Afzal Khan (Manchester, Gorton) (Lab)
The Chancellor of the Duchy of Lancaster and Minister for the Cabinet Office (Mr David Lidington)
Recent business cases submitted by Departments for approval show savings to taxpayers from outsourcing in the range of 9% to 30%.
Afzal Khan
A recent Public Accounts Committee report found that after more than 25 years the Treasury still has no data on whether the private finance initiative model provides value for money. People in my constituency are concerned about back-door privatisation and the kinds of PFI contract often used in hospitals, which leave staff in the dark, not knowing about the security of their jobs. Will the Minister review PFI contracts and privatisation across all Departments in the light of the PAC report’s findings?
Mr Lidington
Let us consider this:
“It simply would not have been possible to build or refurbish such a number of schools and hospitals without using the PFI model.”—[Official Report, 14 November 2007; Vol. 467, c. 665.]
Those are not my words, but those of Gordon Brown, the last Labour Prime Minister.
Craig Mackinlay (South Thanet) (Con)
My right hon. Friend might be aware of a petition in Gibraltar for it to have an MP elected to our Parliament. The petition now has close to 10,000 signatures, which is almost half the electorate of the rock. Will he therefore consider backing my private Member’s Bill to give Gibraltar the option of electing an MP to this place and reward Gibraltarians for their unwavering loyalty?
Mark Pritchard (The Wrekin) (Con)
On a serious point, many of my constituents were affected by the collapse of Carillion. How confident is the Minister that the big four accountancy firms have learnt their lessons for the future?
Mr Lidington
Clearly, criticisms have been made of the major accountancy firms by Select Committees of this House and others. The appropriate financial services regulator keeps this under review, and it is for the regulator to decide what, if any, steps to take.
Jon Trickett (Hemsworth) (Lab)
With 2,300 jobs down the pan and the taxpayer paying £148 million to clean up the Carillion fiasco, how can the Minister give such complacent responses on value for money? Will he now admit that earlier Front-Bench assurances from those on his side of the House that the burden of Carillion’s collapse would not fall on the taxpayer have turned out to be incorrect?
Mr Lidington
No, I would not accept that at all. We have said from the start that our priority has been to keep public services running. We have paid the costs of the official receiver to enable the contracted operations to continue; the schools have been cleaned, and the meals have been served in schools and hospitals, by those providers. It is the lenders, directors and shareholders in Carillion who have taken the big financial hit, and rightly so.
Jon Trickett
The fact of the matter is that the Minister has admitted that £150 million has been paid to the liquidators. We see that his commitment to value for money has no credibility when we consider that only one civil servant is monitoring 700 taxpayer-funded contracts, with £60 billion in assets. The Government are sleepwalking from one outsourcing disaster to the next. Will he now accept the widespread public view that he should abandon his obsession with outsourcing?
Mr Lidington
The report by the Select Committee on Work and Pensions and the Select Committee on Business, Energy and Industrial Strategy concluded that the directors, not the Government, were responsible for the fact that Carillion failed and that the Government had made a competent job of clearing up the mess. I refer the hon. Gentleman again to the fact that independent research commissioned by the last Labour Government showed savings to taxpayers of, on average, between 20% and 30% from outsourcing, compared with undertaking tasks in house. That is money that can go back into frontline public services.
Adam Holloway (Gravesham) (Con)
The Parliamentary Secretary, Cabinet Office (Chloe Smith)
We are encouraged by the data from the returning officers and the statements they have made indicating that the pilots were a successful test of the implementation of voter ID. The Electoral Commission will publish its evaluation in July and the Cabinet Office will conclude its own evaluation at the same time.
Adam Holloway
Does the Minister agree that additional measures should be brought in, given that the issue affects the vulnerable, the elderly and, in my constituency, ethnic minorities?
Chloe Smith
I welcome my hon. Friend’s commitment, which I share, to helping voters to be able to cast their ballots in a way that also protects the integrity of the wider system. Let us never forget that that is not only an individual advantage, but in the collective interest.
James Morris
Following the recent trials in this year’s local elections, the Minister will be aware that local authorities such as Woking recorded a 99.7% success rate on voters bringing the correct ID. Does she agree that that demonstrates that we should consider rolling this out further to secure the integrity of the ballot?
Chloe Smith
What my hon. Friend says is absolutely the case. The measures that we piloted at the local elections just past were reasonable and proportionate and have been shown to have worked. Furthermore, other countries already do this without problem. The overwhelming majority of people were able to cast their votes in these pilots without any issue. I look forward to considering the best next steps, informed by those pilots.
Kevin Brennan (Cardiff West) (Lab)
What problems were there with the pilots?
Chloe Smith
I am sure that the Electoral Commission will provide those who look for problems with a little bit of data to chew on, but the point is this: it seems to me that the Labour party is looking for problems. Actually, most voters regard this as a reasonable and sensible step that protects our democracy.
Deidre Brock (Edinburgh North and Leith) (SNP)
We agree about the importance of preventing voter fraud and other electoral malpractice. The Electoral Commission ruled that Leave.EU breached spending limits and other rules, fined the organisation and reported its responsible person to the police. What steps are the Government taking to address that and how will the Minister ensure that the issue of cheating in the Brexit referendum is pursued?
Chloe Smith
As you will know, Mr Speaker, given your role in connection with it, the Electoral Commission is an independent body. I am not able to respond at this point to questions about investigations that it is undertaking.
James Duddridge (Rochford and Southend East) (Con)
Bim Afolami (Hitchin and Harpenden) (Con)
The Parliamentary Secretary, Cabinet Office (Oliver Dowden)
Small businesses are the backbone of our economy, and we are determined to continue to level the playing field so that they can compete for Government contracts. That is why in April I announced a number of measures to help achieve that and have recently met the Government’s strategic suppliers and Ministers in several Departments to ensure that those measures are delivered.
James Duddridge
I thank the Minister for that reply. Specifically, how will coastal towns such as Southend-on-Sea benefit from the changes in this procurement procedure?
Oliver Dowden
As my hon. Friend will know, small businesses generate more than 16 million jobs and we are determined to level the playing field so that those in coastal towns such as Southend get their fair share of prosperity and win Government contracts. I encourage businesses in Southend to look on Contracts Finder, on which more than 17,000 small businesses are already registered, for procurement opportunities.
Chris Davies
Does my hon. Friend agree that it is vital that we have a vibrant and mixed group of suppliers and small businesses from all corners of the UK, including Wales, Scotland and Northern Ireland, and that they should all be considered equally in the procurement process?
Oliver Dowden
My hon. Friend is absolutely correct. It is crucial to ensure that we have a diverse supplier base. We have made a number of changes to the Government procurement processes to assist small businesses, including requiring prime contractors to advertise subcontracting opportunities on the Government Contracts Finder. We also divide contracts into separate lots, including by region, when that makes commercial sense.
Bim Afolami
I thank the Minister for his responses. As seen from my recent work on the Public Accounts Committee, there sometimes appears to be a conflict between large strategic suppliers who see themselves as aggregators of several procurement contracts for small business and other instances in which small businesses would like to get certain contracts directly from Government. Will he explain the Government’s thinking on how to balance those two approaches?
Oliver Dowden
We already require buying authorities to disaggregate contracts so that small and medium-sized enterprises can compete. However, there will, of course, be contracts in which disaggregation would affect value for money. That is why we recently announced that when large contractors are successful, they will be required to advertise those subcontracting opportunities on Contracts Finder, so that small businesses can bid.
Julie Cooper (Burnley) (Lab)
What assessment has the Minister made of the cost implications where outsourced contracts have been overturned by the High Court because of incompetent procurement processes? I refer specifically to the expensive mess created by Conservative-controlled Lancashire County Council in connection with a Virgin contract for children’s services.
Oliver Dowden
As the hon. Lady will know, the Cabinet Office has extensive processes to ensure successful procuring. If she is questioning the overall purpose of procuring, I refer her to the comments made earlier by my right hon. Friend the Minister for the Cabinet Office. In addition, research shows that public authorities save at least 11% by contracting out services. That means more money for health and education.
Mr Gregory Campbell (East Londonderry) (DUP)
The Minister referred to small businesses as the backbone of our economy. What plans does he have over this Parliament to strengthen that backbone and increase targets in terms of accessibility of procurement for small businesses?
Oliver Dowden
The hon. Gentleman raises an important point. In the previous Parliament, we set and met a target of 25% of all Government procurement going to small businesses. We set a challenging target in this Parliament of a third of all procurement going to small businesses. I am taking a number of steps to help us to try to achieve that.
Bill Esterson (Sefton Central) (Lab)
Oliver Dowden
We are absolutely committed to prompt payment. That is why the Government pay over 96% of their suppliers within 30 days. In respect of application to contracting, I have just announced a consultation to ensure we can exclude contractors if they fail to pay small businesses on time.
Martyn Day (Linlithgow and East Falkirk) (SNP)
The Parliamentary Secretary, Cabinet Office (Chloe Smith)
The Prime Minister responded to the Lord Speaker’s Committee on 20 February. In her response, she committed to do her bit to address the size of the House of Lords by continuing the restrained approach she has so far shown to appointments.
Martyn Day
Thanks to the Minister’s actions during the debate here on the EU (Withdrawal) Bill, the couple of minutes that Baroness Hayter of Kentish Town had on devolution was more time than all the devolved MPs got collectively. Does the Minister think it acceptable that unelected Members of the House of Lords had more opportunity to debate the Government’s redrawing of the devolution settlement than any elected Member from Scotland?
Chloe Smith
As you will know, Mr Speaker, because you spent many hours in the Chair, we spent several hundred hours debating the Bill. I am proud that it has attained Royal Assent. I think we can all agree that that will provide greater certainty to businesses and citizens as we exit the EU. It is a shame that the Scottish National party seems not to be interested in that.
Charlie Elphicke (Dover) (Ind)
Does the Minister agree that the House of Lords would be vastly improved if it was smaller and democratic?
Chloe Smith
I echo what my right hon. Friend the Prime Minister said about the role we see for the House of Lords: it should continue as a scrutinising Chamber but respect the primacy of the Commons, which certainly is the democratically elected Chamber.
David Hanson (Delyn) (Lab)
Does the Minister really think that next week’s by-election, with 31 electors who are the children and grandchildren of people who got there illegitimately, is, in a modern democracy, the right way to elect Members of Parliament in another place?
Chloe Smith
The right hon. Gentleman is an experienced Labour Member of Parliament, so he might recall that Labour had a hand in the legislation that guides this process. He will also recall that the Conservative party won the general election on a manifesto that said it would not prioritise reform of the House of Lords.
Michael Fabricant (Lichfield) (Con)
Never mind the House of Lords. When are we going to see this House reduced to 600?
Mr Speaker
It is all very well the hon. Gentleman breezily declaring, “Never mind about the House of Lords.” The question, inconveniently for him, is focused on the House of Lords. Generosity gets the better of me, however, and I am itching to hear the ministerial reply.
Chloe Smith
Mr Speaker, I think the simplest answer is that the Boundary Commission will return with its proposals shortly and the House will have the pleasure of looking at them.
Vicky Foxcroft (Lewisham, Deptford) (Lab)
Chris Elmore (Ogmore) (Lab)
The Parliamentary Secretary, Cabinet Office (Oliver Dowden)
We want to ensure that public boards represent the people they serve. That is why in December we launched our diversity action plan, which committed to 50% women and 14% ethnic minority representation by 2020. Just last month, I appointed Lord Christopher Holmes to undertake a review of removing barriers that disabled people might face when applying for public appointments.
Vicky Foxcroft
What proportion of appointments made to public bodies are people from working-class backgrounds and what proportion went to private school?
Oliver Dowden
The hon. Lady raises a very important point about our making sure that public appointments reflect the country as a whole. That is why we have taken a number of measures to increase diversity based on the Bridge report recommendations.
Chris Elmore
I am sure that the Minister agrees that we have a huge amount of talent for public appointments, including in Wales, Scotland and Northern Ireland, so will he set out what he is doing to ensure that regional voices are heard around senior public appointments?
Oliver Dowden
The hon. Gentleman is absolutely right. Diversity means not just ethnic diversity or gender diversity, but regional diversity. That is why, for example, we recently held an event in Glasgow to encourage people in Scotland to apply for public appointments.
Sir Patrick McLoughlin (Derbyshire Dales) (Con)
One way in which we could widen public appointments is to limit the amount of them to just two per person, instead of the gravy train that seems to appear as far as public appointments are concerned.
Oliver Dowden
As ever, my right hon. Friend is absolutely correct, and I take on board his recommendation. Diversity also means ensuring that we do not have the same old faces constantly applying for and succeeding in winning public appointments. That is why, as part of our diversity measures, we are encouraging a wider array of people to apply for public appointments.
Tom Pursglove (Corby) (Con)
Does my hon. Friend think that online abuse acts as a deterrent to people putting themselves forward not just for elected office, but for public appointments? Does he also agree that such abuse should be dealt with robustly and that we all have a responsibility to call it out?
Oliver Dowden
Yes, my hon. Friend is absolutely right, and we will be launching a consultation shortly to deal with exactly that point.
Christian Matheson (City of Chester) (Lab)
Edward Timpson was appointed chair of the Children and Family Court Advisory and Support Service and of the new Child Safeguarding Practice Review Panel. Andrew Tyrie has been appointed chair of the Competition and Markets Authority. Baroness Stowell was appointed chair of the Charity Commission. They are all probably worthy appointments individually, but a clear pattern is emerging, so will the Minister confirm that the main criteria now for senior public appointments is that someone has to be a former Tory MP or Cabinet Minister?
Oliver Dowden
As ever, the hon. Gentleman makes a rhetorical flourish. Sadly, the facts just do not bear it out. The Government’s code for public appointments is clear that political activity is neither a judgment of merit nor a bar to becoming a political appointee. If he looks at the statistics, he will see that of 1,000 candidates in the past year—2016-17—4.9% were Conservative and 4.8% were Labour.
Luke Graham (Ochil and South Perthshire) (Con)
The Parliamentary Secretary, Cabinet Office (Chloe Smith)
National Democracy Week begins on Monday and events will take place across the United Kingdom, encouraging everyone to get involved in our democracy. I thank those partners who are helping particularly to make sure that we reach under-registered groups. I hope that Members across the House will support it.
Luke Graham
National Democracy Week is about encouraging people to be active British citizens. What steps have been taken to extend the National Citizen Service to Scotland, so that my constituents can have the same opportunities as others throughout the United Kingdom?
Chloe Smith
I welcome my hon. Friend’s enthusiasm for National Democracy Week and for the National Citizen Service. Funding is available for the devolved Administrations to deliver the NCS, although the decision is a matter for them. As a proud Unionist like him, I would like to see young people across the United Kingdom benefiting from it.
Patrick Grady (Glasgow North) (SNP)
I am just wondering how the Government can, with a straight face, celebrate something called National Democracy Week when they are completely undermining democracy in this country by passing laws without the consent of the Scottish Parliament, ripping up the Sewel convention and fundamentally undermining devolution.
Chloe Smith
There was not a question in that, but none the less, the hon. Gentleman is wrong. This Government believe fundamentally in the treatment that our House of Commons has given to the European Union (Withdrawal) Act 2018, which will now serve our country, in leaving the European Union, with certainty for businesses and citizens.
Mr Speaker
I think a fair interpretation is that it was a rhetorical question, which is not entirely without precedent in the history of the House of Commons.
Danielle Rowley (Midlothian) (Lab)
The Parliamentary Secretary, Cabinet Office (Chloe Smith)
My Department has not received any representations about the legality of the pilots. The powers to make the pilot scheme orders are in section 10 of the Representation of the People Act 2000, which was, of course, passed by Parliament. Those powers enable changes to be made to rules regarding the conduct of any local elections in England and Wales.
Mr Sweeney
At the last general election, my constituency had the lowest turnout in the UK, and it also has a low registration rate. What kind of democracy are we living in when the Government actively pursue a scheme that results in people being denied the vote, as was shown by the pilot in May, instead of seeking better engagement and participation in our democracy by potential voters?
Chloe Smith
The hon. Gentleman will have just heard me setting out measures to encourage more people to be involved in our democracy. He knows, as I hope does every Opposition Member, that there is a point of principle at stake here. Do we defend our system from fraud or do we not?
Laura Smith
Two barristers have concluded that there is no provision in the Representation of the People Act to introduce schemes by secondary legislation that restrict or discourage voting, and that the scheme is therefore beyond the scope of the law. Can the Minister reassure the House that she acted within the law?
Chloe Smith
Yes, I can. I can also reassure those listening that this is clearly a series of Labour Whips’ handout questions.
Chloe Smith
The Labour party might like to reflect on the fact that it was its 2000 Act that allowed the pilots to be run.
Mr Speaker
The hon. Member for Crewe and Nantwich (Laura Smith) is signalling that that was very much her own question. It has to be said that Whips’ handouts are also not unprecedented in the House, but she is keen to draw attention to her own independent mindedness on this important matter.
Danielle Rowley
I recently spoke at an event at Newbattle Abbey College in my constituency about encouraging people to vote—no Whips were in attendance. Meanwhile, the Government’s voter ID pilots saw at least 340 people turned away, and many more would have been discouraged from voting. Is this not a slap in the face of people who are working hard to encourage people to vote?
Chloe Smith
To be clear, that was 340 out of a total of more than 230,000. I also want to be clear on the matter of principle. The Labour party accepts this principle for its own selection meetings, where it routinely asks for ID from members. Is this good enough for Labour but not for the rest of the country?
Mr Stephen Hepburn (Jarrow) (Lab)
The Chancellor of the Duchy of Lancaster and Minister for the Cabinet Office (Mr David Lidington)
The private sector has a vital role to play in delivering public services and is something that this Government will continue to champion. Earlier this week, I announced new measures in the wake of the collapse of Carillion to promote and deepen responsible capitalism, whereby everyone plays by the same rules and businesses recognise their duties and obligations to wider society. That is in line with the Government’s commitment to deliver an economy that works for everyone.
Mr Hepburn
As Carillion showed, the outsourcing of Government contracts is nothing but a gamble with jobs and public money. When will the Tories put the public interest first instead of their friends, spivs and speculators?
Mr Lidington
The collapse of Carillion has shown that outsourcing genuinely transfers risk from taxpayers to shareholders, directors and lenders—to the private sector company.
Johnny Mercer (Plymouth, Moor View) (Con)
The Minister without Portfolio (Brandon Lewis)
My hon. Friend is right to ask that question. We are focused on ensuring that we deliver a successful and positive exit from the European Union. The Cabinet Office works closely with colleagues in the Department for Exiting the European Union and other Departments to ensure that all those places are professionally filled. I can confirm that, as of the end of March 2018, some 5,500 staff have been recruited to the Departments most affected.
Mr Jim Cunningham (Coventry South) (Lab)
Mr Lidington
I take it that the hon. Gentleman, through the hon. Lady, was asking for examples of successful outsourcing. I refer him to the outsourcing of the teachers’ pension scheme, which has cut administrative costs by nearly half, to the benefit of pension scheme members.
Bob Blackman (Harrow East) (Con)
The Parliamentary Secretary, Cabinet Office (Chloe Smith)
Yes, and I look forward to that meeting. Since the response to consultation on the matter in May 2016, the Office for National Statistics has continued to consult stakeholders, and has met the members of the all-party group on Jainism. It is considering all the evidence provided, and will finalise its recommendations shortly.
Faisal Rashid (Warrington South) (Lab)
The Parliamentary Secretary, Cabinet Office (Oliver Dowden)
As the hon. Gentleman will know, the Cabinet Office has extensive functions to ensure that we award contracts only to companies that offer the very best value, and that was exactly the case in that instance.
Sir David Evennett
Mr Lidington
The Government have committed themselves to explaining or changing ethnic disparities highlighted by the audit. We have already announced action on criminal justice, employment support, school exclusions and youth unemployment, and we continue to talk to a range of stakeholders to take that work further.
Jamie Stone (Caithness, Sutherland and Easter Ross) (LD)
You will recall, Mr Speaker, that representatives of Wick High School were here last week—thank you for your kind remarks about them. Does the Minister agree that bringing schools the length and breadth of Britain, including my faraway constituency, to the House will do much for learning about democracy here in the mother of Parliaments?
Chloe Smith
Yes. I welcome the hon. Gentleman’s constituents to this place. I hope that they will find things of interest to them during National Democracy Week, and that the resource packs that are available to all parliamentarians will enable them to make the most of it.
Andrew Bridgen (North West Leicestershire) (Con)
Oliver Dowden
My hon. Friend is absolutely right. For too long, unions in the public sector have received taxpayer funding for an activity that is inadequately controlled and poor value for money, which is why we are introducing transparency in respect of facility time. We believe that proper management could save our taxpayers up to £100 million.
Diana Johnson (Kingston upon Hull North) (Lab)
The anniversary of the Prime Minister’s announcement of a public inquiry into contaminated blood is fast approaching. Can we expect a statement in the House to say that the terms of reference have finally been agreed and the public inquiry can get on with its work?
Mr Lidington
I am acutely aware of that anniversary date, and the justifiable expectations of survivors of that tragedy. I have sent the draft terms of reference proposed by the chair of the inquiry to the devolved Administrations, as I am obliged to do. I hope that I can announce the full details as rapidly as possible.
Richard Drax (South Dorset) (Con)
Oliver Dowden
Departments across the Government are committed to working with local partners in Weymouth and Portland to build jobs and prosperity. In July, representatives of a range of Departments will visit local partners to see for themselves the enormous opportunities that exist in the area, and to identify how Government policies and programmes could help to support their ambitions.
Helen Goodman (Bishop Auckland) (Lab)
The Prime Minister (Mrs Theresa May)
This week is Armed Forces Week, and I know that Members from across the House will attend events on Saturday to celebrate Armed Forces Day. This will provide an opportunity to recognise the source of pride and inspiration that our serving men and women are to us. Today is also Reserves Day, and I pay tribute to reservists, including hon. Members, for the integral and vital role that they play in maintaining this country’s security here and overseas, balancing their civilian lives alongside their military careers.
This morning I had meetings with ministerial colleagues and others. In addition to my duties in the House I shall have further such meetings later today.
Helen Goodman
The Prime Minister is right: we all celebrate the huge contribution our armed forces and reserves make.
Last year the Prime Minister promised that no school would see a cut in its budget, yet half the schools in Bishop Auckland continue to face real cuts, some of more than £1,000 per child. Does she not understand the damage this does to children’s life chances?
The Prime Minister
As the hon. Lady knows, we are putting extra funding into schools. We are making extra money available for schools, and the fairer national funding formula that we have introduced is ensuring that some of the schools that have previously been among the worst funded in this country are seeing increases in their funding to help to redress the balance.
Mr Laurence Robertson (Tewkesbury) (Con)
The Prime Minister
We are considering a number of issues in relation to Northern Ireland at the moment, in the context of both Brexit and the devolved Administration. We hope that the Administration and the Assembly will get back up and running. I can say to my hon. Friend that I hope to visit Northern Ireland in the next few weeks.
Jeremy Corbyn (Islington North) (Lab)
I join the Prime Minister in paying tribute to Armed Forces Day and Reserves Day. I hope that we also recognise that we need to do far more to address veterans’ housing and health needs.
I also pay tribute to the firefighters tackling the blaze on Saddleworth moor. I am sure all our thoughts are with them, and their communities and families, and my hon. Friend the Member for Stalybridge and Hyde (Jonathan Reynolds) is there today to support them.
On Brexit, the Business Secretary believes that business
“is entitled to be listened to with respect.”—[Official Report, 25 June 2018; Vol. 643, c. 609.]
I am sorry to see that the Foreign Secretary is not with us today. He takes a very different view, using an Anglo-Saxon term to make his point. Which is the Prime Minister’s view?
The Prime Minister
This party and this Government have always backed business and we will continue to back business. And we back business because it is businesses that create millions of jobs for people in our country and provide billions of pounds in tax that we can spend on our public services; and because it is businesses that are the backbone of our prosperity. I say to the right hon. Gentleman that if he wants to start talking in favourable terms about business, he has a decision to make. He can either back business or he can want to overthrow capitalism; he cannot do both.
Jeremy Corbyn
I take the Prime Minister’s response as a thumbs-down to the Foreign Secretary.
In recent days, an unprecedented number of concerns have been raised by trade unions, business and even some Cabinet Ministers. Today the CBI director general said:
“Facts ignored today mean jobs lost tomorrow.”
Airbus supports 110,000 jobs in the UK supply chain, many of which are very highly skilled, well paid and unionised. The company says that no deal
“would force Airbus to reconsider its footprint in the country, its investments”
and its
“dependency on the UK.”
Can the Prime Minister reassure thousands of workers today, and take the phoney threat of no deal off the negotiating table?
The Prime Minister
The right hon. Gentleman has raised the question of Airbus. If he is so concerned about our aerospace and aviation industry, why did he not back the expansion of Heathrow in this Chamber? [Interruption.]
Mr Speaker
Order. [Interruption.] Order. Mr Snell, calm yourself. Acquire the quality of an aspiring statesperson. Calm! The question has been asked, and the answer from the Prime Minister must, and will, be heard.
The Prime Minister
I do not normally agree with the secretary general of Unite, but on this occasion I actually do agree with him, because he says that backing the expansion—the third runway—at Heathrow would ensure that our country
“remains a world leader in aviation and aerospace”.
Jeremy Corbyn
Well, the Foreign Secretary did not back it either, but in his own way, he was helping the aviation industry: by spending 14 hours in a plane for a 10-minute meeting in Afghanistan.
The Government are not threatening the EU with their ridiculous position; they are threatening skilled jobs in this country. But at least one Government Minister understands this: the Under-Secretary of State for Defence, the hon. Member for Aberconwy (Guto Bebb). He has asked this question, which I think is about the Health and Foreign Secretaries:
“Do the leadership aspirations of multi-millionaires trump the need to listen to the employers and employees of this country?”
Well, apparently they do. The head of BMW, which directly employs more than 8,000 workers—that is 8,000 jobs—in this country, has said that he needs to know the Government’s plans for customs. He says:
“If we don’t get clarity in the next couple of months we have to start making those contingency plans”—[Interruption.]
The Prime Minister
We have been meeting with business and we are listening to business. That is why we are very clear on our customs arrangement that we want to ensure not just that we deliver on our commitment in Northern Ireland, with trade as frictionless as possible, but that we can trade around the rest of the world. If we are talking about Government plans for business, it is this Government who have brought the deficit down and it is this Government who are seeing employment at record levels. What would Labour’s three-point plan for business be? A 7% rise in corporation tax, nationalisation without compensation and a run on the pound. That is not backing business; it is a plan to break Britain.
Jeremy Corbyn
It is very interesting that even those Brexiteers who have made Brexit their life’s work are concerned about their own financial interests. The hon. Member for North East Somerset (Mr Rees-Mogg), for example, is relocating his hedge fund to the eurozone, and the right hon. Member for Wokingham (John Redwood) is advising his clients to disinvest in Britain. Meanwhile, in the real world, Andrew, who works for Honda in Swindon, wrote to me—[Laughter.] I would not laugh if I were you. These are real people with real jobs and real concerns.
Andrew writes:
“I have seen nothing that gives me confidence that the government is going to deliver a trade agreement allowing the seamless flow of goods through Europe’s borders. My job along with many others in manufacturing, suppliers and the supply chain hang on this”.
So will the Prime Minister ignore her Foreign Secretary, listen to workers, and secure an agreement that safeguards jobs in this country?
The Prime Minister
We are putting jobs at the heart of what we do in relation to Brexit. We are putting jobs at the heart of what we do as a Government through our modern industrial strategy and we are ensuring that, when we deliver Brexit, we deliver a Brexit that is good for our economy, good for jobs and good for people up and down this country.
Through most of his career, the right hon. Gentleman has been rather a Brexiteer himself. Why is it then that at every stage he and the Labour party are trying to frustrate Brexit in this House?
Jeremy Corbyn
The Labour party’s priority is defending jobs in this country. I doubt that Andrew from Swindon is alone among skilled workers when he goes on to say:
“I will hold the Prime Minister and her party culpable if my job and those of my colleagues at Honda end up being under threat.”
The Cabinet was split in two apparently on options for future customs arrangements with the EU. The Prime Minister’s preferred option was a customs partnership. We have had no official feedback on that working party, so did the Leader of the House speak for the Government when she said on Monday:
“I think the customs partnership looks quite bureaucratic and unwieldy”?
Is that option now ruled out as well?
The Prime Minister
As I have made clear on a number of occasions in the House, we are looking at both options in relation to customs because we want to ensure that we deliver as frictionless trade as possible with the European Union and the ability for us to negotiate trade deals around the rest of the world. That is what we should be looking for. It is what we are doing as a Government. The right hon. Gentleman says that the Labour party’s interest is in delivering jobs. Why is it then that every Labour Government leave office with more people out of work than when they went in?
Jeremy Corbyn
Coming from a Prime Minister who presides over an economy in which 1 million people are on zero-hours contracts, that is very rich. She rules out a customs union, the Leader of the House rules out the Prime Minister’s preferred option and reality rules out a maximum facilitation model. That leaves only no deal, which she refuses to rule out. She is putting jobs at risk. Sadly, it is not those of the warring egos in her Cabinet—they have now been rewarded with an invite to a pyjama party at Chequers. Meanwhile, thousands of skilled manufacturing jobs and the future of whole industries in Britain are at stake. The Prime Minister continues to promote the fallacy that no deal is better than a bad deal. No deal is a bad deal. Is not the truth that real jobs—[Interruption.]
Jeremy Corbyn
Thank you, Mr Speaker.
No deal is a bad deal, but is not the truth that the real risk to jobs in our country is a Prime Minister who is having to negotiate round the clock with her own Cabinet to stop it falling apart rather than negotiating to defend the jobs of workers in this country?
The Prime Minister
I will tell the right hon. Gentleman what I and this Government are delivering. We are delivering a successor to Trident; stamp duty slashed for first-time buyers; a modern industrial strategy for jobs and growth; action on childhood obesity; 1.9 million more children in good or outstanding schools; fairer schools funding; new technical education; improved mental health services; expansion of Heathrow; record levels of employment—record levels of employment; falling borrowing; and rising real wages. We have triggered article 50, we have agreed an implementation period and we have passed the EU (Withdrawal) Bill: a Britain fit for the future and leaving the European Union on 29 March 2019.
Julian Knight (Solihull) (Con)
The Prime Minister
First of all, I congratulate all the workers at British Land Rover on 70 years of production. My hon. Friend is absolutely right. Leaving the European Union gives us an opportunity to be in a position to conduct our own trade policy and to sign our own trade agreements with countries around the world.
My hon. Friend raises a specific point about cleaner diesel engines, which can play an important part in reducing CO2 emissions from road transport and could reduce CO2 emissions further while meeting ever more stringent air quality standards during the transition to zero-emissions vehicles. This country is leading on the issue of zero-emissions vehicles, and Land Rover is playing its part.
Ian Blackford (Ross, Skye and Lochaber) (SNP)
I commend the armed forces and our reservists for the fine job they do for our country.
Airbus, Honda, BMW, the CBI, the TUC and the Society of Motor Manufacturers and Traders—this Government have completely failed to listen to business, have insulted the business community and have left companies in the dark. Can the Prime Minister tell the House why 186,000 car manufacturing jobs are disposable to her?
The Prime Minister
We have been consistently listening to business throughout the negotiations so far. Business said it wants us to give priority to EU citizens’ rights here in the UK, and we did just that. Business said it wants an implementation period so there is not a cliff edge next March, and we have negotiated an implementation period so there will be a smooth and orderly Brexit. Business said it wants as frictionless trade as possible, so we are putting forward proposals to ensure we provide that frictionless trade with the European Union.
Alongside that, we will be developing a global Britain, looking out around the world and signing trade deals around the world. If the right hon. Gentleman thinks trade and business is so important, why did he not support Heathrow expansion?
Ian Blackford
Not for the first time, the Prime Minister has failed to answer the question, and the cost is that investment in Britain is being turned off by a Government who refuse to listen. More than a year ago, the Scottish Government presented a plan for the United Kingdom to remain in the single market and the customs union to give certainty to business. Just this week, Scotland’s First Minister took a trade delegation from Scotland to Berlin.
Every step of the way, the Scottish Government have been seeking to protect jobs and our economic interests. Two years on from the EU referendum, and with the clock ticking down, the Prime Minister has done nothing but increase uncertainty. Has she completed any economic analysis of jobs and the economy were the UK to stay in the single market and the customs union? If not, why not?
The Prime Minister
The right hon. Gentleman talks about investment into the United Kingdom. Last year, the United Kingdom remained the preferred country for foreign direct investment in Europe. Last year we saw 76,000 jobs being created as a result of foreign investment here in the United Kingdom, more than in the previous year.
If the right hon. Gentleman wants to talk about further confidence from business, he should just look at the fact that this month we have seen £2.3 billion of investment announced by the tech industry as part of London Tech Week, creating another 1,600 jobs, and I could give him more examples. If he wants to listen to business, he should listen to Scottish business, because its message is very clear: stay in the United Kingdom.
James Morris (Halesowen and Rowley Regis) (Con)
The Prime Minister
First, I congratulate my hon. Friend for completing the London marathon earlier this year and, I know, raising money for a very worthy local cause. I am happy to join him in wishing Alan Bowler, the Halesowen and Rowley Regis rotary club, and all those taking part in Sunday’s fun run the very best of luck. They are doing it for good causes and we congratulate them and wish them well.
Luke Pollard (Plymouth, Sutton and Devonport) (Lab/Co-op)
The Prime Minister
We take the issue of the safe storage and disposal of nuclear submarines very seriously indeed. There is capacity for safely storing all remaining operational Trafalgar-class submarines at Devonport following their decommissioning, and work has started on the dismantling of the first submarine, Swiftsure, with more than 50 tonnes of radioactive waste having been removed by the end of May. I believe that the hon. Gentleman and other Members have written to me about this issue; I will respond to him in further detail in due course and ask the relevant Minister to meet him to discuss the issue further.
Kevin Foster (Torbay) (Con)
The Prime Minister
I thank my hon. Friend for raising that important issue. We know that conflict is a key driver of educational exclusion. Our education in emergencies work supports greater community awareness of how to protect children in education, by teaching students and teachers about peacebuilding and strategies for conflict resolution. We view compliance with international humanitarian law as the primary basis to protect schools and educational facilities. We are also encouraging international partners to endorse the declaration, most recently Germany, which signed up last month. We take this issue very seriously and we are acting on that. We are supporting the United Nations’ work and I am pleased to say that we are the largest single financial contributor to the Office of the Special Representative of the Secretary-General for Children and Armed Conflict.
Ben Lake (Ceredigion) (PC)
The Prime Minister
The hon. Gentleman raises an important point about the mid-Wales growth deal. As he knows, I was happy to sign the Swansea city growth deal, the city deal for the Cardiff region, and one for north Wales as well. I understand from my right hon. Friend the Secretary of State for Wales that we are in discussions about the mid-Wales deal and will involve the hon. Gentleman in that.
Bim Afolami (Hitchin and Harpenden) (Con)
The Prime Minister
I am happy to congratulate Geraint Edwards on the excellent work that he is doing as headteacher of the Priory School. We are committed to helping those children who have special educational needs to achieve well in their education, find employment and, obviously, lead happy and fulfilled lives, so we are implementing the biggest changes to the special educational needs and disabilities system in a generation, to improve these children’s lives, and we are investing £391 million to support the reforms.
Afzal Khan (Manchester, Gorton) (Lab)
The Prime Minister
Anti-Muslim discrimination is wrong. There is no place for it in our society. That is why, when I was Home Secretary, I required the police specifically to record anti-Muslim hate crime so that we could understand better what was happening and better tackle the issue. We have introduced a new code of conduct in the party. I understand that my right hon. Friend the Member for Great Yarmouth (Brandon Lewis), the chairman of the party, has met Tell MAMA. We investigate any allegations of Islamophobia that are made relating to members of the party. Action is taken and, in some cases, members have been suspended or expelled from the party as a result.
Bill Grant (Ayr, Carrick and Cumnock) (Con)
The Prime Minister
I was very happy to visit my hon. Friend’s constituency and to highlight the opportunities that the Ayrshire growth deal gives us. As he says, it is important locally, regionally and nationally because of the economic benefit that it can bring. Negotiations have now commenced between both Governments and the Ayrshire councils on how to implement the deal. I understand that officials met on Monday this week to discuss aerospace and proposals for Prestwick, and the work is ongoing across Ayrshire. Therefore, the work is continuing and I can assure him that we recognise the importance of the Ayrshire growth deal.
Mary Creagh (Wakefield) (Lab)
The Prime Minister
I say to the hon. Lady, as I have said many times in this House before, that we are pursuing a Brexit that will be a good deal for the UK, a good deal for business, a good deal for citizens, and a good deal for jobs. I believe that we will achieve that because it will be good not only for the United Kingdom, but for the European Union.
Sir Peter Bottomley (Worthing West) (Con)
The Prime Minister
My hon. Friend will be aware of the action that we have taken as a Government in relation to the social sector and to local authorities, but we are calling on building owners in the private sector to follow the example set by the social sector in taking action to remove unsafe cladding. Some in the sector—I could name Barratt Developments, Legal & General and Taylor Wimpey—are doing the right thing and taking responsibility, but we want others to follow their lead and we will continue to encourage them to do so. They must do the right thing, and if they do not, we are not ruling anything out at this stage.
Joanna Cherry (Edinburgh South West) (SNP)
The Prime Minister
A number of decisions are being made to ensure that we have the defence estate that is right for our future capabilities and requirements. I will ensure that the hon. and learned Lady’s point about not yet receiving a reply from the Secretary of State is brought to the attention of the Ministry of Defence.
Greg Hands (Chelsea and Fulham) (Con)
We all need to keep our election pledges, whether we made those pledges one year ago or nine years ago, so will the Prime Minister update us on our Conservative manifesto election pledges to leave the single market, leave the customs union and pursue an independent trade policy?
The Prime Minister
I thank my right hon. Friend for the service that he has given to the Government over the past seven years, most recently in an important role on the very topic that he has just raised—as Minister of State at the Department for International Trade—and also in his time as Minister for London. He conducted all these jobs with great ability and distinction, and I thank him for all the work that he has done.
My right hon. Friend is right that we want to ensure that we can negotiate independent trade deals around the rest of the world. We will be leaving the single market and the customs union so that we can do exactly that—have an independent trade policy and negotiate our own trade deals with the rest of the world.
Alison Thewliss (Glasgow Central) (SNP)
The Prime Minister
This was a terrible fire, damaging one of Glasgow’s iconic landmarks, which was rightly regarded as a building of great architectural significance.
The Prime Minister
Yes, I am coming to the issue that the hon. Lady has raised. I just wanted to take this opportunity to give my heartfelt thanks to the work of the emergency services, which did their best in addressing the fire. The hon. Lady has raised a specific issue about insurance and ensuring that others can return to their buildings that are close by. I will ensure that the Secretary of State for Scotland is aware of that question, and we will look at what can be done.
Heidi Allen (South Cambridgeshire) (Con)
At 6.49 am my constituent, James Wheatcroft, emailed me to say:
“I am currently standing at Shepreth station. 06.40 has just arrived. 05.38, 06.10 and 07.25 bus cancelled so this is on the ONLY train to London this morning until the 8.10…Five people have been on the platform for over an hour and…miss their Eurostar connection the station car park is totally empty—people giving up and working from home.”
At 7.29 am he sent another message:
“Our train has now broken down…Another train has arrived but there is not enough room for everyone.”
At 7.59 am, he said that the rest of the passengers had to get a train back north, there was no room for them on that either and that
“people simply decided to go home.”
Please, Prime Minister—assurances from Govia Thameslink Railway are not enough. We need a taskforce to micro- manage these contracts back to performance. Will she please commit to that?
The Prime Minister
I recognise the concerns expressed by my hon. Friend. The performance provided for passengers has been unacceptable. The Department for Transport has been working on this issue with GTR, and it is working to provide a new timetable, which will provide more capacity on the services, but it is not the same timetable that was originally introduced in May. The Department for Transport will continue to work to ensure that the rail company is providing the performance that passengers rightly expect and deserve.
Sir Vince Cable (Twickenham) (LD)
On Saturday, around 100,000 people gathered in Parliament Square to demand a people’s vote on the final Brexit deal. I did not see the Prime Minister among the many Conservatives in the crowd, and the Leader of the Opposition was in the middle east avoiding the many Labour supporters. Since the Prime Minister—[Interruption.] Since the Prime Minister has such confidence that she will produce a good Brexit deal, why is she so afraid of allowing the final say to the public to endorse it?
The Prime Minister
The Liberal Democrats have argued in the past that we should have a referendum to give people the choice about whether to stay in the European Union. We gave the people a choice, they have voted and we will deliver on it.
Johnny Mercer (Plymouth, Moor View) (Con)
Will the Prime Minister confirm to the House today that she is absolutely committed to this country retaining its tier 1 military status, and equally open to the idea that increased threats require increased resources, but also committed to reforming the Department so that we end the narrative of constant decline of UK military capability when the truth is in fact the complete reverse?
The Prime Minister
We are absolutely committed to this country remaining a leading military power. There is no question but that the Government will do what they need to do to ensure that we are a leading military power, but we need to ensure that we look at the threats that we are now facing and the capabilities we need as these threats change. That is what the modernising defence programme is about. My hon. Friend makes the important point that this is also about making sure that our Ministry of Defence is operating as cost-effectively as it can so that we ensure that we are providing for the brave men and women in our armed forces, but also addressing the needs of the future. What do we need the Ministry of Defence and our armed forces to look like in 2030? That is the question, but we are committed to remaining a leading military power.
Anneliese Dodds (Oxford East) (Lab/Co-op)
On Saturday, I was at BMW Cowley with 15,000 people, all of them BMW workers and their families. Just two days later, we had the starkest warning yet from BMW about the damage of a chaotic deal on Brexit for customs processes. When will the Prime Minister’s Government ditch the ideology and in-fighting and prioritise reaching a workable deal on customs?
The Prime Minister
We are doing exactly that. We are putting forward proposals—[Interruption.] We are putting forward proposals to ensure that we can have as frictionless a trade with the European Union as possible. That is the aim of this Government, that is what we are working on, and that is what I am sure we will deliver on.
Nick Boles (Grantham and Stamford) (Con)
Across the country, people are taking great pride in the disciplined performance of Gareth Southgate’s young and diverse team. Will my right hon. Friend signal her Government’s support for their campaign during the play-offs by asking public buildings across England to fly the St George’s cross, alongside the Union Jack if they want? Will she also offer especial help to the right hon. Member for Islington South and Finsbury (Emily Thornberry) in raising her own St George’s cross to support our World cup campaign?
The Prime Minister
On the issue of flying flags, as I am sure my hon. Friend will appreciate, we are flying the armed forces flag at No. 10 this week, but I do want to join him in congratulating the England team on making it through to the next round in the World cup. I can assure him that No. 10 will be flying the England flag on the day of each of England’s matches from now on, and we will be encouraging other Government Departments to do the same. I can also say that I am going to go further than my predecessors: next year we will do the same for the women’s World cup.
Laura Smith (Crewe and Nantwich) (Lab)
Social care workers up and down the country are being paid less than the minimum wage as a result of incorrect Government guidance. We are repeatedly told that the Government are in talks with the EU to resolve this issue. Why are the talks taking so long? Will the Prime Minister do the right thing and commit to paying the workers what they are owed, directly through an HMRC scheme?
The Prime Minister
The hon. Lady raises an issue about people being paid the minimum wage. Obviously, there are rules in place to ensure that exactly that happens.
The Prime Minister
We are aware of the issue that the hon. Lady has raised. There have been discussions taking place in relation to that. We have been working to ensure that this matter can be dealt with not just in the interests, obviously, of those who are working in the social care sector but also in having a care for the impact that it will have on the charities that are working in that sector.
Mr Marcus Fysh (Yeovil) (Con)
In matters relating to my constituency, education, defence and local government are all in need of more funding. Can the Prime Minister assure me that the very welcome allocation of more money to the NHS does not crowd everything else out?
The Prime Minister
My hon. Friend is right to stand up and speak on behalf of his constituents and their interests, as other Members of the House do. As I made clear when I made the announcement about the NHS funding, other Departments’ budgets will all be considered in the spending review.
Ian Austin (Dudley North) (Lab)
Everyone knows that Black country brewers brew the best beer in Britain. Holden’s in Dudley has been bottling beer continuously for 75 years, even through the war, but along with other producers, it has had to cease production this week because of the European CO2 shortage. What are the Government doing to sort that out, so that we can all enjoy a beer during the World cup?
The Prime Minister
The hon. Gentleman will be aware that that is predominantly a commercial matter for the companies affected—the producers and suppliers. I am aware of the reports of shortages across Europe, and I know that industry is working on the solution. Although it is an issue for industry, the Government are in regular contact with the UK producer, distribution and consumer companies and trade associations, including those in the food and drink sector. He has made his point well, and I am sure that all those involved are working hard to ensure that his aim can be achieved.
Tim Loughton (East Worthing and Shoreham) (Con)
This morning the Supreme Court ruled that the Government had created inequality in not extending civil partnerships to everyone when they passed the equal marriage legislation back in 2013, and that discrimination needs to be addressed urgently. Will the Prime Minister now support an amendment to my Civil Partnerships, Marriages and Deaths (Registration Etc.) Bill when it goes into Committee next month, as the quickest way to resolve this illegal inequality and extend civil partnerships to everyone?
The Prime Minister
We are very well aware of our legal obligations, and we will obviously need to consider the judgment of the Supreme Court with great care. We also recognise the sensitive and personal issues that are involved in this case, and we acknowledge the genuine convictions of the couple involved. My hon. Friend refers to his private Member’s Bill. As he will know, we have committed to undertake a full review of the operation of civil partnerships. I know that there has been a lot of discussion with him about his Bill. We are supporting his private Member’s Bill, which would enshrine that commitment in law.
Debbie Abrahams (Oldham East and Saddleworth) (Lab)
Over 100 firefighters are tackling fires across Saddleworth moors, spread over 7 square miles in my constituency and the constituency of my hon. Friend the Member for Stalybridge and Hyde (Jonathan Reynolds). Will the Prime Minister join me in commending members of the Greater Manchester fire and rescue service and Greater Manchester police and the many others who have volunteered and contributed to bringing the fires under control? Will she commit to allocate contingency funds to those authorities affected, in recognition of the huge impact of this major incident on their resources?
The Prime Minister
I am sure that the sympathies of Members across the whole House are with everyone affected by the fire, and I join the hon. Lady in commending the emergency services and all the volunteers and others who have been working to deal with the fire and fight it. I can reassure her that the Home Office is monitoring the situation closely with the National Resilience Assurance Team. So far, no request for Government support has been made by the Greater Manchester fire and rescue service, but we are keeping this under constant review, and operational policy arrangements are in place to provide support if required.
Gillian Keegan (Chichester) (Con)
All Rolls-Royce motorcars—an iconic global brand—are made in my constituency. Every day, 150 trucks arrive from Europe to supply BMW plants, and 120 trucks leave the UK headed for Europe. We are the only serious party of business, so can the Prime Minister give some certainty and confidence to the largest employer in my constituency and businesses up and down the country that they can continue their seamless operating model as we leave the EU?
The Prime Minister
My hon. Friend is absolutely right to raise that issue. Obviously Rolls-Royce plays a very important role in her constituency, but also in our country. It is an iconic brand for our country. We want to have the greatest possible tariff-free and frictionless trade with the European Union. That is what we are working on. At the same time, we want to ensure that we can negotiate other trade deals around the rest of the world. We want UK companies to have the maximum freedom to be able to continue to trade with and operate within European markets, while letting European businesses do the same here in the UK, but we also want to encourage our excellent, iconic businesses to have better opportunities to trade around the rest of the world.
Several hon. Members rose—
Dr Paul Williams (Stockton South) (Lab)
Two Select Committees—the Housing, Communities and Local Government Committee and the Health and Social Care Committee—have today released a joint report describing a vision of a social care system where quality personal care is delivered free at the point of need, separated from the ability to pay, and how to achieve that vision. The Committees’ citizens jury said this was a system they were prepared to pay for. Does the Prime Minister share that vision?
The Prime Minister
We will obviously look very carefully at reports that have been produced by Select Committees of the House. We are committed to producing a social care Green Paper in the autumn.