Investing in Britain’s Future

Debate between Clive Betts and Danny Alexander

Thursday 27th June 2013 Commons Chamber

[Danny Alexander]

The existing statement of principles, which was due to expire this month, will be continued for the next year or so until this arrangement is fully in place. I hope the hon. Gentleman will welcome the long-term commitment to capital investment in flood defence, which of course will be of benefit to his constituents, along with those of many other hon. Members.

[Mr Clive Betts (Sheffield South East) (Lab)]

Not one mention was made of local councils in the statement or of the role they can play in helping to rebuild our infrastructure. Why does the Chief Secretary continue with the ridiculous mortgage guarantee scheme, which the Treasury Committee, the International Monetary Fund and the Governor of the Bank of England have all said is more likely to add to housing demand than increase housing supply? Why does he not use the billions of pounds available to allow local councils to build homes that people can afford to rent and put thousands of constructions workers back in work?

[Danny Alexander]

Local authorities were mentioned in my statement, particularly in relation to the single local growth fund. The money goes to local enterprise partnerships, which as the hon. Gentleman knows bring private sector businesses and local authorities together to spend the money. Part of the money going into the single local growth fund comes from the new homes bonus, so it will enable LEPs to invest in housing if that is what they choose as part of their local economic priorities. As for the mortgage guarantee scheme, it is important that, when it is hard for young people to put together the deposit they need to buy a house, we support them. That demand will also bring forward additional supply. That is the view of the Home Builders Federation, and I agree with it.

Public Service Pensions

Debate between Clive Betts and Danny Alexander

Tuesday 20th December 2011 Commons Chamber

[Danny Alexander]

I am grateful to my right hon. Friend for his words of praise. He makes an important point about the need to get this message across directly to public sector workers. I hope that the unions that have signed up to the heads of agreement, following consultations with their executives in many cases, will now be part of the process of explaining the new deal to their members. The Government will also continue with the efforts, which we started after my statement on 2 November, to communicate directly to nurses, teachers, civil servants and local government workers, so that they understand directly from the Government what the terms of the agreement are.

[Mr Clive Betts (Sheffield South East) (Lab)]

In regard to workers who are transferred to another organisation, can the Chief Secretary confirm that their right to stay in their pension scheme will apply to all pension schemes? Will that be time-limited in any way? If the organisation to which they are transferred is taken over or changes ownership, will they still have the right to remain in the public sector pension scheme?

[Danny Alexander]

Yes, they will. I think that I can reassure the hon. Gentleman on all the points that he has made. What we are saying is that we do not want bulk transfers any more, in which the new providers have to set up their own scheme. Instead, the people to whom he refers will continue to be part of the public sector scheme—the NHS scheme, the civil service scheme or whatever—with the new provider, rather than the taxpayer, paying the employer contribution into the scheme. This will create a more secure footing for those people to be on. It is important to be able to give full reassurance to the hon. Gentleman and, through him, to the members of those schemes that he is concerned about.

Public Service Pensions

Debate between Clive Betts and Danny Alexander

Wednesday 2nd November 2011 Commons Chamber

[Danny Alexander]

Those proposals will be brought forward later. Police pensions are being considered by Tom Winsor in his second report. His recommendations will not be about the police alone, but we need to make sure that police officers get a proper, fair and decent pension for the contribution they make to our society.

[Mr Clive Betts (Sheffield South East) (Lab)]

The Chief Secretary has once again said that all accrued rights will be protected. Will he confirm, however, that the change from the retail prices index to the consumer prices index will, in practice, affect the accrued rights of every single member of every public sector pension scheme?

[Danny Alexander]

I do not believe that that is a correct use of the term “accrued rights”. Of course we will protect the accrued rights in full. The RPI to CPI switch will have the effect that I described in my statement. That is the subject of a legal dispute at the moment, but it was the right decision by the Government.