Carillion and Public Sector Outsourcing
Debate between Geoffrey Clifton-Brown and Jon Trickett(6 years, 9 months ago)
Commons ChamberRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Jon Trickett
I could stand here and reel off a long list of outsourcing companies that have been guilty of fraud, tax avoidance, blacklisting, failure to pay contractors, and even, shockingly, billing the taxpayer for tagging people who had died. They have presided over, and have been vehemently committed to, a failed and failing ideological project. That is my charge today.
My opposite number, who I am pleased to see in his place—the Minister for the Cabinet Office and Chancellor of the Duchy of Lancaster—has personally shown lots of enthusiasm for handing out Government contracts—
Jon Trickett
I am trying to make some progress. [Interruption.] Well, they will be glad that I am making progress, then.
In the Minister’s role at the Ministry of Justice, what did he do? He awarded a £25 million Government contract to G4S. But that company was under investigation for fraud against the taxpayer. He snuck out plans to privatise the collection of court fines, and he even proposed giving private companies the power to arrest our fellow citizens. His Department bailed out a private probation service with an additional £277 million over seven years, and he failed to deliver the promised £115 million that he said would be delivered by outsourcing two prisons.
We need to change direction. Let me briefly set out the case, because outsourcing of procurement has boomed under this Tory Government. It is now worth £242 billion. Nearly a third of public expenditure—of our taxes—is being put at risk by a Government who are blindly following a dogma.
To be clear, there never was a true market in outsourcing. It is an oligopoly. The course of action that the British Government set out on has led only to the creation of a handful of mega-corporations, almost too big to fail, and those corporations have penetrated nearly every aspect of the state, both central and local. This so-called market works well for a handful of companies making huge profits out of the taxpayer, but it is not working for anybody else.
We want the Government to see the facts as they are, not through the lens of a tired, stale, outdated, dogmatic view of the world. Jeremy Corbyn, our leader, commenting on the Carillion debacle—
Jon Trickett
Well, we still pay tribute to our leader, unlike some of the Government Members, who seem to be making up a point about it. Let us see how many of them—[Interruption.] My party leader said that we have now reached—
Jon Trickett
I am coming to an end. He said that we are now coming to a turning point, and he was right. He caught the mood of the country. The public are tired of outsourcing. They want democratically accountable, quality services, which are run effectively and efficiently in the interests of the public. Every poll we can look at shows the same thing: the people are completely disabused of this whole process. That is why the House of Commons must take up the task that the Government have failed to act on. Where else could we start but by referring the matter to our excellent Public Accounts Committee? That is what the motion recommends.
Jon Trickett
I will not—I am finishing. The Prime Minister and her Government have squandered taxpayers’ money on a failing dogma. They have run out of new ideas. They have proved unable to grasp the change that our country desperately needs. Even her own MPs agree. The right hon. Member for Mid Sussex (Sir Nicholas Soames) says:
“Where’s the bold and the brave?”
He is talking to the Prime Minister. He says, “it’s dull, dull, dull.” He is absolutely correct.
Sir Geoffrey Clifton-Brown
On a point of order, Mr Deputy Speaker. May I preface my remarks by saying what a pleasure it is to see you back in the Chair? The Opposition spokesman has referred to the “excellent” PAC. I am its deputy Chair, but he will not let me intervene. How can the debate be fair if he will not let me intervene?
Cities and Local Government Devolution Bill [Lords]
Debate between Geoffrey Clifton-Brown and Jon Trickett
Jon Trickett
Of course; I said at the beginning of my speech that we are a pro-devolution party, but we want a comprehensive settlement. The people who must not be excluded from any new settlement are the citizens. The citizens of Greater Manchester should be part of any settlement. Indeed, where possible, power should be passed down to those citizens through what the former Chair of the Select Committee, my hon. Friend the Member for Nottingham North (Mr Allen), has described as double devolution.
The programme motion allocates only two and a half hours in Committee—albeit on the Floor of the House—to debate all the amendments on the powers, functions and reporting mechanisms of any mayor who happens to be elected. That is clearly inadequate for such discussions.
Geoffrey Clifton-Brown (The Cotswolds) (Con)
Is the hon. Gentleman aware of the provisions relating to elected mayors in clause 3? Subsection (2) states:
“An order under subsection (1) shall not be used as a condition for agreeing to the transfer of local authority or public authority functions.”
Subsection (3) goes on:
“A mayor for the area of a combined authority is to be elected by the local government electors for that area”.
Does not that provide sufficient cover for what the hon. Gentleman is asking for?
Jon Trickett
Every one of the leaders I have spoken to—they have been negotiating with the Treasury, by the way, rather than with the Department for Communities and Local Government—has told me that, despite their objections, they have been told that they cannot have devolution unless they agree to a new form of governance, namely a metro mayor. That may or may not be what is on the face of the Bill, and we will see what the Government do in Committee and what amendments are tabled, but the truth is that this is a fait accompli. A single model has been imposed from on high. I invite Conservative Members to reflect on whether the only possible model for city and town governance involves a directly elected mayor with no accountability to a wider assembly. That is a presidential, not a parliamentary, model of governance, and it is anathema to the British constitution.