(8 years, 2 months ago)
Commons ChamberI thank the hon. Member for Dewsbury (Paula Sherriff) for tabling her amendments, for speaking to this issue today and for having campaigned on it so effectively for so many months, if not years.
My amendment 140 would require the removal of VAT on women’s sanitary products to take effect by 1 January 2017. The background is that the former Prime Minister assured the House in March that he had succeeded in persuading the other 27 Heads of Government at the EU Council meeting on 17 and 18 March to allow the United Kingdom Government to respond to popular demand and extend the zero rate for VAT to women’s sanitary products. The former Prime Minister told the House:
“This is an important breakthrough. Britain will be able to have a zero rate for sanitary products”.—[Official Report, 21 March 2016; Vol. 607, c. 1246.]
On 24 March this Bill, then the Finance (No. 2) Bill, was published, and clause 125, as it now is—it was originally clause 115—was designed to implement the pledge on the abolition of VAT on women’s sanitary products and the introduction of a zero rate, but when the EU VAT action plan was published on 7 April it did not deliver on what the Prime Minister must have thought he had been promised at EU Council meeting in the previous month.
I tabled a couple of parliamentary questions on the subject. The first was:
“To ask Mr Chancellor of the Exchequer, what information his Department holds on the reasons why the EU Action Plan on VAT consultation document issued…on 7 April 2016 omits any reference to the decision of EU Heads of Government that the UK can remove VAT from women’s sanitary products”.
The answer I received was typically helpful from my right hon. Friend the Chief Secretary, then the Financial Secretary, and said:
“The content of the EU VAT Action Plan is a matter for the European Commission. European Council Conclusions welcomed ‘the intention of the Commission to include proposals for increased flexibility for Member States with respect to reduced rates of VAT, which would provide the option to Member States of VAT zero rating for sanitary products’.”
I then asked my right hon. Friend the Chief Secretary on what date he expected the removal of VAT from women’s sanitary products to take effect, and he replied on 18 April:
“The zero rate of VAT for sanitary products will take effect as soon as possible after Royal Assent.”
There was no mention of any constraint in EU law that would prevent the early implementation of the pledge that the Prime Minister was able to deliver following that European Council meeting.
I thank the hon. Gentleman for the support he has given to the campaign and for his research, in addition to the work done by my honourable colleagues on the SNP Benches. Does he agree that it does not feel like progress or much like a victory if I still have to pay tax on the tampons I am using today?
I fully accept what the hon. Lady says. This whole saga illustrates the frustration that many of us have felt in this House for a long time that the European Union works extremely slowly and very deviously. That was what the referendum was all about: it was about taking back control of these decisions to this House and being able to implement decisions quickly, effectively and in accordance with the wishes of the British people. Unfortunately, we have not got an instant departure from the European Union. We have to negotiate our departure and serve article 50 and so on, but in the meantime there is a lot of frustration, I accept. That has been exacerbated by the way the previous Government played down—let us be generous to them—the EU impact in this regard before the referendum. They did not want people to think that there was another reason to vote to leave, so that we could remove VAT from women’s sanitary products.
On Second Reading of the Finance (No. 2) Bill, my right hon. Friend the then Financial Secretary, who is now the Chief Secretary, said:
“The Government are committed to making that change…I am proud that in the Finance Bill we are legislating to enable zero VAT rates for women’s sanitary products.”
I then intervened and said:
“I congratulate my hon. Friend on the progress he has made. Why does clause 115 say that the measure will not come into effect when the Bill receives Royal Assent, but is subject to the Treasury introducing a provision at some later stage? Why can we not legislate on this in the Bill without any qualification?”
My right hon. Friend replied:
“It is customary, with changes in VAT rates, to give retailers notice. It is not usual for VAT changes to be put in place on the date of Royal Assent, as notice is usually provided. I reassure my hon. Friend that the intention is to provide a short period of time, following Royal Assent, in which retailers will have an opportunity to adjust prices. This is no desire by the Treasury to kick this into the long grass—we want to make progress on the matter.”—[Official Report, 11 April 2016; Vol. 608, c. 102.]
I think that that was a very disingenuous remark, because there was no reference to any EU constraint. The impression given was that it was all being sorted out with the European Union and that it would be delivered through clause 115, as it then was, very quickly. Somebody in the Treasury must have known or suspected that it would not be delivered in the time envisaged or, perhaps, at all, but nobody wanted to disclose that to the British people in the run-up to the referendum. I have heard that an agreement was made between remainers in the then Government and in the Opposition to try to prevent the issue from being raised on the Floor of the House, in the Finance Bill, close to the time of the vote.
Is it not fantastic that we now have the freedom to do these things ourselves, in our own sovereign Parliament, in accordance with the wishes of the people? I hope that the new Treasury team will be much more open and transparent in the way they deal with such issues. If there is an EU constraint, let us say so.
I welcome Government amendment 161, because it says that the measure will take effect after the later of 1 April 2017 or
“the earliest date that may be appointed consistently with the United Kingdom’s EU obligations”,
whatever that might mean. Why, however, was that not included in the Bill to start with? It was never going to be possible for the measure to be implemented at an earlier date than was consistent with our EU obligations. People were led up the garden path: they were led to believe that there was going to be an instant delivery, but we now know that that is not going to happen. I hope that when we come to look at the wider issues of VAT, we will get on with, for example, removing the 5% VAT on domestic fuel, which we in the leave campaign made an issue during the referendum.
It was a long time ago, but it was on 1 April 1973 that VAT was introduced in our country as a requirement of our decision to join the European Union. At that time, the rate was 10% and the yield was £1.5 billion a year. The standard rate was increased in January 2011 and it has been 20% since then, and that raises £100 billion a year. After leaving the European Union, we will be free to set our rates of VAT at whatever level we wish.
Did my hon. Friend note that in the consultation document that the EU issued, not only did it not honour the pledge to our Prime Minister, but it made it very clear that it deeply dislikes discounted rates and zero bands, and so it wanted to take it in the other direction because it thought that countries presuming to give tax relief on products that they considered essential was an obstacle to a genuine single market?
My right hon. Friend is absolutely right. It sounds wonderful, does it not, Mr Speaker: an EU VAT action plan? We were led to believe that the action would provide more flexibility, but when one looked at the small print in the action plan, one could see that the whole thing was steered towards more rigidity, harmonisation and uniformity, exactly as my right hon. Friend has pointed out. Again, is it not fantastic that we will now be able to take responsibility for these things ourselves? I hope that my hon. Friend the Financial Secretary, who will be responding to the debate, will take the opportunity to state that from now on the Treasury will be a lot more open in the way it does its business, both with this House and with the people, and that it will not use disingenuous statements to create an impression that is inconsistent with reality.
It does not seem to me that we will be able to make this change lawfully unless and until we have negotiated our exit. I wish that we could, but as somebody who believes in the rule of law, I think that that is the position we are in. But how different it is from the position that we were led to believe we were in prior to the referendum. I wonder why that is!
I promise that I will speak only briefly, because I know that everybody is keen to get away.
I thank the Government for their movement on this issue already. In my short time as an MP, there has been a major change in VAT on sanitary products, and I appreciate the Government taking that on. We owe huge thanks to the women who have campaigned about this, not only those in the House—such as my hon. Friend the Member for Glasgow Central (Alison Thewliss), the hon. Member for Dewsbury (Paula Sherriff) and other Members from across the House—but all the other women who have put their time and effort into campaigning.
I would like to highlight briefly some of the anomalies that continue in relation to sanitary products and VAT. VAT is still levied on incontinence products. Unless someone fits a very narrow definition of “disabled” under the law, they pay VAT on incontinence products. In the UK, between 3 million and 6 million people suffer from incontinence, and the UK Government receive the VAT from the sale of those products. I do not think that that is right; I think that those individuals should be able to get incontinence products VAT-free, because they are a necessity for those 3 million to 6 million people.
The other anomaly in the system concerns breast pads. If someone who is breastfeeding has an excess supply of milk and is therefore leaking milk, they require breast pads. There are no two ways about it. They absolutely require those pads, or they will be covered in milk. Having done that a number of times myself, I am well aware of the pitfalls.
(8 years, 4 months ago)
Commons ChamberUrgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.
Each Urgent Question requires a Government Minister to give a response on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
First, as a result of the reforms we have made over the last six years, the Bank of England has many more tools at its disposal than it did in the financial crash. Obviously, it can act on monetary policy consistent with its inflation target. The Governor of the Bank of England, speaking in a personal capacity as a member of Monetary Policy Committee, said that easing was likely to be required. A number of other tools, including counter-cyclical financial tools, are available, which means that there is a range of options to deploy. Over the coming weeks, we will hear whether, how and why the Bank of England, which is independent in its decision making, needs to deploy those tools.
I am rather disappointed that the SNP spokesman has not reminded us that it was SNP policy to cut corporation tax. Indeed, that has been its policy for year after year. In the independence referendum, the SNP said that one of the benefits of independence was the ability to cut corporation tax. The great thing about being in the United Kingdom is that the SNP can get corporation tax cuts in any case.
When did my right hon. Friend decide that he was not going to introduce an emergency Brexit Budget to penalise the people who voted leave?
We have to be realistic about the economic shock that the referendum result has created, which is acknowledged not just by the Bank Governor but by many independent forecasters—it is reflected in the financial markets. It will have an impact on the public finances, which will partly be cyclical, but also partly structural. In the end, a structural deficit—my hon. Friend, who is a good fiscal conservative, will know this—needs to be addressed through either reduced spending or higher taxes over time. Obviously, as a Conservative, I tend to look at the spending solution rather than the tax one, but that is what happens when there is a structural deficit, as we know to our cost in this country. Let us wait for the OBR to make its assessment in the autumn, then we can collectively decide how to proceed.
(8 years, 7 months ago)
Commons ChamberI agree that it is vital that we not only help people afford homes, particularly young first-time buyers, but build more homes. That is the plan we set out in the spending review; a big priority of the capital budget was the additional billions we will be spending on building homes—much more than was spent under the last Labour Government.
How is having net migration of an additional 3 million people going to help first-time buyers find a home?
As I say, we have the products to help first-time buyers in this country afford housing, but I make this observation on migration: you cannot have access to the single market without accepting the free movement of people. That is an absolutely clear principle, which has been made very starkly clear to this country by Germany and France, and is internationally accepted. If we want access to the single market, we have to accept the free movement of people.
(8 years, 7 months ago)
Commons ChamberI am grateful to my right hon. Friend for the courteous way in which he dealt with me, too. He achieved a great deal in his role as Secretary of State for Communities and Local Government by addressing the issue in the context of council tax. He will find in this case—and he will want to look at the details, as we are going a bit further than council tax rules to provide support and reassurance to families—a small number of transactions are affected by the measure, but it is important that we provide clarity. We certainly do not want to discourage people who wish to create an annexe for an elderly or disabled relative, providing them with support close at hand.
The measures that I have outlined are important, and help working people to keep and save more of what they earn while ensuring that we have a modern and targeted tax system. I should like to address briefly an important issue that we discussed in the Budget debate: VAT on sanitary products. We heard people’s anger loud and clear, and we said that we would fight for agreement to reduce the VAT rate to zero, and all European leaders agreed our plan to do just that. Last week, the European Commission action plan on VAT was published, and it is an important step towards a common-sense VAT system that works for British businesses and people. The Government are committed to making that change, and let me make that point to those who have raised it, including the hon. Member for Dewsbury (Paula Sherriff), who is in the Chamber, and other hon. Members. I am proud that in the Finance Bill we are legislating to enable zero VAT rates for women’s sanitary products.
I congratulate my hon. Friend on the progress he has made. Why does clause 115 say that the measure will not come into effect when the Bill receives Royal Assent, but is subject to the Treasury introducing a provision at some later stage? Why can we not legislate on this in the Bill without any qualification?
It is customary, with changes in VAT rates, to give retailers notice. It is not usual for VAT changes to be put in place on the date of Royal Assent, as notice is usually provided. I reassure my hon. Friend that the intention is to provide a short period of time, following Royal Assent, in which retailers will have an opportunity to adjust prices. This is no desire by the Treasury to kick this into the long grass—we want to make progress on the matter.
(8 years, 8 months ago)
Commons ChamberI have a similar admiration for my hon. Friend. He is a fantastic colleague to work with at all times, but I disagree with him on this matter. We know what the Government lawyers have outlined, and the strengthening of rights as set out in our amendments goes beyond anything that Labour did while it was in government to increase workers’ protection. This is an important part of the package. Inconsistency from the parties on the Opposition Benches is one thing, but killing off jobs is entirely another. Given Labour’s unemployment record and its Maoist take on economics, however, I should perhaps not be surprised. The SNP and Labour did not even raise an amendment or a vote on this issue in Committee.
I will in a moment, but I want to make a bit of progress.
The estimates of the growth that liberalisation would deliver can be seen in the evidence. Growth, which would mean new jobs and more taxes to pay for public services, will come as a result of these changes. Estimates suggest an extra £300 million of sales in London alone. The letters that Labour and the SNP might be drafting, urging people to avoid the internet on Sundays, should include a postscript for anybody who is looking for a job right now. Maybe it could say, “Sorry, we’re opposing measures that could have helped you find a job.” And the SNP, the party that exists to promote local control over people’s own affairs, should perhaps add a PPS to explain why its members are voting to prevent devolution to English and Welsh councils when the control of shopping hours is already fully devolved to the Scottish Government.
My hon. Friend makes a strong point clearly and highlights another important point. The United States is one of the most observant places in the world on religious matters but it has more freedom than we do, and I am sure that Scottish Members would argue that family values and religious observance have not decreased following liberalisation. People will still be able to choose what they do and, arguably, have more flexibility on Sundays. We have to remember the workers who work six days a week and who want more opportunities when choosing how to spend their time.
Before I take any more interventions, I am aware of your comments about the time available this afternoon, Mr Speaker, and want to make a little progress. There are Members on both sides of the House, particularly on my side, whose consciences make this a difficult subject, and I respect their moral views. They are speaking from strong positions, rather than playing with political opportunism, which some Opposition Members are doing. I want to set out our journey of travel so that the House gets a feeling for what we are planning. We intend to go further and do something different from what we initially proposed in the protections on offer.
Having listened to colleagues and discussed their principled objections with them, I want to propose something. Before I do, I should make it clear that it deals with the concerns raised by SNP Members in the press, so we will find out whether they really believe what they have been saying over the past 24 hours. Rather than applying the liberalisation nationwide from day one, the Government will invite local authorities that want to liberalise hours to apply for participation in an exploratory phase. Twelve places, geographically, economically and demographically diverse, will be locally recommended to us.
Taking your absolutely correct point about the manuscript amendment to heart, Mr Speaker, may I say that if hon. Members join the Government and me in voting against amendment 1 today, we will table an amendment in the other place? I have circulated that amendment to colleagues this afternoon. During an exploratory phase, we will gather evidence about the impact of liberalisation, including the use of zoning and its effect on those local economies. And of course the impacts on workers will be measured, too. My hon. Friend the Member for Berwick-upon-Tweed and other colleagues have made this case clearly, strongly and passionately, and we are listening and have heard what they say. We want to make sure that we are able to have a proper assessment. I will liaise with colleagues over the next few weeks to make sure that our performance indicators recognise, assess and look at this as part of the criteria over the next 12 months.
I have been writing to constituents over the past six months saying that I agree with the Prime Minister on this issue and, in particular, with what he said in his letter of 20 April. I wonder whether my hon. Friend would be able to help me in drafting a new letter if I were to go into the wrong Lobby. May I ask him whether the Government would introduce fresh legislation in the Queen’s Speech? Why not bring forward a fresh Bill and have a proper discussion about this, de novo?
I appreciate my hon. Friend’s faith in my ability to draft a letter, and I am happy to do that. As he talks about this being over the past six months, I would gently point his local residents towards the fact that both the Prime Minister and the Chancellor last summer outlined that we wanted to review the Sunday trading laws, in the light of how things were moving on economically and the speed with which internet shopping is growing.
(8 years, 9 months ago)
Commons ChamberI beg to move, That the Bill be now read a Second time.
It gives me great pleasure to move the Second Reading of the Overseas Voters Bill. The Bill was brought forward in the last Session of the last Parliament, in the run-up to the general election. At that stage, I had a very helpful response from the hon. Member for East Surrey (Mr Gyimah) who was then Parliamentary Secretary at the Cabinet Office, who said that the Bill’s key element would be incorporated in the Conservative party manifesto and implemented after the general election. As a result, we had in our manifesto a commitment to take action on this issue.
I brought the Bill forward because too many British citizens living abroad are not entitled to vote in general elections in this country. Although the Electoral Commission made a big effort towards the end of the last Parliament, in the run-up to the general election, to register overseas electors, an answer given to me on 5 February by my hon. Friend the Minister—he is on the Front Bench today—showed that only 105,845 overseas electors were registered to vote in May 2015. He said it was not possible to say how many of those who were registered actually voted. I know that a number did not vote because they did not receive their ballot papers in time; indeed, I have had complaints about that from erstwhile constituents who now live abroad.
I congratulate my hon. Friend on bringing this Bill to the House’s attention. I am listening to his very good speech with huge interest. He said that 105,000 overseas electors are registered. What is the total number who could be registered were they all identified, as his Bill suggests they should be?
Just to clarify, the figures are a little unclear, as my hon. Friend says. It looks as though about 2 million may be eligible to vote at the moment, and another 3 million or 4 million on top of that might be enfranchised were we to get rid of the 15-year rule in due course. However, as I suggested, all figures should be treated with a degree of caution, because this is so uncertain.
I am grateful to my hon. Friend for that intervention. What he is saying is that, of the 2 million who are eligible at the moment, we registered only 100,000, and many fewer than that actually voted. There is potentially a pool of a lot more who could be registered if the Bill went through and we were able to allow all British citizens living overseas to participate in our democracy.
That, of course, is what happens in a lot of other countries. Some of those countries organise—indeed, facilitate—voting by their overseas citizens at embassies, consulates and other such places. In the recent Turkish elections, the President of Turkey, in a neutral capacity, spent a lot of time visiting other countries in Europe—mainly countries with a significant number of Turkish expatriates—to speak directly to them to encourage them to participate in the election.
So what would be the benefit of this? Apart from the benefit to democracy, it would assist in campaigns such as one that I very strongly support, which is the campaign for an end to the discrimination against British pensioners living overseas. It would mean that those who are campaigning to ensure that there is equal treatment between British pensioners living overseas and those living in the United Kingdom would have more clout. At the moment, there are a handful of these people in each constituency able to vote, and they cannot really make a difference in the general election, but if more of them were eligible to vote, and did vote, they would be able to lobby much more effectively and we might find that the Government were more responsive to their concerns than they seem to be at the moment.
The campaigns that my hon. Friend is mounting for electoral justice and pensioner justice are legendary. I am glad that he managed to persuade the Government to include in the manifesto a commitment on electoral justice. With regard to British pensioners living overseas, presumably Her Majesty’s Government know who these people are and where they live, and they are in receipt of at least some element of their pension. Therefore, given the terms of this Bill, it should not be too difficult for the Electoral Commission to put them on the list and get them registered.
My hon. Friend makes a really good point; as he says, it should not be too difficult. In the run-up to the previous election, I encouraged the Foreign Office to try to get people registered. I also tried to get information out of the Department for Work and Pensions about enabling it to communicate directly with pensioners. The 15-year rule makes it more difficult to run these registration campaigns, because the DWP does not know whether an overseas pensioner has been living overseas for more than 15 years, and removing the rule would make it much easier for it to campaign effectively. When I was at a meeting discussing these issues with a member of our embassy staff in Berlin, he told me of the efforts being made to try to get expats living there to participate in voting, and I am sure that such efforts were made. However, as is apparent from the figures, there is an enormously long way to go. When my hon. Friend the Minister responds, I am sure he will say that this Bill is premature, as most of my Bills are, but I hope he will also say what the Government are going to do about implementing their manifesto commitment.
It is currently a cause of a great deal of frustration for British overseas residents that they are going to find it very difficult to participate in the European referendum. Some cynics have said that it would be better if we did not allow large numbers from overseas to participate in that referendum, but I think it would be desirable for the maximum number of British citizens to be able to do so. After all, we are going to allow Commonwealth citizens and Irish citizens living in this country to participate, so why were the Government unable to bring forward the Bill to facilitate the extension of the 15-year rule sooner in this Session so that it could have had a part to play in the referendum eligibility campaign?
Surely the whole point about electoral registration is that we register people who we believe have the right to cast their ballot. We never register people on the basis of which way we think they might vote in a particular election or referendum.
My hon. Friend is absolutely right. Too often, we allow cynics outside to misrepresent our policy positions. I think that all democrats would say that the maximum number of British citizens should be entitled to vote and encouraged to participate in our democracy, and that, in essence, is what this Bill is about.
Clause 3 deals with internet voting. This is a controversial subject, but I think that if we are ever to go down the road of internet voting, the starting point should be people living overseas.
My hon. Friend and I have been very close friends for some while, but I am concerned that internet voting could be open to fraud. How would he seek to deal with that issue?
Fraud is rife in most electronic transactions, but despite that, a very large number of people are prepared to trust their banking arrangements to being dealt with online. Her Majesty’s Revenue and Customs is now going to make it more or less compulsory for small businesses to do their tax returns online on a quarterly basis. My hon. Friend makes a perfect reasonable point: there is always scope for fraud. That is why I would not suggest massive internet voting on a universal basis from the outset, but it would be sensible to start off with a reasonable experiment. For example, we could perhaps start with members of our armed forces who are serving overseas. We might be able to develop a secure system for dealing with them.
Does the hon. Gentleman not think it odd that he wants to make it a lot easier for people living abroad to vote, but this Government want to make it a lot more difficult, through individual registration, for people to register to vote in this country?
I do not accept the hon. Gentleman’s premise. The Government are keen to ensure that we have individual voter registration so that there is less identity fraud at polling stations and through postal votes. I supported that when I was a member of the Political and Constitutional Reform Committee in the previous Parliament.
Order. We are not debating UK domestic issues. I know the hon. Gentleman would not want to drift away from his point.
I thank my hon. Friend for securing this debate. I am intrigued by his proposition on internet voting. As a fellow member of the Political and Constitutional Reform Committee in the previous Parliament, I can bear testament to his prowess and knowledge. He rightly mentioned utilising the armed forces in an experiment on overseas voting. Perhaps Skyping could be used as a method, because face recognition on computers is now very sophisticated; indeed, we use it in airports across this country and in Europe. Does he agree that this could be a way ahead for internet voting by armed forces in overseas territories?
I have to admit to not being an expert in this area at all. If my children were here, they would say to me, “When did you last Skype?”, and the answer would be, “Never.” I know that there is such a thing as Skyping, that other members of my family participate in it, and that it is a very inexpensive way of communicating with friends and family overseas. I imagine that it would fall within the term “internet voting”. However, I do not have the expertise to be able to answer my hon. Friend’s question about whether it would be possible to secure a system of Skyping that would be proof against fraud or misrepresentations. I leave that to the Minister and his officials.
In clause 3 I do not try to set out a prescriptive arrangement for internet voting. That is because this is a really good example of where regulations should be brought forward by the Government using their expertise rather than relying on albeit gifted amateurs to do the job for them. The clause says that the Government “shall bring forward regulations”, and, in subsection (2), that they
“shall include provisions to prevent identity fraud and to ensure that only those eligible to vote can vote.”
I anticipate that clause 3 might cause most difficulty when the Bill goes into Committee. Is it not the case that it has never been easier to register an individual to vote and that increasingly that is being done over the internet? That will be of great encouragement to overseas voters, because they should be easily able to register themselves in this country.
My hon. Friend makes a very good point. Clause 3 addresses internet voting rather than internet registration, which is an important distinction. It is already possible to register on the internet, which, as my hon. Friend says, is a popular form of registration. A lot of young people used the internet to get themselves on the electoral register in the run-up to the last general election.
This is a short and relatively simple and straightforward Bill, and I commend it to the House.
As ever, I accept your advice, Mr Deputy Speaker. I wish I did have the figures for those living abroad, but, as has been said, it is very difficult to ascertain them. The only figures we have are those for individual voters in the UK, but I fully accept and understand what you have said.
Elections in May will include those to the devolved institutions in Belfast, Cardiff and Edinburgh, the London mayoral election, and the police and crime commissioner elections in England and Wales. Then—just in case somebody has missed this—at the end of June we will have a rather serious referendum to decide whether this country will continue to be a member of the European Union. The Electoral Commission will play an important role overseeing all those elections. Personally, I do not think it would be wise for this House to say that, in addition, the commission should make the registration of overseas voters a priority. I hope and expect that the commission will continue its grand efforts of previous years in encouraging British people living overseas to register to vote, which is so important, but if there is to be a priority, surely it must be to ensure that all prospective voters who live in the UK are on the list.
The figures I have cited are alarming, but I will not mention them again, for fear of being pulled up by you, Mr Deputy Speaker. It is important, however, to recognise the changes taking place in our democracy. We have to understand that the voting process is a central plank of our democratic process, both at home and abroad.
Clause 2 proposes abolishing the current 15-year limit on an overseas voter’s ability to participate in UK elections. We have no objection to reviewing the time limits on eligibility. There is nothing sacred about the 15-year limit. It has not always been 15 years: it has been 20 years and five years in the past, but now it has settled at 15 years. As the hon. Gentleman has said, there are different rules in different countries. However, if we are to consider changing the limit, or even removing it completely, as has been argued, I do not believe that that should be done in isolation. It should happen as part of a wider review of how we can increase participation in elections in general.
The Conservative party made a manifesto commitment to abolishing the 15-year rule, and we are still waiting for the votes for life Bill to be introduced. Although we have no objection to that in principle, if we want to extend the franchise the Government should look again at giving the right to vote to 16 and 17-year-olds in this country. We should learn the lesson of what happened in Scotland, which enthused people and brought them into the parliamentary process. They felt that they were valued. We should take a leaf out of the Scottish book.
Clause 3 would give overseas voters a chance to vote online. We need to do more to make sure that our electoral process better reflects the busy lives that people lead. That could and should include trialling electronic and online voting. However, I am not wholly convinced by the hon. Gentleman’s arguments about why overseas voters should be the first to try out such a system.
We are unable to support the Bill, for the reasons I have given. I am sceptical of some of the clauses and the priority given to overseas voters, because of all our other concerns about electoral matters.
I understand that this is the hon. Gentleman’s maiden Front-Bench speech on a Friday; he is making a very good fist of it, if I may say so. He says that he does not believe the Bill to be a priority, but does he not think there is something really wrong with our democracy if some 6 million British citizens are not able to participate in it? Surely that should be a top priority.
I fully understand that, but I would not categorise it as a priority. Some 7.5 million people in the UK are not registered, and since the introduction of IER a further 1.4 million people have dropped off the register. The Opposition fully agree that we need to look at encouraging participation in voting, but we do not see overseas voting as a major priority. It should be part of a concerted effort to get as many people as we can to vote. I am not sure that the hon. Gentleman and I are too far apart on that, other than on the question of what should be a priority.
I am grateful to my hon. Friend the Minister for his response, and I am delighted to hear that, even as we speak, parliamentary counsel are struggling with the detail of what I hope will be not just a Government Bill, but Government regulations to go with it, so that there is not a long gap between the Bill and the regulations. It is often much better if the draft regulations can be produced at the same time as the Bill. If that is the reason for the delay, I will be prepared to accept that, because it is much easier for the House to consider a Bill when it has the regulations—the detailed implementation scheme—before it. I can understand that it has not been possible to do that. I was disappointed with the expression “in due course”, but I can assure him that, if we have not made progress by the time of the next Queen’s Speech—whenever that might be—I shall seek to resurrect the Bill in the next Session and to keep the pressure on the Government.
I am grateful to my hon. Friend the Member for Kettering (Mr Hollobone) for his generous remarks, but I am not sure I agree with his views about extending clause 1 to local government elections. That would involve a complex interaction, because, at the moment, EU citizens resident here can participate in local elections—the trigger is their residence here. If we said that non-British people not resident could participate in local government elections, that would be a significant extension and might have serious implications. Before we knew it—although this will, I hope, be sorted out on 23 June—we might find the EU suggesting that its citizens should be able to participate in our general elections, which would be completely wrong.
With those remarks, I beg to ask leave to withdraw the motion.
Motion and Bill, by leave, withdrawn.
Off-shore Wind Farm Subsidies (Restriction) Bill
Order for Second Reading read.
Bill to be read a Second time on Friday 4 March.
(8 years, 9 months ago)
Commons ChamberWe must find a further £2.6 billion to meet the commitment that all of us signed up to. Those of us who made that pledge said that we wanted full and fair compensation, and the Chancellor made it clear at the Dispatch Box that that was the figure, although he was only able to come up with £1.5 billion at the time. The shortfall is now £2.6 billion. I could go through a whole list of other things that the Chancellor has found money for but that have perhaps less merit than the plight of those elderly people who invested their money.
I do not expect the Minister suddenly to say, “Don’t worry, we’re going to provide all the money. Here it is”—it would be good if he did—but the Chancellor will be at the Dispatch Box on 16 March to deliver the Budget, and I hope that he will announce further compensation for the pre-1992 trapped annuitants so that they receive full compensation. I also hope he will confirm that none of the money that has already been pledged will be clawed back at the end of the scheme, and that further moneys will be made available as and when that is allowed in the Treasury forecast.
I am grateful to my hon. Friend for all his work on behalf of the victims of the Equitable Life saga. It surprises me that the Treasury has not yet conceded that it will have to spend the £139 million that it has in its coffers on this compensation, as it expected to, rather than take it as a windfall. Surely that is the starting point.
(9 years, 4 months ago)
Commons ChamberIn the end, it is impossible for any country to defy the financial markets. That is something this country has learned to its cost in the past. What we want to see in Greece is investment flowing into the country, the banks reopening and the economy growing. That is why we look forward to the proposals that the Greek Prime Minister says he will bring to the eurozone summit tomorrow.
Does my right hon. Friend agree that it would not be anything for the Greek people to be ashamed of if they decided that they were best off getting out of the straitjacket of the eurozone and were able to wrest away from the controls of the European vulture funds?
I will not exactly use the language that my hon. Friend uses, but I think he would absolutely agree that we need to respect the rights of the Greek people to make their own decisions on their future. They have clearly expressed their view in the referendum, but of course they are part of a currency where other populations care about the arrangements with Greece. Governments in Ireland, Spain and the like ask, “We have undertaken a lot of these reforms and measures, so why are the same things not demanded of the Greeks?” That is the challenge that the eurozone faces. Where my hon. Friend and I agree is that we are well out of it and are happy with our pound sterling.
(9 years, 4 months ago)
Commons ChamberI do not think anyone would presume to tell the Greek nation of all nations how to conduct a democracy. That is why I made it very clear in my statement that we respect the right of the Greek people to make decisions about their own future in an open and democratic way, and we do not presume to give them advice on that, but of course they need to be aware of all the consequences.
Does my right hon. Friend agree that if the Greek people wish to regain their sovereignty and once again become masters of their own economic destiny, they should be arguing to leave the eurozone and set up the drachma once again?
As I have already said, it is for the Greek people to make this decision, but my hon. Friend’s broader observations about the constraints of being in the euro are one of the reasons why he and I agree that Britain was right not to join and should not join in the future.
(9 years, 5 months ago)
Commons ChamberMy hon. Friend makes a good point. All these models need to be examined to see what their strengths and weaknesses might be.
Aside from its regular work on the Budget and the autumn statement, the OBR already produces a longer-term fiscal sustainability report on future trends and pressures, the latest edition of which was published just a few days ago, so it already ranges more widely than the work we are most familiar with on Budgets and autumn statements. Our amendment asks the OBR to produce a report on the implications for the public finances of a British exit. For example, can we assume that the UK would save all its budget contribution to the EU, as claimed by the advocates of exit, or could we expect to contribute some or most of that in return for continued access to the single market? Some countries outside the EU but part of the European free trade area have to make substantial contributions for access to the market. Are there other effects to take into account, such as the implications for the public finances of any migration changes as a result of exit? Would exit have any impact on the long-term demographics of the country that might in turn impact on the public finances? There are a number of issues that the OBR might want to consider that could impact on the public finances.
Will the right hon. Gentleman explain why he and his party objected to my Bill in the last Parliament calling for an independent audit of the economic costs and benefits of our current membership of the EU? Is that not the most fundamental issue about which the public want to be informed before the referendum?
I seem to have spurred my right hon. and learned Friend to a passionate pursuit of his arguments, because he does not want what I am proposing at all. The fact is that the Electoral Commission says the proposal to remove section 125
“could mean that governments and others will be free to spend unlimited amounts of public funds promoting an outcome at the referendum right up until polling day.”
It goes on to say:
“In the Commission’s view, there is a risk that the use of significant amounts of public money for promotional activity could give an unfair advantage to one side of the argument. Unlimited government spending would also undermine the principle of having spending limits for registered campaigns.”
We have already heard about the interference in the Scottish referendum, and what the right hon. Member for Gordon (Alex Salmond) said is completely right.
Does my hon. Friend agree that it is ironic that the section 125 provisions were adopted by the Venice Commission in the following year and are now universal best practice, and that the Venice Commission has endorsed the fact that there should be a prohibition on Government expenditure in the four weeks of the referendum campaign?
That is absolutely right. I was going to refer to that, but I am grateful to my hon. Friend for making the point.
I want to refer to what section 125 actually does say, because the proposal is to remove that tonight, in the face of our opposition. The explanatory notes accompanying the Bill state what they do:
“These Explanatory Notes have been prepared by the Foreign and Commonwealth Office…to help inform debate”
and
“in order to assist the reader of the Bill”.
However, paragraph 52 of the notes gives no explanation and simply says:
“Paragraph 25 provides that section 125 of the 2000 Act does not apply for the purposes of this referendum”,
and then mentions a consequential amendment. There is no explanation at all. That itself is a reason for our being concerned about the way this is being done.
I want to return to the question of what we are repealing. What is in the 2000 Act is very sound. It refers to
“any material which—
(a) provides general information about a referendum to which this Part applies;
(b) deals with any of the issues raised by any question on which such a referendum is being held;
(c) puts any arguments for or against any particular answer to any such question; or
(d) is designed to encourage voting at such a referendum.”
It is very comprehensive.
Do the figures my hon. Friend is referring to include Government expenditure? The Minister, responding to the debate on the previous group of amendments, said the Government should not be a lead campaigner in a referendum, thereby implying that it will be a campaigner and spend Government resources. Are Government resources restricted in any way?
That is why this debate is important. When the Minister replies, we want further and better particulars. We really want to know whether Government expenditure will be a part of this. The Government have enormous resources through all the Government Departments and it would be unfair if there was a mismatch in total spend for both sides of the argument. The yes campaign in 1975 spent the equivalent in today’s money of £11 million, compared with £1 million by the no side. The no side in 1975 were outspent 10:1, and that simply cannot be fair. Such things may have been more accepted in those more forgiving days, but I do not think they would be accepted now when there is widespread disillusionment about politics and a widespread feeling, which may be unfair and I know the Government want to act in an entirely honourable way, that the result could be fixed by the political establishment. The political establishment, encompassed by all the leading political parties except UKIP, big business and the European Commission, could have a massive and decisive preponderance of spending.
The 2000 Act provides for an entirely different regulation to what existed in 1975. It still looks far more likely that one side will have much higher spending limits than the other, which is inimical to our sense of democratic fair play. It is possible that the voters will be—or could feel, which is just as important—overwhelmed by spending on one side. Spending caps in constituency elections are basically equal. I know this is a UK-wide referendum, but that actually makes it more important, because there is huge interest both within and outside the country. The coverage in the European press is massive and will only get greater, and the European Commission and foreign Governments are very exercised about it. It is incumbent on the Minister to tell us what he plans to do about it and how he will address the problem I have articulated. If I am wrong, I am happy to listen to the Government and to be reassured, but they have to reassure the Committee.
Aside from the inherent inequality, there are deeper concerns about the potential effects. Let us consider the results of the Scottish referendum and the following general election: one side can win a referendum, but afterwards, if people feel the arguments were not entirely fair, there can be a massive shift of opinion. If a yes result is secured through massive overspend, there is a danger—dare I say it?—of a UKIP backlash, just as we have seen an SNP backlash, and this tidal wave can overwhelm people. It is essential, therefore, that there is a feeling of fairness. We need an open debate in which both sides are funded broadly the same and can put their arguments. If the yes campaign wins by the force of its arguments, I, as a democrat, would be the first to accept that it won fair and square, but there has to be a feeling of fairness.
I am afraid that I do share some of the hon. Lady’s worries. I would like to see that clearly stated in writing and as an act of policy from the EU itself. That would probably be much appreciated in many sections of the United Kingdom, so that we can be sure that there would not be clumsy, unwarranted or unwelcome interference. It would be a double irony if the EU were using our money to do it. That is what makes it particularly difficult. UK taxpayers of both views would be paying the money to the EU, but only one side of the argument would be funded by that money.
Surely the Government could do something on this front. They could ask the European Commission and the European Union not to intervene and not to fund the referendum campaign. They could then get a written undertaking from the Commission not to use European Union funds. That is outside the scope of the Bill, but the Minister could give such an undertaking.
Indeed. I am speaking to amendment 10 tabled by my hon. Friend the Member for Stone (Sir William Cash), who seeks to clarify this point and prevent the use or abuse of EU money. I hope that the Minister will respond and that he will have his own proposals on Report. The Electoral Commission has given exceedingly good advice across the board on this referendum. It seemed to suggest that it would not be right for the EU to give money for the campaign, and it would be nice to have a reassurance that the Government share that view and accept the advice of that august body, which is there to guide us.
There is an additional issue with EU money, to which some colleagues have referred. What do we do about the EU money that is routed to bodies or organisations within the UK that choose to make a donation to a referendum campaign? That is another difficulty. As I understand it, such a donation would be perfectly legal because the organisation giving the money would be able to say that it had other sources of money and it was not a direct gift of EU money to the referendum campaign. Such a body may be swayed by the fact that it had had generous access to EU moneys in the past. While one would hope that none of them were donating for that reason, people would suspect that a body in receipt of substantial EU moneys in the normal course of business that saw fit to give money to the campaign to stay in would hope that the EU would be better disposed to it when it put in its next application for money.