Members’ Paid Directorships and Consultancies
Debate between Angela Eagle and Gerald Howarth(9 years, 9 months ago)
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Ms Eagle
My understanding of our position on the IPSA pay award is that the leader of our party has said that it should not go ahead as long as other public sector workers and workers in this country are experiencing a huge standard of living crisis. That is the situation as set out by my right hon. Friend.
It is time that we acknowledged the very different context in which we must all do our jobs, as it has changed. A YouGov poll in 2013 showed that 62% of people felt that MPs should focus on their parliamentary job full time, and over half favoured an outright ban on all second jobs. The proposals in the motion are just a start, but if enacted they would enable us to deal with the ongoing and corrosive issue of remunerated interests, and to begin to restore the health of our democracy and our constituents’ trust in the people they send to this place.
Let me turn to the actual terms of the motion, rather than the wildly inaccurate version that the Prime Minister sought unsuccessfully to dismiss earlier today. Our proposal states clearly that after
“the start of the next Parliament”
no Member of the House should be permitted to hold a directorship or a paid consultancy or, if our manuscript amendment had been accepted, be a paid trade union official. That is a commitment that we will honour in the Labour party by changing the parliamentary Labour party standing orders. All our existing Members of Parliament and candidates who are standing at the general election have been put on notice to expect that.
If the Government had accepted that rule when we first argued for it in 2013, the reputational damage inflicted this week would not have happened. The motion also states that we need
“a wider regulatory framework for…second jobs”
for MPs. The Prime Minister was wrong when he sought to characterise our proposals as an outright ban. We have set out some ways in which a regulatory framework might operate. That could include setting a cap on earnings from second jobs that is sufficiently high to allow, for example, Members to maintain professional qualifications. However, we will consult on that point with everyone who wishes to share their views. Our aim is to get a system that is fair and workable.
Our intention in the motion is simple. We need to be completely clear with the public that when they do us the honour of electing us to Parliament, they can expect our attention to be focused primarily on serving them.
Sir Gerald Howarth (Aldershot) (Con)
Is the hon. Lady telling the House that there are two classes of outside interest: professionals, such as some of our colleagues who are doctors or dentists, who need to maintain their skills; and another set who are directors or consultants, who have nothing to offer the House and do not have skills that need to be maintained? If someone is in business and they need to maintain contact with industry it would be unlawful for them to carry on that business, thereby depriving the House of people with experience and preventing them from keeping their skills current.
Devolution and the Union
Debate between Angela Eagle and Gerald Howarth(10 years ago)
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Ms Angela Eagle (Wallasey) (Lab)
I congratulate the hon. Member for Esher and Walton (Mr Raab) and those who sponsored his motion on their success in persuading the Backbench Business Committee that this was a suitable subject for debate. The extremely interesting, fascinating and lively debate we have had demonstrates that the Backbench Business Committee was probably right to choose it.
This is a topic of obvious relevance to all of us as we seek to adapt our unwritten constitution to meet the rapidly changing expectations of our constituents and yet ensure that the whole is coherent and greater than the sum of its parts. We must seek to do that in an era when much political endeavour is seen through a prism of coruscating cynicism and where genuine and open debate is hard to sustain. To counter that, it seems obvious to me that we must begin by delivering on our promises, which is why Labour believes very strongly that it is imperative that we deliver, to the agreed timetable, on the vow that all leaders of the main parties made to the people of Scotland just prior to the referendum.
Our amendment, which was not selected, notes that
“the commitment made by the Prime Minister, Deputy Prime Minister and Leader of the Opposition to the continuation of the Barnett allocation of resources and full representation for Scottish MPs in the UK Parliament”
is equally important and needs to be borne in mind. The Prime Minister told the Liaison Committee this morning that reform of the Barnett formula was “not on the horizon” and that
“if you took all the extra money that Scotland gets from the Barnett formula and distributed it amongst the 55 million people in England, it’s not a pot of gold”.
He made the obvious assertion that 55 million English people do not get quite so big a share of the Barnett formula deliveries as 6 million Scottish people get. In essence, if the Barnett formula is reformed, the hope that England will somehow be full of all the things it needs is probably not an accurate view.
I have never been a conservative by instinct or, indeed, by any kind of inclination. I have long believed that the way in which this country is governed can be improved, and I think it can be improved significantly. Labour believes that the current system of governance for all the nations and regions of this country is far too centralised and not nearly democratic enough. We believe that we need a much more fundamental shift of power away from London and Whitehall, and we have a radical plan for spreading power and prosperity across the great towns, cities, regions and nations.
The following Labour Members have contributed to the debate: my right hon. Friends the Members for Knowsley (Mr Howarth), for Nottingham North (Mr Allen), and for Birkenhead (Mr Field), and my hon. Friends the Members for Edinburgh North and Leith (Mark Lazarowicz), for Dudley North (Ian Austin), for Edinburgh South (Ian Murray), for Birmingham, Edgbaston (Ms Stuart), for Glasgow North East (Mr Bain), for Inverclyde (Mr McKenzie), for Edinburgh East (Sheila Gilmore) and, last but by no means least, for Hackney North and Stoke Newington (Ms Abbott). There has been a consistent drum beat in favour of having more and better sharing of powers from the centre to the cities, counties, regions and nations of this country. We need to enhance real democratic involvement, not watch it diminish through reduced involvement and cynicism.
When the Hansard Society’s annual audit of political involvement shows that only 7% of people strongly believe that if they got involved in politics they could make a difference, and when voter turnout has been in decline, it is obvious that we need to act to bring forward profound change if we are to strengthen, reinvigorate and renew our democracy. But that action must not be some kind of partisan Westminster cooked-up insider fix, which is why we in the Labour party have called for a constitutional convention to be established to review and make recommendations in relation to future governance arrangements for the whole of the United Kingdom. We want to reverse a century of centralisation by devolving tens of billions of pounds of funding to the regions and local government. We also believe that proposals should be brought forward to replace the House of Lords with an elected senate of the nations and regions. We believe that there should be a new Scotland Act, but we also believe in an English devolution Act. If we form the next Government, we will bring both those things forward.
The advent of the Scottish referendum and the dramatic campaign it produced is a tribute to the power of lively democratic debate to banish complacency and galvanise politics as a whole. Little wonder that it has promoted not just the commitment to a further devolution of power to Scotland, but, as many have pointed out, a wider debate about political power in the whole of the UK—who has it and how they use it. I want to address specifically the further powers to be given to Scotland and I want then to set out Labour’s proposals for devolution for the rest of the UK. Finally, I want to talk about why it is important that we approach any conversation about constitutional change in a consensual and not a petty partisan way.
In September, the Scottish people, for the first time in their history, made the decision in a referendum to remain part of the United Kingdom, but they also voted for change, not the status quo. I spent some thought-provoking and exhausting days campaigning in Scotland to maintain the Union, and it was clear from the many people to whom I spoke that they simply were not satisfied with business as usual. The conversations I had emphasised the truth. For too long the Scottish people have felt disempowered and alienated from decisions taken in Westminster. But it struck me forcefully on those Scottish doorsteps that the alienation and the feeling of powerlessness would be mirrored on a great many English doorsteps too. I come across it wherever and whenever I knock on doors. The answer to it is a deeper, more meaningful democracy with more profound devolution across our nations. It is not the politics of separation, grievance and divisive nationalism.
Labour has led the way on devolution to the Scottish Parliament. We passed the Scotland Act 1998 and brought the Parliament into being, and I am glad that we are continuing to develop it now. The former Prime Minister, my right hon. Friend the Member for Kirkcaldy and Cowdenbeath (Mr Brown), has set out a timetable for further devolution to Scotland, which is well on track. The three main parties all signed up to the vow that we will deliver change for Scotland. This is not and never has been in doubt.
The vow makes four key promises—promises that it is imperative that we uphold. Extensive new powers will be granted to the Scottish Parliament. The people of Scotland will be central to any decisions moving forwards. All four nations should be resourced fairly, and we will continue the Barnett allocation for resources. I want to restate Labour’s categorical assurance that in our first Queen’s speech we will have a new Scotland Act. We look forward to the report from Lord Smith of Kelvin, which I understand is expected next Thursday.
The result of the Scottish referendum will change our Union for the better. The Opposition are completely clear that we will keep our vow, made to the Scottish people on the eve of referendum. It is also clear that we now have a great opportunity to change the governance arrangements in the rest of the UK for the better, and it is that to which I now turn. It is right that we do not just consider further powers to Scotland in isolation from a wider crisis of trust that we are seeing in our politics across all four nations, and it was widely alluded to in many of today’s speeches. There are a number of reasons for this breakdown. The age of deference is long gone, thank goodness, but it is not welcome that it has been replaced by the age of contempt. All institutions have been affected by this breakdown in trust: Parliament, the Church, the police, the press—I could go on. We need to address that.
Globalisation has increased the feeling of powerlessness, and the view that supranational forces are more influential than national Governments makes it hard to persuade potential voters of the possibility of change at national level. The commercialised retail model of politics as a brand choice, rather than a contest of values, encourages passive consumer behaviour, rather than empowering potential voters to become actively involved. The way politics is carried on in Westminster is becoming increasingly incomprehensible to an electorate who are alienated, rather than charmed, by our arcane and quaint procedures.
It is clear that we need a radical plan for reform and change. That is why Labour has built on our proud tradition of constitutional reform, and has announced a comprehensive programme for change. We will deliver a new English deal, which will devolve over £30 billion to city and county regions. We will ensure that the Welsh model of devolution is on an equal footing with the Scottish, and will hold an unprecedented and wide-reaching constitutional convention, in order to have a conversation with all parts of our country about the change that we need if we are to modernise the way that we are governed. We will introduce regional investment banks; devolve powers to encourage economic development in cities, counties and regions; and ensure that skills, transport and the Work programme can be planned and delivered locally.
Sir Gerald Howarth
Can the hon. Lady tell us how long she expects this modest endeavour to take?
Ms Eagle
We are already doing some pre-work, before the election. We want this to happen very quickly after the election, and want to be ready to come forward with some views after proper conversations with people from across the entire country. We are looking at models such as the Scottish constitutional convention and the Irish constitutional convention, which happened after the crash. There are good models out there that we can use to bring about a process that would give a new settlement the legitimacy it deserves. [Interruption.]