Coastguard Volunteers: Remuneration and HMRC Guidance

Greg Smith Excerpts

Wednesday 1st July 2026 Westminster Hall

[Greg Smith (Mid Buckinghamshire) (Con)]

It is, as always, a pleasure to serve under your chairmanship, Sir Alec. I congratulate the right hon. Member for Orkney and Shetland (Mr Carmichael) on securing today’s debate—quite a feat, given that the Department for Transport was not meant to be answering Westminster Hall debates this week. He managed to secure a debate on an issue that has caused serious concerns not just for our coastal areas across the United Kingdom, but for all of us; I speak as a Member of Parliament representing a seat about as far away from the sea as it is possible to get within England.

The changes to the renumeration of coastguard volunteers have raised fundamental questions about the future of the service, as we have heard clearly from across the House today. I thank my colleagues who have attended the debate to set out those concerns and the scale of the challenges facing the coastguard. Those colleagues included my hon. Friend the Member for Isle of Wight East (Joe Robertson), who has had to go to run the drop-in event. I welcome his informative comments on the process in the main Chamber, given his constituent’s role in the legal case and the need to get the response to the legal decision right.

The question of how the coastguard operates truly matters. Protecting our coastlines from harm is essential, and the coastguard has played a central role in that over centuries. We must preserve the lives of those who are in danger and support our coastal towns and cities, where upholding safety is a priority. That brings us to the issue underpinning the debate: what happens if we no longer have those volunteers? We know that the 3,000 volunteer staff play a considerable role in protecting the public; it is integral that they remain part of the service.

For as long as the coastguard has existed, there have been questions of remuneration. For example, in 1831, the Admiralty published new regulations as part of a plan for the coastguard to become a reserve for the Royal Navy. It included payments and allowances—a salary of £10 for a chief boatman and £5 for a commissioned boatman. As volunteer servicemen entered the system, the Government provided support to the coastguard and to volunteer lifesaving organisations across the UK. More recently, the 1990s saw the Department conduct internal reviews of the role that auxiliaries should play in the service compared with those working full time.

The relationship between the state and the coastguard has changed throughout the years along with the evolution of its structure, but there has been a principle of ensuring that people can volunteer, while maintaining incentives so that the coastguard is able to operate effectively. Worryingly, the decision that was accepted by the Government, stemming from the court case, completely alters the relationship that has been put in place.

[Sir Alec Shelbrooke (in the Chair)]

Order. I am about to suspend the sitting due to Divisions in the House. I will aim to come back earlier than 10 minutes after the last Division starts. If the Liberal Democrat spokesman, the shadow Minister, the Minister and the right hon. Member for Orkney and Shetland are here, we will start as quickly as we can, but it will be no later than 10 minutes after the last Division. I remind Members that if they have spoken, they need to come back to the Chamber. If I start slightly earlier, I will give some leeway, but I expect everybody who has spoken to be back in the Chamber 10 minutes after the start of the last Division.

--- Later in debate ---

On resuming—

[Greg Smith]

Back from the Division break, we can think about the possible impact of the court judgment and the Government’s decision. I put it to the House that it is crazy that the Government have made this decision affecting our brave coastguard rescue officers. We face the prospect later this year of huge numbers of our coastguard personnel leaving because the Government have failed them.

I appreciate that the Minister has reiterated in multiple written answers that this was not a decision that the Government wanted to take. It was taken after a recommendation from the MCA; after engagement through the MCA with the coastguard rescue service—although on the basis of speeches earlier in the debate we can question the veracity of that—over previous months on the implications for the service; and after further conversations with area management teams, senior leadership visits and national representative forums, as well as two all-member surveys, which played a direct part in understanding the impact of the models upon the service.

It is important to reflect on those remarks, because while they show on the face of it that steps were taken, I am unsure of the level of consideration they demonstrate. The Government seem to have sought to understand the models but reverted to the simplest option. There needs to be a comprehensive explanation of the thought processes within the Department. Let us consider the action stemming from the legal decision. What steps were taken to establish a path forward? Can the Minister explain how much time the Government took to analyse the legal decision and whether other bespoke approaches would have been more appropriate?

I acknowledge that the Minister has said that the suggestion came from the MCA and the Government accepted it. However, the MCA’s annual report for 2024-25 highlighted a lack of legal resources within the organisation. To quote one of the priority concerns listed in the annual report, the MCA said that there is a

“lack of lawyer resources to implement legislative change – the ability to bring about legislative change hinges on the availability of scarce lawyer resource. The Agency continues to work with the Department for Transport Legal Team to ensure that it can access necessary resource. Progress is being made but the risk remains current.”

I hope that the Minister can clarify whether that remains the case, because the issue of remuneration and volunteer status is clearly a legal matter that could have consequences for legislation. If the MCA was considering the issue with the Department for Transport legal team, is it right to frame this as a decision merely stemming from the MCA? What legal resources were provided by the Department, and what work did its officials undertake to consider alternative options? I hope that the proposal did not merely stem from the Department’s own legal team.

Furthermore, the Minister’s previous responses referenced the discussions he has had with senior leadership and the surveys that were conducted. But for such a consequential decision, unless I have missed something, the Government have failed to publish significant analysis of the decision’s impact on volunteer numbers. From the outside, the Government seem to have chosen not to fully explain the scope of the options available to them and their full reasoning. That exacerbates worries among hard-working volunteers across the country who know about their loss of pay but get the sense that there is a lack of explanation. That is reflected in the comments of the anonymous volunteer who told the BBC that they thought the choice would

“damage morale and weaken the service”.

I say all this recognising that there is no simple option for the Government, but we cannot ignore the fact that they have taken a decision with possibly serious consequences for an institution with over 200 years of history. Given the reports about the impact of the change, I ask the Minister whether there is anything that can be done to delay it while the Government sort out the mess that many volunteers have identified.

Meanwhile, the Government have known the outcome of the case since January. The judgment on this area of law consisted of just 14 pages; since then, we have not seen anything as detailed from the Government. They should have anticipated the decision from the court, and we believe that they need to put together a solution that does not cause droves of people to leave our coastguard service. The current allowances should not be abolished before that is resolved.

Across the House, it feels like it has been lost on the Government that they have significant powers available to them and they should use those powers to achieve the best outcome for the British people. In this case, that should mean maintaining the existing system until they are confident that they have found a positive way forward that actually works for the safety of our coastlines and the future of our coastguard.