(5 years ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
I find myself in the unusual situation of agreeing with most of the hon. Member for Harrow East (Bob Blackman)’s contribution. It is a most uncomfortable experience.
I am sure it will not last beyond today.
On behalf of the Gujarati community that I am proud to represent, I wanted to add to the list of requests made of the Minister. The first is about flight links to Gujarat. There is a direct flight from Heathrow to Gujarat, but given the scale of the travel needs of Gujaratis in the UK—as I understand it, we are the third largest home for the Gujarati diaspora worldwide—anything that the UK Government could do, perhaps on the back of discussions about the third runway, to encourage more direct flights to Gujarat would be extremely helpful to many of my constituents.
Turning to the issue of visas, many of my constituents still experience difficulties helping their relatives who want to visit, particularly at Diwali. Perhaps the consulate in Ahmedabad could offer advice sessions to the family members of our Gujarati community about what they need to do to have a decent chance of their applications being processed. The last figures I saw suggested that over 60,000 applications for visas from India were being turned down, and given the size of the Gujarati community, I suspect that many of those—the vast bulk of them— are from people hoping to come from Gujarat to visit relatives here.
The hon. Member for Harrow East mentioned the teaching of Gujarati. It is time that we considered providing some funding, through Government or lottery sources, to support the many Saturday schools that are key for those children who take Gujarati at GCSE and, crucially, A-level; relatively speaking, A-level Gujarati has a very small number of applicants. Many of the mandirs that the hon. Gentleman mentioned facilitate those Saturday schools at considerable expense, but other community organisations often have to provide the teaching, and in these hard times, it is increasingly expensive to provide that teaching and book the facilities for it.
The last of my main asks is this: I do not understand why there are not more trade missions to Gujarat, to take advantage of our substantial business links with it. Gujarat is the economic powerhouse of India, and we should not be frightened of turning to the talents of British Gujaratis to unlock further business opportunities for our country in Gujarat.
I was disappointed at the Government’s unwillingness to support the campaign for Diwali, and indeed Eid, to be recognised as a national holiday. If the Government are not willing to reconsider their opposition to making those days public holidays, they should, at the very least, have conversations with business organisations to encourage businesses to be sympathetic to requests for time off on those days. Those are the most important spiritual days for the Gujarati community, so that would be extremely helpful. As the Minister may know, the Jains and Zoroastrians who form part of the Gujarati community in the UK do not get proper recognition on the census. Both have been running campaigns to get those faiths on to the 2021 census, so that their religion can be properly respected, and it would be good if the Minister would use his influence to unlock a more common- sense response from the Office for National Statistics.
I view the Gujaratis in my community through the businesses and services that they provide, beginning with the garage directly opposite my office, which is run by the Halai family, who came over from east Africa but had a home in the Kutch area of Gujarat. They have provided jobs to people in my constituency and provide a much-appreciated service through their garage. They are active in the Shree Kutch Leva Patel Community, which does so much in north-west London; I wish its premises were based in my constituency, but sadly, they are in Northolt. The SKLPC has secured planning permission for a fantastic new India Gardens project, and I wish its trustees well in turning their vision into a reality.
Also linked to SKLPC are the Vekaria family, who run the Vascroft business—contractors that build temples, hotels and many other things. They employ huge numbers of people and are well known in the building community. That business was set up by two brothers from east Africa, but again with huge links to Gujarat, in January 1977. It is a family business still; it has great values, and it is based in Park Royal. All us Members from north-west London have constituents who work for Vascroft.
There is also Sandip Ruparelia, who has links to the International Siddhashram Shakti Centre in Harrow—which, I suppose, is my home temple in my constituency—and to the ISKCON Foundation at Bhaktivedanta Manor. His family, too, was originally based in Tanzania, but had strong links to Gujarat. He arrived in the UK in March 1980, and now runs a huge business, providing banqueting facilities among other things. Perhaps crucially, in the context of the debate about the future of our public services that we will have over the course of the next six weeks, he also runs an important care home service, providing much-valued services to the elderly in my constituency and beyond. He employs 2,500 staff and generates substantial tax revenues for our economy. He is another example of a member of the Gujarati community who recognises his responsibilities to the country in which he lives, but has also kept his links to Gujarat and is hugely proud of them.
The Dhamecha family are part of the Lohana community. Again, they have strong links to Gujarat and have helped the Lohana community in the UK, which is part of the Gujarati diaspora, to set up two centres, both of which, I am pleased to say, are in my constituency. That is much appreciated. Pradip Dhamecha and his family run a huge cash and carry business, which generates substantial tax revenues for the UK economy.
The Solanki family are a north-west London Gujarati family who originally came from east Africa. The father, Mr Solanki, came over in 1964. They run the Asian Media Group. The business is now run by the second generation, with a third generation of Gujaratis actively involved in taking that successful media business forward. All the individuals I have referenced are fiercely proud of their Hindu faith and have links to many of the mandirs, be they part of the Swaminarayan family or other temples in the area.
I also acknowledge the contribution of Gujarati Muslims in my constituency. The superb Dr Merali, a local GP and entrepreneur, is a trustee of the Mahfil Ali mosque in north Harrow. He provides hugely important public services as a GP and through his work with nurseries. He is also engaged with a series of other fundraising projects to support those in need in the UK and back home in Gujarat.
I am privileged to host the headquarters of the Zoroastrian community in the UK in Rayners Lane in my constituency. It is hugely proud of its links to Gujarat, and the fact that the first MP from an ethnic minority background was a Gujarati Parsi. Again, we should acknowledge the huge contribution that the Zoroastrians have made, as part of the Gujarati community, to life in the UK.
All those Gujaratis, in different ways, support my seven reasonable asks of the Government, which I hope the Minister will take seriously in his response.
(5 years, 8 months ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
I thank my hon. Friend for his intervention. There is that concern. All the Catholic sixth-form colleges are producing an excellent education, with a good flow of young people going on to university and being given the opportunity to excel. Virtually every young person who goes through St Dominic’s goes on to good universities with good courses, particularly in maths and science. We should be encouraging that and ensuring that it happens.
At the same time, we have the challenge of what we could call the learning tax. Catholic sixth-form colleges are not able to academise and therefore cannot claim the VAT back. That gives any college a real challenge. Catholic sixth-form colleges should be able to academise. We should also remove any restrictions on the faith of the leadership of the college. Such colleges should be able to ensure that Catholics are the senior management and senior staff. We should have a position where the intake is in line with legislation, namely that a proportion of the students coming into the college can be selected. They do not have to be exclusively Catholic, but there should be a Catholic flavour to the colleges.
Equally, there is a challenge in what we do to expand such colleges, which are extremely popular and very successful. It is fair to say that the teachers in those colleges are experienced, highly professional and doing a good job, yet they do not get the pay rises they would get if they were working in a college down the road. That is clearly unfair. We have to remove the restriction whereby these colleges are not getting the pay grant that other colleges get. That is unfair discrimination.
Unusually, the hon. Gentleman is making a very good speech, but will he join me in urging the Minister to commit today to the next teachers’ pay award for post-16 institutions being fully funded, regardless of status? That would certainly give substantial reassurance to the principal of St Dominic’s Sixth Form College, as well as other Catholic sixth-form colleges.
I thank my neighbour for congratulating me on my speech. I look forward to him congratulating me on many occasions on my speeches in this place and in the main Chamber. He makes an important point. We are going into the comprehensive spending review, where there is an opportunity for the Government to make some changes. I am not sure whether we need a change in the law to ensure that Catholic sixth-form colleges receive the pay award that other colleges receive. If that change is needed, we should get on and do it. Given that the Government seem to find time to adjust the law when they wish, it may be that that would be relatively easy to do. I do not think there would be any disagreement across the House on the need for the measure.
If we could reach a point where Catholic sixth-form colleges could academise, get the benefits of academy status and reclaim VAT costs, that would be an enormous boost to their revenue funding. Equally, if we could remove any measures that prevent senior staff from holding a particular faith, that would remove the challenge that many such colleges face.
The hon. Member for Harrow West raised the issue of capital funding. Why would a bank lend to a college if its revenue funding was already challenged and it might not be able to repay the loan? That is one of the key challenges in raising capital. There needs to be a fund available to Catholic sixth-form colleges from which they can draw in order to provide capital provision within the system. All Catholic sixth-form colleges suffer the same challenge of how to expand and get more revenue funding. If they do not have the capital, they are clearly not able to expand. Their revenue base is a particular challenge.
In terms of the money for 2019-20, if the teachers’ pay award was extended to Catholic sixth-form colleges, it would cost only £2.5 million—a relatively small amount compared with the overall budget—but it would make a huge difference to the colleges that need to pay it. As my neighbour, the hon. Member for Harrow West, has mentioned, if we could get to a position whereby Catholic sixth-form colleges were allowed to academise or possibly join multi-academy trusts, it would assist them to some degree. At a time when the majority of young people in this country are taught in academies, it seems unfair that Catholic sixth-form colleges are discriminated against and do not have the capacity to opt in. If they were an 11-to-18 school, they could academise, but because they have chosen to be a sixth-form Catholic college, they cannot. That does not make sense in this day and age.
We have T-levels coming on stream. It seems ridiculous that sixth-form colleges are dropping STEM courses when we are trying to develop T-levels. They will be properly on stream by 2023, but we need action now.
Will the Minister look at the case that has been put forward? If we need a change in the law, so be it. We could change the law relatively easily with all-party support, and I believe it would pass the Commons and Lords very quickly. We could equalise the situation for the benefit of the young people we all serve.
(5 years, 11 months ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
I beg to move,
That this House has considered the future funding of Harrow council.
I have lived in Harrow all my life and I feel immensely proud of my community. Although I have disagreed a number of times with decisions Harrow Council has taken, I have always been grateful for the hugely important job that it and its staff do for my constituents and the wider borough. Harrow Council should be better funded, and I look to the Minister and his Department to begin to make a significant difference in that regard.
The council faces a number of distinctive challenges in the delivery of public services, which the lack of central Government funding is exacerbating. Harrow is the second most religiously diverse and the fourth most ethnically diverse borough nationally, with 61% from a black and minority ethnic background. Some 157 different languages are spoken in Harrow schools, and 28.5% of residents do not have English as their first language. That is significantly higher than the London average of 20% and the national average of 8%.
The number of Harrow residents aged over 85 is predicted to increase by more than 60% by 2029, and 15% are already aged over 65, compared with the London-wide average of 12.5%. We have the fourth largest EU population in London—it is estimated that around 50,000 EU nationals are resident in the borough. Low wages and in-work poverty are particular problems in Harrow. Wages paid in Harrow workplaces average £575 per week for full-time workers compared with the London-wide average of some £692.
Those challenges mean there is huge pressure on Harrow Council to deliver effective public services. Earlier this month, the council published its draft budget for next year, which spells out both the important work the council is doing and the dire situation it has been put in by Government cuts. After seven years of constant cutbacks, Harrow Council has had to find a further £17 million for the upcoming financial year. Harrow will have seen its main source of central Government funding—revenue support grant—fall by some 97% by 2019-20. It is estimated that over the four-year period from 2015-16 to 2018-19 the council needed to fund an £83 million budget gap to achieve balanced budgets. If we extend that period, it is estimated that by 2020-21 the council will have had to find £125 million to balance its budgets.
In addition to the cuts in revenue support grant, further money has been required to fund growth as a result of demand pressures, including rising homelessness, increased special needs placements and rising social care costs. Moneys have also been needed to fund the impact of inflation, capital financing costs and other reductions in specific grants, such as those to support schools. Under the new methodology for calculating revenue support grant, Harrow was the sixth hardest hit of the London boroughs in 2015-16 and 2016-17, losing some £10 million annually.
Harrow Council is one of the lowest funded councils in London. In 2015-16, its revenue spending power per head was £159, 17% lower than the London average, ranking it 26th out of the 32 London boroughs. A similar comparison with the England average shows Harrow’s revenue spending power per head was £127, 14% below the average, ranking it 105th out of 120 local authorities. Quite how the Prime Minister can claim that austerity is over is beyond me. In Harrow, as nationally, it feels unrelenting—frankly, it is getting worse.
In July, Harrow began the full transition to universal credit. More than 17,000 residents are expected to be on it by the time the transition is completed. Our housing market is under intense pressure—for many, rents are very difficult to afford—and in some parts of the borough 40% of children live in poverty. As in other parts of the country, demand for adult social care outstrips savings, as councils are asked to provide ever more with ever-diminishing resources.
Other public services in the borough with a significant interface with the council are also under severe pressure. Harrow is having to cope with a significant increase in violent crime at a time when police numbers are set to decrease further and funding for youth services has been cut by more than 75% in cash terms since 2010. The clinical commissioning group faces a deficit of approximately £50 million and has already cut popular healthcare services such as the Alexandra Avenue walk-in service in my constituency. With the highest proportion of over-85s in London, the absence of a local NHS service that might absorb with less fight some of the financial pressures arising from having proportionately more vulnerable older adults exacerbates the pressure on the council.
Schools, too, face ever-increasing financial pressures, making it harder for them to accommodate as many requests to help children with special needs as they might want to. As I mentioned, Harrow is having to cope with a significant increase in violent crime. We have already lost just short of 200 police officers, and the fear is that we will have to lose even more.
I thank the hon. Gentleman, who is my constituency neighbour, for giving way. He is painting a bleak picture of the funding position. May I put two points to him? First, if the council were more business friendly and encouraged businesses to invest in Harrow, more business rates would come in. Business rates income in Harrow has been declining for many years, and it is forecast to reduce further.
Secondly, I believe I am correct in saying that at the moment the budget is balanced for next year, but the forecasts for future years are very challenging indeed. Has the hon. Gentleman seen any documentation from Harrow Council that sets out that dire picture? That may lead to a lobbying strategy in which he and I go to see Ministers together, with the aim of securing more money not just for the council but for specific issues such as those he describes—it may lead to our supporting each other to get more money for the services that all our residents depend on.
I say gently to my neighbour that I will come on to Harrow’s excellent reputation among businesses and the recognition it has received for its performance in that area. The figures I quote are figures that I sought from the council—I am sure it would be willing to provide him with them were he to approach it. There is one specific issue on which the Minister would be able to assist if he wanted to, and I intend to come to that in due course.
Harrow has always been a prudent borough. Despite its challenges, the council has not overspent for 11 years. Its leadership and supporting councillors have been determined to shield frontline services from the axe as far as they can, but the cuts are now so deep that the council is unable to balance the books without reducing those vital services to the bare bones. Local residents are understandably concerned about the impact of funding cuts on the council’s ability to keep the streets clean and to help to deal with antisocial behaviour, among other things. By continuing to make cuts of such scale, the Government are leaving councils such as Harrow in an impossible situation and leaving our most vulnerable people at risk.
To be fair, the council has already made large efficiency savings and taken great strides to increase revenue. It has led the way in digitalising many services—87% of customer transactions are carried out online, leaving extra resources to look at the most complex and difficult cases. Council tax has been increased year on year—sadly, it is now the third highest in London, but the collection rate is above 97%. The council has commercialised services and looked at innovative ways to supply residents with additional quality services that generate new income while not endangering existing businesses and the private sector. From offering services such as training, a cookery school and gardening services to MOT testing and dealing with food and trade waste, the council has been very innovative. It has also marketed itself successfully for major film locations and for commercial events in our parks. It is a leader in shared services and is working with a number of councils to make significant efficiencies for frontline and back office services together.
As I indicated, Harrow is blessed with very dedicated and hardworking staff; in 2017, its children’s services attained a “good” rating from Ofsted, putting Harrow in the top 25% of councils across the country for performance in that fundamental service—a remarkable achievement in the circumstances. However, the council cannot be expected to deliver first-rate services with a third-rate budget level of funding, and local people know that.
Cuts are already having a big impact. Harrow has closed four libraries and significantly scaled back its work in public health. Drug, alcohol and smoking cessation services have been reduced, and all discretionary grants to the charity sector have been ended. The council has also been forced to reduce taxi card provision for the disabled to the lowest level in London. There has been a significant reduction in the number of children and families that the borough’s children’s centres are able to support. Lack of funding is holding back any ability the council might have to respond appropriately to other identified local needs, such as meeting the needs of young people.
The Young Harrow Foundation, in partnership with the council, conducted a survey of school-aged children between 10 and 19, which received an astonishing 4,500 responses. The results are very worrying. Mental health and violent crime were serious concerns for Harrow’s young people; 10% said they have suicidal thoughts and 15% said they need support relating to self-harm. We all know that lives are blighted when vulnerable members of society cannot access the help they need, and when people are unable to achieve their potential, everyone loses out.
In response to some of the acute issues facing councils, the Government have offered occasional one-off payments to, at best, paper over the cracks. For important services, that means councils are unsure of whether they will have the funding for key provision, and residents do not know whether vital services will continue to exist, from one year to the next. In short, it leaves local authorities unable to make long-term spending commitments to deliver some of the preventative work that would really benefit residents.
Harrow has had success in bidding for some such external funding to tackle some of those challenges. It secured £500,000-worth of investment from the Home Office to help fund early intervention services for young people at risk of joining gangs and becoming involved in youth violence. It also secured £760,000 to help support economic growth locally and was recently granted some £32 million by City Hall to build just over 600 new council homes. While this type of funding is of course welcome, these too are one-off payments for specific activities, offering no guarantees of continued funding, and the council may find itself having to cancel successful programmes if funding is not renewed. I gently suggest that that is not a grown-up, sensible way of funding local government.
The hon. Gentleman points out, rightly, that the budget in Harrow is balanced this year by one-off payments, I believe, as opposed to long-term arrangements. That is one of the things leading to future problems. Can he also answer this? Harrow is one of a very small minority of councils across the whole of England that failed to sign up for the multi-year settlement, which, although it is not always easy, gives certainty about funding over a number of years. Where councils have done that, they have known and been able to forecast what their income level will be. Harrow refused to do so, and has never answered my question why it refused. That brings the uncertainty of not knowing how much money will come in each year.
With all due respect to the hon. Gentleman, he will recognise that even councils that have signed up to the arrangement with the Government that he describes have still faced significant additional pressures from all sorts of sources, be it social care or homelessness, as I have already outlined, exacerbating the difficulties in setting sensible long-term budgets that meet needs. It would certainly be extremely welcome to hear him putting pressure on his ministerial colleagues to allocate additional funding for the London Borough of Harrow.
Despite the difficulties I have set out, the council has continued to play its part in trying to foster economic growth, supporting the regional and sub-regional objectives for business, employment and skills set out by the West London Economic Prosperity Board. The investment pot of £1.1 million from business rates retention is going into supporting businesses in accessing online services. Furthermore, Harrow Council is supporting that by investing £480,000 to try to help to develop the skills of low-paid, low-skilled and self-employed residents in the borough. Indeed, the council has been recognised for its work in this area, winning the Best Small Business Friendly Borough award. The council is also building new housing, making use of the new homes bonus, and has set out a major regeneration programme to maximise use of council-owned sites to support sustainable housing growth, as a result of which it will get some additional income from council tax.
I recognise that Harrow Council is not alone in facing challenges of the scale that I have set out. Surrey, Torbay, Lancashire and many other councils are already in serious financial problems. Commissioners were called in to Northamptonshire council after it ran out of money. Other councils are privately warning of similar difficulties soon. Many councils are having to prop up their budgets with funding from reserves, something that Harrow has not been able to do. I gently ask how many more signs the Government need before they wake up to the crisis in local government.
One area where the Minister could help immediately is financial assistance to help the council to cover the cost of subsidence arising from the sinkhole discovered under Pinner Wood School, which has cost the council some £5.2 million and has obviously exacerbated its already very difficult financial position. We urgently need fairer funding for local government. It is not good enough for the Government to preside over the managed decline of local services. I know that in Harrow and elsewhere councils are doing some great work, but on a shoestring, and the time has come for the Government to reverse the cuts and give councils, particularly my council, Harrow, the proper levels of investment they need.