Finance (No. 2) Bill

Debate between Christine Jardine and Rachel Maclean

3rd reading: House of Commons & Report stage: House of Commons
Wednesday 21st February 2018 Commons Chamber

[Rachel Maclean]

I can see that Madam Deputy Speaker is quite cross that we have moved off the point, so I return to the point that I do not support the new clause because I believe what the Government have put forward is already tackling the issues of tax avoidance and evasion, and those measures will ultimately benefit our economy and our constituents.

[Christine Jardine (Edinburgh West) (LD)]

It is an honour to follow the hon. Member for Redditch (Rachel Maclean), and I shall speak in support of amendments 1, 2, 3 and 4.

The PFI system is, as admirably demonstrated by the hon. Member for Walthamstow (Stella Creasy), not working and we need to change it. It is not right that half of the cost for PFI schemes are interest repayments and charges for local services, which are under desperate pressure at the moment

In April 2016, 17 schools across Edinburgh were closed due to fears that the buildings were structurally unsafe. They included three primary and secondary schools in my constituency. All 17 schools were constructed under PPP and PFI initiatives. In Edinburgh West, Craigroyston Primary School, Craigmount High School and Royal High School all closed. Parents were left worried and frustrated. It is clear to me from what I have heard today and witnessed myself that there is now compelling evidence that the payday loan approach to building is costing us all dearly.

For years, councils in Scotland and across the UK had no choice but to use PPP or PFI agreements to fund capital projects. They now find themselves in the position that interest repayments and charges are detracting from service provision when they are already strapped for cash. This morning at an all-party group meeting I heard evidence of how palliative and end-of-life care for children is being affected by the lack of council funding, and how the integration of health and social care is being restricted. That is outrageous.

In Scotland, PPP and PFI contracts are largely the responsibility of the Scottish Government under devolved competences, but I cannot agree with the hon. Member for Aberdeen North (Kirsty Blackman) that if the Scottish Government took over it would automatically be better; the evidence we have in Scotland counters that argument.

While it would be illegitimate to forcibly take contracts back in-house, it is important that we redress the windfall profits handed to these companies by Tory corporation tax cuts. It is both legitimate and fair for a windfall tax to be imposed on those profits, because, as we have heard, that would hit these corporations where it would get their attention—in their profits.

I ask all Members to put the benefits that we need, and the cash injection we need for our local services across the UK, first on the list of priorities, and find whatever way possible either to get money back or impose a windfall tax on these corporations.