Government Procurement Strategy

Debate between Chris Ward and Lisa Smart

Wednesday 22nd April 2026 Commons Chamber

[Mr Speaker]

I call the Liberal Democrat spokesperson.

[Lisa Smart (Hazel Grove) (LD)]

We need to do far more to back British small businesses through public procurement, both to boost growth and to ensure our national security. Public procurement amounts to hundreds of billions of pounds a year. The Procurement Act was meant to ensure that more of that money reached British small businesses, but in practice many report that it has made things worse. Payment rules are being flouted by middlemen who face no consequences, suppliers who complain are threatened with losing future work and bad debts are mounting. Public money is disappearing into a vacuum and there is a security risk. There are businesses that are asking, “What is the point of legislation that rogue traders can ignore with complete impunity, while loyal British SMEs are being pushed out of the market they built?” Does the Minister agree that the target for Government spending with small businesses should be far higher than the current level? Will he explain when the payment reporting transparency will implemented?

[Chris Ward]

I basically agree with the hon. Lady’s assessment of the procurement system and how it does not do what it should do. As I say, £400 billion of taxpayer money is being spent. We need to ensure, as far as we can, that every pound that is spent supports British industry, supports jobs and delivers fairness, and it must also support SMEs. The Procurement Act made progress towards helping SMEs, but it does not go far enough. It is not the job of this Government to defend the status quo; it is the job of this Government to change it, so we will do that. I will come back to her on the specific point about payment thresholds.

Ministerial Salaries (Amendment) Bill

Debate between Chris Ward and Lisa Smart

2nd reading
Tuesday 17th March 2026 Commons Chamber

[Chris Ward]

The number of Ministers in the current Government is virtually the same as it was in the previous Government. I think actually it is one lower than the previous Government. The intention of this Bill—this speaks to a point raised by a couple of Members—is not at all to increase the number of Ministers or the size of Government; it is simply to rectify the anomaly of unpaid Ministers in the other place. The right hon. Gentleman served in several Governments of this size over the past 10 years, and he asked why this Bill should come forward at this time. One answer to “Why now?” is that the leader of the Conservative party in the House of Lords proposed it in an amendment. It was put forward by the Conservative side. [Interruption.] The right hon. Gentleman says from a sedentary position that that was wrong. That is one of the reasons this has come forward, and it is one of the reasons for addressing the inequality with which we are dealing.

Let me refer to a point that was raised by the hon. Member for Brentwood and Ongar (Alex Burghart). The Bill will allow, but will not require, one additional salary at Secretary of State rank. It is for the Prime Minister to decide whether or not it goes to a Secretary of State; Parliamentary Under-Secretaries can be rewarded as well, as can Ministers of State. The Bill also allows four additional salaries at Minister of State or Secretary of State level, and 11 additional salaries overall. As I have said, those limits are cumulative, which means that the Prime Minister has discretion to make the awards. There is no prior intention; it is about discretion.

Let me turn briefly to what the Bill does not do. As the Paymaster General said, it does not alter the salaries of Ministers, much to the disappointment of the former Deputy Prime Minister. They will remain frozen, as they have been since 2008. The Bill does not necessarily create additional ministerial roles; this is a point that was raised. Indeed, it simply reflects the average number of roles since 2010. It does not alter the maximum number of paid Commons Ministers, which remains at 95—it effectively reserves 25 places for Lords Ministers—and, of course, it does not affect MPs’ pay, which is rightly entirely independent of this House. All that the Bill will do is increase the maximum number of salaried Ministers, so that it is in line with the average number of Ministers over the last few Parliaments. As I have said, the size of the Government remains unchanged, and the Government have no intention of increasing it. The purpose is merely to allow higher numbers to be paid, and to remove that inequity.

The hon. Member for Hazel Grove (Lisa Smart) raised the issue of the amount of minimum service for severance pay. The Government have already addressed that by introducing a power requiring a Minister to serve for six months before any severance payment can be made, thus removing some of the absurdities under the last Government, which she rightly pointed to. People were being paid for a day, or in some cases a few hours, in the job. She also raised the matter of second jobs. I remind her that the Labour party has a manifesto commitment to address that, and to ensure that second jobs are permitted only in particular circumstances—for doctors, for instance. The Modernisation Committee is dealing with that issue. I am keen for it to be addressed as quickly as possible, but it will come back to the House.

The hon. Lady mentioned the ethics adviser. Let me emphasise again that at the beginning of this Government, the Prime Minister made changes; there was an increase in the role and the independence of the independent advisers, so that they are truly independent—we have seen that they are, on several occasions—and the ethics adviser can now initiate his own inquiries. That is an important point. The hon. Lady also asked what roles the new salaried Ministers would fulfil. As I have said, that is a matter for the Prime Minister, and we have no intention of changing that.

[Lisa Smart]

The Minister of course will know that the Prime Minister is responsible for the contents of the ministerial code. While the ethics adviser can launch an investigation, the Prime Minister reserves the right to raise concerns about any such investigation, so that the independent adviser does not proceed. Have I understood that correctly?