Oral Answers to Questions

Aaron Bell Excerpts

Wednesday 6th September 2023 Commons Chamber

[Mr Baker]

Under the protocol as it was, all parcels would have needed to complete full international customs processes. I believe that the suppliers to whom the hon. Gentleman refers will be making their plans under the protocol as it was. Under the Windsor framework, parcels to consumers will not be subject to those burdensome processes. He reminds us all that we need to redouble our efforts to communicate to suppliers the message that they will be able to take advantage of a new green lane and supply to consumers in Northern Ireland. It is a subject close to my heart, and I can see that it is extremely close to his too.

[Aaron Bell (Newcastle-under-Lyme) (Con)]

6. What steps his Department is taking to ensure the sustainability of Northern Ireland’s public finances.

[The Minister of State, Northern Ireland Office (Mr Steve Baker)]

The Northern Ireland Budget (No. 2) Bill 2023-24 is progressing through Parliament and is due to be debated in the other House next week. The Secretary of State has used his powers to request information and advice from the Northern Ireland civil service on measures that could generate revenue and improve the sustainability of public finances.

[Aaron Bell]

I thank my hon. Friend for his answer. I congratulate him and the Secretary of State on their anniversaries and pay tribute to them for all they have done in the past year.

Some have suggested that we could reform the Barnett formula to address the sustainability of public finances in Northern Ireland, but does my hon. Friend agree that that is not a silver bullet, and that trade-offs will need to be made to fund public services?

[Mr Baker]

I am extremely grateful to my hon. Friend for his question. This is a very important point. Although we will remain open to discussing proposals put to us by the Northern Ireland parties, it would not be a silver bullet to reform the Barnett formula. An Executive will still need to make trade-offs when they decide to spend scarce resources. Negotiations between the Welsh Government and the Treasury on a fiscal framework, which included an adjustment to the Barnett formula, took place over seven years, so, with the best will in the world, it is not an issue that can be solved overnight. What we need is a functioning Executive and we stand ready to work with that Executive. In the meantime, we will continue to engage with the Northern Ireland civil service on a range of measures that could improve fiscal sustainability.