(6 years, 6 months ago)
Commons ChamberI will focus my remarks on the customs union and the single market. There may well be differences of opinion on our Benches, but I respect all my right hon. and hon. Friends; I know they are trying to do the right thing by the country and by their constituents. But our differences are nothing compared with the divisions on the Government Benches, and it is a bit rich of the hon. Member for South Thanet (Craig Mackinlay) to lecture us on being divided.
The truth is that the Government are making a huge mess of Brexit. Two years after the referendum, we still do not know what their position is. The truth is that kicking the can down the road cannot continue to be the Government’s strategy. The clock is ticking and time is running out; we cannot leave everything to the October summit.
I shall vote in favour of the customs union amendments because I believe that to remain in it is vital to manufacturing. Jaguar Land Rover is on the border of my constituency and has recently announced job cuts and the movement of facilities to Slovakia, which I am very concerned about; those announcements were partly down to concerns about Brexit uncertainty.
Today, the CBI president warned that manufacturing sectors, including the car industry, will face extinction if we leave the customs union. He also said:
“There’s zero evidence that independent trade deals will provide any economic benefit to the UK that’s material.”
That is borne out by the Government’s own leaked economic analysis. In trade, geography matters. The EU is on our doorstep and our economy is deeply integrated with its economy.
That brings me to Lords amendment 51 and the Labour Front-Bench amendment (a) to it, both of which I shall support, after careful consideration. These may be complex issues—as a member of the Brexit Select Committee, I have spent many hours hearing evidence about the customs union, the single market, the EEA and the other different models—but my approach to this question is simple: the economy has to come first. The economics are clear, and I feel I have a duty to prioritise jobs, livelihoods and public services for my constituents. I acknowledge that the EEA is not perfect, but, for the minute, the combination of the EEA and the customs union is the only way to avoid a hard border on the island of Ireland.
I acknowledge that my constituents and others have serious and sincere concerns about immigration, but another motivation for voting leave among people in my constituency was a sense that the economy is not working for them. We need a new settlement for working-class communities in our country. We need targeted investment in public services in areas such as mine. We need more teachers in schools and much better early years childcare. Austerity was one reason why we lost the referendum; people really do feel that their economy is not working for them.
I think a bit of a reality check is happening in the House and in the country. There was realism from the Government yesterday and good progress in several areas, which I welcome. There must also be a reality check about what happens next.
The vote to leave the European Union was purely that: a vote to leave the political institutions. That is all that it said on the ballot paper. It said nothing else. I respect that mandate, but it is the right of Parliament, working with the Government, to have a say in how we deliver that and what our future relationship is. My test for that is twofold. First, in every circumstance, we must protect the integrity of the Union of Great Britain and Northern Ireland. As far as I am concerned, that is more important than anything, including referendum results. I believe that the Government have got that message, and the very important step that was taken yesterday meets that test. I support the Government on that, but we must make sure that it is delivered in practice, with no hard border.
Secondly, my other test is to make sure that we look after the economic wellbeing of my constituents and the public services on which they depend. I do not favour some kind of ideological Brexit. There is an attempt to hijack the referendum result in pursuit of a very narrow, ideological version. That is not the pragmatic version that I, as a Conservative, believe in. I am a Conservative because I am a pragmatist. I listen to voices of business and want to put business and jobs at the centre of Brexit.
The customs union is not perfect and I shall not support the EEA amendments tonight, because this is not the Bill for them—this Bill is about process and getting the statute book right—but I say to the Government that the time to have that debate is when we return to the Trade Bill, an amendment to which I have put my name to, along with other Members. If a practical outcome involves something that looks like a union—call it an arrangement; I do not mind—I want to give the Prime Minister the flexibility to achieve that. She is entitled to time to try to achieve that between now and June, so I shall support the Government in all tonight’s votes.
On the legal matters, I am persuaded. It was a great difficulty to have to choose between my right hon. and learned Friend the Member for Beaconsfield (Mr Grieve) and my hon. and learned Friend the Solicitor General. On balance, I am with Lord Judge, Lord Brown of Eaton-under-Heywood and Lord Mackay of Clashfern. The Government have worked hard to improve the legal matters of retained EU law. I have had good and positive conversations with them and hope to continue to do so. The key thing about this is that, for the country’s sake, we have to be pragmatists now. I think that the Prime Minister gets that and I will support her for that reason, but the pragmatist takes nothing off the table, and that is how we should keep it, as of today.
(9 years, 5 months ago)
Commons ChamberI say to those on the Government Benches that they are simply out of touch with the lives of working people up and down this country. Of course we want an economy in which people are highly paid and highly skilled, but the course towards such an economy has to be charted before the support is cut off.
Let us deal with the crucial issue of devolution. We urgently need to rebalance our economy to drive growth and prosperity in all parts of the country. We are one of the most centralised countries in Europe. London dominates our economy, and its growth surpasses that in all of our major cities, which is not the case in either Germany or France where other cities beyond Berlin and Paris are true engines of economic growth. I agree with what the Chancellor said last week—that we will not achieve a better settlement by pulling London down. We should be proud of the dynamism and success of our capital city—and long may it continue. We must, however, reverse the long tradition of British politicians of all parties and of civil servants who have hoarded power in Whitehall and failed to trust local government.
There is a huge political and economic imperative to devolve power as close as possible to local communities. As ever, the Chancellor’s Budget speech on devolution was heavy on rhetoric, but rather light on substance. This Government boast about bringing about a “northern powerhouse”, but their rhetoric rings hollow, given that no part of the country has faced bigger cuts to local authority budgets over the last five years than those in the north of England. Indeed, the shelving of the electrification of the Manchester to Leeds trans-Pennine railway means that the Government’s plans are closer to a power cut than a powerhouse. We need a settlement for every part of the north, but as one of my hon. Friends pointed out to the Secretary of State earlier, there was barely a mention of the north-east in the hour-long Budget statement or in the 123 pages of the Red Book.
Ahead of the Budget, we know that there were briefings about which deals would be announced, and we know that the Secretary of State did what some might call a frenetic round of local government speed-dating during the Local Government Association conference two weeks ago. We welcome, for instance, the extra powers that the Government are planning to devolve to Greater Manchester. We also welcome the progress that three combined authorities—Sheffield city region, Liverpool city region and Leeds, West Yorkshire and partner authorities—are making towards a devolution deal, and the progress that Cornwall is making. As a Wolverhampton MP, I particularly congratulate the leaders of the local authorities that are working so hard to create the West Midlands combined authority. We are proud of the fact that Labour leaders in local government are making the weather on devolution.
While we welcome that progress, we also believe that the Government should not impose a one-size-fits-all approach to devolution, and should stop putting obstacles in the way. In his first major speech after the election, the Chancellor said that he would not impose the mayoral model on anyone, but in the very same breath he said that he would not settle for anything less. Why are the Government running scared of letting local people decide, and when will they clarify exactly what different areas and combined authorities can expect to achieve from devolution if they do not opt for a mayor?
I know that the hon. Lady has a good memory. Does she recall regional spatial strategies? What were they but an imposed one-size-fits-all policy from above? Has she forgotten that so quickly?
It seems from the details of the Government’s productivity plan, which were published on Friday, that the hon. Gentleman’s party is introducing a nationalised spatial strategy.
Our amendment to the Cities and Local Government Devolution Bill, which is being debated in the other place today, would ensure that areas that did not want a mayor would not get a second-class deal. A Labour amendment that was passed in the other place earlier this afternoon proposes the introduction of a “devolution by default” test for every new Bill that the Government introduce to Parliament. If the Government did not push down as much power as possible to local level, they would have to give and justify their reasons. I hope that they will agree to retain that new provision, because it will be a test of their commitment to devolution.
Not at all. As there are probably something in the order of 230-plus different views, we could not cover them all in time. It is also rather remarkable that the Opposition have adopted an entirely different stance to elected mayors from that which I remember when I was the leader of the Conservative group on the London Assembly and facing the first ever elected mayor in this country—the first Mayor of London. I am glad to say that things have improved since then. As some may remember, the office of Mayor of London came into being as a result of legislation introduced by the Labour party. It comes back to the same trope. Why does the Labour party now regard any elected mayor as anathema? Because it was an idea of Tony Blair’s, and must therefore be cast into utter darkness.
I find it truly bizarre that a normally thoughtful party that wants to talk about devolution objects to the opportunity to take up city deal models with an elected mayor. The idea has not been forced upon Labour; it is Labour’s choice whether to have it or not. It was Labour that imposed more central control over local government, not just in planning, not just in terms of whether there could be a committee structure or not, not just in terms of whether a very strict and rigid standards regime was imposed, not just in terms of the comprehensive area assessment, not just in terms of planning policy, and not just in terms of financial policy and the cap. After all that, Labour had the gall to complain about an offer—take it or leave it—put forward by my right hon. Friend.
I always enjoy debating with the hon. Gentleman. To clarify, we are not anti-mayor. We believe that local areas and local communities should have a say over whether they have a mayor or not. We are in favour of true localism, not imposing structures on people.
That is useful and I regard it as a step forward. I hope the hon. Lady is able to remain in place after the leadership election. Let me explain why. With all respect to her, being on the campaign team of a Blairite in the Labour leadership election probably makes the prospects of the ostrich pretty good in terms of species survival, so I wish her well for the future.
The Labour party has ducked the real issue, which is that my right hon. Friend the Secretary of State and the Chancellor of the Exchequer have offered genuine devolution of power to local authorities. The issue is not so much about the badge on the top of the tin, although there is a good reason for a single focal point in city areas. It is hugely important to remember that we have offered that to Cornwall too, and we are starting to see the good work of city deals rolled out to the shire counties. That should be applauded. The ability to join up adult social care, one of the principal cost pressures on top tier authorities, with the health service should be applauded by everybody in the House, not greeted with the rather curmudgeonly response that has come from Opposition Members.
Warms words are one thing—we can agree that public sector and brownfield land needs to be built out—but we have heard many warm words over the past five years, and not much has been done. In fact, in my previous position as shadow Housing Minister, I asked the Government what figures they had available on their aim to build 100,000 new homes on public sector land, and answer came there none. They said they were not recording those numbers.
I welcome the hon. Lady to her new post. I had the pleasure of debating against her during the general election campaign. When she was shadow Housing Minister, she was right that rent controls would not work in practice, and her leader was wrong. May I take it that her appointment means that Labour will once and for all abandon this misguided policy, which would drive up rents and choke off investment in the sector?
That is precisely why the Government propose to introduce the opportunity to discount the rate, to consider the way in which business rate supplement operates in an area and, above all, to ensure that, at the same time as we create the ability to attract housing into an area through our council tax incentive, we give an equal incentive—the business rate growth incentive—to provide jobs and business in an area.
Given that, regrettably, the Government are downgrading benefits to the consumer prices index rather than linking them to the retail prices index, will they be helping small businesses by linking business rates to CPI rather than RPI?
The most valuable assistance that we have given is ensuring an extension of the business rate relief. Moreover, we are assisting small businesses in particular and we have increased the threshold for empty property relief this year to £18,000—all of which the previous Government signally failed to do.