Energy (Oil and Gas) Profits Levy Bill

Andrew Bowie Excerpts

2nd reading
Monday 11th July 2022 Commons Chamber

[James Murray]

I look forward to the hon. Gentleman supporting Labour’s amendments and new clauses to the Bill as we seek to cut some of the loopholes the Government have introduced, which I will turn to in a moment.

Let us not forget that, while cost of living pressures on people across the country have soared relentlessly, oil and gas producers’ profits have climbed too, with some tripling this year. A fair solution has been staring the Government in the face: levy a one-off windfall tax on North sea oil and gas producers’ profits and use that money to help to cut people’s energy bills at home.

Yet when, on 9 January this year, the shadow Chancellor first called on the Government to levy just such a tax, Conservative MPs opposed it outright. Leading that opposition the very next day was the then Education Secretary, the right hon. Member for Stratford-on-Avon (Nadhim Zahawi). He is now of course the Chancellor, so this is his Bill. At the time of our announcement, the now Chancellor, who was an oil industry executive before becoming an MP, came out firmly against the tax on the grounds that oil producers were “already struggling”. When she responds, I would be grateful if the Financial Secretary to the Treasury confirmed whether the Chancellor supports his own legislation today.

Back in January, of course, it was not only the now Chancellor who opposed the tax. The Business Secretary opposed it too, saying:

“I have never been a supporter of windfall taxes.”

The then Northern Ireland Secretary, the right hon. Member for Great Yarmouth (Brandon Lewis), said that he thought a windfall tax sounded attractive, but did not work. The Deputy Prime Minister claimed it would be disastrous. Ministers and their Back-Bench Conservative colleagues then went on to vote against our plan for a windfall tax on three separate occasions.

[Andrew Bowie (West Aberdeenshire and Kincardine) (Con)]

This demonstrates the difference between Opposition Members and Conservative Members, in that we do not come lightly to the decision to increase taxes on successful British industries. Labour and the SNP would tax anything that moved; we take a long time to think through our plans carefully. That is why we are presenting this plan today, which is far removed from Labour’s plan. That would decapitate the oil and gas industry—which, by the way, Labour does not support—and we would have the taps turned off tomorrow.

[James Murray]

The hon. Member is right that Conservative Members have taken a long time to come round to this. They have taken seven months to come round to it—seven months in which the cost of living pressure on people across the country has risen relentlessly and in which oil producers have seen extraordinary profits. That delay has not been without cost.

Despite our common-sense plan for a windfall tax having wide support across the country for many months, with even oil bosses backing its logic, Conservative Ministers and their colleagues on the Back Benches simply refused to get on board—until 26 May, the day after the Sue Gray report was published. That was the day the Prime Minister and the former Chancellor suddenly changed their minds. It seemed clear that what had finally caused the Conservative leadership to change course and back a windfall tax was not the deafening calls from people across the country for help with their energy bills, nor the blatant unfairness of oil and gas producers’ profits soaring in the middle of a cost of living crisis; rather, it was the need for a different set of headlines in that week’s news. That is a grubby way to govern, and it is proof, if further proof were needed, that the Conservatives are not fit to lead our country.

Now, after months of refusing to act, Ministers are rushing this Bill through Parliament with just one day of debate and with a consultation period on the draft legislation of just seven days. As Tax Justice UK, working with the campaign group Uplift, has said, such a short period of just one week for consultation on the draft Bill is

“a breach of well-established legal principles of procedural fairness.”

As it points out, having a longer consultation period would not delay the levy taking effect, as the Bill names its start date as 26 May. It fears that the shorter consultation period the Government have chosen offers

“those with most resources—such as oil and gas producers—more opportunity to influence the shape of the legislation.”

--- Later in debate ---

[James Murray]

I thank the hon. Gentleman for his intervention. We discuss many matters with Tax Justice UK, not least its response to the ridiculously short consultation period on the draft of the Bill that the Government are now seeking to rush through Parliament in a day.

Despite the fact that Ministers may be in a rush today, we know that their story until recently has been one of delay. Those months of delay in backing a windfall tax mean that the public finances have missed out on billions of pounds of tax revenue that could have gone towards further help for people struggling with the cost of living. But whatever it took to get the Prime Minister and the former Chancellor over the line, we were relieved that they finally agreed to back a windfall tax. On behalf of the people we represent across the country, we were relieved that some help with soaring energy bills was finally on its way. That help is set to include a payment of £400 to all domestic energy bill payers. We welcomed that promise of support announced alongside the windfall tax, and we were relieved that the Government had finally listened to what we and so many others had been saying as they agreed to drop the “buy now, pay later” compulsory loan scheme that had been promised before. But we were dismayed to learn that some of the people who need the help least will be getting that £400 payment several times over. Because this package has been cobbled together at the last minute, people who live in more than one home will get £400 for each of them, so a total of £200 million of public money will go towards people with multiple properties. That is not fair, it is not a good use of public money, and, as we see far too often, it is public money being casually wasted by this Government.

While that particular loophole may have been the result of carelessness or haste, the Bill contains another loophole that has been created by design—a brand-new tax break for oil and gas producers that will give money back to the same firms that were supposed to be paying their fair share through the windfall tax. This tax break means that oil and gas producers will receive an unprecedented level of subsidy for their spending on oil and gas-related activities. For every £100 an oil and gas producer invests in the North sea, they will receive £91.25 from the taxpayer. That compares with £25 that companies receive for investing in renewable energy—a figure that will fall to just £4.50 from April 2023.

[Andrew Bowie]

Although the hon. Gentleman is talking about how the Labour party likes to support working people, he is quite obviously abandoning all those working people who rely on the oil and gas industry for their employment, including the many thousands who live in my constituency. Given that he has had so many months to think about this, how many times have he and his shadow Cabinet colleagues actually met those in the oil industry to discuss this and see how it impacts on them?

[James Murray]

I and my hon. Friends have had discussions with them many times, and it is absolutely clear that even oil company bosses agree with the logic of a windfall tax, saying that it would not affect their investment plans.

[Andrew Bowie]

rose—

[James Murray]

No, I am not going to give way. I have been generous in giving way, and I am going to make some progress now.

This is a subsidy that not even oil executives think is necessary. BP’s chief executive, who in November last year said that soaring global commodity prices had made his company a “cash machine”, told shareholders in May that the company’s £18 billion of investment plans were

“not somehow contingent on whether or not there is a windfall tax.”

Yet despite even oil executives questioning its worth, the Government are pushing ahead with this tax break. Our analysis has shown that this means a third or more of any revenue from the new levy could be handed straight back to oil and gas producers.

The truth is that this tax break means that money that is supposed to be helping people struggling with their home energy costs will instead go back to the very oil and gas producers that have been making record profits during the energy crisis. Furthermore, that money will subsidise projects that almost certainly would have happened anyway. There is no requirement in the Bill for investments claiming this tax relief to be additional to what was already planned.

I wonder whether the Financial Secretary to the Treasury wants to correct what she said in this Chamber on 6 June. That day, she said:

“The investment relief should not be available for investments that are deadweight. It should be for new investments.”—[Official Report, 6 June 2022; Vol. 715, c. 546.]

Yet there is nothing in the Bill to make sure the tax relief it introduces goes towards investments that are new. Above all, let us remember that we are currently holding the COP26 presidency and being trusted with a position of leadership in the world’s efforts to tackle the climate crisis. It is astonishing and appalling that, at this of all times, we are giving 20 times more in taxpayer incentives to oil and gas producers than will be offered to firms investing in renewable energy.

While this Bill has plenty to say about tax breaks for oil and gas producers making extraordinary profits, it is silent on the idea of a windfall tax on the electricity generation sector. We know the Government were planning to tax the sector’s profits, as it was widely briefed in late May that the former Chancellor had ordered Treasury officials to draw up plans for a windfall tax on electricity generators. The uncertainty created by this will-they-won’t-they hokey-cokey on taxing profits from electricity generation risks discouraging vital investment in our future energy security.

As the Government are well aware, the price of electricity generated from renewable sources is currently linked to the price of gas. The spike in gas prices we are facing has therefore pushed up electricity prices, despite the costs of generating electricity from renewable sources not having changed, yet there is nothing about the electricity generation sector in today’s Bill and no detail on any wider plans from the Government to delink electricity prices from the price of gas. All we were promised in the explanatory notes published with the draft Bill was a vague intention that

“the government will urgently evaluate the scale of these extraordinary profits and the appropriate steps to take.”

I therefore urge the Financial Secretary in her response to take this opportunity to say, once and for all, whether the Government will or will not be introducing additional taxes on this sector, and when the Government will bring forward urgent legislation to delink the price of electricity from the price of gas. We are not claiming that a solution to this is simple, but it is the job of Ministers, and a sign of leadership in government, to plan ahead and solve the challenging issues our country is facing.

The windfall tax is a way to offer immediate help to people now, but we need to be investing in the long term to keep energy bills down and make our economy more secure and more sustainable. That is why the Government should be adopting not just our plan for a windfall tax, but also our wider plan to improve energy security and keep energy bills lower in the future. Labour’s plan would see us accelerate home-grown renewables and new nuclear, double onshore wind capacity, reform our broken energy system and retrofit 19 million homes to save households an average of £400 a year on their bills. From the Government, however, all we have in front of us today is a Bill that gives a tax break for oil producers’ continued spending in the North sea. Once again, this Government lurch from crisis to crisis with no plan to fix our broken system and provide the security we need.

We are relieved that the Government are finally proceeding with the windfall tax, and we will be supporting this Bill today, but we will come back to the detail of it in Committee of the whole House. At that stage, we will urge Ministers to make right their delay in introducing the windfall tax and to drop the unnecessary tax break for oil producers that undermines the impact of this windfall tax and our country’s wider efforts to tackle the climate crisis.

The Conservatives’ approach to the windfall tax shows that they are not fit to govern. When we called for a windfall tax, they wasted months opposing it before finally changing course. Now they are undermining their own windfall tax with a new tax break for oil companies. When it comes to the long-term challenges we face, they simply do not have the plans we need for the future. That goes for the former Chancellor, the current Chancellor and all the Conservative leadership candidates as much as it does for the outgoing Prime Minister. Changing the person at the top of the Conservative party will not change anything. We need a change of Government, and that means we need a Labour Government.

Economy Update

Andrew Bowie Excerpts

Thursday 26th May 2022 Commons Chamber

[Rishi Sunak]

I am very happy to take away that suggestion when we design the guidance for the discretionary fund.

[Andrew Bowie (West Aberdeenshire and Kincardine) (Con)]

It will come as no surprise to the House that I have had my concerns about the implementation of a windfall tax on the oil and gas industry, so I thank the Chancellor for his engagement with me and colleagues, including my hon. Friend the Member for Banff and Buchan (David Duguid), and for resisting the ideologically driven smash-and-grab raid proposed by Labour. I also thank him for doubling the investment allowance to encourage people to invest in the North sea. There is still worry in the industry and in my constituency, so will the Chancellor commit to come to the north-east of Scotland to meet me and industry leaders to ensure that we retain the higher skill, high-wage jobs in my part of the world and ensure that we invest in an industry that is driving us towards net zero and making us more energy independent.

[Rishi Sunak]

My hon. Friend is a champion for the industry and is right to be so. I am happy to come and meet him and representatives from the sector, because I share his view that the industry is an important part of our economy and of our future. As he said, it helps us transition to net zero and improve our energy supply.

Tackling Short-term and Long-term Cost of Living Increases

Andrew Bowie Excerpts

Tuesday 17th May 2022 Commons Chamber

[Edward Miliband]

No, I do not accept that, and I can tell the hon. Lady that 8,014 families in her constituency will benefit from the changes we are suggesting if she votes for them tonight. Let me tell her and the House what the Chancellor’s failure means in reality. This year, the basic level of universal credit for a single person aged over 25 is £334 a month. The Chancellor’s measures this April were so feeble that someone on that benefit will be expected to find as much as £50 or more a month simply to cover the increase in their energy bills. That is leaving aside the soaring costs of food and other goods. That £50 is around 15% of their income, so what are they going to do? They will not be able to afford to pay their bills, they will get deeply into debt and they will go without food. It is already happening to millions.

On Friday, in the citizens advice bureau in my constituency, I met someone who is in circumstances similar to those I described. Let me be honest: I have no idea how I would cope in those circumstances. Does any Member of this House? Maybe the Chancellor can tell us what somebody in those circumstances is supposed to do. If he cannot answer that question, it should tell him something—that he is failing in his duty to the people of this country who most need his help.

What makes the Chancellor even more culpable is that something that could help is staring him right in the face. It is something on which the case has become unanswerable, and on which the Government have run out of excuses, while oil and gas producers are making billions: a windfall tax. It is so hard to keep track of the Government’s position on a windfall tax that I have given up, but I think the Chancellor has said he is prepared to look at the idea. Honestly, the British people cannot afford to wait for him and his dithering anymore, or for his hopeless excuses.

I want to go through the hopeless excuses, because this is an important argument that this House and this country need to have. What are the Government’s excuses for not applying a windfall tax? First, they said in January that the oil and gas companies were, in the words of the Education Secretary, “struggling”. BP has its highest profits for a decade, Shell has its highest profits ever, and the boss of BP, Bernard Looney, describes the price hike as a “cash machine”—and these people say the companies are struggling. Perhaps we can have a show of hands: does anyone on the Government Benches still believe that those companies are struggling? What is the Government’s next excuse? They argue that a windfall tax will hurt investment—

[Andrew Bowie (West Aberdeenshire and Kincardine) (Con)]

It will.

[Edward Miliband]

Oh, it will, says the hon. Gentleman from a sedentary position. Right, here we go. The problem is that the companies themselves say that is nonsense. BP’s chief executive officer, Bernard Looney—whom I take as more of an authority than the hon. Gentleman—was asked two weeks ago which investments he would not proceed with if a windfall tax was levied. What was his answer?

“There are none that we wouldn’t do.”

Even BP does not buy the Tory arguments against a windfall tax on BP.

[Andrew Bowie]

Will the right hon. Gentleman give way?

[Edward Miliband]

No; I will make some progress. The final excuse—[Interruption.] I want to come to this because it is important, and I am perhaps anticipating the Chancellor. The final excuse is that it is somehow anti-business to levy a windfall tax. Let us dispose of that argument, too. I strongly recommend that Members who believe that argument read an article that I have with me—I am happy to put a copy in the Library of the House—by Mr Irwin Stelzer, a long-time confidant of Rupert Murdoch. This is the first time I have quoted him in the House. A few days ago, in an article entitled, “Now is the time for a windfall profits tax”, he wrote:

“People who believe in capitalism believe that private sector companies should be rewarded for taking risks…not be rewarded for happening to be around when some disruption drives up prices, producing windfalls.”

That is the point: these profits are unearned and unexpected, and the British people are paying for that windfall. These companies are profiting not from decisions they have made, risks they have taken or wealth they have created, but from a global spike in prices to which Britain is badly exposed—a spike exacerbated by Putin’s invasion of Ukraine.

What is the principle that the Government are defending here? What is their hill to die on? Is the principle that they really wish to defend that oil and gas companies should pocket any profits, however bad the geopolitical instability? Is that however large the crisis and however gigantic the windfall, taxation must not change? That proposition was rejected by Margaret Thatcher, Geoffrey Howe and George Osborne—remember him?—all of whom levied windfall taxes. Who else do we see supporting a windfall tax today? I have to say, it is a pretty big tent: John Allan, the guy who runs Tesco; Sharon White, the woman who runs John Lewis; Lord Browne, the guy who used to run BP; and Lord Hague, the guy who used to run the Conservative party—the usual leftie suspects.

The truth is that the Government have run out of excuses and, amid the chaos and confusion about their position, I think a massive U-turn is lumbering slowly over the hill. I say this to the Chancellor: “Swallow your pride and get on with it.” Every day he delays is another day when the British people are denied the help they need. Millions of families are having sleepless nights because the Chancellor will not act. What is he waiting for? As proposed by the shadow Chancellor, my hon. Friend the Member for Leeds West (Rachel Reeves), the Chancellor should come to the House with an emergency Budget that has a windfall tax, gets rid of VAT on energy bills, increases the warm home discount to £400, includes an emergency plan to insulate 2 million homes this year, and cuts business rates.

--- Later in debate ---

[Andrew Bowie (West Aberdeenshire and Kincardine) (Con)]

It is a pleasure to rise to speak in this debate, and to be the last Member on the Conservative Benches to do so, because it has given me the opportunity to listen to the entire debate, and what an interesting debate it has been.

We have heard that the Liberal Democrats position is to leave all oil and gas in the ground, which makes for an interesting debate on how we will develop our hydrogen-based economy if all the gas is to be left in the ground. We heard the SNP endorse Labour’s plans for a smash-and-grab raid on one of Scotland’s most successful industries—they couched it in ambiguous terms, but the people of Aberdeenshire and the north-east of Scotland heard them loud and clear.

We heard the former Leader of the Opposition, the right hon. Member for Doncaster North (Edward Miliband), making offensive remarks, frankly, about the oil and gas industry in his opening speech, because he stood at the Dispatch Box and described profits being made by the oil and gas companies as unearned. I ask him to come up to my constituency of West Aberdeenshire and Kincardine and say to the men and women who go off in the North sea for weeks at a time, in difficult and sometimes dangerous circumstances, to provide the energy that keeps the lights on in this place and around the country that the profits of the companies they work for are unearned.

The right hon. Gentleman also referred to former Governments looking favourably on the introduction of a windfall tax. He is right: former Labour and Conservative Governments, Chancellors and Prime Ministers have introduced windfall taxes—but what happened? Every single time, investment in the North sea went down. It is a funny plan: supporting working people by putting the very jobs that they rely on at risk. That is what Labour’s plan would do.

The former Leader of the Opposition also selectively quoted Mr Bernard Looney of BP; Mr Looney said that no current plans to invest would be affected by a windfall tax, but he has also made it clear that future plans may be affected. The former Leader of the Opposition mocked the idea that, over the last eight years, the UK’s oil and gas sector has been struggling. Does he not remember the oil price crash of 2015, when a barrel of oil went from $107 to $44 in just seven months? Is the Labour party so out of touch with Scotland these days that it does not know the effect that had on north-east Scotland’s economy? Probably, because under his leadership his party lost all but one of its Scottish Labour MPs.

Those who have listened to the Labour party’s rhetoric on tax today would suspect that the oil and gas sector was paying no tax whatsoever. In fact, oil and gas companies pay three separate profit-based taxes on oil and gas production: they pay corporation tax and a supplementary charge, and for years have paid a further petroleum tax on top of that. The industry is the most taxed in the country. The Office for Budget Responsibility has forecast that the upstream sector will pay £18.5 billion in production taxes between 2021 and 2025 and a total of £23.4 billion through to 2027, which is £13 billion higher than the previous forecast in October 2021.

The Opposition are confusing facts with their own spin. BP did not say that taxation has no effect on its investment. It was clear, as others have been, that further investment would be hampered by higher taxation. They talk about the industry as if it is just BP and Shell. That tells of a total ignorance of the industry, and of all the other companies whose fields are in the North sea, and whose fallow years follow those of the majors. The Opposition forget about the supply chain; the small trade across the north-east that ties us to the continent and to our Nordic friends; the students taught; and the discoveries made through research on oil, which will create the green future that we are all calling for. They forget that we are relying on the industry for answers.

It is good that the Chancellor is keeping all options on the table. Of course, we want investment in green technologies as we move forward, but Labour’s plan is back-of-the-fag-packet stuff. It is high on rhetoric and low on substance. Typical! Same old Labour.

Cost of Living Increases

Andrew Bowie Excerpts

Monday 24th January 2022 Commons Chamber

[Andrew Bowie (West Aberdeenshire and Kincardine) (Con)]

Duly warned and noted, Madam Deputy Speaker. I will not take up much of the House’s time—I am sure that will delight SNP Members more than anyone else—because up and until the hon. Member for Edinburgh East (Tommy Sheppard) spoke, I was struggling for something to say in this debate. The hon. Member for Glasgow East (David Linden), who led the debate, is a passionate campaigner for combating poverty in his constituency and around the country, and I know how hard he works on behalf of his constituents to alleviate the burden that so many people find themselves under across this country.

However, the problem is this: the hon. Member for Edinburgh East said that we would not find any reference to independence in this motion, and he is right, but unfortunately, it does refer to the

“rising costs of the UK leaving the EU”.

Unfortunately, we cannot get away from the deep irony of Scottish National party Members coming here today to talk about the cost of living crisis, which genuinely is one of the most important things we can speak about at this time, and the cost of leaving the European Union while making no reference to the inordinate cost and huge challenges that would be put on businesses and individuals in Scotland if it were to separate from the rest of the United Kingdom. They cannot make one case to answer that.

[Angus Brendan MacNeil]

Is the hon. Gentleman saying that walking out of a trade bloc and increasing red tape, meaning that the UK has to have paperwork with every country that it exports to, is the same as repatriating political powers? Is he saying that Ireland or Finland are not independent, because if he is, he will be laughed at all over Europe?

[Andrew Bowie]

The hon. Gentleman knows very well that separating Scotland from the United Kingdom would be far more than just repatriating powers to Holyrood; it would be the break-up of an economic, political and social Union that has been in existence for 300 years and, in fact, it would make Brexit look like a cakewalk. I understand the concerns of the hon. Gentleman, who stands up and fights for, for example, his exporters and fishermen, who are struggling with some of the burdens that Brexit has brought—I have said openly that I recognise that—but that is as nothing compared with the burden that independence would put on businesses and people in Scotland.

[David Duguid (Banff and Buchan) (Con)]

My hon. Friend makes an excellent point about the cost and financial strife that an independent Scotland would inevitably go through, but does he also agree with me and many others, especially in the business community, about the cost of an independence referendum and how investor confidence would be shaken up by merely having an independence referendum?

[Andrew Bowie]

Yes. That goes to the heart of one of the arguments that was made earlier about uncertainty for business. Actually, I take issue with what my hon. Friend the Member for Moray (Douglas Ross) about the hon. Member for Aberdeen South (Stephen Flynn) being a lone voice on the SNP Benches in calling for continued investment in the North sea, because he is not. A couple of other SNP Members are in the Scottish Parliament. For example, Gillian Martin, the SNP MSP for Aberdeenshire East, said that decreasing domestic oil and gas supply would lead to greater imports. Jackie Dunbar, the SNP MSP for Aberdeen Donside, said that

“a hard shutdown of the oil and gas sector”

would see Scotland “with thousands left unemployed”. What does that say about uncertainty for businesses that are looking to invest, create jobs and take people out of the cost of living crisis in my constituency in the north-east of Scotland, and around the entire country?

Let me go back to the point I was making about independence. I understand that SNP Members do not believe what I say—that independence would be a bigger shock to the system than our leaving the European Union —but they might believe their own growth commission, which the SNP commissioned a couple of years ago. [Laughter.] There is laughter from SNP Members. Maybe they are laughing at the SNP’s growth commission, which said that creating a separate state in Scotland would cost £450 million. I wonder what that would do to the cost of living. It also says that £5 billion would be paid to the rest of the United Kingdom annually to account for its share in the national debt, while public spending—despite what the hon. Member for Glasgow East would like to do to combat child poverty and poverty across the board—would have to be capped at 1% less than annual GDP growth. What would that do to the cost of living in Scotland?

I genuinely respect the efforts of quite a few SNP Members in what they do in their constituencies, along with Members across this House, to combat poverty in this country. The problem is that they cannot argue that the impact on business of leaving the European Union was bad for growth and created more poverty while saying that independence and the hammer blow that it would bring to the economy would be good. I am afraid that that is why I will not be joining them in the Lobby tonight.

[Several hon. Members rose—]

Conduct of the Right Hon. Member for Uxbridge and South Ruislip

Andrew Bowie Excerpts

Tuesday 30th November 2021 Commons Chamber

[Andrew Bowie (West Aberdeenshire and Kincardine) (Con)]

First, Madam Deputy Speaker, I wish you, and all right hon. and hon. Members of this House, a very happy St Andrew’s Day. He is by far and away the best saint, in my humble opinion. But it has not been a very happy St Andrew’s Day for many of my constituents because, as we sit here debating this today, thousands of them remain without power, lights, heating or internet connectivity as a result of Storm Arwen. Hundreds remain without water—

[Matt Hancock]

Does my hon. Friend not think that it would be a better use of time to debate that rather than this motion?

[Andrew Bowie]

I thank my right hon. Friend for asking that question, because I do think that. I am angry that, while constituents of mine—[Interruption.] SNP Members might heckle and make light of the fact that Scots are freezing in their homes and have no access to services at this time, but I am angry that we are here debating this when people in Finzean, Strachan, Kincardine O’Neil and many other places in my constituency are dealing with a catastrophe and a crisis. It was not outwith the realms of possibility for the right hon. Member for Ross, Skye and Lochaber (Ian Blackford) to table a motion for today to debate how the Scottish and UK Governments might work together to support all those across the UK who have been affected by Storm Arwen, but we are here debating this motion. Indeed, as of earlier this afternoon, the First Minister of Scotland—Scotland’s most prolific social media activist, it would seem—had yet to post any comment—

[Kirsten Oswald]

indicated dissent.

[Andrew Bowie]

She may have now, but that was not the case before I came into the Chamber.

[Kirsten Oswald]

rose—

[Andrew Bowie]

I will not give way because before I came into the Chamber she had not. The power went off on Friday; today is Tuesday. The First Minister of Scotland had not made one comment in relation to the fact that 72,000 Scots were without power over the weekend. I thank my right hon. Friend the Prime Minister for expressing his concern last night and offering the Scottish Government any support that the UK Government could give to support my constituents and, indeed, constituents throughout the rest of Scotland.

When the right hon. Member for Ross, Skye and Lochaber announced at the weekend, in his typical understated fashion, that he would table this motion, he said he would do so to be the “real opposition” and to hold the Government and the Prime Minister to account for our “disastrous actions”. I have to admire the brass neckery, if nothing else. One might suggest that, if SNP Members did not spend so much time playing politics down here at a time of crisis in Scotland, they might have noticed that at home in Scotland the SNP is supposed to be a real Government.

If we are going to talk about disastrous actions by Governments—I just wish I had time to go into them all—let us look at the record of the SNP in government in Scotland over the past 14 years. On drug deaths: failure, with 1,264 deaths in 2019. That is 15 times worse than Germany, 35 times worse than France and three-and-a-half times worse than the rest of the United Kingdom.

On education: failure, with Scotland under the SNP having fallen in the science, reading and maths rankings. We have the lowest scores in maths and science since Scotland started to participate in the programme for international student assessment—PISA—20 years ago. Literacy and numeracy rates are declining, the attainment gap is widening and someone is now more likely to go to university if they are from a deprived background in England than if they are from a deprived background in Scotland. That is a shameful record.

On Scotland’s NHS, 25% of GP practices have unfilled vacancies and 500 consultant posts are vacant in Scotland’s hospitals. I could go on.

The north-east of Scotland: not failure, just abandoned. North sea oil workers have been told that they have no future by the SNP’s partner in government. The First Minister has declared that there should be no more exploration in the North sea and that Cambo is a bad idea. The SNP Government are reneging on their plan to dual the A96 and have failed to deliver the money for improved rail journey times that they promised in two manifestos, and their broadband roll-out is going to be five years late. That is not so much disastrous SNP action; the SNP is missing in action when it comes to the north-east of Scotland.

All that, while more than 50,000 Scots were without power at the weekend and many were without water. While the nation recovers from Storm Arwen; while many people worry about the new strain of covid; while businesses recover from the past two years; while teachers work hard to support those kids who have been left behind; while doctors and nurses slog away to deal with the backlog and support all our constituents; while Police Scotland does more with less; while oil and gas workers worry about their future—what does the SNP choose to do today? Point scoring, petty politics and, frankly, a stunt that is wasting the time of us all. It is little wonder that the First Minister’s popularity ratings are in free fall, support for independence is on the decline and independence now ranks eighth in the priorities of the Scottish people.

This motion is on the conduct of the Prime Minister, my right hon. Friend the Member for Uxbridge and South Ruislip (Boris Johnson); I just wish I had any confidence in the conduct of the Scottish Government and how they are running my country.

Health and Social Care Levy

Andrew Bowie Excerpts

1st reading
Wednesday 8th September 2021 Commons Chamber

[Alison Thewliss]

The hon. Gentleman has done more talking than listening in this place. It would be useful if he sat down.

The spending cuts will have an impact on Barnett consequentials. It would be just like this UK Tory Government to appear to give with one hand while picking Scotland’s pockets with the other. A new Tory poll tax that punishes those on the lowest incomes is being forced upon Scotland by a Government we did not vote for.

[Andrew Bowie (West Aberdeenshire and Kincardine) (Con)]

rose—

[Alison Thewliss]

If the hon. Gentleman wants to explain that to his constituents, I would be very glad to hear it.

[Andrew Bowie]

The hon. Lady is making a serious speech with lots of very pertinent points, many of which I disagree with, but the fact is that we have come to the crux. This action by the Government will actually deliver more than £1 billion of extra funding to Scotland’s national health service. The real reason SNP Members oppose the motion is that they would rather Scotland’s NHS were poorer than that Scotland benefited from being a part of this United Kingdom. That is the fact.

Better Jobs and a Fair Deal at Work

Andrew Bowie Excerpts

Wednesday 12th May 2021 Commons Chamber

[Andrew Bowie (West Aberdeenshire and Kincardine) (Con)]

I rise to welcome the measures announced yesterday in the Gracious Speech, and I do so in the wake of a hard-fought Scottish parliamentary election, whose result has led to a Parliament in Edinburgh with no overall majority. That is a clear message from the people of Scotland that they wish the political parties in that place and this to work together to rebuild from the devastation wrought to so many aspects of our lives as a result of this awful pandemic. I will briefly touch on the Scottish election, although I do not want to be told off, as one Scottish National party Member was earlier. Obviously, I congratulate the SNP on its re-election as the largest party in Holyrood, but it should also be recognised that the Scottish Conservative party achieved its highest number of votes in the age of devolution and matched its highest number of MSPs returned to Holyrood, with 31. They include my brilliant counterpart representing Aberdeenshire West, Alexander Burnett, who trebled the Conservative majority in his constituency, something we were delighted to see.

In poll after poll in the run-up to last week’s election, we saw the Scottish people place the economy, jobs, education and health at the top of their priorities for the Scottish and UK Governments to work on. I hope that that is what the SNP will do, because it is certainly what Conservative Members aim to do. As this is a one nation Government, governing for the entire nation, we are determined to deliver opportunities and build back better, wherever in our wonderful, diverse, dynamic and inventive United Kingdom people live.

The subject of today’s debate is jobs, which is apt because no single action by this Government, other than our incredible vaccine roll-out, has demonstrated the strength and flexibility—the broad shoulders—of our UK more than the job retention scheme, which has saved close to 1 million Scottish jobs since it was launched. That is an incredible achievement, and one of which we can be rightly proud. But now, as we look to recovery, it is time to be bold and to invest in new technologies and unleash the full potential of people and places across the UK, driving this country forward and enabling businesses to create the jobs of the future, for my constituency in the north-east of Scotland and across the whole UK. That is what this country is doing.

I listened intently to the speech by the hon. Member for Aberdeen South (Stephen Flynn) earlier, and it is a shame he is no longer in his place. Although I did not agree with most of it, there was one part I did agree with, which was that the north-east of Scotland has had a torrid half-decade or so, above and beyond covid. The oil price crash of 2014 to 2016 saw the price drop by 70%, and many jobs were lost. Supply chain companies were only just recovering when the pandemic hit. However, unlike him, I recognise and welcome what this and previous Conservative Governments have done for the industry and our region: £2.3 billion of direct investment; the Oil and Gas Technology Centre created; the global underwater hub created; the creation of the Oil and Gas Authority; and fiscal stability in the North sea, making it the most attractive basin in the world in which to invest.

Do we need more? Does the region need more? Do we need to invest more to see the transition succeed? Of course we do, which is why I welcome the groundbreaking, ambitious and world-leading oil and gas transition deal, unveiled just before prorogation in this Parliament. This is investment of £16 billion by 2030 in new technologies, supported by business models to enable carbon capture and storage and hydrogen at scale. All the while it is protecting the jobs of my constituents and supporting up to 40,000 direct and indirect supply chain jobs in decarbonising the continental shelf production and in the CCS and hydrogen sectors, and all while we reduce greenhouse gas emissions in the industry, to ensure that the North sea is a net zero basin by 2050—that is ambition.

This plan, along with the others announced yesterday to make the UK a global science superpower, to support young people in education and with the kickstart scheme as they enter the world of work and to transform our transport and digital infrastructure across these islands, is exactly what this country needs and it will deliver for the people of West Aberdeenshire and Kincardine.

It is quite obvious that I am very proud to represent my constituency in this place and to represent the wider north-east of Scotland. I am proud to be both Scottish and British. I am proud to sit here as part of this one nation Conservative party that is determined to level up our entire country and provide opportunity to all, keep our country united and lead our world forward. Today, I am very proud to support our plan for this coming Session of Parliament, and I cannot wait to see it in action.

Economy Update

Andrew Bowie Excerpts

Thursday 5th November 2020 Commons Chamber

[Rishi Sunak]

My hon. Friend is absolutely right. At the heart of our approach throughout this crisis has been the protection of people’s livelihoods. We have strived at every turn to make sure that people can stay in work and their incomes are supported. As we go through this crisis, I assure every Member of the House, and the country, that that remains my overriding priority. We will throw absolutely everything we can at it.

[Andrew Bowie (West Aberdeenshire and Kincardine) (Con)]

In contrast to some of the churlish comments from colleagues north of the border, I thank my right hon. Friend for listening and acting and demonstrating yet again, as the Government have throughout this crisis, that this UK Government—this one nation Conservative Government—act for and support people around this country, no matter in what region or nation they reside.

[Rishi Sunak]

A fitting place to end, I think. My hon. Friend is absolutely right. It is a demonstration of the strength of the Union, and an undeniable truth of this crisis, that we have been able to provide this level of economic support because we are one United Kingdom.

Black History Month

Andrew Bowie Excerpts

Tuesday 20th October 2020 Commons Chamber

[Andrew Bowie (West Aberdeenshire and Kincardine) (Con)]

It is a pleasure to speak in this debate. [Interruption.] Ah, the hon. Member for Erith and Thamesmead (Abena Oppong-Asare) has returned to the Chamber; I congratulate her on securing this vital debate. It was a genuine pleasure to hear the passion and pride with which she spoke as she opened the debate earlier. I thank her for ensuring that we have had this debate. I think it is the first time that we have debated Black History Month in this place for five years.

Madam Deputy Speaker, do you know that really frustrating feeling when you want to find a book, but cannot remember the title or the author? That is where I have been today: racking my brain and googling furiously to find the name of a book that I borrowed from Inverurie public library when I was about nine years old. If anyone remembers the name of this book, let me know—write in! It was about a boy who somehow manages to go back in time to early 18th-century Britain and who falls in with a young African kid—a slave who has been transported from his home to the United Kingdom. This book—I really wish I could remember its name—stuck with me because it was the first time I had ever come across the idea that someone could be thought of as lesser than or enslaved to somebody else simply by virtue of their skin colour or place of origin. As a nine-year-old, I simply could not understand it. It really affected me and sticks with me today.

I grew up in 1990s and early noughties semi-rural north-east Scotland, about as far removed from the upbringing of the hon. Member for Ilford North (Wes Streeting) as it is possible to get. I grew up in Inverurie, a town of about 10,000 people, and we had one BME child in my primary school of about 250 pupils. I remember the excitement when a young girl from Thailand joined our class in primary 7 and the incredibly ignorant but entirely understandable questions asked about her home by kids brought up in what I admit was a very sheltered and comfortable environment—Ome, if you are watching this, please forgive us.

I was lucky. I had brilliant teachers and parents who encouraged me to read and ask questions. In secondary school, Inverurie Academy, my history teacher, Mr Anderson—that teacher that everybody has; the legend—taught with an enthusiasm and dry wit that was infectious, using his broken golf putter to point to places on his already very out-of-date map. It was in Mr Anderson’s history class, and because of his teaching, that I began to have a real understanding and appreciation of the fight for civil rights in the deep south of the United States of America, of Rosa Parks, John Lewis and Martin Luther King, and of the fight for equal citizenship. I remember being so inspired by the “I have a dream” speech that I managed to get a CD of great speeches of American leaders, and I listened to it so often on my portable CD player that I wore it down.

I remember being sickened at the images of lynchings in Mississippi, Tennessee and Georgia and how people in my parents’ lifetime—people who looked and lived like me—could treat other people differently simply because of the colour of their skin. I remember asking, as someone who loved and still loves the United States, how a great country founded on the principle that all men are created equal could send young black men to fight and die for freedom in Europe but not allow them freedom and equality at home.

We are not America. We have a very different history in this country, which others have touched on, but my point is that education—teaching—is so important. It challenges, it forces us to question, it takes us out of our comfort zone, and it informs. That is why Black History Month is very important, and it is a shame that this is the first time we have debated it in five years.

It is very good that the Government have an inclusive and flexible curriculum, teaching kids more about Britain’s role in the slave trade, for example, but also about its role—the role of people in this place and of the Royal Navy—in the eventual abolition. Britain was the first and only imperial power to vote money, men and resources to ending the barbaric and inhuman trade in life that cities such as Glasgow and Bristol grew rich on the back of. I am glad that, because of the flexible curriculum, black, Asian and minority ethnic history can be taught across many of the themes of the history curriculum by reflecting the contribution of black, Asian and minority ethnic people across the ages in the UK and more widely.

One of the petitions relevant to the debate is e-petition 324092, entitled “Teach Britain’s colonial past as part of the UK’s compulsory curriculum”. I do not have a problem with that. In fact, I would encourage it—especially in Scotland, where time and again we pass over our colonial history. I have heard in this place that Scotland will somehow become the 60-somethingth country to wrest itself from imperial Britain’s evil clutches, as if we had nothing to do with colonialism and the empire and Scots were not themselves colonialists, traders, governors, plantation owners, soldiers, sailors and missionaries.

[Anne McLaughlin (Glasgow North East) (SNP)]

Does the hon. Member accept that there are many people involved in the independence movement who make documentaries and are banging the drum to say that Scotland’s role in the slave trade has been overlooked? We want people in Scotland to be aware of it.

[Andrew Bowie]

Absolutely. There are people in the independence movement and the Unionist movement who would say exactly the same thing: we need to have an honest and robust debate about our history, good and ill. I agree with the hon. Member.

We should teach about our colonial past in schools. We should examine our past critically. We should examine why empire existed in the first place, how it came to pass that a quarter of the globe was under British rule, why European powers vied with one another in the race for Africa, why family of mine and so many other normal Scots found themselves working for a colonial administration in the Indian subcontinent—so much so that at one point, seven out of 10 colonial administrators in India were Scottish—and why Glasgow was the second city of empire.

As the hon. Member for Glasgow North East (Anne McLaughlin) said, in Scotland we should front up and accept the fact that we were very much at the forefront of exploration, expansion, invention and, at times, exploitation. We must do that in a rational, sensible and mature fashion. We do not learn by cancelling history, renaming tower blocks, removing statues and covering up museum displays. In short, we should not hide our history away, for that is what it is—history. It is incredibly complicated because it is written by us—human beings—and human beings are incredibly complicated. Very few people were all good or all bad. Rather, individuals in history, just like us, were human and shaped by their understanding of the world as they found it, their lived experiences and their education.

While acknowledging the wrongs of the past, we should seek to explain, understand and explore and build a better, more understanding future—one built not on guilt, but on a mutual understanding that history means different things to different people. Just like that book I still cannot remember the name of taught me when I was nine years old, and just as Mr Anderson did teaching about the fight for civil rights in 1960s America, we do not increase understanding by telling people that they should be ashamed of their past or their country. Rather, we do so by exploring and explaining what has gone before and putting it in context, thereby working to make our future better than our past. That could and should be the great achievement of Black History Month.

Covid-19: Future UK-EU Relationship

Andrew Bowie Excerpts

Wednesday 15th July 2020 Commons Chamber

[Alan Brown]

I will not withdraw the factual assertion I made that we have handled the covid-19 pandemic in Scotland better than the UK Government. And if we are talking about population, we can do that pro rata. The death rate in England is far, far higher than in Scotland. There are still daily deaths occurring every day in England and, as I have said, there are none in Scotland. That is nothing to do with having a lower population—zero is zero.

[Andrew Bowie (West Aberdeenshire and Kincardine) (Con)]

I suggest that it does this House a disservice if people outside see us haggling over which country has had fewer deaths—frankly, I think it does Members on both sides of the House a disservice—so I would like to go back to the hon. Gentleman’s comment on the summer statement last week. He spoke about how the UK Government’s funding had bypassed Scotland. That is an untrue statement. What it did was bypass the Scottish Government, and once again, that shows that unless the money has the stamp of the Scottish Government on it, the SNP does not accept that money being spent here can benefit the people and businesses of Scotland.

[Alan Brown]

The hon. Gentleman knows that that is part of the whole debate about a power grab. The UK Government are trying to bypass the Scottish Government, so he is right in that, because they want to stick a Union flag on it—well, that trick does not work either. I go back to my earlier point: he is one of the Scottish Conservative MPs who stands up and brags about Barnett consequentials, but it is a sad state of affairs that we are expected to be grateful for Barnett consequentials, which come from a UK Government plan on how to spend money in England. They look at England’s needs and apply money to be spent based on England’s needs. We then get a wee share of that money and we are supposed to say, “Thank you very much, UK Government. The broad shoulders do us so well.” That is not how it works. In the Budget process, Scotland’s needs are never taken into account and people in Scotland understand that.

--- Later in debate ---

[Andrew Bowie (West Aberdeenshire and Kincardine) (Con)]

Here we go again: another SNP debate, another debate on Brexit. I rise today, surprisingly enough, to oppose the motion in the name of the right hon. Member for Ross, Skye and Lochaber (Ian Blackford), but I do so in a particularly generous and forgiving mood. It was Oscar Wilde who said, “We should always forgive our opponents, because nothing annoys them so much.” So I forgive the Scottish National party for bringing before the House today this motion on, frankly, a false and flawed assumption: that the covid-19 pandemic has disrupted the Government’s negotiations with the European Union to the point that businesses will be left, as the Scottish Government argue in the document described in the motion, with less time to prepare than previously anticipated. That is quite simply not the case. The process has continued throughout the pandemic, with civil servants working from home and the negotiations taking place virtually.

SNP Members are not the only people to be worried about the efficiency or the productivity of people working from home, but if they truly believe that it is impossible to conduct effective negotiations remotely, that does prompt the question why they were so insistent that we could function effectively as MPs under the virtual Parliament arrangements, which the SNP fought so hard to keep. Indeed, on 8 June in this very place, the hon. Member for Glasgow North (Patrick Grady) made a strong and eloquent case for retaining remote working and hybrid arrangements, because they were working properly and should be brought back “in full”. I do not believe for a minute that he believes that it should be one rule for us and another for other people, but I do agree with him that remote working does actually work well, and our negotiating teams have been demonstrating that every day with their continued important work on exiting the European Union.

[Patrick Grady]

Of course, it is unfortunate that we do not have remote participation, because far more SNP Members would have wanted to take part in this debate if they had been able to contribute via the remote screens. If Brexit is heading towards being such a success, as the hon. Gentleman claims, can he explain the opinion polls showing that people in Scotland are moving towards independence by a substantial majority? Are the polls wrong? Are the people misguided? Or is it actually that the misguiding principles are coming from the Conservative Benches?

[Andrew Bowie]

I would happily stand and debate opinion polls and their trajectory, but there is only one poll that truly matters, and that is when people get to the ballot box. I am sure the hon. Gentleman would agree that the SNP only managed to get 45% of the vote in December. That is a fantastic total and a very strong result, but it shows that 55% of the Scottish population voted for parties that want to remain in the United Kingdom—a United Kingdom that is, I am afraid, because we believe in democracy, leaving the European Union this year.

Throughout the Brexit debate, there has been a false assumption that the status quo was one of the options that remained available to us. That was never true and has never been less true that it is today. The European Union has been hit just as hard by the pandemic as the UK has, and it will have to make difficult decisions about how to respond to the economic effects, exactly as we will. Our staying in the transitional arrangements with the EU, when the EU is rightly not factoring British interests into its plans for recovery, does not make sense. We need all the flexibility available to us to respond to the economic damage caused by the pandemic, and staying inside the EU’s one-size-fits-all framework is simply not conducive to that.

We have had this debate over and over again for the past three to four years. What this country, and businesses in this country, needs is certainty, not more dither and delay. It is disappointing and of serious detriment to the interests of the people of Scotland that the SNP has not yet learned how negotiations work. If the past four years have taught us anything, it is that without firm deadlines, negotiations grind to a halt. That is precisely why deadlines exist—to ensure that important tasks are completed in a timely fashion. I am sure that Opposition Members visit schools in their constituencies from time to time, as I do. The next time they visit I invite them to ask teachers how likely it is that their students’ coursework would materialise were endless extensions on offer.

The leader of the Scottish National party in this place, the right hon. Member for Ross, Skye and Lochaber, spoke today about the importance of economic certainty and putting the economy first. My goodness me! It was a bigger conversion than Paul on the road to Damascus to finally hear the leader of the SNP making our arguments for us. Surely it means that the SNP has finally accepted our argument against breaking up the United Kingdom, given the huge economic cost that would bring. If the economy comes before all other concerns, the case for Scottish independence is as dead as a dodo.

[Stephen Flynn]

Parking the politics for a moment, in all honesty does the hon. Gentleman not share my concern that our part of the United Kingdom, which we both are elected to represent, is due to be the hardest hit of the entirety of the United Kingdom as a result of Brexit? Does he not have any concerns about that whatever?

[Andrew Bowie]

The hon. Member knows that I share concerns about the economic prospects of our part of the country, which we are both proud to represent, and that is why I, unlike him, welcomed the huge stimulus announced last week by the Chancellor of the Exchequer, so much of which will be going to support Scottish businesses.

[Stephen Flynn]

rose—

[Andrew Bowie]

Perhaps the hon. Member would like to stand up and welcome the Chancellor’s package of announcements that was unveiled last week.

[Stephen Flynn]

I thank the hon. Member for giving way and giving me another opportunity to reflect on the package last week, which he knows was devoid of any support whatever for Scotland’s oil and gas sector in terms of an oil and gas sector deal. I see his head go down, because he has just walked into that one, knowing exactly what I was going to say. I go back to my initial point. Does he not in all honesty have concerns that our part of Scotland will be detrimentally impacted by Brexit? Just say it.

[Andrew Bowie]

I may have walked right into that, but that is because last week Oil & Gas UK welcomed the package of support unveiled by the Chancellor. It was very welcoming of the furlough scheme that we put up and it is looking forward to working with us as we develop the oil and gas sector deal. By the way, that deal and support would not come if Scotland was not in our wider United Kingdom.

I have to say something to the hon. Member and any SNP Members. If, heaven forbid, a second independence referendum took place and, heaven forbid, the result went in their favour, we would respect the result because, after all, we are democrats. I doubt we would see SNP politicians coming back here asking for an extension to any transition period that had been agreed, but the untangling of the Union that we are going through now is nothing compared with what it would be like to untangle an economic, political and military Union that has existed for more than 300 years.

The SNP looks both ways when it comes to leaving Unions. They will find any excuse to drag out the Brexit process for as long as possible, but when it comes to independence, it is full steam ahead—no plan, no timetable, no currency, no mandate, no way. They are simply Euro-Unionists. [Interruption.] The hon. Member for North Ayrshire and Arran (Patricia Gibson) mentions the side of a bus. Earlier, we heard the leader of the Scottish National party talk about what the SNP campaigned on during the December election. Its campaign was solely about “Stop Brexit”; it was not about another Scottish independence referendum. Independence was not even mentioned for the duration of the campaign, so toxic was it to the Scottish National party’s platform. On the side of the SNP bus, in black and yellow, was “Stop Brexit”. It failed, we are leaving the European Union at the end of the year, and we will make a success of it.

[Stephen Flynn]

Will the hon. Gentleman give way?

[Andrew Bowie]

I will not because I have already taken two interventions—not even for the hon. Gentleman. SNP Members know that I campaigned and voted to remain in the European Union, but there is a certain thing called democracy, and we must abide by the results. Otherwise, everything that we stand for in this place, and out in the wider country, falls flat on its face. We fought the referendum. My side lost, the leave side won, and we must respect that, just as one day—hopefully—the Scottish National party will respect the fact that it lost in 2014, and that Scotland is staying as part of the United Kingdom.

At least the Scottish National party is consistent, and has a position on Brexit and the transition agreement, and I am sure we will debate the issue again in the months to come. Sadly, that is more than can be said for the Labour party, which is all but invisible today. I say in all candour to my friends on the Opposition Benches that it does not look likely, with the sort of actions demonstrated today, that they will get back to the position in which they need to be if they are to become a force in Scottish politics again, let alone in UK politics.

I am conscious of what you said earlier Madam Deputy Speaker, and I will draw my remarks to a close as I know that plenty of people wish to speak. This motion is not about covid, the economy, or people’s livelihoods; this motion is about the Scottish National party and its obsession with stymying the democratic role of the British people. We should be proud of voting it down this evening.