(11 years, 5 months ago)
Commons ChamberFirst, let me say that I know that my hon. Friend has campaigned long and hard on issues of direct democracy and has considerable expertise in such matters. I think that the right approach, and the one we put forward before, is to say yes, of course there should be a constituency mechanism, but before that, there ought to be an act of censure by a Committee of this House for wrongdoing. I think that is the right approach. I know we will not necessarily agree on this, but we will make our proposals.
On the subject of recall, I hope the Leader of the Opposition will recall his attack on child benefit when he gets to his feet.
Two years ago, during the Prime Minister’s listening exercise on the health service, he said:
“I refuse to go back to the days when people had to wait for hours on end to be seen in A and E…so let me be absolutely clear—we won’t.”
What has gone wrong?
Not a word about what the right hon. Gentleman said two years ago, the very first time he stood at that Dispatch Box, totally condemning and attacking in the strongest possible terms what now turns out to be Labour policy. What complete confusion and weakness from the Leader of the Opposition.
The right hon. Gentleman asks about accident and emergency and I will deal with the question very directly. The fact that people need to know is that we are now meeting our targets for accident and emergency. There was a problem in the first quarter of this year, which is why Bruce Keogh, the medical director of the NHS, is to hold an investigation, but the crucial fact is this: 1 million more people are walking into our accident and emergency units every year than were doing so three years ago. We must work hard to get waiting times down and keep them down, but we will not do it by following Labour’s policy of cutting the NHS.
What a complacent answer from an out-of-touch Prime Minister. The independent King’s Fund says that the number of people waiting more than four hours in A and E is higher than at any time for nine years. Can he explain to the country why A and E waiting times fell under Labour and have gone up on his watch?
The fact is we are now meeting our targets on A and E, but the right hon. Gentleman has to answer this question. In England, where this Government are responsible, we are meeting our waiting times; in Wales, where Labour is responsible, it is not meeting its waiting times. Perhaps he can tell us, when he gets to his feet, the last year in which the Welsh met their waiting times under a Labour Government.
The Prime Minister may have had six weeks away, but he has got no better at answering the question. He has got to do better than this on the A and E crisis. The College of Emergency Medicine says there is “gridlock” in emergency departments, the Patients Association says that we are “reaching crisis point”, and we have a Prime Minister who says, “Crisis? What crisis?” It is not good enough. As well as the nine-year high, the number of people held in the back of ambulances has doubled since he took office. The number of people waiting on trolleys for more than four hours has doubled, and there are now more cancelled operations than for a decade. Does not the scale of those problems show that, on his watch, there is a crisis in A and E?
The answer to the question is that the last time Labour met its targets in Wales on accident and emergency was 2009. It has not met a target for four years, under Labour. Under this Government, we are meeting targets. The right hon. Gentleman asks what is happening in our national health service; let me tell him what is happening in our national health service. Under this Government, in-patient waiting times are lower than at the election, out-patient waiting times are lower than at the election, and the rate of hospital-acquired infections is at a record low. On the number of mixed-sex wards, they have almost been abolished under this Government. There are 400,000 more operations being carried out every year and, crucially, there are 5,700 more doctors. Let me tell him what would happen if we followed Labour’s spending plans on the NHS—there are new figures out today. There would be 43,000 fewer nurses and 11,000 fewer doctors. We decided, because we value the NHS, to spend more. That man there, the right hon. Member for Leigh (Andy Burnham), said it was “irresponsible”; he is wrong.
There are people all round this country waiting for hours and hours in A and E, and all they see is a complacent, out-of-touch Prime Minister reading out a list of statistics not about A and E. People want to know about the crisis in A and E happening on his watch. Now let us talk about the causes of this. In the Government’s first two years in office, more than a quarter of NHS walk-in centres were closed. If you close NHS walk-in centres, you pile pressure on A and E departments. That is obvious to everyone else; why is it not obvious to him?
The right hon. Gentleman wants to talk about the causes of the problems in A and E; I accept that in the first quarter of the year, there were problems, and we need to get to grips with them. One of the problems is the GPs’ contract that was signed by the last Labour Government. They signed a contract that basically let GPs get out of out-of-hours. If he wants evidence of that, perhaps he will listen to the Labour Minister for the NHS at the time. Fortunately, he lost his seat in North Warwickshire to a Conservative, but this is what he says:
“In many ways, GPs got the best deal they ever had from that 2004 contract and since then we have, in a sense, been recovering.”
That is what happened. There are a million more people coming through our doors. There has been an excellent performance by doctors and nurses, but they were let down by the last Labour Government.
The Prime Minister has been peddling this line about the GP contract for some months now, but let us just understand this. What happened to A and E waits between 2004 and 2010? They fell dramatically. That was after the GP contract. Clare Gerada, the president of the Royal College of General Practitioners, is absolutely clear. She said:
“I think it’s lazy to blame the 2004 GP contract. They’re blaming a contract that’s nearly 10 years old for an issue that’s become a problem recently.”
That is the reality about the GP contract.
Now let us turn to a problem that even the Prime Minister cannot deny. The chief executive of the NHS Confederation recently said that these A and E
“pressures have been compounded by three years of…structural reforms”.
In other words, the top-down reorganisation that nobody wanted and nobody voted for. Why does the Prime Minister not admit what everyone in the health service knows—that that top-down reorganisation diverted resources away from patient care and betrayed the NHS?
What the right hon. Gentleman has to realise is that I am not peddling a line about the GP contract—I am quoting the Labour Minister responsible for this, who pointed out that this was part of the problem. If people want to know what went wrong with the NHS under Labour they have only to look at the Mid Staffordshire hospital. If they want to know what is going wrong with the NHS under Labour now they need only look at Wales, where they have not met any of their targets, and where they cut the NHS by 8%. That is the effect of Labour in Wales.
The right hon. Gentleman talks about reorganisation. The fact is, we have been scrapping bureaucracy and putting that money into the front line. That is why there are 18,000 fewer administrative staff, but there are almost 6,000 more doctors. That is what the Government have a record on—he would cut the NHS.
Everyone will see a Prime Minister who cannot defend what is happening on his watch—that is the reality. Patients waiting on trolleys; operations cancelled; a crisis in A and E; history repeating itself. Our NHS is not safe in their hands.
It is under this Government that the number of doctors has gone up; the number of operations is up; waiting times are down; waiting lists are down—that is what is happening under this Government. Is it not interesting that in the week that was meant to be all about Labour’s economic relaunch they cannot talk about their economic policy? They told us that they wanted to keep winter fuel payments; now they want to scrap winter fuel payments. They told us that they wanted to keep child benefit; now they want to scrap child benefit. They told us that they were going to be men of iron discipline, yet they said:
“Do I think the last Labour government was profligate, spent too much, had too much national debt? No, I don’t think there’s any evidence for that.”
On the economy, they are weak and divided, and they are the same old Labour.
(11 years, 8 months ago)
Commons ChamberMy hon. Friend raises a point of concern to everyone in this House and everyone in this country, because no one knows when a relative could be afflicted by the condition. Her point is absolutely right: this is a disease and we should be thinking about it as a disease, as we do when we try to crack cancer, or heart disease, or strokes. That is why the Government are increasing the amount of money going into medical research so that we can try to prevent dementia in more cases. But there are many other things we need to do to improve the care in care homes and in hospitals and to ensure that we have more dementia-friendly communities so that we all learn how to deal with people who have dementia and how to help them lead lives that are as productive as possible.
I would like to ask the Prime Minister about an individual case that has been raised with me. John works in east London and is worried about what is happening to his living standards. His salary is £1 million and he is worried that under proposed EU regulations, his bonus may be capped at just £2 million. Will the Prime Minister tell us what he is going to do for John?
What I would say to John and everyone like John is that under this Government, bonuses are one quarter of what they were when the right hon. Gentleman was in the Treasury. I will take lots of lectures from lots of people, but I do not have to listen to the croupier in the casino when it all went bust.
I know the Prime Minister does not want to deal with the facts, but he sent his Chancellor to Europe yesterday in order to argue against the bonus cap, he says, presumably because he thinks it will be bad for the City of London, but who led the negotiations on the bonus cap? It was a Conservative Member of the European Parliament. What did she say? She said
“we have managed to produce a deal that will strike the right balance for the majority of bankers who take responsible decisions.”
Why are the Prime Minister and the Chancellor the only people who think it is a priority to fight for bigger bonuses for bankers?
As ever, the right hon. Gentleman is completely wrong. We have some of the toughest rules on bonuses and the toughest rules on transparency of any major financial centre anywhere in the world. When the croupiers were in charge, where was the transparency? There was none. Where were the rules? There were none. We are not going to listen to them, but there is an important issue here. There are some important British national interests. We are responsible for 40% of the EU’s financial services. Those industries are here in our country and we ought to make sure that they go on contributing to our Exchequer. We want to make sure that international banks go on being headquartered here in the UK. We think that matters. The right hon. Gentleman might want to just pose and play politics, but we care about these things. We also want to make sure that we can put in place the very tough ring-fence around our retail banks so that the complete shambles that he presided over can never happen again.
This is the man who in opposition said:
“There will be a day of reckoning”
for the bankers. Now he sends his Chancellor to fight against the bonus cap in Brussels. What did he say? Was he arguing that there should be more regulation of the banks? No. [Interruption.] Oh, he says he was. Let’s see. What did he say? David Cameron, “A Conservative Economic Strategy”, March 2008. I have it here. He said:
“As a free-marketeer by conviction, it will not surprise you to hear me say”
that the problem of the past decade has been
“too much regulation”.
There we have it. I think John the banker will take heart that the Prime Minister is straining every muscle to help him. Now, let me ask the right hon. Gentleman about the cases of the hundreds of thousands of disabled people who will lose an average of £700 a year because of his bedroom tax. Is he going to fight for them, like he is fighting for John the banker?
First of all, let us just remember what happened in 2008, when the right hon. Gentleman was sitting in government—the biggest banking bust in our history, the build-up of the biggest deficit in our history. All the mess that we have to deal with now was delivered by him and his henchmen in 2008. Before we go on to the spare room subsidy, let him get to his feet and apologise for the mess that he left in this country. Apologise!
Order. I know that there are people who do not like it if Question Time runs over. Personally, it does not matter to me at all. The more noise and disruption there is, the longer it will take and the longer we will be here. It is very simple.
I notice that the Prime Minister has a new tactic, which is to ask me questions during our exchanges. All I can say is that it is good to see him preparing for opposition. The Home Secretary shakes her head. I am looking forward to facing her when they are in opposition.
Let me ask the Prime Minister another question, because he did not answer the one about the bedroom tax. He talked earlier about the hardship fund. Let us look at the facts about the fund. Some £25 million of it has been allocated specifically to help disabled people hit by the bedroom tax, but how much do his own figures show he is taking from disabled people? The answer is £306 million. Will he admit that the vast majority of disabled people hit by his bedroom tax will get no help from his hardship fund?
First, the whole House, and the whole country, will note that there was no apology for the mess left by the Labour party.
Let me tell the right hon. Gentleman that his figures on the spare room subsidy are completely wrong. The last thing he said before sitting down was that we are cutting the money going to disabled people. That is simply not the case. In 2009-10 the money spent on disability living allowance was £12.4 billion. By 2015 it will be £13.3 billion. There is no cut in the money going to the disabled. This Government are protecting that money, in spite of the mess he made. On the spare room subsidy, pensioners are exempt, people with disabled children are exempt and anyone who needs help around the clock is also exempt. As he is fond of reading out letters from constituents, let me read from one I got on this issue from a pensioner:
“We are expected to find up to an extra £60 per month out of our pensions for having extra bedrooms.”
Of course, they are not, because they are pensioners and are therefore exempt, but they have been terrified by the right hon. Gentleman’s completely irresponsible campaign.
I think what that means is that there was nothing in the briefing on the question I asked. Let me just make it clear, because the Prime Minister obviously does not understand it. His own impact assessment—he might like to read it, by the way—states that 420,000 disabled people will be hit by the bedroom tax by an average of £700 a year. That is £306 million. The money in the hardship fund allocated to disabled people is just £25 million. It is basic arithmetic. Will he admit that the vast majority of disabled people will get no help from the hardship fund and will be hit by his bedroom tax?
The right hon. Gentleman is completely wrong, because anyone with severely disabled children is exempt from the spare room subsidy—[Interruption.]
The right hon. Gentleman completely ignores the fact that anyone with severely disabled children and anyone who needs round-the-clock care are exempt from the spare room subsidy. The point he has to address is this: we are spending £23 billion on housing benefit. That is up by 50% over the past decade. That is £1,000 every year for every basic rate taxpayer. We say that it is time to reform housing benefit, and it is only fair that we treat people in social housing in the same way as we treat those in private rented housing. He has no proposals to do anything about welfare, other than to put up borrowing.
I think that we have established today that the Prime Minister does not understand his own policy. It is shameful to do this and not even understand the impact on the people of this country. He pulls out all the stops to defend the bankers and their bonuses, but he has nothing to say to the disabled people being hit by his bedroom tax. He stands up for the wrong people. It is no wonder his Back Benchers and the country think he is totally out of touch.
What we have heard today is what we hear every single Wednesday. The Opposition will not support one single change to welfare. They will not support reforms to housing benefit. They did not even support it when we took housing benefit away from people charging £100,000 a year. They would not support changes to child benefit. They will not support any changes to disability living allowance. They will not support changes to council tax benefit. They have opposed £83 billion of welfare saving. That is the point. They have to admit that their policy is to put up borrowing. They have nothing to offer, only debt, debt and more debt.
(11 years, 10 months ago)
Commons ChamberCan I join the Prime Minister in paying tribute to Kingsman David Robert Shaw of 1st Battalion the Duke of Lancaster’s Regiment? He showed the utmost courage and bravery, and the condolences of the whole House go to his family and friends.
Can the Prime Minister guarantee that if he gets his in/out referendum he will campaign to stay in?
Yes, I want Britain to be part of a reformed and successful European Union. This entire argument is about what is in Britain’s national interests. We want a European Union that is more open, more flexible, more competitive, not just good for Britain, but good for Europe too.
I do not think that was quite a complete answer to my question. Let us see if we can press the Prime Minister a bit further about how he is going to vote. Is he saying that if he does not achieve his negotiating strategy, he will recommend—[Interruption.] The part-time Chancellor can hang on a minute. Is the Prime Minister saying that if he does not achieve his negotiating strategy, he will recommend that Britain leaves the European Union?
First, it is very welcome that the right hon. Gentleman is accepting the premise that the Conservatives will win the next election, and interestingly, not raising the fact that the unemployment figures are down once again today. Employment is up by 90,000 this quarter, and the rate of job growth last year was the fastest since 1989. But I answered his question very clearly. I want to see a strong Britain in a reformed Europe. We have a very clear plan. We want to reset the relationship. We will hold that referendum. We will recommend that resettlement to the British people, but the question now is for him: has he got a clue what he would do?
The clue is in the title—Prime Minister’s questions. He is supposed to be answering the questions. He has had six months to think about this. It is not too much to ask. The Minister without Portfolio, the right hon. and learned Member for Rushcliffe (Mr Clarke), who is not here, would say unequivocally that he would vote yes in a referendum. The Secretary of State for Education, who is hiding away down the Benches there, has briefed that he wants us to leave the European Union. I am just asking the Prime Minister a straight question: can he guarantee that he will vote yes in an in/out referendum?
Yes, I support Britain’s membership of a reformed European Union. Only the Leader of the Opposition would go into negotiations expecting to fail. We go into negotiations knowing what is best for Britain. Let me put it to him again. We now have a very clear approach: a renegotiation and then a referendum. What is his answer? Let me tell him—he is meant to lead the Opposition, and you cannot fight something with nothing.
The reason that those on the Conservative Back Benches are cheering is not that they want to vote yes in an in/out referendum; it is because they want to vote no. That is the reality for the Prime Minister. He still has not answered the question. Let me put it another way and give him another chance. We know from his speech this morning that he wants to go off and negotiate for fairness, flexibility and motherhood and apple pie in Europe. Can he name one thing—just one thing—which, if he does not get it, he will recommend leaving the European Union?
I do not want Britain to leave the European Union. I want Britain to reform the European Union. We have set out the areas where we want—[Interruption.]
We have been very clear about what we want to see changed. There is a whole series of areas—social legislation, employment legislation, environmental legislation—where Europe has gone far too far, and we need to properly safeguard the single market. We also want to make sure that ever-closer union does not apply to the United Kingdom. These are the things that we are fighting for. Let me put it to the right hon. Gentleman again. We want a renegotiation and then a referendum. What does he want? Or does he not know?
So four hours since the big speech, the Prime Minister cannot answer the most basic question of all—whether he is for yes or for no. Why can he not answer it? Why can he not say unequivocally that he will vote yes in a referendum? Because he is frightened, because of those on the Conservative Back Benches. The only thing that has changed since a few months ago, when he said he was against an in/out referendum, is not the situation in Europe, but the situation in the Tory party. Why does he not admit it? He has not been driven to it by the national interest, but dragged to it by his party.
The most basic question of all is: do you want a referendum? I do. Does he?
My position is no, we do not want an in/out referendum—[Interruption.] My position is precisely the same as the Prime Minister’s position when we voted together in October 2011 against an in/out referendum. My position has not changed; it is his position that has changed. And here is the truth: after six months of planning a speech on a referendum, he cannot even tell us whether it is a yes or a no —[Interruption.]
Order. I apologise to the right hon. Gentleman. I said a moment ago that Members should not shout their heads off at the Prime Minister; neither should they shout their heads off at the Leader of the Opposition. They must stop—[Interruption.] Order. They must stop, and his questions must, and will, be heard.
The Prime Minister is going to put Britain through years of uncertainty and take a huge gamble with our economy. He is running scared of UKIP, he has given in to his party and he cannot deliver for Britain.
(11 years, 11 months ago)
Commons ChamberI think this is a moment when we should try to maximise the amount of consensus in this House and in the country about what is required. Everyone agrees that we need strong, independent regulation along the lines that Leveson suggests. Everyone agrees that we need million-pound fines. Everyone agrees that we need prominent apologies and independently handled complaints. This is absolutely vital, and I have been encouraged by the meetings I have had with the editors of national newspapers that they will put in place that Leveson-compliant regulation. We should continue the cross-party talks and make sure that we can deliver a regulatory system of which this House, this country and, above all, the victims can be proud.
Let me join the Prime Minister in congratulating the Duke and Duchess of Cambridge on their very happy news. They have the best wishes not just of this House but of the whole country.
The Conservative party manifesto, published in April 2010, said that
“we will increase health spending in real terms every year.”
However, the head of the UK Statistics Authority says clearly and unequivocally that this has not happened. So what is today’s excuse?
This Government are putting £12.6 billion extra into the NHS. Let me quote the right hon. Gentleman the figures directly from the head of the Office for National Statistics. In real terms, spending in 2010 was £104.2 billion. In 2011, it was £104.3 billion in real terms. That is a real-terms increase, and I can tell the right hon. Gentleman that there will be further real-terms increases in 2012, in 2013 and in 2014, whereas there would be cuts under Labour.
Let me just say to the Prime Minister that, even by his standards, that was the most slippery answer we could possibly imagine. He is unbelievable. He has come to this House 26 times since he became Prime Minister and boasted about how he is increasing health spending every year of this Parliament—[Hon. Members: “Hear, hear!”] Government Members are cheering, but he has failed to meet that promise. This is not an argument between me and him; we have a ruling from the chair of the independent UK Statistics Authority who says that that has not happened. I would be grateful if the Department of Health could clarify the statements made. Instead of his usual bluster, why does he not just correct the record?
It is a very simple point. The spending figures for 2010 were set by the last Labour Government. Those are the figures we inherited. All the right hon. Gentleman is doing is proving that his Government were planning for an NHS cut. We have taken that figure in 2010, we have increased it in 2011 and we will increase it again in every year of this Parliament. People do not have to look at manifestos for a contrast; they can look at what Labour is doing in Wales. The Labour party is in charge in Wales, and it has cut the NHS in Wales by 8%. As a result, waiting times are up, waiting lists are down, quality is down. That is what you get with Labour and the NHS.
The Prime Minister knows the reality, which is that he made a promise about every—
There is no point in him shaking his head and getting annoyed. He made a promise that he would keep the NHS budget rising in real terms in every year of this Parliament. Labour’s plan, which we set out at the election, was to increase the health budget in 2010-11, and he cut the budget. He knows the reality. Let me give him one more opportunity. He made a solemn promise to the British people of year-on-year increases in the health budget, including in 2010-11. He failed to meet the promise. Come on, why don’t you just admit it?
I do not know whether I need to remind the right hon. Gentleman that the general election was after the 2010 year had begun. This was Labour’s plan, and what we have done is increase the budget every year. If he does not believe that, perhaps he will listen to the Labour shadow Health Secretary, who gave an interview in the New Statesman, when he said, about the Tories:
“They’re not ring-fencing it. They’re increasing it.”
He went on:
“Cameron’s been saying it every week in the Commons: ‘Oh, the shadow health secretary wants to spend less on health than us.’”
The question was asked:
“Which is true, isn’t it?”
He said:
“Yes, it is true…that’s my point.”
There we have it, confirmed: it is official—Labour wants to cut our NHS. It would never be safe with them again.
No, the reality is that my right hon. Friend the Member for Leigh (Andy Burnham) left a rising health budget and this Prime Minister cut it—that is the reality.
Now, let me try the Prime Minister on another fact, which I am sure he will be able to give to the House. Can he tell us how big an income tax cut he is giving next April to people earning over £1 million a year as a result of the reduction in the top rate of tax?
I am not surprised the right hon. Gentleman wants to get off health. That was the biggest own goal I think I have ever seen.
On the issue of the top rate of tax, when the right hon. Gentleman’s Government put it up to 50p, what it actually meant was that many fewer millionaires paid it, as a result of which the tax take suffered by £7 billion. I remind him that under this Government the top rate of tax will be higher in every year than any year when he was working in the Treasury.
I will give the right hon. Gentleman the answer, because of course he did not give it to us. Next April, everyone earning over £1 million will have a tax cut of £107,000 a year—£107,000 a year! [Interruption.] It is no good the Deputy Prime Minister shouting from a sedentary position: he went along with it—the party of Lloyd George!
The Prime Minister has not kept his promise on us all being in it together. Let us ask him about his central promise. Two years ago, he said that by 2015
“we will have balanced the books.”
Can he explain why he is so badly failing to keep that promise?
First, let me give the right hon. Gentleman the figures on the top rate of tax because it is important. In 2009-10, 16,000 people were earning more than £1 million, with a tax liability of £13 billion. In 2010-11, when the rate went up, this plummeted to 6,000 people with a tax liability of £6.5 billion. Therefore, his 50p election gambit cost the country £7 billion. When is he going to realise that setting tax rates is about raising money, not about punishing success? That is what Labour needs to understand.
In terms of the deficit, we have cut the Budget deficit by 25%, and the right hon. Gentleman will be getting an update on progress from the Chancellor in a minute, but let me ask the right hon. Gentleman this: how on earth can you deal with a borrowing problem by pledging to borrow more?
Let us be clear about the Prime Minister’s answer on the 50p rate. His answer to the problem of tax avoidance is to give the people doing it a tax cut. That is the answer he gave—give them another big giveaway. The reality that the Prime Minister could not get away from is that the deficit is going up, not down, on his watch. We all remember the posters, with his airbrushed face, saying,
“I’ll cut the deficit, not the NHS.”
The facts speak for themselves: he has cut the NHS and he is not cutting the deficit.
The right hon. Gentleman is 100% wrong: we are increasing spending on the NHS and we are cutting the deficit. Yes, we have cut the deficit by 25%, there are a million more private sector jobs, businesses are starting up at a higher rate than at any time in our history, this economy is on the right track, we are equipping Britain for the global race and, unlike the Labour party, we are on the side of people who work hard and want to do the right thing. And what is the right hon. Gentleman’s answer? More borrowing, more spending, more of the things that got us into the mess in the first place.
(12 years, 1 month ago)
Commons ChamberMy hon. Friend makes a very important point. The allegations and what seems to have happened are completely appalling, and they are shocking the entire country. The allegations leave many institutions, perhaps particularly the BBC, with serious questions to answer. Above all the question is, “How did he get away with this for so long?” The most important thing is that the police investigation is properly resourced and allowed to continue. I do not rule out further steps, but we now have independent investigations by the BBC and into the NHS, and today I can confirm that the Director of Public Prosecutions has confirmed that his principal legal adviser will again review the papers from the time when a case was put to the Crown Prosecution Service for prosecution. The Director of Public Prosecutions will specifically consider what more can be done to alert relevant authorities when there are concerns but a prosecution is not taken forward. The Government will do everything we can, and other institutions must do what they can, to ensure that we learn the lessons from this and that it can never happen again.
Last week, the Prime Minister told this House that
“we will be legislating so that energy companies have to give the lowest tariff to their customers”.—[Official Report, 17 October 2012; Vol. 551, c. 316.]
Will he now explain—including to his Energy Secretary—how he will guarantee everybody in the country the lowest tariff?
As I said last week, we are going to use the Energy Bill to ensure that customers get the lowest tariffs. That is what we want to do. There is a real problem here that is worth looking at: last year, there were more than 400 tariffs. That is completely baffling for customers and although encouraging people to switch can help make a difference, we need to go further and we need to use the law. I am in no doubt that we are on the side of people who work hard, pay their bills and want a better deal.
The only people who were baffled last week were all the Prime Minister’s Ministers, who did not know anything about his announcement. Last week, it was a gilt-edged guarantee from the Prime Minister. Of course, now we have read the small print it has totally unravelled—another dodgy offer from this Prime Minister. Why cannot he admit the truth just for once? He does not do the detail, he made up the policy and he got caught out.
We are going to use the Energy Bill to ensure that people get the lowest tariff. The Deputy Prime Minister said exactly the same thing. The right hon. Gentleman wants to look at the detail; let me ask him about this detail—yes, we have his entire energy policy laid out for us. Perhaps he can tell us something. Now he says he wants to scrap Ofgem; in government, he kept Ofgem. Now he says he wants to pool energy supplies; in government Labour scrapped pooling energy supplies. Now he says he wants to refer the big six to the Competition Commission; then he said he would not do it because it would be wrong. I am all in favour of switching, but this is ridiculous.
Let us talk about my record as Energy Secretary. I want to thank the Prime Minister for the Conservative party briefing document issued last Thursday—after the chaos at PMQs. It reveals something very interesting. While I was the Energy Secretary, the average dual fuel bill fell by £110; under him, it has risen by £200, so I will compare my record with his any day. [Interruption.] Look, the part-time Chancellor is giving advice again. I am actually coming on to one of his favourite subjects—the west coast main line.
The former railways Minister, now the Northern Ireland Secretary, told us in August about the franchise process, saying:
“We’ve tested it very robustly”.
The former Secretary of State for Transport, now the Secretary of State for International Development—she does not really want the job, but she is down the Bench over there—said:
“The process is incredibly robust”.
Yet we learn today that concerns about flaws in the process were raised by the bidders as long ago as May 2011. Can the Prime Minister tell us whether any Minister knew about the bidders’ concerns?
First of all, the right hon. Gentleman says he wants to talk about his record as Energy Secretary, so I think we should spend a little bit of time on that. The fact is, under Labour, gas bills doubled and electricity bills were up more than 50%. When he became Energy Secretary, the companies were making a £25 loss per bill; when he left government, they were making £55 profit per bill. He did not stand up to the vested interests; he stuffed their pockets with cash. Right, we have dealt with that—oh, by the way, while we are on his energy record, he put in place in his low-carbon transition plan a policy that would have added £179 to every single person’s bill in the country. Perhaps when he gets up, he can apologise for that.
Order. Perhaps Members on both sides could calm down. Let us now hear from the Leader of the Opposition.
Even the Prime Minister is taking his habit of not answering questions to a new level. I asked him a question—[Interruption.] If he wants to swap places, I am very happy to do so. I asked him a question about the railways. [Interruption.] The Chancellor is shouting from a sedentary position, but it is not the ticket that needs upgrading; in my view, it is the Chancellor of the Exchequer. The mishandling of this process has cost taxpayers up to £100 million, so which of the Prime Minister’s former Transport Ministers who oversaw the bidding is responsible for this multi-million pound fiasco?
There is a proper independent investigation into what happened with the west coast main line. The Secretary of State for Transport has made a full statement to this House and has explained what will be done so that commuters continue to receive a good service and we get to the bottom of what went wrong. What is interesting—and what the country will notice—is that the right hon. Gentleman wants to talk about the Chancellor because he cannot talk about the economy because he has got no plans to increase the private sector. He cannot talk about the deficit because he has got no plans to cut it. He cannot talk about welfare because he opposes our plans to cap it. He cannot talk about all the issues that matter to this country—and that is why he stands up and just tells a whole lot of rubbish jokes.
I think we can take it from that answer that no one is taking responsibility for what happened on the railways. Ministers did not know the detail, they did not do the work, and they got caught out—but who can blame them? They are just playing follow my leader, after all.
This is what the right hon. Gentleman said before he became Prime Minister:
“We must provide the modern Conservative alternative. Clear. Competent. Inspiring.”
Mr. Speaker, where did it all go wrong?
I will tell you what has happened under this Government in the last week. Inflation: down. Unemployment: down. Crime: down. Waiting lists: down. Borrowing: down. That is what is happening, but the right hon. Gentleman cannot talk about the real issues, because he is not up to the job.
It is good to see the crimson tide back. This is the reality: the Prime Minister is living in a parallel universe. It has been another disastrous week for his Government. Last week he defended the Chief Whip; now the Chief Whip has gone; he made up an energy policy; that has gone too; and he has lost millions of pounds on the railways. Is not the truth that there is no one else left to blame for the shambles of his Government? It goes right to the top.
It is only a bad week if you think it is bad that unemployment is coming down. We think it is good. It is only a bad week if you regret the fact that inflation is coming down. We think it is a good thing for our country. It is only a bad week if you do not think it is a good thing that a million more people are in work. That is what is happening in our country. Every bit of good news sends that team into a complete decline, but I can tell the right hon. Gentleman that the good news will keep coming.
(12 years, 4 months ago)
Commons ChamberMy right hon. Friend makes an important point. We have to get to the bottom of what has happened and we have to do so quickly. In doing that, we should bear in mind the remarks of Richard Lambert, who ran the CBI very successfully for many years, who carried out an investigation for the Labour party and whom I respect a great deal:
“the Libor scandal means that the required changes have to be tougher…that is the argument for a short, sharp inquiry. Going back to square one would, to put it mildly, be a serious mistake. The economy cannot recover in the absence of a stable banking system: nothing can be more urgent than that.”
That is not the only consideration. We must get to the truth, but we should listen to such expert opinions as well.
I join the Prime Minister in paying tribute to Guardsman Apete Tuisovurua, Guardsman Craig Roderick of 1st Battalion Welsh Guards and Warrant Officer Class 2 Leonard Thomas of the Royal Corps of Signals, who died in the most tragic of circumstances. Our hearts go out to their families and friends. I also join the Prime Minister in his remarks about the incident at RAF Lossiemouth.
The banking scandals of the last week have revealed traders cheating and the mis-selling of insurance products to small businesses, and come on top of other scandals in the banking system and the continuing multi-million-pound bonus merry-go-round. How can the Prime Minister convince people that a parliamentary inquiry is a better way of restoring people’s confidence than a full, independent, forensic and open judge-led inquiry?
On the substance of the issue, there is no disagreement between us. This banking scandal is appalling. It is outrageous, frankly, that home owners may have paid higher mortgage rates and small businesses may have paid higher interest rates because of spivvy and probably illegal activity in the City. People want to know that crime in our banks and financial services will be pursued and punished like crimes on our streets. As well as people being held accountable, the public want rapid action to make sure that this cannot happen again.
In my view, the most important thing about an inquiry is that it is swift and decisive, is set up as fast as possible, gets going as fast as possible, reports as fast as possible and is transparent and open at every stage. That is why I favour a public parliamentary inquiry rather than a judge-led inquiry. I want us to legislate on this, starting next year.
I do understand the Prime Minister’s concerns about speed, but there are concerns also that the inquiry that has been talked about is far too narrow, focused solely on the scandal of LIBOR when we know that the problems go much wider, to the culture and practices in the City. I believe, however, that there is a way forward that we could agree upon—that we have a two-part, judge-led inquiry that is instructed to report by Christmas on the scandal surrounding LIBOR, which is his timetable. The second part of the inquiry should look, over 12 months, at the much wider area of the culture and practices of the industry. That would satisfy his requirement of speed but also the necessary requirement to look at the wider culture and practices in the City. Will he agree to my proposal?
I always listen carefully to proposals from all parts of the House. Let me make three points in response. First, on the structure and future of banking, we set up the Vickers inquiry. It reported, and we are going to implement that inquiry, which will for the first time separate investment banking from retail banking. That is a major step forward. Secondly, the parliamentary inquiry that we are proposing is wider than the right hon. Gentleman says. It will look at the culture of banking, as my hon. Friend the Member for Chichester (Mr Tyrie) confirmed this morning.
My third point—all these points need to be considered—is that the Serious Fraud Office is still considering whether to launch a criminal investigation. While that is happening, there are dangers in opting for a judge-led inquiry, which might not be able to get under way. If we want to do this as fast as possible and get action as fast as possible, I think the way we have suggested is right. There was a vote last night in which the House of Lords voted against a public inquiry, and we have made time available on Thursday—this has not happened before—for an Opposition motion and a Government motion to be debated and voted on. Frankly, what matters more than the process is the substance and getting on with it. I hope we can accept the results on Thursday.
We were in exactly the same position a year ago, when the Prime Minister initially rejected the idea of a judge-led inquiry into the press scandal and then rightly changed his mind. In justifying that decision, he said:
“I don’t believe there is any better process than an inquiry led by a judge”.
He said that would happen with
“the whole thing…pursued…by a team of barristers who are expert at finding out the facts”.—[Official Report, 30 April 2012; Vol. 543, c. 1251.]
Why is it right to have that judge-led approach to the scandal in the press but wrong for the scandal in the banks?
I think there is a very profound difference between the circumstances of the Leveson inquiry and the circumstances of this inquiry, because of course the Leveson inquiry followed a whole series of unsuccessful and failed inquiries. On this occasion we have had a very successful inquiry by the Department of Justice in America and the Financial Services Authority, which has uncovered the wrongdoing. Now what is required is swift inquiry, swift action and swift legislation. That is what you will get from this Government.
I do not think the Prime Minister has understood the depths of public concern and the depths of the lack of confidence. He says both that the inquiry that he proposes can be completed within essentially four months and that it can go as wide as it likes. That is simply not realistic. I have listened to his concerns and proposed a way forward. I ask him again for a two-part inquiry, with a judge, to complete the part on LIBOR on the Chancellor’s timetable—by Christmas—and then to look at the wider issues about the culture and practices of the City, of which there are many.
I understand the public concern about this issue, which is why I want us to get on with it. Frankly, it is this Government who are legislating to split the banks, as Vickers suggested; who are scrapping the tripartite agreement that failed so badly under the last Government; who have introduced the bank levy so that the banks pay their taxes properly; and who have introduced the most transparent regime for pay and bonuses in any financial centre anywhere in the world. As evidence that the House of Commons is getting on with it, we are going to see Bob Diamond questioned upstairs by the Treasury Select Committee this afternoon. I say to the right hon. Gentleman that we are having a vote in the House of Commons tomorrow—a vote on his motion and a vote on the Government motion. Clearly, if the Opposition motion wins, there will be a full independent public inquiry. I urge him to say now that if the Government motion is carried, he will co-operate with a full parliamentary inquiry.
I do not think the Prime Minister gets it about the depth of public concern. I hope that he will reconsider his position. He says that the Government are implementing the Vickers inquiry. On a very important issue that has come out in the past two weeks—high street banks selling dodgy products to small businesses—the Vickers commission said that it should never be allowed to happen again, yet after lobbying by the banks the Government rejected this basic recommendation of Vickers. In the light of the recent scandal, with small businesses damaged, will he now U-turn and implement the Vickers recommendations in full?
First, I will not take a lecture on getting it from a party that was in office for 13 years when all these things took place. On his specific question about the Vickers inquiry, let me repeat that it was set up by this Government and will be implemented by this Government—something that had not happened before. Under the inquiry, complex derivatives will be included in the investment bank ring fence, not in the retail banks, which we want to make safer. But let me just say this to the right hon. Gentleman: if he wants a quick resolution, he must accept the outcome of a vote in the House of Commons. I am prepared to do that. Why is he not?
Order. Government Back Benchers who have been here for some years ought to have grasped by now that it is not the responsibility of the Leader of the Opposition to answer, so they should pipe down and try to be good boys, if they can.
If the Prime Minister wants a history lesson, let me repeat what he told the City of London on 28 March 2008:
“As a free-marketeer by conviction, it will not surprise you to hear me say that”
the problem “of the past decade” is “too much regulation”.
Does that not say it all about the double standards of this Prime Minister? Whenever these scandals happen, he is slow to act and he stands up for the wrong people. The question people are asking is, “Who will act in the national interest, rather than the party interest?” His is a party bankrolled by the banks. If he fails to order a judge-led inquiry, people will come to one conclusion: he simply cannot act in the national interest.
Everybody can see what is happening here. [Interruption.]
(12 years, 6 months ago)
Commons ChamberI thank my hon. Friend for what he has said about the schemes that we are introducing. It is welcome that we have seen the largest rise in employment for over a year, that the number of people in work has risen by 370,000 since the last election, and that the number of private sector jobs has increased by more than 600,000. However, we are not remotely complacent. Although there is good news about youth unemployment and the fall in the claimant count, there are still too many people in part-time work who want full-time work, and we still face the challenge of tackling long-term unemployment. We are not complacent, but whereas the flexible new deal took four years to put in place, the Work programme has been put in place within 12 months, and is targeted at helping the difficult to help and the long-term unemployed whom we want to help back to work.
May I join the Prime Minister in paying tribute to Corporal Brent McCarthy of the Royal Air Force and Lance Corporal Lee Davies of the 1st Battalion Welsh Guards. They both showed the utmost bravery and courage, and our thoughts are with their families and friends.
We need to ensure that the welcome reduction in unemployment that has been announced today is sustained by economic growth. Can the Prime Minister tell us what discussions he has had with the new President of France about a growth plan for Europe?
First, let me welcome the fact that, on this occasion, the right hon. Gentleman has welcomed the fall in unemployment. Unemployment has come down and the claimant count has come down, and I think it is worth making the point that the number of people on out-of-work benefits has fallen by 70,000 since the election. However, there are still challenges, and we must go on investing in apprenticeships and in the Work programme.
I had a brief discussion with the President of France after his victory, and I look forward to having a longer bilateral with him before the G8 starts this weekend. I look forward specifically to discussing what more we can do to help in terms of European growth. As the right hon. Gentleman will know, together with the Italian Prime Minister and many other Prime Ministers, we have put forward a whole series of steps that can help the European economy to move. Let us complete the energy single market; let us complete the digital single market; let us complete the services single market. These things could seriously add to growth in Europe. That is what we should be focused on in Europe, and I look forward to discussing that, and more, with the French President.
If I may say so, it is a shame the right hon. Gentleman did not see the French President three months ago, when he was in the United Kingdom. But I am sure that a text message and “LOL” will go down very well.
Europe needs a proper growth plan, which this Prime Minister has failed to argue for, and Britain needs a proper growth plan, which he has failed to come up with. Business is pleading with the Government for a growth plan. Does he really agree with the Foreign Secretary that the problem with our economy is that British business is not working hard enough?
I have to admit that perhaps I have been overusing my mobile phone—but at least, as Prime Minister, I know how to use a mobile phone, rather than just throw it at the people who work for me. You can probably still see the dents!
I do think there will be common ground between the British view of what needs to happen in Europe and the French view. I note that the French President, when asked how he would stimulate growth, said:
“The means cannot be extra public spending, since we want to rein it in”.
It is interesting that the French President does not back the Labour view that the way out of a debt crisis is to borrow more, spend more and add to the debt. But I do think that what we need in Britain—absolutely vital—are the low interest rates that we have, because when this Government came to power, we had the same interest rates as Spain. Today, ours are below 2%, whereas Spanish rates are over 6%. The shadow Chancellor was saying from a sedentary position that somehow this was delusional. Let me remind him that he said:
“the simplest measure of monetary and fiscal policy credibility”
is long-term low interest rates. Those were his words. That is what Britain has got, and that is what we must not lose.
The right hon. Gentleman totally failed to answer the question about the Foreign Secretary, who is saying that the problem in our economy is that British business is somehow not working hard enough. I notice that the right hon. Gentleman is now trying to claim the President of France as an ally—what is he on? But there is one group of people whom we know are losing their jobs, and that is the police, 30,000 of whom marched on the streets last week. Can the Prime Minister tell us how many front-line police officers have been lost since he came to power?
I am not surprised that the right hon. Gentleman wants to rush off the economy after his first few questions. Let me just remind him what this Government are doing to boost our economy. We have cut corporation tax; we have boosted enterprise zones; we are investing in apprenticeships; we are investing in housing; we are making sure we put money into infrastructure. But above all, because we have a plan to deal with our deficit, we have the lowest interest rates, whereas he would give us the highest interest rates.
On policing, Her Majesty’s inspectorate of constabulary has actually found that police forces are planning to increase the proportion of police officers and staff working on the front line, so they are taking people out of the back office and putting them on the front line. But let me say this to the right hon. Gentleman: both parties are committed to making cuts to the police budget. He is committed to £1 billion of cuts, but the point is this: we are reforming allowances, we are cutting paperwork, we are freezing pay, we are reforming pensions. He would not do any of those things, so his cuts would be deeper, because he does not have the courage to do the right thing.
First, on the economy, we are in a double-dip recession—a recession made in Downing street by the two of them—him and the Chancellor. That is the reality. On policing, everybody will have noticed the Prime Minister’s answer. It was about the proportion of front-line officers—that is because he is sacking so many police officers from the back office. But what is actually happening to the number of front-line police officers? We have 5,000 fewer front-line officers. We have fewer 999 responders, fewer neighbourhood police and fewer traffic police. What was his sales pitch—[Interruption.] They were elected on a promise of more police officers—no wonder they are losing the elections.
What was the right hon. Gentleman’s sales pitch just before the election? This is what he said—[Interruption.] They do not want to hear about what he said before the election. He said:
“any Cabinet Minister…who comes to me and says, ‘Here are my plans’ and they involve front-line reductions, they’ll be sent straight back to their Department to go away and think again.”
Is it any wonder that the police are absolutely furious about his broken promise?
Oh dear, he is having a bad day. Let me try to explain. Whoever was standing here right now would have to cut police budgets—they accept that, we accept that. But if you did not have the courage to deal with allowances, to deal with paperwork and to deal with pay, you would have to make deeper cuts. This is what—
I am extremely calm. This is what the Leader of the Opposition’s own police spokesman said. He was asked, “Aren’t you accepting the need for a freeze on police pay? That is what Yvette Cooper has said recently.” “No”, he replied. So that is it: they do not accept the freeze on pay, they do not accept the pension reform, they would not do the paperwork cuts; they would be cutting the police more deeply. That is their position—they have absolutely no policy ideas at all.
I know that the right hon. Gentleman is going to have extensive training before he goes before Leveson, and I have a suggestion: I think it should include anger management. I think it would be very good for him.
It is not just on policing that the right hon. Gentleman has broken his promises. We all remember his promises three years ago to the nurses. He told their conference:
“there will be no top-down reorganisation”.
I notice that he did not go back to the Royal College of Nursing conference this year. Can the Prime Minister tell us how many fewer nurses there are since he came to power?
The number of clinical staff in the NHS has gone up, and the reason it has gone up is that this Government have put more money into the NHS every year. What is the right hon. Gentleman’s commitment? His commitment is that spending on the NHS is irresponsible. That is his commitment—to cut spending on the NHS. What is actually happening is that we have the lowest number of people waiting for 18 weeks in our NHS, and that is because we have got more doctors, more clinical staff and fewer bureaucrats working in the NHS.
I am afraid it is back to the bunker with that answer. There are 3,500 fewer nurses since the right hon. Gentleman became Prime Minister. The Health Ministers could not even get the figure right on the radio; they could not even tell us how many nurses in training cannot find jobs. This is all because he has diverted billions of pounds from patient care to a top-down reorganisation that nobody voted for and nobody wanted. I know that he does not like being reminded of his words, but that is because he broke his promise. That is the problem with this Government: they cut taxes for millionaires and cut services for the rest of us. [Interruption.] I know they do not like hearing about it. What did the hon. Member for Cleethorpes (Martin Vickers) say? He said:
“We can’t convince voters that we are ‘on their side’ when we give top-earners a tax cut leaving Mr & Mrs Average reeling”.
That is the truth of this Government. They are unfair and out of touch, and they stand up for the wrong people.
What this Government have done is delivered a tax cut for every single working person in the country. We froze the council tax for every household in the country. We have taken 2 million people out of tax in our country.
But what is the big decision that the Leader of the Opposition has taken this week? He took the person in charge of his policy review, the right hon. Member for Birmingham, Hodge Hill (Mr Byrne)—the person who said that they had to be serious about the deficit, who said that they had to be serious about welfare reform, the person who told us that they had run out of money—and replaced him with a policy chief who thinks that Labour’s problem is that it is not close enough to the trade unions. That is the Leader of the Opposition’s big decision. I often wonder whether his problem is that he is weak or that he is left-wing—his problem is that he is both.
(12 years, 8 months ago)
Commons ChamberI thank my hon. Friend for his question. Next week is an opportunity to make sure that Britain and America, as the two largest contributors to the international security assistance force mission in Afghanistan, are absolutely in lock-step about the importance of training up the Afghan army, training up the Afghan police and making sure that all NATO partners have a properly co-ordinated process for transition in that country, so that the Afghans can take responsibility for the security of their own country, and we can bring our forces home.
I join the Prime Minister in expressing profound sadness at the terrible news of our six soldiers who are missing, feared dead. Today, we are reminded of the ongoing commitment and sacrifice that our service personnel make on our behalf. By putting themselves in harm’s way for our benefit, they demonstrate the utmost service and courage. We owe them and all those who have lost their lives in Afghanistan an immense debt of gratitude, and our thoughts are with their family, friends and colleagues at this terrible time.
At moments like these, does the Prime Minister agree that we must restate clearly the reasons for our mission in Afghanistan? A more stable, self-governing Afghanistan will produce more stable outcomes in that region and ensure greater safety for our citizens here at home.
I thank the right hon. Gentleman for his words. He is absolutely right. Our mission in Afghanistan remains vital to our national security. We are there to prevent that country from being a safe haven for al-Qaeda, from where they might plan attacks on the UK or our allies. Our task is simple: to equip the Afghan Government and the forces of Afghanistan with the capability and capacity to take care of their own national security without the need for foreign troops on their soil. That is our aim. We are making progress. The Afghan national army stands at 184,000, on target for 195,000 by the end of this year. The Afghan national police, standing at 145,000, are on target for 157,000 at the end of this year. We are making progress. It is absolutely essential for bringing our troops home, but I agree with the right hon. Gentleman: we need to restate clearly why we are there and why it is in our national interest. The commander of the battalion told me today that his men have high morale, they know they are doing an important mission for the future of this country and the future of the world, and they want our support as they go about it.
I thank the Prime Minister for that answer. He and I also agree that it is essential that we build now for a political settlement in Afghanistan for when our troops are gone. Can he take this moment to update the House on what diplomatic progress is being made on securing the broader and more inclusive political settlement needed for a stable Afghanistan? Does he further agree that the whole international community must up the pace of progress towards that political settlement, to ensure that we do all we can to make concrete progress between now and the departure of our combat troops at the end of 2014?
We are clearly planning the increase in the army and the police—the physical forces that will take over—but the greatest difference we could make is a stronger political settlement that will ensure that Afghanistan has the chance for real peace, stability, prosperity and security in the future. There are some good signs, in that there are now proper discussions between the Afghan and Pakistan Governments. A clear message is coming out of Afghanistan and Pakistan to all those who are engaged in violence to give up that violence and join a political process. There is strong support for that across the Arab world, particularly in the middle east. We need to give that process every possible support and send a clear message to the Taliban: whether it is our troops or Afghan troops who are there, the Taliban will not win on the battlefield. They never win on the battlefield, and now it is time for a political settlement to give the country a chance for peaceful progress.
My hon. Friend raises an important issue. We are determined to stamp out these so-called legal highs. The Home Office is aware of this particular drug. We now have the drugs early warning system which brings these things to our attention, but as he says, a decision needs swiftly to be made and I will make sure that happens.
Tim Howes is a delivery driver from Dartford. He is a married father of three and the sole earner in his family. He currently works 20 hours a week. From next month, under the Prime Minister’s proposals, unless he works 24 hours a week he will lose all his working tax credit, some £60 a week. He says:
“I have approached my employer to possibly increase my hours but I have been told there simply aren’t the hours there. I would love to work full-time.”
What is the Prime Minister’s advice to Tim Howes?
First, let me set the context for this—[Hon. Members: “Answer!”] I will answer the question very directly, but we need to reform the tax credits system because we have a massive budget deficit. When we came to office, tax credits were going to nine out of 10 families, including people right up the income scale, including Members of Parliament. What our changes do, in terms of this specific case, is deal with the basic unfairness that we ask a single parent to work 16 hours before getting access to the tax credit system, so it is only right to say to couples that between them they should work 24 hours—that is, 12 hours each. If that is the case, and they do that, they will be better off.
I have to say to the Prime Minister that that answer is no use to Mr Howes and his family. He cannot find the extra hours and so will lose his—[Interruption.] The Defence Secretary shouts from a sedentary position, “What about his wife?” Let me tell him that his wife is looking after their three school-age children and cannot find hours that are consistent with that. Tim Howes and 200,000 couples will lose as a result of this. Before the election, the Prime Minister said in the TV debates that for Labour
“to say that actually the changes we’re making would hit low income families is simply not true.”
Why has he broken that promise?
We have increased the child tax credit that goes to the poorest families in our country. To answer the right hon. Gentleman very directly, when we say to a single parent that they have to work 16 hours to get access to the tax credits system, I do not think that it is unreasonable to ask a couple to work an average of 12 hours each. That is what we are asking. In a way, this relates to a bigger picture. We have a massive budget deficit. If he is not going to support the welfare cap, the housing benefit cap, cuts to legal aid or cuts to tax credits, how on earth would he deal with the deficit?
In case the Prime Minister did not realise this, in Dartford, where the Howes family live, five people are chasing every vacancy. It is just not good enough for him to say, “Well, they should go out to work.” If they cannot find the work, they will find that they are better off on benefits than in work because of the Prime Minister’s changes, which is something he said he wanted to avoid. It is also about this matter of trust. He made a clear promise, just like he made a clear promise on child benefit. Before the election, he said:
“I’m not going to flannel you. I’m going to give it to you straight. I like the child benefit. I wouldn’t change child benefit. I wouldn’t means-test it. I don’t think that is a good idea.”
We have already established that he has broken his promise to low-income families. Why has he broken his promise to middle-income families, too?
Here we go: another change the right hon. Gentleman does not support. He seems to think that people on—[Interruption.]
Does the right hon. Gentleman really think that people earning £25,000 should pay for his child benefit? I do not agree with that. We have to make savings, so not giving child benefit to the wealthiest 15% of families in our country—of course it is a difficult decision. Life is about difficult decisions. Government is about difficult decisions. It is a pity that he is just not capable of taking one.
First of all, we are talking about families on £43,000 a year. Secondly, it is no good the Prime Minister saying that he now supports the principle that people on high incomes should not get child benefit, because before the election he supported the opposite principle and said quite clearly to families up and down this country, “I’m not going to take away your child benefit.” In my book there is a very simple word for that: a broken promise—it is a broken promise by this Prime Minister. [Hon. Members: “That’s two.”] They are right: there are two broken promises. The reality is that lower-income families are losing their tax credits and middle-income families are losing their child benefit. Does the Prime Minister understand why people just do not believe him when he says, “We’re all in this together”?
I think that it is time the right hon. Gentleman listened to his own shadow Chief Secretary, who said that
“we must ensure we pass the test of fiscal credibility. If we don’t get this right, it doesn’t matter what we say about anything else.”
She is absolutely right. Reducing our deficit takes tough decisions. He has opposed every single cut. He has opposed the welfare cap, the housing benefit cap and legal aid cuts. It is no wonder that when people dial up a radio phone-in and eventually work out who he is, they all say the same thing: he is not remotely up to the job.
(12 years, 11 months ago)
Commons ChamberI am very happy to meet my hon. Friend. I know how important it is that we have effective search and rescue facilities off our coast, and I know about the incredibly good work that they do. What the Government are looking at is the best way to deliver those services, including how they should be paid for, and it is important that that work goes ahead.
May I join the Prime Minister in paying tribute to Rifleman Sheldon Steel, from 5th Battalion The Rifles? He served with huge commitment and courage, and our deepest condolences are with his family and friends.
In June at Prime Minister’s questions, the Prime Minister praised the head teacher of Vaynor First school in Redditch for refusing to strike. Today, she has closed her school. She says:
“This has been the most difficult decision of my professional life… The difference in the summer was that I had faith in the Government… I have not seen any progress so I have decided…to strike.”
Why does the Prime Minister think that so many decent, hard-working public sector workers, many of whom have never been on strike before, feel that the Government simply are not listening?
The reason why people are going on strike is that they object to the reforms that we are making to public sector pensions, but I believe that those reforms are absolutely essential. The Labour former Work and Pensions Secretary, Lord Hutton, said that
“it is hard to imagine a better deal than this.”
What I would say, above all, to people who are on strike today is that they are going on strike at a time when negotiations are still under way. The right hon. Gentleman refers to what was said in June. Let me remind him what he said on 30 June:
“These strikes are wrong at a time when negotiations are…going on”.
Why has he changed his mind?
Order. I say to Members engaged in orchestrated barracking that it is very tedious and very juvenile, from whichever side it comes. The public do not want to hear it, and nor do I. The Leader of the Opposition will be heard, as will the Prime Minister, and that is all there is to it.
The reason public sector workers do not think the Prime Minister is listening is that the Government declared negotiations at an end four weeks ago. They said that they had made their final offer. They have not even met the unions for four weeks, since 2 November. What has he gone around saying to people? He has gone around saying that he is privately delighted that the unions have walked into his trap. That is the reality. He has been spoiling for this fight. The reason people have lost faith is that he is not being straight with them. Will he admit that 800,000 low-paid workers on £15,000 a year or less are facing an immediate tax rise of 3% on his pension plan?
I know that the right hon. Gentleman’s entire party is paid for by the unions, but I must say that what he has just told the House is extraordinary and completely and utterly untrue. The fact is there were meetings with the trade unions yesterday, there will be meetings with them tomorrow and there will be meetings on Friday. The negotiations are under way. Let me repeat what he said in June. He said that it is wrong to strike
“at a time when negotiations are…going on”.
Yet today he backs the strikes. Why? Because he is irresponsible, left-wing and weak.
The difference is that, unlike the Prime Minister, I am not going to demonise the dinner lady, the cleaner or the nurse, people who earn in a week what the Chancellor pays for his annual skiing holiday—[Interruption.]
Order. Members on both sides of the House need to calm down. If senior Members of the House think that it is a laughing matter, let me tell them that it is not. The public would like to see some decent behaviour and a bit of leadership on these matters, and so would I.
The Prime Minister is the one—he did not deny it—who went around saying that he is privately delighted because the unions have walked into his trap. That is the reality. The truth is that it is not only public sector workers who are paying for the failure of his plan, but private sector workers. Will he confirm that, as a result of the cuts to tax credits announced yesterday, a family on the minimum wage, taking home £200 a week, will lose a week and a half’s wages?
First, let me be absolutely clear—[Hon. Members: “Answer.”] I will answer the question—
I will wait for his next trade union-sponsored question, and then give my answer.
I am proud that millions of hard-working people in this country support the Labour party—better that than millions from Lord Ashcroft.
The problem is that the Prime Minister does not understand his own policy. He does not understand that there are part-time workers earning less than £21,000 who will be hit—800,000 low-paid, part-time workers, 90% of whom are women, will pay more. He denies that, but it is true. That is the reality.
The Prime Minister sits there shaking his head. He does not understand his own policy, and of course, he could not explain or justify what he did to everyone on low pay with the miserable deal cooked up with the Deputy Prime Minister to cut £1 billion from tax credits in the autumn statement yesterday. They have no explanation for why they are doing that—[Interruption.]
Order. I say to the hon. Member for Cannock Chase (Mr Burley) that I do not require any assistance from him. The Leader of the Opposition will come to a question.
Let me try the Prime Minister on another matter. What will unemployment be at the time of the next autumn statement on the Office for Budget Responsibility forecast?
If we compare the end of this Parliament with the start of this Parliament, the Office for Budget Responsibility figures—let us remember that the OBR is independent, but when the right hon. Gentleman was sitting in the Treasury, the figures were fiddled by Ministers and advisers, and that no longer happens—show that 500,000 more people will be in jobs, 90,000 fewer people will be on the claimant count, and the unemployment rate will be 7.2% instead of 8.1%. That is the OBR’s forecast; it is not fiddled. The OBR is independent; and that is what the figures show.
Let me answer the right hon. Gentleman’s question, as I was not able to do so earlier, about helping the poorest people in our country. It is his party that got rid of the 10p tax—the biggest attack on the working poor. It is this Government who have taken 1.1 million people out of tax, who froze the council tax, cut the petrol tax, introduced free nursery care for two, three and four-year-olds, and are putting up the child tax credit by £390 this year and next. That is a record to be proud of, instead of the right hon. Gentleman’s appalling record of attacking the working poor.
With child poverty going up as a result of the autumn statement yesterday, the truth is that the Prime Minister could not answer the question because he is too embarrassed by the truth—[Interruption.] The Education Secretary should calm down. He tells children to behave; why does he not behave himself?
The Prime Minister is too embarrassed. There are 2.8 million people out of work according to the forecast of the Office for Budget Responsibility. He is another Conservative Prime Minister for whom unemployment is a price worth paying. Because he is failing on unemployment and growth, he is failing on borrowing. He told the CBI conference last year that, no ifs or buts, by 2015
“we will have balanced the books.”
Will he now admit that on the central test he set himself, he has failed?
The right hon. Gentleman complains about the level of borrowing, but his answer is to borrow even more. That is the utter illiteracy. Let me tell him what we are doing. Because we have a plan to meet the mandate and to meet the test set out by the Chancellor in his emergency Budget, we have some of the lowest interest rates in Europe. That is right; for every percentage point they went up under Labour, that would be another £1,000 on a family mortgage, another £7 billion out of business and another £21 billion on our national debt. That is what we would get under Labour and that is why it is this Government who will take the country through this storm.
The Prime Minister is borrowing an extra £158 billion to pay for his economic failure. The truth is that his plan has failed. He refuses to change course and he is making working families pay the price. At the very least, we now know that he will never, ever be able to say again, “We’re all in this together.”
The leader of the Labour party has taken sides today: he is on the side of the trade union leader who wants strikes and not negotiations and he is on the side of people who want to disrupt our schools, disrupt our borders and disrupt our country. And when it comes to borrowing, he cannot even bring himself to welcome the fact that there are low interest rates.
Let me tell him this. The shadow Chancellor—[Interruption.] Mr Speaker, they are all shouting in unison—[Interruption.] Or should that have been they are all shouting on behalf of Unison? I am not quite clear. Let me remind the House of what the shadow Chancellor said about low interest rates. He said that long-term interest rates are
“the simplest measure of monetary and fiscal policy credibility”.
That is what he said, and that is what this Government are delivering.
We are being tested by these difficult economic times. We will meet that test by getting on top of our debt and getting on top of our deficit. The Leader of the Opposition is being tested too, and he is showing that he is weak, left-wing and irresponsible.
(13 years, 4 months ago)
Commons ChamberAs ever, the Department for International Development is being extremely effective. It is working very quickly to try to help in this appalling crisis, in which 10 million people face the threat of starvation. That demonstrates once again that we are right to maintain and increase our spending in this area, difficult as the arguments sometimes are. Our difficulties here and elsewhere in Europe are nothing in comparison with what is being experienced by people who face starvation and death unless we help them.
May I join the Prime Minister in paying tribute to Highlander Scott McLaren of The Highlanders, 4th Battalion, The Royal Regiment of Scotland? He was a young man who was serving our country, and died in the most horrific circumstances. I am sure the thoughts of the whole House are with his family and friends.
The whole country has been appalled by the disclosures about phone hacking: the 7/7 victims, the parents of Holly Wells and Jessica Chapman, and, of course, the phone of Milly Dowler. That anyone could hack into her phone, listen to her family’s frantic messages and delete them, giving false hope to the parents, is immoral and a disgrace. Given the gravity of what has occurred, will the Prime Minister support the calls for a full, independent public inquiry to take place as soon as practical into the culture and practices of British newspapers?
Let me be very clear: yes, we do need to have an inquiry—possibly inquiries—into what has happened. We are no longer talking about politicians and celebrities; we are talking about murder victims—potentially terrorist victims—having their phones hacked into. What has taken place is absolutely disgusting, and I think everyone in this House, and indeed this country, will be revolted by what they have heard and seen on their television screens.
Let me make a couple of points. First—people need to know this—a major police investigation is under way. It is one of the biggest police investigations currently under way in our country, and crucially—I hope Opposition Members will listen to this—it does not involve police officers who were involved in the original investigation that so clearly did not get to the truth. It is important that we have inquiries: inquiries that are public; inquiries that are independent; and inquiries that have public confidence.
It seems to me that there are two vital issues that we need to look into. The first is the original police inquiry and why that did not get to the bottom of what has happened, and the second is the behaviour of individual people and individual media organisations and, as the right hon. Gentleman says, a wider look into media practices and ethics in this country. Clearly, as he says, we cannot start that sort of inquiry immediately because we must not jeopardise the police investigation, but it may be possible to start some of that work earlier. I am very happy to discuss this with him, with other party leaders, and with the Attorney-General and the Cabinet Secretary, to make sure that we get this right and lessons are learned from what has become a disgraceful episode.
Let me say to the Prime Minister that I am encouraged that he does now recognise the need for a full public inquiry into what happened. He is right to say that it can be fully completed only after the police investigation has taken its course, but, as he also said, that may take some years. It is possible, as I think he implied, for the Prime Minister to start the process now, so may I make some suggestions in that context? He should immediately appoint a senior figure, potentially a judge, to lead this inquiry, make it clear that it will have the power to call witnesses under oath, and establish clear terms of reference covering a number of key issues: the culture and practices of the industry; the nature of regulation, which is absolutely crucial; and the relationship between the police and the media. I wonder whether he can respond on those points.
I want to respond positively, and let me do so. First, on the two issues I mentioned—the conduct of the earlier police inquiry and the broader lessons about ethics in the media—I do not think it is possible to start any form of investigation into the former until the police investigation is completed, because I think there would be a danger of jeopardising the current police inquiry. Responding positively to what the right hon. Gentleman said, I do think it may be possible to make a start on other elements, and, as I have said, I do not want us to rush this decision; I want us to get it right, having discussed it with other party leaders, the Attorney-General and the Cabinet Secretary. All too often, these sorts of inquiries can be set up too quickly without thinking through what actually needs to be done.
I think the Prime Minister is implying that this can start moving now, and I think it is very important that it does so; just because we cannot do everything does not mean we cannot do anything. It is very important that we act. A year ago to the day, the Prime Minister appointed the Gibson inquiry to look into the treatment of detainees by the intelligence services, with criminal cases still pending.
Let me ask the Prime Minister about what happens in the meantime, pending this public inquiry. We have consistently said that the BSkyB bid should be referred to the Competition Commission and not dealt with in the way the Culture Secretary has done. The Prime Minister must realise that the public will react with disbelief if next week the decision is taken to go ahead with this deal at a time when News International is subject to a major criminal investigation and we do not yet know who charges will be laid against. Does the Prime Minister agree that the BSkyB bid should now be referred to the Competition Commission, to provide the breathing space that is required?
First, let me answer the right hon. Gentleman’s point about Gibson, because this is a good and fair point. We established the Gibson inquiry but it has not been able to make much progress until criminal proceedings have been brought to an end. There is a good reason for this; clearly you do not want to jeopardise a police operation, and you do so if you start questioning witnesses through a public inquiry process at the same time as they are being questioned through a police process. That is the reason for doing this, but, believe me, I want us to get on with this issue, and the faster we can set up other elements of an inquiry, the happier I will be.
On the issue of BSkyB, what we have done is follow, absolutely to the letter, the correct legal processes. That is what the Government have to do. My right hon. Friend the Secretary of State for Culture, Olympics, Media and Sport has a quasi-judicial role and he has to follow that. I note that the leader of the Labour party said yesterday that the issue of competition and plurality is “a separate issue” from the very important issue we are discussing today. What I would say is that these processes must be followed properly, including by Ofcom, and it is Ofcom that has the duty to make a recommendation about a “fit and proper person”. Those are the right processes; this Government will behave in a proper way.
I am afraid that that answer was out of touch with millions of people up and down this country. The public will not accept the idea that, with this scandal engulfing the News of the World and News International, the Government should, in the coming days be making a decision outside the normal processes, for them to take control of one of the biggest media organisations in the country. I know that this is difficult for the Prime Minister, but I strongly urge him to think again and send this decision to the proper authorities—the Competition Commission. As I say, this would provide breathing space for legitimacy and for the proper decisions to be made.
I would say to the right hon. Gentleman that the decision making has been through the proper processes, that it is right that the Government act legally in every way and that that is what they have done. One of these is an issue about morality and ethics, and a police investigation that needs to be carried out in the proper way—they have total independence and must do that. The other is an issue about plurality and competition, where we have to act under the law. Those are the words he used yesterday and, in just 24 hours, he has done a U-turn in order to try to look good in the Commons.
This is not the time for technicalities or low blows. We have said consistently, throughout this process, that this bid should be referred to the Competition Commission—that is the right way forward. The Prime Minister, instead of engaging in technicalities, should speak for the country on this issue, because this is what people want him to do. I hope that he will go off from this Question Time and think again, because it is in the interests of the media industry and the British public that this is properly referred to the Competition Commission in the way that all other bids are dealt with.
What we also know, as well as that we need a public inquiry and that we need the BSkyB bid referred to the Competition Commission, is that these were not the actions of a rogue individual or a rogue reporter, but part of a wider, systematic pattern of abuses. The public see a major news organisation in this country where no one appears prepared to take responsibility for what happens. Nobody is denying that Milly Dowler’s phone was hacked and nobody is denying that it happened on the watch of the current chief executive of News International, who was editor of the newspaper at the time. Will the Prime Minister join me—if he believes in people taking responsibility—in saying that she should take responsibility and consider her position?
First, let me deal with the issue of technicalities. I have to say to the right hon. Gentleman that when you are dealing with the law, you have to look at the technicalities because there is something called due process that you have to follow. That is necessary for any Government and I am sure that he understands that. As for News International, everyone at News International must ask themselves some pretty searching questions and everyone at News International is subject to one of the largest police investigations under way in this country. I think that we should let the police do their work. They must follow the evidence wherever it leads and if they find people guilty of wrongdoing, they should have no hesitation in ensuring that they are prosecuted.
I do not know from that answer whether the Prime Minister says that the chief executive of News International should stand down or not. I am clear: she should take responsibility and stand down. These events show a systematic set of abuses that demonstrates the use of power without responsibility in our country and it is in the interests of our democracy and the public that such issues are sorted out. With the biggest press scandal in modern times getting worse by the day, I am afraid the Prime Minister has not shown the necessary leadership today. He has not shown the necessary leadership on BSkyB or on News International. Is it not the case that if the public are to have confidence in him, he must do the thing that is most difficult and accept that he made a catastrophic judgment in bringing Andy Coulson into the heart of his Downing street machine? [Interruption.]