Oral Answers to Questions

Wednesday 21st June 2023 Commons Chamber

The Secretary of State was asked—

[Claire Hanna (Belfast South) (SDLP)]

1. If he will have discussions with the Chancellor of the Exchequer on ensuring similar levels of funding for Northern Ireland to that announced for early learning and childcare in the spring Budget of 2023.

[The Secretary of State for Northern Ireland (Chris Heaton-Harris)]

Today is a day of reflection in Northern Ireland. It marks an opportunity for people to think about the tragic and needless loss experienced by so many families during the troubles. It also allows us all as a society to reflect on how far Northern Ireland has come from the most difficult days of the troubles, and the further work required to ensure that we never again return to violence and that Northern Ireland is a truly peaceful, prosperous and reconciled society, which is something this Government are determined to deliver.

If I may, Mr Speaker, I would like to note that my permanent secretary since January 2020, Madeleine Alessandri, is leaving the Department next week for another role within Government. I would like to place on record my thanks to her for all the help and guidance she has given me and everyone else over the last 10 months.

In answer to the question, in his spring Budget the Chancellor stated that Northern Ireland would receive Barnett consequentials for 2023-24 and 2024-25 as a result of increased UK Government spending on childcare policy reform in England.

[Claire Hanna]

The Secretary of State may be aware that there is no childcare strategy in Northern Ireland and very little support, which is placing many families under extreme financial pressure because of growing costs, exacerbating inequality among children and forcing many, particularly women, to abandon their career for years. Research by the advocacy group Melted Parents demonstrates that families in Northern Ireland have been consistently failed on this issue. Does the Secretary of State agree that childcare must be recognised as a core part of the economic and societal fabric, as well as a tool to give kids a great start in life? Will he support the Department of Education and others to ensure that families in Northern Ireland can finally access the benefits promised in the Budget, promised in New Decade, New Approach and promised before that as well?

[Chris Heaton-Harris]

The Government recognised in the Budget, as I have just mentioned, how important childcare is for all the reasons the hon. Lady gave, and we do work with the Department of Education as much as we can. According to its figures, in the 2022-23 academic year there were 22,715 pupils in funded pre-school education in Northern Ireland, which is 91% of three-year-olds in the population. However, she makes a very valid point about how this needs to go further, as it will do across the other parts of the United Kingdom.

[Simon Baynes (Clwyd South) (Con)]

2. What recent assessment he has made of the adequacy of the performance of the health service in Northern Ireland.

[Christine Jardine (Edinburgh West) (LD)]

13. Whether he is taking steps with Cabinet colleagues to help reduce waiting times for healthcare in Northern Ireland.

[The Minister of State, Northern Ireland Office (Mr Steve Baker)]

We are acutely aware of the challenges facing the health service in Northern Ireland and, indeed, across the UK. That is why tackling waiting lists is one of the Prime Minister’s top five priorities. The performance of the NHS in Northern Ireland is not good enough, substantially because much-needed reforms have been avoided for years. Taking action to cut waiting lists and transform healthcare in Northern Ireland is the job of the devolved Government. For that reason, and many others, we urgently need the parties back in the Executive.

[Simon Baynes]

Over 500,000 people in Northern Ireland are waiting either to see a clinician or to have treatment, which represents one in four of the population. Does my hon. Friend agree that health services desperately need a working Executive to help address the huge problems they are facing?

[Mr Baker]

Yes. Without an Executive, local leaders are not able to deliver reforms to transform public services, and that is now being felt in the most uncomfortable, undesirable and difficult of ways by people in Northern Ireland, especially by those on long waiting lists. Northern Ireland desperately needs a working Executive.

[Christine Jardine]

I share the expressed concerns about the lack of an Executive in Northern Ireland and about support for the NHS, which is struggling. However, as the Minister mentioned, we are seeing similar problems across the United Kingdom. If it is one of the Prime Minister’s priorities, could he not meet the leaders of the NHS in each of the devolved nations, and the leaders of those devolved nations, to discuss how they can learn from each other and perhaps tackle the problem on a wide scale across the board?

[Mr Baker]

My right hon. Friend the Secretary of State just said to me that the British-Irish Council did not discuss health this time, but it has in the past. That would be a good forum for that discussion, but the hon. Member will realise that it is rather above my pay grade.

[Mary Glindon (North Tyneside) (Lab)]

3. What recent discussions he has had with Cabinet colleagues on restoring power sharing in Northern Ireland.

[The Secretary of State for Northern Ireland (Chris Heaton-Harris)]

I regularly discuss Northern Ireland affairs with my extremely interested Cabinet colleagues and keep them fully abreast of the efforts being made to restore the power-sharing Northern Ireland Executive. My total focus is on the return of a devolved Government, and the Windsor framework is the basis on which to do that.

[Mary Glindon]

In the past, successful attempts to restore power sharing involved weeks of intensive talks between both Governments as well as the five main parties in Northern Ireland, but there is a vagueness about the current process. Can the Secretary of State confirm that he will try the previously tested methods over the coming summer?

[Chris Heaton-Harris]

I give an assurance to the hon. Lady that no stone will be left unturned in trying to get the Executive back up and running. The one thing that I did learn from the Windsor framework negotiations is that confidentiality in modern-day British politics and western politics is key in trying to get anything over the line.

[Alun Cairns (Vale of Glamorgan) (Con)]

The Windsor framework will make a significant difference to businesses and communities in Northern Ireland as they seek to trade with the rest of the United Kingdom. Does my right hon. Friend recognise that the Windsor framework agreement has an international dimension, in that it has improved the status of the UK around the world, allowing the Prime Minister and the President of the United States to agree the Atlantic declaration and other such agreements?

[Chris Heaton-Harris]

It is true, and I am slightly surprised by the element of pleasure that worldwide institutions—other Governments, the European Union and the United States Government, as my right hon. Friend says—have taken in seeing the Windsor framework come to fruition and, indeed, by how we are now talking about all sorts of important other things that seem to have been unlocked by the Windsor framework agreement.

[Mr Speaker]

We now come to the shadow Secretary of State.

[Peter Kyle (Hove) (Lab)]

Today is a day of reflection across Northern Ireland, and I share the Secretary of State’s support for those who are participating. The Secretary of State has said that the Government need to demonstrate that Northern Ireland remains a “strong and integral” part of the United Kingdom to restore power sharing. The problem for him is that his Department still plans to impose immunity for terrorists on Northern Ireland, against the wishes of all local parties and all victim groups there. Does he not see the damage that that could do to the Union?

[Chris Heaton-Harris]

This question is about the Northern Ireland Troubles (Legacy and Reconciliation) Bill, which is currently on Report in the House of Lords. I disagree fundamentally with the principle behind what the hon. Gentleman is saying. Yes, none of the political parties in Northern Ireland is behind this particular Bill, but in great fairness to the Democratic Unionist party, it has never been behind any sort of amnesty. That has been a principled position on its part from the Belfast/Good Friday agreement onwards, which I completely understand. I do not think I will ever be able to win that argument with the DUP. However, we do need to address these issues. We have a question later on legacy and a family who need information to allow themselves to reconcile the death of a family member. The Bill that we will present, which will be article 2 compliant—I truly believe that—will get information for a whole host of families who have not had it for well over 25 years.

[Peter Kyle]

I am grateful for the Secretary of State’s detailed answer. There are ways forward that the DUP and other parties have supported, but the Government have chosen a different path. His Department cannot be fully focused on restoring power sharing while it is spending so much precious time on this Bill. Yesterday, even the Irish Government officially requested a pause in the Bill’s passage through Parliament. The Secretary of State says that the Bill will be a different beast after the Lords, so will he consider giving people the time to assess the changes before it returns to this House?

[Chris Heaton-Harris]

This Bill has had a long gestation. It had two days of consideration on the Floor of this House in its original form this time last year. It had one of the longest Committee stages ever in the House of Lords, taking nearly five months to complete. We laid a whole host of amendments as a Government at that point. It has its first day on Report today and another day next Wednesday. This House will have plenty of time to consider those amendments and others when the Bill returns to this place.

[Sir Jeffrey M. Donaldson (Lagan Valley) (DUP)]

I join the Secretary of State in paying tribute to his outgoing permanent secretary, Madeleine Alessandri, and we wish her well in her new position.

The Secretary of State will be aware that since New Decade, New Approach at the beginning of 2020, we have pressed for legislation that will protect Northern Ireland’s ability to trade within the internal market of the United Kingdom and respect our economic rights under article VI of the Acts of Union. Are the Government any closer to bringing forward such legislation?

[Chris Heaton-Harris]

I very much look forward to being in a space where, following further conversations with the right hon. Gentleman, I can bring forward legislation in this place that does exactly what he needs it to do for his party to be able to give me a date when it will go back into the Executive in Northern Ireland.

[Sir Jeffrey M. Donaldson]

The Secretary of State will know that we want to see Stormont back up and running and fully functioning again, but it is critical for us that Northern Ireland’s ability to trade with its biggest market—which is, of course, the rest of the United Kingdom—is protected. We do have concerns about the practical outworking of proposals in the Windsor framework and what it means for the movement of goods in the non-EU lane. The Prime Minister has stated that there will be free movement of goods between Great Britain and Northern Ireland, and we need to see that reflected in the practical arrangements, which, I have to say, are not matched by what the EU is saying about the non-EU lane and its operation.

[Chris Heaton-Harris]

The right hon. Gentleman has detailed knowledge of this area, and I do enjoy our regular conversations on these points. He knows that in the Command Paper on the Windsor framework, which was published back in February, we detailed the British Government’s view of how we could bring in unfettered NI to GB trade as we move forward. We need to put more flesh on that bone—of that I am sure—but, as he knows, I constantly seek his guidance to ensure that I get this bit of my job completely right.

[Tim Loughton (East Worthing and Shoreham) (Con)]

4. What recent discussions his Department has had with representatives of the tourism sector in Northern Ireland on the implementation of the electronic travel authorisation scheme.

[The Minister of State, Northern Ireland Office (Mr Steve Baker)]

I am glad to tell my hon. Friend that the Department most recently met with Northern Ireland tourism organisations alongside the Home Office for discussions on how to communicate the ETA requirement on 7 June. My right hon. Friend the Secretary of State also hosted a tourism roundtable with sector leaders at Hillsborough castle on 20 April. The Government will continue their engagement with the tourism sector, which we recognise plays a vital role in Northern Ireland’s economy.

[Tim Loughton]

I am grateful for that answer, but does my hon. Friend acknowledge that if an ETA exemption was granted for tourists—or, indeed, people claiming to be tourists—travelling from the Republic of Ireland, that would undermine the integrity of the whole scheme?

[Mr Baker]

My hon. Friend is right, and that is the Government’s policy. We have engaged closely with not only the tourism sector but our friends in the Irish Government on this issue. I hope that we will be able to work together to ensure that there is a consistent and coherent communication strategy to ensure that tourists know they must register for an ETA and must continue to comply with the UK’s immigration requirements. I should say that whether one stays at Hillsborough castle, the Travelodge or any of the other great hotels in Northern Ireland, it is a wonderful place to visit.

[Stephen Farry (North Down) (Alliance)]

Does the Minister recognise that Ireland is marketed internationally as a single entity with respect to tourism? Does he understand that treating movements on the island of Ireland the same as any entries into the UK from the rest of the world is not fair and does not recognise the specific circumstances that exist on the island?

[Mr Baker]

I am most grateful to the hon. Member. We do recognise elements of what he said, and indeed we have had those conversations most recently with the Irish Government at the British-Irish Intergovernmental Conference. It is the Government’s position that we should not create a loophole through the ETA scheme, but we do need to ensure that we communicate clearly with everyone the need to register and comply with immigration requirements. He may know that we have created an exemption for third-country nationals who are ordinarily resident in Ireland, and of course the requirement does not apply to citizens of the UK or Ireland under the common travel area, which we will continue to honour.

[Mike Amesbury (Weaver Vale) (Lab)]

5. What recent discussions he has had with community groups on the potential impact of changes in the level of funding for education in Northern Ireland.

[The Minister of State, Northern Ireland Office (Mr Steve Baker)]

My right hon. Friend the Secretary of State and I are acutely aware of the challenges facing the education sector in Northern Ireland. He has met member organisations of the Northern Ireland Council for Voluntary Action to discuss these issues, and I have been engaging with stakeholders about the wider cost of division in education, which a report by researchers working independently at Ulster University recently estimated was an extraordinary £226 million per year. I hope that the hon. Gentleman will agree that it would be preferable for the Northern Ireland Executive to be restored so that they may make decisions on the issues that matter to the people of Northern Ireland, including the right level of funding for education.

[Mike Amesbury]

The Department of Education in Northern Ireland has announced that it will not proceed with proposed cuts to early years, extended schools and youth service programmes, which is broadly welcomed by community groups. Will the Minister confirm whether the Northern Ireland Office took direct action and advised on how guidance should be interpreted?

[Mr Baker]

We are always willing to work closely with the Northern Ireland civil service, but the hon. Gentleman knows that we have put in place an Act of Parliament to formalise arrangements by which decisions are taken by Northern Ireland civil servants during this governance gap. We will continue to work closely with civil servants, but if he would like to discuss a specific concern more closely with me, I will be glad to meet him. The answer to the problem is something that I think the whole House agrees on: it would be preferable to have locally accountable, devolved Government restored as soon as possible to take those decisions.

[Mr Robin Walker (Worcester) (Con)]

Our Prime Minister has described education as the

“closest thing to a silver bullet there is”.

The Northern Ireland Affairs Committee has heard concerns about the fact that Northern Ireland’s education budget is going down as the budgets in the rest of the UK are going up. Will the Minister make the case for further investment in education in Northern Ireland and continue to pursue integration, which is crucial to the future success of education?

[Mr Baker]

My hon. Friend makes a reasonable point. Integration is central not only to the Government’s policy but to the Belfast/Good Friday agreement. I am rather grateful that there has been some small controversy over the Ulster University report on the cost of division. We must have that conversation. If we are spending £600,000 a day on maintaining a system within which only 7% of children are educated in formal integrated schools and, overwhelmingly, children are educated separately as Catholics or Protestants, we should have a serious conversation about the cost of that system.

[Mr Speaker]

I call the shadow Minister.

[Chris Elmore (Ogmore) (Lab)]

Universities recently wrote a joint letter to the Secretary of State warning that his budget will force them to cut student places and will have a “fundamental and dangerous impact” on the future of Northern Ireland. Will the Minister carry out an assessment of the effect that a loss of student placements would have on Northern Ireland’s economy, so that the House can be fully informed of the long-term impacts of the budget?

[Mr Baker]

We are in frequent conversation with the vice-chancellors. The hon. Gentleman will remember that we have taken a power to commission advice and to consult, and he will know that there is a need to look at revenue raising. All those things come together and point in a direction on which I hope, in the end, there will be consensus: to ensure that the excellent higher education sector in Northern Ireland continues to be a beacon of great education for the world.

[Peter Grant (Glenrothes) (SNP)]

6. What recent assessment he has made of the adequacy of the budget for public services in Northern Ireland.

[John Mc Nally (Falkirk) (SNP)]

8. What recent assessment he has made of the adequacy of the budget for public services in Northern Ireland.

[The Secretary of State for Northern Ireland (Chris Heaton-Harris)]

For many years, the UK Government have recognised the unique challenges that Northern Ireland faces. We have provided around £7 billion in additional funding to Northern Ireland since 2014, on top of the Barnett-based block grant. Northern Ireland Executive spending per person is around 20% higher than the equivalent UK Government spending in the rest of the United Kingdom.

[Peter Grant]

A recent study has showed that 90% of people in Northern Ireland are having to cut back on their spending. The cost of living crisis means that a third are cutting back a lot on basics such as food, fuel and housing. Against that background, the Secretary of State’s Government are imposing real-terms budget cuts across almost the whole public sector in Northern Ireland. At the time of a cost of living crisis, are his budget cuts making the crisis better or worse?

[Chris Heaton-Harris]

The budget for Northern Ireland was set out in the spending review a couple of years and is unchanged. All UK Government Departments are being asked to absorb inflation and energy costs within their budgets; Northern Ireland’s Executive is no different. I am fully aware of what is going on with the cost of energy, food and other things in Northern Ireland, as I meet people regularly who tell me about it.

[John Mc Nally]

New research from Northern Ireland found that women were the shock absorbers of poverty, with 75% struggling to pay for food and 73% struggling to pay their electric bills, leading to mothers missing meals to feed their families. The saving efficiencies to the Northern Ireland budget include cuts to holiday hunger payments and, now, free school meals. Will the Minister explain why women and children are forced to starve to repair the chaos that the Tories caused to the economy?

[Chris Heaton-Harris]

The hon. Gentleman is wrong in one aspect. The budget is fair and allows for the statutory things to be delivered. I meet with women’s groups very regularly—I met a whole group of them last week. I fully understand the implications of the budget. However, it should be for Northern Ireland Ministers to sort it out.

[Mr Speaker]

I call the SNP spokesperson.

[Richard Thomson (Gordon) (SNP)]

Beyond the cost of living crisis, there is a crisis facing public services across Northern Ireland. To give one very pertinent example, the chief constable of the Police Service of Northern Ireland, Simon Byrne, reported to the policing board last month that the force faced a budget gap of some £141 million. That is a gap that can only be met by cutting police numbers further. Given that police numbers are already at 6,500, which is 1,000 below the recommended establishment figure quoted by Chris Patten and the lowest number since 1978, that is clearly a poor situation. Given the severe terror threat, what will the UK Government do to ensure that Northern Ireland has a police force capable of meeting continued security challenges, as well as meeting the needs of the communities the police force is there to serve?

[Chris Heaton-Harris]

The police budget in Northern Ireland is devolved. It comes through the Department of Justice, which has to live within its means just like every other Department, but I regularly meet and talk to the chief constable. The UK Government also provide an extra £32 million a year for such security measures.

[Sarah Atherton (Wrexham) (Con)]

7. What recent progress his Department has made on establishing the Independent Commission for Reconciliation and Information Recovery.

[The Secretary of State for Northern Ireland (Chris Heaton-Harris)]

I have identified the right hon. Sir Declan Morgan to be appointed chief commissioner designate of the Independent Commission for Reconciliation and Information Recovery. Hopefully, his appointment will come into effect when the Northern Ireland Troubles (Legacy and Reconciliation) Bill receives Royal Assent.

[Sarah Atherton]

I welcome the progress made towards establishing the Independent Commission for Reconciliation and Information Recovery, but after 40 years of waiting—I have also been raising the case in the Chamber over the past three and a half years—Mr Vaughan-Jones and his family have never received a conclusive account of what happened to his brother Robert, 2 Para, at Warrenpoint in 1979. Will the Secretary of State agree to meet me to discuss the case and progress?

[Chris Heaton-Harris]

My hon. Friend raises a critical point and I would be delighted to meet her to talk about it. As I said earlier, many families across Northern Ireland and Great Britain still do not have the answers they require about the acts of serious harm committed in the troubles. The system has not worked as it is, which is why we need to pass the Bill and establish the ICRIR as soon as possible.

[Jim Shannon (Strangford) (DUP)]

I thank the Secretary of State for that answer. When it comes to recognising the need for reconciliation and information recovery, it can never, ever be a substitute for victims’ access to justice. Will he confirm that innocent victims will always be a priority for the Northern Ireland Office and this Government?

[Chris Heaton-Harris]

I can do that, 100%. The hon. Gentleman is completely right.

[Andrew Selous (South West Bedfordshire) (Con)]

9. What steps he is taking with Cabinet colleagues to promote Northern Ireland businesses overseas.

[Robbie Moore (Keighley) (Con)]

11. What steps he is taking with Cabinet colleagues to promote Northern Ireland businesses overseas.

[The Minister of State, Northern Ireland Office (Mr Steve Baker)]

As a result of the Windsor framework, Northern Ireland will be in the unique position of being part of the UK internal market as of right, having privileged access to the EU market, being under UK services regulation, and having access to the free trade agreements to which we are acceding. In addition, I have led trade missions with Invest Northern Ireland to Canada and South Korea to promote brilliant Northern Ireland businesses overseas, and will take further similar steps.

[Andrew Selous]

What will be the benefit to businesses in Northern Ireland of working with the UK Export Academy?

[Mr Baker]

I am very grateful to my hon. Friend for highlighting the UK Export Academy, brought forward by the Department for Business and Trade. To illustrate its success, I would point to Lowden Guitars, which takes its products from its factory in County Down to customers in Australia. I encourage businesses across Northern Ireland, and indeed across the UK, to use the Export Academy, as he implicitly suggests.

[Robbie Moore]

How will the New Deal for Northern Ireland funding help to boost economic growth and increase Northern Ireland’s competitiveness overseas?

[Mr Baker]

The £400 million in the new deal for Northern Ireland funding will underscore the UK’s commitment to supporting and protecting the interests of people and businesses in Northern Ireland. New deal funding has been invested in projects such as £15 million for the Skill Up project to improve skills, £11 million for a cyber-AI hub at Queen’s University Belfast, and a number of other projects, including £8 million for Invest NI to help to promote trade. It is a commitment of which we are very proud and I could speak at even greater length.

[Ian Paisley (North Antrim) (DUP)]

What is the Northern Ireland Office doing, and what is the Minister doing, to promote Northern Ireland businesses at COP28, which will provide a significant opportunity for those businesses to be marketed on the world stage, especially those involved in hydrogen technology? We have a hydrogen hub in my area.

[Mr Baker]

I know that the hon. Gentleman has a personal interest in this subject, and I should be happy to meet him to discuss how we can do more. There are some excellent businesses in Northern Ireland, including Catagen, which has an incredible technology for converting wind power and water into hydrocarbon fuels, and other businesses which should have the opportunity to participate.

The Prime Minister was asked—

[Patricia Gibson (North Ayrshire and Arran) (SNP)]

Q1. If he will list his official engagements for Wednesday 21 June.

[The Prime Minister (Rishi Sunak)]

This morning I opened the Ukraine recovery conference alongside President Zelensky. The aim of the conference is to secure a resilient economic future for Ukraine.

As we mark the 75th anniversary of the arrival of HMT Empire Windrush tomorrow, I am sure the whole House will celebrate the contribution of the Windrush generation, who have done so much to build the Britain that we cherish today. In this Armed Forces Week, we also thank our armed forces for all that they do to keep our country safe.

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.

[Patricia Gibson]

Given that inflation continues to outstrip pay awards, and given that we expect to see the 13th consecutive rise in interest rates tomorrow, will the Prime Minister tell us by how much living standards have fallen during his eight months in office?

[The Prime Minister]

I have always been clear about the fact that inflation is putting pressure on family budgets. The UK Government have taken decisive action to support families through this difficult time, including households in Scotland, who are receiving considerable support—not just help with energy bills, but help for the most vulnerable as well.

[Mark Menzies (Fylde) (Con)]

Q2. On this side of the House we have a proud record of supporting the nuclear industry, which plays an essential part in the achievement of secure, low-carbon energy. I am delighted that my right hon. Friend has given his backing to the next generation of nuclear reactors, including small modular reactors and larger projects. Will he now commit himself to ensuring that the fuel for these projects is manufactured in the UK, which will secure long-term, high-skilled employment at key sites in the north-west such as Springfields Fuels in my constituency, and a supply chain across the UK?

[The Prime Minister]

We are preserving and strengthening the UK’s nuclear fuel production capacity through our £75 million nuclear fuel fund, and I know that Springfields Fuels has benefited from £30 million of funding. My hon. Friend is right to say that our domestic nuclear fuel sector has a critical role to play in supporting the UK’s energy security and independence, and I know that he will continue to be a champion for the industry in the House.

[Mr Speaker]

I call the Leader of the Opposition.

[Keir Starmer (Holborn and St Pancras) (Lab)]

I echo the Prime Minister’s comments about the Windrush generation, who have contributed so much to our country, and join him in paying tribute to the armed forces, in this week and all weeks.

Let me also say that Glenda Jackson’s passing leaves a space in our cultural and political life that can never be filled. She played many roles, with great distinction, passion and commitment: Academy award-winning actor, campaigning Labour MP, and an effective Government Minister. We will never see talent like hers again.

One of the Prime Minister’s own MPs says that Britain is facing a “mortgage catastrophe”. Does he agree with her?

[The Prime Minister]

Let me start by joining the right hon. and learned Gentleman in his tribute to Glenda Jackson.

It is right that we support those with mortgages, which is why halving inflation is absolutely the right economic priority. Inflation is what is driving interest rates up, and inflation is what erodes savings, pushes up prices, and ultimately makes people poorer. That is why, a long time before I had this job, I highlighted the importance of tackling inflation, and it is why I said that it was never easy to root out inflation but we would take the difficult and responsible decisions to do so. It is an approach that the International Monetary Fund has strongly endorsed, in its words, describing our actions as “decisive and responsible”.

[Keir Starmer]

I realise that the Prime Minister has spent all week saying that he does not want to influence anyone or anything, but he was certainly keeping to that in his answer. He knows very well the cause of the “mortgage catastrophe”: 13 years of economic failure, and a Tory kamikaze Budget which crashed the economy and put mortgages through the roof. Will the Prime Minister tell us how much the Tory mortgage penalty will cost the average homeowner?

[The Prime Minister]

As ever, the right hon. and learned Gentleman is not aware of the global macroeconomic situation. Let me tell him and the House what we are doing to support those with mortgages. We have deliberately and proactively increased the generosity of our support for the mortgage interest scheme. We have also established a new Financial Conduct Authority consumer duty, which will protect people with mortgages—for example, moving them on to interest-only mortgages or lengthening mortgage terms. And we have spent tens of billions of pounds supporting people with the cost of living, particularly the most vulnerable. That is the difference between us: while he is always focused on the politics, we are getting on and doing the job.

[Keir Starmer]

Let’s test that. The question that the Prime Minister refuses to answer—he knows the answer: £2,900 extra—is the cost to the average family of the Tory mortgage penalty. He was warned by experts about this as long ago as autumn last year, but he either did not get it, did not believe it or did not care, because he certainly did not do anything. When I raised this a couple of months ago, he had the gall to stand at that Dispatch Box and say he was delivering for homeowners. How is an extra £2,900 a year on repayment delivering for homeowners?

[The Prime Minister]

Let’s just look at the facts. The right hon. and learned Gentleman talks about interest rates. Perhaps he could explain why interest rates are at similar levels in the United States, in Canada, in Australia and in New Zealand and why they are at the highest level in Europe that they have been for two decades. That is why it is important that we have a plan to reduce inflation. In contrast, what do we hear from the right hon. and learned Gentleman? He wants to borrow an extra £28 billion a year. That would make the situation worse. He wants to ban new supplies of energy from the North sea. That would make the situation worse. And he wants to give in to unions’ unaffordable pay demands. That would make the situation worse. He does not have many policies, but the few that he does have all have the same thing in common: they are dangerous, inflationary and working people would pay the price. [Interruption.]

[Mr Speaker]

Seriously? [Interruption.] Sorry? I don’t think we need any more, do we? No.

[Keir Starmer]

I appreciate that the Prime Minister has a keen interest in the mortgage market in California, but I am talking about mortgage holders here. Whilst his Government are consumed in lawbreaking, chaos and division, working people are paying the price. This morning, I spoke to James in Selby. He is a police officer, working hard to keep people safe every day. The Tory mortgage penalty is going to cost him and his family £400 more each and every month. That is nearly £5,000. He told me this morning—Conservative Members may not want to hear this—that they have decided to sell their house and to downsize, and he has just told his children they are going to have to start sharing bedrooms. Why should James and his family pay the cost of the Prime Minister’s failure?

[The Prime Minister]

I hope, when the right hon. and learned Gentleman was talking to James, he explained that his economic policies would make James’s situation worse. It is not just me saying that. The independent Institute for Fiscal Studies says that his policy of never-ending debt and borrowing would damage James because it would “increase inflation” and drive up interest rates, leaving James and everybody else in this country poorer. The International Monetary Fund has said that our plan prioritises not what is politically easy, but what is right for the British people. That is what responsible economic leadership looks like.

[Keir Starmer]

James and his family will have been listening to that, Prime Minister, and their plight should keep Conservative Members awake at night because, over the next few years, 7.5 million people are going to be in the same boat, all paying the Tory mortgage penalty month after month after month. The situation is so dire that repossessions are already up 50%—a total betrayal of the idea that if you work hard, you will get on. What is the Prime Minister going to do to make sure that more families do not lose their homes?

[The Prime Minister]

I know the right hon. and learned Gentleman is reading from his prepared script, but he failed to listen to the answer I gave. I spelled out in detail what we are doing. We have increased the generosity of support for the mortgage interest scheme, and we did that proactively in advance. We have also established a new Financial Conduct Authority consumer duty that will protect borrowers by, for example, allowing them to extend their mortgage term or switch to interest-only mortgages, and we have spent tens of billions of pounds supporting households with living costs. Those are the practical steps that we are taking to help James and other families who are facing these situations.

The right hon. and learned Gentleman mentioned mortgage arrears and repossessions, and I am pleased to say that today they are running at a level below when we entered the pandemic because of the actions we are taking. More importantly perhaps, they are also running three times lower than the level we inherited from the last Labour Government.

[Keir Starmer]

I am sure that, from the vantage point of his helicopter, everything might look fine, but that is not the lived experience of those on the ground. After 13 years of economic failure, people across the country are paying the price of uncosted, reckless, damaging decisions by the Tory party. Even now, as mortgages go through the roof, the Prime Minister is planning to wave through honours and peerages for those who caused misery for millions. What does it say about this Government that, while working people are worrying about mortgage rates, paying the bills and even repossessions, the Tory party is rewarding those who are guilty of economic vandalism?

[The Prime Minister]

No amount of personal attacks and petty point-scoring can disguise the fact that the right hon. and learned Gentleman does not have a plan for this country. He comes here every week to make the same petty points. We are getting on and delivering for this country. Yes, inflation is a challenge, which is why we are on track to keep reducing it. We are reducing waiting lists and stopping the boats, all while he is focused on the past and focused on the politics. It is all talk. Whereas this Government and this Prime Minister deliver for the country. [Interruption.]

[Mr Speaker]

Philip, I know you are popular.

[Philip Davies (Shipley) (Con)]

Q5. Thank you very much, Mr Speaker.My constituents continue to be concerned about energy prices and energy security. Can the Prime Minister assure me that he will not cave in to the extremist bullies from Just Stop Oil and their patsies in the Labour leadership and will instead commit to developing new oil and gas production in the United Kingdom, which would be good for jobs, good for the economy and make us less dependent on foreign countries for our energy supply?

[The Prime Minister]

As ever, my hon. Friend makes an excellent point. Putin’s weaponisation of energy has amplified the need for greater energy security, which is why we deliberately launched a new licensing round for the North sea. Official forecasts suggest that a block on North sea oil and gas investment would mean that the UK’s dependence on imports rises substantially. The Labour party’s decision is one that puts ideology ahead of jobs, investment and Britain’s energy security.

[Mr Speaker]

I call the SNP leader.

[Stephen Flynn (Aberdeen South) (SNP)]

In February, the Prime Minister told this House that

“borrowing costs are…back to where they should be”.—[Official Report, 8 February 2023; Vol. 727, c. 904.]

In March, he boasted

“we are on track to halve inflation by the end of this year.”—[Official Report, 22 March 2023; Vol. 730, c. 330.]

In May, he said that “economic optimism is increasing.” Given the dire economic reality of today, is it not now clear that he has taken his honesty lessons from Boris Johnson?

[The Prime Minister]

The hon. Gentleman also fails to mention that it is not just the Bank of England, not just the Office for Budget Responsibility and not just the OECD but the IMF that have all upgraded their growth outlook for the United Kingdom economy this year. While he and others were predicting that this country would enter a recession, the actions of this Government have meant that we have, so far, averted that. We continue to be on track to keep reducing inflation, because that is the right economic priority.

[Mr Speaker]

I want Members to be a little more cautious in what they say. These are questions to the present, serving Prime Minister. There is a danger that the way the question was put could mislead.

[Stephen Flynn]

From listening to the Prime Minister’s answer, I do not think he quite grasps the reality of the economic situation facing households across these isles—how could he? But it does not need to be like this and it did not need to be like this. Because mortgage deals in Ireland are not sitting in excess of 6%—they are at about 4.5%. Inflation in the euro area is not sitting at 8.7%—it is sitting at closer to 6%. Britain is broke. Seven years after the Conservatives’ EU referendum, will he finally admit that it was Brexit that broke it?

[The Prime Minister]

Again, I do not think that the hon. Gentleman was paying attention earlier; interest rates in this country are at similar levels to those in America, Canada, Australia and New Zealand. The rise in inflation and interest rates is a global phenomenon. But that is why, early, I set out that bringing inflation down was the right economic priority to have. That is what this Government will do, but that requires difficult and responsible decisions. That is what leadership looks like—I do not think the SNP will ever do the same thing.

[Virginia Crosbie (Ynys Môn) (Con)]

Q7. Wylfa, in my constituency, is recognised as the best site for small modular reactors and large-scale new nuclear in the UK. Given the UK Government’s commitment to nuclear and Wylfa, when can my constituents expect to hear the result of Great British Nuclear’s small modular reactor competition? Diolch yn fawr.

[The Prime Minister]

There will be no greater champion for this technology and her community than my hon. Friend. My understanding is that the first stage of market engagement is already under way. The expectation is that the down-selection process will be launched this summer, with an ambition to assess and decide on the leading technologies this autumn. The competition will be open, judicious, fair and robust, and I express all my confidence that we will select the best technology for the United Kingdom.

[Mr Speaker]

Lancashire is welcoming it.

[Stephen Farry (North Down) (Alliance)]

Four months after the welcome Windsor framework, there is still no restored Northern Ireland Executive or Assembly, and we are facing an unprecedented budget crisis. This situation is untenable, and it is getting worse every day. The Government’s approach seems to be to wait to see whether something happens, rather than to lead from the front. So will the Prime Minister confirm that he is willing to work with the Northern Ireland parties on a financial package for a restored Executive? Will he work more closely with the Irish Government to try to drive a process, including putting reform of the institutions on the agenda, so that those who want to govern Northern Ireland can do so?

[The Prime Minister]

I thank the hon. Gentleman for his engagement with me and the Government during this process. I share his frustration, and our focus remains on delivering for the people of Northern Ireland, who expect and deserve their locally elected decision makers to address the issues that matter to them most. I thank him for his kind words about the Windsor framework and how it allows us to move forward. For many years, we have recognised the particular challenges facing Northern Ireland, which is why we have provided more than £7 billion of funding, on top of the Barnett block grant, since 2014. I assure him that my right hon. Friend the Northern Ireland Secretary remains in close contact with all the parties in Northern Ireland to clarify what more is needed, so that we can restore the conditions for Executive formation.

[Dr Liam Fox (North Somerset) (Con)]

Q9.   Since 2016, cumulative growth has been 4% in Italy and 5.5% in Germany, whereas in the UK it has been 6.8%. In July last year, British exports to the European Union were the highest not just since Brexit, but since records began. The UK had the highest growth of any G7 country in both 2021 and 2022. The eurozone is currently in recession, but we are not. Is it not time that we heard more good news and talked Britain up?

[The Prime Minister]

My right hon. Friend is quite right to highlight the improvement in our economic outlook and the good, positive news showing the strength in the underlying economy. I know that he joins me in saying that our economic priority right now must be to continue to bear down on inflation, but while we do that, we are putting in place the conditions to grow the economy. As he said, unlike the Labour party, we will not talk Britain down; we will grow the country’s jobs.

[Gavin Newlands (Paisley and Renfrewshire North) (SNP)]

Q3. Last night was another fantastic night at Hampden—it was a real tonic during tough times for the tartan army and Scotland more widely. However, whereas English and Welsh fans could watch their national teams for free on Channel 4 and S4C, only a small fraction of Scots could watch their match, with many unable to afford the subscription to Viaplay, particularly during this cost of living crisis. Does the Prime Minister agree that that is inherently unfair, and will he ask the Department for Culture, Media and Sport Secretary to meet me to discuss how to fix this situation?

[The Prime Minister]

I join the hon. Gentleman in his comments about the match. I know the Secretary of State for Culture, Media and Sport, my right hon. and learned Friend the Member for South East Cambridgeshire (Lucy Frazer), is engaging with him and others on this particular topic, and I will make sure that she gets back to him.

[Anne Marie Morris (Newton Abbot) (Con)]

Q10. In December last year, LINK conducted research about the acceptance of cash. It found that nearly half—45%—of people have been somewhere where cash has not been accepted or has been discouraged, and 49% of people said being unable or being discouraged to pay in cash was inconvenient. Will the Prime Minister look again at the Financial Services and Markets Bill, when it comes back from the other place, and ensure that any entity providing a public service directly to the public, involving payments or a charge, must accept cash?

[The Prime Minister]

We know that cash continues to be used by millions of people, particularly those in vulnerable groups. That is why the Financial Services and Markets Bill will, for the first ever time, protect people’s access to cash in UK law. The Bill also supports businesses that continue to accept cash by ensuring reasonable access to deposit facilities, but as technology and consumer behaviour changes, it is right that organisations themselves should be able to choose the forms of payment that they will accept.

[Dame Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)]

Q4.   Does the Prime Minister believe that the reward for being a law breaker should be to be made a lawmaker?

[The Prime Minister]

As we discussed last week, Mr Speaker, there is a well-established process of vetting for all peerages and I, in keeping with the convention followed by Prime Ministers of both parties, have followed the same process.

[Danny Kruger (Devizes) (Con)]

Q11. Wiltshire leads the world in agritech—the farming processes that increase productivity and will feed the world’s growing population, without wrecking the environment. I welcome what the Government have done in this space, particularly in gene editing, which is only possible because of Brexit. Will my right hon. Friend acknowledge the work of Wiltshire farmers and tech entrepreneurs, particularly James Dyson, although there are many more? Does he agree with me that this is one of the key opportunities for our country to become a high-wage, high-skill, high-tech economy?

[The Prime Minister]

When it comes to agritech, we are among the best in the world, with fantastic research bodies, businesses and pioneering farmers and growers. I join my hon. Friend in paying tribute to all of them. They are getting our support through the £270 million farming innovation programme and, as he rightly mentioned, we are seizing the opportunities from our exit from the EU, including through our plans to develop gene-edited crops that are resistant to drought and flooding more quickly. That will drive up growth and productivity, and create jobs.

[Kevin Brennan (Cardiff West) (Lab)]

Q6. Just to recap, during this Parliament we have had one Tory Prime Minister who turned out to be a proven liar, and a second Tory Prime Minister who was outlasted by a lettuce. After this week’s pathetic no-show by the Prime Minister, what one word would he use to describe himself? Might it be “weak”?

[The Prime Minister]

What is weak is those in the party opposite being unable to stand up to the people who fund them and stand behind hard-working families in this country.

[Kate Kniveton (Burton) (Con)]

Q14. I welcome the steps the Prime Minister is taking to stop illegal, dangerous and unnecessary small boast crossings, which are overwhelming our asylum system, but I have to raise significant concerns about a recent decision to stand up a third hotel in Burton, as well as increase capacity at another hotel by 64%. That will have a serious knock-on effect on our response to homelessness and rough sleeping, as well as causing challenges for wider public services in east Staffordshire. What further support can the Prime Minister provide local authorities in east Staffordshire to deal with these urgent concerns?

[The Prime Minister]

That is why we need to stop the boats so that we can relieve the unsustainable pressure on our asylum system and accommodation, which is costing British taxpayers over £3 billion a year. Our new Bill will ensure that anyone arriving illegally will be detained and swiftly removed, but in the meantime we will take action to address the unacceptable cost of housing migrants in hotels. We recognise the pressure this places on local areas. That is why the Government are providing further dispersal financial support, but I will ensure that my hon. Friend gets a meeting with the Immigration Minister to discuss her specific local concerns.

[Andy Slaughter (Hammersmith) (Lab)]

Q8.   Imperial College Healthcare NHS Trust described the Government’s recent decision to delay the rebuilding of Charing Cross, Hammersmith and St Mary’s Hospitals as “hugely damaging for the health and healthcare of hundreds of thousands of people.” Will the Prime Minister keep the promise made to me by his predecessor one year ago from that Dispatch Box and guarantee completion of new hospitals on those sites by 2030?

[The Prime Minister]

The Government remain committed to two new hospital schemes for Imperial College Healthcare NHS Trust at Hammersmith Hospital and Charing Cross Hospital, and for St Mary’s Hospital as part of the new hospital programme. We have expanded the programme, as the hon. Gentleman knows, to include buildings with reinforced autoclaved aerated concrete and we need to address those as a priority for the safety of staff and patients. However, we still expect the majority of schemes in cohort 4 to be in construction before 2030. I know that the Department will continue to keep him updated on progress.

[Mr David Davis (Haltemprice and Howden) (Con)]

Q15. The United Kingdom sanctioned Iran for promoting terrorism, destabilising the middle east, supplying weapons to our enemies and, of course, the proliferation of nuclear weapons. Within the past few weeks, the journalist, David Rose, has reported in the Jewish Chronicle that British universities have been undertaking research in collaboration with Iranian researchers and universities into areas of potential military applications, including drone technology, fighter jets, battlefield armour and laser communication. Will the Prime Minister initiate an investigation into this and take action to stop the failure of our sanctions regime before it does any more harm to the national interest of the United Kingdom and our allies?

[The Prime Minister]

I thank my right hon. Friend for raising this important topic. We take all allegations of breaches of export control seriously. My understanding is that officials in the Department for Business and Trade are currently investigating the allegations made in the recent press article cited. We will not accept collaborations that compromise our national security. That is why we have made our systems more robust, including expanding the scope of the Academic Technology Approval Scheme to protect UK research from ever-changing global threats, but my right hon. Friend is absolutely right to highlight that and he has my assurance that we will keep on it.

[Steve McCabe (Birmingham, Selly Oak) (Lab)]

Q12. Could any of the material that the Prime Minister’s Government are trying to avoid giving to the covid inquiry cover his tenure as Chancellor and his eat out to help out policy?

[The Prime Minister]

As I have said previously, it is right that we learn the lessons from covid so that we can be better prepared for the future. That is why the Government have co-operated with the inquiry in a spirit of transparency and candour, handing over more than 55,000 documents so far. There is a very specific point of disagreement, as the hon. Gentleman well knows, and it is the subject now of legal proceedings, so I am not able to comment further.

[Greg Smith (Buckingham) (Con)]

Despite being world leaders in motorsport, the UK has not hosted a round of the World Rally Championship since 2019. We now have an opportunity to host a round in Northern Ireland next year to bring in in excess of £100 million to the economy, but to make that happen the promoters need Government underwriting of approximately £1 million. Does my right hon. Friend agree that this event simply must go ahead and will he instruct the relevant Departments to work with the motorsport all-party parliamentary group, Motorsport UK and the promoters to make it happen?

[The Prime Minister]

Northern Ireland is a fantastic place to host international events. I am delighted that my hon. Friend shares my enthusiasm for driving forward prosperity in Northern Ireland. However, with tourism being devolved in Northern Ireland, I suggest that he engages with Tourism NI on this potential event, and I look forward to hearing how he gets on.

[Deidre Brock (Edinburgh North and Leith) (SNP)]

Q13. The UK Government and His Majesty’s Loyal Opposition refuse to face up to the bleak reality that Brexit is causing weaker growth and soaring inflation, according to the former Governor of the Bank of England. The LSE says that EU trade barriers have added, on average, £250 to household food bills, and Scots fishing chiefs are saying that they were sold down the river and scoff at the talk of treaty renegotiation as just spin. With such colossal failures stacking up and the former PM, who played a leading role in the leave campaign, finally exposed as a serial liar, will the current PM apologise to my constituents in Edinburgh North and Leith?

[The Prime Minister]

I just point out to the hon. Lady, as she is going on about the EU and us leaving it, that we have actually grown faster than France and Italy since we left the single market, our exports have grown by 25% just since covid and, as we heard from my right hon. Friend the Member for North Somerset (Dr Fox) earlier, every single international organisation has upgraded its forecast for UK economic growth. That is because we have the right priorities to drive growth, create jobs and spread opportunity in every part of our United Kingdom.

[Paul Holmes (Eastleigh) (Con)]

Hospices across the UK provide not only quality, but compassionate care to people at the end of their lives, including Mountbatten hospice in my constituency, which looked after my office manager Sue Hall when she passed away in March. That is why I and her son-in-law, Miles Rogers, will be skydiving to raise money on Saturday. We have raised £6,000 so far. The Prime Minister should feel free to donate to the campaign, but will he send his best wishes to all hospice workers across the United Kingdom?

[The Prime Minister]

I join my hon. Friend in wishing Miles good luck this weekend as he raises money, and in paying tribute to all our incredible hospice volunteers and workers across the country. They do a fantastic job in all our constituencies at a very difficult time in families’ lives, and we all owe them an enormous amount of thanks.

[Tim Farron (Westmorland and Lonsdale) (LD)]

Half of us, sadly, will get cancer at some point during our lives and half of those with cancer will need radiotherapy treatment, yet 3.5 million people in this country live in radiotherapy deserts where they do not have close access to that treatment. That includes my constituency, where my constituents living in Westmorland have to take three-hour round trips every day to get lifesaving treatment. Will the Prime Minister back our proposal for a satellite radiotherapy unit at Westmorland General Hospital in Kendal, and support all the other Members living in radiotherapy deserts to bring radiotherapy close to their communities, too?

[The Prime Minister]

Like the hon. Gentleman, I know that access to healthcare in rural areas is particularly important, given the distances that our rural constituents have to drive. That is why we remain committed to expanding the range of diagnostic services that are available through our proposal to roll out community diagnostic centres. The record-breaking capital budget that we have in the NHS is delivering that. I look forward to the Department’s engaging with him on his plans for his local area.

[Lia Nici (Great Grimsby) (Con)]

The Bank of England is raising interest rates to try to stem spending and therefore preventing inflation from being baked into the economy. The same cannot be said for those with savings accounts. Would it not be good for people to be encouraged and incentivised to save more? Will my right hon. Friend and the Chancellor talk to the industry and encourage them or impel them to give a good deal to savers too?

[The Prime Minister]

My hon. Friend raises an excellent point. It is vital that savers are treated fairly and that markets function as competitively as we would expect them to. I am pleased to tell her that my right hon. Friend the Chancellor is meeting the industry and the banks this Friday to discuss the matter she has raised, and will make sure that she and everyone else gets an update after that.