Northern Ireland (Interim Arrangements) Bill

Jeffrey M Donaldson Excerpts

2nd reading
Wednesday 10th May 2023 Commons Chamber

[Mr Baker]

Yes, of course. My right hon. Friend the Secretary of State and I agree that it must involve all sections of the community. I will be very frank with the hon. Gentleman: I recognise that the Windsor framework is a hard compromise for many sections of the Unionist community because it leaves in place some European Union law in order to have an infrastructure-free border. That is why it is also a hard compromise for Conservative Eurosceptics and for me. But I recognise that, of all the plausible futures for Northern Ireland before us, the one that is best for the people of Northern Ireland is to accept the Windsor framework, including the Stormont brake and the consent mechanism, to restore devolved government and move forward together.

As I said when I answered the final oral question earlier, Northern Ireland has an amazing opportunity. Northern Ireland Members will know better than me the incredible strength of the entrepreneurial private sector in Northern Ireland. What I see is a sector that could, with political stability, soar. With privileged access to the UK, to the EU, and to our free trade agreements under UK services law, we could achieve amazing things that will secure Northern Ireland’s prosperity, and, I believe, secure consent for Northern Ireland’s place in the Union. But I think that, for the moment, I had best leave unsaid what will happen if people continue to go without good-quality devolved government and where that will lead. If that is a topic that Members wish to pursue, perhaps we can have a different debate. I hope that is helpful to the hon. Member for East Londonderry (Mr Campbell).

I want to be absolutely clear that my right hon. Friend the Secretary of State, the Prime Minister and I all wish to preserve Northern Ireland’s place in the Union, respecting the UK’s commitments under the Belfast/Good Friday agreement. We are Unionists, although I am aware that there are some commentators for whom we can never be Unionist enough—but I am allowing myself to digress and I should get back on track.

[Sir Jeffrey M. Donaldson (Lagan Valley) (DUP)]

It may just be the way in which the Minister phrased what he said, but this is important: our ability to trade with the rest of the United Kingdom is not a privilege; it is a right. It is a right under article 6 of the Act of Union that we have the economic right to trade, barrier-free, with the rest of our own country. Yes, privileged access to the EU, but let us not talk about “privileged access” to the UK market. We are part of the United Kingdom.

[Mr Baker]

The right hon. Gentleman is absolutely right, and I apologise to him and to Northern Ireland Members. I had it in my head to say “privileged access to the EU”, but seeing him sitting there, I wanted to mention the UK first. It was a mistake. He is absolutely right that Northern Ireland’s right to trade unhampered into the UK is one that, as we explained at oral questions earlier, we continue to stand by and preserve, and which, under the Windsor framework, we have permanently guaranteed. I am grateful to him for clarifying that point. I will press on.

Before I provide an overview of the Bill, I should say a few words on Northern Ireland’s public finances. As the Bill’s provisions indicate, we are acutely concerned about the long-term sustainability of public finances in Northern Ireland. It was with considerable disappointment that my right hon. Friend the Secretary of State found it necessary once again to step in and set a budget for Northern Ireland for 2023-24 in the absence of a Northern Ireland Executive and Assembly. As the Secretary of State has made clear on multiple occasions, the extent of the budget pressures facing Northern Ireland Departments is extremely challenging. Departments are facing difficult and unavoidable decisions in the current difficult and frustrating circumstances.

The Government recognise that we need an Executive in place to take some of those difficult decisions and make the choices on budget priorities—choices that officials should not have to face without Ministers. We stand ready to work with a restored Executive on that, but in the meantime, we the Government of the UK have a responsibility to ensure that public services and the management of public funds can continue in their absence, so we will in due course take forward legislation to put the budget on a legal footing. Members of this House will have the opportunity to debate those allocations in detail at that time, if and when we come to it.

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[Colum Eastwood]

I thank the hon. Member for his intervention and his work on this issue. There was a short period when we did not have an MP for Foyle in this Chamber making these points. The hon. Member and others stepped up on that issue, and we were very grateful to him. The people of Derry have been starved of a university since 1964. That has massively damaged our economic opportunities—that along with the bombing campaign that blew the place to bits. We are now 25 years on from the Good Friday agreement, and we still have not maximised that opportunity.

We have a university in Derry—we are clear about that—but it is not big enough and it does not do enough to attract the kind of students who, in turn, will attract the economic opportunities that we want. I have been clear with the leadership of Ulster University that people are very weary, tired and lacking in trust in that institution. The leadership needs to come up urgently with a plan to expand university places to at least 10,000 students or people will begin to look elsewhere, as the hon. Member says. We must be realistic and serious, and we must make this happen because we cannot wait any longer to have proper university provision for the people in my city.

We are now basically in a period of direct rule, and we are moving inch by inch closer to London-only rule. That flies in the face of the Good Friday agreement and every single agreement that we have made since. I urge this Government to think carefully about what happens next, because this situation cannot be allowed to run and run. If we are not to have institutions at Stormont, and if locally elected people are not to have representatives running the place because they are denied that opportunity, the British Government need to look seriously at a greater role for the Irish Government in the affairs of Northern Ireland. I say that advisedly because in a number of periods when we were denied institutions at Stormont, it was only that promise that encouraged some people to get back and to form a Government representing all the traditions on the island. That is well worth considering.

We are knocking on doors and speaking to people. An awful lot is said about Unionist concerns, which we listen to and try to be respectful of, but many of the people we speak to say, “Why would we have any faith in the DUP to work with nationalism? Why would we have any faith in Stormont to deliver for us?” People are beginning to think differently about their future. I will argue every day to end the divisions on our island and to build a new Ireland, but I caution those who stand up and talk about the precious Union a lot in his place that they are opening a door to something that they might end up regretting, because more and more people are moving away from support for Stormont. I do not want that to happen. I think we can do two things at once. We can have locally elected people running the institutions of Northern Ireland. There is a better way to do this in the longer term.

[Sir Jeffrey M. Donaldson]

The hon. Member is touching on a very important point, which I think is overlooked. The UK Government and Unionism recognised that a hard border was not the solution in relation to Brexit. Why? It would have undermined nationalist sensitivities in relation to the agreement and the political institutions. We sought to find a way forward that respected the integrity of the United Kingdom and avoided a hard border on the island. Even the Taoiseach has recognised that the protocol went way too far in creating an Irish sea border. Although the hon. Member is right that nationalist sensitivities must be given regard, so too must Unionists’ sensitivities because consensus is the way forward, as the former Member for Foyle John Hume often said from that seat.

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[Gavin Robinson]

I find it amazing that the hon. Gentleman has made that point. He knows it is the biggest falsehood that is being peddled today, and it was addressed earlier by my right hon. Friend the Member for East Antrim (Sammy Wilson). If the Executive were up and running tomorrow, the fundamental damage being caused by the budget and the fundamental choices having to be made would still be there, but the resource would not. Departments are saying today that there is an £800 million shortfall in their ability to deliver, and that they will now have to take decisions that conflict with their statutory obligations, and that same choice will be there tomorrow unless the Government say that they will reflect on the systematic and systemic underfunding of the Northern Ireland budget, and will recognise that the Barnett formula must be assessed on the basis of need. Unless that happens, the choices that are there today will be the choices that are there tomorrow.

Let me spell it out. What do we know from the Department of Justice? It is hundreds of millions of pounds short of what it needs. The police alone do not have enough money to cover last year’s shortfall, let alone an additional £35 million shortfall this year. Where can they make the cuts? They can make them through headcount and non-pay. On headcount, we know that devolution was restored in 2020 under the New Decade, New Approach agreement, which recognised that policing numbers needed to reach 7,500. In March this year the figure was 6,700, and it is projected to be 6,400 in March next year. That is the sort of choice that is available today to a permanent secretary, and would be available tomorrow to a restored Government.

Earlier today, the Minister of State was answering questions about the cost of living crisis, but yesterday we heard from the Department for Communities about the extent of its shortfall. A third of the social homes that were planned to be built this year cannot be built: 2,000 were projected, and 1,400 will be delivered. No money is available for the new health assessments associated with benefits, and there is not enough money to progress the assessment of benefit applications. That is what has been delivered by the NIO: choices that are there today and would still be there tomorrow if there were a return to devolution.

Then there is the enormous shortfall in the Department for Infrastructure, where the permanent secretary is highlighting her statutory obligations and the money she does not have in order to meet them. So what are her choices? To stop gritting the roads? To stop treating waste water? How often do we hear about the importance of climate issues and looking after our environment? But that is one of the choices available to the permanent secretary in the Department for Infrastructure. Another is to turn off the street lights. I do not think that the Secretary of State or the Minister of State or the NIO is interested in streetlights. The only thing in which they seem to be interested at present is gaslights, because the politics of all this has been about gaslighting people in Northern Ireland. What is psychologically questioning our understanding of how finances work, and telling us that we are overfunded when we know that we are structurally underfunded—standing in this Chamber and saying, “Oh, but Northern Ireland gets 121% of what people in England get”, when we know that that is less than what Northern Ireland needs—if it is not gaslighting? That is the diet that we have had over the past number of months, and it seems certain that that is the diet that we are going to continue to get.

The Northern Ireland Fiscal Council has been explicit. When I talked about the Northern Ireland Fiscal Council in this Chamber in January and last year, whoosh, it went straight over people’s heads. It meant nothing. I know that sometimes the figures in these documents are boring, but they are crucially important in terms of the ability to deliver public services for everyone in Northern Ireland.

I represent a constituency that has some incredibly affluent areas, but it also has some incredibly deprived areas where social deprivation is a real thing. Wards in my constituency feature in the top 10 most deprived wards in Northern Ireland. In the Mount ward, at the bottom of my constituency, just off the Newtownards Road, 25% of children are leaving primary school without basic literacy and numeracy skills. Forget the 11-plus—they are going on to secondary school without the basic ability to read, write and count. What has this budget delivered? It has delivered an end to the extended schools programme and an end to free books for babies. Just a few months ago, the Northern Ireland Affairs Committee visited EastSide Learning in my constituency. The chairman cheekily asked, “I see those books—the spines haven’t been broken. Does anyone read them?” He was informed that they were brand new books, but the Department of Education is not going to be able to give brand new books to children in my constituency any more. It is outrageous.

The Pathway funding, which is about ensuring the social, emotional and cognitive development of young children before they get to nursery and primary school, is not going to be there. The Department of Education has said that from June there is no money available for such vital developmental early years intervention. Whether it is the Dee Street and the Ballymacarrett youth centre or the Bloomfield Community Association youth centre, all of these interventions matter. The public services that are delivered in Northern Ireland matter, and this budget fundamentally constrains the opportunity to provide for the needs of those children and our constituents right across Northern Ireland. The opportunity was there, and it should be there, to make a difference.

I want to make this point with as much power as I can: we can debate and talk every day of the week about the pressures that exist with the Northern Ireland protocol, the Windsor framework and the impediments to the return to devolution. Whether people agree with me on those issues or they ignore those issues, that is fine; we will continue to work for resolution. But the point needs to be understood that we cannot and will not have sustainable government in Northern Ireland if we do not have sustainable finances alongside a return to devolution.

The idea that any elected representative is going to stand up in government to stand over the dismal budget that has been provided is for the birds; it is not going to happen. I want to see Northern Ireland work. I want to see Northern Ireland as a place where all communities within our Province are at peace with one another and enjoy the benefits of the country that we have the privilege to live in. These issues need to be resolved and that can happen only when the finance is there to deliver positively for those people.

[Sir Jeffrey M. Donaldson]

My hon. Friend is making an excellent contribution to the debate and I fully support what he has said about a needs-based approach. Indeed, I think of the work of the Atlas Women’s Centre in Lisburn, in my constituency, which has used Pathway funding to help some of our youngest children to develop the skills they need for mainstream education. Does my hon. Friend agree with me that in seeking to change the way that our public services are funded, it is essential that in Northern Ireland we also recognise the need for the reform of those public services and that part of what we need from Treasury is investment for reform?