Northern Ireland Budget (Anticipation and Adjustments) (No. 2) Bill Debate

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Department: Northern Ireland Office

Northern Ireland Budget (Anticipation and Adjustments) (No. 2) Bill

Gregory Campbell Excerpts
Tony Lloyd Portrait Tony Lloyd (Rochdale) (Lab)
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May I begin by offering a small prediction that, sadly, there will be very little coverage of this debate in the Northern Ireland media or beyond? That is a tragedy, especially when I compare it to a debate that might take place in a large local authority—in my city region, for example. There would be massively more local media interest in such a debate for a particular reason: there is engagement with the political process. At the moment, people are becoming disillusioned with the political process in Northern Ireland, and that is beyond a matter of regret; it is a matter of danger for us all, and we should recognise that.

As the Secretary of State said, there has been no functioning Stormont for over two years, as the Stormont Executive and Assembly collapsed on 9 January 2017. The Secretary of State has a unique role, in that at no point other than when the present Lord Murphy introduced a budget to establish the Assembly has a Secretary of State delivered a budget. This Secretary of State has now delivered two.

This is set against a background of a seeming lack of action on re-establishing the Stormont Executive and Assembly. I know that the political parties in Stormont will argue about who is responsible. However, the reality is that during the more than two years that have gone by, the level of activity has been low. The Secretary of State has met the political parties, but not regularly. A little over a year ago, when the Prime Minister went over to be part of this along with the Taoiseach, people thought and hoped, rightly, that there would be a resolution to the situation. The Prime Minister has not been engaged consistently since then. I am bound to compare that with John Major when he was Prime Minister before the Good Friday agreement was signed, with Tony Blair during the years when he was Prime Minister, and with David Cameron when he was Prime Minister. I have to say to the Secretary of State that we must see more concerted action. We have to see some ambition for real change.

I know that this will not please everybody in the Chamber, but let me quote Michelle O’Neill, the leader of Sinn Féin at Stormont, who said, when talking about a serious and meaningful talks process that removes obstacles to proper power sharing and delivers a successful outcome in restoring the Assembly, that

“we have yet to see Karen Bradley prioritise such a process”.

The Secretary of State may be cynical about Michelle O’Neill. I know that other hon. Members in the Chamber certainly will be. However, the same message is coming through to me from all the political parties that this Government have not been properly engaged in re-establishing the Stormont Assembly.

The Secretary of State has said to me:

“This Government will continue to observe all our commitments under the Belfast/Good Friday agreement.”—[Official Report, 13 February 2019; Vol. 654, c. 906.]

Gregory Campbell Portrait Mr Gregory Campbell (East Londonderry) (DUP)
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The hon. Gentleman quoted the leader of Sinn Féin’s explanation of situations that had to come about in advance of the talks process. Does he agree that that sounded remarkably like a precondition to talks as well as a precondition to going into Stormont?

Tony Lloyd Portrait Tony Lloyd
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When John Major was engaged in the talks process leading up to the Good Friday agreement, and Tony Blair even more intensely so, there were many preconditions on the table—of course there were. That is the nature of a talks process. Anybody who has ever engaged in meaningful negotiations knows that people do not walk in with no agenda, but the talks process has to get them together and iron out the differences. It has, in the end, to say what is held more in common and what is more important.

I will go through some of the things that, in the end, are more important when we look at what is not taking place in Northern Ireland now—some of the things that hon. Members have already raised. The hon. Member for North Down (Lady Hermon) mentioned the Hart inquiry. The Secretary of State has heard the demands in this Chamber, on a regular basis, that she take action. We have to look at the people across Northern Ireland. The politicians from all sides say that they want to get back to Stormont. Yes, we have to test the competence and the willingness of politicians really to negotiate, but the trade unions, the business community and civil society are also saying, “Let’s get Stormont back working.” That is so important, because without it the decisions are not being made that can make a material difference.

The business community and the trade unions have recently said to me that they cannot get decisions made on infrastructure investment. I know that the hon. Member for East Londonderry (Mr Campbell) will agree that the Derry and Strabane city deal is fundamental, and my hon. Friend the Member for Bristol South (Karin Smyth) will talk later about the pressing importance of a decision on the medical school there. Decisions are required on the upgrading of the A5 and the A6 and on higher and further education. This might sound like a trivial issue, but decisions are required on sewers in Belfast. The sewerage system in Belfast requires £800 million. People may wonder why that matters, but from 2021, no new facility will be connectable to that water and sewerage system. We want to see the Belfast city deal bring in new offices, industries and hotels, but that will not be viable if the sewerage system is not capable of taking them on board. That is not a joke; it is very serious.

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Gregory Campbell Portrait Mr Gregory Campbell (East Londonderry) (DUP)
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It is a pleasure to follow my right hon. Friend the Member for East Antrim (Sammy Wilson). I am afraid, as far as the Northern Ireland Office is concerned, I will continue on the issue of the lack of transparency and scrutiny. At the nub of this—it is felt across the House and I know it is shared in Northern Ireland—is the fact that these are important matters that need to be dissected and examined, but the level of scrutiny we are able to subject them to will be minimal indeed.

I want to begin with the political outlook. Unfortunately, we are in the position we face today only because we do not have a devolved Government in Stormont, and we have now been in this limbo for two years and several months. Part of the reason why we continue to be in this limbo is that Sinn Féin, which brought the Stormont institutions down by the resignation of the then Deputy First Minister, has for some considerable time established a series of red lines in relation to going back into government.

However, as indicated by the Opposition spokesperson on Northern Ireland, the hon. Member for Rochdale (Tony Lloyd), Sinn Féin, in the words of its leader, Michelle O’Neill, has now copper-fastened that approach. I have to say that part of the reason why it has copper-fastened that approach is that the lack of decisive action from the Government in this place in confronting its previous intransigence has only emboldened it to be more intransigent.

Not only do those in Sinn Féin say, “Well, we’ve gotten away with two years of saying we’re not going back into government until we have certain unreasonable demands met, and we must have them met, pocketed and banked before we go in”—they have got away with that, and we have simply continued this limbo period—but they have now established yet further red lines in relation to even going in to talk about how we get the Government up and running. I am afraid that a considerable amount of blame can be landed on the desk of the Northern Ireland Office for not confronting the Sinn Féin approach.

We are in a situation that is neither fish nor fowl, with neither direct rule nor local rule, as my right hon. Friend the Member for East Antrim put it. Our constituents are talking about education, health and a whole series of local projects that could be delivered and asking what we are doing to try to help deliver them. Our answer is that we can do very little and that we want to get Stormont up and running. I know colleagues of mine met a series of principals in the education sector just a few weeks ago, and the principals were unanimous in their demand that something had to be done to rescue their sector from an impending crisis, as we hear in the Northern Ireland Affairs Committee week after week. Yet my colleagues had to say, “We’re ready to enter Stormont today, tomorrow or next week, but unfortunately others are not.”

We find ourselves in this bind, without either direct rule or devolved government. We are stumbling into a crisis week by week, month by month. Although there are a number of local issues, people are also demanding action on broad, encompassing issues. I know that the Secretary of State made it clear that certain matters of departmental spend were not her prerogative or that of the Minister of State, and I understand that, but nevertheless we are left in a bind with something that cannot deliver and that is inadequate in what it does deliver.

Many parts of Northern Ireland are teetering on the cusp between the crisis that is ahead of us and a remarkable breakthrough. My hon. Friend the Member for Strangford (Jim Shannon), who is not in his place at the moment, talked about his constituency. For the first time in 70 years, the Open golf tournament will return to my constituency and the Royal Portrush golf club. There will be almost 200,000 visitors to that tournament, 30% from outside Northern Ireland and the Republic. A considerable number of that 30% will be high-net- worth individuals.

I have been pressing Invest Northern Ireland to ensure that when those people arrive, we do what we can to maximise any inward investment potential. At this point, I pay tribute to the outgoing chief executive of Invest Northern Ireland, Mr Alastair Hamilton. He has spent 10 years in his role and has performed a manful, dutiful task over and above what would have been expected of someone in his position. So much more could be achieved in the next few months. The Open golf tournament takes place in July, and I would hope that Invest Northern Ireland would be campaigning and pressing inward investment buttons for opportunities that could be opened up as a result of it.

I have referred in this House to the private sector Heathrow logistics hub process, which is taking a further step forward. If it is a successful operation in the part of the United Kingdom that is Northern Ireland, it will deliver thousands of jobs. Here we are on the cusp of a breakthrough, with a combination of things that could deliver. Others have mentioned connectivity, and I think of the potential at all of our airports. Londonderry airport can expand, and we have a public service obligation that could help to deliver additional routes. That can only happen if we have ministerial direction and ministerial cover to ensure that all the possibilities are taken advantage of. We have other rail routes and road routes. All can help to deliver job infrastructure developments, which are there now but cannot be fully developed because of the lack of a devolved Government.

As I said, there are two overarching sectors that pervade the Northern Ireland Affairs Committee week on week—education and health. We hear the messages of complaint. We hear the dire consequences that are ahead of us. I do not want to unduly be a prophet of gloom, but the health sector came through the current winter crises and pressures because of the relatively mild winter. It came through it in a poor state, but not in a crisis. Next winter, however, if emphatic action is not taken either at Stormont or here, I am absolutely certain that we will not come through unscathed in the way that we have in the winter that is hopefully just ending. The overall Bengoa-style review is required to give emphasis and impetus to an overarching exchange and development of our health service to meet the demands of the 21st century. Without taking that into account, we are facing an impending crisis in the health sector.

Every one of us, every week, hears from schools, principals and vice-principals about the escalating catastrophe that is the education sector. That will worsen and deepen in the coming weeks and months unless we have ministerial involvement either in this place or in Stormont. Unfortunately, to date, Sinn Féin’s feet have not been held to the fire. We want to get a devolved Government back up and running. We know and accept that the process for that devolved government is not ideal. It is not our No. 1 priority in terms of what we would like to see, but it is the only show in town, so either we deliver a mechanism through Stormont or moves will have to be made here in the Westminster Parliament. One thing is for sure: we cannot and we must not—the people will not allow us—allow the position that currently pertains to go on for very much longer.

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Karin Smyth Portrait Karin Smyth
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I understand that the reports of the Comptroller and Auditor General for Northern Ireland are currently not being scrutinised in the way that we would expect here. If the Public Accounts Committee was to undertake that role, it would be a very serious change to constitutional arrangements. The actuality discussed by the Chair of Northern Ireland Affairs Committee and others is that there needs to be some sort of process. I am not sure whether this is the right process, but I agree that there needs to be some sort of process for the reports already coming out of Northern Ireland that are highlighting some serious problems.

I make no judgment about the work of the Northern Ireland Office, the civil servants in Northern Ireland and the many public servants trying to continue to deliver services, but the lack of scrutiny and analysis of that money, and our incapacity to challenge, means that that huge area of spend, involving UK taxpayers’ money, is receiving less attention than school budgets get when we audit them. We know—this has been reinforced—that there are huge problems under the headings of this debate. As my hon. Friend the Member for Rochdale (Tony Lloyd) said, the Opposition want the Department to make progress on the Hart inquiry, victims’ and survivors’ pensions, and the medical school at Ulster University. I recently visited the team behind the project to progress the medical school in Derry/Londonderry. The scale of the work to date, and their ambition for their city and region, is to be commended, and the Secretary of State must find a way to support them. We have the ridiculous situation in which civil servants can support the business case but not agree the funding, because that is beyond their powers and would be considered a reallocation.

Why is a medical school important? The Government are proud of their announcement of new medical schools in England. The areas chosen need those schools because we need the recruits. As the chief executive of Health Education England said when the announcement was made—MPs in those areas know this—

“studies show that doctors tend to stay in the areas where they train so it means more doctors for the region to deliver high-quality care.”

In Northern Ireland, the locum bill is more than £80 million per annum and rising—an increase, according to the Bengoa report, of more than 78% in five years. It is clear that Northern Ireland needs to be training more of its own doctors and other clinical staff. It also needs to pay them properly, but the rates of pay of those staff are falling behind those in the rest of the UK.

Gregory Campbell Portrait Mr Gregory Campbell
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I commend the hon. Lady for raising the issue of the medical school. Does she agree that there is an urgent need to develop not only the medical school in Londonderry but the veterinary school in Coleraine for precisely the same reasons, albeit in a different sector?

Karin Smyth Portrait Karin Smyth
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I am grateful to the hon. Gentleman for making that point. I have not been able to visit that project, but I would very much like to. I agree that investing, training and keeping people local is an important and valuable symbol.

I recently visited the stunning new Omagh Hospital and Primary Care Complex, which is part of the Western Health and Social Care Trust. It is doing great work across the area to manage the challenges of rising demand and costs, which all health systems face. Its top issues of concern are the availability of medical staff and the huge amount of money being spent on locums. To ensure cover across Northern Ireland, precious resource is being spread far too thinly. I ask the Minister to tell us whether the Government will direct the Ministry of Justice to support the Lord Chief Justice’s call for funding, and whether he will progress the medical school, which is time-critical.

Some 46% of the Northern Ireland budget is for healthcare, and the history of reports and recommendations is decades-long. Most recently, Professor Bengoa’s report referenced the renowned academic Professor John Appleby, who found that Northern Ireland’s spending is roughly 11.5% higher than in England, but there is roughly an 11.6% higher level of need. The service is broadly funded as well as the rest of the UK, but there are significant disparities. In particular, mental health need is recognised to be about 44% higher than in England, but per capita spending is sometimes 10% to 30% lower. That led to the conclusion that the problem is not the level of funding but how it is being used to deliver services. Today, we are no further forward in addressing that problem. Spending on the acute sector continues to grow. Having a large number of small buildings is expensive and, most importantly, is not fit for the high quality, 21st century care that we should all be expecting across the United Kingdom.

The Bengoa report opens with a quote from the former chief medical officer, Sir Liam Donaldson:

“A proportion of poor quality, unsafe care occurs because local hospital facilities in some parts of Northern Ireland cannot provide the level and standards of care required to meet patients’ needs 24 hours a day”.

What action are the Government taking to address that problem?

The Minister of State and I share a health geography in the south-west. His local hospital is undergoing difficult and controversial changes. He understands the safety issues and the need to make difficult choices about changes to small hospitals and the transformation to different models of care and to greater specialisation at large acute trusts. In his remarks, he needs to reassure people in Northern Ireland, just as we seek to reassure our constituents here in England, about quality of care. He needs to assure us today that the extra money for health is not just covering continuing inefficiencies and deficits, but is doing something to improve services and, above all, that patient safety is paramount.

Previous allocations as part of the confidence and supply money are of course welcomed by people in Northern Ireland, but one-off payments are no way to transform a health system. I recently heard about a preventive cardiology pilot working upstream with GPs. Money for successive years is not known and the trust is expected to continue funding it as part of its mainstream budget. It is not possible to transform healthcare to meet demands in the 21st century on one-off moneys, and it is a very poor use of taxpayers’ money as well as of the staff time spent proposing and developing new bids.

The next greatest area of spending is education, which has dominated today’s debate. As mentioned, the Northern Ireland Affairs Committee has had an informative session on education spending in the last few weeks, and last week again discussed the much reported recommendations to improve education outcomes in Northern Ireland. Sir Robert Salisbury, who gave evidence last week and reported in 2013, told us six years ago that the system was living beyond its means, and he gave the example of the six post-primary schools in Omagh, which has a similar population to his native Nottinghamshire, which has two.

The Education Authority, which has been referenced this afternoon, has a £90 million deficit largely because of special educational needs spending, which has also been addressed this afternoon. Schools are managing very high levels of mental ill health and, sadly, of suicide and self-harm among children, as the hon. Member for Strangford (Jim Shannon) highlighted. As I mentioned earlier, the poor funding of mental health services as part of the overall health budget is exacerbating the problem.

There is a large deficit in schools, as the hon. Member for East Londonderry (Mr Campbell) just said, and the budget is an escalating catastrophe. There are also high levels of achievement, as referenced in the Select Committee last week, and what is described as a long tail of underachievement. There are an estimated 60,000 to 70,000 empty desks in Northern Ireland, two teacher training colleges and two separate statutory planning authorities. The Integrated Education Fund, which I have visited recently, has called the system divided and costly.

I hope that the Northern Ireland Affairs Committee report will shine more light on education spending, but many of the calls have been for a Bengoa-type review. As noted, however, we already have a Bengoa review of health, and without the political oversight and will, it will not make the change. The end of the Committee’s session finished on a depressing note, as the Northern Ireland Commissioner for Children and Young People reported that there needed to be an honest conversation about the allocation of funding within the Department of Education but that there was no appetite for that.

We in the Labour party continue to support the need for integrated education as part of the long-term route to reconciliation in Northern Ireland, and I know that the Integrated Education Fund hopes to visit here in the summer to share with Members the work it does and the challenges faced. It would be good to see some of its thoughts put to the Northern Ireland Affairs Committee in its final report.

Beneath the figures that we are rushing through tonight—without proper process and security—lies the future of Northern Ireland’s children’s hopes, dreams and aspirations and of the people needing treatment and care from the NHS who now find themselves on record length and totally unacceptable waiting lists. We will of course support the budget tonight, so that public services can continue, but the people of Northern Ireland deserve much better than this.