime Minister
My hon. Friend speaks with great expertise and knowledge. On a personal basis, I am a strong supporter of women bishops and am very sad about how the vote went yesterday. I am particularly sad for the Archbishop of Canterbury, Rowan Williams, because he saw this as a major campaign that he wanted to achieve at the end of his excellent tenure of that office. It is important for the Church of England to be a modern Church that is in touch with society as it is today. This was a key step it needed to take.
Mr Iain Wright (Hartlepool) (Lab)
Q12. The Prime Minister promised that his start-up loans scheme would provide 2,500 loans to young entrepreneurs to get their business ideas off the ground, but only 43 loans have been granted. Why has he not delivered on his promise?
The Prime Minister
The start-up loans initiative is a very strong one. I want to look at putting even more resources into it, because there is a major demand. At well as start-up loans, we have the enterprise allowance scheme. That was originally available only after people had been unemployed for three months, but under this Government it will be available from the first day of someone being unemployed. In the 1980s, many people used an enterprise allowance scheme to start up their first business and get their foot on the first rung of the ladder. Those are the sorts of people we want to help.
Angela Watkinson (Hornchurch and Upminster) (Con)
Will the Prime Minister join me in congratulating Drapers’ academy, which is in the most deprived ward in my constituency? It is sponsored by the Drapers’ Company and Queen Mary college, London. In only its second year, it has become the fastest improving school in the country, and is a wonderful example of the Government’s academy scheme.
The Prime Minister
I certainly join my hon. Friend in that. One strength of the academy programme is in getting sponsors such as the Drapers’ Company, and other businesses and organisations, behind a school and helping to change its culture and improve it. That is why we set a new target last week for academies taking over failing primary schools. We do not think that academies should be restricted to secondary schools; we want to see sponsored academies taking over primary schools where results are not good enough. All hon. Members can now focus on this: because of effective academy sponsors, some schools in inner-city areas are doing better than schools in some of the leafy shires and suburbs. We can use that change to drive up aspiration and achievement right across our education system.
Mr Ben Bradshaw (Exeter) (Lab)
Following the Prime Minister’s answer to the hon. Member for Banbury (Sir Tony Baldry) a moment ago, and given that the Church of England is the established Church, will the Prime Minister consider what Parliament can do to ensure that the overwhelming will of members of the Church and of the country is respected?
The Prime Minister
I will certainly look carefully at what the right hon. Gentleman has said. The Church has its own processes and elections. They might be hard for some of us to understand, but we must respect individual institutions and the decisions they make. That does not mean we should hold back in saying what we think. I am very clear that the time is right for women bishops—it was right many years ago. The Church needs to get on with it, as it were, and get with the programme, but we must respect individual institutions and how they work, while giving them a sharp prod.
Mr David Nuttall (Bury North) (Con)
The cut in this country’s EU budget rebate, which was agreed by the last Labour Government, is now costing taxpayers £2 billion every single year. Will the Prime Minister please confirm that in the forthcoming budget negotiations he will not agree to any further reduction in the rebate?
The Prime Minister
I can certainly give my hon. Friend that assurance. The rebate negotiated by Margaret Thatcher is an incredibly important part of Britain’s position in Europe and making sure that we get a fair deal. It is absolutely extraordinary that the last Government gave away almost half that rebate, and we have never heard one word of apology or regret for the fact that however hard we fight in Europe—and I will fight incredibly hard this week for a good deal—they have cut away our footing by giving away half the rebate.
Dr Alasdair McDonnell (Belfast South) (SDLP)
I congratulate the Prime Minister on his very wise decision to bring the G8 summit to County Fermanagh and confirm the enthusiasm with which that decision has been received in Fermanagh. Does he think it will be possible to bring further similar prestigious events to Northern Ireland in the future?
The Prime Minister
I will certainly look at that. It really is the right decision for the G8 to be based in Northern Ireland and at Lough Erne on 17 and 18 June. I was talking with the First Minister and Deputy First Minister yesterday about this, and it would have been unthinkable 20 years ago to have such an event, with so many world leaders coming to Northern Ireland. It will be a great advertisement for Northern Ireland and everything that its people can achieve. I hope that it will also be the harbinger of further events to come.
Andrew Selous (South West Bedfordshire) (Con)
Does the Prime Minister agree that the United Kingdom’s retention of its triple A status, when France lost its triple A rating this week, shows that the UK retains the confidence of international markets because of the difficult but necessary decisions that we are taking?
The Prime Minister
My hon. Friend makes a good point. Because we have set out a clear plan, we are able to have low interest rates and international confidence, which is line 1, paragraph 1 of the proper growth plan for the UK.