(2 days, 21 hours ago)
Lords ChamberMy Lords, I am sure we all wish Andy Burnham well in his new job as our Prime Minister. He is able to connect with people, is a good communicator and he listens. He has certainly said the right things and spoken honestly and with sincerity about the major issues that we face. But speaking about issues is the easy part; carrying out the actions and holding his and his Government’s nerve when the going gets tough is a very different matter.
He was right to say that Brexit has had a devastating effect on our economy. It may be a bit of an understatement. I would also remind him, supportively, that if Labour at the time of Brexit had fully engaged with the remain campaign, rather than its then leader’s pipsqueak response, we would still be in and at the heart of Europe. As a result, GDP in the UK is 6% to 8% smaller than it should have been, and we have lost £90 billion a year in tax revenues. I look forward to the Government moving much closer to Europe on so many fronts and laying firm foundations to our eventually reapplying to join the EU.
The Prime Minister is committed to properly funded social care provision and has reached out to other parties to work with him. How refreshing is this? My party, which has also championed this issue, will certainly do so. I remember when local authorities had the financial resources to open care homes for the elderly. We have seen how private equity companies have moved in on children’s homes. I do not want to see care homes being run by multinational companies; my hope instead is that they be run by LAs, charities and not-for-profit providers, which are part of the community. The duty of any Government is to protect its people and ensure that the economy is on a firm footing. Paying debt charges—borrowing charges—of between £300 million and £337 million every single day is mad. Just think what that money could be spent on.
In financial education we teach children the dangers of interest charges. A “live now, pay later” economy is not what we should be having. To get the economy on an even keel will require nerves of steel, and tough decisions and tough choices will have to be made. Welfare spending is forecast to exceed £400 billion a year by the early 2030s. UK borrowing costs have risen sharply, with the 10-year gilt yield reaching 5.23% and the 30-year yield reaching 5.87%. We are being warned that we have halved the roughly £24 billion of fiscal headroom, while public spending is forecast to reach 44.9%.
The world is a very dangerous place, and who would have thought there would be a war on our own doorstep. Putin’s Russia is pushing the boundaries all the time, whether through proxy agents or misinformation. As a nation we need to make sure that if, God forbid, there is armed conflict, we can protect ourselves and support others. In recent years our military has been hollowed out, leaving the Army and the Navy the smallest since the Napoleonic wars. We need to be able to commit to our contribution of 3.5% not by promises but by having identified the money upfront. My party suggested war bonds as a means of raising finance. I hope the Government will explore that option.
Finally, I want to say how disgraceful it is that we are heading towards 1 million people not in school, training or a job. I agree with the noble Lord, Lord Hunt, on this. We cannot wait for Alan Milburn’s report: we must do something now.
(6 years, 7 months ago)
Lords ChamberMy Lords, this amendment would ensure that there is parliamentary oversight of the UK’s participation in the next Erasmus programme. In Committee, I was taken with the strength of feeling from Members across the House about this jewel in our education system. I think the noble Earl, Lord Clancarty, made the point that it is really important to young people from disadvantaged backgrounds, but it is also important for volunteering, studying, apprentices and so forth.
There was concern that there seemed to be mixed messages coming from the Government. On the one hand, we had a comment I think in Schools Week from the Secretary of State for Education, Gavin Williamson; on the other, we heard from our Prime Minister that there was no threat to the Erasmus programme. The Minister himself, in the wind-up to the debate, played a very straight bat in that he acknowledged the importance of this programme. He reminded us that those students who are engaged spent some time abroad as part of this programme; they are more likely to achieve better degree outcomes, to enhance their language skills and to improve their employment prospects. That is not something to throw away lightly.
The Minister also made the point that while we are committed to the current Erasmus programme, the next Erasmus programme will be part of negotiations. He reminded me recently that we are net contributors to the programme and so have some leverage in this. We understand that there are going to be discussions, that the Government support this programme and that they want to get the best possible deal for young people. We also understand that there are other programmes involving not just European countries but countries throughout the world. However, it would be helpful if the Minister indicated that your Lordships would give some sort of oversight to the work that goes on in securing the successor to the Erasmus programme. I beg to move.
My Lords, this is a very slimmed down amendment compared to what we debated in Committee last week. Nevertheless, it provides some degree of certainty that Erasmus would at least be a prominent and visible issue on the Government’s agenda as we negotiate the details of our departure from the EU over the next year. That should provide some comfort, especially to universities and all the young people aspiring and hoping to become students or apprentices over the next few years.
In Committee, the Minister put forward a couple of specific reasons for his caution about signing up as full members to the next stage of Erasmus+. One was that not enough information was yet available about what the next phase of Erasmus+ would look like, between 2021 and 2027. However, in my contribution to that debate I set out detailed information about exactly what the budget for the next phase would be. There is already an agreed budget with minute details of exactly how much would be allocated to specific areas of education and training, and to vocational activities. This is good enough for the 27 EU member states and for the six other countries that have signed up as non-EU members of Erasmus+, so I am still rather puzzled as to why it is not good enough for us, when we know that Erasmus has been so beneficial up to now.
The second reason advanced by the Minister was that the Government want to expand their mindset from being just Europe-focused to being more global. Absolutely right, but again, as I said in Committee, Erasmus+ does precisely that. The “plus” refers to the fact that the programme now enables students and other young people to take up placements, activities and projects across the world, not just within the EU. Erasmus+ is already completely in line with the policies and statements of Her Majesty’s Government as expressed in the last week by the Department for Education and the Prime Minister. Conversely, without Erasmus, we will do measurable and serious damage to education, trade, diplomacy, defence and security over the longer term. These are all areas where language skills are increasingly vital.
Erasmus+ and this amendment do absolutely nothing to frustrate this Bill or our departure from the European Union. Again, I ask the Government to be consistent with their own statements, and to be magnanimous and adopt this very modest amendment.
Lord Agnew of Oulton
I am certainly very happy to share with the noble Lord any information that I get on the spending review when it is available, but I suspect that I will not be privy to that any sooner that he will be.
My Lords, as Universities UK, or UK universities, have said, it would be impossible for a replacement for Erasmus to match the reputation, brand awareness and sheer scale of the current programme. Therefore, we lose Erasmus at our peril. I hear what the Minister says and understand that his hands are tied to some extent, but I do not think that young people in particular will forgive us if we lose Erasmus. I was interested to hear about the oversight tools and scrutiny, and the Minister can rest assured that your Lordships will use them to the full. I hope that he can keep us up to date and informed of progress. I beg leave to withdraw the amendment.