Farming and Inheritance Tax
Debate between Alistair Carmichael and Nusrat Ghani(2 weeks, 6 days ago)
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Mr Carmichael
“Working people” hardly does justice to farmers. Some of my young constituents told me they were working for returns of about £6 an hour. There is a reason I chose not to become a farmer at 16 and why I thought law was a more attractive career opportunity to pursue, but I bow to no one in my admiration for those who make that choice.
Of course, there is the question of those who have made their estate planning decisions on the basis of APR being available. Others have pointed to that, but it is absolutely critical, and it goes beyond estate planning. I wonder how many farmers over the years decided in a divorce settlement to take the farm as their part of the capital, because they have a familial and emotional connection to the land, and are now finding that what looked like an equitable settlement a few years ago risks being much more inequitable.
The particular opportunity I fear we have missed is that in relation to tenant farmers. The Tenant Farmers Association came up with an excellent proposal, which would reward landlords who grant leases in excess of 10 years with exemption from inheritance tax liability. That would be good for the very people who everybody on both sides of the House says they want to help: the small family farmers. There are multiple reasons why people might buy up agricultural land. I do not know anybody who takes an agricultural tenancy thinking that it will make them a member of the super-rich as a result.
The idea that is being mooted of a clawback—something on which we could see a bit of a sensible discussion and a consensus between the Front Benches—or the idea of a suspended inheritance tax liability which would crystallise only at the point of the land sale after the death of the owner, would both work to keep land in active food production. The irony of the way in which the Government have structured the measure is that, by allowing a 50% relief on farmland above £1 million, the purchase of agricultural land will probably remain an attractive proposition for the super-rich.
We have reached a point in the debate where we need to broaden it out beyond just inheritance tax, and look at the wider question of farming finance and ask ourselves how we can build a consensus that puts farming and food production at the heart of the countryside, where it truly belongs.
Madam Deputy Speaker (Ms Nusrat Ghani)
Now, with a speaking limit of five minutes, I call Matt Bishop.
Driver and Vehicle Standards Agency: Shetland
Debate between Alistair Carmichael and Nusrat Ghani(3 years, 1 month ago)
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Mr Alistair Carmichael (Orkney and Shetland) (LD)
I beg to move,
That this House has considered the operation of the Driver and Vehicle Standards Agency in Shetland.
It is a great pleasure to serve with you in the Chair, Ms Ghani, and I welcome the Minister to her place. I am pleased to have secured this debate, although I am enormously frustrated that it has been necessary. Candidly, as a constituency Member of Parliament, I feel that this is now the tactic of last resort in protecting the interests of my constituency. I have never before found myself in this situation since I entered the House in 2001, despite having handled scores—maybe hundreds—of local issues that were much more complicated than this one.
My history of engagement with the DVSA on the provision of HGV and motorcycle testing in Shetland goes back several years. For as long as it has been necessary to undertake those parts of the respective driving tests that are conducted off road in Shetland, that has been done in part of the grounds of the former Anderson High School in Lerwick. When the school moved to its current site in 2017, it was apparent that that would no longer be available, as the site was earmarked for redevelopment. DVSA was told by Shetland Islands Council in 2016 that the Anderson High site was earmarked for development and, on 24 November 2017, the council advised the DVSA that it would need to vacate the site by the end of March 2018.
Early correspondence with Gareth Llewellyn, then chief executive of DVSA, stated that the last tests would be carried out on the site on 31 March 2018. Mr Llewellyn offered me one of those less than reassuring reassurances:
“We are committed to providing a service in Shetland but this is dependent on securing new premises.”
Even at that stage, it appeared to me that DVSA, having had more than a year to do something about a problem of which it had been made aware and about which it had done nothing, was prepared to leave Shetland without local provision.
At that early stage, there seemed to be a polite lack of energy in the approach taken by the agency, so at the request of local instructors I became involved. Following my intervention, the Shetland Islands Council agreed an initial extension until the end of June 2018. At this point, I should put on record my appreciation of the efforts and input from local driving instructors in Shetland, in particular Steve Henry and Petur Petursson. The commitment to the community and the professionalism of both of those gentlemen, and the time and trouble they have taken to advise me and assist DVSA in identifying possible new sites, has gone well beyond anything that could have been asked of them.
DVSA staff visited Shetland and different possibilities were explored. They met local stakeholders and a location at the former Decca site on the edge of Lerwick was identified, which could be developed for use. It is a flat area of ground finished with hardcore, but it would obviously be required to be topped with tarmac. Unlike the previous site at the former Anderson High School, this would be a purpose-built facility and would be required to be kept for the use of the DVSA; it would not be a shared space.
Having already seen the approach of the DVSA, I asked for, and was given, a commitment to have regular update calls, naively thinking that that might concentrate minds. Several calls took place, and at each turn I was assured that progress was being made. Eventually, we got to the point where it was left to the DVSA and the owner of the land to work out the details, the principles having been agreed. The negotiation of commercial contracts, even when I was in legal practice, was never a strength of mine, and I know my limitations. I felt that this piece of work may not have got over the line, but at least the line was in sight, and that I should leave it to work its way through. Shetland Islands Council helpfully and generously agreed to make the site at the former Anderson High School available for continued use by the DVSA for as long as it could.
Thereafter, whenever inquiry was made, I was told that the details were still being worked out, and I was happy to accept these reassurances; I had, after all, been told in correspondence from DVSA on 26 June 2018 that estimated costs had been provided and that the business case for the new site would be considered by an extraordinary meeting of the investment change committee of the DVSA with a view to its receiving approval. It was thought then that the necessary works would take four weeks to complete. Correspondence in July, August and September contained similar commitments. In October 2018, I was told that
“the majority of issues have been resolved and those that remain are not insurmountable.”
In January 2019, I was told that the outstanding issues would be resolved by the week commencing 4 February. Accepting the continued commitment of the DVSA to provide a local service in Shetland, I agreed to receive further updates as they were available, rather than monthly. That may have been my mistake.
In autumn last year, knowing that the redevelopment of the site at the former Anderson High School was going to bring this to a head again, I reopened correspondence with the DVSA and asked for a meeting with the former chief executive to discuss the situation. Requests for updates went unanswered, and Gareth Llewelyn refused the requested meeting. The new chief executive of the DVSA, Loveday Ryder, came into post on 1 January. My requests for meetings were renewed, but no commitments were made. Eventually, as a result of the interventions of the Minister’s noble Friend, Baroness Vere, Loveday Ryder made a commitment to meet me. That was eventually organised to take place by Zoom on 7 April, initially for 30 minutes but then reduced to 15 minutes.
It is fair to say that the meeting on 7 April was not productive. Ahead of it, DVSA officials said that they would not provide further information about progress on the issue as the rules of purdah would not allow it while Scottish parliamentary elections were ongoing. Purdah guidance not only does not forbid the sharing of information in circumstances such as this but actually exists to provide the basis on which it should be done. Had the DVSA told me that it would share information with me on the basis that it would not be transmitted further, I would happily have taken the meeting on that basis, but no such offer was made. I asked Ministers’ offices for an explanation of the interpretation of purdah guidance favoured by the DVSA and was told that its view had been confirmed by the Cabinet Office. However, the Cabinet Office subsequently told my office that it had offered no supplementary guidance to the Department. It appears that that use of the purdah guidance was in fact a quite deliberate attempt by the DVSA to avoid providing me with information that it obviously had at that point.
It was also apparent at that stage that there was a major issue with the progress of the project, and that all the previous reassurances and commitments I received from the agency were basically worthless. Following the elections at the beginning of May, it was confirmed in correspondence that the agency had decided not to go ahead with the development of the site at the former Decca station, citing the cost. I have subsequently found out about the costs, and it seems that they are high. The specification is questionable, but at no point when we have sought to engage with DVSA about the specification—with regard to the detail of it and the possible terms of any lease—has it been in any way forthcoming or offered to engage. Information is provided grudgingly and no explanation to show the working of it is ever provided.
It was also known by this time that the absolute final deadline for using the site at the former Anderson High School was looming. Work was due to start there on 31 July and it would no longer be available from that date—that turned out to be the case. There followed a series of meetings involving myself, local instructors and DVSA officials. As a result of these meetings I was made aware that it was the intention of the agency to use a third site that it had identified, near the former Scatsta airport, 25 miles north of Lerwick. The local instructors were clear in telling the agency that that was not a workable solution for them and, in fact, if that were the only provision to be made they would discontinue to provide the service. The response of the agency was to ignore the concerns of local instructors and to insist that this was the only service that it would provide.
Unfortunately, on further investigation it transpired that despite having known for months that the 31 July deadline was looming, the DVSA had made no formal attempts to secure a lease on the site near Scatsta airport, and no planning application had been submitted for its change of use. Despite this, the DVSA proceeded to offer bookings for tests in August; the sheer lack of professionalism in this is breath-taking. In fact, Shetland Islands Council is not prepared to allow the use of the site at Scatsta airport, and as a consequence we now find ourselves in a position where no training or testing for the off-road elements of the HGV and motorcycle tests are available to my constituents in Shetland.
In response to my request for further meetings and updates I have been told that these will only be held when there is something to be shared; I see no evidence of the agency doing anything to move this issue on. I do not know what more I can do as a constituency Member of Parliament to resolve this issue. My constituents are left without the provision of a vital public service. In essence, the root cause of the problem appears to be a cultural one within the agency; instead of being willing to engage with local stakeholders to work towards finding a solution, the attitude has been one of high-handed indifference. That would be unacceptable in any circumstances, but the way that the agency has conducted itself lacks not just respect for the local communities but also basic professionalism. In what circumstances can it possibly be appropriate for a Government agency to offer appointments for tests at a site where it does not hold a lease or have any formal agreement with the owner?
This lack of professionalism is also apparent from the recent changes to the provision of written theory tests. In August it became apparent that the only provision for sitting a theory test in Shetland would be at sites in Mid Yell and Whalsay—both sites on islands away from the main centres of population on Shetland mainland. Do not get me wrong: if that had been provision in addition to that made over the years in Lerwick, the capital of Shetland mainland, I would have been quite delighted—I would have been the first to welcome it. But as an alternative to the provision of tests in the main town, it simply beggared belief.
Recent casework has disclosed that all theory tests in October have been cancelled due to, and I quote, “IT problems” with the new provider, Reed In Partnership. My office has sought further specification of what the IT problems are, but to date no explanation has been forthcoming. It has been suggested to me—I do not know if this is the case or not—that the IT problem is that they do not have the necessary computers to do the test. If it was not so serious it would be laughable.
As I said at the outset, I have never before found myself in a situation like this as a Member of Parliament. Elsewhere in this building today the Transport Committee is taking evidence on the work of the agency. The problems facing the agency seem to go well beyond the shores of Shetland. They are cultural and deep rooted. They ought to be tackled by the senior management of the agency, and if they cannot or will not do that, it should be up to Ministers to sort it. The people who are blameless in all this are my constituents, but they are the ones who are left without this most crucial of public services.
Ms Nusrat Ghani (in the Chair)
Thank you, Mr Carmichael. I think you have done Shetland proud. Are there any further speakers? I see that the Chair of the Transport Committee is here. If there are none, I will call the Minister.
Ms Nusrat Ghani (in the Chair)
It is highly unusual. You will have to be very swift, Mr Carmichael.
Mr Carmichael
The Minister, whom I thank for her answer, did suggest that Shetland Islands Council has been intransigent in this. I think it is fair to put it on the record that Shetland Islands Council first told DVSA in 2016 that it would be withdrawing from the site. It has extended the provision multiple times and, indeed, I understand that it has offered the provision of the materials to construct the site at Ladies brae. It has been exceptionally co-operative in what is the core function of the DVSA, not of Shetland Islands Council.
Question put and agreed to.
Oral Answers to Questions
Debate between Alistair Carmichael and Nusrat Ghani(6 years, 2 months ago)
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Ms Ghani
My hon. Friend, like me, is a champion of Southampton port and of increasing the seafaring population. Ports such as Southampton have a key job to do in accessing our global markets. We support a range of initiatives promoting careers at sea and on land in the maritime sector. We have developed maritime apprenticeships and doubled the SMarT budget to £30 million to increase cadetships, and we support a wide range of campaigns such as seafarers awareness week and a campaign that I launched myself—Women in the Maritime Task Force—to increase the current pitiful 3% of maritime jobs held by women.
Mr Alistair Carmichael (Orkney and Shetland) (LD)
One thing that would bring young people into the industry is decent wages. The Scottish Government recently commissioned a survey of the extra freight service from Aberdeen to Lerwick. I am told by RMT officials that the operators may be paying as little as £3.78 per hour. That is something that the Scottish Government should not be allowing, but it would not be an option if the Minister implemented the legal working group recommendations that she received earlier this year without any further delay.
Oral Answers to Questions
Debate between Alistair Carmichael and Nusrat Ghani(6 years, 7 months ago)
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Ms Ghani
I can give my hon. Friend the fullest assurance. Shipping is an international industry, and the UK strongly believes it should be regulated at an international level by the IMO. My officials and I recently played a leading role at the marine environment protection committee, where we secured the landmark agreement on phasing out greenhouse gas emissions. The UK takes great pride in being the host Government of the IMO, which is based just across the Thames, and we will continue to maintain our active role within the organisation’s work for the foreseeable future.
Mr Alistair Carmichael (Orkney and Shetland) (LD)
One of the biggest problems facing fishing vessel safety is boats going to sea undermanned because they cannot get enough crew. Will the Minister use her offices to make a proper assessment of that and pass on her findings to the Home Office to inform its consideration of the opportunities for getting more crew from non-European economic area countries?
Ms Ghani
Trying to encourage, recruit and retain people to work in the fishing, port and shipping sector is a priority for the Department. We know how difficult it is to attract people who are not already in contact with fishing, ports and ships. We are doing what we can to try to encourage people to think of shipping, fishing and working in ports as jobs going forward. We have set up a number of initiatives, especially this year, through the Year of Engineering, to try to get young people interested in being employed in fishing, ports and shipping, and we will share that information with any Department that wishes to see it.