Approved Mileage Allowance Payment Rate

Claire Hanna Excerpts

Monday 3rd July 2023 Westminster Hall

[Elliot Colburn]

The hon. Lady has basically nicked the crux of my speech, but I thank her for making my point so succinctly.

The petition received over 41,500 signatures, including 25 from Carshalton and Wallington. On behalf of all parliamentarians, I should declare that MPs’ mileage rates, claimed through the Independent Parliamentary Standards Authority, are also calculated at 45p per mile, in line with the approach taken by His Majesty’s Revenue and Customs. However, I hasten to add that we are not debating MPs’ rates today.

I thank all those who signed the petition and have taken an interest in the debate, including the many volunteer and community groups that have been in touch. I also thank the petition creator, Rev. Nick Ralph, as well as representatives of the Good Neighbours Network, the Community Transport Association, Unison and the Association of Taxation Technicians, for meeting me to discuss the subject of the debate. As always, a massive thanks must go to the Petitions Committee team, who have worked incredibly hard to organise the meetings I just mentioned and to provide briefings in advance of the debate.

When I agreed to lead the debate, I did so with a focus on the charitable activity mentioned in the petition’s prayer, remembering the enormous volunteering effort that I witnessed and was part of during the pandemic, both locally and nationally. Our country has a proud history of volunteering. One route can even be traced back to the medieval age, when there was a strong link between religion and the aiding of the sick, needy and poor. Indeed, according to sources, over 500 voluntary hospitals were established in England in the 12th and 13th centuries alone. More recently, in this century, we London MPs think of the enormous army of volunteers who helped to spread joy and cheer throughout the Olympic park during the 2012 London Olympics and, as I have already noted, the hundreds of thousands of people who volunteered their time to help those in need during the covid pandemic. From taking part in befriending telephone calls to collecting and dropping off shopping or prescriptions, the effort was enormous. It made me incredibly proud of our country and, indeed, my own community.

Volunteering is an incredibly noble calling, endorsed by its long history of royal patronage. This year, the Royal Voluntary Service launched the Coronation Champion awards to recognise volunteers who have gone above and beyond for their charities, and volunteering was made an intrinsic part of Their Majesties’ coronation itself. Billed as a lasting legacy of that momentous occasion, the Big Help Out took place on the bank holiday Monday of the celebration, with hundreds of thousands of people taking part across the country.

The numbers speak for themselves. According to a survey in 2019-20, 64% of people had volunteered at least once in the past year, and just shy of 40% had volunteered in the past month. The following year, 62% of respondents stated that they had volunteered at least once in the past year, and the number reporting having volunteered in the past month rose to 41%.

That potted history of the relationship between our country, its people and volunteering featured so heavily in my introduction because it helps to set the scene for the petition and makes clear its importance. Many in our communities depend on volunteers, but it is important that those volunteers, whatever they may be doing, feel valued and appreciated. That is important not just for retaining volunteers but for recruiting new ones. Yet from the conversations that I have had with affected stakeholders, the current HMRC AMAP rate is proving to be a real sticking point for many charities in retaining their volunteers, particularly longer-serving ones.

[Claire Hanna (Belfast South) (SDLP)]

The hon. Member is outlining powerfully the benefits of volunteering for the community, but he will also be aware of its benefits for individuals. Does he share my concern that, as the cost of motoring rises, we are excluding many people from the benefits of volunteering to both them and their community, and does he agree that all community transport networks should be consulted in any review of the mileage rate?

[Elliot Colburn]

I absolutely agree with the hon. Lady.

The mileage allowance payment rate currently allows volunteers to claim up to 45p a mile for the first 10,000 miles and 25p for each mile after that, yet the 45p rate has not been reviewed or increased since 2011. That affects not just charities but many employees of the variety of businesses that use the AMAP rate to regulate employees’ use of their private cars for business.

In their initial response to the petition, the Government stated that the rate

“is intended to create administrative simplicity by using an average, which reflects vehicle running costs including fuel, depreciation, servicing, insurance, and Vehicle Excise Duty.”

Indeed, I spoke to many stakeholders who agreed that the rate was probably the best approach for reimbursing volunteers and employees. It is easy to use and free from bureaucracy, and it minimises the burden of extra paperwork or the potential for inaccurate or incorrect payment.

The issue for the petition creator is not necessarily the system itself but the rate of the allowance. The “RAC Cost of Motoring Index 2011” concluded that that year was not an easy one for motorists; drivers had to contend with record fuel prices and a sharp increase in the cost of car insurance. Much of that remains true today—it is just a lot more expensive. All the costs associated with vehicle use have increased, but the disparity between today and when the AMAP was last adjusted is demonstrated most simply by the cost of fuel. The current average cost of petrol nationwide is 144.86p a litre, and diesel is at 145.54p. In 2011, the last time the rates were changed, petrol averaged 133.65p and diesel 138.94p.

Those averages do not reflect sporadic fluctuations over that time. One argument that has been made is that fuel costs were brought down by the temporary 12-month cut to duty on petrol and diesel of 5p a litre announced in last year’s spring statement, and the Government noted that in their response. Many people I spoke to in the run-up to the debate argued not just for a review of the rate but for regular reviews, which could take into account fluctuations and would make the system much nimbler, given the continuing uncertainty with respect to the costs of running a vehicle in general and of fuel specifically. Charities and employees could therefore properly fund and support those who currently find that the AMAP only partially covers the costs of running a vehicle, without fear of being penalised through the tax system for paying a more fitting rate.

The AMAP is only one way suggested to employers and charities to reimburse drivers. Some may argue that they could choose to pay more to reflect the increased cost of running a vehicle, but if a higher allowance is paid, an income tax and national insurance charge is placed on the difference. That is precisely why the petition was set up—to try to scrap the charge for those wanting to pay an allowance that better reflects the reality of driving a vehicle in 2023.

Can the Minister tell us how much revenue is collected through overpayment of the AMAP rate and how that would be impacted if the rate were raised to, say, 60p as outlined in the petition? It could be argued that with a more rigorous, up-to-date support system with regular reviews, our businesses and charities would be able to ensure that those using their vehicles for work or for volunteering are valued, and they would find it easier to retain them. The Government have worked to stabilise fuel costs by cutting fuel duty in the light of the knock-on effects of the invasion of Ukraine, among other factors. I believe that that stabilising work should filter down to our volunteers and workers through a regularly reviewed and increased AMAP rate.

The arguments in favour of the petition’s aims seem incredibly plausible, especially since, as I have noted—I am sure we will hear this a lot during the debate—the rate has not been adjusted since 2011. I hardly need to list the ways in which our world, our lives and the cost of things have changed over the last 12 years. Instead, in drawing my remarks to a conclusion, I will again draw Members’ attention to the workers and volunteers who have strived to get this country moving and growing over the last decade.

Mortgage Market

Claire Hanna Excerpts

Tuesday 13th June 2023 Commons Chamber

[Andrew Griffith]

I thank the hon. Lady for her question. Like others, the FCA has talked about the number of people in any one year whose mortgages are repriced. We do not know what the price of those will be. It seems that around 1 million to 1.5 million people are affected, so a significant number, as my hon. Friend the Member for Bracknell (James Sunderland) mentioned. There are also many savers in society. Rather than looking at what is happening, what we are doing to help is making those difficult decisions. We are not unleashing unfunded, uncosted spending plans on the public purse and we are trying to get through this to help people get to a world where inflation is falling, the cost of living pressures on them are reducing and we can get the economy growing again, which will provide good employment opportunities for her constituents.

[Claire Hanna (Belfast South) (SDLP)]

I wrote to the Minister earlier this week about the continuing problem of mortgage prisoners, following a comment from the Treasury that it is open to proportionate solutions for those frozen in that position after their mortgage lenders were sold from 2008. Recent reports state that the Government made a profit of £2.4 billion from selling on those mortgages. Will the Minister work with me, and with advocates for the tens of thousands of people trapped in those precarious financial circumstances, to find those proportionate solutions?

[Andrew Griffith]

The hon. Lady raises the plight of those who have been unable to access even the mortgages at elevated levels that we have been talking about here. I understand the problem; it is something I have given significant time to with my officials and I have read the recent work conducted by the London School of Economics. I hope that, in that spirit, she will also recognise that it is a complex issue and that within that overall collective there are many different individual fact patterns. While I am open to finding solutions, I hope she will recognise that it is not easy and there is no one-size-fits-all answer.

IMF Economic Outlook

Claire Hanna Excerpts

Tuesday 31st January 2023 Commons Chamber

[Claire Hanna (Belfast South) (SDLP)]

The UK’s economic decline, which was started by Brexit but exacerbated by the mini-Budget, is genuinely sad, and it hurts millions of ordinary, blameless people. At the moment in Northern Ireland, we have some protection through the protocol, which, although imperfect, has economic benefits, including dual market access, offering the potential to transform our traditionally sluggish economy. Many businesses are already benefiting from that, and more investment will follow if the UK Government commit to supporting the protocol and that is accompanied by a responsible devolved Government focused on skills and infrastructure.

Will the Minister commit to advocating in Cabinet for a pragmatic EU-UK deal? If not, will he acknowledge that if the protection of the protocol is removed, more and more people in the centre ground in Northern Ireland will ask, “When can we leave this Brexit madness through an agreed, dynamic and inclusive new Ireland?”

[James Cartlidge]

Of course, the hon. Lady knows about the work that is happening across Government in respect of the protocol. She talks about our “economic decline”, but let me be absolutely clear: since 2010, the UK has grown faster than France, Japan and Italy. She knows that, as I said earlier, 14 EU countries have higher inflation than we face at the moment. These are global challenges that we face, but we have the strengths to get through them. One example, as the Chancellor pointed out on Friday, is that there are only three economies in the world with a £1 trillion tech sector. Tech is a huge part of our future economic growth. One of those countries is China, one is the United States, and the other, I am pleased to say, is the United Kingdom.

Oral Answers to Questions

Claire Hanna Excerpts

Tuesday 15th November 2022 Commons Chamber

[James Cartlidge]

My hon. Friend makes an important point. In my capacity as a constituency MP, I recently met with a domiciliary care company, and it is clear that this cost of running its vehicles is significant. I repeat the point that these approved mileage allowance payments are really there as an administrative convenience, so that employers can support their staff. Employers can pay more, but, obviously, there may be tax implications. The crucial point is that we have cut the tax on both petrol and diesel, and that tax cut was significant. It was only the second time in 20 years that we cut both the main rates of petrol and diesel.

[Claire Hanna (Belfast South) (SDLP)]

13. Whether he plans to review the surcharge rate of the energy profits levy.

[The Exchequer Secretary to the Treasury (James Cartlidge)]

The energy profits levy was introduced from 26 May in response to sharp increases in oil and gas prices and to help fund cost of living support for UK households. It is an additional 25% surcharge on UK oil and gas profits. The Government have calculated that they expect the levy to raise more than £7 billion this financial year. All taxes are kept under review at all times.

[Claire Hanna]

Households and businesses are being crippled by energy costs, with support non-existent in the case of the Northern Ireland energy scheme. At the same time, Shell has reported quarterly profits of £8.2 billion and BP of more than £7 billion, but, under current rules, Shell is not expected to pay any windfall taxes in this year. It is encouraging that there is word that the Government are intending to extend the scope of the windfall tax, and it is not before time. Undoubtedly, there are difficult financial decisions to be taken, but this is not one of them. When even Shell is saying that this tax should be embraced, we know that the policy is in the wrong place. Will the Chancellor commit to increasing the scope of the levy and to closing loopholes on timing, share buybacks and the investment allowances that allow tax to be avoided by diverting profit into polluting and unsustainable fuels?

[James Cartlidge]

To be clear, the levy is an additional 25% surcharge on UK oil and gas profits on top of the existing 40% headline rate of tax, taking the combined rate of tax on those profits to 65%. The hon. Lady is right that the levy contributes to the support that will be going out to Northern Ireland; it will come in a month later, but will be backdated to 1 October, and it will include businesses as well as households.

New Wealth Taxes

Claire Hanna Excerpts

Tuesday 14th June 2022 Westminster Hall

[Claire Hanna (Belfast South) (SDLP)]

Thank you for calling me, Sir Edward. Thank you, too, to the hon. Member for Leeds East (Richard Burgon) for bringing forward the debate and for his advocacy on the issue.

Tax is a fundamental and necessary tool of the Government and, from my perspective as a social democrat, one that is not being adequately levied by the Government to address the huge and parallel challenges of poverty and wealth inequality. Wealth inequality is one of the most defining issues of our time and, like other seismic challenges, such as climate change, it will only be addressed by concerted, co-ordinated and internationalised action. It is being driven, first, by failures in the tax system to levy tax, and secondly, by evasion and avoidance, which is not just about short-changing the public purse but also has a distorting effect on decent, compliant and locally anchored businesses.

The UK and the world, as hon. Members have outlined, is not short of wealth. There is plenty to go around. The global economy has quintupled over the past three decades. However, due to regressive and outdated forms of taxation, that wealth is accruing in the hands of a tiny number of people at the top, while the wealth of those at the bottom is decreasing. Globally and in the UK, the tax system is essentially rigged for exactly those purposes. We know, too, that inequalities have worsened during the pandemic and, in parallel, that the cost of living has surged, the average salary is nowhere near keeping up and public services—health and education—have deteriorated.

The Government need revenue and they turn to tax—so far, so fair—but who or what they choose to tax reveals a mindset. A state can choose to tax either wealth or income and this Government have chosen to tax income—to tax work, when a wealth tax would garner more resource for the state and, in parallel, help address the issues of income disparity that are driving a lack of cohesion and hampering social solidarity. Taxing income alone will not raise the resource needed to be genuinely transformative in those issues of poverty and climate change or, for example, the challenges within the health service. It will also do nothing to address the widening gap between the richest and the poorest, which, as others have outlined, is part of what is driving populism, fundamentalism and people feeling lost within the political system.

It is welcome that the Government are belatedly pursuing a windfall tax—even if we are not supposed to call it that—to address some of the property bonanzas, but that should not be limited to the energy sectors; the Government should also focus on an individual wealth tax. What do we mean when we speak about the wealthy? Before we even start to discuss at what level a tax is levied, what comes to my mind, when differentiating, is those whose income comes from assets such as rents and dividends, when the rest of society depends on labour and wages. It is wealth that makes money even when somebody is asleep, and often at a faster rate than the one at which many people are able to earn.

The enduring myths about wealth, which we will hear mentioned in this debate, include the idea that wealth taxes would slow down the economy, deter job creation and prompt capital flight. One myth is that, simply by existing, wealthy people create jobs; but we know that in fact it is demand that creates jobs. If we take a billion pounds and give it to one person, about 99% of that wealth will leave circulation. Yet that same billion, distributed among a million people, would continue to circulate around the economy, stimulating demand, and not be locked up in the hands of a small number. So the mega-rich are, in fact, taking capital out of society and spending it on the inflation of existing and essentially non-productive assets, such as land and property. That is what trickles down from the wealthy to the average person who is trying to buy a home to live in or raise their family.

The wealthy and their wealth will not just leave, either, any more than wealth is already leaving the public purse due to our complex and loosely regulated tax systems. A large amount of the wealth in this country is tied up in property; as the hon. Member for Brighton, Pavilion (Caroline Lucas) said, it cannot just up sticks and leave. Tax avoidance is not inevitable; it is a policy choice around where to levy tax and underfund enforcement. Things like the Panama papers and the Paradise papers have given more than enough evidence over the years to show that tax avoidance and evasion are standard practice around the world.

Last week, BBC programme “Spotlight” revealed a niche product called Northern Ireland limited partnerships, which are being exploited on a wide scale for people to avoid taxation and to get up to all sorts of nefarious purposes. One street in my constituency in south Belfast is home to 100 such Northern Ireland limited partnerships, which create not a single job or add a single penny to the Revenue, and which are up to all sorts. However, it was a choice not to close down that loophole.

[Sir Edward Leigh (in the Chair)]

Order. I am afraid you are over time. I call Jon Trickett.

Climate Goals: Wellbeing Economy

Claire Hanna Excerpts

Tuesday 30th November 2021 Westminster Hall

[Claire Hanna (Belfast South) (SDLP)]

I thank the hon. Member for Brighton, Pavilion (Caroline Lucas) for bringing forward this debate and for many years of leadership, giving vision in this area and a lot of practical direction. The necessity for change, and the failures of the economic model that we currently operate, are all around us: in climate and nature breakdown, in inequality within and between nations of the world and between generations, in the depletion of resources and the hoarding of wealth, and in the mental ill health and lack of fulfilment that are beginning to engulf our populations.

The hon. Member for Stirling (Alyn Smith) outlined some of the absurdities of GDP as our sole measurement, with all of the negative effects simply written off as “externalities”. It is very clear that a system that accounts for tobacco sales and bets placed by gambling addicts, but does not find any way to capture time spent raising children or the value of clean air, is no longer fit for purpose. We have known that for decades.

The impacts of consumption and growth-driven production on our planet do not need to be articulated in this room. I know that because this country and others like it consume, drill, burn and dump at a rate that would require numerous planets to sustain it. That, of course, causes negative impacts for the planet and its inhabitants.

It would be one thing to keep pursuing this model if it resulted in a healthy and happy population, but it does not. We know that income inequality in the UK is higher than it has been for decades, and probably the highest in Europe. It affects people at every single point on the economic distribution scale, as well as overall societal cohesion. In the absence of any serious mitigation policies, that will unfortunately only get worse.

[Clive Lewis (Norwich South) (Lab)]

I thank the hon. Lady for giving way in her fantastic speech. She may agree that part of the growth delusion—this constant demand for GDP and growth—is that it will actually begin to trickle down to poorer members of society, both domestically and internationally, yet that does not happen. Rather than keeping on growing the pie, destroying the economy and the planet, would it not be better to better share out the pie we already have within the current limits of the ecology and the environment?

--- Later in debate ---

[Claire Hanna]

The hon. Member is absolutely right. We have proven that the theories he outlines, which are supposed to be in place, have not worked, and that our economy has not worked. The kind of model that he suggests, which allows people to flourish, is desirable and achievable.

As with addressing climate breakdown, we know what has to be done; we just have to decide to do it. While it is tempting and valid to protest and rage against the machine on this, it is very encouraging to see some of the practical initiatives that people are taking across their constituencies and in other regions. I pay tribute to groups such as the Carryduff Regeneration Forum, the Conservation Volunteers, Open Ormeau, Repair Café Belfast and many others in my own corner of the world who are showing what is possible when people try to slow down, clean up and build cohesion, and what is possible through care, education and creativity.

Northern Ireland is among the most nature-depleted regions in the world. Currently, we have no binding environmental targets, no environmental protection agency and no coherent plan to address that. We do not even have any certainty that the Assembly will stay up long enough to pass the Climate Bill that the Green party, my own party and others are bringing through at the moment.

Members have outlined some of the many solutions that are in place and some of the Bills that are currently working through that can help us achieve environmental and generational justice, because the impacts on future generations are very real. We need to be real about the possibilities and limitations of green growth and rescue technologies. As the hon. Member for Norwich South (Clive Lewis) outlined, some of these have been demonstrated to not necessarily have the solution to all our problems.

We need to embrace lower labour productivity at times, and accept that long hours and low-reward jobs, where people are working just to stand still economically and consume, are not good for them or for the planet. We also need to encourage reporting of non-GDP measurements. The ONS records these, but we do not use them and they do not get reported in the media, and we know that, unfortunately, what gets reported, gets done.

Members have rightly referenced initiatives in New Zealand, Scotland and Wales, and I look forward to hearing from the Minister how the UK Government as a whole intends to step up in this regard.

[Mr Clive Betts (in the Chair)]

We are going to start the winding-up speeches at 5.36 pm.

Black Friday: Financial Products

Claire Hanna Excerpts

Tuesday 23rd November 2021 Westminster Hall

[Claire Hanna (Belfast South) (SDLP)]

It is a pleasure to serve with you in the Chair, Mr Robertson. I thank the hon. Member for Walthamstow (Stella Creasy) very much for introducing the debate, and I congratulate her on having not only a genuinely good track record of action on consumer protection, but much better behaved infants than I have ever had, which is not to be sniffed at.

I associate myself with many of the remarks and proposals that the hon. Member and others have made, including about understanding that individuals and families are ready for a meaningful Christmas, and acknowledging that many are able to make, and are facilitated in making, difficult choices and balancing things this year and every year. However, we also have to acknowledge that Black Friday and the associated financing is not a generous offer and an attempt by retailers and financiers to make Christmas dreams come true. It is, in many ways, exploitation of those natural human instincts to try to provide for family. Black Friday is no longer just one day in November; it is a month-long—and often longer—bombardment of advertisements, deals and “ways to pay” that go far beyond traditional methods.

Research published today by Which? indicates that some 99% of Black Friday deals that it assessed were in fact available cheaper elsewhere in the calendar year. At the heart of this is driving people to make more purchases. We could spend this debate talking about the negative impacts of Black Friday alone on people, on the planet and on smaller retailers, which perhaps do not have the same marketing infrastructure as larger ones, but probably the most acute impact, as the hon. Member for Walthamstow outlined, is the results and the risks of predatory lending.

Citizens Advice has likened buy now, pay later to quicksand—easy to slip into and very, very difficult to get out of. As I said, at the heart of the concept is encouraging people to spend money that they do not have by putting the hard landing of any purchase on the long finger. The hon. Member for Walthamstow is correct to highlight the habit-forming tactics that mainstream this means of purchase and steepen the slippery slope by which many people slide into debt. She highlights the very interesting statistic that it increases sales by up to 30%. Evidence bears out the concerns that Members have expressed, with 75% of buy now, pay later users being under the age of 36—this tactic is clearly marketed particularly at Gen Z—and four out of 10 of them struggling to repay. That matches what we already know about the financial security of many in that demographic, who are already in or at risk from the gig economy, with its inadequate and unsustainable or unfixed incomes.

The services we are discussing are, in many cases, clearly harmful to the individual consumer, but also to the planet. Members outlined that the vast majority of buy now, pay later purchases relate to clothing, which drives the acutely unsustainable fast fashion market in which literally tonnes of clothing, often produced in dubious labour conditions, quickly ends up in landfill after a tiny number of wears—the product is often designed to be worn a small number of times. There is a wider impact. Fashion website Boohoo offers shoppers five different ways to pay for a £30 dress, which again underlines that this is not about facilitating a special Christmas purchase or a big purchase, such as a TV, that a household needs; this is about driving a pattern of spending that locks people into unsustainable purchasing habits.

As one investor in a buy now, pay later start-up explained:

“It increases the basket size and it also reduces dropped baskets”.

Some of that is marketing; it is what business does. It is the logical extension and development of the economy we have. However, as in many other areas of the market and the economy, we have an obligation to try to protect people from technologies and marketing techniques that are far beyond what any of us are used to.

This is a big and emerging problem and, like a lot that relates to technology and online, the market may be moving faster than regulation can, but it is not an unsolvable problem. The hon. Member for Walthamstow outlined many ways, alongside FCA regulation, to intervene and slow this down, including obligations on retailers to adequately display and explain the background of the products they serve. For example, in Sweden, the home of Klarna, it is already illegal to market buy now, pay later ahead of other types of up-front payment.

It is welcome that the Government acknowledge this issue and that regulation is required. It is important that we have forums such as this one to correct the view that this is not a widespread consumer problem, because it is. We know very well the depth of the debt problem. After all, credit is debt—that is what it is. As others have explained, people will always want to use credit, but in many cases it will be for a long-term purchase that will have benefits in life. In the vast majority of buy now, pay later cases, that does not apply. I support the motion and all efforts to regulate and protect.

[Mr Laurence Robertson (in the Chair)]

We come to the Front-Bench spokespeople. I would like to leave two or three minutes at the end for the mover of the motion to wind up the debate.

Brexit: Opportunities

Claire Hanna Excerpts

Thursday 16th September 2021 Commons Chamber

[Michael Ellis]

I agree completely.

[Claire Hanna (Belfast South) (SDLP)]

Northern Ireland did not seek Brexit and it has been very destabilising for the region, but from the Social Democratic and Labour party’s pragmatic perspective, we are trying to make lemonade out of the lemons that we have been handed. It is disappointing that Northern Ireland’s unique dual market access is not among the opportunities that the Paymaster General has identified. The fact is that, under the protocol, being at the hinge of the UK and EU single markets is the first unique economic selling point that Northern Ireland has had after decades of sluggishness and low productivity. Will he commit his Government to working with all parties and with the business community in Northern Ireland to allow Northern Ireland to try to make the best of the hand that we have been dealt, in the interests of people and businesses of all communities, by promoting that unique dual market access to businesses in the UK and overseas?

[Michael Ellis]

I disagree with the hon. Lady on one thing: I do not think that Northern Ireland has only one unique selling point. I think it has multiple selling points and the people of Northern Ireland are an integral part of this kingdom. Of course, tourism is one element of Northern Ireland that is also a substantial prowess. She does recognise, I know, that in this House, this party and this Government have always focused on supporting the people throughout the United Kingdom, which is why we are pushing the levelling-up agenda that she has been hearing so much about. She will find that that will continue to support her constituents and the people of the whole Province of Northern Ireland.

Northern Ireland Protocol

Claire Hanna Excerpts

Thursday 15th July 2021 Commons Chamber

[Claire Hanna (Belfast South) (SDLP) [V]]

After all these months, it is hard to know what is left to say on the protocol. It was nobody’s first choice. It was the last thing left on the table after a series of choices made by the UK Government based on votes made by the Conservative Party and the DUP. Having a very hard Brexit and frictionless trade are regrettably not both possible, and they never have been, and it is dishonest to pretend otherwise. People and businesses in Northern Ireland do not wish to leave the single market, with all that that would entail. It was discussed for years, and the protocol, voluntarily signed by the UK Government, was the outcome. All that remains to do is calmly, as adults, leaders and good neighbours, work through the challenges that Brexit has generated, streamline processes where possible and find workarounds where not.

I am pleased at least to see commitment to the Belfast/Good Friday agreement on the face of this motion, because there are those who never supported it and who are only too keen to try and throw the agreement baby out with the protocol bathwater. Members have referred to the right hon. David Trimble. My party colleague and former leader John Hume also got the Nobel peace prize, as well as the Gandhi peace prize and the Martin Luther King peace award, and he knew a thing or two about interdependent relationships and statecraft. I urge all Members to widen their sources on this issue.

Brexit has, as the Social Democratic and Labour party cautioned for years, sharpened lines around identity, sovereignty and borders that we worked hard to soften. It has created perceived winners and losers in a place that lives or dies on compromise. The SDLP is very alive to the sense of many, particularly Unionists, that this is a parity of esteem issue, but we also see how those fears have been exacerbated and exploited, with the protocol being used as a receptacle for decades of grievance and frustration about everything from power sharing to minority languages.

In all the discussion about consent, it is also important to reiterate that the Brexit that many who have spoken on this motion seek, has never been consented to by people in Northern Ireland. Our constitutional status is a matter for people here, by referendum, and it is a dangerous conspiracy theory to pretend that that is being changed over their heads.

We all have our views on Brexit and its outworkings, and goodness knows we have discussed it plenty, so I want to reflect on the views expressed by some of those for whom this is not just a hobby horse, but who are dealing with the consequences—people in the business community and people working on peacebuilding and picking up the pieces of this fallout.

This morning at the Northern Ireland Affairs Committee we heard from representatives of agriculture, logistics, retail and manufacturing. None of them loves the protocol either, but they all want it to work because they know that there are no alternatives. All spoke about changes that the UK Government and the EU could make to their own choices and behaviour to ease the burden. Crucially, they all made clear that the best solution available was an EU-UK veterinary and sanitary and phytosanitary agreement. If the aim of those who brought this motion really is to protect the Belfast/Good Friday agreement and to protect the UK internal market and to protect against a hard border, that is the only and obvious solution. Business representatives could not have been clearer about that, and no Northern Ireland Executive party opposes it. It would be a rational choice for a sovereign UK to make for itself in its own political and economic interests.

Last week, our Committee heard from women working in peacebuilding and community work in rural and urban communities—from people of all political outlooks and none. Their words were a rebuke to all of us in politics. Elaine Crory of the Women’s Resource and Development Agency spoke of a perception among the women that she works with that these issues are not in the hands of people

“that are thinking primarily of the effects…on me, my community and my family. It is in the hands of people driven by a particular perspective that…does not care about the effects it might have on me”.

Eileen Weir of the Shankhill Women’s Centre spoke openly about the challenges that Brexit and the protocol are bringing to identity, to community relations and to domestic budgets, but she wanted to hear more about the positives, too. She spoke about the need to

“encourage industry to come into Northern Ireland, to give our young people a future. We need hope within these communities…If we are able to attract industry…and fix the outstanding issues with the single market trade. There are ways of fixing it.”

However, we are only hearing the negatives, because many, including the UK Government and the DUP, are only looking for the negatives and doing nothing to harness the first economic unique selling point we have had in the history of Northern Ireland by being at the crossroads of the EU and UK single markets.

Elaine also said:

“When you hold a microphone out and point it directly at the people who oppose it…but you hold it only in that direction, you get the impression that everyone opposes it, when…they do not.”

Rachel Powell warned of

“outright manipulation of working-class communities across Northern Ireland.”

and said that the unrest we saw in April was not organic. She spoke further about the attacks and risks for those who tried to counteract those narratives. Kate Clifford of the Rural Community Network spoke about the challenge of upholding a culture of lawfulness when senior politicians such as the Secretary of State stand up and say that they are willing to break international law. She said:

“The difficulty for us is when the language of Parliament and the language of Governments is one of brinkmanship and posturing, and that is almost testosterone-driven. That then plays out in our communities… My plea to…all who are doing the negotiation is that, although it makes great headlines to talk about the ‘great British banger’ and all of that, the reality is that there are lives at stake on the ground…and it is not fun.”

It is not fun at all. It is deeply worrying to all of us in Northern Ireland who value cohesion and economic and political stability. The best way to address that is an SPS arrangement, and the second best way is not to manufacture a crisis, but to accept responsibility and the choices, be honest with people, engage with businesses and the EU, and make the situation work.

0.7% Official Development Assistance Target

Claire Hanna Excerpts

Tuesday 8th June 2021 Commons Chamber

[Claire Hanna (Belfast South) (SDLP) [V]]

I thank Mr Speaker for allowing this emergency debate.

The decision to abandon the Government’s own manifesto commitment was not just morally regrettable but, like a disturbing number of actions by this Government in this term, it was unlawful, too. The Government have again bypassed Parliament and demonstrated contempt, in that it has taken until today, in an emergency debate, to address this matter. I commend those Conservative Members who have secured this debate for their articulation of our shared norms of global interdependence and of democratic norms.

Although I appreciate that nobody who has spoken is relishing this change, we have heard from cheerleaders of the policy that we need to help our own instead. That false binary might just ring true if those same voices were not actively advocating against meaningful pay for healthcare workers and against funding catch-up education, and if they were not actively misrepresenting, with tabloid myths that insult the intelligence of the public, the real achievements that the UK has made through aid. Nobody credible denies the serious economic contraction in the situation that we are in, but we are advocating that a principled choice be made, and that this Government and nearly all Members of the House keep a promise that they made.

Last November, speaking about the security and defence review, the Prime Minister said:

“Britain must…stand alongside our allies, sharing the burden”—[Official Report, 19 November 2020; Vol. 684, c. 487-488.]

But this retreat does the opposite. For the first time in many years, development progress around the world is going backwards. Reports estimate that 200 million people will be pushed back into extreme poverty because of the pandemic. Decades of practice and evidence under- score the truth that long-term development investment, the like of which UK aid successfully supports, creates resilience that helps the poorest and the most vulnerable to withstand the economic and environmental shocks that are becoming more frequent, which in very large part is due to our actions and our consumption.

This cut is, at the very best, penny wise and pound foolish, because economic investment in aid is far-sighted. Well-nourished children will learn well in school; empowered and informed women will see their children survive and thrive; innovative, invested farmers will be able to feed their family and have more for market. Aid also creates a more secure world. Draining the reservoirs of poverty guards against extremism taking hold and creates a safer future for us all.

The UK’s development record of being a generous aid supporter has been something to be really proud of. Like many hon. Members, I have seen the effect of that money in practice many times, having worked for over a decade in the aid sector. As an Irish MP in the UK Parliament, I think it fair to say that some of the rhetoric and symbolism that I hear around sovereignty, militarism and flags does not move me politically, but like many others, I have been deeply proud of the UK’s record on spending and effectiveness in aid. It is the mark of a serious global actor and an inclusive, modern, progressive union of people.

Whoever policy decisions like this are designed to appeal to, please let us not forget that there is a mainstream of public opinion that believes in multilateralism and generosity—we exist as well. The UK’s aid spend saves lives around the world, but it enriches all our lives here as well, and it should be protected.