Northern Ireland Economy

Jim Shannon Excerpts

Wednesday 11th May 2016 Westminster Hall

[David Simpson]

A source very close to me, yes. My hon. Friend the Member for East Antrim is right: despite all the nonsense that has been talked, the manufacturing sector certainly will continue if we leave the European Union.

According to reports this week, Northern Ireland’s growth is dependent on the retail and service sectors, as they

“continue to report the fastest rates of job creation.”

I have certainly witnessed that in each of the three towns in my constituency. Growth is slow, but small retail businesses—I am not referring to charity shops—are starting to move back on to the high street, which is a good thing.

We may be the smallest region in the UK, but we are powerful on the world stage. Some 30% of the famous London red buses are manufactured in Ballymena by a local firm, Wrightbus. That is of course a big contract in London.

[Jim Shannon (Strangford) (DUP)]

It supports Brexit as well.

[David Simpson]

We will move on from Brexit a wee bit; we will come to it later.

Some 25% of all computer read-write heads are made by Seagate Technology in Londonderry, at the UK’s largest nanotechnology site, and 40% of the world’s mobile crushing equipment is made in Northern Ireland. We have some of the largest pharmaceutical companies, which employ thousands of people across the Province.

It is evident that the people of Northern Ireland remain committed to helping to grow its economy. However, despite all the good news, we cannot ignore the significant job losses that have been reported by companies—two of the most high profile are Michelin and JTI, and some others face making redundancies—because of problems in the global market and sometimes because of energy costs.

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[Ms Ritchie]

I thank the hon. Gentleman. I agree that there needs to be investment in schools and education. That is the priority, because investment in well-developed children’s education will lead to better outcomes for training and our economy.

Northern Ireland is undoubtedly a beautiful place, and our appeal has been strengthened by our growing position as a world-leading location for films and television. In that respect, tourism is an important revenue generator. In the year from October 2014 to September 2015, it brought total expenditure of more than £700 million to our economy. That helps to support jobs and gives communities new livelihoods.

As a co-chair of the all-party group for the visitor economy, I am anxious, as are many members of the group, for the Government to bring forward proposals to reduce VAT on tourism on a UK basis. That fiscal incentive would have a deep and generous impact on the Northern Ireland economy. We need only look at the south of Ireland, where VAT on tourism has been levied at 9% over the last number of years. As a consequence of that measure, about 9,000 jobs were created in the two years after it was introduced. We are part of the UK, which is one of only two of the 27 countries in the European Union that do not have a lower rate of VAT on tourism, so that immediately places us at a disadvantage.

The hon. Member for Upper Bann also raised the issue of Brexit. Obviously, I take a very different view from him and his colleagues in the Democratic Unionist party. I and my colleagues in the Social Democratic and Labour party believe that we should remain in the European Union and I give a little warning based on evidence direct from Danske Bank. This week, it said in the quarterly sectoral review for 2016 that the economic growth forecast for Northern Ireland had been revised down to 1.6% from 1.8%. Angela McGowan of Danske Bank was reported in the business press yesterday as having indicated that that was due to the threat of Brexit, austerity and slower global growth, which takes us back the global commodity markets. She said:

“The message remains that Northern Ireland’s economy continues to expand, but the pace of growth is slowing. While the continued reduction in the public sector jobs will weigh down overall growth in the short to medium term, by far the biggest risk to growth this year is Brexit which has lowered investment and growth in the first half of this year…but there is no reason the private side of the economy should not bounce back”

after the referendum, which I hope will produce a remain vote.

Those on the leave side have not produced any evidence on which to base their arguments, and they do not know what the far side of a leave vote would look like. However, I know that there will be a severe impact on our local economy. I firmly believe that there is a future for the Northern Ireland economy and for our young people, but that depends on several factors. One is staying in the European Union, otherwise we will close easy access to the 500 million potential tourists in the EU and block off one of our biggest areas of growth.

I once again congratulate the hon. Member for Upper Bann on securing this important debate. I hope that the Northern Ireland Executive will get down to work and ensure that new areas of growth can be tapped into and that new areas for visitors can be created. That can happen only in a context in which we are totally open for business and totally open to new markets. That means remaining in the European Union.

Further to that, I want our agri-food sector to grow—

[Jim Shannon]

Your five minutes have gone.

[Ms Ritchie]

Yes; I will conclude by thanking the hon. Member for Upper Bann for securing the debate, but I remind hon. Members that we are better inside the European Union than outside, and I ask the Minister to comment on the need to lower VAT on tourism.

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[Jim Shannon (Strangford) (DUP)]

I understand that the Minister, the shadow Minister and the Scottish National party’s spokesperson must start to speak at 5.10 pm, but I wondered whether it would be possible to have a couple of extra minutes, Mr McCabe—there are two other Members left to speak.

[Stephen Pound (Ealing North) (Lab)]

Just crash on, Jim.

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[Jim Shannon]

Okay. I congratulate my hon. Friend the Member for Upper Bann (David Simpson) on his clear presentation of the case. May I say for the record, and for the hon. Member for North Down (Lady Hermon), that I am a member of the Ulster Farmers Union and have been for more than 30 years? I hear what the farmers in my area are saying—they want out. The individual opinion of the president of the Ulster Farmers Union is one thing, but the membership is very different.

The Northern Ireland economy is a far cry from what it once was, but there is still a lot of work to be done to rebalance the economy. Growth is faster than the UK average across almost all sectors of our economy, which is testimony to the continued hard work, confidence and stability of the Northern Ireland Executive. We must be clear where that growth is coming from. We have record levels of job creation and more jobs than ever before in our Province. We have record levels of inward investment and more multinational companies and private sector jobs than ever before. The economy in Northern Ireland is going well at the moment.

The longest sustained period of devolved Government in Northern Ireland since before our troubles has delivered for the people of Northern Ireland, and will continue to deliver with the mandate we achieved last week. After all we have been through, Ulster is no longer at a crossroads. We are on a clear path on the motorway to a better future. Last month, Ulster’s private sector added its 12th consecutive month of growth to Northern Ireland’s economic engine. The rates of growth in new orders, business activity and employment among indigenous Northern Ireland firms have bucked the trend and exceeded the UK average. The new Northern Ireland is literally working at the moment. By contrast, last month the UK private sector as a whole expanded at its weakest rate in three years, with both services and construction posting subdued rates of activity. The economic engine may be roaring in Northern Ireland, but a continued UK economic slowdown could prove an obstacle on our clear path to a better future.

The pace of job creation continues to accelerate in the Province, with all sectors increasing their staffing levels. Manufacturing’s seven consecutive months of job losses have come to a welcome end, and the Province’s manufacturing sector is defying UK norms. Export orders expanded at their fastest rate for 21 months, with Northern Ireland’s exports to non-EU countries now at a record high, showing that Northern Ireland can compete and thrive independently on the global stage just like the rest of the United Kingdom.

Northern Ireland has seen unemployment drop from almost 59,000 in 2011 to just over 39,000 in 2016. My hon. Friend the Member for Upper Bann referred to the creation of some 40,000 jobs. The target was 25,000 jobs but we achieved 40,000, so it is good news again. He also referred to investment. We have had £585 million of research and development investment, almost double the target of £300 million, and 72% of new jobs are supported under the “Rebuilding our Economy” programme. Let us be clear about what is happening—there is almost an economic miracle in Northern Ireland at the present time.

The Northern Ireland Executive, led by the DUP and in partnership with industry, has delivered real advances. The ending of air passenger duty on long-haul flights was a DUP initiative, and we have had over 1 million more visitors in the past three years, with some £752 million spent by them in 2014. Cruise ships docking in Northern Ireland brought 145,000 guests in 2016. Again, those are great things.

The DUP has also continued the policy of industrial derating, which has protected jobs and encouraged investment. We have protected the small business rates relief scheme, which has benefited small businesses across Northern Ireland by approximately £18 million a year. We have delivered a Northern Ireland-wide rating revaluation, resulting in reduced bills for businesses, and 525 new business have benefited from the introduction of the empty premises rate relief.

We had a meeting today on broadband, which is an issue in my constituency and those of other Members. Broadband is not the Minister’s responsibility, but let us put a marker down right now—we need help and investment to make it happen so that we can move forward.

As I said, Ulster is no longer at the crossroads. We are on a path to a better future, with a clear mandate to go forth and continue to deliver and with First Minister Arlene Foster providing the turbo to reach the even better days ahead.

Oral Answers to Questions

Jim Shannon Excerpts

Wednesday 20th April 2016 Commons Chamber

[Mr Wallace]

I do not think I need to do much modelling; we should let the businesses of Northern Ireland speak for themselves. They believe it would be wrong to leave the European Union. The free flow of tourists between the Republic of Ireland and Northern Ireland is good for Northern Ireland, good for the island of Ireland and good for the United Kingdom economy.

[Jim Shannon (Strangford) (DUP)]

Whenever I visit the Milwaukee Irish Fest, I hear that when people travel to Dublin and to Shannon airport, they holiday only in southern Ireland. What discussions is the Minister having with Tourism Ireland to ensure that people come to Northern Ireland and enjoy our tourism facilities, which are much better than those in the south?

[Mr Wallace]

The single biggest challenge for Northern Ireland tourism is advertising its great offerings. The British Open golf championship will be held in Portrush in 2019, and other events include the North West 200, the Ulster Rally, the Giro d’Italia cycling event and the Balmoral show. If we can tell people that those events are out there and that they are on, more people will come north from the south.

EU Referendum: Northern Ireland

Jim Shannon Excerpts

Wednesday 16th March 2016 Westminster Hall

[Ms Margaret Ritchie (South Down) (SDLP)]

I beg to move,

That this House has considered the effect of the UK leaving the EU on Northern Ireland.

I am glad to serve under your chairmanship today, Mr Crausby, and pleased to see the Minister in his place. I am grateful to have this opportunity to highlight in brief the effect that the UK’s leaving the EU would have on Northern Ireland. I believe that all of Britain and Northern Ireland benefit from being part of the EU, but there are special circumstances in Northern Ireland that require thorough consideration before the vote in June. To put it simply, Northern Ireland uniquely benefits from our membership of the EU, and would be uniquely hurt by leaving.

The most obvious issue, for which there is no parallel in Britain, is the land border that we share with the south of Ireland. Anyone who lives in a border county will know for themselves that talk of a hard border in Ireland is not an abstract, scary story, but a living memory. I was reminded of that last week when I attended the launch of the Irish4Europe campaign in London. It is a campaign group set up to encourage Irish people living in Britain to engage with the referendum. During the questions and answers, someone told us about growing up in Quigley’s Point in Donegal, and an attempt to smuggle 4 lb of Northern Irish butter into Donegal. It was foiled by the honesty of his grandmother, who when asked by the guard whether there was anything to declare lifted her coat off the back seat and revealed the 4 lb of butter. We laughed but the story is less funny in the light of an official report from the Cabinet Office that says:

“Northern Ireland would be confronted with difficult issues about the relationship with Ireland. Outside the EU’s Customs Union, it would be necessary to impose customs checks on the movement of goods across the border.”

To be clear, that warning comes not from me or my party but directly from the Cabinet Office. The same report says:

“Questions would also need to be answered about the Common Travel Area which covers the movement of people.”

[Jim Shannon (Strangford) (DUP)]

I thank the hon. Lady for giving way. She will understand that I come from a different point of view. The Stormont Public Accounts Committee recently concluded that Brexit would have little effect or impact on the Northern Ireland economy. Secondly, the hon. Lady will know that the fishing industry in Portavogie, Ardglass and Kilkeel is clear that it wants a viable fishing industry free from EU red tape, the quota system, days at sea and EU legislation. They want to be able to fish the seas round their area—

[Mr David Crausby (in the Chair)]

Order. Mr Shannon, interventions should he short.

[Jim Shannon]

I just ask the hon. Lady whether she accepts that.

[Ms Ritchie]

Needless to say, I do not accept that proposition—for a simple reason. I understand and appreciate people in the fishing industry because I represent fishermen from two of those ports, but I also understand that it would be possible to argue better for reform of the common fisheries policy by continued membership of the EU. There are people in the fishing industry, and senior people particularly, who have told me that fishermen have asked public representatives to be particularly cautious. Many of the regulations about discards and the landing ban originated in London, in Whitehall, and not in Brussels. People must be careful about that point.

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[Mr Wallace]

The EU is a whole range of things, but I think that at its heart it is about trade. The freedom to trade is the greatest driver of reform and of other people’s freedoms and rights across the world. Originally, the concept of the European Union, or its predecessors, revolved around trade. I believe that for Northern Ireland businesses, access to regulation-free, tariff-free trade with its neighbour in the Republic of Ireland or elsewhere in Europe is absolutely one of the benefits and is at the heart of why we should remain members of the European Union.

[Jim Shannon]

When the Prime Minister went to secure concessions from the European Union, he was unable to secure anything for the fishing industry or the agricultural sector directly. Remembering that we put some £19.7 billion into the EU and receive £15 billion in return, we are better off out of the Union; the fishermen will have control of their industry, as will the farmers, and the extra £4 billion that we will have can be used directly for those sectors.

[Mr Wallace]

I am afraid that I do not agree with the hon. Gentleman, and nor do many in the Ulster Farmers Union whom I have met to discuss the issue. In this modern world our farmers need access to markets and access to consumers. One reason why farmers in the Republic have a higher milk price is the efforts of the Irish Government to forge new export markets for their milk products. That is not about leaving the European Union; it is about helping our farmers, whether in England or Northern Ireland, to access new markets and new consumers. We have to remember that the consumers have to be able to afford the products. It is all very well trying to push products outside the European Union, but how many people in the rest of the world will be able to afford European products? There are a few in developing countries, but the idea that our farmers will get easier access to markets if we leave the European Union is just pie in the sky.

Northern Ireland (Stormont Agreement and Implementation Plan) Bill

Jim Shannon Excerpts

Thursday 10th March 2016 Commons Chamber

Clause 3 also enables the commission to waive its legal privileges where it deems appropriate. That is key to the proportionality of the provisions.

[Jim Shannon (Strangford) (DUP)]

The Minister has been very specific in what he has said about archives. For the sake of clarification and Hansard, will the provision affect access to the Boston tapes, on which there is some very significant information, and the important evidence that could put away for a very long time IRA terrorists who have been involved in activities?

[Mr Wallace]

It does not affect that at all. The independent commission will be able to draw on sources from wherever it needs to in order to construct its report and carry out its monitoring purposes. There is nothing more I can say about that, other than that we hope that it will be a proactive body that uses open source and every other area of information possible to come up with robust and respected reports.

On the appropriateness of the legal privileges, if a staff member wished to make a claim to an employment tribunal, the commission could waive its immunity from legal process to allow that person to pursue the claim.

Finally, clause 3 also confers on the Secretary of State the power to confer by regulations certain further privileges on the commission itself, commissioners and staff, and members of their households. Conferring such immunities in secondary legislation will allow flexibility in making decisions on the exercise of this power on a case-by-case basis. In line with similar provisions in the Acts establishing the IMC and ICLVR, the power is subject to the negative procedure.

Clause 4 is a short clause setting out the key terminology used in the Bill for the new independent reporting commission. It includes a reference to the

“agreement relating to paramilitary activity”,

which is the international agreement between the UK and Irish Governments that will establish the commission. Work on the agreement is at an advanced stage, but hon. Members will understand that the timing of the Irish general election has meant that it is not yet formally agreed. The agreement will, of course, be laid before Parliament for scrutiny, in accordance with the Constitutional Reform and Governance Act 2010.

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[Lady Hermon]

I am grateful to the hon. Gentleman for that. One has to ask why any references to sanctions were left out of the “Fresh Start” agreement. The fact that sanctions were not mentioned in that may well suit a political party—Sinn Féin. I am so weary of having spent my entire life having to deal with paramilitary activity. He made reference at the beginning of his contribution on the earlier group to Lisa Dorrian, the young lady in my constituency who was murdered and disappeared by those with loyalist paramilitary connections. Both loyalist and republican paramilitaries are a scourge for the rest of the community. I am very pleased that he is supporting my amendments this afternoon, because as an independent, I am totally reliant on other colleagues to provide an additional Teller at the vote and I may be calling on him later.

[Jim Shannon]

Lisa Dorrian disappeared from Ballyhalbert in my constituency. Searches took place in Comber, also in my constituency, but unfortunately nothing as to where she might have been buried was found. But there are people in society who are very aware of where she is, and some of those people have been named in the press. May I encourage the hon. Lady to make this statement, which I will also be making: there are people who have information about this, so let them come to the police, tell them where the body is and give Lisa Dorrian’s family the peace of mind that they need?

[Lady Hermon]

I am grateful to the hon. Gentleman for that intervention, as he is right in everything he has said. Lisa Dorrian, a young lady in her early 20s, was disappeared and murdered 11 years ago, and her family have never had the peace of mind that comes with a Christian burial. Her remains have never been found, despite the valiant efforts of the PSNI—and I put that on the record. There are others who were disappeared by the IRA, such as Columba McVeigh, a young man from Donaghmore whose remains have never been found. There is pain and grief on all sides. As I say, paramilitarism has been a dreadful scourge across the face of Northern Ireland for far, far too long. I have the highest regard for this Minister, so when he gets up I do not want to hear the Stormont House agreement cited as a reason why we cannot put into this Bill this afternoon a requirement that Standing Orders are introduced by the Assembly. No detail is being provided about the sanctions or about the investigative procedure in respect of a breach of the undertaking. The very least we can do for the people of Northern Ireland, including the grieving parents of Lisa Dorrian and Columba McVeigh, although his mother passed away some time ago—

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[Stephen Pound]

The debate on this group all started so well. The Minister’s initial moves on timetabling were sensible and proportionate, and I believe would have been supported by the whole House. I think the key comments—these should be the leitmotif of this afternoon’s entire discussion—were about the creation of a society “free of paramilitarism”. That is the point we start from. That is where we want to go. It is the route to that desired state that we are discussing this afternoon.

We heard a tour de force from the hon. Member for North Down (Lady Hermon). Sometimes I gain the impression that hers is a multi-Member constituency, because it seems almost impossible that one person could sway the Committee so effectively—and not for the first time, either. I hope that the hon. Lady will allow me, on behalf of my colleagues and, I am sure, all of us, to say what an immensely impressive case she made.

Come what may, the Government have to reflect and consult and reconsider. We have heard too much evidence this afternoon for us simply to allow this matter to slide through. We have heard some immense detail. The hon. Member for North Down talked about the conflicts that arose during her ministerial period. This provides yet another reason why we need to examine the case somewhat further.

The right hon. Member for Lagan Valley (Mr Donaldson) described the amendment tabled by the hon. Member for North Down as sensible and prudent, while also touching on a vital point. The right hon. Gentleman talked about public confidence, which I believe is very much at the heart of the matter. We can argue about the niceties, about interpretation and about angels dancing on the head of a pin. We can go through this catechism and ask whether people adhere to this precisely or not, but ultimately, the issue of public confidence is immensely important. There cannot be an area in the politics and daily life of Northern Ireland where there is a greater need for public confidence than in the transition away from paramilitarism and violence towards the desired state that I referred to earlier.

The right hon. Member for Lagan Valley also talked about identifying an ambivalence in attitude, and that feeds into some of the comments made by the hon. Member for Amber Valley (Nigel Mills). There is a need for further finessing and interpretation. When the hon. Member for Foyle (Mark Durkan) went through the clauses of the Bill in detail, he put his finger on the fact that we are still not entirely clear about what many of them mean. The hon. Member for Fermanagh and South Tyrone (Tom Elliott) also referred to that.

On behalf of my colleagues on the Opposition side of the Chamber, I call on the Government to take cognisance of the strength, the power and the logic of the arguments that they have heard on the Floor of the House today, not just because of the strength of those arguments but because of the impact that the proposals will have on civic life in Northern Ireland. What has been said today cannot be unsaid, and what has been done cannot be undone. We have to recognise the impact of what we have heard this afternoon. The Government have our entire support in this transition towards a good society and, as the SDLP put it when we debated an earlier amendment, a wholesome society.

[Jim Shannon]

I assume from what the hon. Gentleman is saying that we can rely on Labour’s support for the amendment tabled by the hon. Member for North Down (Lady Hermon) .

[Stephen Pound]

Labour Members will not be voting with the Government. We will be abstaining on this question, in the hope that the Government will be able to reflect and consult further and more widely. In this case, more than any other, there is a need for further discussion and consultation. We cannot simply rely on this one being forced through on a majority. The argument that we have heard today is far too powerful and far too relevant to be voted away.

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[Mr Wallace]

The aftercare service is available to former members of both the Royal Irish Regiment and the UDR, and it has, in effect, been moved into a main initiative to carry on looking after them. I visited the service last year and it provides excellent support.

Members of the armed forces and, indeed, the security forces are, of course, at the forefront of our minds with regard to providing that support. It will be up to Combat Stress and the armed forces to decide how they divide the money and deliver the service.

[Jim Shannon]

I am pleased that Combat Stress has been allocated money, but many other organisations in Northern Ireland, including Beyond the Battlefield, SSAFA and regimental associations, do good work with veterans and former personnel. How can they take part in the process and access some of the LIBOR funding that has been set aside for one specific organisation?

[Mr Wallace]

People can access a range of veterans organisations, including regimental associations and the Royal British Legion, as well as the Government themselves through the Ministry of Defence and Veterans UK, and I encourage them to do so. Perhaps I should declare an interest: I lost 30% of my sight while serving in East Tyrone on a tour of Northern Ireland in 1994, so perhaps I will be covered by the definition of a victim. It is important that we help the victims and recognise that they are not equated with the terrorists and those who sought to spread murder and chaos.

I am afraid that the Government will oppose the measures that have been tabled, but we call on Members to continue to work with us on resolving the legacy issues. As well as people’s physical suffering, we must consider their mental health and how they deal with memories of the past. This is about not only drawing a line under what has happened, but allowing people to know as much as possible about what happened to their loved ones or, indeed, themselves. The narrative of, “It wasn’t the terrorists fault,” that is being pushed has the negative effect of preying on people’s bereavement by trying to come up with a ready excuse that it was not actually the terrorists who killed their husband or wife, but somebody else all along. That preys on people’s fears and their real pain, and those who seek to do that should be ashamed of themselves.

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[Jim Shannon]

It is good to be able to make a contribution on Third Reading. I should like to start by paying tribute to all those who have made this “Fresh Start” agreement possible. Difficult political situations in Northern Ireland require not only strong leadership but selfless leadership, and I believe that many people on this side of the Chamber as well as many outside have contributed to this process. I want to give special thanks to the former First Minister, Peter Robinson, for his hard work in his roles as First Minister and as leader of our party.

I congratulate the Secretary of State and the Minister of State on the long hours that they have put in and the significant contribution that they have made. I do not know how they kept awake in all those meetings, but they did, and they made sure that the business kept moving forward as well. They struck the right balance between those of us who are more sensitive to the past and those of us who have found it easier to move on. I also commend my right hon. Friend the Member for Lagan Valley (Mr Donaldson) for his comments on section 75. The hon. Member for South Antrim (Danny Kinahan) also mentioned that important issue, and I am disappointed that we did not get it sorted out. The veterans who have approached my right hon. Friend the Member for Lagan Valley are the same people who have come to see me in my constituency to discuss the same issues. If we were to convey all those requests from our constituents to the Minister of State, he would have a very full postbag.

I see that the hon. Member for Beckenham (Bob Stewart) is in his place. I should like to put on record the thanks of the citizens of Northern Ireland for the hard work that he has done and the contribution that he has made. I am ever mindful of the Ballykelly bombing; that story resonates with me and it always will. I want publicly to put on record my thanks to him for the leadership he showed on that day.

[Bob Stewart]

I thank the hon. Gentleman for being so generous about my record in Northern Ireland. I want to back up something that the right hon. Member for Lagan Valley (Mr Donaldson) has said. In 1988, an IRA gun team came to my house in Brussels to kill me. They were stopped because my son Alexander, aged 11, thought that something was fishy about three men asking to speak to his daddy. They went away and they killed two RAF servicemen up the road. The victims were not just in the UK; they were also on the continent of Europe, and probably elsewhere too.

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[Jim Shannon]

I thank the hon. Gentleman for that contribution. The Lord’s hand was protecting him, as I am sure he knows.

[David Simpson (Upper Bann) (DUP)]

I am sure my hon. Friend will agree that when people at home in Northern Ireland have received the call to put on the uniform of the Crown forces, they have never been found wanting. For them to be denied the full implementation of the Army covenant is nothing short of scandalous, and we need to keep working to achieve that full implementation for those men and women who have done their duty and tried to bring law and order to Northern Ireland. We need to keep working on this.

[Jim Shannon]

I thank my hon. Friend and colleague for those comments.

In the past few years, the Northern Ireland Assembly has had the longest sustained period of power sharing ever. Indeed, it is set to complete its first full term without suspension or collapse since before the start of the troubles. Let us look at the good things that are happening in Northern Ireland. Let us recognise that devolution is working and has the potential to work, and that under this “Fresh Start” agreement, it will do even more, only this time even better than it has in the past.

The peace has been hard earned and it is still fragile, but despite always being at the forefront of our minds, it is far from being our only achievement. The Assembly has achieved many things, including introducing free travel on public transport for the over-60s and securing Northern Ireland’s single largest investment by supporting Bombardier’s development of the new C series. Heating prices escalated, and we made payments totalling some £22.5 million to 150,000 households, with each household receiving a £150 fuel payment. The list goes on. It is clear that devolution with the Democratic Unionist party at the helm has really delivered for Northern Ireland.

This is a hard-won deal that is good for stability; good for Unionism; good for all parties; and good for Northern Ireland. We now have a real chance to go forth and build on what has been achieved to date. We can continue to build a new Northern Ireland for all of our citizens and for everyone who lives in Northern Ireland. We have learned from our mistakes when it comes to deals. If the deal does not resemble anything close to what we want, we must walk away. We have not walked away this time, because we have a deal. The “Fresh Start” agreement gives us a deal and a basis from which we can move forward. It gives us an opportunity to find a way forward for everyone in Northern Ireland.

It is important that we make the transition from agreement to implementation as smooth as possible. In his last speech as leader to the party conference, our former First Minister, Peter Robinson, said:

“Ulster is no longer at the crossroads—we’re on the motorway and on a clear path to a better future.”

We are very much in that position.

Building on the achievements of the Northern Ireland Executive, led by the DUP, we have secured the exemptions, subsidies and incentives we need to move forward. They include more than £500 million to help Northern Ireland move forward; and up to £2 billion from the UK Government to deal with welfare reform, corporation tax, legacy issues, and public sector reform. There are formal structures to deal with the scourge of paramilitarism so that we can confine that episode to the history books where it belongs. The devolution of corporation tax is a game changer. For too long, Northern Ireland has been at a competitive disadvantage with the Republic of Ireland, which has had a much lower rate of corporation tax. With Northern Ireland enjoying relative peace and a highly educated and motivated young workforce, it now has the power to overhaul and revolutionise the Northern Ireland economy, bringing in the real quality, world-class jobs that our young people too often seek on other shores.

The “Fresh Start” agreement does just what it says on the tin: it gives us a fresh start. Let us keep Northern Ireland on that motorway to a better future. Moving forward, we do not under any circumstances want Northern Ireland to be a special case. Indeed, building the new and leaving behind the old still remains the aim. It is hard-earned provisions such as corporation tax and other such measures in this deal that will facilitate the completion of the transformation of Northern Ireland society. We have a much better understanding among our communities, and a much better agreement on where we are going. We have a long-term vision for Northern Ireland that will benefit our children and grandchildren. That is what it is about. Let us get to work, finish the job, have a fresh start from here on in, and keep Northern Ireland moving forward.

Oral Answers to Questions

Jim Shannon Excerpts

Wednesday 2nd March 2016 Commons Chamber

[Jim Shannon (Strangford) (DUP)]

The Federation of Small Businesses indicates that some 32,000 jobs will be created by the corporation tax provisions, which the fresh start agreement secured. Sixty per cent. of those jobs in Northern Ireland are in the small and medium-sized business sector. What discussions has the Secretary of State had with the Department of Enterprise, Trade and Investment to ensure that small and medium-sized businesses benefit from the corporation tax reduction?

[Mrs Villiers]

I have had many discussions over the years with the Executive and Invest NI on those matters. We believe that the devolution of corporation tax could have a hugely positive impact on the Northern Ireland economy, including for small businesses.

Oral Answers to Questions

Jim Shannon Excerpts

Wednesday 20th January 2016 Commons Chamber

[Mr Wallace]

The hon. Lady points out an interesting anomaly, and in advance of today I have asked my officials to provide clarity. I do know that there is a court case pending—or before the courts—in Northern Ireland on that very issue. It is important that we get to the bottom of the differences between living in one part of the UK and another and what NHS services are available.

[Jim Shannon (Strangford) (DUP)]

In the 11 years since 2004 Northern Ireland has seen a 47% increase in new cases of HIV while on the mainland it has fallen by 20%. The same situation applies to other sexually transmitted diseases. What discussions has the Minister had—or what discussions will he have—with Health Ministers here on the mainland and in Northern Ireland to ensure that there is an overall regional strategy to address this?

[Mr Wallace]

I am very happy to have discussions with UK Ministers on that subject and certainly will write to my counterpart in the Executive to make sure that both we and the Executive are doing our fair share to make sure that we prevent the spread of sexually transmitted diseases.

Northern Ireland (Welfare Reform) Bill

Jim Shannon Excerpts

Monday 23rd November 2015 Commons Chamber

[Jim Shannon (Strangford) (DUP)]

It is a pleasure to speak in the debate and I thank you for calling me, Madam Deputy Speaker.

I am reminded of the passage in Scripture from Ecclesiastes chapter 3, verses 1 to 8:

“To everything there is a season”.

I believe the season for change is now and that the Bill can deliver that change for people.

I would like to start by paying tribute to the outgoing First Minister and DUP leader, the right hon. Peter Robinson. The DUP has been at the forefront of securing a new future for a new Northern Ireland, striking the right balance between bringing those of us more sensitive to the past along with those who found it easier to move on. It is thanks to people such as Peter Robinson who made difficult decisions and were willing to sacrifice themselves personally and politically, and even in terms of their health, that we have had the longest ever sustained period of power-sharing. We provided free travel on public transport to everyone over 60 and secured the single largest ever investment in Northern Ireland by supporting Bombardier’s £520 million investment in the new C-Series aircraft. In difficult economic times, when heating prices were escalating, we made payments totalling £22.5 million to 150,000 households, which each received a £150 fuel payment. Devolution, with the DUP and Peter Robinson at the helm, has delivered for Northern Ireland.

I put on record my thanks to the Secretary of State and the Minister for their patience, good temperament, energy and civility, and for staying the course. I say well done to the Secretary of State and to the Minister.

It is fair to say that the welfare reforms passed in this place in 2012 have plagued the Northern Ireland Executive and the Assembly over the past three years. Since the restoration of devolution in 2007, no other proposed legislation has had such a troubled passage through the Assembly, including other welfare reform. Indeed, the hon. Member for South Down (Ms Ritchie) guided a welfare reform Bill through the Assembly in 2010, despite the fact that it included some controversial changes to the employment and support allowance and the introduction of the bedroom tax for the private rented sector.

The failure to pass equivalent legislation to the Welfare Reform Act 2012 in the Northern Ireland Assembly has undermined political stability in Northern Ireland and threatened the very existence of devolution, largely because of the impact it was having on public finances and the sustainability of the Executive’s budget. Consistent with the statement of funding policy, Her Majesty’s Treasury began fining or penalising the Executive two years ago for the savings forgone as a result of the failure to pass welfare reform at Stormont. In 2013-14, £13 million was lost. Last year, the Executive’s coffers lost £87 million. This year, it has been approximately £9.5 million each and every month. In such tough financial times, that was money the Executive could ill afford to squander.

I am sorry to say that Sinn Féin and the SDLP failed to live up to their responsibilities. They even failed to live up to the commitments they made in the Stormont House agreement just last year. They were content to see the Executive lose more than £150 million, with one SDLP MLA even telling the Assembly that it was a price worth paying. Have we ever heard anything as nonsensical as that? A price was certainly paid, but it was paid by every person in Northern Ireland. It was paid by vulnerable people in Northern Ireland who were deprived of services for which the Executive could not afford to pay. The £9.5 million a month that the Executive have been losing could have paid for 1,800 knee operations and 2,100 hip operations. The self-styled defenders of the vulnerable—we have them here, sitting in front of us—were, by their inaction and irresponsibility, hurting and harming the vulnerable.

This past week, a way forward has been agreed. The “Fresh Start” agreement, forged after 10 weeks of talks, reaches a resolution on welfare reform. The agreement will see welfare reform enacted in Northern Ireland—what we are debating today—but recognises Northern Ireland’s particular circumstances via various flexibilities. The agreement explicitly rules out the introduction of the social sector size criteria, or bedroom tax as it has become commonly known. That is an appropriate reflection of the fact that Northern Ireland’s social housing profile has been skewed towards three-bedroom family homes and that in certain places, especially Belfast, moving from a three-bedroom home in one part of the city to a two-bedroom house elsewhere may involve crossing a peace wall. It is not, therefore, a simple or straightforward option for many.

The agreement also sets aside £345 million, an average of approximately £86 million a year over the next four years, to mitigate the worst impacts on Northern Ireland of welfare reform, including the bedroom tax. Professor Eileen Evason will head up a small working group to bring forward proposals within this financial envelope to maximise the use of those resources. The £345 million, and the very welcome £240 million set aside to compensate those hardworking people also adversely affected by the Government’s proposed cuts to tax credits, comes at a cost to the Executive, but we believe it will protect the most vulnerable. This party is out to ensure that we protect the vulnerable.

Some, in essence those who have resisted welfare reform from the start, have turned their attention to the fact that the Bill is passing into law through Parliament, as opposed to the Assembly. We have heard that from previous speakers. The Assembly, of course, passed a legislative consent motion last week. The argument that this legislation is not being scrutinised properly is false. In the past few weeks, it has been debated and debated and debated, in the Assembly, in its Committees and on the airwaves like no other issue in the history of devolution. The truth is that welfare reform needs to pass in Northern Ireland or else the existence of devolution will be in serious and immediate jeopardy. That is the fact of it. Without the enactment of the deal reached last week, the Executive’s budget will not work. More public money that could be spent on health and education will head back to the Treasury. Financial flexibility secured at Stormont House will collapse and the long-term sustainability of the Executive’s finances will be fatally undermined. On the whole, the agreement looks like a good deal for stability, for Unionism, for all parties and for Northern Ireland. We have a chance to go forth and build on all that has been achieved to date and to continue to build a new Northern Ireland for all our citizens.

I hope that the fresh start can be just that, but for now it is important that we make the transition from agreement to implementation as smoothly as possible. We have been waiting months for the agreement to cement Northern Ireland Assembly’s future, and today we are playing our part in that process, ensuring that—to use a recently used phrase—we are not on the wrong side of history. As our First Minister said in his last speech to the party conference as leader on Saturday, Ulster is no longer at the crossroads, but on the motorway to a better future. Building on the achievements of the Northern Ireland Executive, led by the DUP and Peter Robinson, we have secured the exemptions, subsidies and incentives we need to keep Northern Ireland moving forward: the promise of more than £500 million; formal structures that deal with the scourge of paramilitarism and confine that episode to the history books—where it belongs; more help for health, including financial commitments, including for those with mental health issues and other vulnerable people in our society; and, of course, the devolution of corporation tax, which, as many of us know, is a game changer.

[David Simpson]

My hon. Friend will have heard the speech from the hon. Member for Belfast South (Dr McDonnell), who said that corporation tax was not a silver bullet. Is it not ironic that during the negotiations on the financial bail-out, one of the things the Republic of Ireland held on to was the corporation tax level?

[Jim Shannon]

My hon. Friend is absolutely right. We know corporation tax is not a silver bullet, but it would make a big, big difference to Northern Ireland. We see it as the catalyst for more jobs, a better economy, improved opportunities and the wage packets that people need in Northern Ireland, so we would like that issue resolved as well. As he said, Northern Ireland has for too long been at a competitive disadvantage from the Republic of Ireland’s much lower rate of corporation tax.

[Mr Gregory Campbell]

The day after the agreement was signed, the headline in one of the main newspapers in the Irish Republic was that the battle was on for jobs. They obviously appreciate the nature of the competition and the advantage that Northern Ireland will now have over them.

[Jim Shannon]

The battle is truly on, and the battle for us, as MPs, is to ensure that the jobs come to Northern Ireland, and that is what we will do. With Northern Ireland enjoying relative peace and a highly educated and motivated workforce, we now have the power to revolutionise its economy.

[Dr Alasdair McDonnell]

The hon. Member for Upper Bann (David Simpson) misconstrued my argument. I said that corporation tax was a useful tool but not a silver bullet and that we could not continue to do without the necessary skills, apprenticeships and general training. Major companies, including Almac in his constituency, are having to move abroad. Does the hon. Gentleman accept that, along with corporation tax, we need the necessary third-level education and skills?

[Jim Shannon]

For the record, the money to upskill the workforce to do those jobs is provided in the agreement. When it comes to further education or upskilling in companies or factories, the agreement gives us the chance to do something. We have to realise the good things about the agreement. My right hon. Friend the Member for Lagan Valley (Mr Donaldson) talked about people in the House and outside too often talking down Northern Ireland. That talk frustrates and scunners me. We need to consider the positives.

The Northern Ireland economy needs to bring in the quality and world-class jobs that too often our young people seek on other shores. We need to bring them home and give them the chance to do those jobs in Northern Ireland. The agreement does just what it says on the tin: it gives us a fresh start. Let us finish the job and keep Northern Ireland on that motorway to a better future. Moving forward, we do not want Northern Ireland to be a special case under any circumstances. Building the new and leaving behind the old still remains the aim, but it is hard earned, and provisions such as corporation tax and others in the deal will facilitate the transformation of Northern Irish society.

In conclusion, no Northern Ireland Member is enamoured with the proposed welfare reform legislation, which is why we opposed most of it, but we have to be realistic. Social security in Northern Ireland has always operated on the basis of parity with Great Britain. Refusal to enact reforms will come at a cost. Northern Ireland can and will pay a price to protect the most vulnerable, and the “Fresh Start” agreement does just that. It is time for sense to prevail. Northern Ireland will have the most generous welfare system in the whole of the United Kingdom of Great Britain and Northern Ireland. We will also put our public finances back on a sound footing, not least by unlocking a sizeable financial boost from Her Majesty’s Government. Most importantly, however, we will have saved devolution.

Parachute Regiment: Arrest

Jim Shannon Excerpts

Wednesday 18th November 2015 Commons Chamber

[Mr Wallace]

I hear what my hon. Friend says and I do not disagree with him. Like him, I have had personal experience of that restraint. We should not forget the tremendous pressure that soldiers and police were put under every day, including provocation. I remember soldiers being attacked and people parking their cars in front of ambulances so that they could not come to their rescue. There was inhumane treatment, murder and victimisation by parts of a society that we were there to try to protect. Like my hon. Friend, I have real passion for what our soldiers achieved. The United Kingdom Government recognise and support that. He will also recognise that those soldiers who showed restraint are the ones who make ours the best Army in the world. Their professionalism meant that they managed to carry on and try to achieve a better result for the people of Northern Ireland, who they were there to protect, and that restraint means that those people who have a chance to clear their name should be allowed to do so. It is those soldiers who follow the rule of law who are only ever let down by those very, very few soldiers who break the law.

[Jim Shannon (Strangford) (DUP)]

I concur and agree wholeheartedly with the comments of the hon. Member for Aldershot (Sir Gerald Howarth). The diligence and zeal shown by the authorities in questioning and detaining Parachute Regiment soldiers cause concern when compared with the treatment of on-the-runs, who have committed horrible, brutal, evil crimes and are free today, some in elevated positions across the Province and in other parts of Ireland. Does the Minister appreciate the anger that many feel towards the double standards evidenced by what is happening today?

[Mr Wallace]

The hon. Gentleman is right and I understand his point. Indeed, I was on the Back Benches during the whole on-the-run process. I cannot comment much further on the on-the-runs, other than to say that it is my understanding, unless I am corrected, that the on-the-runs are not subject to any amnesty, and that means that they are not free from prosecution. I hope that the prosecuting authorities will hear what we say today and make sure that they continue, where they can, prosecutions of any of those individuals who have committed crimes against our armed forces and the people of Northern Ireland.

Paramilitary Groups (Northern Ireland)

Jim Shannon Excerpts

Tuesday 20th October 2015 Commons Chamber

[Mrs Villiers]

For clarification, the assessment in relation to the paramilitary organisations does not indicate that those organisations are no longer on ceasefire. However, I think that my hon. Friend’s question was primarily about the Stormont House agreement. As the House will be aware, the major blockage on the Stormont House agreement is that the two nationalist parties, having signed up at Stormont castle to welfare reform with top-ups from the block grant, then withdrew their support. That is an instance where two of the parties signed up to something and are not currently supporting it, but I hope we can find a way to get their support back in the days to come.

[Jim Shannon (Strangford) (DUP)]

As the Secretary of State has indicated, dissident republicans are very active and deadly. The PSNI is on a high alert. Army units have been sent to the Province to give assistance to the PSNI. The terrorist threat is at a severe level in Northern Ireland. The law-abiding overwhelming majority of Northern Ireland citizens are sick to the back teeth of this cancer in our society. Does she agree that only by taking a ruthless and uncompromising approach to paramilitary activity can we have a real chance to heal the scars on the face of Northern Ireland once and for all?

[Mrs Villiers]

We certainly need an uncompromising approach to pursuing criminality wherever it is found. It is also important to harness the activities of wider society. One of the problems in getting convictions for things like paramilitary assaults is that people feel afraid to come forward and give evidence. We need to reflect on what more can be done to give them the confidence to confront these individuals in their communities and to come forward and give evidence in court when those individuals commit crimes.

Oral Answers to Questions

Jim Shannon Excerpts

Wednesday 14th October 2015 Commons Chamber

[Mr Wallace]

There has never been a place in United Kingdom politics for terrorism, and nor is there a place in UK politics for people who refuse to condemn terrorism.

[Jim Shannon (Strangford) (DUP)]

The IRA terrorist campaign led to the deaths of 3,750 people. The IRA has stated that it has not gone away, its guns have not gone away, and over the last three months its murderous ways have not gone away, either. Will the Minister confirm the commitment by the Government of the Irish Republic to reduce IRA activity and to catch IRA members involved in murders and criminal activity in that jurisdiction in the past and today?

[Mr Wallace]

I again place on the record my condolences and those of my right hon. Friend the Secretary of State to the family of Garda Golden, who was brutally murdered last week. I was in Dublin only a few weeks ago, and it is absolutely the Irish Government’s intention to pursue men of violence and terrorists on their side of the border and to assist the UK Government on our side of the border.