Double Taxation Treaties (Developing Countries) Bill

Lisa Cameron Excerpts

2nd reading: House of Commons
Friday 16th December 2016 Commons Chamber

[Roger Mullin]

I agree entirely. I will respond to that with a slight oversimplification. Let us look at it in this way. If a country has become solely dependent on aid funding for its development and does not have full control of its own taxation and its own mineral resources, what kind of governance structure is set up to accommodate that? It will be about people chasing aid funding, not developing and liberating themselves economically. In some countries, quite a large of part of their administration and democracy is based on managing aid-related matters much less than on managing its own taxation and related matters. Therefore, the infrastructure will benefit through such moves.

I think that the Bill will provide a further advantage for the United Kingdom Government. In another field, I have been trying to persuade the Government to respond to my representations about international criminal activity in Scottish limited partnerships. I am delighted to see that the Financial Secretary is present to respond to the debate, because last week we had what I thought was an extremely constructive meeting about the issue. We recognised that to address the issue of Scottish limited partnerships we had to involve not merely the Treasury but the Home Office and its Criminal Finances Bill, as well as the businesses that would be conducting a consultation. Three different partners would need to be brought together, so that we could begin to create a joined-up approach.

What I am saying, and what my simple Bill is saying, is this. Would it not it be a good idea if those who are responsible for negotiating tax treaties with countries in the developing world had to take reasonable account of our own Government’s international aid policy, because otherwise the Government’s international aid policies, and what they want to achieve in that regard, could be countered in a negative way through the negotiation of tax treaties by others who do not support those aims? It must surely be helpful to governance here, as well as in other countries, to create a system that is much more joined-up. That is surely in everyone’s interests. Who is going to argue against it? Well, my hon. Friends and I can probably predict who, but it seems to me that no rational person could object to a Government’s pursuing their aims in a joined-up and rational manner.

[Dr Lisa Cameron (East Kilbride, Strathaven and Lesmahagow) (SNP)]

I congratulate my hon. Friend on bringing this extremely important issue to our attention. Does he agree that his proposals would also go some way towards creating sustainable jobs and livelihoods in developing countries, an ambition that sits firmly at the heart of the sustainable development goals that the UK Government are signed up to achieve?

[Roger Mullin]

I strongly agree with my hon. Friend. The joined-up approach that I mentioned is not just within Departments; it comes about through international commitments that the Government have made to others. It is therefore good that we sign wider international treaties relating to development.

Concentrix

Lisa Cameron Excerpts

Wednesday 26th October 2016 Commons Chamber

[Ms Tasmina Ahmed-Sheikh (Ochil and South Perthshire) (SNP)]

This has, indeed, been a very passionate debate. I would like to take this opportunity—I am sure I speak for all Members on both sides of the House—to thank our staff members in our constituency offices who have had to deal with people who have been at the very end of their tether. Many have had no training and have met people in the most dire circumstances. I would like to place on record our thanks to all the staff of all Members on both sides of the House.

As we know, tax credits are a vital financial lifeline for many families who are struggling to get by on low wages. They allow single mothers and fathers the dignity of work, by ensuring that their income is enough to pay for rent and food and for heat for their homes. Without these payments, families have been plunged into immediate poverty, with all the financial and emotional stress that comes with coping with such a situation.

Despite many parliamentary questions and two debates, we are still no closer to finding out the facts or achieving a proper settlement to this sorry situation. At the same time, families know that their situation was entirely caused by the mistakes of others and as a direct result of faulty administrative processes and procedures, all of which must be fixed. Compensation must be paid.

I would like to refer to a particular case study. A constituent in Alloa was referred to my office just yesterday by the citizens advice bureau. Seven weeks ago, she had her money stopped without warning. She was accused of living with three different partners at the same address at the same time. Advised by Concentrix that she had been sent a letter in May—a letter she said she did not receive—she was then told the evidence she was required to submit. She submitted what she could: two bank statements and a council tax statement. She was told that that was not enough. She could not afford, however, to provide the bank statements requested, as they cost £5 per statement.

The realistic timeline for Concentrix cases needs to be known. Despite the assurances I was given by the Financial Secretary on 14 September, it is still taking around eight weeks from the submission of evidence by those falsely accused by Concentrix for payments to be reinstated. That is two months without vital payments—payments that are stopped without warning and with no good cause.

On the phone yesterday, HMRC advised my office that the burden of proof remains on the individuals accused of claiming tax credits incorrectly, not on the accuser. That is contrary to the laws of natural justice and contrary to the view of the upper tribunal, which has already considered similar issues.

For the Minister’s benefit, I would like to set out a timeline for an individual who is accused. On day one, their money is stopped. They call Concentrix to find out what has happened, and they are advised of what action is needed. It can take days to get an answer. On day two, they start to collate the evidence required. HMRC stated to my staff yesterday that it required the following evidence to establish innocence after making these accusations: bank statements for a period often up to a year; mortgage proof or a rental agreement; a court or solicitor’s letter providing detail of legal separation documents; Child Maintenance Service documents; evidence from the Department for Work and Pensions or Jobcentre Plus to show the benefits claimed, if applicable; car insurance documents; home insurance documents; detailed explanation of the person’s relationship status with the person they are accused of being in a relationship with—in this case, it is three people, two of whom my constituent does not even know; and a letter from the landlord to confirm who lives at the property.

That takes us to day six, when the person sends that evidence to HMRC, if they can afford to bring it together. On day seven, the evidence arrives at the HMRC and Concentrix offices. On day 28, HMRC begins to look at the case. People in previous cases have told us that it would take two to three weeks before the evidence could be looked at, due to a backlog in processing cases. On day 56, the evidence is processed by HMRC. Once the evidence pack is opened by HMRC staff, it takes 15 to 20 days to process. On day 60, there is a positive result—if the person gets a result—as money will be paid to them within four days. That is eight weeks’ processing between the submission of documents and payments being reinstated.

[Dr Lisa Cameron (East Kilbride, Strathaven and Lesmahagow) (SNP)]

In the intervening period, many of the individuals affected have experienced grave mental health issues. I am aware of at least two cases where people have gone on to self-harm as a result of the stress endured. Does my hon. Friend agree that the targeting of the most vulnerable is not something that should be happening under Government contracts?

[Ms Ahmed-Sheikh]

My hon. Friend makes a very good point. She has huge experience in the area of mental health. I am sure it is a matter of great concern and disturbance to us all to hear that people are resorting to self-harm.

My constituent continues to wait, as HMRC refuses to act until it has received a year’s worth of bank statements that she cannot afford to provide. HMRC did not inform her of the hardship payment. Will the Minister advise us on the guidelines with which HMRC is working in relation to the hardship payment? Is it not offered in all circumstances? Are not all people in positions of hardship once they have had these payments stopped?

In order to support those affected, we must immediately take a number of actions to remove the financial barriers to justice for these victims, and I ask the Minister to consider committing to these today. HMRC should immediately provide a freephone line for victims to use. As things stand, if someone wants to ask a question or appeal a decision, it is up to them to phone the call centre, and that can cost 10p a minute. Some callers have had to wait for hours, as confirmed in many speeches. Over and above this, HMRC should now act to provide a free call-back service for tax credit inquiries. HMRC should also meet the full cost of sending people all documents with postage-paid envelopes so that they can send back the information that is required on the basis of incorrect decisions that have been made on their part. Those changes are achievable, deliverable and fair, and should be implemented without delay. That is the right thing to do in these circumstances.

When this exercise is complete and people have the opportunity to access justice, at no cost to themselves—neither should there be—we can then move our attention on to securing full, fair and proper compensation for all victims, some of whom have lost their jobs and homes as a result of this fiasco.

House of Lords Reform and Size of the House of Commons

Lisa Cameron Excerpts

Wednesday 19th October 2016 Commons Chamber

[Margaret Ferrier]

No, I am not giving way.

Boundary proposals have been issued. Tomorrow, Scottish voters will wake up to the news of a complete reshuffle of Westminster constituencies north of the border and firm proposals to remove six of their MPs. People will rightly be outraged.

It is vital that the Government understand that outrage and acknowledge that frustration. The reason that so many formerly disfranchised voters registered en masse and voted yes in the Scottish independence referendum was that they were fed up with the unrepresentative nature of the democratic process. They felt that Westminster did not speak to them or for them. We stand for doing things the way they ought to be done—for having a vibrant, representative democracy that reflects our diverse society. Those of us in the SNP will never take seats in an appointed Chamber.

Around a quarter of Lords appointments since 1997 have been former MPs who lost elections or resigned. It is no wonder that so many people in the UK feel disillusioned and disfranchised when unsuccessful ex-MPs get returned to our democracy through the back door. Although rejected at the ballot box, the appointed peers are able to collect £300 tax-free per day just for turning up. Between February 2014 and January 2015, £21 million was spent on Lords’ allowances and expenses. That will continue to rise as the already bloated House of Lords continues to see its ranks swell. We are told that the purpose of reducing the number of MPs is to cut the cost of democracy, so why is the cost of the Lords allowed to spiral ever upwards?

I would be doing a disservice to myself and my party if I did not acknowledge that some peers are incredibly hard working and conscientious. Some contribute a great deal to society, and I have had the pleasure of working with them in a constructive manner on all-party groups.

[Dr Lisa Cameron (East Kilbride, Strathaven and Lesmahagow) (SNP)]

Does my hon. Friend agree that part of the fundamental difficulty is that peers appear to be selected for who they know rather than elected for what they know?

[Margaret Ferrier]

My hon. Friend makes an extremely good point. That is the problem, and that is why there are so many of them.

The efforts of the Members of the House of Lords whom I was talking about do not go unnoticed, and so they should surely have nothing to fear from standing for election to a democratic second Chamber. There have even been occasions when the House of Lords has played an important role in blocking or amending legislation. Imagine how much more important a function our second Chamber could play in shaping legislation if it were fully elected and fully representative. More than half of peers are over 70. I know we are facing an ageing population but to even suggest that that is representative of wider society is absurd. Twice as many peers used to work for the royal family as have worked in skilled or manual labour. That simply is not right and cannot deliver the real-life experience needed in an effective second Chamber.

It simply is not right that the boundary plans proceed. We need plans to vastly reduce the number of peers and a full review of reform of the House of Lords. In the meantime, the Government must discard their plans to reduce the number of democratically elected Members of Parliament.

Savings (Government Contributions) Bill

Lisa Cameron Excerpts

2nd reading: House of Commons & Money resolution: House of Commons & Programme motion: House of Commons & Ways and Means resolution: House of Commons
Monday 17th October 2016 Commons Chamber

[David Morris (Morecambe and Lunesdale) (Con)]

It is a pleasure to follow my hon. Friend the Member for Gloucester (Richard Graham). I am sure the Bill covers the self-employed, but that has not been brought up today. When I was self-employed 20 years ago, the then Government made a change to taxation which basically meant that a substantial amount of every pound that I put into my pension pot was taken out in cash, so I stopped paying into a private pension. The policy in front of us today proposes a break in that sort of behaviour, particularly for the self-employed. The self-employed have always been worried about the harmonisation of national insurance contributions. When I was the Prime Minister’s ambassador for the self-employed, I worked closely with my right hon. Friends the Members for Bromsgrove (Sajid Javid) and for Chingford and Woodford Green (Mr Duncan Smith) on trying to harmonise national insurance contributions so that self-employed people would eventually have the same state pension.

However, I want to talk about the lifetime ISA proposal, because it should not be confused with an extra pension top-up, about which every speaker in the debate before me has talked. It should instead be seen as a savings guarantee for the future. It was a tidy move by the Treasury and the Department for Work and Pensions in reaching the point of harmonising NICs. This proposal takes us a little further into the realms of the self-employed being able to look after themselves in future.

I do not want the LISA to be confused with a pension supplement. It is not that. It is something that helps to save for the future. To put it in perspective, we hear a lot of doom and gloom, but let us look where we were seven years ago. The then Prime Minister, the former Member for Kirkcaldy and Cowdenbeath, used to say quite often that he had put an end to boom and bust, but we then went bust in the biggest possible way. Near enough 10 years down the line from that, we have to address how we are going to save for our future. As someone who took the decision 15 or 20 years not to pay into a pension plan, I wholeheartedly welcome what the Government are doing.

I want to provide some perspective. Unemployment is dropping in my constituency—so much so that a Labour councillor was boasting about his business and saying that he cannot get enough employees to fill the positions. The workplace pension has its place, but the LISA has a separate place. I hope that it will carry on and enable people to save for their old age.

[Dr Lisa Cameron (East Kilbride, Strathaven and Lesmahagow) (SNP)]

I do not want to start by correcting the hon. Gentleman, but I am pleased to have a savings account named after me, and the LISA is most definitely a “Lee-sa” and not a “Lye-sa”. Does he agree that financial education in schools is the crux of the matter? Children must learn how to budget in order to learn how to save and have a secure relationship with their finances.

[David Morris]

That is part and parcel of the mix. However, this Bill is about where we are going in the future. I take on board what the hon. Lady says and I am sure that everyone else in the Chamber and in the country more widely will have done, too.

Thank you for allocating this time to me, Madam Deputy Speaker. I wholeheartedly endorse what the Government are doing.

--- Later in debate ---

[Simon Kirby]

Yes, I would be very happy to do that.

I thank my hon. Friend the Member for Gloucester (Richard Graham) for his thoughtful contribution. Clearly, he feels very strongly about a vast number of issues. I respectfully disagree with some of his opinions, but I hope that he continues to contribute to this important debate, as it is important that we get it right. At the end of the day, this is about helping younger people and poorer people get into the habit of saving.

[Dr Cameron]

Given that the crux of the matter is to help younger people to save, will the Minister have a dialogue with colleagues about financial education at school, and why it is really important that children and young people have a stable and secure relationship with money and that they understand that at an early age?

[Simon Kirby]

I absolutely agree with the hon. Lady. Making sensible, correct and proper financial decisions is important for all of us throughout our lives. She has got her point in Hansard. I will also take it away with me.

Let me come back to the points raised by my hon. Friend the Member for Gloucester. There was some confusion about the factsheet of Her Majesty’s Treasury. May I make it clear that the lifetime ISA is for long-term saving, and is designed to complement pensions? Contributions to an ISA are made from post-tax income.

My hon. Friend the Member for Morecambe and Lunesdale (David Morris) mentioned self-employed people. We should never forget that many people do not have this quandary about whether they should auto-enrol or go for a lifetime ISA. There are sensible self-employed people who either want to save for later life or purchase their first home. I know that the lifetime ISA scheme will be very well received by them.

Finally, I thank the hon. Member for Bootle (Peter Dowd) for his contribution. I disagreed with almost everything he said, but I genuinely look forward to his continued involvement in this important area. Let us not forget that we have a responsibility to the millions of people out there—young people and poorer people—who should be saving and getting the very best assistance they can from the Government.

In conclusion, when it comes down to it, this Bill is about supporting people who are trying to save. It does not matter whether they are a young person looking for a flexible way to save for the future or if they are someone who is on a low income and are making a big effort to save up some money each month, they deserve a savings account that will support them and give them a boost on what they manage to put aside. Although these two savings vehicles are new, they are intended to do exactly that. I am pleased to commend this Bill to the House.

Question put and agreed to.

Bill accordingly read a Second time.

Savings (Government Contributions) Bill (Programme)

Motion made, and Question put forthwith (Standing Order No. 83A(7)),

That the following provisions shall apply to the Savings (Government Contributions) Bill:

Committal

(1) The Bill shall be committed to a Public Bill Committee.

Proceedings in Public Bill Committee

(2) Proceedings in the Public Bill Committee shall (so far as not previously concluded) be brought to a conclusion on Tuesday 1 November 2016.

(3) The Public Bill Committee shall have leave to sit twice on the first day on which it meets.

Proceedings on Consideration and up to and including Third Reading

(4) Proceedings on Consideration and any proceedings in legislative grand committee shall (so far as not previously concluded) be brought to a conclusion one hour before the moment of interruption on the day on which proceedings on Consideration are commenced.

(5) Proceedings on Third Reading shall (so far as not previously concluded) be brought to a conclusion at the moment of interruption on that day.

(6) Standing Order No. 83B (Programming committees) shall not apply to proceedings on Consideration and up to and including Third Reading.

Other proceedings

(7) Any other proceedings on the Bill (including any proceedings on consideration of any message from the Lords) may be programmed.—(Andrew Griffiths.)

Question agreed to.

Savings (Government Contributions) Bill (Money)

Queen’s recommendation signified.

Motion made, and Question put forthwith (Standing Order No. 52(1)(a),

That, for the purposes of any Act resulting from the Savings (Government Contributions) Bill, it is expedient to authorise the payment out of money provided by Parliament of:

(1) any expenditure incurred by a Minister of the Crown or a government department under or by virtue of the Act; and

(2) any increase attributable to the Act in the sums payable under any other Act out of money so provided.—(Andrew Griffiths.)

Question agreed to.

Savings (Government Contributions) Bill (Ways and Means)

Motion made, and Question put forthwith (Standing Order No. 52(1)(a),

That, for the purposes of any Act resulting from the Savings (Government Contributions) Bill, it is expedient to authorise—

(1) charges on certain withdrawals from Lifetime ISAs; and

(2) the recovery (with or without interest) of sums paid by way of government bonuses under the Act.—(Andrew Griffiths.)

Question agreed to.

HMRC: Building our Future Plan

Lisa Cameron Excerpts

Thursday 28th April 2016 Commons Chamber

[Dr Lisa Cameron (East Kilbride, Strathaven and Lesmahagow) (SNP)]

I am grateful to my hon. Friend the Member for Glasgow South West (Chris Stephens) for securing the debate, and to the Backbench Business Committee for making him such a success.

My constituency is home to one of Scotland’s best-known tax offices, Centre 1. My home town of East Kilbride is synonymous with personal tax affairs, which, indeed, are part of its identity. My own grandmother worked for the tax office there 30 years ago. HMRC is a major employer, and the movement of thousands of jobs from my town would be a massive blow to the local economy. The announcement of the planned closures of three sites has created anxiety and uncertainty. Only last month it was announced that the archive site at Hawbank Road would close by 2017; the Plaza Tower is to close by 2021, and Centre 1 by 2026.

The closure of the Hawbank Road site is particularly distressing given the timing of the announcement, and there are also real fears that the process of closures may be speeded up if lease terms cannot be agreed at what will be the last remaining site in East Kilbride in 2026. Despite reassurances from the Government, I have not been kept up to date on the status of the lease negotiations, and, again, I ask the Minister for that information.

Staff members to whom I have spoken have voiced their concern about the closures. They worry about the impact of a further staffing reductions on their ability to do their jobs well. They worry about having to travel to a new, unknown site, and about the difficulty of finding suitable childcare, given increased time away from home. They are significantly concerned about the lack of consultation, and about the effect of the proposed changes in the civil service compensation scheme if they lose their jobs. Thousands of those people both live and work in East Kilbride. They are integral to our economy—they spend money in local shops during their lunch breaks and after work—and their families are part of our community. If we are to promote economic growth in my constituency, we need to encourage companies and services to move to East Kilbride, not to leave it. “East Kilbride, here for business” is one of my main mottos. The Government must understand that if the site is closed, our local economy will be at real risk.

A few weeks ago, I asked the Secretary of State for Scotland to conduct an impact assessment of the closures. He assured me that no action would be taken without full consultation of all those involved, but that does little to allay the fears of those who will be affected, or to give any hope that the areas that will lose such vast work forces will be supported. What we require is a full impact assessment.

The staff at HMRC are specialists in their field and take pride in their roles, but decisions such as these have a detrimental impact on morale. They create staff stress and anxiety. HMRC staff should be supported so that they can do the vital work of ensuring that tax income is maximised to pay for our essential public services, rather than being left to worry about their jobs and their future while plans are put together that jeopardise their ability to do their jobs well.

HMRC’s Building our Future plan seeks to uproot staff from their established bases and communities, and to centralise them in the already well-equipped population centres around the country. The plan has been subjected to no robust parliamentary scrutiny or comprehensive consultation. My constituency can ill afford such a blow. I urge the Minister and HMRC to suspend the plan, to work with the dedicated staff at HMRC sites across the country to ensure that any proposals that are presented in the future address the revenue collection needs of the country, to conduct impact assessments, and to engage in comprehensive consultation and scrutiny.

Let me paraphrase the words of Oscar Wilde. To lose one site would be unfortunate, but, under this Conservative Government, to lose two or three sites in my constituency is nothing but extreme carelessness.

Fixed Odds Betting Terminals

Lisa Cameron Excerpts

Tuesday 26th April 2016 Westminster Hall

[Dr Lisa Cameron (East Kilbride, Strathaven and Lesmahagow) (SNP)]

It is a pleasure to serve under your chairmanship today, Sir Alan. I congratulate the hon. Member for Strangford (Jim Shannon) on securing this important debate and setting out an extremely detailed position. I declare an interest, having worked in addiction services as a psychologist for a number of years.

It is true that gambling has been a problem in society for many years. However, problem gamblers have told me that the fact that it is possible to gamble at all hours of the day and night exacerbates their difficulties. The description of fixed odds betting terminals as the crack cocaine of gambling has already been referred to. Patients have described addiction to those machines to me: the loss of large sums of money—hundreds of pounds in an instant—and the insufferable pain that relapses of such magnitude cause to families and children, who can become impoverished because of debt and instability.

Gambling, like many other addictions, also causes people to engage in behaviour that they might not otherwise. Those who have had periods of problem gambling have spoken about stealing from society and from their families to support their habit. That has an impact on social services and the criminal justice system. The machines we are discussing are among the most addictive set-ups, because they involve repetitive behaviour, random reward and very high stakes, so problem gamblers are soon chasing their tail and trying to recoup money they have lost. The availability of the machines, virtually on the high street, is a cause for grave concern. People who are vulnerable to gambling addiction describe seeing them everywhere, finding it difficult to abstain, and relapsing even if they pop out to the shops for bread and milk.

I would argue that debt causes depression and mental health problems, and we have heard that at worst it can cause suicide. Those issues have an impact on the health service. Other types of gambling have been mentioned, such as the national lottery, but I have had discourse with patients who have stated that betting on the lottery is not as addictive, because they have to wait some time to get the result. The issue with these machines is their instantaneous and repetitive nature.

I will not speak for too long, because I wish everyone to be able to speak. I have significant concerns about the availability of these machines, the number of them in shops and the number of shops that have them, the level of the stakes and the level of supervision of vulnerable individuals. I ask the Minister to look at that.

[Craig Mackinlay (South Thanet) (Con)]

Will the hon. Lady give way?

[Dr Cameron]

I cannot give way, because I want others to have the chance to speak.

I support a responsible gambling industry. We all like to have a flutter occasionally or pop into a casino on a night out—very occasionally, I add—but I urge the Minister to act. We need a balance. Vulnerable individuals are being gravely affected by these machines, and we need to address that through independent research and by developing safe and responsible policy.

Oral Answers to Questions

Lisa Cameron Excerpts

Tuesday 19th January 2016 Commons Chamber

[Mr Osborne]

We have increased our action against large-scale corporate tax avoidance and evasion, and the new diverted profits tax is designed to deal with the very real anger that people feel, particularly in the small business community, when they see large businesses not paying tax. We are also dealing with the burdens of tax administration, and we are consulting small businesses. I would just make the point that we would be crazy as a country not to make use of new digital technology and the internet to update and modernise our tax collection system, and we would regret not taking those steps today and letting other countries power ahead in reducing the burdens on business.

[Dr Lisa Cameron (East Kilbride, Strathaven and Lesmahagow) (SNP)]

8. What fiscal steps he is taking to reduce the trade deficit in order to reduce the reliance of the economy on domestic spending.

[The Chief Secretary to the Treasury (Greg Hands)]

The Government have taken a range of steps to reduce the trade deficit. Since 2010, UK Trade & Investment has more than doubled the number of businesses supported, and UK Export Finance has provided more than £15 billion of support. Earlier this month, I saw some of the results of that support when I met entrepreneurs at ESpark’s new hatchery in Edinburgh. Many start-ups and exporters in Scotland greatly appreciate UKTI’s assistance. I welcome the Government’s announcement this morning of an improved UKTI approach to exporters across the whole of the UK.

[Dr Cameron]

It is incredible for the Minister to continue with a policy that has failed and that resulted last year in a horrendous £123 billion deficit in the trade of goods. We all want to see reduced dependence on consumer debt, but is it not time for him to admit that the UK Government’s policy has failed? I gently suggest revision.

[Greg Hands]

The trade deficit is actually improving as a share of GDP, and it is projected to continue to do so in the Office for Budget Responsibility’s forecast. What would be an absolute disaster is the Scottish National party’s policy of full fiscal independence, which would cost Scotland £10 billion a year, added to which the collapse in the oil price would, according to the OBR, result in revenues this year being down by a staggering 94%. That would be a disaster for Scotland.

HMRC Office Closures

Lisa Cameron Excerpts

Tuesday 24th November 2015 Commons Chamber

[Dr Lisa Cameron (East Kilbride, Strathaven and Lesmahagow) (SNP)]

Thank you, Madam Deputy Speaker, for allowing me to speak in this extremely important debate.

It has been announced that the Hawbank Stores site and the East Kilbride Plaza site in my constituency are due to close in 2021. The Queensway House site is due to close in 2026, but that proposal is tentative and depends on whether better lease terms can be agreed.

The restructuring of HMRC is a direct result of the Treasury’s demand for a 30% cut to its budget to satisfy the Chancellor’s austerity agenda, which the majority of the people of Scotland did not vote for. The result is that many people in my constituency face uncertainty and anxiety over their future because of the Westminster Government’s ideological drive to cut public services.

The East Kilbride tax office and its workforce are a significant and long-standing institution in the local community and in the economy of my constituency. Everyone in my constituency is related to or knows someone who works there or has worked there. In fact, my grandmother worked as a tax office clerk in East Kilbride some 30 years ago.

Some workers may have the opportunity to be relocated to the proposed regional offices. That will be of no consolation to those who lose their jobs and neither will it negate the anxiety in the interim, as people wait to find out their fate.

At a time when tens of billions of pounds are still lost to tax evasion, these cuts make no sense. They are likely to have a detrimental impact on society and the economy at a local and national level. Removing those jobs from the local area does not only affect the employees involved because it has a wider impact on the whole community. It is likely to have a significantly adverse impact on local businesses and other jobs, and cause great difficulty in promoting economic growth. We want to encourage companies and services to locate to our constituency, not to leave. For those workers who are moved to regional offices, the additional and enforced commute is likely to impact on their personal lives by reducing the time that they can spend with their families. That is likely to have additional financial implications owing to extra travel and the bearing it could have on childcare.

The closures are counterproductive and send a clear message that the Government are going soft on tax collection and tax evasion. It is appalling and draconian that three offices are proposed to close in my constituency. Oscar Wilde famously wrote:

“To lose one parent may be regarded as a misfortune; to lose both looks like carelessness.”

I suggest that to lose three tax offices is unforgivable, and if the closures go ahead, it will be ingrained forever that the Conservatives are no friends of the people of East Kilbride, Strathaven and Lesmahagow.

I urge the Minister to return to the drawing board—he has been described by some as “reasonable”—and to consult, review, conduct impact assessments, and urgently to meet me and local staff, my colleagues and devolved Governments, and my hon. Friends who have spoken today.

[Several hon. Members rose—]

Tax Credits

Lisa Cameron Excerpts

Thursday 29th October 2015 Commons Chamber

[Sammy Wilson (East Antrim) (DUP)]

As other Members have said, this has been a measured debate—thanks in no small part to the way in which it started, with the contribution from the right hon. Member for Birkenhead (Frank Field). He approached the debate from the point of view that this proposal will adversely affect many of the people in our constituencies who want to improve their lives and who go out to work every day. The subject deserves the measured response and thoughtful ideas put forward by the right hon. Gentleman. He set the standard for the debate, and his approach has been replicated by other Members. A debate like this can lead to the kind of knockabout that we sometimes get in a confrontational Parliament such as this one. Some of us enjoy that kind of knockabout, but I am not so sure it would serve those whose lives are being affected by the proposal.

In the light of that, the way in which the Government respond to the debate will be important. They could rail against the constitutional outrage of the unelected House of Lords defying the elected House of Commons. They could even call, Henry II-like, for someone to rid them of those turbulent toffs down the corridor, and then bring in minimal changes. That would be a mistake.

Another option is for the Government to bring forward minimalist proposals in the autumn statement, which will deal with those who are uneasy on the Back Benches but will still not address the real problems. The Government could have a complete rethink and involve those who wish to make a constructive contribution. As Members have said, a number of Committees could be engaged in the process. The devolved Administrations should not be exempt from the process. The Northern Ireland Statistics and Research Agency has done extensive work for the Northern Ireland Executive on the impact of these changes on a wide range of groups. That work should feed into the data that the right hon. Member for Birkenhead referred to in his comments.

There are good reasons why the Government should take that constructive approach. There is widespread recognition—Members from all parties have made this quite clear—that we cannot continue to have taxpayers subsidising low wages from employers who can afford to pay more. That is the whole basis of the Government’s policy. It is about rebalancing the economy, and there is now a recognition that that needs to be done.

There is also a willingness to look at the matters that need to be addressed, the first of which is timing. If we are to make the change, there must be an assurance that the safety net currently available to the low paid will not be removed until the problem of low wages has been fixed. That must be the central premise.

[Dr Lisa Cameron (East Kilbride, Strathaven and Lesmahagow) (SNP)]

Does the hon. Gentleman agree that issues such as public sector pay increases must also be looked at? Often, very low paid public sector workers—school cleaners, cooks and nursing assistants—are the bedrock of our society.

[Sammy Wilson]

That issue will be addressed if we deal with it as I have suggested, by which I mean that the safety net is not removed until the issue of wages has been dealt with. That is the first important principle.

The second proposal is that we must be sure that we have identified all the groups that are likely to be affected during the transition. The one group I have mentioned time and again in debates includes those who will not be affected by the national living wage—the under 25s. Many of them will have families. If we set the pattern that work does not pay at the very beginning of their working lives, they will stay in that pattern. Therefore, it is important that we address the needs of that group.

Then there are the families with children. On that point, I would appreciate some answer from the Minister on the childcare allowance and the extra childcare funding that is available. It is a devolved issue in Northern Ireland, but will there be a Barnett consequential so that the same arrangements could be put in place as the Chancellor has suggested for England and Wales?

Thirdly, there must be recognition that different sectors in different regions are at different points in the cycle. There are some places where the labour market is buoyant, and where profits are increasing. In those sectors and regions, an increase in the national living wage can be afforded. However, there are other sectors and other regions where that may not be the case. There is no point in simply treating everywhere as if it were the south-east of England and the IT or banking industry and then imposing burdens on them. Small businesses and retail sectors have been identified here today. It is important that cognisance is given to the fact that there is uneven performance across the economy.

Tax Credits

Lisa Cameron Excerpts

Tuesday 20th October 2015 Commons Chamber

[Dr Lisa Cameron (East Kilbride, Strathaven and Lesmahagow) (SNP)]

I have some basic points to make, because so much has already been said in this debate. Constituents of mine have urged me to speak today because of the poverty they are now experiencing. They are having to go to food banks in order to feed their children, and they feel ashamed about that. They are working extremely hard to make ends meet every day, working for every penny, yet they feel that they are being punished by this Government.

I urge Conservative Members please to consider the impact that these changes will have on hard-working families, those that the Government say they are responsive to and care about. That is absolutely imperative, not just for my constituents but for people across the UK. These tax credit cuts are unfair to hard-working families in Scotland and across the UK. I urge Conservative Members to listen to everybody’s views tonight, take account of their constituents, who I am sure are hurting just as much as ours, and pay attention when we speak about these crucial issues that our constituents are informing us about.

We really must take account of those who are trying their hardest to get on that first rung of life and to protect their families and those nearest and dearest. I therefore urge the Government to vote against this measure by supporting the motion and ensure that the most vulnerable in our society, including the disabled, are protected.