Iraq: Coalition Against ISIL

Jim Sheridan Excerpts

Friday 26th September 2014 Commons Chamber

[Edward Miliband]

My right hon. Friend speaks incredibly powerfully. In the examples he cited, many of us may feel that there was a case for intervention that was not taken up. These decisions are always incredibly difficult, but if we can help innocent people who are under threat of persecution, it is right to do so.

[Jim Sheridan (Paisley and Renfrewshire North) (Lab)]

My right hon. Friend is absolutely right in supporting this motion, but may I press him on our role in the world and how it is perceived by people outside? This hokey-cokey approach to international conflicts concerns many people who have just seen thousands of innocent Palestinians murdered while we stood on the sidelines. Will he confirm to the House that he will show the same commitment, and push for resources, to get a satisfactory conclusion in Palestine?

[Edward Miliband]

I agree that it is right to speak out on these issues—and to speak out without fear or favour—and to pursue the two-state solution that we need.

Transatlantic Trade and Investment Partnership

Jim Sheridan Excerpts

Tuesday 25th February 2014 Commons Chamber

[Jim Sheridan (Paisley and Renfrewshire North) (Lab)]

I congratulate my right hon. Friend the Member for Wentworth and Dearne (John Healey) and others on securing this important debate. I also congratulate him on the measured way in which he presented his progressive arguments.

The TTIP could be a good deal. It has the potential for job creation, higher wages for workers and a better deal for consumers. Trade across the Atlantic between the US and the EU is a fact of life and the US is the UK’s biggest export market. If people want to buy and sell across the water, we should do all we can to make it convenient for them to do so. But here is the key: we should have an agreement that helps ordinary people, not big corporations and big businesses. As it stands at the moment I, along with a number of my colleagues both in this House and in the trade unions, are concerned that the TTIP will allow companies to wield control over national Governments and in the long run may not help those we are told it will. The negotiations for this agreement are lacking transparency and we need more information and some people championing ordinary people’s rights before we can accept what is on the table.

We are told by the European Commission that the agreement will give an extra €545 per year to a European family of four, but only one major study has been conducted—by the Centre for Economic Policy Research, two thirds funded by investment banks, asset managers and European central banks. We need better projections to identify the economic and social impact of the deal. An average figure is not good enough. We know, for example, that while the EU motor vehicles labour force could expand by up to 1.28%, other sectors, such as communications, electrical machinery and metals, are likely to contract.

[Julian Smith]

Will the hon. Gentleman give way?

[Jim Sheridan]

The hon. Gentleman has had a good run so far today. I am conscious of Madam Deputy Speaker’s instructions.

The sustainability and employment impact assessment will not be completed until the end of the year and so we are in the dark about what we are signing up to. A much fuller study needs to be conducted as well on social, environmental and labour rights. When I was a shop steward I would never have considered negotiating without all the facts that were available to me. This agreement is on a far bigger scale and our Governments, with all the experts they have to hand, are going into this agreement without the information.

[Mr Jim Cunningham (Coventry South) (Lab)]

I agree that this could lead to protection for employees and the environment being waived. We need stringent safeguards. It could also lead to further privatisations if we are not careful.

[Jim Sheridan]

I thank my hon. Friend and he raises the concerns of many of us. It is irresponsible and I believe negotiations should wait until we have a full understanding of the implications.

I spoke about labour rights, and I can certainly say more about this. As chair of the Unite the Union group in Parliament, I have spent my career fighting for the rights of workers here in the UK. Now I see an agreement that could undermine their rights and an opportunity lost to support our friends in the unions in the US. The US has ratified only 14 of the 190 International Labour Organisation conventions, unlike EU member states who have ratified them all. I understand that with this anti-union Government and the pull of the US Republicans we are unlikely to see the inclusion of rights to organise, rights to bargain collectively or as a last resort rights to strike, but there are some rights that are applicable across the EU, such as those on information and consultation, agency and temporary workers, and health and safety, which we could and should see included. If nothing else, the deal should not lead to a watering down of workers’ rights. I am pleased that the EU is consulting an advisory group of trade unionists, non-governmental organisations and employers, and that the Department for Business, Innovation and Skills is involved in a similar process. I hope that those in charge of negotiations listen to these groups, who I am sure will be keeping a close eye on labour rights, and act on their advice.

Many of my colleagues have raised the issue of the investor-state dispute settlement, which worries a good number of people. We already live in a world where certain global corporations seem to get away with breaking the rules and going over the heads of national Governments. The tax avoidance of global companies such as Amazon, Starbucks and Google, to name just a few, is unacceptable, but a stronger UK Government could hold them to account. The ISDS sets up a system where multinational corporations can challenge and sue Governments, but neither Governments nor individuals are granted rights to hold corporations accountable.

This is not just an empty concern: we see negative consequences in other countries. In Egypt, Veolia has attempted to use this system against the Government for raising the minimum wage. In Slovakia, the Government had to pay $22 million in fines after they reversed the liberalisation of health insurance. These decisions have been made for the good of these countries’ citizens and Governments should not be held accountable by business for making decisions that are for the good of society.

We can easily imagine this happening here. Energy companies are scaremongering about my party’s “freeze that bill” idea, and they might argue that it is a barrier to free trade. We see that we need to halt the market and make sure it is fair and competitive. We are protecting consumers and, in particular, the most vulnerable in our society who are paying through the nose for their energy. A 2015 Labour Government should not and will not bow down to pressures from these energy giants, and they should not be threatened by the existence of an ISDS. In recent history we need only look at what happened with the INEOS corporation at Grangemouth and the disgraceful way it treated its workers, with its attempts to blackmail the taxpayer for money.

Equally, Governments should be able to decide if and when industries should be returned to public control. As has been said, a key anxiety is that if the NHS is not exempt from the TTIP, corporations will use the agreement to force more large-scale privatisation following implementation of the Health and Social Care Act 2012 in England and Wales. What if a future Government or local authorities decided to return transport to public ownership? These measures could limit the ability of local or national authorities to use public money to achieve social and environmental outcomes through their supply chains. Decisions such as this should not be based on free trade. We need to retain our ability to run EU member states as we see fit, rather than as multinational corporations see fit.

A question was asked earlier about the possible impact of our leaving the EU on this potential deal. I would also ask about the impact of Scotland’s pulling out of the UK. Unfortunately, not for the first time, no representative of the Scottish National party is present. [Interruption.] I see that one has turned up at the last minute.

If we are to accept this deal, there must be three certainties. First, there must be realisable growth in jobs and incomes, particularly in manufacturing. Secondly, the ISDS must be dropped and regard paid to the exclusion of public services. Thirdly and most important, there must be improved labour rights that are binding on the signatory parties.

Oral Answers to Questions

Jim Sheridan Excerpts

Wednesday 6th November 2013 Commons Chamber

The Secretary of State was asked—

[Jim Sheridan (Paisley and Renfrewshire North) (Lab)]

1. What assessment he has made of the potential effects of the legacy of the Glasgow 2014 Commonwealth games on the UK tourism industry.

[The Secretary of State for Scotland (Mr Alistair Carmichael)]

The Glasgow 2014 Commonwealth games provide a great opportunity to showcase Glasgow to the world. Following my recent meeting with Gordon Matheson of Glasgow city council, I am left in no doubt that the games will provide a long-lasting legacy of which the people of Glasgow can be proud. The United Kingdom Government are taking every step to promote the business opportunities that the games present, and I should be happy to receive suggestions in that regard from any Member in any part of the House.

[Jim Sheridan]

I welcome the Secretary of State to his first session of Scottish questions. I also send best wishes to his predecessor, who was a thoroughly decent man. [Hon. Members: “Hear, hear.”]

Next year’s Commonwealth games will attract thousands of visitors to Scotland. I believe that the best legacy that we can give them is to ask them to come back and visit us again, but that may be extremely difficult for some, given the high rate of air passenger duty. Will the Secretary of State ask his colleagues in the Treasury to review the position, and to carry out an impact assessment of the effects of APD on tourism in Scotland and in the United Kingdom as a whole?

[Mr Carmichael]

I am grateful to the hon. Gentleman for his welcome to what is, in fact, my first session of Scottish questions as Secretary of State. I have been present for Scottish questions once or twice before.

Let me also associate myself with the hon. Gentleman’s tribute to my right hon. Friend the Member for Berwickshire, Roxburgh and Selkirk (Michael Moore), who did an excellent job. The additional powers that were given to the Scottish Parliament through the Scotland Act 2012 and the negotiation of the Edinburgh agreement are a lasting legacy from him.

I am aware that Glasgow airport is an important asset for the hon. Gentleman’s constituency, and I commend him for the vigorous way in which he prosecutes its interests. I always welcome any representations from Members in any part of the House, but air passenger duty is a matter for the Chancellor of the Exchequer, and the hon. Gentleman should get his representations in early ahead of the autumn statement. Good luck to him.

Oral Answers to Questions

Jim Sheridan Excerpts

Wednesday 30th October 2013 Commons Chamber

[The Prime Minister]

My hon. Friend is absolutely right. Whoever was in government right now would have to make difficult reductions in the public sector, and obviously that leads to the reduction of some public sector jobs, so we need a strong private sector recovery. That is what we have seen—1.4 million more jobs in the private sector, meaning that overall there are 1 million more people employed in our country. That is 1 million reasons to stick to our plan and reject the medicine suggested by the Opposition.

[Jim Sheridan (Paisley and Renfrewshire North) (Lab)]

Q10. Current legislation to protect agency workers was designed to stop the exploitation of migrant workers and also to protect the wages and conditions of our indigenous workers. I know that the Prime Minister has been lobbied on this issue, but can he reassure the House that he will resist any temptation to dilute even further the protection for agency workers?

[The Prime Minister]

What I want to see are more jobs in this country, and that means making sure we keep our flexible work force. What the hon. Gentleman did not tell us, of course, is that he chairs the Unite group of Labour MPs. Perhaps he ought to declare that when he stands up. While he is at it, perhaps he could have a word with Mr McCluskey and say that we need a proper inquiry into what happened in Unite and a proper inquiry into what happened in Grangemouth, because we all know that the leader of the Labour party is too weak to do it himself.

Oral Answers to Questions

Jim Sheridan Excerpts

Wednesday 9th October 2013 Commons Chamber

[The Prime Minister]

I will look carefully at what my hon. Friend says. It is good that we will now have the same system for free school meals for sixth-form colleges and for secondary schools and I also think that it is very welcome that children in infant school will not have to pay for school meals. I will look carefully at his point about VAT.

[Jim Sheridan (Paisley and Renfrewshire North) (Lab)]

Q9. The Prime Minister will know from his script that I am an extremely proud member of the trade union movement, which seeks to stand up for millions of workers in the public and private sectors and whose living standards have been drastically reduced under his watch. What personal sacrifices have he and his family had to make during these austere times, given that we are all in this together?

[The Prime Minister]

I am glad that the hon. Gentleman stands up as a proud trade unionist and, just as I welcome the reshuffle, I am sure that Len McCluskey is delighted with it. Len McCluskey and the Leader of the Opposition probably would not call it a reshuffle—they would call it a purge, because Len McCluskey asked for the Blairites to be purged and they have all gone. The fact is that it has been tough and difficult in our country because of the appalling deficit and debt that the hon. Gentleman’s party left from when it was in government.

Points of Order

Jim Sheridan Excerpts

Wednesday 9th October 2013 Commons Chamber

[Kerry McCarthy (Bristol East) (Lab)]

rose—

[Jim Sheridan (Paisley and Renfrewshire North) (Lab)]

rose—

[Mr Speaker]

The hon. Lady is in a state of high excitement in anticipation of her point of order, which I am keen to hear, but I would like some order in the House first. Members leaving the Chamber should do so quickly and quietly, demonstrating the same courtesy towards other Members that they would want to be extended to them in comparable circumstances. We will take the hon. Lady’s point of order first, because I am saving the hon. Gentleman up.

--- Later in debate ---

[Mr Speaker]

A variety of mechanisms are open to the hon. Lady and other Members to ensure that such rigorous and detailed scrutiny takes place. In the meantime, however, the hon. Lady can satisfy herself with the thought that tomorrow will indeed be the occasion for DEFRA questions; I confidently predict that she will be in her place. Thereafter, all sorts of things can happen. To judge by the experience of the House, they probably will.

[Jim Sheridan]

On a point of order, Mr Speaker. It is becoming increasingly clear at Prime Minister’s questions that the Prime Minister refuses to answer the simplest questions. Instead, he answers questions that have not been asked. May I ask you to use your influence to remind the Prime Minister that he is there to answer the questions asked, not those he thinks should be asked?

[Mr Speaker]

I am grateful to the hon. Gentleman for that attempted point of order. He has put his concerns on the record. I say in all seriousness that I listen intently to everything that is said in this Chamber because that is my duty. From time to time, I will intervene if I think that we are off piste or that exchanges are taking too long. However, I hope that the hon. Gentleman and other Members will feel confident that I am attending closely. I am aware that the session is entitled “Questions to the Prime Minister”. We all accept and everybody understands that the clue is in the title. We will leave it there for today.

Syria and the Use of Chemical Weapons

Jim Sheridan Excerpts

Thursday 29th August 2013 Commons Chamber

[Edward Miliband]

No, I want to make this point.

I do not rule out supporting the Prime Minister, but I believe he must make a better case than he has made today on this question. Frankly, he cannot say to the House and to the country that the Government motion would not change our stance on Syria or our involvement in the Syrian conflict. It would, and the House needs to assess that.

Our amendment sets out a road map from evidence to decision that I believe can command the confidence of the House and the British public. Crucially, the amendment would place responsibility for the judgment on the achievement of the criteria for action—reporting by the weapons inspectors; compelling evidence; the vote in the Security Council; the legal base; and the prospect of successful action—with this House in a subsequent vote.

I hope the House can unite around our amendment, because I believe it captures a view shared on both sides of the House, both about our anger at the attack on innocent civilians, and about a coherent framework for making the decision on how we respond.

[Jim Sheridan (Paisley and Renfrewshire North) (Lab)]

May I thank my right hon. Friend and the shadow Foreign Secretary for the measured approach that they are taking on this very serious issue? Does my right hon. Friend agree that any reckless or irresponsible action could lead to full war in that area? We must understand from previous conflicts that war is not some sort of hokey-cokey concept; once you’re in, you’re in.

[Edward Miliband]

That is why there must not be a rush to judgment—my hon. Friend is entirely right.

Charities (Donations)

Jim Sheridan Excerpts

Tuesday 8th January 2013 Westminster Hall

[John Robertson]

I am sorry, but the hon. Gentleman did not come to me before the debate, so I will not give way.

People want to give, but they simply cannot afford to give as much as they used to. The problem is reaching breaking point. With the recent child benefit reductions and welfare reform at the forefront of hundreds of thousands of people’s minds, charities are being stretched in two directions. For many families, the reduction in income will mean they simply cannot afford to give as much as they used to, leading to reduced budgets for charities. We recently had a debate in the Chamber on food banks, which are classic examples of the strain facing charities during the financial crisis. For example, in the last year, the Trussell Trust almost doubled the number of food banks it oversees from 149 to 293. The BBC recently ran a report about a mother who is a full-time carer to one of her children and is relying on that charity for emergency food parcels. Her words echoed those of many people throughout the country:

“I choose between whether to pay my electricity company...or feed my kids”.

I am sure that the Minister is aware that I often criticise energy companies for their selfishness when raising their prices, and that should be addressed, but we can help to ease the burden in the face of corporate greed by making it easier for charities, such as the Trussell Trust, to secure donations. Similarly, the homelessness charity, Shelter, has seen an 80% increase in demand for homelessness services in the last three years. Additional funding is needed immediately to support its work, and as we enter the coldest part of the year more will be needed.

Elderly people—I have many in my constituency—are also struggling with cuts and rising living costs. In Glasgow, there are now more senior citizens than 16-year-olds. That is a growing trend, and the growing proportion of elderly people will put more strain on our resources. Charities such as the excellent Glasgow Old People’s Welfare Association face rising demands on their resources and rely heavily on increased donations. We must support their work so that they can support elderly people. Demand on such charities will only increase as people start to feel the pinch of years of austerity policies.

Last week, there were reports that a triple dip recession is feared, so 2013 will be a difficult year for many. More and more people will turn to charities for support in their time of need. The Margaret Carey Foundation says:

“Were the charity sector to go into steep decline, the state would have to step in or…just stand by and watch people suffer as a consequence of not having a support system.”

Due to the enormity of Government cuts, I fear it would be the latter. Supporting our charities is an absolute priority, but 20% say they fear they may close this year. We must do something urgently to secure their financing structures.

Unlike many businesses, charities do not have the luxury of reserves to cover income shortfalls, and this year will be a breaking point. The Charities Aid Foundation reports a £300 million deficit in the funds of more than 90% of small and medium-sized charities, and those not facing closure will reduce services.

A key aspect of harnessing donations is to make them more secure and effective, especially with the 20% drop in the last year. It is increasingly difficult to get the other 80%. Cystic Fibrosis Dream Holidays says:

“It is becoming more and more difficult to raise the funds we need. We seem to be doing twice the work to raise half the income!”

The Refugee Youth Project, a charity that provides support to young people who have fled to the UK, relies heavily on donations. Some significant costs on charities are not covered by project budgets, so they desperately need unrestricted funding, primarily from donations, to stay alive. Funding from donations is also used to develop research and to pilot new initiatives with young people, allowing the charity to grow and to increase its effectiveness. Project budgets may be financed by Government grants, but that is no good if the backbone of the charity is not supported by donations.

Many charities also rely on the selling of unwanted goods in shops around the country, but Age UK has noted a 20% drop in doorstep donations of unwanted goods, and I am worried that that will only increase as the world moves to online shopping. Online marketplaces, such as Amazon, make it easier and quicker to sell unwanted items, and that is increasing. The British people are finding that they cannot get such books, CDs and other items in charity shops, and the number of those shops will decline. Comic Relief and Sport Relief are doing an excellent job, but we cannot rely all the time on the money that they are raising. It is easier for them to do so, but the lifeline and money that are needed are not there. The fact that charities now have to consider UK problems as a more pressing priority means that international charities will get less, so there will be a reduction in money to developing countries. Donations from UK residents are dropping, and I suggest that, if that trend continues, donations to charities that distribute in the UK will be given priority by donors. That is shown by the food banks that we discussed earlier.

Some things must be done. I was privileged to chair the Committee that considered the Small Charitable Donations Bill, which aimed to make gift aid simpler. However, in the face of such a crisis, that is simply not enough. Charities employ the most successful fundraisers and they are very good at what they do, but a few steps from Government could make a huge difference to the amount they receive. Over £750 million of gift aid goes unclaimed each year. It is clear that more needs to be done to get that to those who need it most.

[Jim Sheridan (Paisley and Renfrewshire North) (Lab)]

That is a significant amount of money—£750 million unclaimed. Do my hon. Friend or the Minister have any idea where that money is and how it can be accessed by charities, including a number of charities on my own patch? Erskine, which looks after disabled service personnel, would very much welcome access to that kind of money.

[John Robertson]

My hon. Friend is absolutely right. The Erskine hospital fund is greatly supported by many companies, as well as many people in the Glasgow area, but it may find that it does not get the funding that it has had in the past. Perhaps the Minister could answer what happens to that £750 million. Please do not tell me, Minister, that it goes back to the Treasury, when people really need it and we can direct it to some of those charities, rather than giving it to the Chancellor of the Exchequer.

We desperately need to modernise an outdated system. The fact that people fill in a gift aid form each and every time they donate is ridiculous. We could have a central database of gift aid donors, which would allow charities to claim it much more easily. They could check their donor quickly and easily against the system, so that they would not need to rely on people making extra effort each and every time they donate.

We also need an awareness campaign on the gift aid scheme. Many people do not use gift aid, because they simply do not know it exists. An awareness campaign could encourage thousands of people to take that extra step and allow gift aid, which is a great benefit to charities, at no additional cost to the donor. If charities were able to claim gift aid on doorstep donations, we could also mitigate the crisis with our charity shops. Charities may see donations decreasing, but that step from Government could see smaller amounts of donations go further. Following the reduction in donations, Age UK has seen a real-terms reduction in potential income of £750,000. Payroll giving—whereby money is taken out of employees’ pay packets—is also massively underused. Only 2% of employees use it, and yet giving £10 could cost them as little as £5. We need to push that further, and education is needed.

We also need to help charity donations to move into the new millennium. Many small charities cannot benefit from text donations due to high—actual or perceived— set-up costs. However, a key issue is that Apple, for example, does not allow direct donations from applications on smart phones. That is ridiculous. It would be simple to donate. The Government have been looking publicly into the issue since around 2011, so why has nothing been done?

We also need the Government to act on data about donating habits. We know that older people donate more. Why, and how can we harness that? We know that younger people donate less. How can we target them specifically? Are the Government scrutinising that data? We welcome the Innovation in Giving Fund, which will give rise to the use of new technologies targeting that group, but we need to ensure that any innovations are available to smaller charities as well.

As our move towards new technologies may reduce the role of our charity shop culture, we need to look at how we can move it online. It seems that the rise of e-books, for example, is a huge blow to the second-hand book trade. With Amazon taking a huge profit from that technology—while paying no corporation tax, it must be stressed—here is a chance for it to play a role in facilitating a charity book culture online. Could Kindle users donate their old books to a charity marketplace, and could they be resold with donations shared between Amazon and chosen charities? Could the same work be done with music? We owe it to Britain’s charities to look into how such a scheme might work, and how else online shopping could be used to benefit our voluntary organisations. We also need a way for people to identify how their donations are distributed and what percentage actually gets to the people who are being targeted.

There is some concern that a small minority of charities are not reputable. We believe that it is necessary to encourage people to trust the majority of charities that truly help people. Therefore, I would like to see a central portal where we can see how reputable they are and how donations are spent.

Finally, we need to protect our smaller charities. They are often disadvantaged through a lack of expertise in fundraising techniques. We need a system of sharing that knowledge. The Government should work together with charities of all sizes to provide training on fundraising techniques and on the ways in which they can reach the full potential of each donation given. There is also a role for business to play in training, and employees should be encouraged to donate their time to smaller charities to help them to modernise fundraising systems.

We are facing a crisis in the economy and a knock-on crisis in the charity sector. People want to donate, but I do not believe that they know the full potential of what they can do. Charities provide a vital service that we cannot do without, and we need to tackle the problems now before it is too late. I call on the Government to set to work on a comprehensive strategy to save our charities.

--- Later in debate ---

[Miss Smith]

My hon. Friend makes a fascinating point, and I am always very interested to hear his ideas, some of which I have time to debate at length with him in this Chamber. I shall ensure that that idea goes where it can be well considered.

In answer to the point made by the hon. Member for Glasgow North West, the instigator of the debate, I think that the most important way to help smaller charities is to reduce the costs and burdens associated with what the state can provide to charities. That includes what we did in Budget 2011, which made it clear that we intend to make it easier for charities to claim gift aid by introducing a new IT system that will allow charities to claim gift aid online and through, as I mentioned, the gift aid small donations scheme, which will allow charities of all shapes and sizes—we hope that it will be of particular benefit to small local charities—to claim top-up payments equivalent to gift aid on small cash donations of up to £5,000 a year, without the need to have gift aid declarations from donors. That scheme should commence in April of this year, and as I mentioned, it is expected that it will increase the amounts received by charities by about £100 million a year. It is my sincere hope that it will be put to very good use by smaller charities as well as others.

[Jim Sheridan]

Can the Minister confirm whether the figure of £750 million is correct and, if it is correct, how small charities in particular access it?

[Miss Smith]

If the hon. Gentleman will forgive me, I shall have to write to him on the figures because I did not catch the one that he was referring to. I will ensure that he gets the correct Minister’s response to the figure given. He does give me the opportunity to answer a question that was posed earlier: what happens to unclaimed gift aid? I think that both he and the hon. Member for Glasgow North West mentioned a £750 million figure in that regard. If they will forgive me for making a particularly political point at this stage, it is important to note that there is no such thing as a Treasury coffer that just sits there. There is no such thing as the Chancellor wishing to stockpile. There is every such thing as public spending, and if money that is within the public finances is not spent on one thing, it is spent on another. That is a very important point to note. I could also note plenty of other things that past Governments failed to do with public spending, such as control it properly, but I think that what is most helpful in this debate is to come back to the reasons why gift aid may be unclaimed. I want to return to that because I think that it is the constructive area for us to debate. We need to ensure that everyone who has a reasonable business claiming gift aid can do so easily, without costs and burdens.

I want to go on to payroll giving. The Cabinet Office, the Treasury and Her Majesty’s Revenue and Customs will come together to produce a joint consultation document on payroll giving in due course. I hope that that reassures the hon. Member for Glasgow North West on some of his points. We are further supporting giving at the top end by ensuring that people who donate at least 10% of their estate to charity will be eligible for a reduction in their inheritance tax bill from 40% to 36%. That is an incentive to help giving as well.

The hon. Gentleman suggested a number of other ideas to increase giving, and I am grateful for them. We will look at many of them; we will constantly look at this issue. We are making £10 million available to the Innovation in Giving fund. Many of the schemes use technology to further their aims. That fund will be delivered by NESTA—the National Endowment for Science, Technology and the Arts. In England only, I should note, the fund will find and support the growth of the most promising ideas with potential to create a step change in giving. That is something that we can all welcome.

In addition, the Institute of Fundraising, which is one of Government’s strategic partners, provides training and guidance to small organisations on fundraising issues. We are also doing much to support the giving of time and wider community action, such as through the National Citizen Service, which gives young people the chance to do voluntary activities, meet new people and put something back into their communities. We are supporting Join In, to encourage people to volunteer and get involved in local sports clubs.

We are also supporting the sector to find other forms of income. We launched Big Society Capital with up to £600 million. That is the world’s first social investment institution. We have provided support with a wider package of social investment measures. In addition, the Cabinet Office recently published guidance entitled “Making it easier for civil society to work with the state”, which brings together the range of reforms across the Government and the wider public sector. That is aimed at making it easier to set up and run a charity. Part of that is that charities and social enterprises should be able to shape and deliver public services.

We are doing much to support charities to work better, including finding sources of income, through the £30 million Transforming Local Infrastructure fund, to help 74 local support organisations to improve their performance in supporting front-line organisations locally. We have looked at the bureaucracy that frustrates charities and adds to their costs and expenses. We are making good progress in implementing the recommendations on red tape that Lord Hodgson made in 2011 and are undertaking a red tape challenge for the civil society sector.

I should like to make one brief point on the international aspect, which the hon. Gentleman’s comments very interestingly turned to. I am sure that he would welcome, in both the coalition agreement early on and yesterday’s mid-term review, the reinforcement of this country’s aim to give 0.7% of our GDP to development aid. That is an important way to fulfil the aspiration that his speech articulated, and we should not forget it.

The Government recognise that charities face a challenging time in the current economic conditions. We will continue to work with the sector to help them.

Question put and agreed to.

Regional Pay

Jim Sheridan Excerpts

Wednesday 20th June 2012 Commons Chamber

[Rachel Reeves]

The hon. Gentleman should speak to the 9,500 public sector workers in his constituency. That number is substantially larger than his majority.

What families and businesses in these parts of the country need is not an even tighter squeeze on the wages of the people who are keeping their public services running, but a Government with a proper plan for jobs and growth who will work actively with businesses to get investment flowing into the sustainable, competitive, high-value industries of the future. That is what we need to improve living standards and economic opportunities in every part of the country.

[Jim Sheridan (Paisley and Renfrewshire North) (Lab)]

My hon. Friend has highlighted the enthusiasm of the hon. Member for South Northamptonshire (Andrea Leadsom) for these measures. It may be helpful to share with the House the fact that the same Member is asking for exemptions from the minimum wage for employers. Perhaps that is the real agenda here.

[Rachel Reeves]

I thank my hon. Friend for mentioning that. That is how the Government will get the economy moving again—by cutting the pay of the most vulnerable workers and introducing regional pay.

--- Later in debate ---

[Jim Sheridan (Paisley and Renfrewshire North) (Lab)]

It was extremely interesting to hear the contributions of the hon. Members for Hexham (Guy Opperman) and for Brigg and Goole (Andrew Percy). All that I can say is that there is room for them on the Labour Benches should they wish to come across. We even have our own private section should they wish to make progress.

Tomorrow, the House will pay tribute to Aung San Suu Kyi, and no doubt Ministers and Government Members will be pushing forward to get their pictures taken with her for their press releases. They should remember what she has stood for—fairness for workers, regardless of their social background or where they come from. When Members are speaking to her tomorrow, perhaps they will remember that.

Any sensible, decent Government have a responsibility to promote fair employment, and that cannot be done by paying nurses, teachers, jobcentre staff and so on less to work in poorer parts of the country. Indeed, regional or local pay could mean two workers with the same skills and experience being paid differently in two different places even though they were doing the same job. It could worsen inequalities between regions by making it difficult to attract and retain skilled public sector workers in low-pay regions.

Local or regional pay could also work against equal pay. The gender pay gap is smaller in the public sector than in the private sector, and great progress has been made towards promoting equal pay through measures such as “Agenda for Change”.

Perhaps the Economic Secretary could answer a practical question. If an employee of the Ministry of Defence worked as a civil servant or engineer at Faslane and then was transferred to Portsmouth, would their pay vary accordingly either up or down? Who would pick up the administration costs if that were to happen?

The other major concern that people have is about the minimum wage. The Minister for the Cabinet Office has sought to reassure the House that regional pay will not have an impact on the minimum wage, but we have to remember that there are still Government Members arguing that there should be exemptions from the minimum wage. I am sure that there are a number of unscrupulous employers who will see regional pay as an opportunity to undercut people’s wages and exempt them from the minimum wage legislation.

The case for regional pay is not even backed up by evidence. I have spoken to a number of local employers in my patch, and, in the nearly 10 years I have been here, I have never had one employer come forward to say that the reason they have difficulties employing people is the lack of regional pay. That is a non-starter, so regional pay is not evidence-based at all. Perhaps the Economic Secretary will explain exactly where the evidence has come from.

I know that time is short and other Members want to speak, but I want to say in the nicest possible way to my colleague from the Scottish National party, the hon. Member for Banff and Buchan (Dr Whiteford), that nice person though she is, if the SNP’s ambition and aspiration is to pay a higher minimum wage in Scotland, it has had the opportunity to do so during the time it has been in government. Unfortunately, it has chosen not to do that. It therefore remains an aspiration, because the SNP has not implemented it. The few local authorities that have implemented it have had their budgets cut, which shows exactly what it is all about for the SNP. It does not care for the workers, it does not work for the workers and it very seldom turns up for the workers.

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[Jim Sheridan]

Will the hon. Lady give way?

[Elizabeth Truss]

I want to continue because we have only a limited amount of time in the debate.

The Government need to be bold in their approach. We need to move from national wage bargaining to individual contracts, as Sweden did. That change was well received by the unions and public sector workers. We need to move to flexi-jobs, similar to German mini and midi-jobs, which have reduced unemployment by half since 2005. We need seriously to look at exempting small businesses with under 10 workers from some dismissal regulations, as Germany did—the change reduced unemployment. The time to take bold action is now.

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[Miss Smith]

I will say, for the hon. Lady’s benefit, what I have already said: I look forward to the results of the research that the pay review bodies will be doing.

The gap between public and private sector pay varies significantly around the country, with the Institute for Fiscal Studies calculating a variation of up to 18%. That situation could needlessly limit the number of jobs, including perhaps those of police officers, that the public sector can support, and therefore the services that can be supplied. In addition, it could lead to unfair variations in the quality of public services through higher vacancy and turnover rates in some areas. Finally, it could also hurt the private sector, which often needs to compete for staff with the public sector. The CBI has said that it is essential to compete and that the Chancellor was right to ask for the exploration of the issue.

The need for pay levels that reflect local labour markets was of course recognised by the previous Government, when they took forward pay reform in the courts service. I will just dwell on that, because it has been discussed this afternoon. I suspect that the hon. Lady is not familiar with the fact that staff were given a choice about whether to opt in or out of that reform at that time, and the opt-in rate rose to 97% over 12 months. That is something to be welcomed. Let me jog memories further. The then Chancellor, the right hon. Member for Kirkcaldy and Cowdenbeath (Mr Brown), who is again not in his place, set out plans. He said that in our country

“it makes sense to recognise that a more considered approach to local and regional conditions in pay offers the best modern route to full employment.”

Labour Members will wish to reflect on those words.

[Jim Sheridan]

May I remind the hon. Lady that the previous Government introduced the national minimum wage? Does she agree or disagree with the hon. Member for South Northamptonshire (Andrea Leadsom), who seeks exemptions for employers to exclude people from the minimum wage?

[Miss Smith]

I agree with what my right hon. Friend the Minister for the Cabinet Office said earlier, which was that this Government and the Conservative party fully support the national minimum wage.

Trade Union Funding

Jim Sheridan Excerpts

Wednesday 29th February 2012 Westminster Hall

[Jim Sheridan (Paisley and Renfrewshire North) (Lab)]

Thank you, Mr Owen, for calling me to speak.

It is normal practice to congratulate the hon. Member who secures a debate in Westminster Hall. On this occasion I shall resist that temptation, because there is no doubt whatsoever that this is a politically driven debate, with the dark hand of the TaxPayers Alliance behind it—an organisation about which little is known, including how it is funded, so we know where it is coming from. It is also rather interesting that the Conservative MPs in Westminster Hall today are all from the new intake of the party’s MPs, which gives us an idea of where the new Conservative party is going.

I must say that I have not had one single constituent complain to me about trade union funding—not one—in the 10 years that I have been in Parliament. In terms of employment rights, we already have the most business-friendly employment rights in the whole of Europe. That is undisputed, and if people do not believe me let me quote Richard Lambert, the director general of the CBI in 2009, who said in a foreword:

“In today’s difficult economic climate, it is more important than ever that all resources available to the workplace are well deployed. Union reps constitute a major resource: there are approximately 200,000 workers who act as lay union representatives. We believe that modern representatives have a lot to give their fellow employees and to the organisations that employ them.”

[Mr Gregory Campbell (East Londonderry) (DUP)]

Does the hon. Gentleman agree that, however he would analyse or describe the business-friendliness of the current Government, being business-friendly does not necessarily mean the opposite of being in favour of workers’ rights?

[Jim Sheridan]

The hon. Gentleman is absolutely right and I am glad that he made that intervention.

There are some members of the Conservative party who live in the real world, none more so than the Minister for Further Education, Skills and Lifelong Learning, the hon. Member for South Holland and The Deepings (Mr Hayes), who said:

“I want to pay tribute to union learning reps, who have made so much difference to so many lives, and to such effect. Trade unions can play an invaluable and immeasurable role in improving skills in the workplace.”

That suggests that there are some Conservatives—apart from those in Westminster Hall today—who live in the real world.

For my sins, I have been a member of the Transport and General Workers Union and I am still a proud member of the Unite union. I am also proud to be the chair of the Unite parliamentary group, which meets regularly and takes up issues with whatever Government are in power. Before anyone asks about my funding, there is absolute transparency about my funding, including my funding from the trade union movement; it is all recorded in the books and is there for everyone to see.

In the short time that is left for me to speak today, I will focus on one of the major issues that trade unions are involved with, which is health and safety in the workplace. For my sins, I am also chair of the all-party group on health and safety, which deals with occupational health. We have just released a report that highlights the dangers from asbestos to children, teachers and other people who work in schools. There is not one single business in this country that would raise the issue of people dying of asbestos-related diseases, especially children who go to school and who are in danger of being contaminated by asbestos and suffering from such diseases. As a former shipyard worker, I have seen people die of mesothelioma, which is the most horrible death that anyone could ever see, yet employers are still churning out asbestos to the third world because it has been banned in this country. That is what trade unions are about; that is what their job is about. It is to ensure that people go to work safely and come home safely. It is unfortunate that the hon. Member for Beckenham (Bob Stewart) is no longer in the Chamber, because he is a former member of the armed forces and it is a little known fact that more people are killed in the workplace in the UK than British service personnel are killed in armed conflict.

I am conscious of the time, Mr Owen, and all I want to say in conclusion is that I have worked for many good companies, none more so than Thales, which is a very successful and progressive business. It sees every benefit in having trade unions in the workplace. In fact, it goes out of its way to ensure that people have the opportunity to join a trade union. The rhetoric from Conservative MPs today is different from what is happening in the real world and it is really disappointing to see that the Conservative party, which has some decent people in it, has been dragged down by the young Turks.

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[Mr Aidan Burley (Cannock Chase) (Con)]

It is a pleasure to serve under your chairmanship today, Mr Owen.

I, too, start by congratulating my hon. Friend the Member for Congleton (Fiona Bruce) on securing this important debate. The level of taxpayer funding of trade unions has clearly become a major political issue. As sunlight is the best disinfectant, it is important that such issues are debated honestly and openly in Parliament.

I am amazed at the churlish comments made by some Opposition Members in not congratulating my hon. Friend on securing the debate. The trade unions, over this Parliament, under a Conservative-led Government, will still receive more than £500 million of taxpayers’ money. I cannot think of any other issue that MPs feel should not be debated at all. We can argue about reforms to the national health service and the police, but when it comes to trade union funding, Opposition Members feel that it is somehow beyond the pale to even debate or discuss it. I can only think that they worry that when the public realise how much of their taxes go on funding the trade unions and not on front-line services, there will be a huge public outcry. They fear that the momentum for reform would be unstoppable.

[Jim Sheridan]

Will the hon. Gentleman give way?

[Mr Burley]

No, I will not.

We, on the Government side of the House, feel that the public have a right to know where their taxes are going. That is why my hon. Friend the Member for Congleton has done such an important job this morning in securing the debate on behalf of hard-pressed British taxpayers.

As my hon. Friend said, there is now widespread public and parliamentary concern about paid time off for trade union activities and duties, an issue that has been acknowledged by the Minister for the Cabinet Office and the Minister for Local Government. They are both looking at reforming that practice, known as public sector facility time.

I understand that the Cabinet Office is about to launch a consultation into the extent—indeed abuse, as pointed out by my hon. Friend the Member for Witham (Priti Patel)—of so-called facility time. I would be grateful to the Minister if he could update us on when the consultation will take place, what its parameters will be, when it will be likely to conclude, and what the recommendations for reform might be.

The issue this morning is one of basic principle: is it appropriate for the taxpayer to subsidise trade unions at all, and if so, to what extent? In the brief time I have this morning, I want to deal with the issue of principle, because as far as I can tell, it has never been properly explained or defended in public.

I listened carefully to the response of the right hon. Member for Wentworth and Dearne (John Healey) to the ten-minute rule Bill tabled by my hon. Friend the Member for Hereford and South Herefordshire (Jesse Norman) on the issue. It was notable that in his response, at no point did the respected former Minister—I am sorry to see that he is no longer in the Chamber—defend or explain the principle of a public subsidy to trade unions. He opened his response by saying:

“This Bill attacks the most basic and most benign feature of trade union work—the day-to-day support for staff at work by their colleagues who are prepared to volunteer as trade union representatives.”—[Official Report, 11 January 2012; Vol. 538, c. 201.]

That rather missed the point, because we have no problem with colleagues who are prepared to volunteer as trade union representatives, just with colleagues who think they should be paid by the taxpayer to be trade union representatives. In fact, if I was a volunteer trade union rep, doing a worthy job for a few hours a week because I believed in helping colleagues, I would be rather annoyed to think that whereas I worked for free, other colleagues felt that they needed to be paid to do it; in fact, some feel that they need to be paid full-time to do it. Where is the fairness in that? Why do some trade union reps need to be paid while others do not?

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[Alec Shelbrooke]

Yes, probably from ours as well; we would not be happy with it. That is an important point. There is some perception that we are union-bashing, but that is not true. I remember listening to the speech made by the leader of the Labour party at conference, just after he had been elected. He spoke about the dinner ladies who were told that they had to buy their uniforms and aprons. The trade unions got involved and made sure that they did not have to do that. That is important work by trade unions.

Everyone here likes to mouth off. We are the people who stand up and front up. We will stand up, debate and have an argument, but 95% of the people out there would sweat with fear at having to stand up right now to make arguments. That is why we need healthy, working trade unions.

However, there are some problems, and there is an easy way to overcome some of the perceptions about the funding between trade unions and the Labour party. It is simple: instead of having an opt-out of the political levy, let us have an opt-in. Someone would have to opt in each year, which then has to be audited. Where the pot of money from the opted-in political levy is spent can be decided by the trade union.

[Jim Sheridan]

By shareholders as well?

[Alec Shelbrooke]

Absolutely. The hon. Gentleman asks whether shareholders would be able to do it. Why not? We are trying to empower shareholders.

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[Alec Shelbrooke]

There are indeed many stories, but I want to return to the specific—

[Jim Sheridan]

On a point of order, Mr Owen. That statement is completely untrue. Trade unions do not dictate Labour party policies. The hon. Gentleman should withdraw that remark right now—