(1 week, 1 day ago)
Commons ChamberI am sure people will be pleased to hear that the Labour party is going to honour some of its manifesto commitments.
Last week, it was announced that the Government’s attempt to join the new EU defence fund had failed. This is a major setback for our relationship with the EU, and it is a major embarrassment for the Government. Since that time, no Minister has come to the House to explain what on earth has gone so horribly wrong, so perhaps the Chancellor of the Duchy of Lancaster can tell us: what has gone so horribly wrong?
First, regardless of the negotiation on SAFE, our collaboration with European partners is stronger than ever on defence and defence procurement. In relation to SAFE in particular, about which the hon. Member asked, this was always going to be a negotiation between the EU and the UK, and the UK Government rightly have to consider value for money considerations in return for how much access British industry has to the contracts being negotiated in Europe. Irrespective of the position on SAFE, I can confirm to the House that UK companies will still be able to take part in European procurement for defence equipment, with an up to 35% allowance for British components in those manufactured goods.
I admire the Chancellor of the Duchy of Lancaster’s chutzpah in answering. He pretends that this was in some way not a defeat, but a victory—many more such victories, and we are lost.
The House will remember that in May, No. 10 trumpeted a new agreement with the EU, which gave the EU privileged access to our fishing waters for 12 years—12 years—to
“pave the way for the UK defence industry to participate in the EU’s proposed new…defence fund”.
Now that the EU has killed off that deal with what the Chancellor of the Duchy of Lancaster rightly describes as an unreasonable demand for £5 billion, are we going to get our fish back?
The hon. Member will know that the agreement with the European Union was not just on one particular issue; it was a package of improvements in the relationship between the UK and the EU. He might want to welcome the agreement on food and drink regulation reforms, so we can get prices down on the shelves in British supermarkets, after they went through the roof under the last Conservative Administration.
A few weeks ago I wrote to the Chancellor of the Duchy of Lancaster about Chinese ownership of critical national infrastructure, including the possible acquisition of Thames Water. I have not had a reply, but since then The Telegraph has been briefed by the Government that the Chancellor of the Duchy of Lancaster would block such an acquisition. Can he confirm to the House that he will use his powers under the National Security and Investment Act 2021 to launch an investigation before any Chinese acquisition of Thames Water is allowed to proceed?
The House will know that because of the quasi-judicial powers I have under the National Security and Investment Act 2021, I cannot comment on individual transactions. I can assure the hon. Gentleman that we are always willing to use those powers to protect the national interests and national security of this country. I do not recognise that briefing to The Telegraph, but I will ensure that he gets an answer to his correspondence shortly.
Well, someone was briefing in the right hon. Gentleman’s name. I thank him for his answer, but on the same theme, the electricity distribution network for London and much of the south-east, as well as the gas distribution network for about 5 million people in our country and the water supply for about another 3 million, are currently under Chinese ownership. That includes the power supply for the Palace of Westminster, Whitehall and many security capabilities. Will the Chancellor of the Duchy of Lancaster tell us whether he has reviewed the national security implications of these legacy acquisitions? If not, will he commit to doing so?
I can reassure the hon. Member and the House that we constantly keep critical national infrastructure risks under review and will take interventions as required to protect the national interest and national security of the United Kingdom.
(1 month, 2 weeks ago)
Commons ChamberI thank the Chancellor of the Duchy of Lancaster for giving us a degree more clarity. Perhaps he will give us a degree more clarity again. Was he told that the alleged case of spying against Members of Parliament was due to collapse before the information became public and, if so, who told him?
I believe the right hon. Gentleman, but I find that answer extraordinary, and I think he should find it extraordinary, too. As we have already said, the right hon. Gentleman chairs the National Security Council. He oversees the Cabinet Office’s national security secretariat. The Prime Minister knew, the Home Secretary knew, the Cabinet Secretary knew, the chief of MI5 knew, the Attorney General’s Office knew, but the Chief Secretary to the Prime Minister did not. Has he asked why he was not told, and what answer was he given?
The hon. Member seems to be confused by his list of institutions. The only relevant institution in this case is the Crown Prosecution Service. It is the CPS that independently decides whether to bring forward these cases, and it was the independent decision of the Crown Prosecution Service not to proceed. Might I just point out that the Opposition’s arguments over the last few weeks have been quite bemusing? They started with an accusation that there was political interference in a Crown Prosecution Service case. That was proven not to be the case, so they changed their argument and are now asking, “Why did you not politically interfere, because that is the way we do things in this country?”
(1 year, 1 month ago)
Commons ChamberIt is the greatest real-terms increase in funding since devolution began. If the devolved Government wish to take responsibility for devolved matters, they should do so. If they do not wish to do so, Labour will happily take over at the next election to deliver better services for the people of Scotland.
Many Members have asked me to comment on the new hospitals programme. As the Secretary of State for Health and Social Care has confirmed, this Government are committed to delivering a realistic and deliverable plan, and we will deliver the outcomes of the review to the House in due course.
Many Members have also asked me about the difficult decision to increase employer national insurance contributions, in the context of Labour honouring its promise to working people not to increase employee national insurance contributions or income tax in their payslips. It is right that the Government are not legislating to exempt non-public sector organisations from these changes but, as the Secretary of State said, we pay for these services and it will be reflected in their settlements. To answer the shadow Chancellor of the Duchy of Lancaster, whether now or in the spring at the conclusion of the spending review, those departmental settlements will be published in the normal way.
Does the Minister not think that it is important that hon. Members see those figures, to see how much the services I mentioned will be taxed, before they vote on this Budget? Would that not be transparent?
The hon. Gentleman perhaps forgets that the vote is tomorrow. No doubt he will come to the House to vote to support the allocation of £22 billion of extra funding so that the national health service can cover the cost of the doctors and nurses who, under his Administration, were striking on the picket line while Ministers refused to talk to them. Under this Government, they are back on the wards and in the theatres delivering for the people of this country.
The Government recognise the need to reform the social care system, and we thank those who work in the system for the work they do to help those in need. That is why we agreed a £600 million funding increase for 2025-26, and we will return to this issue in the second phase of the spending review.
I politely say to Members that I understand the temptation to ask for more spending, as I often did in opposition, but Ministers have to explain how they will pay for it. If Opposition Members want more spending or, indeed, fewer tax rises, they will have the opportunity tomorrow to set out to the House what they would do differently. Would they increase income tax and national insurance on workers once again? Would they increase VAT on people who go to the shops? Would they increase corporation tax for businesses, which we have pledged not to do? Would they reject the investment in schools, hospitals, the police service and the future of our country? Given their behaviour under the last Administration, do they wish just to borrow money every single month to pay the bills, month after month, increasing the national debt and increasing the cost of the national debt, but not investing in the fabric of this country, as this Government will do?