Bede Griffiths Charitable Trust and Southern India

David Evennett Excerpts

Tuesday 25th November 2014 Westminster Hall

[The Lord Commissioner of Her Majesty’s Treasury (Mr David Evennett)]

I congratulate my constituency neighbour, my hon. Friend the Member for Beckenham (Bob Stewart), on securing this important and timely debate. I commend him on his excellent, thoughtful speech, and apologise for the absence of my right hon. Friend the Minister of State, Department for International Development, who is appearing at the Select Committee on International Development this morning. I have been asked to respond as the DFID Whip, and am delighted to do so on behalf of the Government.

I offer my condolences to Tim’s family on what was a tragic loss for them and his many friends. I know Chigwell school, as my hon. Friend mentioned, because my sons Mark and Tom both went there, and I went to the neighbouring grammar school, Buckhurst Hill county high school for boys, which was next door but is now sadly no more.

We have today learned an awful lot about the Bede Griffiths Charitable Trust and its work, and the problems of southern India. We have also heard about Tony and Mary Pruss’s dedication. I commend them for their endeavours in memory of their son, and for their huge contribution to helping the less fortunate in Tamil Nadu state. The trust does vital work there. We have heard about its important provision for the poorest people, those who are suffering, the elderly and the young; and about its support for local community facilities. The Tim Pruss Memorial school in Inungur is helping 275 pupils in a remote area of the country who would otherwise have had great difficulty in going to a Government school. Those are positive, constructive approaches to assist a part of the world with considerable disadvantages.

As my hon. Friend the Member for Beckenham knows, the Government have made a commitment to international development, and I am proud that Great Britain was the first G7 country to reach the target of 0.7% of national income for aid spending. Not only do the Government play their part in helping a variety of causes globally, but the great British public also do their bit to support those aims. One need only think of the extraordinary response to the Philippines appeal after Typhoon Haiyan last year, or the millions donated to help tackle Ebola in west Africa in the past few weeks. We as a country can be proud of the contribution that our people are making in voluntary donations.

One can also see that compassion and dedication clearly in the sheer number of fantastic civil society organisations in this country, such as the Bede Griffiths Charitable Trust, that make a difference in the developing world. Working with civil society organisations forms an integral part of DFID’s approach to reducing poverty, promoting wealth creation, achieving the millennium development goals, tackling climate change and dealing with conflict.

Civil society can play an important role in reaching poor and marginalised people and communities in places that the Government and private sectors have not been able to reach. They do so through their ability to build relationships, trust and legitimacy, their grass-roots knowledge of needs in developing countries and their responsiveness. It is a crucial part of creating the open societies required for tackling poverty and its underlying causes and creating economic growth and development. Many smaller and medium-sized groups such as the Bede Griffiths Charitable Trust are more out of sight and perhaps receive less fanfare, but they do powerful work on the ground, which is why debates in the Commons to highlight them are important. The good work being done needs to be recognised and publicised. My hon. Friend has done a marvellous job in doing so today.

There are many organisations running projects that no one else thought of doing. In fact, it is often smaller grass-roots organisations that can make connections on the ground and help to change how people act for the better. Of course Government support is vital, which is why the UK Government support smaller civil society organisations through DFID’s global poverty action fund, which provides grants to charities across the UK to help them fight poverty in the world’s poorest countries. For example, the charity Women and Children First UK is helping reduce maternal and newborn mortality in Mumbai.

Such schemes have achieved great results, supporting some fantastic organisations, which is why UK Aid Direct was launched, a new £150 million funding scheme to support small and medium-sized national and international civil society organisations in reducing poverty over the next five years. As a successor to the global poverty action fund, UK Aid Direct will build on the success and momentum created by that fund. It will also bring more flexibility and allow the work with civil society to respond to opportunities as they arise. The scheme highlights DFID’s ongoing commitment to the role of civil society in poverty reduction and recognises the important contributions made by small and medium-sized civil society organisations.

Applications for the first £30 million funding round for UK Aid Direct closed today. In the first funding round, projects will focus on finishing the job on the health millennium development goals, and particularly on sexual and reproductive health and rights. It is a particularly important focus for development at this time, as the MDGs for reducing child mortality, improving maternal health and combating HIV/AIDS and other diseases are off-track. DFID is looking for innovative, ambitious projects whose proposals will demonstrably have a tangible impact on our efforts to achieve the off-track MDGs.

[Bob Stewart]

On that point, it would be lovely if DFID would consider a grant to the Bede Griffiths Charitable Trust if possible. It is an extremely well run charity, and it undoubtedly offers value for money. I just make that point.

[Mr Evennett]

I note my hon. Friend’s plea. I know that my officials have listened to it, and I will respond in a moment.

The poorest areas civil society programme works with Indian civil society organisations in the seven poorest states and helps socially excluded groups claim their rights. The programme has led some impressive initiatives, such as the campaign for complete abolition of the inhuman practice of manual scavenging, a caste-based practice in which human excreta are cleaned manually by individuals from the Dalit and Muslim communities in India, who face untouchability and social exclusion.

Faith-based organisations such as the Bede Griffiths Charitable Trust play an important part in reducing poverty in developing countries. Religion unquestionably plays a role within civil society, and we can use that to help advance the development agenda. Faith is often part of individual or group identity, which gives faith groups considerable legitimacy; they are often seen as more embedded in the local community than some development actors. Faith groups inspire confidence and trust. Indeed, they are often the first groups to which the poor turn in times of need and crisis, and to which they give in times of plenty. Faith communities can be motivated by different ethical values and beliefs from most secular organisations, including a sense of service, selflessness, generosity, mindfulness and compassion. They are often less transient than many secular civil society organisations and can mobilise many adherents and significant financial resources. Faith groups make a significant contribution to poverty reduction.

I now have an answer to my hon. Friend’s question. We are happy to provide information to him, so that the trust can get in touch after the debate. I cannot promise any more than that, but we in the Department are always willing to consider any opportunity.

Faith groups are a key development partner. They empower poor people so that their voices are heard. They can subject Governments to critical scrutiny and bring distinct and valuable perspectives to policy formulation processes. To strengthen our relationship with faith groups, the UK Government have launched the faith partnership principles paper, and we are working with faith groups to ensure that those principles are put into practice. The paper sets out the principles—transparency, mutual respect and understanding—that will guide our relationship with faith groups, as well as plans to build a common understanding of faith and development, document the impact of faith groups through systematic research and discuss areas of difference in a constructive way without threatening wider collaboration. DFID’s work with faith groups over the last 10 years has benefited many millions of men, women, boys and girls. My hon. Friend referred particularly to the generosity, commitment and hard work of Tim’s family, the trust and others with counterparts in India.

India has grown rapidly in the last decade and is now one of the world’s major economies, but remains home to one third of the world’s poor. In recent years, India has rapidly increased its spending on health, education and other development issues. In recognition of India’s changing place in the world, the Secretary of State for International Development announced in a statement to Parliament in November 2012 that we have agreed with the Government of India to move to a new type of development relationship. After 2015, our partnership will focus on sharing skills and expertise, making private-sector investments that will help the poorest people and generate returns, and strengthening partnership on global development issues such as food security and climate change.

UK aid is delivering results in India; for example, it is reaching out to 3.6 million pregnant women and to children under five through nutrition programmes, and will give roughly 2 million people access to improved sanitation by 2015. This Government are assisting civil society organisations of all shapes and sizes in playing a critical role in fighting poverty, and we will continue to do so. The world has made unprecedented progress in the fight against poverty in the last two decades.

In this debate, with a great deal of interest, we have learned all about the Pruss family and their commitment, the Tim Pruss memorial school and the Bede Griffiths Charitable Trust. I am pleased to acknowledge the trust’s commitment to making a difference, and the time and effort given by Dr and Mrs Pruss and all those involved in this important charity. I hope that we have been able to put on record the work that has been done; my hon. Friend the Member for Beckenham has done a superb job in doing that. After this debate, we in the Department will certainly consider in what ways we might assist, but the most important thing is to congratulate the trust and all involved in it, and to support it in continuing the good work that it has done so far.

Finance (No. 2) Bill

David Evennett Excerpts

Tuesday 1st April 2014 Commons Chamber

[Guy Opperman]

And, sadly, I shall not be burdening him with 42 minutes myself.

[The Lord Commissioner of Her Majesty's Treasury (Mr David Evennett)]

Hear, hear.

[Guy Opperman]

It is great to be applauded by one’s Whip.

Let us look at the bottom line. Corporation tax is down from 28% to 21%, and employment allowance will reduce employers’ national insurance bills by up to £2,000. Anyone who visits any high street in any town or village in the country will find that that is a massively popular policy, and anyone who wanders into the premises of any small and medium-sized enterprise will find that everyone there is talking about it. Larger businesses will benefit particularly from the doubling of the annual investment allowance, and nearly every business will pay no tax up front when it invests in the future. That is fantastic.

The north-east is the only region in the country with a positive balance of payments. We export more than we import. I welcome the fact that manufacturing is being turned around and being supported by this Government, after struggling under the last Government. The number of apprenticeships is doubling in our area, and the number of traineeships is also increasing. I cannot stress strongly enough the difference that traineeships are making in the brave new world in which we are living.

I visited a company called Release Potential, which is in Stocksfield, in my constituency, and which is giving young people the opportunity of becoming trainees. Once they have done that, they have a much better chance of securing apprenticeships and jobs. We should be supporting that, and, as always, encouraging employers to take on apprentices and trainees. I should make a declaration at this point: I am the first Member of Parliament to hire, train, retain and, now, employ an MP’s apprentice. She is not an apprentice MP; she is an office manager, although some people often say that she would do a better job as an MP. The honest truth is that if I can do that when running a small business with a relatively low budget and very few staff—as all MPs do—I see no reason why other SMEs cannot do the same.

What else is there to welcome in this outstanding Budget? [Laughter.] Labour Members laugh from a sedentary position, as they always do, but Newcastle airport has sought a change in the air passenger duty rules for ages. When I went to see the Chancellor, he listened to my representations and to those of Members from Manchester and Bristol, and I am grateful to him for that. The changes in APD rates, including the abolition of the two highest rates, will be fantastically helpful, and—again—will be welcomed by the chambers of commerce, not just in my constituency but throughout the country. Anyone who travels on an international route to try to promote trade overseas will welcome it.

As chair of the all-party parliamentary group for air ambulances, I should declare an interest in the subject. I also made use of one or two air ambulances when I was a very bad jockey and required their assistance. For many years, since the presentation of a petition signed by 155,000 people—and the Hexham Courant’s small but very weighty petition—we have been trying to get rid of VAT on the fuel used by air ambulances. In the north-east, the Great North air ambulance service led the campaign, and is a massive beneficiary of it. The cut announced in the Budget will save air ambulances a huge amount. It will allow more missions to be flown, and there is no doubt that lives will be saved. There is immense support for the measure in all the air ambulance services in the country,

The Chancellor said in his Budget statement:

“I will continue to direct the use of the LIBOR fines to our military charities and our emergency service charities”,

but added that he would also

“extend that support to our search and rescue…and provide £10 million of support to our scouts, guides, cadets and St John Ambulance.”

His intention was best expressed by this simple expression:

“1…want the fines paid by those who have demonstrated the worst values to support those who demonstrate the best of British values.” —[Official Report, 19 March 2014; Vol. 577, c. 786.]

That is absolutely outstanding, and offers support to all the individual charitable and voluntary organisations that are the bedrock of our communities.

There were also announcements on school funding. Anyone who, like me, has taken part in the F40 fair funding campaign will greatly welcome the announcement from the Minister for Schools, and the support from the Treasury. F40 budgets will be increased, be it in Northumberland, Durham or in other rural areas. The consultation going forward is an outstanding and important contribution. If we can change the way our schools are funded, they will have a genuine possibility of surviving.

I could talk about fuel duty, which, as we all know, the previous Government raised remorselessly—well over a dozen times. I am pleased to say that the Chancellor, with great difficulty and in very difficult times, has managed to cancel the fuel duty escalator that the previous Government sought to include in future Budgets.

I have some outstanding breweries in my constituency, such as the Hadrian Border Brewery, Allendale and Matfen. I can assure you, Madam Deputy Speaker, that when you holiday in God’s own county of Northumberland, you will want to visit the various beer festivals that will take place there this summer, where the further reduction in beer duty will be welcomed. That reduction supports not just the person who wants a pint of bitter, but the brewers, because it allows them to invest and to create jobs. It provides genuine support for businesses that struggled desperately under the previous Government, and they are extremely grateful.

On housing—unlike the hon. Member for North Durham, I am having to condense my 42-minute speech into approximately 10 minutes—those who visit Humbles Wood, in Prudhoe, in my constituency, which is a new-build housing estate, will find that 85% to 90% of all purchases there are made with Help to Buy. It has utterly transformed the ability of a relatively low-paid local community in one of the smallest towns in my constituency to access housing. It is a massive help, and not just there. To answer the point made earlier by the hon. Gentleman, when I spoke to the various estate agents in West road, Newcastle, they too reported the massive difference that Help to Buy has made in what is—

Legal Aid (Rural Wales)

David Evennett Excerpts

Wednesday 26th June 2013 Westminster Hall

[The Lord Commissioner of Her Majesty’s Treasury (Mr David Evennett)]

I warmly congratulate my hon. Friend the Member for Ceredigion (Mr Williams) on securing the debate. I have been asked to respond on behalf of the Ministry of Justice by my right hon. Friend the Lord Chancellor and I will of course ensure that he is aware of the representations and comments made this afternoon by my hon. Friend and by other hon. Members present. I am delighted that the Under-Secretary of State for Wales, my hon. Friend the Member for Preseli Pembrokeshire (Stephen Crabb), is able to be with us at this important debate. I am well aware that the Wales Office has received many representations from Welsh MPs on these matters. I would like to point out that my right hon. Friend the Secretary of State for Wales has discussed these issues with the Lord Chancellor and we are sensitive to the interests and needs of the Principality.

[Albert Owen (Ynys Môn) (Lab)]

I apologise for not being present at the very beginning of the debate. Is the Minister saying that he is looking favourably at a Welsh dimension to the whole consultation process? In addition to that, we are talking about rural areas that are on the periphery—areas that have lost court services and lost other forms of access to justice.

[Mr Evennett]

I am grateful for that intervention. Of course, we are aware of and sensitive to the issues that are being raised. We will obviously take into account everything from the debate and the consultation.

The Government must always be mindful of the impact of their policies on those affected by them. Debates such as this are most welcome, as they help to strengthen and improve Government policy by ensuring that hon. Members’ expertise and local knowledge are fully considered. Before I respond to the substantive parts of the debate, I would like to make three general points about the changes that have been consulted on in respect of legal aid.

First, the Government will continue to uphold everyone’s right to a fair trial. We do, however, have a duty to look at how the system is working, taking into account the taxpayer, legal aid applicants and the legal profession as a whole. Secondly, access to justice and access to taxpayer-funded legal aid should not be confused. We have a duty to ensure that all public expenditure is justified. Thirdly, the Legal Aid Agency would ensure, as part of the tendering process, that all providers were capable of delivering the full range of criminal legal aid services under contract across their procurement areas. Quality-assured duty solicitors and lawyers would still be available if these changes were implemented, just as they are now.

I would like to outline the rationale behind the legal aid proposals and their potential impact in Wales. In its programme for government, the coalition set out its intention to undertake a full review of the legal aid scheme. Following consultation, the Government’s final proposals culminated in the Legal Aid, Sentencing and Punishment of Offenders Act 2012. As well as reducing the scope of the civil legal aid scheme, the Act made sweeping reforms to the central administration of the legal aid system. Through the introduction of the Legal Aid Agency, we have strengthened accountability and introduced a more rigorous approach to financial management. We estimate that those and other reforms will save about £320 million per year by 2014-15, but our legal aid scheme remains one of the most expensive in the world. Legal aid spending in Wales has increased, as it has dramatically in England.

[Mr Llwyd]

First, spending is in the median area of the league; it is not being compared with like common-law jurisdictions. Secondly, the Act to which the Minister refers has a specific section that says, “Of course, people will always have an entitlement to choose their own lawyer.” That is now being swept away.

[Mr Evennett]

The right hon. Gentleman does not highlight the fact that the cost to the taxpayer of criminal legal aid is still around £1 billion a year, which is a phenomenal amount of money.

[Mr Llwyd]

It is going down.

[Mr Evennett]

And yet we are talking about a phenomenal amount of taxpayers’ money.

The Government’s latest reforms, published in the “Transforming Legal Aid” consultation in April this year, tackle the cost of criminal legal aid, as well as finding further savings from the civil legal aid scheme. In particular, the proposal to introduce price-competitive tendering into the market for criminal litigation services has attracted a number of comments, such as those made by my hon. Friend the Member for Ceredigion and others this afternoon. If our proposals are implemented, the number of contracts tendered by the Legal Aid Agency will reduce from about 1,600 to about 400.

For the record, I would like to dispel a few myths, which have been highlighted this afternoon, about the model on which we consulted. The 400 figure relates to the number of contracts the Legal Aid Agency would tender, not the number of firms in the market or the volume of work available. The proposals on which we consulted do not prescribe how many lawyers would be available or how those who have the contracts can divide the work allocated to them. The proposed model would result in a consolidation of the market, but that does not mean that smaller firms of solicitors will go out of business. Some may choose to join together to bid for contracts. Others may decide to act as agents.

[Nia Griffith]

rose—

[Mr Mark Williams]

rose—

[Mr Evennett]

I would like to make a little progress, because otherwise I will not answer my hon. Friend’s points.

Importantly, specialist services—vital for niche areas of law and for clients with particular needs—will be able to continue. We received approximately 16,000 responses to the consultation, many of which address the competition model in detail. We are carefully considering all responses before final decisions are taken. This afternoon’s debate will go forward as part of that consultation and will be fed back to the Lord Chancellor and Ministers in the Department. It will be examined in the pot with the other considerations.

[Mr Williams]

Will my hon. Friend give way?

[Mr Evennett]

I will not be able to answer the questions and points raised if I take lots of interventions, but I will take one in a minute.

Among the particular needs to be met in the provision of legal aid is of course the provision of services in Welsh for those who want them. The Government have no intention of changing the requirements placed on legal aid providers operating in Wales to offer a bilingual service—I can nail that concern for my hon. Friend. That that issue, alongside many other practical considerations, is not expressly addressed in the consultation document reflects the fact that it will be, as at present, given effect through the Legal Aid Agency contracts with providers. The document does not propose any change in current practice, but that issue has been raised by some respondents to the consultation and we will provide simple reassurance when we publish the Government response. As well as raising the provision of services in Welsh, a number of legal aid providers have set out their concerns about the operation of the proposed competition model in rural areas, including rural Wales. Some of those concerns have been echoed here this afternoon, and I propose to raise them, highlighting the points made, with the Lord Chancellor to inform his decision making when the consultation concludes.

The consultation sets out a model of competition to cover the whole of England and Wales and seeks to address the needs of both urban and rural areas. In the cases of two regions—the areas covered by West Mercia-Warwickshire and Avon and Somerset-Gloucestershire—it makes an exception to the rule that procurement areas will be based on current criminal justice areas, by combining each pair into a single area. That proposal, however, is based on the volume and type of work, rather than the areas’ rural geography. The consultation in fact sought views on whether the geographical arrangement of contracts it set out was the right one and sought alternatives. We are of course open to good suggestions and urge the profession to work with us to come up with the best solution. The appropriateness of the model to rural Wales was raised during the engagement events held by the Ministry of Justice during the consultation period. We will consider carefully the views raised, before finalising our proposals.

Concerns have been expressed about the Government’s decision to publish the transforming legal aid consultation in English before the Welsh translation was ready. I shall address that issue directly, because it is unfair to suggest that the Ministry of Justice has not taken its commitments under its Welsh language scheme seriously. The Department has committed to treating English and Welsh equally, as far as is reasonably practicable, and that is what we did. Translating a document of that length and complexity takes time, and it was published as soon as it was available. In translating the entirety of the document, we have gone further than the previous 2010 legal aid consultation. In deciding not to delay publication of the English version until the Welsh version was ready, we were conscious that the majority of the target audience in Wales comprises legal aid providers required to provide services in English, as well as Welsh. Moreover, when the previous legal aid consultation was published in 2010, only the executive summary was translated; the Department did not receive requests for a full translation in Welsh and we did not receive any responses in Welsh. We have so far identified about 10 responses to the current consultation in Welsh. That we have had responses in Welsh reflects, I hope, that legal professionals working in Wales have shown their own expertise in responding to our proposals.

Officials are in the process of studying all the consultation responses received and will consider carefully all views on how Wales’s particular rural geography should be accounted for before final decisions are taken.

[Mr Mark Williams]

I have two questions. The first relates to remarks the Minister made some time ago. The consultation ends on 8 June and we have a short time to get the system up and running. How optimistic is he that that can happen and in particular that the consortia he mentioned, of small solicitors, practices coming together, can be realised? Finally, he mentioned a consultation event in Cardiff, where I know some of my local solicitors were keen to ask Ministry of Justice officials about the extent of their detailed knowledge of rural, north and mid-Wales and the challenges of rural transport. How much detail has gone into the assessment of rural Wales, or for that matter rural England?

[Mr Evennett]

I will have to write to my hon. Friend, because I do not have that information to hand. All I will say is that we have engaged with many professionals and received lots of consultation responses in the Department. We are very aware of the difficulties and the particular issues he raises.

Time is ever so short, but I want to mention the Government’s compliance with the Equality Act 2010. We are mindful of the importance of considering the impact of our policies on different groups. In accordance with our obligations under the 2010 Act, we have considered the impact of the proposals, in order to give due regard to the need to eliminate unlawful conduct, advance equality of opportunity and foster good relations. Our initial assessment was published with the consultation paper, and we will update it in light of responses, before final decisions are taken on the equality issues.

I am aware that a half-hour debate is not long enough, but there is of course a debate tomorrow on the Floor of the House, where issues can be developed further. I thank my hon. Friend the Member for Ceredigion for securing this important debate and I thank right hon. and hon. Members for the contributions that they have made. I am confident that, after long discussions and a long thought-out process, which will include the consultation information, the Ministry of Justice will publish final proposals that command the confidence of those who provide and use legal aid-funded services in Wales. Final decisions have not yet been taken, and today’s debate will certainly be read and noted by the Lord Chancellor and his ministerial team. I have listened to the views raised. I again commend my hon. Friend for securing the debate. I will certainly pass on to my right hon. Friend the comprehensive views that have come up this afternoon. The Under-Secretary of State for Wales and I will discuss the issues raised. I am grateful for the opportunity to put forward the Government view.

Road Traffic Offences (Sentencing)

David Evennett Excerpts

Thursday 16th May 2013 Commons Chamber

[The Lord Commissioner of Her Majesty's Treasury (Mr David Evennett)]

I begin by congratulating my hon. Friend the Member for Sherwood (Mr Spencer) on obtaining this afternoon’s debate on the sentencing of people convicted of road traffic offences. I commend him on his thoughtful and considered speech, which I listened to with great interest. I know that he is an assiduous and hard-working Member, serving his constituency and his constituents and raising issues of concern to them.

May I express the apologies of the Under-Secretary of State for Justice, my hon. Friend the Member for Kenilworth and Southam (Jeremy Wright), for not being here to respond in person to the debate on behalf of the Government? He is at a conference in Birmingham and asked me to respond on his behalf. I am delighted to be able to do so.

As my hon. Friend the Member for Sherwood made clear, driving offences are a very important issue, with potentially very grave consequences when they result in accidents and innocent victims are harmed, injured or killed. I was extremely sorry to learn of the case of his constituent, Louise Stanbrook, a pedestrian who was injured by a dangerous driver.

I should like to highlight the interesting and valuable contributions made by the hon. Member for Clwyd South (Susan Elan Jones) and my hon. Friend the Member for Rossendale and Darwen (Jake Berry). My hon. Friend the Member for Ilford North (Mr Scott) is in his place and I know that he, too, is concerned about the issues of sentencing and road traffic offences. My late father, Norman Evennett, said to me many years ago when I started to learn to drive, “Remember, a car driven dangerously or badly can be a lethal weapon”—very wise words indeed.

Sentences in individual cases are a matter for the courts to decide, subject to the maximum limits and sentencing guidelines. When deciding what the appropriate sentence within the range should be, the court will consider the seriousness of the offence. This includes both the culpability of the offender and the harm that the offence has caused. The court will also consider any other aggravating or mitigating factors. The law therefore seeks to punish those who cause death or injury on the road in a way that is appropriate to the degree of blame that can be attributed to the driver.

Our framework of driving offences and penalties is kept constantly under review, and the Government have striven to ensure that the framework remains balanced and proportionately addresses the range of unacceptable behaviours which occur on our roads. We will consider what my hon. Friend the Member for Sherwood said today and we continue to monitor these issues as a matter of course. Our current law provides a framework of offences to deal with bad driving and dangerous practices that impact on driving at every level. Every offence is extremely serious, irrespective of the consequences.

[Jake Berry]

On the topic of very serious offences, my hon. Friend will appreciate that the most serious of all driving offences is one in which someone loses their life. He will be aware of the reduced mortality rate when people are travelling at 20 mph rather than 30 mph. Will he join me in congratulating Lancashire county council, which recently made the speed limit on all side streets 20 mph, which is fast enough wherever we live, and will he join me in encouraging Blackburn with Darwen council to take a similar initiative to help save the lives of young people in Darwen?

[Mr Evennett]

I welcome any measure that helps to save lives. The issue that my hon. Friend raises is a matter for the Department for Transport, not for the Ministry of Justice, but I take on board what he said and congratulate any council that reduces the speed limit, which has a positive result, saving lives and preventing injury.

Fatality, of course, holds a special place in these affairs, which is why particularly robust penalties are available where death is caused by bad driving. Where drivers cause death either by dangerous driving or by careless driving while under the influence of alcohol or drugs, judges can sentence them to a maximum of 14 years in jail. Other measures include an unlimited fine and a minimum two-year driving disqualification. Where death is caused and there is sufficient evidence of gross negligence, drivers can be charged with the offence of manslaughter, which carries a maximum penalty of life imprisonment.

Summary road traffic offences include careless driving, speeding, driving with excess alcohol, driving while disqualified and using a mobile phone while driving, as well as other offences relating to the condition of the vehicle, safety measures such as seat belts and offences relating to non-compliance with, for example, driving direction and traffic lights. Those offences are punishable in some cases by short custodial sentences. Some carry mandatory disqualification. All carry the potential for robust fines and points on an individual’s licence.

Following the 2005 review of road traffic offences, two new offences were created and, since 2008, have been available to prosecutors: causing death by careless driving, and causing death where a driver is unlicensed, disqualified or uninsured. The maximum penalties for those offences are five years and two years respectively. They attract a minimum disqualification period of one year and can be punished by an unlimited fine. In December 2012 the Government introduced a new offence of causing serious injury by dangerous driving in order to fill the gap where bad driving causes very serious injury but sentences were previously limited to two years because only the plain offence of dangerous driving could be charged. The new offence has a maximum penalty of five years.

Therefore, it is apparent that the offences and penalties are kept constantly under review to keep the framework appropriate to changing behaviour on our roads. However, our courts sentence independently, having full regard to the features of each individual case and to guidelines.

[Mr Spencer]

My hon. Friend is doing a fine job of outlining for the House the current tools available in the tool box. Ministry of Justice figures show that, tragically, the number of motoring deaths remained static between 2002 and 2012. Meanwhile, the number of convictions for dangerous and aggravated offences has come down and the number of convictions for careless driving has gone up, which suggests that those deciding what to prosecute are choosing the lesser option of careless driving. Would he care to comment on those statistics?

[Mr Evennett]

We are of course aware of those statistics and look at them carefully. We are determined, in the guidelines, to encourage prosecution of the more serious offences, and we are endeavouring to do that. However, I must highlight that it is very difficult for the Ministry of Justice, because it is not our responsibility to do that. On the other hand, we are setting the guidelines and giving the courts the independence and freedom, and we want to ensure that they use the powers they have.

The Sentencing Council sets out guidelines, which the courts must have regard to, advising in greater detail what courts should do in particular types of cases. We give the guidelines and encourage, within the statutory limits Parliament has set, of course. We encourage, but the courts have to make the decisions. The Sentencing Council has issued two relevant sets of guidelines: those on driving offences where death is caused, which were issued in 2008; and the magistrates court sentencing guidelines, including guidelines on summary driving offences, which were updated in 2012. Obviously we constantly look at updating those.

With regard to the relevant treatment of speeding and drink-impaired driving, speeding is punishable by a fine of up to £1,000, or £2,500 when committed on a motorway. The court may disqualify the offender and must impose penalty points. Driving under the influence of alcohol is punishable by a fine of up to £5,000 or up to six months’ imprisonment. The court must disqualify the offender for at least 12 months. Those convicted of serious driving offences face the prospect of lengthy custodial sentences. In 2011, the average custodial sentence length for those convicted of causing death by dangerous driving was over four years. Accident statistics from the Department for Transport suggest that speeding and drink or drug-driving are fairly equally unacceptable in terms of harm caused. In 2011, an estimated 9,990 reported casualties—5% of all road casualties—occurred while the driver was over the legal alcohol limit. The provisional number estimated to have been killed in drink-drive accidents was 280. Exceeding the speed limit was reported as a contributory factor in 5% of all accidents, but these accidents involved 14% of fatalities. Drug impairment was reported as a contributory factor in 644 road casualties.

Generally, Great Britain has a very good road safety record, but we cannot afford to be, and will not be, complacent. Deaths and serious injuries on the roads are a terrible tragedy for those affected, as highlighted in the case mentioned by my hon. Friend the Member for Sherwood. It must of course be welcome that the general trend is for road fatalities and casualties to fall, but every such case is one too many for the victims and their families.

Compared with the period 2005-09, the number killed in 2011 was 32% lower, the number reported killed or seriously injured was 17% lower, and the number of children killed or seriously injured was 19% lower. However, the Government will not be complacent. We will monitor those numbers and do what we can to push them down and to make sure that convictions of those who offend are implemented.

The Government’s vision for road safety remains one in which Britain is a world leader; where local authorities are empowered to take informed decisions about road safety in their area, as my hon. Friend the Member for Rossendale and Darwen (Jake Berry) described in his area; where driver and rider training gives learners the skills they need to be safe on our roads, which is vital; and where tough measures are taken against the minority of offenders who deliberately choose to drive dangerously. They are the ones we need to get to, because they are the ones who are causing such distress, danger and injury.

In 2011, colleagues in the Department for Transport published a new strategic framework for road safety that focused on supporting road users who have weak driving skills, or who have displayed a lapse of judgment, to improve their driving through a greater range of educational courses to help deliver safer skills and attitudes, while focusing enforcement resources against those who deliberately decide to undertake antisocial and dangerous driving behaviours that cover all careless and dangerous driving offences. This is the Government’s twin approach to improving road safety. I hope that my hon. Friend the Member for Sherwood will be reassured by that. We are determined to make sure that those who drive dangerously are dealt with appropriately.

[Jake Berry]

I must admit that I have some experience of the speed awareness course. One of the incentives to get people to go on that course is that by not taking the penalty points, they will not increase the cost of their insurance premium. However, Admiral Insurance has recently asked people to disclose whether they have been on a speed awareness course, and that will potentially increase their premium. Does my hon. Friend share my fear that we will lose this vital driver re-education tool if people start to lose the insurance benefits?

[Mr Evennett]

I note what my hon. Friend says. I am looking at this in the context of educating people; the insurance situation is beyond my remit. However we manage to deal with it, the whole point is to educate more people to be considerate and better drivers. We should look at every aspect to improve the standard of driving so that we cut down on the incidence of injury and death on the roads.

[Mr Spencer]

Will the Minister talk to his colleagues in the Home Office to see whether people who are convicted of a driving offence while on holiday could conduct their road awareness training back in their own county to save them driving back to the location of the offence?

[Mr Evennett]

I will, of course, pass on that suggestion. We work closely with the Home Office and the Department for Transport; one of the many great things about this Government is that the Departments are working closely together. Our Department is working closely with colleagues in other Departments to make sure that the quality of life is improved for all our citizens, and this is one such example.

Since the publication of the strategic framework, the Government have continued to focus on empowering local decision makers, improving driver training and taking a more targeted approach to enforcement. Recent developments include the introduction of legislation on drug-driving to improve enforcement; the launch of a new speed limit circular to improve the flexibility of local authorities in setting the speed limits; and work with the insurance industry to develop policy opportunities to reduce risk in young drivers. That will, of course, include looking at insurance premiums and whether they can come down if people are good drivers and seeking to improve their driving skills. We are concerned to make sure that young drivers in particular have the skills and knowledge to be safe and good drivers. We are also creating a £15 million fund to improve safety for cyclists outside London by tackling dangerous junctions, alongside a £15 million fund for the same purpose in London.

Provisional figures show that Great Britain and the UK remain the leading performers in Europe on road safety. However, as I have said, every road accident that results in injury or fatality is a tragedy for the people concerned and the communities they live in. Our strategy will build on our solid foundations in order to improve our road safety performance even further and to ensure that sentences are appropriate to the offence, which is the issue that my hon. Friend the Member for Sherwood has highlighted. The sentence has to be appropriate for the road offence committed, and the Department is focused on doing our best to achieve just that.

I thank my hon. Friend for giving us this opportunity to debate sentencing for people convicted of road traffic offences, which is a very important subject for all our constituencies. I hope that I have set out the action being taken by the Government and I will pass on my hon. Friend’s comments and concerns to the Secretary of State and the relevant Minister. The Department will continue to monitor how to improve things for the benefit of every road user, whether they be a pedestrian, a cyclist or a driver, so that we can cut down on tragic fatalities and injuries and make sure that those who drive dangerously are punished accordingly.

Question put and agreed to.

Finance Bill

David Evennett Excerpts

Tuesday 3rd July 2012 Commons Chamber

[Catherine McKinnell]

We have—

[Mr David Evennett (Bexleyheath and Crayford) (Con)]

No answer.

[Catherine McKinnell]

No, we have clear plans: we would like to spend the bank payroll tax on creating youth jobs. I would have thought that Government Members would grasp that opportunity, given that short-term unemployment is up 112% and long-term unemployment is up 156%. I would have thought that Conservative Members would be shouting out for any solution to bring those figures down.

Or are Government Members happy to see another generation of young people thrown on to the scrap heap with no opportunities and no way out? The future jobs fund gave opportunities to young people. It was heralded by the Prime Minister as a good scheme and promises were made not to scrap it, but as soon as the Government took office it was put in the bin. And we have seen little put in its place: the work experience scheme, for which we waited a whole year, is producing very few results.

For that reason, we are proposing a solution. On a cautious estimate, we believe that this year the bank bonus tax could raise at least £2 billion, which the Government could use to create thousands of affordable homes and introduce a real jobs guarantee for long-term unemployed young people. As part of Labour’s five-point plan for jobs and growth, the real jobs guarantee would cost £600 million—a small price to pay for tackling the chronic youth unemployment about which Labour Members have spoken passionately this evening.

Under the real jobs guarantee, the Government would pay full wages directly to businesses—again something I would have thought Government Members would support—and support businesses taking on new members of staff. It would cover 25 hours of work at the minimum wage—£4,000 per job—and in return the employer would cover the training requirements and the young people would be required to take the jobs made available. It would be a genuine contract and a real jobs guarantee.

We cannot stand by and watch another generation of young people left to suffer the effects of this double-dip recession, which is why we propose this bank bonus tax as a real solution and why I urge hon. Members to vote for the new clause.

Question put, That the clause be a read a Second time.

Oral Answers to Questions

David Evennett Excerpts

Tuesday 26th June 2012 Commons Chamber

[Mr Hoban]

As I said, we are going to publish a consultation this summer and take action to ban these surcharges as soon as possible after that. We should be very clear not only that we are going to ban them, but that some firms have already responded to the action we are going to take, with a number of them reducing their charges on credit and debit card use. That shows that even without legislative action, consumers are getting a better deal as a consequence of our policy.

[Mr David Evennett (Bexleyheath and Crayford) (Con)]

This is a matter of very serious concern to our constituents. May I welcome the Minister’s commitment to tackling the payment surcharges and urge him to do whatever he can as soon as possible?

[Mr Hoban]

I am grateful for my hon. Friend’s welcome. I am working closely with the Under-Secretary of State for Business, Innovation and Skills, my hon. Friend the Member for North Norfolk (Norman Lamb), who is responsible for consumer affairs, to ensure that we act as quickly as possible to ban these surcharges and to deliver a better deal to consumers.

--- Later in debate ---

[Mr David Evennett (Bexleyheath and Crayford) (Con)]

T5. Does my right hon. Friend agree with the head of the IMF, who said that she shivers to think what would have happened to the British economy without this Government’s plans to reduce Labour’s deficit?

[Mr Osborne]

The managing director of the IMF put it in a very graphic way. She presented to the whole country the alternative that we faced in May 2010. If we had stuck with the Labour party’s incredible plans, we would be one of the countries seeking a bail-out, rather than, as we are now, a country that is a relatively safe haven in the very, very difficult European situation. [Interruption.] The shadow Chancellor will not move forward unless he concedes his role in getting Britain into this mess. Until he does that, he will remain a man of the past with no ideas for the future.

Business and the Economy

David Evennett Excerpts

Monday 14th May 2012 Commons Chamber

[Vince Cable]

No doubt there is uncertainty in Scotland because of the political situation there. I have been in Scotland supporting new inward investment. Scotland is participating in the substantial increase in investment that is taking place.

The policies required to sustain this growth of tradeable activities, such as manufacturing and creative industries, lie in aspects of economic policy that are not part of the Queen’s Speech, but they do provide the context to explain why the enterprise and regulatory reform Bill is at the heart of the forthcoming legislative programme.

[Mr David Evennett (Bexleyheath and Crayford) (Con)]

Does my right hon. Friend agree that to get growth we need successful businesses? Successful businesses need less red tape, regulation and bureaucracy, but also the Government’s apprenticeship scheme, which is making more well-trained young people available to meet the needs of those businesses.

[Vince Cable]

Yes, and this is one of the big success stories. I understand that since the Government came in, half a million apprentices have now been trained through this process, which is 63% growth in an area where we made a major commitment, even in the context of necessarily declining public expenditure.

My hon. Friend’s first point leads on to my comment on the reform Bill, which contains a wide-ranging package of measures to overhaul the competition framework to support dynamic markets, to scrap unnecessary bureaucracy that is holding back companies, and to boost business and consumer confidence.

--- Later in debate ---

[Mr Umunna]

I would say that their pay should be linked to performance against criteria and specified objectives. Our argument in relation to RBS is that the Government are the biggest shareholder. They have lectured others about the need for greater shareholder activism, but it would be good to see it from those on the Government Front Bench.

However, despite all the things I have welcomed, in sum, it is business as usual for this Government. This Queen’s Speech signals little change in approach. For the person looking for work, this Queen’s Speech offered no hope; for individuals, families and firms faced with increasing energy and water bills, and rising transport costs, it offered no hope; and for sound and successful small businesses struggling to get by in this recession of the Government’s making, it offered no hope. However, listening to the Business Secretary, one would think that the Queen’s Speech had been positively received. I do not know who he has been listening to, but this is what our business leaders have said about his Government’s Queen’s Speech. On Friday, Justin King, the CEO of Sainsbury’s and a member of the Prime Minister’s business advisory group, which is meeting as I speak, said:

“Consistency is what gives confidence. Unfortunately, what we have seen over the past couple of years is something that could not be described as a consistent pursuit of a clear policy”.

In other words, uncertainty—created by the Business Secretary’s Department and all across Whitehall—is reducing businesses’ confidence to invest for the long term. On Saturday, the director general of the British Chambers of Commerce said:

“there is a big black hole when it comes to aiding businesses to create enterprise, generate wealth and grow”.

Business people are clear: what they want is a Government who will step up and work in partnership with them to create the conditions for private sector growth. What they have got is a Government who step aside and leave business to struggle on alone.

What was the Government’s response to those comments by business people? Step forward the Foreign Secretary. Yesterday—in what the Business Secretary described as “commercial diplomacy”—he said:

“I think they should be getting on with the task of creating more of those jobs and more of those exports, rather than complaining about it. There’s only one growth strategy: work hard”.

What on earth does the Foreign Secretary think this country’s business owners do all day? His message is clear. He is saying that the fact the economy is not growing has nothing to do with the Government’s failed economic policies. He is saying that it is not growing because the people in all our businesses out there are not working hard enough. How out of touch can the Foreign Secretary be?

[Mr Evennett]

rose—

[Mr Umunna]

Perhaps the hon. Gentleman will tell me whether he thinks the businesses in his constituency are working hard enough.

[Mr Evennett]

Does not the shadow Minister feel guilty that, under the last Labour Government, of whom he was a big supporter, there was high taxation, a great deal of regulation and red tape and a lack of a trained work force? The Labour Government never helped small and medium-sized businesses; nor did they allow reward for success.

[Mr Umunna]

I say to the hon. Gentleman that I am proud to be a shadow Minister for a party that saw 1.1 million new businesses created during its time in government. I am proud to be the shadow Business Secretary for a party under whose Government Britain was rated the best place for doing business in Europe and fourth best in the world. I must also remind him that the UK has fallen from fourth to seventh place on his watch.

--- Later in debate ---

[Mr David Evennett (Bexleyheath and Crayford) (Con)]

I am pleased to be able to speak today in support of the Queen’s Speech, which continues this Government’s progress in their endeavours to deal with the real problems facing our country. We meet today to discuss a wide range of issues in difficult and dangerous economic times. I commend my right hon. Friend the Secretary of State for Business, Innovation and Skills for his approach, and I am pleased to follow the logic of my right hon. Friend the Member for Wokingham (Mr Redwood) and my hon. Friend the Member for Poole (Mr Syms). The right hon. Member for Birkenhead (Mr Field) made a powerful speech, but I believe he got it wrong.

We on the Government Benches have a strategy and proposals to deal with our economic situation. Of course we need dynamism, businesses and more jobs, and we need to get involved in markets across the world. However, I welcome the fact that this Queen’s Speech is not inundated with new Bills. Under the unlamented Labour Government, there was too much legislation, and mere legislation is not the answer. This programme has targeted legislation dealing with the real issues—for example, the enterprise Bill and the banking reform Bill, both of which are vital and helpful.

The Queen’s Speech must be viewed as a continuation from the Speech two years ago and the recent Budget. The previous speaker, the hon. Member for South Down (Ms Ritchie), was wrong. The Budget increased the income tax personal allowance to £8,105 from this April, benefiting 25 million people by up to £126 a year. That is a real achievement. Last month’s increase in the personal allowance will take 260,000 people, the lowest earners, out of income tax altogether, so the hon. Lady was quite wrong when she said that the Government were not doing anything for the majority in this country: they are.

In particular, at the heart of the Government’s approach is the determination to get our economy back on track, growing and creating new businesses, new jobs and new opportunities. As stated in the Speech, Ministers’ first priority is to reduce the deficit, restore economic stability and focus on economic growth. That is fundamental to any Government, and this Government are committed to doing so. The legislative programme is helpful in reducing burdens on business by repealing unnecessary legislation and limiting state inspection of business. These are welcome steps.

In addition, there are proposals to reform competition law and to promote enterprise and fair markets. I welcome the introduction of an independent adjudicator to ensure that supermarkets deal fairly and lawfully with suppliers. I strongly support measures to make parental leave more flexible so that both parents can share parenting responsibilities and balance the work and family commitment in today’s complex, challenging and demanding society. This must be a positive and welcome addition. Of course, growth, jobs, businesses, especially small businesses, are vital, but so is the families and children Bill, which will reform adoption procedures, improve and overhaul special education and give flexible parental leave, which I have already highlighted.

I strongly support the measures for small businesses. Without doubt, the economy is the main problem facing our country, and it has consequences for all of us. We are fortunate that we did not join the euro; otherwise, things would have been far worse.

[Bob Stewart (Beckenham) (Con)]

I have a small business in my constituency that is very profitable and has been so for 28 years. It requires some help from the bank but that is not forthcoming. The bank will not loan it any money and as a consequence it has had to sell one of its buildings. We must get that right. We must ensure that banks release equity so that our companies can get moving. I hope my hon. Friend agrees.

[Mr Evennett]

My hon. Friend is absolutely right. That is one of the key factors. We must ensure that businesses are lent money by the banks to ensure that they continue to flourish and be profitable. We must never forget that small businesses are the backbone of our economy; the backbone of our country. There are 4.5 million small and medium-sized firms, making up 99.9% of all enterprise in the UK. I welcome the comments of the hon. Member for Huddersfield (Mr Sheerman)—who, regrettably, is not in his place now—who was passionate about small businesses and their importance for the future. They are a vital element. Businesses create the wealth that allows the Government to fund all our vital public services. Therefore, we are all, on whichever side of the House, keen to encourage, enthuse and improve small businesses so that they can be profitable for the benefit of society as a whole. The most competitive nations have clear strategies to support business. They have lighter regulation, less interference, competitive tax regimes, banks that support them, or should support them, and employment laws that make it easy to hire people. Businesses need help from the Government, not hindrance or neglect. Opposition Members did not give a lot of help to small businesses when they were in power, and I will take no lectures from them on this today.

In two years, the Government have made real progress. Corporation tax has been cut and there have been more apprenticeships and financial assistance to support work-based learning. I am a huge supporter of apprenticeships and commend the work of the Minister for Further Education, Skills and Lifelong Learning, my hon. Friend the Member for South Holland and The Deepings (Mr Hayes). His enthusiasm and success are infectious, and we now have more apprentices than we have ever had in the recent past, and that is to be commended.

A red tape challenge campaign was launched by the Government to listen to businesses’ concerns about regulation. A national loan guarantee scheme has been introduced, so hopefully businesses can get access to the credit that they need to survive and grow. Business is important to this Government and to our society. Under the last Government, businesses were taxed more and regulated more, and they did not get the support that they needed. This Government are going forward positively to ensure that that they do.

The Queen’s Speech is essential. It is essential to get the economy growing and to take the right approach, tenor and leadership, and this Queen’s Speech will achieve that. The economy and business are fundamental to our society and the Queen’s Speech has at its centre the economic future of our country.

Budget Leak Inquiry

David Evennett Excerpts

Thursday 22nd March 2012 Commons Chamber

[Mr Speaker]

Order. May I remind the House that this is a narrowly focused urgent question seeking a leak inquiry? It is a matter of great importance, but it is on that matter that exchanges should be focused. This is not a rerun of the Budget debate, which will be continued, but is about the subject of the urgent question.

[Mr David Evennett (Bexleyheath and Crayford) (Con)]

Does my hon. Friend agree that there will obviously be wild speculation before any Budget, much of which turns out to be wrong, and that we do not need any lectures from Opposition Members, who leaked everything all the time when they were in government?

[Mr Gauke]

I do not think that we can draw a conclusion that there has been a decline in the standards of journalism just from the fact that in 2005 the predictions of what was in the Budget were more consistently accurate than in 2012.

Amendment of the Law

David Evennett Excerpts

Thursday 22nd March 2012 Commons Chamber

[Mr David Evennett (Bexleyheath and Crayford) (Con)]

I am grateful to have this opportunity to participate in the Budget debate, in order to highlight the financial and economic issues that are of concern to my constituents, and in particular to raise the topics of families, fairness and the future. I congratulate my right hon. Friend the Chancellor of the Exchequer on his Budget, which I believe is fair, innovative and effective. There are a lot of very good measures in it: tax cuts, help for business, increases in pensions and personal allowances, and investment in infrastructure. That is all good news for our country. For my constituents, the key concerns are the cost of living, keeping their jobs, taxation and dealing with the appalling economic mess left to us by the last, unlamented Labour Government.

This Budget goes a long way towards dealing with the issues facing the United Kingdom, and I believe it will be strongly supported across the country. It is good news for hard-working people on moderate and low incomes. It helps families and businesses, and, most importantly, it encourages aspiration.

Shortly, I shall address families, businesses and taxation, and how this Budget will assist and encourage our economic recovery. Before doing so, however, I want to state that the infrastructure plans announced in the Budget will create jobs and opportunities for businesses and enhance our economy. In particular, I welcome the Chancellor’s announcement of a possible new river crossing in east London. As my constituents and others travelling to and from south-east London know, the Blackwall tunnel is inadequate and congested and still prone to vehicles breaking down on the approach roads or in the tunnel.

[Damian Collins (Folkestone and Hythe) (Con)]

My hon. Friend makes a valid point about the east Thames crossing. That will also be of great benefit to my constituents in Kent.

[Mr Evennett]

I am grateful for my hon. Friend’s support. As the Mayor of London has said, a new crossing at Silvertown is essential. It will enable commuters and business traffic to get to their destinations quicker, and it will relieve the pressures on the Blackwell tunnel. In order to ensure the regeneration of south-east London, such public sector projects and investment are essential, and I welcome the Government’s commitment to look further into this crossing and to support other investment to improve our infrastructure.

I commend my right hon. Friend the Chancellor on his measures on taxation and families. Conservatives instinctively believe in lower taxation, not only because it allows people to keep more of their own money, but because they then have more choice in how their money is spent. Government do not always know best. They have a role to play, but people will spend their own money more effectively; it is not for Government to tell people what to do. Unlike the Labour party, which always believes in increasing taxation, we believe that people who have worked hard should have the opportunities to get on with their lives and careers, and to spend their money as they want. I therefore welcome the Chancellor’s aspiration to raise the personal tax allowance to £10,000 as soon as possible. That is good news for all working families on low incomes.

In government, Labour professed sympathy for working families on low incomes but did little to help them—in fact, Labour hindered. We did not hear anything in the shadow Chancellor’s speech about the failings of his Government. They allowed families to get worse off, and the increase in poverty was greater under Labour. This Government do not believe that people should be allowed to remain on benefits for ever because benefits are more attractive than working and earning. That is unacceptable. We are, therefore, grateful that we are changing the benefits regime and helping people with the tax regime, so that work does pay. That is fundamental.

Under this Government, great progress has been made in the past two years, with personal allowances going up by 25%. This year there is to be another rise and next year, in April 2013, there will be an additional rise in the personal allowance of £1,100. That is a real, positive advance for people on low incomes, allowing them to keep more of their money. I particularly welcome the fact that some 2 million people will no longer pay any income tax; they are on low incomes and they should not be paying income tax. It is the Conservative-led Government—a coalition Government—who are doing this, and I welcome the Business Secretary’s speech, which highlighted what the Government are doing and the logic behind it.

[Kate Green]

I note the hon. Gentleman’s welcome for families being lifted out of income tax. How does he react to the fact that 230,000 pensioners are being brought into the ambit of taxation for the first time by this Budget?

[Mr Evennett]

The whole aspect of what we are looking at is increasing pensions and helping pensioners. This Government have done a lot more than the Government whom the hon. Lady supported—they gave a miserable 75p increase in the pension a few years back. Our Government are putting up the pension this year by more than 5%, which is a record and an achievement for this Government. We will take no lectures from the hon. Lady, because her Government let pensioners down.

Nationally, a total of 24 million people will receive a tax cut thanks to this Budget. That is good news for individuals, for families and for the economy. This Conservative-led coalition is proceeding to help working people, and the Opposition do not give us credit. I was disappointed with the shadow Chancellor’s speech. I usually listen to him with great interest, but he did not allude to anything that Labour would do if it were in government or to Labour’s failures when it was in government.

The family is the backbone of our society, and the issue of child benefit is always difficult. Fairness remains the key, and the original changes proposed caused considerable difficulty. I am pleased that the Chancellor listened to our concerns, and those of constituents, that the proposed changes were not really acceptable. By amending the proposals and tapering the benefit from an annual income of £50,000, some 90% of families will continue to benefit from financial support during these difficult financial and economic times. This Government are listening and changing policies after representations have been made, and that is to the credit of the Chancellor and the Treasury team.

Red tape, bureaucracy and taxation all adversely affect businesses. I welcome the news that more is being done to support small businesses and manufacturing. The investment in apprenticeships, lower corporation tax and extra support for start-ups will make a real difference. In addition, we heard the innovative idea of a student-style loan for young people to allow them to start up their own businesses, and I welcome the fact that the Chancellor is examining it. It would allow 18 to 24-year-olds who are keen on a business career to be helped. We all know that university is not for everybody; people may not want to go there and may want to go into business instead. So we need to provide the same sort of help for young entrepreneurs, whom we desperately need in this country, to enable them to go forward to make their name and their fortune. I welcome the fact that the Government are willing to examine that.

My constituency contains a number of innovative manufacturers, such as Texcel Technology in Thames road, Crayford, which I visited last month. I was really impressed with the dynamism of its leadership and its focus on high-tech products. I recently nominated it for the Made by Britain project. The NEPTUNE project, for which the company has provided power and switching solutions, will help to develop our understanding of the ocean and of many biological, chemical, physical and geological events that take place. I am pleased that such a successful firm in my constituency has designed and manufactured such innovative components for this international project. People at the firm were looking to the Government for some action and will be delighted with what the Government have proposed in the Budget to enable small firms like theirs to prosper and develop.

I know that the firm is concerned about regulations, bureaucracy and, of course, tax, so it will welcome the parts of the Budget dealing with business. Business is vital to our society; it makes the money and creates the wealth that allows us to invest in education, hospitals, all the other public services, pensions and all the rest that we want to invest in. If we do not allow business to flourish, we cannot make that wealth and we cannot have the taxes that come with it. This Government are focusing on those issues, to make sure that we are getting the wealth creation and the taxes from innovative small firms such as the one I mentioned.

We need to consider the whole of this Budget, as it works together as a rounded Budget, looking to the future. That is the great thing about what we saw yesterday from the Chancellor and the team; the Budget is looking to the future to make Britain better. It seeks to make Britain great again, as that will not come from the Opposition, after their 13 years. We remember how they “ended” boom and bust, and we remember all the things they had—the result was a disaster and it left us with the mess to clear up.

In conclusion, the Chancellor has been effective in looking to policies to solve our economic and financial situation. The Budget demonstrates that this Government are firmly on the side of those who aspire to do the right thing for themselves, their families, their businesses and this country, and I strongly back it.

Banking (Responsibility and Reform)

David Evennett Excerpts

Tuesday 7th February 2012 Commons Chamber

[Sheila Gilmore (Edinburgh East) (Lab)]

There are some basic questions of fairness that people in Britain feel strongly about, and we have to reinstate that fairness. In 1979, the top pay at Barclays was only 14.5 times that of the average pay. It is now 75 times higher. Did people not want to work at the top of Barclays then? Did they not want to work hard for their bank? I think that they did. The problem is that the top levels of pay have accelerated to a level that no one considers fair. The suggestion that, if we do something about that, people will go elsewhere and that we will be unable to recruit seems strange. The hon. Member for Stourbridge (Margot James) spoke of a time when personal tax rates were higher, but people were still prepared to do those jobs here. We cannot go on accepting the mantra that they will go elsewhere—

[Mr David Evennett (Bexleyheath and Crayford) (Con)]

They left the country.

[Sheila Gilmore]

They did not go, and the banks did not collapse. They recruited chief executives and board members.

In fact, in 1979, the inequality gap, as measured by the Gini coefficient, was at its lowest in the entire post-war period. Does that matter? I suggest that it does. If I were an employee of Barclays, working as a teller or in a back-room job, my motivation to work hard would go down as I learned about the huge disparities in pay. This is not about jealousy, or about feeling that people should not be able to earn. If we want people to accept, as we have suggested, that we cannot increase public sector pay in the way that we want to, and if we are all in this together, it has to be fair. That is primarily what the motion is about. Those who do not support it will find that, rather than wanting to dig in and be “all in this together”, people will be dissatisfied and demoralised, and our businesses simply will not grow.