(8 years, 5 months ago)
Commons ChamberI beg to move, That the Bill be now read a Second time.
I am grateful for this opportunity to speak, albeit a little later than I had hoped, following the Minister’s tour de force in dragging out the previous Bill. [Interruption.] Well, it certainly was a tour, as my hon. Friend the Member for Ealing North (Stephen Pound) says from a sedentary position. It is a shame that more Members are not here. Had we been more certain of the time of the debate, I think that it would have been well attended. I understand that the Government do not support what I am trying to achieve, but many Members on both sides of the House are interested, as are the football teams in their constituencies, and could have contributed to quite a significant debate. Sadly, the vagaries of how the House operates on Fridays did not allow that. None the less, that does not detract from the importance of the issue.
I thank the Football Supporters Federation and Supporters Direct, which helped me consult supporters trusts and fans groups up and down the country. Nearly 100 groups responded to the consultation. I had telephone conferences with them and held meetings in Manchester, London and other places to discuss the issues. We surveyed their attitudes towards fans’ involvement in the governance of football and their football clubs.
Some 97% of respondents said that they were not given enough representation. Nearly 86% said that they supported the concept of the right to buy shares and nearly 84% wanted representation on their club boards. When we look around football today, we cleary see that football fans are under-represented and not listened to. No matter what level of the game we look at, we see examples of where things could be improved if football fans had greater representation. The Football Association has a 123-man council; it is almost entirely male. There are a handful of women, but I am not sure how many, and there is just one fan representative on that council. That cannot be right. We need to improve representation and the voice of football fans at every level.
A lot is going on. Only a week ago, a new president of FIFA was elected. Just prior to his election, FIFA agreed a whole load of reforms. Anyone who follows football knows that FIFA needs fundamental reform. In fact, my view is that FIFA cannot be reformed; it needs to be put into some form of administration. A new body needs to be created and put in its place.
I congratulate Gianni Infantino on his election as president. I have been critical of FIFA and the system that elected him, which I still think is corrupt, although that is not to suggest that Mr Infantino is corrupt. The system is corrupting, and I will be a critical friend of Mr Infantino’s to ensure, along with many others, that the reforms are adhered to and delivered in full.
Many people have said that the election of Infantino is a breath of fresh air, but he is part of the previous establishment and football has a difficulty in breaking away from that. He was the best candidate among those who were available. It is disappointing, however, that in what was almost his first press conference he said that the 2018 and 2022 World cup bids would not be rerun. Investigations are going on that could determine whether the decisions awarding those tournaments were sound, and it is far too previous to conclude that the bids will not be rerun.
With the FIFA reforms, we are supposed to be drawing a line over what has gone on in football, yet the two World cups coming up in 2018 and 2022 are mired in the history of what has gone on at FIFA; it is difficult to see the changes as a result of a new broom and to think that the organisation is completely clean of what has gone on in the past. I wish Mr Infantino all the best with his changes and I am sure that we will return to the FIFA issue. As Mr Infantino said at his press conference, it is the fans and the game itself that are most important.
Even the highest debating and decision-making chambers of football such as FIFA have to remember the fans who make the game so special. The way in which football is part of the communities where the football clubs are based is so important to the beating heart of football. Everyone who is involved in making decisions in the game must remember that.
Fans are becoming increasingly important because big business is moving into our football clubs in a way that it never has before. We are now hearing talk, yet again, of a breakaway league of all the top clubs across Europe. If clubs were foolish enough to move into such a super-league, I would be inclined to say to the FA, “Tell those sides ‘Good riddance.’ Close the doors to the FA cup to them and let them go, and let’s continue to run our football league and have the confidence in it to create new super-clubs.” There is something special about the English football league. People around the world enjoy watching it. They enjoy the atmosphere created by the fans, which is reflected in the football played on the pitches that makes it a product that people around the world so much want to watch. There is something special when one of our top clubs such as Arsenal or Manchester United is drawn against one of the big European football clubs such as Real Madrid, Barcelona or Borussia Dortmund. If that were to happen regularly within a football league, the special nature of those international clashes and the excitement of those tournaments would be lost. Those clubs would be making a serious mistake if they moved away into a super-league.
Football is no longer looked on as a way of wealthy business people having an interest aside from their business by running a football club. It has often been said in the past, “If you want to make £1 million out of football, buy a football club for £4 million”, because it has not been a way of making money; owners of football clubs have invested in them and seldom taken money out. That has completely changed. Looking back at the finances of the premier league, and, to some degree, the championship only a few years ago, there was enormous debt. There is still debt in the championship, but the TV deals that have been done for the premier league have almost completely wiped out the debt there, and football clubs are looked on much more as money-making businesses. Those clubs’ links to the communities in which they are based are therefore even more important than they have been in the past. These people sweeping in on their private jets wanting to buy football clubs are not looking at the communities that have sustained those clubs through generations over many years, through the good times and the bad times, and the very strong links that they have with the communities in which they are based.
It is the fans who anchor the clubs in that tradition. It is the fans from those communities who have sustained those clubs over many years. It is the fans who are passionate about their clubs who fill the stadiums week in, week out and create the atmosphere that makes the package—for the premier league, in particular—so attractive to sell around the world. Owners who turn their backs on that tradition will do so to the detriment of their football clubs. That is why it is so important that today we are recognising the importance of the role of fans in sustaining football clubs, maintaining these traditional links, and making sure that they are not lost as clubs begin to become more profit-making and more attractive to people who are not steeped in the traditions and the history of the clubs that they are attempting to buy, or do buy.
Fans are increasingly looked on as customers and as no different from someone who shops at a supermarket. If customers get a better deal down the road, they simply change supermarkets. No passion or allegiance is involved; they do not wrap a supermarket scarf around their neck when they shop. The link between a fan and a football club, however, lasts a lifetime. Some are lucky enough to support clubs that frequently play in the top flight, while some of us have heavier crosses to bear. I am a Millwall season ticket holder and, believe me, it is a heavy cross to bear at times.
I congratulate my hon. Friend on promoting the Bill. I am also a Millwall season ticket holder—
It is in my constituency. I will be going this weekend to celebrate Jimmy’s Day, and I hope that my hon. Friend will also be there.
I certainly will. Jimmy Mizen was, sadly, murdered in a street attack. His mother and father, Barry and Margaret, have set up the Jimmy Mizen Foundation, which aims to create community safe havens in which young people can seek refuge if necessary. Millwall football club and Charlton Athletic both support the charity, and there will be an event at Millwall tomorrow. I will be there in my usual seat in the stands, supporting Jimmy Mizen Day and cheering on Millwall football club, which is not doing too badly this season.
As I have said, some of us have heavier crosses to bear with the sides we support, but we are no less passionate about them. I could not change my football club. Charlton Athletic’s training ground is in my constituency. Millwall’s training ground used to be there, too, but it has moved to Lewisham now. The team’s fortunes dipped when it moved there, but they seem to have picked up now. People were surprised that I remained open about the fact that I was still a Millwall fan and they asked me, “Won’t you switch to Charlton because it’s the local club?” Fans cannot switch like that, and even if they attempted to do so, they would lose the respect of other football fans. It is imprinted on people from a young age. Fans are not like any other customer. They are passionate about their clubs, and their relationship with them lasts a lifetime. That needs to be stressed to football club owners and to the Premier League.
Stadium occupancy rates are often mentioned, and those for weekend premier league matches are very high. Last season’s annual report states that the occupancy rate was nearly 96%, so the grounds are full. The Premier League is a huge commercial success. It pays £2.4 billion to the Exchequer, and its gross value added is £3.4 billion. It has become an enormous success and one of our greatest exports. In the next three-year deal for its domestic rights, it expects to receive in the region of £6 billion. The international rights will take that figure up to more than £8 billion over three years. That money will go to the Premier League and British football, so it is an enormous success, but, with those sums of money floating around, it is essential that we do not lose sight of what exactly created those football clubs in the first place and why they exist today: the communities in which they are based and their fans.
There are many examples of such communities coming together to protect their football clubs. At the moment, Blackpool’s is fighting hard to get recognition from the owners to protect their football club. One of the greatest examples is that of Portsmouth. The club was in the FA cup final only a few years before it went into receivership and had to be saved by the local community and local fans. People came together to save a great football club, which has some of the most passionate football fans to be found anywhere in any country.
Does my hon. Friend not agree that for every AFC Wimbledon, FC United of Manchester or group of fans who have refused to let their club die, great and noble clubs such as Clydebank exist no longer? It would have been far better if clubs such as Clydebank had had fan representation on its board, because it would not then lead to people going through the agonising process of defending their clubs. The process would be much more automatic, and we would be able to keep the full gloriously rich panoply of names in English and Scottish football.
I agree with my hon. Friend. I will come on to some of the recommendations of the expert working group, which may address his point.
When football clubs are in distress, we can see how the communities have rallied round to save them. Sadly, Hereford United went out of existence for a short period, but it has been recreated because the fans, refusing to let the name die, were determined to save their club. Let us look at the success of Swansea City, 20% of which is still owned by the fans. Where would it be if the fans had not stepped in to save it? Wimbledon—what a tragic story—was let down badly by the football authorities. The community’s club was stolen away from them, but the way in which they have recreated a club, AFC Wimbledon, to thumb their noses at football’s ivory towers is fantastic.
My Bill is not about giving the fans a veto over what goes on at their clubs. I am not suggesting for a moment that the involvement of football fans is somehow a panacea for all the problems in football. There have been times when football clubs have gone into receivership even though the fans had all along cheered every decision that put the club into financial jeopardy until the receivers turned up and locked the doors. Fans cannot provide the solution to every problem, but they care passionately about their club and they can be an early warning system to alert authorities to existing problems in our clubs, particularly such as those at Hereford.
More recently, clubs have come into conflict with their fans in ways that might have been avoided if there been better communication or if the fans had had a voice on the board when decisions were made. Liverpool comes to mind, as does the Football Supporters Federation’s “Twenty’s Plenty for Away Tickets” campaign. Because of the pricing of tickets at Liverpool, 10,000 fans walked out in the 77th minute to say to the club, “We’re not putting up with this”. That brought about a change, but the conflict might have been avoided if the fans had been at the table when the board discussed ticket prices and the board had put its views to the fans. A more ridiculous example happened at Leeds, where a “pie tax” has been added to the tickets. When people pay for a ticket, they get a voucher for what is probably a very unhealthy pie, and that has been ridiculed. I wonder whether the board would have come up with such a marketing ploy if it had talked to the fans. Similar things have happened at Hull City, Cardiff and elsewhere that I could go into, but I will cut through that because we are short of time.
I want to talk about the expert working group. I welcome its recommendations as far as they go. They will require football clubs to meet fans at least twice a year so that the fans can air their views, but that is not enough. There needs to be a regular dialogue and exchange of information. This does work in clubs already, so there is nothing to fear from fan representation on the boards. The Government should look at what the expert working group says about social investment tax relief to make it easier for bona fide fans groups to take over their football clubs. I wonder why we are saying that we will help fans to take over their clubs only when they are in financial difficulties. If the fans are good enough to have a stake in their clubs in the bad times, they must be good enough to be able to buy shares in the good times, if they wish to do so.
We need to ensure that fans are represented. The expert working group says that the FA must address the lack of representation of fans at the higher levels of the game. I want to hear from the Minister what the Government intend to do about that.
My Bill, as I said, is not a panacea that would solve every problem in football. One of the things that is fundamentally wrong in football now is that fans are not being spoken to and they are not being listened to. Where they are, and where clubs encourage it—Millwall has a fan on the board, who is elected by the fans and is party to all the discussions that go on around the table—that does not create a problem for the club. Where representation exists, the relationship between the fans and the club is improved, as is the exchange of information between them.
My Bill would do three things. It would require the fans to set themselves up as a single bona fide body. I have suggested that that should be an industrial provident society, but that can be discussed. That body would be responsible for electing two members to the club board— two members so that they are accountable to one another— and they would report back to the fans about the board’s discussions. They would need to be trained and taught the responsibilities of being a board member—for example, when they may or may not divulge confidential information when they report back. Where the board is larger, there should be a minimum of two fans or up to 25% of the board, whichever is the greater number.
That bona fide fans body would be empowered to buy shares when there was a change of ownership. I have been advised that in the City that is recognised as occurring when 30% of shares or more are on offer, so when 30% of the shares were exchanged or sold, the fans would have 240 days in which to buy up to 10% of those shares which is 3%.
Those are the three elements of my Bill—it would put fans around the table when the issues that affect them are being debated, and allow them, where they have the will to do so, to take a stake in their club. Clubs have nothing to fear from that. At a time when football is increasingly seen as a global business, it is important to recognise the people who identify with that club and who give it its distinctive character, which comes from the community and has sustained that club for generation after generation. Those people are the fans, and it is time we gave them the recognition they deserve.
(8 years, 5 months ago)
General CommitteesIt is a pleasure to serve under your chairmanship, Sir Roger. I welcome the right hon. Member for Bexleyheath and Crayford (Mr Evennett), the acting Minister with responsibility for heritage, sport, gambling and tourism. I congratulate his colleague, the Under-Secretary of State for Culture, Media and Sport, the hon. Member for Chatham and Aylesford (Tracey Crouch), on the birth of her child Freddie. We wish her, Freddie and the whole family well.
The Minister clearly received the same briefing as me, because I was sat here crossing things off in my notes as he was going through his speech, which was more or less the same as mine.
Exactly. In that spirit, I will cut my speech short. Farmers’ markets, fashion shows—tick, tick—I have all the same points here.
The Churches Conservation Trust carries out some important work. Churches are an important part of our heritage and contain many examples of fine architecture dating back to the middle ages. Some of the finest examples of architecture are protected in our churches. Many of us who are interested in history will find that researching our ancestry or a particular period in history will invariably take us to a church. It is not a CCT church, but I was recently at Sherborne abbey, which is a fascinating building that dates back to the eighth century. I do not know whether many people will know this, but two Saxon kings, older brothers of Alfred the Great, are buried there. When looking to find out about history, where does someone turn? They go to a church to find out some facts.
Local war memorials are the focus of attention every year, but particularly at this time when we commemorate the centenary of the first world war, in which the CCT is playing an important role. The trust’s “First World War: Memorials of Life and Death” programme is recognising the role that our churches have played in commemoration over the past century. In my constituency, Henry Hall, chaplain of one of the regiments that served in Gallipoli, came back to be a local parish vicar. He landed with the troops during the invasion, taking communion with the soldiers while under enemy fire, and decided, based on his experiences, to set up a chapel in the church for the commemoration of the Gallipoli campaign, so we have a permanent memorial that has played an important part in our commemorations in recent times. Churches continue to play an important part in commemorating significant parts of our history and allow us to continue to learn lessons from it.
The Minister spoke about the number of people who visit churches. He is the Tourism Minister at the moment and I am the shadow Minister for that industry, for which churches play an important part. The CCT’s work to protect many older churches attracts a lot of people to rural communities where tourism can be vital for creating jobs and sustaining tourism. Similarly, the trust’s work to restore churches is vital and supports many specialist craftsmen whose role is to restore and protect those churches. Again, that brings employment and important investment—more than £5 million of investment from the trust—to the communities in which those churches are located.
The trust’s forerunner was set up by the Labour Government in 1969 so we welcome the work of the CCT, but I have a couple of questions about its ongoing work. The draft order covers a four-year period and provides £10.6 million, which roughly equates to £2.7 million each year. However, the order that was passed last year was for £3.2 million. Now, I understand that a specific grant was made within that £3.2 million, which is why it was significantly higher than the annual amount for this period. Is that correct? Was a specific grant included within the £3.2 million and is that why the figure is significantly higher than the annual figure cited in the draft order? Has that work been completed, or is money still earmarked for it? Is there some other specific grant money in the current allocation?
The Minister spoke about the requirement on the trust to raise money from independent sources. He mentioned champing, and I saw some confused expressions on the faces of his colleagues. Church camping, which the CCT has been encouraging in some locations, has become known as champing. People pitch up on the site of a former church, and that generates income and helps the work on that site to become more sustainable. It is described on the trust’s website as a “slow tourism escape”—I suspect that nothing could be slower than staying on the site of a former church. The Government are making assumptions about the income the trust can make from such activities. Has that been taken into account in the Government’s estimates of how much the trust needs to carry out work and how much can be generated from those activities?
The trust’s core funding was cut by 20% over a four-year period from 2010-11. Has the Department been monitoring the impact of that cut on the trust’s work? We welcome the fact that this is a four-year settlement, which offers the hope of some stability for the CCT. With that, we wish the trust every success and look forward to hearing the Minister’s answers.
(8 years, 10 months ago)
Commons ChamberI think that comment represents a misunderstanding about what tax credits are supposed to help with. I hope that the hon. Lady’s Government will be more successful this Parliament in increasing wages—hopefully to a level where people start to come off tax credits—but they do not have a very good record to date. As I said, the number of people earning less than the living wage has risen by more than 45% since 2009.
In their interventions so far, Conservative Members have already conceded the argument. They started by saying that low-paid workers were going to be better off, and that Britain needs a pay rise and will get one. They have conceded that argument, but now it is all about choices and how tough it will be to balance the books. They have lost the argument.
My hon. Friend is right, and as far as the public are concerned Conservative Members have lost the argument. It is now time for their constituents to ensure that they support the changes that we propose, and that they hold the Government to account at the next election.
The right hon. Member for Haltemprice and Howden (Mr Davis) has described the use of a statutory instrument as an attempt to avoid scrutiny, and on 6 October he said:
“The Government has to balance the books, but the burden shouldn’t be on the poorest…I hope this doesn’t turn out to be our poll tax.”
Even the Bow Group, which perhaps speaks for several Conservative Members who may not be able to speak today, has said:
“Tax Credit cuts could damage Britain’s entrepreneurial economy and the Conservative Party’s claim to be the workers party”.
It is clear from what we have heard that the Government Benches are divided. We have heard from some Conservative Members that tax credits have failed—clearly they see this as unfinished business, so people on tax credits ought to fear there is more to come—but we have heard from others who are concerned about their constituents, and I would urge them not to ignore this opportunity to register their opposition to what their Front-Bench team are asking them to do.
This is about the choices we make and the priorities we have. We could reverse the inheritance or corporation tax cuts to reduce the impact on people on tax credits, or we could cut the nearly £2 billion that people earning more than £1 million will share in tax cuts. They will be £61,000 a year better off. People earning more than £2 million a year will be £250,000 a year better off. Come the next general election, they will have gained £1.25 million in tax cuts, but over the same period, a cleaner earning £13,500 will have lost £6,800, a patient transport driver on £17,800 will have lost more than £8,000, and a medical secretary on £22,200 will have lost £9,400. These people are strivers, they are hard workers, yet the Tory party is cutting their incomes. That is the choice people have made.
There is no mandate for this. The Tory party was asked before the general election, when it said it would cut £12 billion—
Order. We can only have one Member on their feet at once. We cannot have the whole Chamber trying to get in at once.
I am taking my time, Mr Deputy Speaker.
The Prime Minister and others were asked specifically, “Will you cut tax credits?”, and the answer was no.
I agree with everything my hon. Friend is saying. Does he agree that this cut is being imposed because the Conservative party, for ideological reasons, does not like poor or working people, and only wants to help and enrich the rich people?
Absolutely.
If I were to accuse people of lying, Mr Deputy Speaker, you would rightly rule me out of order, but the people out there will have to make up their own minds. When the Justice Secretary went on to Martha Kearney’s programme, he was specifically asked what the Government would do on tax credits, and he said, “No, we’re going to freeze them for two years.” I do not know what the definition of a lie is, but I know that people outside the House will make up their own minds—although we cannot use that language in here.
We know the Conservatives have lost the argument. This started at the autumn statement when the Chancellor said, “Britain deserves a pay increase, and Britain is going to get a pay increase”, but Government Members did not know when they cheered him that he was going to cut tax credits and make people worse off. Even the increase in the national minimum wage—it is not a national living wage, it is a Tory living wage—will be wiped out for those on it by the cut to tax credits.
I say to those who are upset about these proposals: it is not good enough just to have a chat in private with the Chancellor or the Prime Minister. This is where they represent their constituents—here in the House of Commons—and if they do not agree with what their Front-Bench team are telling them to do, they should join us in the Lobby tonight to vote against what the Government are doing to people on tax credits.
No, I am not giving way. I have just said I was not giving way. [Interruption.] I gave way to the hon. Gentleman as well.
Our reforms to tax credits will account for £4.4 billion in the next financial year. This is the key question for the Opposition, which they have ducked during the last five hours of debate: if they do not want to reform tax credits, where will that money come from? Will they borrow more and saddle our children with still higher debt, or will they cut other services, such as schools or the NHS? I ask the Opposition: what would they do?
I am not going to give way. I thank my right hon. and learned Friend the Member for Rushcliffe (Mr Clarke), who told us:
“This is the time to do it”.
(8 years, 11 months ago)
Commons ChamberI will give way in a minute.
The measure is part of an ongoing attack on the incomes of some of the most hard-working families in our constituencies, the very strivers whom the Chancellor purported to support.
The Chancellor said that Britain deserved a pay increase and Britain was going to get a pay increase. The Tories over there cheered him to the rafters when he increased the national minimum wage, but we now know from a document produced by the House of Commons Library—I have a copy here—that the changes in tax credits will more than wipe out the increase in the national minimum wage. At the same time, the Tories are cutting taxes for millionaires. It is an absolute disgrace.
My hon. Friend is absolutely right. It is indeed shameful that we are seeing a cut in the incomes of the poorest people in our constituencies.
What a mean confidence trick the Chancellor carried out in the Budget. Some 3,600 households in my constituency will be affected, including 6,600 children. The Chancellor said:
“Britain deserves a pay rise and Britain is getting a pay rise.”—[Official Report, 8 July 2015; Vol. 598, c. 337.]
He also said that those on the national minimum wage can expect a cash increase and full-time workers can expect their incomes to go up by £5,000 a year. But we now know that the whole package is far from compensated for by the increase in the national minimum wage. People on the national minimum wage will not just be worse off next year, but the year after that, the year after that and the year after that—every year until 2021. The Library’s document tells us that on average they will worse off by £8,945 over the next five years.
Conservative Members cheered the Chancellor to the rafters. Did they understand that the overall package would result in the poorest workers among us having their incomes cut? The Secretary of State for Work and Pensions punched the air. Did he not understand that the overall package would result in a cut in the incomes of people on the national minimum wage? Was he being mean or is he just too stupid to be doing his job?
The Chancellor said in his 2010 Budget:
“I am not going to hide hard choices from the British people or bury them in the small print of the Budget documents. The British public are going to hear them straight from me”.—[Official Report, 22 June 2010; Vol. 512, c. 167.]
What happened in the latest Budget then? The Conservatives say that theirs is the party of working people. Here are some working people: a cleaner with one child will be £31.72 a week worse off. An assistant cook will be £32.49 a week worse off, a teaching assistant £32.49 and a health care assistant £35.36—
No, I have heard the hon. Gentleman so many times. He has to stop reading out the Whips’ handouts: it does not add to the debate.
A nurse with three children will be worse off by £35.91—from the party that claims to be the party of the workers. I have a whole list of worker after worker, all of them worse off as a result of the changes to tax credits.
Conservative Members may have been convinced by the Chancellor that he will make some changes. We have heard them argue that this change is necessary and that we have to make it. Perhaps they think that they have been given a promise that something will be done and some changes made for the people on this list, but I am sick and tired of hearing Tories tell us that we have to make changes. The changes will not hit them: they will hit the poorest income earners in their constituencies. Let the Tories vote for this change tonight. People will not forget that. We will remember that the Tories voted to reduce incomes for families with children. They trooped through the Lobby, claiming to be the party of the workers but voting to reduce their incomes. People will not forget that.
(9 years, 1 month ago)
Commons ChamberFirst, may I express my sympathies to my hon. Friend’s constituents affected by the tragic incident in Bosley on Friday? I know he raised that matter in the House yesterday. I agree with him that if we want to improve investment in the UK, and therefore productivity, we should be looking to cut corporation tax, not raise it. It would have been a big mistake to have reversed the progress we have made.
Actually, Labour’s plan at the last election was to cut business rates for small businesses. The Chancellor neglected to mention business rates in the Budget, so can the Minister tell us how the review is going and give us a guarantee that it will not result in an increase in business rates?
I have to remind the hon. Gentleman that Labour’s manifesto included a plan to increase corporation tax. A review of business rates is being undertaken, and it will report by the end of the year. Remember that it was the previous Government who in 2013 announced a package of business rates cuts worth £2.7 billion, and only this April we introduced a further set of measures that reduced business rates by £1 billion, so we have a proud record on this.
(9 years, 2 months ago)
Commons ChamberI welcome my hon. Friend to his place, and he is right that I am not prepared to take any lectures on bank regulation, fiscal responsibility or economic management from the Labour party.
I welcome the hon. Lady to her position, but only the Conservative party could come here and say that this is a benefit to the taxpayer when it is selling this bank at a cost to the taxpayer. This may represent another cash injection, but on this occasion there is nothing left to get taxpayers’ money back further down the road. Can she recall any time when her party criticised the price paid for those shares at the time we bailed out HSBC?
I simply do not accept the hon. Gentleman’s line of argument. If he is such a Mystic Meg, perhaps he will tell me the date on which the price of this bank, which has been completely restructured over the last few years, will change. Rothschild has provided an estimate of the current state of the overall portfolio of bank interventions. I remind the hon. Gentleman that while in 2009 everyone—including Her Majesty’s Treasury—expected that these interventions would cost the taxpayer between £20 billion and £50 billion, evidence today suggests that it will be of overall benefit to the taxpayer.
(9 years, 2 months ago)
Commons ChamberIf the hon. Lady is talking about benefit sanctions, I think that it is perfectly reasonable to ask people who are capable of work to turn up to job interviews and to make sure that they are doing everything possible to look for work. We support them while they are doing that, but the taxpayers of this country expect them to search for work.
The economic situation at the beginning of this Parliament is vastly better than the one we inherited at the start of the last Parliament. Back then, debt was soaring; today, it is projected this year to fall as a share of our national income. Back then, millions were looking for work; today, 2 million new jobs have been created. Back then, we were in the grip of an economic crisis; this week, the latest forecast is that the UK will be the fastest growing of any of the G7 economies—not just in 2014, but now in 2015 as well. That we have come so far in five years is a testament to the effort of the working people of Britain.
One of the myths that the Conservatives have been very successful with—I credit them for it—is the suggestion that debt soared under the last Labour Government from 1997 onwards. However, according to the House of Commons Library, debt in 1997 was higher than it was in 2007-08, just before the banking crisis hit. Yes or no?
The idea that the last Labour Government did not leave the country with a debt crisis is laughable. The fact that the Labour party is starting this Parliament making the same argument that it made in the last one shows how much it needs to learn and listen.
The point I make to the hon. Gentleman is that national debt started rising in the very first years of the beginning of this century—in 2001 and 2002. It rose through the boom years, when the Labour Government should have been paying down the debt and should not have been running a deficit. One of the things on which the various leaders of the Labour party all seem to agree at the moment is that the deficit was too high going into the crash.
I do not know who the hon. Gentleman is going to vote for in the Labour leadership contest; the hon. Member for Islington North (Jeremy Corbyn) may be the one person still sticking with the line that he is pursuing.
My hon. Friend is absolutely right. There was no institution looking at overall debt levels in our country.
Order. If the Chancellor wants to give way, he will, and if he does not, he will not. A Member should not continue to stand in an attempt to intimidate a Minister or anybody else into giving way. [Interruption.] Order. A Member should not continue to stand as if their intervention was inevitable. Seriously, that is an established point of parliamentary procedure. The hon. Member for Eltham can have a go, but if the intervention is not accepted, he will have to resume his seat.
On a point of order, Mr Speaker. For the record, I want to apologise—I did not want to intimidate the Chancellor.
Whether the hon. Gentleman wanted to or not, I am happy to concede that he was not doing so.
(9 years, 6 months ago)
Commons ChamberUrgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.
Each Urgent Question requires a Government Minister to give a response on the debate topic.
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I am not going to discuss an individual’s tax affairs, but I would say this: the hypocrisy of the Labour party on this issue is simply breathtaking. Labour Members complain about Conservative party donors and then we hear all these revelations about Labour party donors; they complain about individual accountancy firms and then it turns out that Labour collects hundreds of thousands of pounds of donations from those accountancy firms; and they complain about the alleged tax evasion at HSBC Swiss and every single one of those offences happened when Labour was in government. It is time Labour Members got up and apologised.
No one on the Labour Benches is complaining that the Chancellor met people from HSBC 56 times—we are not surprised by that. The question is: was evasion or tax avoidance discussed at those meetings and what was the outcome of those discussions? [Interruption.]
I have already answered that question. [Interruption.] I have; I said it is not surprising that Ministers meet one of the largest companies in this country, which employs close to 50,000 people in Britain and, as I understand it, a quarter of a million people around the world. As I also said earlier, I am happy to write about any of the content of those meetings, which were not just with me, but across the government.
(9 years, 7 months ago)
Commons ChamberIs the Office for Budget Responsibility not right to say that stagnant wages have led to more borrowing? Is that not the key reason why the Government have missed their borrowing targets by more than £200 billion?
(9 years, 9 months ago)
Commons ChamberI do not want to discourage members of the Opposition Front-Bench team from taking to the airwaves and criticising their leader, because it is very good. It is only after the event that we hear that they think he is useless. They did not tell us that beforehand. My hon. Friend is right. The Opposition did not raise the issue—[Interruption.] The shadow Chancellor calls me to the House of Commons, he has nothing to say for himself and he has no answer to the fact that his own article reveals that he thought we were going to be paying £1.7 billion. It just confirms that he is not up to the job.
I think the Chancellor should calm down when it comes to leadership and loyalty. Why did we have a by-election last month that his party lost to the UK Independence party and why do we have another one this month? Will he confirm that the ECOFIN Ministers he discussed the rebate with are of the opinion that we will pay no less than we would have done if we had paid the full £1.7 billion on 1 December and then received our rebate?
As I have already said, it was not clear that the rebate would apply, which is why the shadow Chancellor, in his article in The Guardian, uses a number that assumes that we are going to pay £1.7 billion. That is what he thought we were going to pay, but we negotiated hard and had intensive discussions, and as a result we have got this result for Britain.