Oral Answers to Questions

Scott Mann Excerpts

Tuesday 29th November 2016 Commons Chamber

[Mr Hammond]

As I said on Wednesday, with the additional social care precept and the better care fund, we have measures in place that will make £3.5 billion of additional funding per annum available for social care by the end of this Parliament. But we recognise that local authorities have a challenge in the profiling of that money. My right hon. Friends the Health Secretary and the Communities Secretary are very much aware of that and are in discussions about it with health bodies and local authorities.

[Scott Mann (North Cornwall) (Con)]

I welcome my right hon. Friend’s announcement in the autumn statement of £1.7 million of LIBOR money going to Sea Sanctuary to help with mental health provision in Cornwall. Does he agree that that will be a huge help for people all over Cornwall who in the past have had to travel many hundreds of miles to access such services?

[Mr Hammond]

I am very pleased that the money will deliver that effect in Cornwall. It is always good to see fines levied on the appalling behaviour of the few making such a positive difference to the many.

Oral Answers to Questions

Scott Mann Excerpts

Tuesday 19th July 2016 Commons Chamber

[Mr Hammond]

Very clearly, the intention of the introduction of the living wage was not to make people worse off; it was precisely to support the living standards of those on the lowest wages. I will look carefully at the case that the hon. Lady has drawn to my attention.

[Scott Mann (North Cornwall) (Con)]

I welcome the Chancellor to his post. A report published in March illustrated that someone who lives in a deprived area is 50% less likely to start a business on a self-employed basis, and it highlighted the barriers they face to starting such a business. Will my right hon. Friend consider the recommendations in the report and work with me to reverse that trend?

[Mr Hammond]

I am very happy to do that. One of the great strengths of the UK economy is our innate entrepreneurialism. We need to foster that, and we need to make sure that it works in all areas, regions and nations of the United Kingdom.

Fixed Odds Betting Terminals

Scott Mann Excerpts

Tuesday 26th April 2016 Westminster Hall

[Carolyn Harris (Swansea East) (Lab)]

It is a pleasure to serve under your chairmanship, Sir Alan. I declare an interest as the newly elected chair of the all-party group on fixed odds betting terminals. I congratulate the hon. Member for Strangford (Jim Shannon) on securing the debate. I know that my hon. Friend the Member for Hyndburn (Graham Jones) was also very keen for it to take place.

Huge amounts are being lost in fixed odds betting machines by those who can least afford it. In 2014-15, gamblers lost £2 million in my constituency alone. There are 20 licensed betting shops in the area, which means that that £2 million was lost on 80 FOBTs in Swansea alone—£25,000 on each machine. As many Members will point out, there are 35,000 FOBTs located in bookmakers throughout the UK, on which gamblers can play casino-style games with a £100 maximum stake every 20 seconds—that is £300 a minute. We know that there is a link with problem gambling: four out of five FOBT gamblers exhibit problem gambling behaviour at stakes in excess of £13 a spin, compared with one in five at stakes of £2 and under.

Not only do FOBTs provide hard, high-stakes gambling on British high streets, but many bookmakers have only one member of staff on duty. Bookmakers’ shops often suffer high levels of crime and violence, and a single member of staff is expected to manage the premises, supervise the gambling, memorise scores of faces to enforce a self-exclusion scheme, and carry on their other duties. It is ludicrous.

[Scott Mann (North Cornwall) (Con)]

Does the hon. Lady agree that the difference between where gambling was 15 years ago and where it is now is that there used to be a pause for reflection between, for example, greyhound races and horse races? Gamblers would think about whether they were going to continue to spend their money. With fixed odds betting terminals, there is no pause for reflection, which tends to be where problem gambling comes in.

[Carolyn Harris]

FOBTs have been called the “crack cocaine of gambling”, and what the hon. Gentleman says reinforces that idea. Betting shop staff are not in a position to intervene when punters, as they like to be called, exhibit signs of problem gambling. They have no training to deal with it. Every year, 7,000 FOBTs are smashed up by irate customers and there are 10,000 calls to the police, despite the fact that bookmakers discourage staff from reporting such crimes.

As was mentioned earlier, FOBTs are used for money laundering. I recently asked the Treasury to look into the problem. The machines have few filters and the money launderers know how to work within the limits. Supervision is low and CCTV is poor, so it is a safe environment—a haven—for money launderers. Regulations were introduced last year to require players to open an account in a bookmaker if they want to stake more than £50. In my experience, that opens people up to receiving advertising and tempting texts and emails encouraging them back into the bookmakers to spend money that they do not have. Some people get around the stake limit by gambling between £40 and £50, while others use two machines simultaneously.

Before FOBTs were introduced, bookmakers were a relatively benign part of the social fabric. In fact, I would say they were welcome—everybody liked a flutter on a Saturday afternoon. Since the introduction of FOBTs, bookmakers have become a major problem, with rising crime levels. The introduction of FOBTs is the only variable that has changed. The ComRes survey that has been mentioned showed that seven out of 10 MPs from all parties agree with me and others that FOBTs are a dangerous pastime.

The Government are due to launch their triennial review, so now is the time to look carefully at the damage that these machines are doing. The Gambling Commission has said that, if the stake were being set now, it would advise against £100 as a precautionary measure and would advocate a £2 level. There is a wealth of evidence about the harm that these machines cause. There have even been two tragic suicides: Ryan Myers from Liverpool and Lee Murphy from Aberdeenshire took their own lives as a consequence of their addiction to these dreadful machines.

Bookmakers argue that reducing the stakes would have an economic impact. A report by NERA Economic Consulting assessed the claims of shop closures and job losses. It concluded that

“cutting the stake on these machines would reduce the numbers of bookmakers by about 800, primarily where the clusters have developed”—

there are often four or five bookmakers in a close-knit area—with

“just 5 to 10 per cent fewer shops than before the introduction of B2 machines in 2000.”

Moreover, it found that the move

“would create a net positive 2,000 high street jobs as money returned to the more labour-intensive and productive high street shops.”

Limiting the stakes would benefit traditional horse-racing, as money would return to over-the-counter betting and bookies would return to their traditional role as a valued part of the high street. The horse-racing industry would also benefit from an increased levy. It would be a win-win: a win for the high street and a win for the bookies as they returned to being bookmakers. There would be reduced harm, fewer deaths and more jobs. I ask the Government to look at these machines and to take Members’ thoughts on board.

Oral Answers to Questions

Scott Mann Excerpts

Tuesday 19th April 2016 Commons Chamber

[Mr Gauke]

I remind the hon. Gentleman that the last Labour Government looked at this issue and declined either a general anti-abuse rule or a general anti-abuse principle because of fears of uncertainty. We believe we have got the balance right. However, alongside the introduction of the anti-abuse rule, we have brought in measures to deal with accelerated payments and promoters, we closed 40 tax loopholes in the last Parliament and we have announced 25 closures in this Parliament already. It is worth pointing out that avoidance is coming down.

[Scott Mann (North Cornwall) (Con)]

9. What assessment he has made of the effectiveness of measures to support the economy in the south-west announced in the Budget 2016.

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

We announced at the Budget an extensive package for the south-west covering both rail and road: a new marine hub enterprise zone in Cornwall, a £4.5 million boost for ultra-fast broadband across the region and, to top it off, a £900 million devolution deal with the west of England. The south-west will also benefit from the income tax cuts and business rate reductions announced in the Budget.

[Scott Mann]

One item that went largely unnoticed in the Budget was the £19 million for community land trusts in the south-west to mitigate the impact of second home ownership. How will that money be allocated? Will my right hon. Friend work with me and fellow Conservative MPs in the south-west to ensure that that money is put aside to help people to purchase plots and to help working people to get on?

[Greg Hands]

My hon. Friend is right that we will be releasing £19 million for community-led housing in the south-west. I look forward to discussing with him how we might best approach that issue. We are also introducing a new right to build and reforms to planning, which will boost the custom-build sector in Cornwall and beyond.

Tax Credits

Scott Mann Excerpts

Thursday 29th October 2015 Commons Chamber

[Scott Mann (North Cornwall) (Con)]

I thank the right hon. Member for Birkenhead (Frank Field) for securing the debate. This is the first opportunity that I have had to contribute to the tax credits debate.

The primary aim of this Government is to pay down the deficit, reduce public spending and unshackle the £3,000 that hangs around the neck of every child that is born in the UK. The Prime Minister has lifted thousands of people in my constituency out of income tax altogether, given 30 hours of free childcare and introduced the new living wage. I am proud to associate myself with those measures.

When tax credits were first introduced by Labour, they cost £4 billion a year. This year, I believe, they cost £30 billion, so they clearly need reform.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

Does the hon. Gentleman understand that working tax credits and tax credits are means-tested welfare benefits, so if the welfare bill has gone up, it is because families’ incomes have not risen significantly? That is the real reason why the bill has increased, so we need to get incomes to rise.

[Scott Mann]

I accept the hon. Gentleman’s point, but we are looking to increase the living wage to ensure that people are better off in work than out of work.

[Mr Angus Brendan MacNeil (Na h-Eileanan an Iar) (SNP)]

Surely the Government are tackling the problem the wrong way round. They should have got incomes up before they cut people’s wages. What they are doing is cutting people’s earnings now, and in four years’ time they may introduce what they call a national living wage, which in fact is not a living wage.

[Scott Mann]

I thank the hon. Gentleman for his contribution. I will deal with that as I continue my remarks.

The proposals presented by the Opposition over the past few days would maintain the status quo. They believe that we should not change the £30 billion tax credit bill at all. [Interruption.] I do not accept that. They have offered no credible plan to take this burden off our children. [Interruption.] I was elected on a manifesto to reduce the welfare bill and I hope we will do that. We on the Government Benches know that we have to take the difficult decisions that lie ahead in order to bring about spending reductions. It is all very well for the Leader of the Opposition to ask six questions on tax credits yesterday, but a policy that affects 3 million families cannot be changed on a whim. I welcome the Chancellor’s announcement that he will deal with the matter in the autumn statement.

[Steve McCabe]

Is the hon. Gentleman saying, therefore, that the Prime Minister could not answer because the Government are not committed to protecting families from this problem?

[Scott Mann]

Absolutely not. We are looking seriously at the proposal and we will make some announcements in the autumn statement.

North Cornwall, which I represent, is a modest-waged economy. We benefited from the economic improvements that the country has seen. We have seen rising school provision and many people in my constituency have benefited from the Help to Buy scheme. They are trying to improve their lot in life and trying to do the right thing. As my hon. Friend the Member for Tiverton and Honiton (Neil Parish) said so eloquently, the Government must ensure that we make it better for people to be in work than out of work, but we must support those who work.

[Jeremy Quin (Horsham) (Con)]

I do not want to put my hon. Friend off his stride, but remarks were made from a sedentary position on the Opposition Benches during the earlier part of this speech. In the course of this debate we have had a non-partisan discussion. I thought I heard Opposition Members say that Labour is keen to see changes in tax credits and would move to cut the £30 billion of expenditure. Does my hon. Friend, like me, look forward to hearing such remarks made from the Opposition Front Bench, with an explanation of how the Opposition would cut the bills?

[Scott Mann]

I would indeed welcome that. We have heard nothing from the Opposition to illustrate how they would deal with the £30 billion deficit.

[Kevin Foster]

Does my hon. Friend agree that those comments were surprising because Labour has voted against every welfare change made over the past five years?

[Scott Mann]

Absolutely correct. It is ultimately our responsibility to look at all the financial provision that we make as a Government and ensure that that money is distributed to people who are trying to do the right thing.

[Rob Marris (Wolverhampton South West) (Lab)]

Will the hon. Gentleman give way?

[Scott Mann]

One more time.

[Rob Marris]

I am grateful. Let us be clear. The hon. Gentleman attacks Labour for having a policy that we do not have. That is unacceptable. Our policy is not to continue with £30 billion of tax credits for ever more. As my hon. Friend the Member for Lewisham, Deptford (Vicky Foxcroft) said, we want to change that. It is a question of phasing and whether we cut incomes from tax credits before wages go up. That is the Government’s policy and that is what we oppose.

[Scott Mann]

Forgive me—I thought the two Opposition-day debates were aimed at abolishing the proposal completely.

This Government know they need to make tough decisions, but they need to make them with fairness and compassion. The measures that we are putting in place to manage the transition are to be welcomed, and the national living wage, the free child care arrangements, and the social rent reductions of 1% a year that are being implemented for those who live in social rented homes will help some people to manage the transition. However, it is evident that some people will fall between the cracks. People with older children aged between eight and 14, for example, who do not necessarily have child care provision that they can allocate, single parents who currently earn more than the living wage, and those in private accommodation who do not benefit from the rent reductions will be affected.

There are many better economists in the House than I. It is not a subject that I profess to be particularly good at, but I would like to offer some financial solutions. How about going after VW, which seems to owe a huge amount of money to our Government from the vehicle excise duty that it has not paid? We should use some of that money. How about abolishing national insurance for anyone who is under the income tax threshold? We could also give tax breaks to grandparents or provide a transferable allowance for that 30 hours of free childcare. Many working families use grandparents to provide care. I see no reason why we could not change the childcare arrangements to take account of that. We could consolidate tax credits for new claimants, which would reduce the welfare bill.

I welcome the opportunity to get on the record in this debate, and I welcome this moment of pause that has been presented to us by the other place. I am here today to stand up for the thousands of working people in North Cornwall and I urge the Chancellor to assist them in their efforts to work and to earn.

Royal Bank of Scotland

Scott Mann Excerpts

Thursday 11th June 2015 Commons Chamber

[Harriett Baldwin]

I am pleased to welcome my hon. Friend back to the House. He has made an important point. In his speech, the Governor said that it was right to fine many financial services organisations that had behaved badly in both the recent and the distant past, because such behaviour reduces banks’ capital. Responsibility needs to fall on the individuals who are culpable, and also on the management of those individuals. Reducing the capital that is available through regulatory actions contracts the supply of lending to small businesses.

[Scott Mann (North Cornwall) (Con)]

May I draw attention to my entry in the Register of Members’ Financial Interests? I am a former Royal Mail employee, and a small shareholder.

How does my hon. Friend think posties up and down our great country will have responded today to the announcement of a 1% gift in shares, and the announcement of the continuation of our universal service obligation?

[Harriett Baldwin]

I welcome my hon. Friend to the House. He speaks with great knowledge and eloquence about the real experience of the hundreds and thousands of men and women up and down the land on whom we rely every day for our post. I am delighted to be part of a Government who have enabled them to own shares in the organisation for which they work.