Oral Answers to Questions

Debate between Bim Afolami and Oliver Dowden

Wednesday 12th July 2023 Commons Chamber

[The Deputy Prime Minister]

I will tell the hon. Gentleman what real compassion looks like: stopping the vile people-smuggling trade across the channel that is condemning women and children to death. This Government are taking action to deal with it through our “stop the boats” Bill, which the Scottish National party shamefully voted against 18 times last night.

[Bim Afolami (Hitchin and Harpenden) (Con)]

Q13. As the party of aspiration, we know the importance of home ownership. According to a recent estimate by Barclays, it now takes eight years for the average first-time buyer to save for a deposit, and in parts of London and the south-east it can take longer. What are the Deputy Prime Minister and the Government doing to improve the prospects for younger people who want to own their own home?

[The Deputy Prime Minister]

I know my hon. Friend is passionate in championing this issue. Almost 850,000 households have been helped to purchase a home since 2010. In 2021, the number of people getting on to the property ladder for the first time was at a 20-year high, thanks to initiatives such as First Homes and the Help to Buy scheme. Of course, that stands in contrast to the Labour party, which oversaw the lowest level of house building since the 1920s.

Oral Answers to Questions

Debate between Bim Afolami and Oliver Dowden

Monday 27th April 2020 Commons Chamber

[Oliver Dowden]

I thank the hon. Lady for her question. We will, of course, do everything that we can to support charities. It is worth noting that we have ensured, through the Department for Culture, Media and Sport in discussions with the Treasury, that charities can access all the existing schemes. For example, they can benefit from VAT deferral, they can use the remaining business rate relief—they already get 80% relief; they can now get 100%—and they can furlough staff.

In addition, the measures have been designed to help the frontline. However, it is not just the £750 million that the Government have provided. There is huge work across philanthropic institutions—for example, £100 million from Barclays—not to mention what great charitable fundraising efforts, such as those of Captain Tom, have provided for the nation.

[Bim Afolami (Hitchin and Harpenden) (Con) [V]]

I thank the Secretary of State for his previous answer. I have charities that serve my constituents, such as Garden House Hospice, Tilehouse Counselling in Hitchin, the Harpenden Trust and many others. I commend him on the work that he has done with the Treasury on the charities package that has been agreed, but in relation to these quite small charities, can he give some further information to me and the House, and indeed to them, on how they can more easily access the fund that has been agreed, because some of them are saying that the next few weeks and months are looking very difficult?

[Oliver Dowden]

My hon. Friend is right to raise that issue. Charities such as Garden House and Tilehouse play a vital role in our country, and it is exactly those sorts of local charities on the frontline that we want to help. As part of the £360 million that is being distributed through Government Departments, up to £200 million will go to hospices. In addition, a further £310 million will be distributed by the National Lottery Community Fund. We are finalising the eligibility criteria, and I will write to him, and to all hon. Members, explaining the process and the criteria for those applications.

Of course, that sits alongside the great public national effort. In particular, I welcome the £33 million that has been raised so far by “The Big Night In”. That has been matched by Government fundraising, and sits alongside such things as the 2.6 London marathon challenge.

Oral Answers to Questions

Debate between Bim Afolami and Oliver Dowden

Wednesday 10th July 2019 Commons Chamber

[Bim Afolami (Hitchin and Harpenden) (Con)]

T7. Will the Chancellor of the Duchy of Lancaster explain what plans the Government have to increase support for small and medium-sized enterprises through Government procurement?

[The Parliamentary Secretary, Cabinet Office (Oliver Dowden)]

As my hon. Friend knows, small businesses are the backbone of our economy and we are determined to level the playing field so that they can win Government contracts. That is why, for example, we have introduced tough new prompt payment requirements and simplified the procurement process, and through our digital marketplace we have spent £2.5 billion, with £1.28 in every £3 going to SMEs.

Oral Answers to Questions

Debate between Bim Afolami and Oliver Dowden

Wednesday 27th June 2018 Commons Chamber

[Bim Afolami (Hitchin and Harpenden) (Con)]

11. What steps his Department is taking to encourage the use of small businesses in Government procurement.

[The Parliamentary Secretary, Cabinet Office (Oliver Dowden)]

Small businesses are the backbone of our economy, and we are determined to continue to level the playing field so that they can compete for Government contracts. That is why in April I announced a number of measures to help achieve that and have recently met the Government’s strategic suppliers and Ministers in several Departments to ensure that those measures are delivered.

--- Later in debate ---

[Oliver Dowden]

My hon. Friend is absolutely correct. It is crucial to ensure that we have a diverse supplier base. We have made a number of changes to the Government procurement processes to assist small businesses, including requiring prime contractors to advertise subcontracting opportunities on the Government Contracts Finder. We also divide contracts into separate lots, including by region, when that makes commercial sense.

[Bim Afolami]

I thank the Minister for his responses. As seen from my recent work on the Public Accounts Committee, there sometimes appears to be a conflict between large strategic suppliers who see themselves as aggregators of several procurement contracts for small business and other instances in which small businesses would like to get certain contracts directly from Government. Will he explain the Government’s thinking on how to balance those two approaches?

[Oliver Dowden]

We already require buying authorities to disaggregate contracts so that small and medium-sized enterprises can compete. However, there will, of course, be contracts in which disaggregation would affect value for money. That is why we recently announced that when large contractors are successful, they will be required to advertise those subcontracting opportunities on Contracts Finder, so that small businesses can bid.

Capita

Debate between Bim Afolami and Oliver Dowden

Thursday 1st February 2018 Commons Chamber

[Oliver Dowden]

I thank the hon. Gentleman for his questions, the core of which was about support for outsourcing companies. He said we should not provide a penny more to prop up badly managed outsourcing companies. Indeed, that is exactly what we did in respect of Carillion. We took the decision that this was a private company and should bear the loss. That is why shareholders in Carillion are unlikely to get more than a few pennies in the pound back for their investment. The private sector has taken the risk, but the job of the Government is to ensure the continued delivery of those public services—to ensure that the dinner ladies get paid, that the hospitals get cleaned, and that the railways continue to be built. That is exactly what we did in respect of Carillion and it is exactly what our contingencies involve for all our strategic suppliers. That is the test for the Government: can we ensure the continued delivery of those public services, and can those public services continue to be delivered?

The hon. Gentleman made a point about pensions. The fact that Capita has embarked on this course of restructuring means that it is effectively choosing to switch resources away from the continued payment of dividends and towards pension funds. That should give pensioners confidence in respect of that pension fund. He also asked about jobs, and again, the restructuring can give confidence about the continuing delivery of those jobs.

I keep coming back to the same point. This is a private company and the interest of the Government is to ensure the continued delivery of those public services, and those public services continue to be delivered. That takes me back to Labour’s position. What Labour seems to be suggesting is that the private sector has no role in public life, and that the level of small and medium-sized businesses working for the Government should be zero. If that is not Labour Members’ position, are they going to tell us where they choose to draw the line? Labour has gone from pumping billions of pounds into private companies for the delivery of public services when Gordon Brown and Tony Blair were Prime Minister, to saying that they should not have a penny. Some clarity would be helpful, because otherwise people may draw the conclusion that there is more than an element of opportunism here.

[Bim Afolami (Hitchin and Harpenden) (Con)]

Does my hon. Friend agree that it would be irresponsible of this Government to cancel private companies’ contracts simply on the basis of a single profit update?

[Oliver Dowden]

I thank my hon. Friend for that question, and this is an important point about profit warnings. A profit warning does not mean that a company is imminently going to collapse. A profit warning is a warning to the markets that its results will not be in line with what it had previously thought. If every time that a company issued a profit warning, we as a Government said that we would cease to contract with them, there would be very few companies we could contract with. I will not name leading companies, because I do not want to influence their market value, but I could name a huge list of FTSE 100 companies that routinely issue profit warnings. That does not mean that they are about to disappear.

Budget Resolutions

Debate between Bim Afolami and Oliver Dowden

1st reading: House of Commons
Tuesday 28th November 2017 Commons Chamber

[Oliver Dowden (Hertsmere) (Con)]

It is a pleasure to follow the eloquent remarks of the right hon. Member for Leeds Central (Hilary Benn). I am conscious that we are on a tight time limit, so I shall confine my remarks to the question of productivity and its implications for public spending. By the OBR’s own recognition, many of the numbers that it has produced are speculative, but it is clear that we have a long-term productivity challenge, as the Chancellor has rightly recognised in his Budget. This challenge has been disguised in recent years by our membership of the European Union, in that we have had large-scale migration of highly skilled migrants from eastern Europe, and we have principally had to compete only with European markets. Both of those factors are rightly going to change as a result of the vote, and we consequently need to raise our sights and think about the public spending choices made by this country relative to those of other countries, such as South Korea, which are likely to be our competitors in the years to come. When we look at that, we see that we have some difficult questions to answer.

The amount that this country spends on welfare includes almost £100 billion on in-work welfare and more than £100 billion on retirement welfare. In comparison, South Korea spends but 2% of its national income on welfare, so we have some choices to make, and we must be clear about those choices. Every £1 that we choose to spend on welfare is £1 that we cannot spend on our education system, on our research and development or on our infrastructure. All that money could be used to increase the long-term productive capacity of our economy, and a failure to spend in those areas reduces that capacity and reduces our potential output. We therefore have to look at each of those areas and ask what more we can do.

[Bim Afolami (Hitchin and Harpenden) (Con)]

I commend my hon. Friend on his speech. In relation to the more productive ways in which he thinks Government funds could be spent, will he elucidate further on what aspects of the Budget he feels could be upgraded or extended?

[Oliver Dowden]

We should consider whether we are able to release further resources for infrastructure spending. For example, the materials used for digging Crossrail 1 could be released straight into Crossrail 2, and we could look at HS2 and see whether we can release resources into HS3. It is those sort of long-term decisions that countries such as South Korea, China and India are making and that we are constrained from making due to excessive spending on current priorities.

I therefore urge the Government to continue with their agenda for in-work benefits, whereby we are increasing the personal allowance, so that people on the lowest incomes pay less tax, and increasing their income through the national living wage, so that they are less reliant on the state. We are also reforming welfare through universal credit to ensure that people keep more of what they earn and that they are constantly incentivised to move further away from reliance upon the state and towards self-reliance, and the case for doing so is both economic and moral. I urge the Government to ignore the Opposition Members who constantly harp on about universal credit. If they actually go to their local jobcentre, as I had the privilege of doing just last week, they will hear countless stories of how universal credit actually incentivises people to take on more hours of work and creates a smooth path out of welfare and into work.

My right hon. and learned Friend the Member for Rushcliffe (Mr Clarke) eloquently made the case for looking at retirement benefits. It cannot be right that people who are perfectly capable of looking after themselves have access to universal benefits that they simply do not need. Equally, we need to look at the balance between the younger generation and the older generation. The previous Government rightly committed to a deal whereby we increased retirement benefits, so that people had dignity and security in retirement, but we need to consider the rate of increase and ask ourselves whether it is fair that the older generation’s benefits are increasing at a faster rate than those of people who are in work. Surely equality demands that such benefits should be increased only with increases in working-age benefits. If we do not embrace and make such choices, we will surely have them forced upon us as we fall poorer and experience lower living standards than those of our competitor nations.