(7 months ago)
Commons ChamberThe hon. Member makes an extremely powerful and useful point. The businesses that I have spoken to in Northern Ireland support Northern Ireland’s access to the EU market. In choosing to pull or not pull the Stormont brake there are many considerations, which I am sure elected politicians in Northern Ireland will take into consideration. Let us be honest: it depends on what we are talking about. What impact will it have? Will it have a really bad effect, in which case people might reach for the brake? Other times it may be a perfectly sensible change and nobody needs to worry about it. But there is a mechanism that gives Northern Ireland politicians and the Assembly the chance to decide between the two.
Further to that point, which is a very good one, would the EU not decide to use its powers if Stormont tried to use the brake too often and change the amount of EU law that applied?
The Stormont brake was the result of a negotiation between the Government and the European Union. It was a really big step forward—it is why we are having this discussion now, and I support it. Anything is possible in the future with regard to what one or another party that is engaged in continuing discussions and negotiations may seek to do, but we have a deal with the European Union and it expects us to honour the Windsor framework—a point I have made in the House many times before—and we would expect the EU to do entirely the same. Nobody can guard with absolute certainty against what may happen in the future; we have to deal with the world as it is today.
(7 months, 1 week ago)
Commons ChamberI am grateful for that intervention. I believe strongly in Northern Ireland’s place as part of the internal market of the United Kingdom. Since I took up this position, I have repeatedly made it clear that I will support any measures that reinforce that place and make it clear, but that are also consistent with the international commitments that the Government have signed up to.
Can I just pick the hon. Gentleman up on what he said initially? I am not arguing at all for a majoritarian position. I believe in power sharing—I am as wedded as the Secretary of State to the letter and spirit of the Good Friday agreement. I am making a point about the responsibility of politicians to participate in that power-sharing arrangement, and I would make those remarks equally to those who have collapsed the institutions previously and the current cause of the collapse, because in the end it is not in the interests of Northern Ireland to not have a functioning Government. I would like to clarify that.
The right hon. Gentleman is raising a very important point. The whole point of the agreement and of power sharing is that it is based on consent, so how can the Unionist community consent to lawmaking by the EU in which that community does not participate and has no influence?
The right hon. Gentleman asks a very pertinent question, but that is a consequence of a course of action that I personally did not think was a terribly good idea and he thought was a good idea. The moment we left the European Union, everybody knew that there would be a problem that had to be addressed. To keep that open border, there were only two practical propositions. The first was proposed by the right hon. Member for Maidenhead (Mrs May), the former Prime Minister: she came up with a scheme to try to keep the whole of the UK within the arrangements of the single market, having announced that we were leaving the single market. That did not work out, so the second option was to do the same in respect of Northern Ireland. That is where we are, and the Government eventually negotiated the Windsor framework, which is an important step forward. These things are going to have to be worked through.
Really, what we are talking about is the operation of the green lane. Everybody agrees with the red lane: if goods are coming into Northern Ireland to then head off to the Republic, of course they should be checked, and that is what the red lane is for. We are debating the operation of the green lane. The question is whether it makes sense for there to be no power-sharing Government institutions—no Assembly and no Executive—in Northern Ireland because of a debate and an argument about the operation of the green lane. My very strong view is that that is not sufficient reason not to have a functioning Government.
I will conclude just by saying that the people of Northern Ireland have been waiting long enough, and now is the time for everyone to get back to work.
(6 years, 10 months ago)
Commons ChamberI shall come on to that point at the end of my remarks.
Thirdly, it is hard to believe that all the material has the potential to undermine our negotiating position. I would be intrigued to know how reports on museums, galleries and libraries, and crafts or real estate, could contain information of such sensitivity that it would create difficulties for the Secretary of State when he next meets Mr Barnier.
On property, if there was an entirely bogus forecast of big job losses and a collapse in commercial property, it would be silly to publish that, as, first, it would be wrong and, secondly, it would be negative for our position.
(7 years, 10 months ago)
Commons ChamberI say gently to the right hon. Member for Wokingham (John Redwood) that, listening to what he just said about the single market, one could easily forget that the late Baroness Thatcher was one of its great advocates.
The debate thus far has demonstrated that some Members find it rather difficult to leave behind the arguments and stances taken during the referendum. We must, as my right hon. Friend the Member for Doncaster North (Edward Miliband) pointed out, respect the decision of the British people. We have to implement it and negotiate an agreement that works for the whole country. In seeking to do that, we have to try to heal the wounds and calm the fears that have been created, in particular on the part of the 48%.
The right hon. Gentleman said that the late Baroness Thatcher was a fan of the single market. He should know that, as her adviser, I advised her not to give up the veto in order to create it. She did not accept my advice, and I think she came to regret that.
I think the House is grateful for that history lesson. I hope the right hon. Gentleman will forgive me if I do not take his advice either on some of the arguments that he has advanced in his speech this afternoon, although I respect the position that he has long held.
I support the calls from all parts of the House for proper scrutiny and accountability, especially given the scale of the task that we face, which was set out very clearly by my hon. and learned Friend the Member for Holborn and St Pancras (Keir Starmer). I am talking about the basis on which we will trigger article 50, continued access to European markets for our industries, future arrangements for immigration and maintaining co-operation with our European neighbours in areas where that co-operation has benefited both of us.
There are four things that we need to consider as we undertake that task. One is to minimise uncertainty—a word that we have heard a great deal of in this debate. The second is to be clear about the timing and the content of the negotiation. The third is to protect the things that we value that have come from Europe, and the fourth is to think creatively about how we build a new kind of relationship with Europe as we leave the institutions.
(9 years, 2 months ago)
Commons ChamberI am delighted that the Labour party now agrees that the British people deserve a choice and a vote, but does the right hon. Gentleman not understand that the British people want a very substantial reduction in migration into this country, and does that not require this Parliament to regain control of our borders from Brussels?
We agree that the European Union needs to change. Like many people, we want to see reform in Europe on benefits, transitional controls, the way the EU works and how it relates to national Parliaments. We also want to see the completion of the single market in services to boost jobs and economic growth here in the United Kingdom. We need to co-operate to achieve those things, but the EU needs to recognise that there is a growing demand across societies in Europe for greater devolution of power at the same time. We need to co-operate and devolve, and the EU’s task in the years ahead is to reconcile those two forces.
(9 years, 6 months ago)
Commons ChamberI agree and I shall come to that point, too, when I talk about the consequences of what has happened for health and social care more generally.
The shadow Secretary of State is usually very fair-minded, so does he agree that the largest local authority service is education, which has over the past five years had cash increases and small real increases in spending, and that the biggest local public service is the NHS, as administered locally, which has had real increases as well? Were they not the right priorities and would not his party have shared exactly that priority of protecting health and education?
Indeed. If one looks back at the record of the previous Labour Government, one can see that that is precisely what we did. In fact, we increased investment in those two things as that reflects public priorities. Of course, Government life is about the choices one has to make and one of the choices the Government have not made is to publish the figures that the NAO has asked them to publish. I suspect that Ministers know what the figures are and know that they will damage their argument that this is a settlement that is fair to all, north and south, and therefore do not want to reveal what is happening. We also know that the NAO has criticised the Department and Ministers for not paying close enough attention to what is going on. Again, those are not my words but those of the National Audit Office, which said:
“The Department has a limited understanding of the financial sustainability of local authorities and the extent to which they may be at risk of financial failure.”
That is why the Public Accounts Committee said:
“The Department does not understand the impact over time of reductions in funding to local authorities, and the potential risks of individual authorities becoming financially unsustainable if reductions continue.”
On current trends, the revenue support grant will disappear entirely by 2019-20. When the Minister replies, will he confirm that that is the case? What assessment have the Government made of the impact of that on the viability of local authority services, particularly in the areas most reliant on Government support? Indeed, I ask Members to pause for a moment and contemplate their local authority’s budget without any revenue support grant whatsoever. The Chair of the Public Accounts Committee was very clear when she said recently:
“Further cuts could not just undermine the entire viability of most optional services, but might threaten some statutory services in these areas.”
If we get the opportunity after a certain event on 7 May, I would be very happy to receive representations from the hon. Gentleman and everyone else, because when I say that we want to achieve a fairer funding mechanism, that is what I mean.
In return for this economic devolution deal, all we ask is that local government comes together to form combined authorities across England. Their shape will vary from place to place, because economic geography and travel-to-work areas vary. This is a challenge to local government. Local government says to all politicians, “Trust us more.” Well, we would trust local government more. We would say, “Get organised, and significant devolution of funding is on offer in return.”
Will the right hon. Gentleman give way?
(10 years, 10 months ago)
Commons ChamberThe Bill might appear to some to be rather dry—[Hon. Members: “No!”] I am relieved to hear that.
As the Secretary of State has said, the Bill principally concerns how we ensure the probity, economy, efficiency and effectiveness of the spending of billions of pounds of public money. As we have heard, it might be said that the Bill, introduced by one of the late Baroness Thatcher’s great supporters, seeks both to extend, through greater transparency in council meetings—the subject of her private Member’s Bill, as the Secretary of State has reminded us—and to overturn, through the abolition of the Audit Commission, part of her political legacy. The Audit Commission was of course set up by the noble Lord Heseltine. As he explained in his autobiography—it is important to remember this:
“I thought it wrong in principle, as the 1976 Layfield Report had said, that councils should be able to appoint their own auditors. Awkward auditors do not get reappointed.”
That was his judgment.
Lord Heseltine’s creation did have achievements to its credit, although we did not hear them from the Secretary of State. It contributed to savings in local government and it developed value-for-money comparisons. I think I am right in saying that it was the Audit Commission that appointed John Magill under section 13 of the Local Government Finance Act 1982 to investigate Shirley Porter and the homes for votes scandal in Westminster.
On the point about the value-for-money component of the audit, I and a friend of mine, John Hatch, wrote that idea up and persuaded Conservative Ministers to introduce it. It did not come from the Audit Commission.
No, the Secretary of State does not know his own Bill and he does not want to hear what his Conservative colleague, Sir Merrick Cockell, has to say about it.
Members should remember what the code says. Paragraph 15 states that local authorities should
“avoid anything likely to be perceived by readers as…being a commentary on contentious areas of public policy.”
High Speed 2 is contentious, as are hospital closures, the removal of fire engines, and whether Heathrow should expand. Is the Secretary of State really saying that there is something wrong with local councils representing the views of their residents? Sir Merrick’s conclusion is that clause 38 “sets a dangerous precedent”. I could not agree more.
The National Union of Journalists says:
“There is no evidence that extra statutory powers are required”.
The National Association of Local Councils opposes clause 38. Birmingham city council said in its response:
“we do not accept the government’s starting point.”
Exactly!
We all understand that it can be desirable for councils to run political campaigns and that it will certainly happen. Is not the point that they can do so in the usual way—by making speeches in the council chamber, talking to journalists, getting it in the local media and putting it on free websites—but not through paid-for propaganda?
Let us take the case of High Speed 2 and the concerns that have been expressed by some of the right hon. Gentleman’s colleagues about the route. Is he saying that local councils should not be able, on behalf of their residents, to express a view, to make representations and to say that they want the route to be changed? If he is not saying that, I do not see how he can support clause 38, given the advice that the LGA has taken.
No, I have been very generous in giving way.
The great localist is, in this Bill, asking to be given a great big blue pencil so that he can cross out things that he does not like.
(11 years, 10 months ago)
Commons ChamberDoes the shadow Secretary of State agree that, given the weakness of the banks and the problems in the credit markets, section 106 deals will be far less generous than they were prior to the boom going bust?
Of course, and the fact that local authorities have been willing to renegotiate the section 106 affordable housing requirements is proof of that—[Interruption.] Well, lots of them have done so, and no doubt the planning Minister will tell us about those that have not.
(12 years, 6 months ago)
Commons ChamberI welcome this opportunity to debate local government finance. I am conscious that we are entering a world of strange language—gearing and damping, floors and ceilings—and the Minister did not disappoint. I was slightly surprised, however, to hear so much about Greece and Italy, Ireland and France. Unless I am very much mistaken, when I last checked, those countries were not part of the local government funding settlement, but I stand to be corrected.
Local authorities provide services on which we all rely, and what they do has a huge effect on the quality of life of the citizens we represent and on the neighbourhoods in which they live. They are now having to deal, as every Member knows, with the biggest cut in resources that we have ever seen in our political lifetime. Councils have been forced to absorb a reduction in formula grant of almost 19.3% over the two years of the spending review. The cuts have been front-loaded. What that means, as the Local Government Association has pointed out, is that local government has borne the brunt of the reductions in the spending review rather than the burden being shared equally with other parts of Government.
Having heard the Minister’s contribution, it seems that he is still living on a completely different planet from the one on which communities and their councils have to exist. As the Institute for Fiscal Studies confirms, the total cuts to local government spending will outpace those of the public sector as a whole up to 2014-15.
We are discussing £72 billion in aggregate Exchequer finance for this year and next year, which is £1,200 for every man, woman and child in the country. That has to be taken off them in taxes in order to pay to local government. Will the right hon. Gentleman tell us how much more his party would like us to take off every man, woman and child in the country to make that Exchequer finance bigger?
My response to the right hon. Gentleman is that we would not cut so far and so fast, as he knows. We would certainly not have distributed the cuts in the fundamentally unfair way that this Government have done.
My hon. Friend is right. It is quite shocking that the Government have done this knowing what it will do, but at no time have they apologised, as they should, for the unfair way in which they have allocated these cuts, but it is time they did, because it is now clear that far from all of us being in it together, some are much more in it than others. This is not just about local authorities, because the same is true of funding for the fire service, which we are also discussing.
The right hon. Gentleman said that East Dorset and Basingstoke will gain money, but those districts do not get the increases for education and other county services. We are asked to approve a fall in East Dorset from £2.75 million to £2.5 million—a 10% fall—and a fall in Basingstoke from £6.74 million to £6.25 million, which is also quite a big fall because those districts will not get the other increases.
The right hon. Gentleman obviously did not listen carefully enough to the point I made. If he has not seen the figures produced by Newcastle city council he should do so, because it has looked at the impact of the cuts over three years and has taken account of transition grant and the new homes bonus allocation. In other words, it has looked at the total effect on those authorities of all the decisions the Government have taken, and that is what the figures show.
In relation to the fire service, there are brigade areas with a very high rate of incidents, such as Merseyside, Cleveland, Greater Manchester and West Midlands. What is happening to them? They are all facing reductions in funding per head, whereas areas with a lower rate of incidence, thank goodness, such as Hampshire, Royal Berkshire, and Hereford and Worcester, will get increases in their funding per head for the fire service. What that means for the losers is that fire stations are closing, pumps are going and firefighters are losing their jobs.