Tackling Fraud and Preventing Government Waste

Lindsay Hoyle Excerpts

Tuesday 1st February 2022 Commons Chamber

[Dame Meg Hillier]

On a point of order, Mr Speaker, I am reluctant to make a point of order in a debate, but it is important to reflect on what the Paymaster General has just said and he may wish to correct the impression that he gave. Those loans are 10-year loans, so it cannot be the case that 80% of them have been repaid at this point. He may want to look again at his notes and perhaps correct the impression he gave.

[Mr Speaker]

I think that is more a point of clarification than a point of order, but it is now on the record.

[Michael Ellis]

It is not worth answering that point, Mr Speaker.

As I said, we have given the Insolvency Service and Companies House new powers to prevent rogue company directors from escaping liability for their bounce back loans. So far, that has been used in respect of almost 62,000 companies holding loans worth £2.1 billion. We are giving the Insolvency Service new powers to disqualify rogue company directors and we have already introduced regulations that allow for greater scrutiny of pre-pack administrations.

Crucially, newspaper reports that the Treasury has written off £4.3 billion in fraudulent covid support payments are simply not true. The £4.3 billion is not a figure produced or recognised by HMRC. As the Chancellor of the Exchequer has said, we are not—I repeat, not—ignoring money relating to fraud in our covid support measures and we are definitely not writing it off. We were and remain determined to crack down on fraud wherever it arises. That is why, for instance, we invested more than £100 million in a taxpayer protection taskforce. At the March Budget last year, we created a taskforce of more than 1,200 HMRC staff to combat fraud in our coronavirus loan schemes. To hear the Opposition, they would deny the existence of those 1,200 staff, who are busy working away to combat fraud. The taskforce is expected to recover up to £1 billion from fraudulent or incorrect payments.

[Richard Fuller]

Can my hon. Friend take us back to the points that Lord Agnew made and clarify whether I have it correct? In putting out much-needed money, the Government relied on intermediaries, and therefore much of it went through the banking system. I think I heard Lord Agnew say in the other place that many of the issues related to two banks out of the seven. It looks to me that a lot of the concerns raised by Opposition Members—validly—relate to processes within some of the banks. Can my hon. Friend clarify whether I am right on that, and the Government’s intentions regarding that?

[Mr Speaker]

May I suggest that there is plenty of space if the hon. Gentleman wishes to speak? These are becoming speeches, rather than questions. I am more than happy to put him on the list if he wishes. We have plenty of room.

[Michael Ellis]

As Mr Speaker says, a more detailed response can be given to my hon. Friend’s question in due course, but he is quite right to focus on the point about banks. More than 75,000 people have been contacted and could face criminal prosecutions and financial penalties. HMRC has already recovered more than £500 billion through other robust measures, including: building automated controls into the digital claims process, to prevent more than 100,000 mistaken claims; blocking more than 29,000 claims through pre-payment checks based on risk and intelligence; using cut-off dates around scheme eligibility; and requiring customers to be registered for pay-as-you-earn online and self-assessment. Nor is HMRC’s work done; work to recoup fraudulently obtained funds continues. Those identified face repaying up to double the amount they actually received, plus interest; in more serious cases, they risk criminal prosecution.

The motion also refers to public procurement, another area in which the Government take our responsibility to the taxpayer extremely seriously. In the case of personal protective equipment, our focus was on saving lives and protecting our healthcare workers. That was the top priority, and I make no apologies for that. But again, that did not mean, either then or now, that we were lax in our approach to procurement. We acted swiftly to secure and deliver more than 17.5 billion pieces of PPE to the frontline. The vast majority of the PPE we ordered—in the region of 97%—was suitable for use, either in the NHS or other non-medical settings.

My right hon. Friend the Health Secretary explained in a written statement to the House that the need to procure PPE at incredible speed necessarily involved a change in risk appetite. However, I am also clear that, at all times, the principles set out in “Managing Public Money” continued to apply, even under the pressures at the time. The Health Department took decisions on the basis of sound commercial advice. All transactions were approved by the Cabinet Office and the Department of Health and Social Care clearance board. Treasury Ministers and officials made a calculated judgement that the costs of expediting normal processes were outweighed by the benefits to the health of the country. The health of our healthcare workers came first.

Importantly, as with alleged fraud relating to the covid support schemes, this is not over: the Government will pursue any contracts where there has been a technical failure or breach. I said that approximately 97% were okay, but we are pursuing those that were not, in line with the resolution process referred to in each contract.

Downing Street Parties: Police Investigation

Lindsay Hoyle Excerpts

Tuesday 25th January 2022 Commons Chamber

[Michael Ellis]

I am grateful to my hon. Friend for his question. As he can imagine, I would prefer not to get into the legal position. What I would say is that I expect, as everyone would, the police to conduct their investigation expeditiously and at a time that is, no doubt, in accordance with their own procedures and protocols. He is right to raise the fact that there will be tests—evidence and the burden of proof—and it is always right that a person in this country is innocent unless or until they be proven guilty.

[Mr Speaker]

I am expecting this to run to about 1.15 pm. We can help each other by speeding through.

[Debbie Abrahams (Oldham East and Saddleworth) (Lab)]

What assessment has been undertaken of the damage that partygate has on our economy and inward investment, and on the trust of the British people in this Government?

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[Giles Watling (Clacton) (Con)]

Given that there are ongoing investigations by Sue Gray and the Metropolitan police at this time, and we await the results, does my right hon. and learned Friend not agree that this urgent question is a vexatious waste of everybody’s time?

[Mr Speaker]

Order. I am sure the hon. Gentleman is not questioning my judgment. I am the person who grants urgent questions. I am sure he would like to withdraw the question; it does not need answering.

[Giles Watling]

Mr Speaker, at your behest, I withdraw the question.

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[Alexander Stafford (Rother Valley) (Con)]

I know that I myself, colleagues and constituents were shocked by the alleged lockdown rule breaking by none other than the Leader of the Opposition, the right hon. and learned Member for Holborn and St Pancras (Keir Starmer). Does the Minister agree that there can be no hypocrisy and that all sides need to be investigated—after all, those in glass houses should not throw beer bottles?

[Mr Speaker]

Order. I am sure that “hypocrisy” was not aimed at an individual Member—surely not. I think that was badly phrased and I will let it go.

[Michael Ellis]

Nothing in the law forbade people who were legitimately at work from having a 10-minute coffee break in between meetings, and I am sure that people across the country did that, whether they ate cake with it or not. The reality of the matter is that my hon. Friend’s point is completely accurate.

Downing Street Garden Event

Lindsay Hoyle Excerpts

Tuesday 11th January 2022 Commons Chamber

[The Paymaster General (Michael Ellis)]

Both the Prime Minister and I came before the House in December to set out the details of the investigation being led by the Cabinet Office into the allegations of gatherings in Downing Street and the Department for Education in November and December 2020. As I did then, I again apologise unreservedly for the upset that these allegations have caused.

The Prime Minister has asked for an investigation to take place—[Hon. Members: “Where is he?”]

[Mr Speaker]

Order. I cannot hear what is being said. It is quite obvious that he is not the Prime Minister, so we do not need to keep asking that question. So please can I hear what the Minister has to say? He has got a tough job as it is; do not make it harder for him. Come on, Minister.

[Michael Ellis]

The Prime Minister has asked for an investigation to take place, and the terms of reference for the investigations that are under way have already been published and deposited in the Libraries of both Houses. The investigations are now being led by Sue Gray. She is the second permanent secretary at the Cabinet Office and the Department for Levelling Up, Housing and Communities, and of course a former director general of propriety and ethics. The Government have committed to publishing the findings of the investigation and providing these to Parliament in the normal way. The terms of reference set out that where there are credible allegations relating to other gatherings, it is open for those to be investigated, and I can confirm to the House that this includes the allegations relating to 15 and 20 May 2020. It will establish the facts, and if wrongdoing is established requisite disciplinary action will be taken.

As with all internal investigations, if evidence emerges of what was potentially a criminal offence the matter will be referred to the Metropolitan police, and the Cabinet Office’s work may be paused. Matters relating to adherence to the law are, as ever, matters for the Metropolitan police to investigate, and the Cabinet Office will liaise with them as appropriate. As I am sure Members of this House will appreciate, it would not be appropriate for me to comment on an ongoing investigation, and the Government have committed to updating the House in due course.

I must again point out, as I did in December, and as I know the House will understand, that there is a long-standing practice of successive Administrations that any human resources matters concerning personnel relating to individuals does need to remain confidential. But Mr Speaker, both the Prime Minister and I came before this House in December; we set out the details of the investigation being led by the Cabinet Office into these allegations of gatherings, and those investigations are continuing. [Interruption.]

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[Mr Speaker]

Order. We do not need clapping.

I call the deputy Leader of the Opposition, Angela Rayner.

[Angela Rayner]

Thank you, Mr Speaker, for granting this urgent question. It is incredibly disappointing but not surprising that the Prime Minister, of whom I asked this question, is not here today despite not having any official engagements. His absence speaks volumes, as do his smirks on the media. The public have already drawn their own conclusions. He can run but he can’t hide.

I received an email this morning from a man called John. He told me that on 20 May 2020

“I found my long-time partner dead on the bathroom floor. I had been unable to get a GP visit for her and she had suffered terribly for some time before the blood clots stopped her heart.”

On that day the House heard from the Prime Minister himself that 181 NHS workers and 131 social care staff had died. Many people made huge personal sacrifices.

Frankly, the Minister hides behind the Gray investigation. There is no need for an investigation into the simple central question today: did the Prime Minister attend the event in the Downing Street garden on 20 May 2020? It will not wash to blame this on a few junior civil servants; the Prime Minister sets the tone.

If the Prime Minister was there, surely he knew. The invitation was sent to 100 staff, many of them his own most personal senior appointees. This was organised in advance, so did the Prime Minister know about the event beforehand, and did he give his permission for it to go ahead? If so, did he believe this event was in keeping with the restrictions and guidelines at the time, and was the chief medical officer consulted before it went ahead? What did the Chancellor know about the party given that he lives and works next door, and can the Minister confirm that no other Ministers were present? Finally, may I ask the Minister here today whether he still believes the Prime Minister to be a man of honour and integrity?

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[Mr Speaker]

Order. I hope this is not a question about me granting the urgent question, because it sounds like that is where it is going. I would not go down that road.

[Mrs Miller]

Sorry, Mr Speaker. Does my right hon. and learned Friend agree that it is important that we have a debate in this place about these issues once the final recommendations have been put forward by Sue Gray, because it is important that we look at the evidence?

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[Catherine McKinnell (Newcastle upon Tyne North) (Lab)]

Does the Paymaster General agree that it would be utterly obscene if, at the same time—[Interruption.]

[Mr Speaker]

Order. Somebody’s phone is going off—it has stopped. Carry on.

[Catherine McKinnell]

Thank you, Mr Speaker. Does the Paymaster General agree that it would be utterly obscene if, at the same time that a support group for recovering alcoholics was contacting me, desperate to meet because they needed the mutual support to manage their addiction during the crushing isolation of lockdown, staff at No. 10 were not only being encouraged to gather, but being told to bring their own booze while doing so? I appreciate that the Prime Minister is not here to answer for his actions, but does the Paymaster General agree that that would be obscene?

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[Afzal Khan (Manchester, Gorton) (Lab)]

My beloved mum died of covid in March 2020. She died alone in hospital while I sat in the car outside trying to be as close to her as I could. Even burdened with our grief, my family obeyed the rules. Just three days after the Downing Street party, we marked a solemn Eid—the first without my lovely mum.

When asked by Sky News about the parties, the Prime Minister did little but smirk and laugh. He should be here today but, as he is not, will the Minister confirm whether the Prime Minister will be apologising to bereaved families like mine for the anguish, pain and torment caused not just by hosting these parties but by continuing to lie about them?

[Mr Speaker]

Order. The last of that is not the language we should use, but I think we can let this one go. I am sure the hon. Gentleman would not want it to stand on the record.

[Michael Ellis]

I am appalled at the hon. Gentleman’s tragic loss, and I am so sorry to hear about his mother. My heart goes out to him and his family.

The Prime Minister knows the seriousness of covid-19 and, as the hon. Gentleman knows, he was in intensive care as a consequence of it. The Prime Minister also knows, having spoken to innumerable individuals who suffered loss themselves, that it has resulted in the death of many people in this country and around the world. He knows that, and he will never forget it.

I ask the hon. Gentleman to accept my assurance that the Prime Minister is someone for whom his responsibilities are writ large. He works hard in the interest of this country and he will be subject to Sue Gray’s investigation, together with her inquiry into all of these parties. I ask him to wait to see the result in, I presume, the relatively short time until we hear from Sue Gray.

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[Stephen Flynn (Aberdeen South) (SNP)]

We have all seen the footage on Sky News of the Prime Minister smirking, even chuckling, at the suggestion that he attended this party in his own back garden, so may I ask the Minister a straightforward question: is it not the case that the Prime Minister has not just been laughing at the public but has also been lying to them?

[Mr Speaker]

Order. That is not the language we use and the hon. Member could temper it: “inadvertently” might do.

[Michael Ellis]

Thank you, Mr Speaker. It is nonsense to make that assumption or accusation against the Prime Minister. The Prime Minister does not take these matters lightly and never has done; he takes them incredibly seriously. He has rightly devoted a preponderance of his time as Prime Minister to this pandemic: he knows its consequences—he personally has been affected by it—and he sees the victims all the time when he visits arounds the country. The hon. Gentleman’s characterisation is unworthy and unfair.

Covid-19: Government Support for Business

Lindsay Hoyle Excerpts

Thursday 16th December 2021 Commons Chamber

[Mr Pat McFadden (Wolverhampton South East) (Lab)]

(Urgent Question): To ask the Chancellor of the Exchequer if he will make a statement on economic support for business.

I want to begin by extending my best wishes to my hon. Friend—

[Mr Speaker]

The Minister will answer the question, and then you can say your piece.

[The Economic Secretary to the Treasury (John Glen)]

It is clear that omicron is much more transmissible than other coronavirus variants, which is why, as the Prime Minister announced on Sunday, we are offering every eligible adult a booster dose before the end of the year. To get more jabs in arms, we have taken the proportionate and responsible step of moving to plan B in England to slow the spread of covid-19.

The rapid spread of omicron means this is a challenging time for a number of sectors, including hospitality. The Chancellor will be speaking to UK hospitality representatives this afternoon to understand their concerns. The Government continue to offer considerable support to businesses that might require extra assistance into next spring, as part of the £400 billion of direct economic help that we have provided during the pandemic.

For instance, we have reduced the VAT rate for hospitality and tourism businesses to 12.5% until March. Eligible retail, hospitality and leisure businesses in England are also benefiting from 66% business rates relief until March. And at the recent autumn Budget the Chancellor introduced a further 50% business rates relief for eligible businesses into the 2022-23 tax year.

Businesses can continue to apply for the additional restrictions grant until March 2022, as part of more than £2 billion of discretionary business grant funding during the pandemic. Businesses can benefit from our extension to the recovery loan scheme, which helps small and medium-sized enterprises to build back from the crisis by providing guarantees to lenders on finance of up to £10 million. Firms are also protected from eviction until March 2022 if they fall behind on their rent.

Firms in the arts and culture sector, meanwhile, can access the £2 billion culture recovery fund, the sports recovery package and the film and television production restart scheme until the end of April 2022. And our £800 million live events reinsurance scheme is giving event organisers confidence to plan ahead. Furthermore, the devolved Administrations have received an extra £12.6 billion this year, including an additional £1.3 billion in the autumn Budget.

This Government are helping businesses in every region and nation of the UK during these difficult times. We are speaking to the most affected sectors, and we will continue to respond proportionately to the virus’s changing path to support jobs, businesses and individuals, just as we have since the start of this pandemic.

[John Glen]

I thank the right hon. Gentleman for his questions. The Chancellor has been deeply engaged with business representatives throughout this pandemic and he will continue to be so. He was on a long-planned business trip to the United States, conducting Government business, and he will continue to engage today with other Ministers, with representatives of the hospitality sector and others, to hear their concerns about what further support should be required.

However, I will not be taking lessons from the right hon. Gentleman on some of these measures. Last year, when we put in place the bounce back loans, it was the shadow Chancellor at the time, the hon. Member for Oxford East (Anneliese Dodds), who specifically engaged constructively with the Chancellor to agree the basis for those loans. We have continued to work constructively throughout on a range of interventions for multiple sectors. We put in a package of measures at the Budget offering additional support and as of yesterday the covid additional relief fund will provide £1.5 billion for those in the supply chain to deal with some of the additional challenges. Of course the Government recognise the additional pressures that these measures and this strain of the virus bring, and of course we will engage carefully and listen carefully to those business representatives this afternoon.

[Mr Speaker]

I call the Father of the House, Sir Peter Bottomley.

[Sir Peter Bottomley (Worthing West) (Con)]

The Minister has talked about some of the costs that will be reduced. The problem with the reduction of Christmas cheer, especially in the hospitality and entertainment industries, is revenues.

If I listen to my publicans, restaurateurs and hoteliers, I know they will want to hear after the meeting this afternoon how their revenues can be lifted, how they can treat their staff properly and how the loss of revenue from those events that cannot be postponed will in some way be made up to them. That is what matters most in most constituencies, including mine.

Downing Street Christmas Parties Investigation

Lindsay Hoyle Excerpts

Thursday 9th December 2021 Commons Chamber

[Mr Speaker]

I just say to the Minister that his remarks were meant to take three minutes, not over four minutes. [Interruption.] Just a minute. So I will give some flexibility to the other two Front Benches.

[Fleur Anderson]

Thank you, Mr Speaker, and I thank you, too, for granting this urgent question today. I also thank the Paymaster General for his statement and for giving more information about this investigation.

Trust is vital during a pandemic—trust in the decisions being made and, most importantly, trust in the people making those decisions and the judgment about them. My constituent Sophie wrote to me yesterday to say:

“My mother died of Covid on Christmas Day last year—she was alone and frightened in an isolation room in hospital on 18 December while the alleged party was happening. She was admitted to hospital for a non-Covid related issue and contracted the disease whilst in there. Both of us had followed the rules and it breaks my heart that I was only able to see her a handful of times last year, and couldn’t be with her in her final moments.”

She is angry; people across the country are angry.

I welcome the Prime Minister’s announcement that he has asked the Cabinet Secretary to conduct an investigation. I have asked for this urgent question as there are further urgent questions to be asked about the investigation into the parties—we do not need to call them alleged parties; they were parties—held in a Government Department or by Government Ministers elsewhere. Are there more parties that we need to hear about? Is this investigation just a way of being able to say, “We’re doing something” while pushing it into the long grass, or is it a serious investigation?

The Prime Minster said yesterday:

“I have been repeatedly assured…that there was no party and that no covid rules were broken…But I have asked the Cabinet Secretary to establish all the facts.”—[Official Report, 8 December 2021; Vol. 705, c. 372.]

Who gave these repeated assurances? If there was no party, why did Allegra Stratton feel the need to resign? Is she taking the fall instead of Government Ministers? If this investigation finds that the Prime Minister has misled the House, will he resign?

I look forward to the publication of the terms of reference for the investigation later today. Will it include all the parties—not just the three but any others that were held? Who went to these parties? Can the Minister confirm that the Cabinet Secretary and the remainder of the legal team that has just been referenced did not go to any of the parties and so are able to conduct the investigation without personal interest? If they happened, who colluded for a year in the cover-up of these parties? When is the deadline for the investigation? How will the outcomes be made public? Is there any limit on the sanctions that will be given to people found to have been in the wrong?

I welcome the assurance from the Paymaster General that the matter will be referred to the police if there is a case to answer. We on the Opposition Benches will be following what happens very closely.

Finally, will the Government just be straight with the British people?

Oral Answers to Questions

Lindsay Hoyle Excerpts

Tuesday 7th December 2021 Commons Chamber

[The Financial Secretary to the Treasury (Lucy Frazer)]

The Government’s priority is to keep goods moving and avoid delays at the border. To ensure that, we have set up a new Cabinet Committee on logistics to deal with supply chain issues. I recognise that the new customs controls come in on 1 January. Her Majesty’s Revenue and Customs is supporting traders and hauliers to adjust to their new obligations following the end of the transition period.

[Mr Speaker]

Just for clarification, is that a grouped question?

[Lucy Frazer]

I do not believe it is, Mr Speaker.

[Mr Speaker]

Thank you. I call Chris Elmore.

[Chris Elmore]

I am glad that the Minister is setting up a Cabinet Committee—that is lovely—but let me tell her what is impacting people on the ground. Daniel Lambert Wines, an importer in my constituency, for example, has gone from taking seven to nine days to import wine from the EU to 12 weeks. That is really not acceptable. The national Food and Drink Federation says that it is causing huge problems for the supply chains when it comes to bringing wine into the UK, and Christmas is one of the biggest periods for purchasing. Can the Minister set out what she will do to start tackling the issues around the delays in importing wine, so that everyone can have a sensible tipple over the Christmas period?

[Mr Speaker]

I call the Chair of the Treasury Committee.

[Mel Stride (Central Devon) (Con)]

I am sure that my right hon. and learned Friend and HMRC are working very hard to ensure that the changes to the import processes coming in on 1 January run smoothly and do not result in lots of additional friction at the border. However, the Federation of Small Businesses has estimated that just one in four smaller companies is actually prepared for the changes that are about to happen. Is she aware of that particular issue? If she is, what action is she taking in the short time that remains?

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[Rishi Sunak]

I hope that my hon. Friend will forgive me for not treading on the toes of the Business Secretary, but what she will know is that we allocated £120 million for future nuclear development in the Budget and spending review. I know that the subject is of keen interest to her and that she has long campaigned on it in her area. I am happy to support her in her conversations with the Business Secretary as he decides how to allocate that funding.

[Mr Speaker]

May I welcome Pat McFadden to the Dispatch Box?

[Mr Pat McFadden (Wolverhampton South East) (Lab)]

Thank you, Mr Speaker.

It takes some doing to come up with an inheritance tax aimed at people in the lowest-value properties, but that is exactly what the Chancellor and the Conservatives have done in the way they have designed the social care cap. Even the original author of the policy, Sir Andrew Dilnot, has said that the changes that the Government have made mean that

“the less well off will not gain any benefit from the cap.”

When it comes to tax, we should look at what the Government do, not what they say or the newspapers they brief. Why is the Chancellor imposing a tax rise on almost everyone to pay for a policy that will hurt those with the lowest-value properties in the country?

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[Rishi Sunak]

I am always delighted to meet my hon. Friend and neighbour, and if we could do that in north Yorkshire, it would be fantastic. He is right—as he always is—to champion the need for small and medium-sized enterprises to have access to the finance that they need, and if he has come up with yet another idea to ensure that that happens, I should be delighted to learn more.

[Mr Speaker]

I call the Scottish National party spokesperson, Alison Thewliss.

[Alison Thewliss (Glasgow Central) (SNP)]

The Chancellor likes to talk a good game on the universal credit taper rate and his pretendy living wage, but that only benefits those who are lucky enough to be in work and ignores many people who are disabled, carers or out of work, and those who are still on legacy benefits. Why has he abandoned and forgotten that group when they face a cost-of-living crisis this winter which will often affect them more than the rest of the population?

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[Jason McCartney]

I know the passion of the Chancellor and the Chief Secretary for levelling up, and I welcome the creation of a Treasury campus in the north-east. When the Treasury next relocates, may I encourage my right hon. Friends to look at Huddersfield, Marsden and Slaithwaite in my Colne Valley constituency? They are strategically located on the TransPennine rail route between Leeds and Manchester, and we are set to have millions invested thanks to the integrated rail plan. We have fantastic former mill sites ready for regeneration, and the Chief Secretary and the Chancellor would be welcome to join me on a visit.

[Mr Speaker]

Be careful how you answer, Chief Secretary. There are two more questions to come.

[Mr Clarke]

I thank my hon. Friend the Member for Colne Valley (Jason McCartney) for his invitation, and I look forward to being in Darlington at the Treasury’s northern hub this week.

I am glad to hear of my hon. Friend’s support for the wider investment on the TransPennine rail route, which will improve connectivity between Manchester, Leeds and York, including Marsden and Huddersfield, with benefits starting this decade. Diary permitting, I would be delighted to discuss a visit to see that investment in action.

[Mr Speaker]

What will you say to Karl MᶜCartney?

[Karl MᶜCartney]

Thank you, and happy Christmas to you, Mr Speaker.

Connectivity is critical to levelling up, which is why I have advocated and secured significant infrastructure improvements in Lincoln since 2010. The recent counterproductive 25% cut in Lincolnshire’s highways maintenance grant is not levelling up, and my right hon. Friend the Chancellor was sitting next to the Prime Minister when I raised this issue at Prime Minister’s questions a fortnight ago.

If the Treasury does not provide the funding to return Lincolnshire’s highways maintenance grant to 2019-20 levels, at the very least, there will be a significant impact on improvements and repairs to the highways network in our county. Will the Chief Secretary agree to return the funding to pre-pandemic levels, or at least to put pressure on our colleagues in the Department for Transport to do so?

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[Hannah Bardell (Livingston) (SNP)]

9. What recent assessment he has made of the effect of his fiscal policies on gender equality.

[Mr Speaker]

Does anybody want a question? Ah, Minister.

[The Chief Secretary to the Treasury (Mr Simon Clarke)]

Our fiscal policies support the Government’s ambition of creating a fairer and more equal society, and women are among those who will benefit the most. For example, women are expected to benefit disproportionately from the Government’s increase to the national living wage to £9.50 for workers aged 23 and above, as well as the rise in the national minimum wage for young people and apprentices.

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[John Glen]

I do not agree with my hon. Friend’s characterisation of the causal relationship, but I recognise that the Bank of England continues to be responsible for monetary policy. My hon. Friend has always held distinct views that represent a particular school of economists, and I will continue to listen carefully to what he has to say to the House.

[Mr Speaker]

We now come to the shadow Minister; welcome to the Front Bench, Tulip Siddiq.

[Tulip Siddiq (Hampstead and Kilburn) (Lab)]

There is a cost of living crisis, temperatures are falling and Ministers are ignoring average households, who are struggling to pay enormous bills. Household energy bills have increased by more than £230 since last winter and are set to increase even more early next year, and we have recently seen higher tax receipts from energy bills. Will the Minister back Labour’s policy of using this money to cut VAT on people’s energy bills to zero over the next six months?

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[Rishi Sunak]

As I have said, the new taxpayer protection taskforce at HMRC is expected to recover between £1 billion and £2 billion in the next 12 months, and has already made a good start on that. It is fair to reflect on where we were in spring 2020. I remember being at this Dispatch Box every other day. I remember Members from all parts of the House rightly holding the Government to account for getting money to businesses in a matter of hours and days, not weeks. In fact, I heard from the hon. Member for Oxford East (Anneliese Dodds), the shadow Chancellor at the time:

“We need a full guarantee for…some loans…We are running out of time, so how will the Chancellor ensure that the bounce-back loans get to the businesses that need them?”—[Official Report, 27 April 2020; Vol. 675, c. 110.]

The then shadow Business Secretary, the right hon. Member for Doncaster North (Edward Miliband), said that the Government should:

“urgently look at 100% underwriting of loans and simplified lending criteria.”

Indeed, the hon. Lady herself wrote to me and said that

“the process for SMEs to apply for such loans appears cumbersome.”

I make no apology for making sure—

[Mr Speaker]

Order. He might want to apologise now—we cannot take so long on the first two questions from either Front Bench.

[Lucy Allan (Telford) (Con)]

T5. I thank the Chancellor for his hugely successful plan for jobs. I recently visited an organisation in Telford called Teach A Trade, which successfully trains long-term unemployed and older people changing careers to get gas and electrical qualifications, which are in short supply in my constituency. What is his Department doing to work with organisations such as Telford’s Teach A Trade to make these courses more accessible to more students? Can he please tell me what his Department can do to help Telford’s Teach A Trade so that it can expand the excellent work it is doing?

[Mr Speaker]

Order. I appeal to Members that if you all want to get in, you have to help each other. If you are not going to help each other, do not be disappointed when you do not get in. It is not fair, and the same goes for the Front Benchers. Topicals are meant to be quick, short and speedy to keep the business going. We are not being fair. Whoever is answering that question, please do so briefly.

[The Exchequer Secretary to the Treasury (Helen Whately)]

As we build a strong economy, we need to raise skills. That is why we announced in the spending review an increase of £3.8 billion in skills spending over this Parliament. The spending review included funding for a specific 50-plus training scheme to support people like those being helped by Teach A Trade so that they can retrain and stay in work. I am happy to speak further to my hon. Friend about how we can support Teach A Trade and others like it to do what they do.

[Rishi Sunak]

I am glad that our VAT cuts extend all the way to spring. It is a £7 billion tax cut, and next year, as I have said, there is a 50% discount on business rates.

[Mr Speaker]

Well done, Chancellor.

[Dr Jamie Wallis (Bridgend) (Con)]

T7. The recently announced coalition deal between Welsh Labour and Plaid Cymru contains a tourism tax, which is likely to do significant damage to Porthcawl, a seaside town in my Bridgend constituency. Does my right hon. Friend agree that imposing a new tax on a sector already hit hard by Welsh Government restrictions is further evidence that Labour-nationalist coalitions are bad for business, bad for the economy and bad for our United Kingdom?

Northern Ireland Protocol: EU Negotiations

Lindsay Hoyle Excerpts

Thursday 18th November 2021 Commons Chamber

[Mr Speaker]

As the House will be aware, I have previously exercised my discretion regarding the sub judice resolution to allow references to the Northern Ireland protocol on the grounds of national importance. Although there are relevant live legal proceedings, I am further exercising that discretion today in relation to the urgent question.

--- Later in debate ---

[Michael Ellis]

We are pursuing a negotiation and the hon. Lady will have to wait and see.

[Mr Speaker]

Finally, but certainly not with the least of questions, I call Jim Shannon.

[Jim Shannon (Strangford) (DUP)]

Thank you, Mr Speaker. You are most kind. The good wine always comes last.

I thank the Paymaster General for his answers to the urgent question. Back in July, the Government published a paper in which they stated clearly that conditions to trigger article 16 had already been met. He referred to M&S, which has indicated this week that extra costs and extra bureaucracy on products crossing the border will cost it £9 million. Speaking as the MP for Strangford, who has got his feet clearly on the ground and knows what is happening and what the people are saying, I want to put it on the record that some businesses face going to the wall as a result. The Prime Minister repeated that assertion recently. He said that time was of the essence and that, if the current negotiations with the EU failed to arrive at an agreed outcome in a short period, the Government would move and must move immediately to take decisive action to remove the barriers to trade between Great Britain and Northern Ireland. I urge the Paymaster General to do just that: initiate article 16 and remove the barrier.

[Mr Speaker]

I like hearing from the hon. Gentleman, but his questions have to be shorter. If he wants to make speeches, I am sure that he will catch the eye of somebody in the Chair later.

[Michael Ellis]

The hon. Gentleman is right, Mr Speaker; you have saved the best till last.

[Mr Speaker]

Or longest till last.

[Michael Ellis]

The hon. Gentleman is right that Marks & Spencer makes a powerful point. Time is of the essence. Her Majesty’s Government will move to remove barriers if necessary. The article 16 application has already been met and we are alive to the time sensitivity involved.

Oral Answers to Questions

Lindsay Hoyle Excerpts

Tuesday 2nd November 2021 Commons Chamber

[Lucy Frazer]

I am sure the hon. Lady will have seen the net zero strategy, which was published the week before the Budget. I am sure she will also know about the significant progress that the Chancellor has made on bringing other countries together to increase the international effort on climate finance. Yesterday, we set out our commitment to increase our international climate finance by £1 billion by 2025, on top of the £11 billion that we have already announced. The Chancellor, together with other Finance Ministers, is making sure that we help to reduce to net zero emissions through a number of measures. I am very happy to—

[Mr Speaker]

Order. I call Alison Thewliss.

[Alison Thewliss (Glasgow Central) (SNP)]

COP26 is under way in my constituency, and the Scottish Government have set an ambitious target to reach net zero by 2045. In contrast, the Minister has completely failed to justify the cut to air passenger duty on internal flights while allowing the already eye-watering price of train tickets to rise again at the turn of the year. This is no pro-Union policy, as the Government like to pretend, because 62% of Scots think that cutting APD is entirely the wrong priority. So, in this week of COP, will the Minister do her bit for the planet and scrap this climate-damaging policy once and for all?

Budget: Pre-announcement of Provisions

Lindsay Hoyle Excerpts

Tuesday 26th October 2021 Commons Chamber

[Mr Speaker]

Before we come to the urgent question, I have a short statement to make. I have repeatedly stated in the clearest possible terms that important announcements should be made by the Government first in this House rather than outside it. I did so again yesterday in relation to the briefings issued to the media about the Budget. I was therefore disappointed to see more stories in the media today with apparently very well-briefed information about what will be in tomorrow’s Budget. The Government do not just have to take my word for this; their own ministerial code says:

“When Parliament is in session, the most important announcements of Government policy should be made in the first instance, in Parliament.”—

in this House.

As I said yesterday, I do not have to give a reason for my decisions about urgent question applications, but in this case I want the House, and especially the Government, to be clear that if the Government continue to treat this House in this discourteous manner, I will do everything in my power to ensure that Ministers are called here at the earliest opportunity to explain themselves. I personally have nothing against the Minister and I feel sorry for the person who has to answer at the Dispatch Box but, once again, this House will not be taken for granted. It is not right for everybody else to be briefed. It is not more important to go on the news in the morning; it is more important to come here. Let us get the message across that these elected Members represent this United Kingdom. It is not done through Sky TV.

--- Later in debate ---

[Mr Speaker]

That is a matter of judgment.

[Alison Thewliss (Glasgow Central) (SNP)]

I do not know whether to congratulate the Minister on his promotion, as he has come here to give us the Budget a day early. What he has not given this House is an apology. He should not be announcing things on Twitter; we should be waiting for the Budget to see the full detail. This has been going on since September—it is not new. There have been daily announcements drip-feeding the entire Budget ahead of time. Of course, the Government hold all the cards, along with the Office for Budget Responsibility, because we cannot tell what the detail actually means. For Scotland, we cannot tell what the Barnett consequentials —if, indeed, there are any—will be.

We know what is going to be in the Budget speech and we know what is not going to be in it, because the Government have not done things such as carbon capture and storage in Scotland. Of course, none of it is what the Government and the Chancellor should be doing in the Budget speech. They should be reinstating the £20 universal credit cut; scrapping the national insurance tax on jobs; tackling the spiralling cost-of-living crisis; and supporting hospitality and tourism with a VAT cut to see them through the winter months and into next year.

If the Government cannot be responsible with the powers that they hold and if they cannot be trusted to give us the actual truth on Budget day tomorrow, all the financial powers—I call for this again—should be given to the Scottish Parliament so that we can make the decisions that are right for the people of Scotland.

--- Later in debate ---

[Mr Clarke]

I thank my right hon. Friend for his question. He is absolutely right that levelling up is a core theme of this Government. It is something of which I am very proud, as a north-eastern MP, to have the chance to help deliver, and it is going to be one of the golden threads of the Budget and spending review tomorrow. I wish that I could start plucking rabbits out of the hat for him now, but he will have to wait just a few more hours to get some, hopefully, very welcome news.

[Mr Speaker]

Sky TV tomorrow.

[Dame Angela Eagle (Wallasey) (Lab)]

Thank you, Mr Speaker, for granting this urgent question. It has taken me nearly 30 years, but I now find that I agree with the right hon. Member for Wokingham (John Redwood) in his question. This is serious. As an Opposition, we cannot look in detail at the slew—the blizzard—of Budget announcements that have been going on week after week, because we do not have the OBR report and we do not have the detail. This is treating parliamentary democracy with utter contempt and the Minister should be completely ashamed of himself. He should have come to this House and apologised. His boss should have come to this House and apologised.

--- Later in debate ---

[Mr Clarke]

I thank the hon. Gentleman, who is of course one of the most assiduous Members of this House. Clearly we all look to make sure that the Budget documentation is as full and as frank as possible—we have the work of the independent Office for Budget Responsibility as well—to make sure precisely that the Budget debate that follows can be as fully informed as possible as to the full implications of all the measures that are announced.

[Mr Speaker]

Can I just ask for a little clarification from the Minister? He has made an announcement to the House that I am not sure is correct: he said that it is a five-day debate, but I thought it was only four days.

[Mr Clarke]

My apologies, Mr Speaker: it is a four-day debate.

[Mr Speaker]

At least we have heard it in the House first.

Working People’s Finances: Government Policy

Lindsay Hoyle Excerpts

Tuesday 21st September 2021 Commons Chamber

[Alison Thewliss]

My hon. Friend is absolutely right to point that out. That is an unfairness in the system that the Government have shown no compulsion to tackle at all. We must look at that unfairness, particularly for those in the most rural parts of Scotland who find it hardest to afford their energy bills.

I seek an assurance from the Government that those who have money sitting in their energy accounts just now will see that swiftly transferred over to any new company, as people tend to pay in more over the summer to meet their bills in the winter. In his statement yesterday, the Secretary of State for Business, Energy and Industrial Strategy could not guarantee that the warm home discount would be paid to customers transferring. I also want to know what assistance will be possible for those transferred customers who are living with existing arrears. It is an uncertain and very worrying time for them all.

As an aside, my hon. Friends the Members for Kilmarnock and Loudoun (Alan Brown) and for Aberdeen South (Stephen Flynn) have been pursuing the ridiculous transmission charging regime, which makes it more expensive for us to connect the clean, green energy produced on our doorstep in Scotland to the national grid. It feels as if Ministers could not be less interested in fixing that disproportionate scandal.

We all know households that already struggle to pay their energy bills. Households relying on electricity for their energy needs pay £600 more on average than households with both gas and electricity. In the areas that are off the gas grid completely, particularly those relying on liquefied petroleum gas, those costs can be even higher.

In addition to food banks, fuel banks are springing up around the country to meet this need, but given the soaring fuel prices we face, it will just not be enough. The price of food in the shops is also going up. Inflation stood at 3.2% in August, which I understand is the highest month-on-month increase since records began in 1997. Some have predicted that it might reach 4.5% by November. The Bank of England target is 2%. That means that goods in the shops will get ever more expensive. There is the prospect, too, of the national insurance hike being passed on to consumers. The Institute of Chartered Accountants in England and Wales has suggested that companies may try to cover the increase on employers’ costs by passing it on to consumers, so as well as being a tax on jobs, this is a tax at the till.

In addition to having an impact on people’s food bills and their ability to feed themselves, this cost increase is having an impact on charities that are already trying their best to support those in need. Audrey Flannagan at the Glasgow South East food bank in my constituency tells me that food donations to it are down 30%, at a time when she is planning for an influx of people due to the cuts to universal credit. I say “cuts” because, for many who claimed benefits for the first time during the pandemic, they have known nothing else. Audrey tells me that people she has spoken to have been horrified to receive a letter from the Department for Work and Pensions informing them that their money is getting cut, because for them it is not an uplift; it is quite simply what they have been managing on for months now.

The Minister talked about living wages, but his living wage is not a real living wage, as set by the Living Wage Foundation; it is a pretendy living wage. It is not enough for people to live on, and it is not available to everyone. As he knows well, age discrimination is baked into the living wage. Younger people, who face the same bills at the checkout and on their energy and rent, are getting short changed by this Government through their pretendy living wage.

The impact on families of this cut has been well repeated, but I would like to mention the impact on single people. Twenty pounds is around a third of a single person’s income on universal credit. Glasgow South East food bank has seen a significant drop in single people coming for emergency food assistance in this past year, from 601 people in January to March 2020, to just 151 people in the same period this year. Audrey Flannagan believes that the additional £86 per month—UC is paid monthly—was enough to make a difference to those people. It pays for the gas and electric, it puts food on the table, and without that £86 a month, many will return to her service in just a few weeks’ time.

Many people have been in touch with me, as they have with my colleagues, to protest the cut to universal credit, but I want to read this email from John, because he puts it so well. He says:

“I wanted to write you a short note to tell you that cutting back on the U.C. uplift is going to have a very hard consequence on me. I was laid off at the start of the pandemic when the company I was working for closed down. With the uplift I’m receiving about £300 to last me nearly 5 weeks! The government talks like this was a favour done us! Firstly, I and all those on Universal Credit are not responsible for a pandemic! Secondly, the pandemic is not over yet! There could be further strains and further lockdowns! What then for people like me! Also benefits did not go up before the uplift for years and years, while prices and the cost of living have. This therefore is actually a benefit cut! It will be the difference for me between just getting by and crushing poverty!”

That choice will be faced by people up and down this country. Every single person in this House has a responsibility to think of each and every one of them when we vote on this issue, because it is the difference between just getting by and crushing poverty, as my constituent John pointed out.

There are global issues, of course, driving the cost-of-living crisis, but the political choices being made by this UK Tory Government are making it worse. Yet again, they have chosen to balance the books on the backs of the poor—to repeat the mistakes of the previous crash by choosing austerity over stimulus. My constituents did not choose this. The people of Scotland did not choose this. Even many Tory voters did not choose this, as those on the Government Benches break promise after promise to their own supporters. The first duty of Government is to protect its people, and this UK Tory Government have failed repeatedly on all counts. There is no Union dividend, only a Union dead end. Scotland needs the full powers of a normal independent country, to look after all of our people and seek a fairer, just and more prosperous recovery for everyone.

[Mr Speaker]

We now come to the maiden speech of Jill Mortimer. I remind people that they cannot intervene.