Written Statements

Tuesday 8th September 2015 Written Statements

Tuesday 8 September 2015

UK Asset Resolution: Consumer Credit Act

Tuesday 8th September 2015 Written Statements

[The Economic Secretary to the Treasury (Harriett Baldwin)]

I can today update the House following previous statements on 11 December 2012, Official Report, columns 20-21WS, and 11 December 2014, Official Report, columns 52-53WS, on the Consumer Credit Act (CCA) litigation case undertaken by NRAM plc (formerly Northern Rock (Asset Management) plc). I can now confirm that following the High Court judgment in December 2014 and the subsequent decision taken by the boards of UK Asset Resolution (UKAR), the NRAM holding company, and UK Financial Investments (UKFI), to pursue an appeal, the Court of Appeal overturned the High Court judgment in July 2015 and found in favour of NRAM. The Court of Appeal confirmed that customers who took out unsecured loans of more than £25,000 under agreements that incorrectly stated these loans were regulated under the CCA are not entitled to the same rights and remedies as those customers who took out loans that were regulated under the CCA. The UKAR statement is available at: http://www.ukar.co.uk/media-centre/press-releases/2015/23-07-2015?page=1

UKAR had estimated the cost if it had to remediate affected customers to be £279 million plus any future interest accruing on these accounts before remediation is made. A provision for this amount was included in the Treasury group accounts and following the Court of Appeal judgment this provision has been removed.

[HCWS180]

Counter IED Equipment: Pakistan

Tuesday 8th September 2015 Written Statements

[The Secretary of State for Defence (Michael Fallon)]

I have today laid before the House a departmental minute describing a package of spare parts for counter-improvised explosive device (C-IED) equipment which the UK intends to gift to the Government of the Islamic Republic of Pakistan at their request to support previously gifted C-IED equipment. The value of the package is £948,439.00, plus around £40,000 for packaging and shipping.

Pakistan continues to face a severe threat from IED attacks perpetrated by terrorists based in its country. It has sought the UK’s assistance in developing the capabilities of its security forces to tackle this threat. In May, the UK finished providing a three-year counter-IED (C-IED) programme to help Pakistan develop a multi-agency capability for tackling IEDs. As part of this programme, the UK has gifted in total £12.915 million of C-IED equipment to Pakistan. A new, enhanced programme will be launched later this year.

Pakistan now has a rapidly expanding C-IED capability, with over 5,000 of its security forces trained. More of these IEDs are being defeated across the provinces and lives are being saved. Pakistani battalions, who have benefited from UK support, have been operating for more than a year as part of the military’s counter-terrorism operations in North Waziristan agency.

Developing Pakistan’s counter-terrorism capability is firmly in support of our counter-terrorism strategy, targets the problem at source and reduces the risk of a terrorist attack, potentially against UK interests.

Subject to completion of the departmental minute process, gifting is expected to be undertaken in the fourth quarter of 2015.

[HCWS179]

Prison Education

Tuesday 8th September 2015 Written Statements

[The Lord Chancellor and Secretary of State for Justice (Michael Gove)]

We have more than 80,000 adults in our custody. One of the most important things we can do once they are inside the prison walls is to make sure that they get the literacy and numeracy skills they need to make them employable and positive contributors to society once released. For those serving longer sentences, education and training is a key part of their rehabilitation.

We must have the right incentives for prisoners to learn and for prison staff to make sure that education is properly prioritised. I want to see prisoners motivated to engage in their own learning and Governors with the right tools to be more demanding and creative about the education provided in the prisons they run.

I have seen some excellent examples of innovation and visionary organisations providing prisoners with education opportunities and qualifications they actually need to help secure a job on release. But I want to see more.

That is why I have asked Dame Sally Coates to lead a review of the provision of education in prisons.

Dame Sally has a wealth of experience in working with pupils in inner-city schools and in taking decisive action to improve schools’ performance. She took charge of Burlington Danes Academy when it became an Ark school, leading it from special measures to outstanding in all areas. In her current role as Director of Academies South for United Learning she oversees the provision of education in 16 academies and seven independent schools. She recently carried out a review of teaching standards for the Department for Education and I know she will inject fresh thinking into the neglected area of prison education so that many more offenders’ lives can be turned around.

Dame Sally will be supported by a panel of people who have delivered outstanding secondary education, experts in further and higher education, employers, representatives from Ofsted, senior officials from the Ministry of Justice, the National Offender Management Service and the Department for Business, Innovation and Skills as well as experienced frontline prison staff. Together they will work with Dame Sally to explore how we can significantly improve education for all prisoners.

They will also investigate how the quality and methods of prison teaching can be improved including in classrooms and workshops, how prisoners can be encouraged to positively engage with learning and the potential for employers to advise on the curriculum to ensure that prisons offer the right courses and qualifications to enable prisoners to secure jobs on release.

I want this review to happen at pace so I have asked Dame Sally to make recommendations by spring next year.

A copy of the terms of reference for the review will be placed in the Libraries of both Houses.

[HCWS178]