EU Tariffs: United States and Northern Ireland Economy
Debate between Hilary Benn and Lindsay Hoyle(1 week ago)
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The Secretary of State for Northern Ireland (Hilary Benn)
I am grateful to the hon. Gentleman for his question. As the Prime Minister has said, tariffs are not good news for anyone and no one wants a trade war. The Government are doing everything possible to keep Britain secure during this new era of global instability, and we will always act in the best interests of businesses in Northern Ireland. As part of our customs territory and internal market, Northern Ireland exporters are facing a general 10% US tariff and a 25% tariff on steel, aluminium and cars, like other exporters across the United Kingdom. Northern Ireland is not therefore uniquely disadvantaged. We are, of course, preparing for the EU’s next move and any possible retaliatory tariffs that it may or may not introduce, as well as considering the impact that new EU tariffs would have on Northern Ireland businesses importing from the United States of America, because under the Windsor framework, the EU tariff would apply.
As hon. Members will know, however, because of the Windsor framework, businesses can reclaim any such tariff through the existing duty reimbursement scheme in cases where US imports into Northern Ireland do not then enter the European Union. The customs duty waiver scheme also allows duties to be waived entirely, subject to an overall limit. These schemes work in our national interest, and His Majesty’s Revenue and Customs is continuing to talk to and support any businesses that might be affected, to help them understand how to use the duty reimbursement and customs duty waiver schemes. The Minister for the Cabinet Office has talked about all this with EU counterparts in recent days, because the Government are fully aware of how sensitive this issue is for businesses in Northern Ireland. What we need in these circumstances is a calm and considered response, and that is what the Government will continue to provide.
Alex Burghart
Thank you very much, Mr Speaker, for granting this urgent question. It is incredibly important that this House has the opportunity to question the Government on this issue before the Easter break and before the implementation of these tariffs. I have enormous respect for my opposite numbers in the Northern Ireland Office, but it is totally unacceptable that we should have got to this stage in proceedings without a Minister coming to the House to update us on the likely impact on businesses in Northern Ireland of this emerging tariff war between the US and the EU. As the House will know, this comes off the back of the considerable damage done to the economy in Northern Ireland by the Budget last year, by the increases in national insurance contributions and by the changes to the national minimum wage, which have completely undermined business confidence and which are driving unemployment in the region.
I ask the right hon. Gentleman to answer the following three questions. First, a week on from the United States’ announcement and some time after the EU’s publication of a 99-page draft of its tariff responses, have the Government now done an impact assessment of what this means for the Northern Irish economy and for businesses in Northern Ireland, and will he publish it?
Secondly, he rightly mentions the duty reimbursement scheme, which would allow businesses taking goods from Great Britain to Northern Ireland and having to pay the EU tariff to reclaim that tariff. That scheme is now going to be put under enormous pressure. It is going to have to deal with volumes not foreseen when it was originally put together. Does the Secretary of State have complete confidence that it will be able to reimburse businesses in a timely fashion so as not to disrupt trade?
Thirdly and finally, because Northern Ireland remains within the EU customs code, affected Northern Ireland businesses buying affected goods will have to pay EU tariffs, but the same competitive businesses in GB will not. What are the Government going to do to ensure that such businesses are not left disadvantaged, and that we do not see serious distortions of trade? With that in mind, will the Secretary of State confirm to the House that in the event that we see a major diversion of trade, his Government will be prepared to use article 16 of the Windsor framework, which allows the Government to take decisions to ensure that businesses in Northern Ireland are not damaged? It is incredibly important that businesses hear from the Secretary of State that the Government are prepared to protect them in the event that this tariff war creates a diversion of trade for business there.
Hilary Benn
Indeed, but we touched on this matter in Northern Ireland orals last week, and the Business Secretary made a statement to the House last week.
To answer the hon. Gentleman’s questions, of course the Government have been preparing for and looking at all eventualities, but until we know what the EU retaliatory tariffs are, it does not make much sense to publish speculation about their potential impact.
On the duty reimbursement scheme, I have met HMRC officials, because I agree with the hon. Gentleman that it is important that the scheme works effectively, depending on the number of Northern Ireland businesses that are affected, to reimburse tariffs. I would just say, however, that Northern Ireland imports about £800 million-worth of goods from the United States of America, which is about 2% of Northern Ireland’s total purchases. That impacts upon his third question. We are going to have to take this a stage at a time. The Prime Minister has made it quite clear that he will do what is in the national interest to protect our businesses, our companies and our economic future, but it is precisely because of the Windsor framework that the duty reimbursement scheme exists.
Hilary Benn
As I indicated in answer to the Opposition spokesperson, of course the Government have been preparing for all eventualities, but as I also indicated, there is no point in publishing something that is not based on the actual tariffs that the EU decides to impose. Therefore, it is sensible to wait until that moment arrives.
Secondly, the EU will take such action as it determines to be in its interests in response to the 20% tariffs that the United States of America has imposed on the EU in addition to the tariffs on steel, aluminium and cars. Let us not forget that the Windsor framework gives Northern Ireland businesses unique access to the European market, which is not something that is enjoyed by businesses in Great Britain.
Dr Al Pinkerton (Surrey Heath) (LD)
As the Financial Times reported at the weekend—and as I think the Secretary of State has just confirmed—in the event of EU retaliatory tariffs, goods imported from the United States into Northern Ireland will by default be effectively forced down the red lane. That, of course, means additional customs checks, time and red tape and, in the event of their imposition, EU tariff rates for goods coming into Northern Ireland, irrespective of their ultimate destination. That risks a scenario where Northern Ireland importers are penalised more than almost any other businesses in either the UK or the EU, first at the border and then in administering the reclamation of those costs.
Let us be clear: this chaotic situation is entirely the consequence of Donald Trump’s destructive trade war. What are the Government doing to ensure that President Trump and the US Administration are alert to the deeply destabilising effects of their tariffs policy on the Good Friday agreement and the prospect of peace in Northern Ireland? What active steps are the Government taking to mitigate the potential disruption to Northern Ireland businesses that are now unwittingly caught up in Donald Trump’s trade war?
Oral Answers to Questions
Debate between Hilary Benn and Lindsay Hoyle(1 week, 6 days ago)
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Hilary Benn
We are going to have to wait and see what the US Administration decide. As I have already indicated, the Government will take the steps that are necessary in the national interest, but we are seeking to negotiate an agreement, and that work is continuing, notwithstanding what is announced later today.
Alex Burghart (Brentwood and Ongar) (Con)
As the House has heard, we are expecting Washington later today to announce the biggest changes to its tariff regime in a generation. That may cause huge disruption to industry and business throughout the United Kingdom, and that disruption may be particularly felt in Northern Ireland. What guidance have the Government provided to businesses in Northern Ireland to help them prepare for different scenarios?
Hilary Benn
I would point out to the hon. Member that the previous Government left—[Interruption.] However much they may deny it, the previous Government left a fiscal black hole that had to be filled. The increase in expenditure resulting from the autumn Budget is helping to fund, in part, the record settlement that the Northern Ireland Executive have got for 2025-26.
Tonia Antoniazzi (Gower) (Lab)
The Committee will soon publish our first report to the House on the funding of public services, and the issue of revenue raising by the Executive continues to be highlighted. What conversations is the Secretary of State having with the Executive to help deliver longer-term financial sustainability in Northern Ireland?
Hilary Benn
I have regular discussions with the Executive about the financial situation and about their plans. The truth is very simple: all Governments around the world, including the Northern Ireland Executive, have choices to make, with the resources available, as to whether they seek to raise revenue to fund more things, including further investment in health. Those are choices for the Executive to make, but if they do not make those choices, they will have less funds than would otherwise be available to them.
Hilary Benn
Of course the increase in employer’s national insurance will be difficult for some firms—that is clearly the case—but, as I said, the North Ireland economy is growing faster than the rest of the United Kingdom and has low unemployment. The rest of today’s questions time has highlighted the huge areas of potential that the Northern Ireland economy has to continue to grow and create new jobs and businesses.
Mike Wood (Kingswinford and South Staffordshire) (Con)
The Northern Ireland Farming Minister estimates that three quarters of dairy farms in Northern Ireland could be hit by inheritance tax following the Chancellor’s disastrous changes. Given the particularly high cost of agricultural land compared with farming incomes in Northern Ireland, does the Secretary of State recognise that the Budget is a direct threat to family farms and thousands of livelihoods across Northern Ireland?
Oral Answers to Questions
Debate between Hilary Benn and Lindsay Hoyle(1 month, 2 weeks ago)
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Hilary Benn
As I indicated a moment ago, I look forward to the Executive adopting a programme for Government. I am aware of what happened earlier today; I am confident that another meeting will be arranged, and I look forward to seeing the programme adopted.
Alex Burghart (Brentwood and Ongar) (Con)
The Government’s decision to repeal the Northern Ireland Troubles (Legacy and Reconciliation) Act 2023 will mean reopening many inquests and civil cases. Many of those cases will impact on the police. Does the Secretary of State accept that that will mean a significant cost to the Police Service of Northern Ireland?
Hilary Benn
The Government have provided additional funding to the PSNI in the autumn statement through the additional security fund. I have read the Policy Exchange report, and it contains a lot of speculation about numbers. The fact remains that the legislation supported by the Government, of which the hon. Gentleman was part, has not worked; it was flawed and found to be unlawful. I am afraid that the Opposition will have to recognise that at some point, and it needs to be fixed.
Dr Al Pinkerton (Surrey Heath) (LD)
Pharmacies in Northern Ireland are in a declared state of crisis. Pharmacists are having to dip into their savings just to stay afloat, and they are cutting staff numbers and opening hours. The National Pharmacy Association, which represents 6,500 community pharmacies, has warned that its members may have to further cut opening hours, halt home deliveries and reduce local support services, and that warning is amplified in Northern Ireland. What conversations has the Secretary of State had with the Northern Ireland Executive to safeguard access to crucial pharmacy services across rural and urban regions? Does he agree that an urgent impact assessment on pharmacy underfunding is required to highlight the scale of the crisis for community pharmacies, which provide vital-to-life services?
Hilary Benn
The whole House will have profound sympathy for all the victims of Gaddafi-sponsored IRA terrorism, and all the victims of the troubles. The Shawcross report was commissioned by the last Government as an internal report, and decisions on the report and its future are currently under review by the FCDO.
Mike Wood (Kingswinford and South Staffordshire) (Con)
People throughout the United Kingdom will be disgusted if former terrorists such as Gerry Adams receive compensation from the taxpayer because of Labour’s decision to repeal the legacy Act without putting something in its place. Will the Secretary of State finally commit himself to legislating immediately to prevent that from happening?
Clonoe Inquest
Debate between Hilary Benn and Lindsay Hoyle(2 months ago)
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The Secretary of State for Northern Ireland (Hilary Benn)
On 16 February 1992, a heavily armed unit of the Provisional IRA carried out an attack on Coalisland police station armed with a 12.7 mm heavy machine gun and three AKM rifles. Approximately 60 rounds were fired, but thankfully no one was injured. Following the attack, the IRA unit proceeding to a car park where they were engaged by soldiers of the Army’s specialist military unit. This resulted in four men, Patrick Vincent, Sean O’Farrell, Peter Paul Clancy and Kevin O’Donnell, being shot and killed by the soldiers.
On 6 February, Mr Justice Humphreys, sitting as a coroner in the inquest into the circumstances of those deaths at Clonoe chapel, found that the use of lethal force by the soldiers was unjustified and that
“the operation was not planned and controlled in such a way as to minimise to the greatest extent possible the need for recourse to lethal force.”
The coroner further found that the soldiers did not hold
“an honest and genuinely held belief”
that the use of force was necessary to defend themselves or others.
These are clearly very significant matters that require careful consideration. I know that the Ministry of Defence is considering the coroner’s finding. Therefore there is, unfortunately, a limit to what I am able to say in relation to the findings themselves, particularly given that there is also an ongoing civil case relating to these events. However, it is clear the Government must take such findings very seriously. We owe a great debt to our armed forces—
Mr Speaker
Order. There is no sub judice to the case that you have just mentioned. We must be clear on that. So please let us not try to use that as a barrier. I just want to be clear on that.
Hilary Benn
I accept that entirely, Mr Speaker. I was merely pointing out, as I think your statement alluded to, that there is an ongoing civil case.
We owe a great debt to our armed forces. The vast majority of those who served in Operation Banner during the troubles did so with distinction. They operated in the most dangerous and difficult circumstances to protect the citizens of the United Kingdom. During the troubles, over 1,000 members of the security forces lost their lives in that endeavour. It is right that we hold our armed forces to the highest standards. We must also recognise the extreme circumstances that they faced. That is what sets them apart from the terrorist organisations who indiscriminately murdered over 3,000 people during the troubles.
Hilary Benn
That is a judgment that individuals and communities will have to make, having regard to what the coroner had to say. There have been a very large number of inquest findings in relation to the troubles, and the Government and I understand the concerns that have been raised by the coroner’s findings in this case.
The fundamental problem in Northern Ireland remains the legacy of the troubles and the fact that so many people still do not have an answer to the question of what happened to their loved one. I am afraid the previous Government made, in my view, a terrible mistake in deciding that civil cases and inquests would be closed off.
I also have to point out that the legacy Act did not prevent the possibility of future prosecutions, because it is possible, even under the law as it stands today, for prosecutions to be undertaken if the independent commission finds evidence that it thinks should be passed to the independent prosecution bodies.
Alex Burghart (Brentwood and Ongar) (Con)
Thank you for granting this UQ, Mr Speaker.
On a February night in 1992, four men—known terrorists—armed with semi-automatic weapons and a Dushka machine gun capable of firing 600 rounds a minute at a range of 1,100 yards had already attacked a Royal Ulster Constabulary police station and were planning further attacks. These terrorists called themselves an army, they carried weapons of war, they sought to kill, and they operated entirely outside the bounds of the law. Yet we are asked to believe that the use of lethal force against them was not justified. I am not a lawyer, but if this is the state of the law, then the law is an ass, and it is up to Parliament to change it.
What if this had not been on the streets of Tyrone? What if it had been on the streets of Birmingham? What if it had been in Parliament Square? Would we be asking why those men had not been arrested? Would we find it acceptable that the courts subsequently sought to punish those forces that had risked their lives for ours?
The consequences of this ruling are potentially very severe: military morale weakened, military recruitment reduced, military effectiveness diminished, and more retired servicemen in their declining years dragged before the courts for trying to protect their countrymen from terrorists. For the record, there is no Defence Minister on the Treasury Bench to hear this urgent question.
The last Government took steps to ensure that a line was drawn under court actions like the one handed down last week. This Government have said they will repeal that Act, but seven months into their tenure, they have brought forward no plans. When will the House see that legislation? When we do see it, will the Secretary of State ensure that it includes provisions to protect servicemen, such as those affected by the ruling, from prosecution?
The Secretary of State will have seen this morning the excellent report by Policy Exchange, which puts the costs of repealing the legacy Act at hundreds of millions of pounds. The return to inquests and civil cases will severely hit the budget of the Police Service of Northern Ireland. Without funding, that will inevitably reduce policing and affect national security. Will His Majesty’s Government commit to underwriting that liability?
I will end by saying that if we in this House think the law is not fit for purpose, it is our job, and ours alone, to change it. That is what parliamentary sovereignty means.
Hilary Benn
As I have previously indicated to the House, I am committed in all my discussions with many of those affected, including veterans, to finding a way forward that can command a degree of consensus in a way that the last Government’s legacy Act failed to do. I understand the strength of feeling being expressed in the House today—I really do—but there needs to be some reflection on how a piece of legislation came to be passed that engendered almost universal opposition in Northern Ireland. The people of Northern Ireland, who, after all, lived through the troubles, did not feel that that was the right way to proceed, and time and again it has been found to be unlawful. In other words, we were left with a mess and we are doing our best to try to fix it.
Dr Al Pinkerton (Surrey Heath) (LD)
I thank the right hon. Member for Goole and Pocklington (David Davis) for bringing this issue to the House. The Liberal Democrats are firmly committed to the principles of truth, justice and accountability. The violence carried out by the IRA during the troubles was abhorrent and inflicted deep suffering on communities across Northern Ireland. At the same time, upholding the rule of law is a fundamental principle that applies to all, including the actions of state forces.
The findings of the Clonoe inquest highlight the importance of due process and transparency in dealing with legacy issues. It is vital that families seeking answers about the past are able to access justice and that all events are subject to rigorous legal scrutiny. That is the only way to build trust and support a lasting reconciliation in Northern Ireland.
There has been immense progress in Northern Ireland since the Good Friday agreement and that progress was built on the principles of justice, democracy and accountability. We—all of us—must continue to uphold those principles if we are to secure a lasting and peaceful future for all communities.
The Secretary of State recently said that legislation to revoke the deeply flawed legacy Act, which does not command confidence across Northern Ireland, will be introduced when time allows. Will he offer details on when that might be?
Gavin Robinson
On a point of order, Mr Speaker. I do not believe that the Secretary of State would have intended to mislead the House, but I suspect that he may have misunderstood the point being made, and it has filtered into a number of his subsequent responses. In relation to the coroner and his powers, the point being made was that there are aspects of the judgment released on Thursday that are outwith the coronial law in Northern Ireland and outwith what would be expected of a judicial officer. I give the Secretary of State an opportunity to say not that the coronial law needs to change, but that the judgment does not sit within the remit and powers of the coronial system.
Hilary Benn
Further to that point of order, Mr Speaker. That is a judgment for others to make, if that is the view they take. I accept that the right hon. Gentleman has made that point, but it would be for others to consider it, and it may be a factor that the Ministry of Defence considers when it is looking at this set of rules.
Oral Answers to Questions
Debate between Hilary Benn and Lindsay Hoyle(3 months ago)
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Hilary Benn
I understand my hon. Friend’s concern. We will know the answers to these questions when the commercial negotiations are concluded, but I will draw the attention of my right hon. Friend the Secretary of State for Scotland to the specific issue that she has raised in relation to her constituency.
Tonia Antoniazzi (Gower) (Lab)
The Government have a visibly strong relationship with Airbus in respect of its presence in north Wales. What representations is the Secretary of State making to ensure that there is equivalent investment for the Spirit AeroSystems workers in Belfast?
Hilary Benn
As I said a moment ago, the process of reconciliation and coming to terms with the past is a difficult and itself a troubled process. Lots of people have been on a journey and we need to continue to see that journey followed. People will express their views about the stance that different people have taken, but since the hon. Gentleman has mentioned the First Minister, I welcome the fact that, for the first time, she attended the Remembrance Sunday commemorations.
Alex Burghart (Brentwood and Ongar) (Con)
I would like to return to the question that has just been raised by the former Secretary of State for Northern Ireland, my right hon. Friend the Member for Skipton and Ripon (Sir Julian Smith). When the previous Government passed their legislation, the Labour party was in favour of the amendments made in another place that ruled out compensation to people such as Gerry Adams and others similarly detained in the 1970s. Why have the Government now changed their position?
Hilary Benn
I recognise the hon. Gentleman’s concerns. This is a product of the failure of the old Harland and Wolff. It now falls to Navantia to decide which of the invoices it wishes to pay, but it will want to secure a relationship with suppliers contributing to the fleet solid support ship programme.
Mr Speaker
Before we come to Prime Minister’s questions, may I welcome the Speaker of the Assembly of the Republic of Albania, Elisa Spiropali, who is in the Public Gallery?
Oral Answers to Questions
Debate between Hilary Benn and Lindsay Hoyle(4 months, 2 weeks ago)
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Hilary Benn
The businesses I meet in Northern Ireland are vibrant and looking forward to the future. Of course the increase in employer national insurance contributions presents challenges for some businesses, but there is no getting away from the fiscal inheritance that this Government found when we arrived in office. The foundations had to be fixed, and that is what we are doing.
Alex Burghart (Brentwood and Ongar) (Con)
I associate Conservative Members with the remarks that the Under-Secretary of State made about Ken Reid; he will be very much missed. A belated happy birthday to the Secretary of State for yesterday.
Last week, the Secretary of State suggested to the Northern Ireland Affairs Committee that the Treasury had not yet conducted a detailed analysis of how the Budget will affect farmers in Northern Ireland. Has he now asked it to do so?
Hilary Benn
To understand the impact, we have to look at the ownership structure of each individual farm. I am not entirely sure whether the hon. Gentleman is advocating that the Government should do that for all farms right across the country. It will be for farmers to look at the arrangements that will apply from 2026 and to take advice on how they can ensure that they can continue to pass their family farms to their children and grandchildren.
Jess Brown-Fuller (Chichester) (LD)
Total income from farming in Northern Ireland fell by 44% last year amid volatile markets, soaring costs and declining output. More than 6,000 Northern Ireland farmers recently gathered in the Eikon exhibition centre to highlight the impact that the changes to agricultural property relief will have on their sector. With dairy farming facing serious economic challenges and gross agricultural output declining, can the Secretary of State commit to publishing a full impact assessment of APR removal for Northern Ireland’s farming sector, as well as its wider implications?
Oral Answers to Questions
Debate between Hilary Benn and Lindsay Hoyle(5 months, 3 weeks ago)
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Hilary Benn
As I hope the hon. Gentleman is aware, Northern Ireland pet owners will not face any checks and will not be required to hold a pet travel document. In discussing this matter, there is an obligation on him and all of us to ensure that we present the facts, so that people are not unnecessarily troubled.
Hilary Benn
As the hon. Member will be aware, decisions about the allocation of the Northern Ireland budget rest with the Northern Ireland Executive. Funds go to the Justice Minister, who then decides principally how much to pass on to the policing board for policing costs and how much to deal with the justice system and the prisons, which are also under pressure. I recognise the pressure that PSNI officers face, not least because I met a number of those who were injured in the recent disorder.
Alex Burghart (Brentwood and Ongar) (Con)
It is very generous of you to call me again, Mr Speaker. The Executive’s draft programme for government acknowledges that policing numbers in Northern Ireland are at an all-time low, a situation that the chief constable has described as dangerous. The draft programme commits to increasing numbers in line with New Decade, New Approach. Is the Secretary of State convinced that the budget sustainability plan is sufficient to achieve that aim?
Hilary Benn
On the latter point, the hon. Gentleman just has to wait a week to see what the Budget produces. I simply say to him that the PSNI, the security services and others do an outstanding job in protecting the people of Northern Ireland from terrorist threats, and we should all support them in that endeavour.
Dr Al Pinkerton (Surrey Heath) (LD)
The budget sustainability plan highlights that Northern Ireland has been systemically underfunded, with the fiscal council estimating an annual shortfall of between £300 million and £400 million since 2022. Meanwhile, the Northern Ireland Executive reported a £559 million overspend between 2022 and 2024. What measures are the Government taking to address Northern Ireland’s immediate budgetary pressures, ensure long-term financial stability and equitable funding, and, crucially, guarantee sustainable public services?
Hilary Benn
The consultation on UK-wide labelling led the industry to say that such labelling would impose huge costs on industry, and therefore on consumers, through raised goods prices. The aim is to ensure that goods are not delisted in Northern Ireland. That is why we are taking a power to ensure that if there is any evidence of that happening, the labelling requirements set out in “Safeguarding the Union” can be applied, including on individual products on a sectoral basis.
Mr Speaker
I did not come back to Josh Newbury after Question 5, so he will ask his supplementary question now.
Josh Newbury (Cannock Chase) (Lab)
Businesses in my constituency tell me that they face increased red tape and costs when importing from or exporting to Northern Ireland. Can the Secretary of State confirm that he is committed to unfettered access for goods moving from Northern Ireland to Great Britian?
Northern Ireland City Deals
Debate between Hilary Benn and Lindsay Hoyle(6 months ago)
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The Secretary of State for Northern Ireland (Hilary Benn)
As the Chancellor set out in July, the Government have inherited a £22 billion black hole in the public finances. As a result, the Treasury is having to consider a range of measures to deal with this significant problem. Last month, the Treasury informed the Northern Ireland Department of Finance that the UK Government’s contributions to the Mid South West deal and the Causeway Coast and Glens deal would now be considered as part of the spending review. The Belfast regional city deal and the Derry/Londonderry and Strabane city deal are unaffected and proceeding as planned. Since the announcement of the pause on those two deals, I have met with the First Minister, the Deputy First Minister, the Chief Secretary to the Treasury and the Northern Ireland Finance Minister. I will also be meeting the chief executives of those two deals shortly.
Everyone in Northern Ireland understands the importance of the city deals to economic growth and encouraging investment, and this Government are committed to working with the Northern Ireland Executive and businesses to make the most of the huge economic opportunities that now lie ahead. That is shown by the progress being made on the Belfast region city deal and the Derry/Londonderry and Strabane city deal. I attended the Derry/Londonderry and Strabane city deal signing on 18 September. The UK Government’s £105 million investment will help to progress transformative innovation, digital and health projects, which will build on the region’s well-established research excellence. The Chancellor will set out the results of the first phase of the spending review on 30 October, which will include an update on the two outstanding city deals.
Alex Burghart
As the House will know, on the evening of Friday 13 September—the day after we went into recess—the Government took it upon themselves to make a number of announcements affecting Northern Ireland: the cancellation of the Casement Park project; the decision that Sean Brown’s family will not be given a public inquiry into his murder; and the subject of this urgent question, the pausing of four Northern Ireland city deals. It is quite something to instantaneously unite all the political parties in Northern Ireland, but that was the feat achieved by the Government on the evening of Friday the 13th.
The House will be aware of how crucial the city deals are, providing significant investment to boost economic growth, create jobs and enhance infrastructure and bringing together Westminster, Belfast, local councils and private investment. We are pleased that the following day, after considerable confusion, the Government U-turned and announced that the Belfast region city deal and the Derry and Strabane city deal would go ahead, but the other two regional growth deals—the Causeway Coast and Glens deal and the Mid South West deal—now sit in limbo.
Critically, those deals cover areas that have not had the same levels of investment in recent years as big cities. One need only look at the empty shops in Enniskillen and Armagh to understand that these deals are badly needed. Can the Secretary of State tell the House why was the decision to pause taken at such a time and why was it announced in such a way? Following that announcement, why was there then a U-turn on two of the deals but not the other two? What criteria were used to make that decision?
The Secretary of State has referred to money. He knows that the so-called black hole, for which the Government have provided no breakdown, is partially of Labour’s making, given the above-inflation pay rise that it has chosen to award to the unions. He will know that the money involved is, in the world of the Exchequer, not that significant and, crucially, will deliver major returns to Northern Ireland and to the UK.
I ask the Secretary of State for two things. The first is an apology for how the matter was handled; I know he would not have wanted it to happen in the way it did, but someone should take responsibility for how the House and the people of Northern Ireland have been treated. The second is that, in negotiating with the Treasury in the run-up to the Budget, he will be the lead advocate for un-pausing those city deals.
Hilary Benn
I am grateful to the hon. Gentleman for his response. On the matter of Casement Park, since he raised it, I will say that we took the decision for the reason we set out, and I think it is one that he supports. On the question of Sean Brown, I set out in my letter to the family why I had reached the conclusion that I did.
I would just correct the hon. Gentleman: the Belfast city deal was never affected at all—it is roaring ahead and is a great success. In the case of Derry, I was pleased to attend the signing of the deal, which will now progress to its next stage.
I would also simply say to the hon. Gentleman that the public finances inheritance the last Government left us—[Interruption.] Well, the last Government made a load of promises but never identified where the money to pay for them would come from, and then they were turfed out and left this Government to deal with the problem. That is the reason for the situation with these two city deals. He can rest assured that I, as Secretary of State, will continue to make the case for the two city deals, which is why I said in my opening answer to him that everybody in Northern Ireland, including me, understands their importance, and I will continue to make that case. But in those circumstances, the Chancellor has found it necessary to look at a whole range of commitments that were made by the last Government for which no funding had been identified, and the fault for that does not lie with us, and if any apologies are required, a belated apology from the other side for the mess they left us would be much appreciated.
Tonia Antoniazzi (Gower) (Lab)
Cities and towns in Northern Ireland have already missed out on levelling-up funding under the previous Government, as I saw at first hand as shadow Minister, so the uncertainty regarding the city deals has been quite a hard hit on the people in Northern Ireland. I seek further reassurances from the Secretary of State that the people of Northern Ireland will not be overlooked in the Budget.
Hilary Benn
I absolutely recognise the uncertainty that this has created and, as I have indicated, I will be meeting the chief executives of the two deals very shortly. Given the uncertainty while we await the outcome of the first phase of the spending review, the particular problem that they face is that a lot of effort goes into progressing these deals with the private partners, because the money comes from the Government and from the Northern Ireland Executive in the form of match funding, and then other partners, including the local councils, and they do find themselves in a difficult position— I will not hide from that.
The only other thing I would say is that those two deals are much further back in the process than those for Belfast and Derry; for the Causeway Coast and Glens deal the heads of terms had been signed in April of this year, and for the Mid South West deal the terms had yet to be signed—I think they were due last month. Then there is a further process under which the programme of the deal itself is developed to then get to the stage that Derry reached on 18 September, when the financial agreement is signed and then the business case and the projects are unlocked. So I recognise that it is difficult and, as I have already indicated to the councils, I will continue to argue for the cause of these deals.
Patrick Finucane Murder
Debate between Hilary Benn and Lindsay Hoyle(7 months ago)
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The Secretary of State for Northern Ireland (Hilary Benn)
With permission, Mr Speaker, I would like to make a statement about the death of Patrick Finucane.
Patrick Finucane was a human rights lawyer. On 12 February 1989, he was brutally murdered in his home in north Belfast by loyalist paramilitary group the Ulster Defence Association, in front of his wife, Geraldine, who was wounded, and his three children, one of whom is now the hon. Member for Belfast North (John Finucane). From that day onwards, Mrs Finucane and her family have campaigned tirelessly in search of answers about the killing of their loved one.
In 1990 an inquest was opened and closed on the same day with an open verdict. Subsequently, a number of investigations and reviews were conducted. In 2001, following the collapse of power sharing, the UK and Irish Governments agreed at Weston Park to establish public inquiries into a number of troubles-related cases, if recommended by an international judge. Judge Peter Cory was appointed to conduct a review of each case, and in 2004 he recommended that the UK Government hold public inquiries into four deaths: those of Rosemary Nelson, Robert Hamill, Billy Wright and Patrick Finucane. Judge Cory also recommended that the Irish Government establish a tribunal of inquiry into the deaths of former Royal Ulster Constabulary officers Bob Buchanan and Harry Breen. Inquiries were promptly established in all those cases, with one exception: the death of Mr Finucane.
Meanwhile, in 2003, the third investigation by Sir John Stevens into alleged collusion between the security forces and loyalist paramilitaries had concluded that there had been state collusion in Mr Finucane’s killing. That investigation was followed by the conviction in 2004 of one of those responsible, Ken Barrett. With criminal proceedings concluded, the then Northern Ireland Secretary, Paul Murphy, made a statement to Parliament setting out the Government’s commitment to establishing an inquiry, but despite a number of attempts, the Government were unable to reach agreement with the Finucane family on arrangements for one.
In 2011, the coalition Government decided against an inquiry. Instead, a review of what had happened, led by Sir Desmond de Silva QC, was established. Sir Desmond concluded that he was left
“in no doubt that agents of the state were involved in carrying out serious violations of human rights up to and including murder.”
The publication of his findings in 2012 led the then Prime Minister, David Cameron, to make from this Dispatch Box an unprecedented apology to the Finucane family on behalf of the British Government, citing the
“shocking levels of state collusion”—[Official Report, 12 December 2012; Vol. 555, c. 296.]
in this case.
In 2019, the Supreme Court found that all the previous investigations had been insufficient to enable the state to discharge its obligations under article 2 of the European convention on human rights. The Court identified a number of deficiencies in the state’s compliance with article 2. In particular, Sir Desmond’s review did not have the power to compel the attendance of witnesses; those who met Sir Desmond were not subject to testing as to the accuracy of their evidence; and a potentially critical witness was excused from attendance. In November 2020, the then Secretary of State for Northern Ireland announced that he would not establish a public inquiry at that time, pending the outcome of continuing investigations, but that decision was quashed by the Northern Ireland High Court in December 2022.
This Government take our human rights obligations, and our responsibilities towards victims and survivors of the troubles, extremely seriously. The plain fact is that, two decades on, the commitment made by the Government to establish an inquiry into the death of Mr Finucane—first in the agreement with the Irish Government, and then to this House—remains unfulfilled. It is for that exceptional reason that I have decided to establish an independent inquiry into the death of Patrick Finucane, under the Inquiries Act 2005.
I have, of course, met Mrs Finucane and her family—first on 25 July to hear their views, and again yesterday to inform them of my decision. Mrs Finucane asked the Government to set up a public inquiry under the 2005 Act, and, as I have just told the House, the Government have now agreed to do that, in line with the 2019 Supreme Court ruling and the Court of Appeal judgment of July this year.
In making this decision, I have, as is required, considered the likely costs and impact on the public finances. It is the Government’s expectation that the inquiry will, while doing everything that is required to discharge the state’s human rights obligations, avoid unnecessary costs, given all the previous reviews and investigations and the large amount of information and material that is already in the public domain. Indeed, in the most recent High Court proceedings, the judge suggested that an inquiry could
“build on the significant investigative foundations which are already in place”.
As part of my decision-making process, I also considered whether to refer the case to the Independent Commission for Reconciliation and Information Recovery. The commission has powers comparable to those provided by the 2005 Act to compel witnesses and to secure the disclosure of relevant documents by state bodies—powers identified by the Supreme Court as being crucial for the Government to discharge their human rights obligations.
The commission was found, in separate proceedings in February this year, by the High Court to be sufficiently independent and capable of conducting article 2-compliant investigations, and while I am committed to considering measures to further strengthen the commission, I have every confidence in its ability, under the leadership of Sir Declan Morgan, to find answers for survivors and families. However, given the unique circumstances of the case, and the solemn commitment made by the Government in 2001 and again in 2004, the only appropriate way forward is to establish a public inquiry.
Many of us in this House remember the savage brutality of the troubles—a truly terrible time in our history—and we must never forget that most of the deaths and injuries were the responsibility of paramilitaries, including the Ulster Defence Association, the Provisional IRA and others. We should also always pay tribute to the work during that time of the armed forces, police and security services, the vast majority of whom served with distinction and honour, and so many of whom sacrificed their lives in protecting others.
It is very hard for any of us to understand fully the trauma of those who lost loved ones—sons and daughters, spouses and partners, fathers and mothers—and what they have been through. There is of course nothing that any of us can do to bring them back or erase the deep pain that was caused, but what we can do is seek transparency to help provide answers to families and work together for a better future for Northern Ireland, which has made so much progress since these terrible events. I hope that the inquiry will finally provide the information that the Finucane family has sought for so long.
The Government will seek to appoint a chair of the inquiry and establish its terms of reference as soon as possible, and I will update the House further. I commend this statement to the House.
Oral Answers to Questions
Debate between Hilary Benn and Lindsay Hoyle(8 months, 3 weeks ago)
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Hilary Benn
I will readily give the hon. Member that assurance. I have met with all the party leaders, and the commitment to consultation that I have just given to my hon. Friend the Member for Newcastle-under-Lyme (Adam Jogee) will extend to all the parties in Northern Ireland.
Alex Burghart (Brentwood and Ongar) (Con)
I warmly welcome the right hon. Gentleman to his place. I know he brings considerable qualities to his role, and I look forward to working with him on behalf of all the people in Northern Ireland. I pay tribute to his predecessor, the right hon. Chris Heaton-Harris, who did such an excellent job and is much missed on the Conservative Benches.
I very much welcome the positive meetings that the Secretary of State has had with all parties since he was appointed. Following those meetings, may I ask him to reassure the House that on his watch, he will be an active supporter of the Union and an advocate for it?
Hilary Benn
I certainly do agree. All Governments, including the Northern Ireland Executive, have the money they have coming in, the money they can raise in addition, and how they will prioritise their spending. The Northern Ireland Executive have more funding per head of population than England, and it is for the Executive to take decisions about what their priorities are, and allocate funding accordingly.
Paul Holmes (Hamble Valley) (Con)
I welcome the Secretary of State and the Minister of State to their positions, and thank them for their gracious phone call last week to welcome me and my hon. Friend the Member for Brentwood and Ongar (Alex Burghart) to our positions. On Monday, the Business Secretary slipped out a written statement, rather than coming to this House, revealing that the Government have decided not to proceed with an export development guarantee, or emergency loans that would save Harland and Wolff, despite its unique role and outstanding defence contract. Will the Secretary of State use his position to continue the support that the previous Government gave to Northern Ireland, and make it clear to the Treasury that the people of Northern Ireland expect the Government to intervene in this case, and support Harland and Woolf, as is desperately needed?
Hilary Benn
There is no doubt that the change in our trading relationship with the European Union has brought additional costs and paperwork for businesses, whether they are selling to the EU or into Northern Ireland. The Windsor framework is the means by which we are trying to manage that. I supported the Windsor framework, negotiated by the previous Government, because it represented an important and significant step forward. The reason why we have to continue to implement it is because if we are going to get the veterinary and SPS agreement, and other agreements we are seeking with the European Union—
Simon Hoare (North Dorset) (Con)
The Anglo-Irish agreement is absolutely vital, and the meeting between the Prime Minister and the Taoiseach is to be welcomed. Prime Ministers’ diaries become very full; will the Secretary of State use his good offices to ensure that that dialogue between Taoiseach and Prime Minister continues to build on that relationship to see it flourish still further?
Hilary Benn
I can indeed give that assurance. My right hon. and learned Friend the Prime Minister has agreed there will be an annual summit.
Mr Gregory Campbell (East Londonderry) (DUP)
Does the Secretary of State agree with me that it is important that, in discussions with the Irish Government, they understand that the vast majority of people in Northern Ireland, whether they consider themselves to be British, Irish or Northern Irish, can see that it is the United Kingdom context that allows them that diversity, and that improving the lives of present generations is the best way to preserve the lives of everyone for the future?
Hilary Benn
I join the hon. Gentleman in that commitment to improving the lives of the people of Northern Ireland. As a Government, we are committed to working on that with him and all his colleagues in Northern Ireland.
Mr Speaker
I welcome the Prime Minister, the Leader of the Opposition and all new Members to the first questions to the Prime Minister in this Parliament.