Economic Update

Debate between Earl of Clancarty and Lord Agnew of Oulton

Tuesday 12th January 2021 Lords Chamber

[Lord Agnew of Oulton (Con) [V]]

My Lords, the Government are acutely aware of the challenging circumstances aviation is facing. The sector is able to draw on the unprecedented package of measures announced by the Chancellor, including schemes to raise capital, flexibilities with tax bills and the furlough scheme. The Government have committed to consult on aviation tax reform and will provide an update on the timing of this in due course.

[The Earl of Clancarty (CB)]

My Lords, in answer to a question I asked last week in this House, I was told that the Government were looking at whether the guidance in the Culture Recovery Fund might be changed to enable freelancers to benefit directly, as many freelancers have so far received no support at all. Can the Minister say anything more about this?

[Lord Agnew of Oulton (Con) [V]]

My Lords, I do not have an update on the response that the noble Earl received last week, but we will of course notify the House as soon as any is issued.

Wales: Customs Sites

Debate between Earl of Clancarty and Lord Agnew of Oulton

Wednesday 25th November 2020 Lords Chamber

[Lord Agnew of Oulton (Con)]

I can reassure the noble Lord that we have been working on this solution for some time. There was an alternative proposal several months ago that most people were in favour of, which was RAF Mona, but unfortunately that was not acceptable to the local community. But, no, we have not just started work on this this week. In terms of the inland sites, to reassure the noble Lord, not every lorry has to go to them. About 2% of loads will be diverted for formal checks. So, although I accept that in the interim, before the enduring site is created on the island, there will be some inconvenience, it will be only for a very small number of loads.

[The Earl of Clancarty (CB)]

My Lords, following on from the question asked by the noble Lord, Lord Wigley, concerns were raised this month about the readiness of IT systems, including the Customs Declaration Service, in oral evidence to the EU Select Committee’s EU Goods Sub-Committee. Is it the case that key personnel for developing the CDS are still being recruited? Does the Minister agree that, the rest of the UK aside, the particular problems facing Wales will be compounded if IT systems are not ready on time?

[Lord Agnew of Oulton (Con)]

My Lords, the CDS is the system that is being rolled out specifically for Northern Ireland from 1 January, because that is the one that enables a dual-tariff mechanism. The development is well under way. We have one or two more upgrades to make to it, with the last one on 21 December. I am not going to pretend that that is not tight, but the development is moving at pace, and the most recent upgrade enabled the dual-tariff operating model to work. The CSPs—the community service providers that provide the link into the CDS for traders and hauliers—are working at pace. The main one, the Trader Support Service, is working at particular pace, and I am confident that the system will be connected by the due date.

Economy

Debate between Earl of Clancarty and Lord Agnew of Oulton

Monday 28th September 2020 Lords Chamber

[Lord Agnew of Oulton (Con)]

My Lords, I think that we have published our worst-case scenarios for a no-deal Brexit or leaving the European Union without a free trade agreement. Of course there are risks, but we remain optimistic that a deal will be done.

[The Earl of Clancarty (CB)]

My Lords, “viable” is a dangerous word if all that can be said to be truly viable financially in these unusual times is a prescribed number of businesses, including those making money out of Covid. How do the Government intend to further protect the self-employed—including those working in the creative industries, who will fall off the edge of the cliff at the end of October if the Self-Employment Income Support Scheme is not extended—because the job support scheme is clearly not nearly enough? That includes freelancers, who make up 70% of the workforce in the performing arts, which are so important to this country both culturally and financially in the longer term, as the noble Baroness, Lady Kramer, pointed out.

[Lord Agnew of Oulton (Con)]

I share the noble Earl’s concern about the creative sector. I am sure that he is aware of the support being given under the latest SEISS grant extension, which of course will be available to those who were previously in it. But I do accept that we face difficult times.

Economy: Update

Debate between Earl of Clancarty and Lord Agnew of Oulton

Tuesday 28th April 2020 Lords Chamber

[Lord Agnew of Oulton]

I thank my noble friend for his question and I will certainly take it back to the Treasury. It is worth remembering that the combination of the EIS, SEIS and VC schemes are pretty generous for investors, with the tax reliefs that they get. I suspect that, as an experienced investor, my noble friend Lord Flight will know that valuations will fall pretty dramatically for businesses looking for funding if they are early stage. Therefore, there will be a lot of opportunities for the entrepreneurial investor over the next few months. None the less, I will certainly take my noble friend’s suggestions back for further consideration.

[The Earl of Clancarty (CB)]

My Lords, the Chartered Institute of Personnel and Development says that the lack of support for limited companies in the self-employed income support schemes is

“not just a crack: it is a gaping hole in the package.”

It is accepted practice for freelancers to pay themselves through dividends, contrary to what the Minister says. This applies to a wide range of workers, from musicians to builders to cleaners, whose work is particularly important at present. Like the noble Baroness, Lady Kramer, I ask the Government to take another look at this.

[Lord Agnew of Oulton]

I thank the noble Earl for his point; we discussed this in a Question last week. I know that in the Chancellor’s response yesterday, he said that he had been in touch with some of the groups that the noble Earl mentioned—I think he mentioned the Musicians’ Union, and so on. I am not saying that to take income by dividend is wrong; as I said last week, a dividend is defined as a surplus of profit of a business after all its operating costs have been paid, and the tax is paid and retained profits kept for reinvestment. That is my point. But what has happened in the week between our conversation and today is that bounce-back loans are now available, and that is probably the route for those people whom the noble Earl is particularly worried about.

Covid-19: Self-employed

Debate between Earl of Clancarty and Lord Agnew of Oulton

Thursday 23rd April 2020 Lords Chamber

The Question was considered in a Virtual Proceeding via video call.

[The Minister of State, Cabinet Office and the Treasury (Lord Agnew of Oulton) (Con)]

My Lords, the Government have taken a number of steps to support the self-employed at this difficult time. On 26 March, the Chancellor announced the self-employed income support scheme, which will provide eligible individuals with a grant worth 80% of their normal profits for three months. The Chancellor has also announced several other policies that might benefit the self-employed. These include the coronavirus business interruption loan scheme, mortgage holidays and an income tax deferral.

[The Earl of Clancarty (CB)]

My Lords, this is necessary support but there remain concerns about fairness and people falling through the cracks. Will the Government look again at the £50,000 cap—a distinct unfairness compared with the JRS? Will they review the income threshold, which at 50% excludes many for whom a mixed portfolio is the norm? Can graduates and those who have been on maternity or sick leave have unrepresentative years discounted? Does the Minister agree that, from construction workers to music teachers, those paid through dividends should not be penalised for adopting a standard accounting system actively encouraged by Conservative Governments?

[Lord Agnew of Oulton]

My Lords, delivering a scheme for the self-employed is a difficult operational challenge, particularly in the rapid timescale required. The Government’s priority is to get support to those who need it as quickly as possible, in the fairest way. The design of the scheme, including the £50,000 threshold, means that it is targeted at those who need it most, and who are most reliant on their self-employment income. Some 95% of those who are mostly self-employed will benefit; those who do not meet the eligibility criteria for the SEISS may have access to a range of other support, including the more generous universal credit and deferral of tax schemes. I hope to address the dividend points in answer to a separate question.

European Union (Withdrawal Agreement) Bill

Debate between Earl of Clancarty and Lord Agnew of Oulton

Committee: 3rd sitting (Hansard continued) & Committee stage & Committee: 3rd sitting (Hansard continued): House of Lords
Thursday 16th January 2020 Lords Chamber

[Lord Agnew of Oulton]

I can answer that. The point is that nearly every Peer who joined the debate on this amendment was mourning the leaving of Europe. Many of them just said, “We are very sad to be leaving the EU”, but we have got to get beyond that. In two weeks’ time, we are going to be an outward-facing country looking to the rest of the world. The reason that I mentioned Chevening—I put it into the speech, not officials—is because I had direct experience of it recently. I was sent to the OECD conference on education in Argentina about 18 months’ ago. I met the Education Minister, and it is those sorts of contacts which will help the future of this country. I accept that Chevening is a master’s degree programme and that it is for high-potential future leaders, but it is about the connection between institutions in our country and other countries.

[The Earl of Clancarty]

The point I made in my speech was that Erasmus does not preclude these arrangements. My nephew was at Swansea University, which had an exchange with Arizona that had nothing to do with Erasmus. Losing Erasmus means that students would lose choices overall; that is the point.

[Lord Agnew of Oulton]

The reassurance that I can give the noble Earl is that we support the value of Erasmus. We are not signalling that we are going to come out of the next version of it, but we cannot offer a blank cheque on a scheme that has yet to be agreed. It will be part of the far wider withdrawal agreements that we foster with the EU over the next 12 months.

Education: Music A-level

Debate between Earl of Clancarty and Lord Agnew of Oulton

Monday 24th June 2019 Lords Chamber

[Lord Agnew of Oulton]

My Lords, I do not have the specific number of music teachers in the system but I know that the vacancy rate is only 0.5%, so I do not see that as a crisis. We have seen pressure on some schools crowding out subjects—for example, in key stage 2 by elongating key stage 4—but the new framework for Ofsted inspections starting from September will put more emphasis on a broad and balanced curriculum, of which music is a part.

[The Earl of Clancarty (CB)]

My Lords, will the Minister accept that now the Russell group has now dropped its list of facilitating subjects, there is no justification for the Government to continue with the EBacc either?

[Lord Agnew of Oulton]

My Lords, it is correct that some universities have withdrawn the list of facilitating subjects, but they have replaced it with a website which gives children pointers to the sorts of subjects they need to study if they are to go on and do challenging degrees; for example, if you want to read medicine, you cannot do that by dropping science subjects at either GCSE or A-level.

Education: Art and Design

Debate between Earl of Clancarty and Lord Agnew of Oulton

Thursday 17th January 2019 Lords Chamber

[The Earl of Clancarty]

To ask Her Majesty’s Government what steps they are taking to encourage the teaching of art and design in schools.

[The Parliamentary Under-Secretary of State, Department for Education (Lord Agnew of Oulton) (Con)]

My Lords, the Government want children to be taught a broad and balanced curriculum up to the age of 14. During this time, children should be exploring the widest possible range of subjects, including art and design. Ofsted is currently reviewing its inspection arrangements and launched a consultation yesterday on proposals for a new inspection framework. These proposals will place a strong emphasis on schools providing a broad and balanced curriculum for all their pupils.

[The Earl of Clancarty (CB)]

My Lords, from the decline in arts teaching in primary schools, as described in a new Fabian Society report, to the EBacc’s exclusion of the arts, students are increasingly not receiving the balanced education that they deserve and is necessary for the future of our creative industries. Art and design is under the additional pressure of not attracting ITE bursaries, unlike other subjects which exceed their trainee targets. Will the Government address that unfairness?

[Lord Agnew of Oulton]

My Lords, we clearly need to prioritise our bursaries budget so that we can incentivise applications in subjects where it is hardest to attract applicants. The vacancy rate, though, for art and design teachers as a percentage of teachers in post is lower than for music; indeed, over the last two years we have seen an increase in the number of applicants for both art and design and drama.

Education: GCSE Music

Debate between Earl of Clancarty and Lord Agnew of Oulton

Wednesday 17th October 2018 Lords Chamber

[Lord Agnew of Oulton]

My Lords, the vacancy rate for music teachers in schools is currently 0.6%, so I do not believe that there is a crisis. I am glad that the noble Lord raised music education hubs, which are supporting more than 650,000 children learning to play an instrument. More than 340,000 pupils took part regularly in area-based ensembles and choirs, of which more than 8% were eligible for pupil premium. Music is an important part of our system and the Government are supporting it.

[The Earl of Clancarty (CB)]

My Lords, despite what the Minister is saying and the replies he is giving, it is now very clear from a huge amount of evidence that the EBacc is harming not just music but all the arts, and design as well. Do the Government not think it time, if we are to retain some form of baccalaureate, to look at other models such as the Edge Foundation to enable the rounded and forward-looking education the Government say they believe in?

[Lord Agnew of Oulton]

My Lords, the EBacc was designed to get a good general education to as large a part of the population as possible, in particular those from disadvantaged areas. We all know that the cultural capital from those areas is much less than in people coming from the backgrounds of most in this Chamber. That is why we did it. There is room in the key stage 4 curriculum to add music if that is what schools decide to do. The average number of EBacc exams is seven—eight if you go to triple maths, but seven would be standard—and that leaves one slot for music if that is what a child decides to do.

Schools: Music

Debate between Earl of Clancarty and Lord Agnew of Oulton

Wednesday 7th March 2018 Lords Chamber

[The Earl of Clancarty]

To ask Her Majesty’s Government whether they will take steps to improve opportunities for the study of music in schools.

[The Parliamentary Under-Secretary of State, Department for Education (Lord Agnew of Oulton) (Con)]

My Lords, the Government believe that all pupils should have access to an excellent, well-rounded education. Music is an integral part of a pupil’s education and a compulsory subject in the national curriculum at key stages 1 to 3. Between 2016 and 2020, we will provide £300 million of funding for music education hubs to ensure that all pupils have the opportunity to learn an instrument, sing and perform regularly and have access to clear routes of progression.

[The Earl of Clancarty (CB)]

My Lords, the Minister will know that, in the last year alone, take-up of GCSE music in England fell by 8%. Is he aware that the University of Sussex survey of 6,500 schools found that teachers, who should certainly know, held the EBacc primarily responsible for this decline—a view supported by a recent Education Policy Institute report? Will the Minister agree to meet to discuss these concerns with myself, other interested Peers and Bacc for the Future, whose members include many organisations who are worried about the increasing marginalisation of music in our schools?

[Lord Agnew of Oulton]

To reassure the noble Earl, Lord Clancarty, I will be happy to meet with him and colleagues from this Chamber to discuss the matter further. However, there is no evidence that arts subjects have declined as a result of the introduction of the EBacc. Indeed, the proportion of time spent studying music has remained broadly stable since 2010. Since the EBacc was announced, the proportion of pupils in state-funded schools taking at least one arts subject has also remained stable. I have a very strong personal commitment to music. My own father was cured of a debilitating stammer through learning to sing and so breathe properly. I am doing everything I can to encourage music in the system.

Teacher Education: Arts, Crafts and Design

Debate between Earl of Clancarty and Lord Agnew of Oulton

Tuesday 28th November 2017 Lords Chamber

[The Earl of Clancarty]

To ask Her Majesty’s Government what steps they are taking to improve initial teacher education in order to ensure a high standard of teaching of art, craft and design subjects in schools.

[The Parliamentary Under-Secretary of State, Department for Education (Lord Agnew of Oulton) (Con)]

My Lords, at their most recent Ofsted inspection, 100% of initial teacher training providers were judged to be either good or outstanding. We have worked with a sector-led group chaired by Stephen Munday to develop a new framework of core initial teacher training content which was published last year. It is enabling providers as well as trainees to have a better understanding of the essential elements of good ITT content, including in the arts.

[The Earl of Clancarty (CB)]

My Lords, does the Minister agree that high-quality teaching of art and design subjects in schools is essential, not least for driving future innovation, an ambition of the industrial strategy? Has he looked at the recent Oxford Brookes University research, which bears out the increasing concern that for these subjects the PGCE route, which is contracting, is significantly preferable to School Direct, not just because of the subject-specific training but for the wider context of networking and access to community-based practice? Will the Government address these concerns?

[Lord Agnew of Oulton]

My Lords, I agree with the noble Earl that a broad and balanced curriculum is an essential part of a child’s education. I am afraid that I have not seen the Oxford Brookes report but I reassure him that many schools buy-in the PGCE qualification to run alongside their own School Direct programme to enable students to benefit from this in addition to the practical emphasis of the school-based approach.