Oral Answers to Questions

Debate between Lord Benyon and Lilian Greenwood

Thursday 7th March 2013 Commons Chamber

[Lilian Greenwood (Nottingham South) (Lab)]

8. What recent discussions he has had on flood insurance.

[The Parliamentary Under-Secretary of State for Environment, Food and Rural Affairs (Richard Benyon)]

The availability and affordability of insurance in flood-risk areas are important issues for the Government. Constructive negotiations continue with the insurance industry, at the highest levels of Government, on a range of approaches that could succeed the current statement of principles. The Government are on course to spend £2.3 billion on reducing the risk from flooding and coastal erosion and delivering better protection to 165,000 households over the four years to March 2015.

[Lilian Greenwood]

On 24 January I asked the Minister how much premiums will rise if he fails to reach agreement with the insurance industry. In response, he assured me that negotiations were at an advanced stage and that he would come to the House with details shortly. I understand that he does not actually have a seat at the negotiating table, but when does he expect to have news of a deal from his Cabinet Office and Treasury colleagues?

[Richard Benyon]

I think that there is a misconception in some parts of the House that the statement of principles represents some halcyon world in which our constituents living in high flood-risk areas are protected from exorbitant rises in premiums. That is not the case. What we want is affordability to be brought into the new system. I am involved in those conversations at the highest levels and want to assure the House that we are working as hard as we can to find a solution that can give comfort to everyone who is at risk of flooding, particularly those on low incomes.

Oral Answers to Questions

Debate between Lord Benyon and Lilian Greenwood

Thursday 24th January 2013 Commons Chamber

[Richard Benyon]

I would love to be able to announce that a deal had been reached. As I have said before, I am afraid that we cannot negotiate these issues on the Floor of the House. They are sensitive—and market sensitive, too—and we want to ensure that when we come to the House we have a rock-solid case that is watertight and that will last for a long time. I know that this matter is a great concern to the hon. Gentleman’s constituents and I am delighted that preparatory work has started on the flood scheme in Morpeth. The real comfort will not come, however, until his constituents have the assurance they need on insurance.

[Lilian Greenwood (Nottingham South) (Lab)]

How much does the Minister think premiums will rise by next year if he is not able to reach agreement with the insurance industry?

[Richard Benyon]

The real problem is that premiums have been rising pretty dramatically while the statement of principles has been in place. There is no affordability element to the statement of principles. We want to protect those on low incomes in flood-risk areas, and we think we have a method of doing that. We are at an advanced stage in negotiations; I will come to the House shortly, I hope, with details.

--- Later in debate ---

[Richard Benyon]

I am really impressed with what is happening in Swindon and Wiltshire, and I want to use it as a model around the country. I am happy to meet my hon. Friend to discuss it further.

[Lilian Greenwood (Nottingham South) (Lab)]

T9. Will the Minister confirm that legislation to ban wild animals in circuses will be included in the next Queen’s Speech, or can we expect more delays on that important animal welfare issue?