(11 years, 2 months ago)
Commons ChamberMy hon. Friend makes a good point about the value for money that the state would seek to achieve at all levels. Alongside that, our reforms include measures to build the capability of the third sector, which I am sure we would all want to see strongly succeed.
Is it clear that not only have the Government failed to deliver more public sector contracts to charities, but after three years in office the big society project has now become a shrivelled society, except in one area—charitable activity and supporting people whom the hon. Lady’s Government have driven into poverty? More than 13 million people are now in poverty, two thirds of whom are in work.
I thought the hon. Gentleman would welcome the notion that more charities are getting involved and more people are volunteering. Surely that is a good thing.
It is a sad thing. In the past year, the number of people dependent on food banks tripled to almost 350,000, of whom—listen to this figure—126,889 are children. There is no doubt that the Minister is a decent human being, but did she really come into politics to increase the scale of the third sector on the back of a disgraceful rise in the number of children in poverty? Is she ashamed of that record?
What I am ashamed of is the hon. Gentleman’s attempt to turn an important issue into a political football. Like many others in the House, I have stood alongside excellent volunteers at food banks in my constituency. I applaud their efforts, their goodheartedness and their contribution, but I do not applaud his blindness to the notion that the use of food banks in fact soared under the previous Labour Government.
(11 years, 5 months ago)
Commons ChamberNo, I am not happy that we are yet doing enough, but we are doing more. We are establishing a series of What Works organisations that will exist to share best practice and experiences. We have also set up the commissioning academy, an unexpected by-product of which is that it brings together public service deliverers from all over the public sector who network and share experience, which is already proving extremely beneficial.
On the subject of innovative public service design, the Minister abolished the Central Office of Information and sacked hundreds of staff while simultaneously increasing the number of spin merchants in his Department and others. Meanwhile, he put the Government Information Service out to tender, with contracts valuing £520 million, millions of which then went to a company which he himself had chaired in the past, although I accept that he took no part in letting that contract. There are many ways of describing this chain of events. Does he agree that intelligent design is not one of them?
We did dismantle the Central Office of Information, which was overloaded with 750 people who were not doing enough useful work. We cut down massively on the previous Government’s gross overspend on marketing and advertising, which was throwing money out of the back of a lorry wholly ineffectually. We therefore needed a lot fewer people in the Government communication service. Our own press and media operation in the Cabinet Office is smaller than what we inherited from the previous Government despite the fact that it has to service the Deputy Prime Minister as well as other Ministers and the Prime Minister.
(11 years, 6 months ago)
Commons ChamberI enjoyed my visit with my hon. Friend to Ark Continuity. It was very illuminating. There is a huge amount we can do. Data centre capacity across Government is massively underused. A huge amount of overcapacity was left in place by the outgoing Government, who had no interest in these subjects at all. We are getting to grips with it, however. We need to do more, and we will do so; there is much more money we can save.
The fact is that the NAO did not verify the savings. According to the NAO, the Department overstated its claimed IT savings probably by tens of millions of pounds. The Minister has form on this: he predicted £20 billion of savings from his quango review, but the NAO showed he barely saved a tenth of that. Perhaps the Department should propose a new ministerial baccalaureate in adding up and taking away. Since the Minister cannot get his figures right, will he now at least agree to brush up on his maths?
The hon. Gentleman is talking total nonsense. We inherited a massive Budget deficit left by a Government who were fiscally incontinent and made no effort to deliver any efficiency savings whatsoever. Through our efficiency programme, we have already delivered £12 billion of savings and there is much more that can be done. The outgoing Government left the public finances and Whitehall efficiency in a shockingly sorry state.
(11 years, 8 months ago)
Commons ChamberThe civil service certainly must reduce in size, and it is doing so: it is at its smallest since the second world war. Private sector jobs are being created at quite a rate, and in the two years after the formation of the coalition Government 11,000 jobs were created in the private sector in York, while 4,400 were lost in the public sector.
Consensual civil service relocation to cities such as York is good, cost-effective one-nation politics, as it can help to overcome chronic regional economic disparities, but if the right hon. Gentleman insists on regionalising public sector pay such relocations will simply further retrench existing regional disparities. People in York doing exactly the same job as their colleagues elsewhere in the country will be paid less. The Cabinet is reportedly divided on the subject. In this festive season, may I encourage the right hon. Gentleman to say goodbye to his inner Scrooge and abandon the ill-conceived regional public pay proposals he has been hawking around Government?
My inner Scrooge is the taxpayer’s outer friend, and I should, perhaps, point out to the hon. Gentleman that in only one part of the civil service—Her Majesty’s Courts and Tribunals Service—have regional pay scales been abandoned and the move to regional or local market-facing pay been made, and the Government of whom he was a member introduced that.
(11 years, 9 months ago)
Commons ChamberThe movement towards mutualisation of public services is very powerful and is being looked at by other Governments, as well as our own. It is powerful because it enables entrepreneurial leaders in the public sector, of whom there are many, to take control of the services, innovate, do things differently and drive out cost. It is a powerful means of driving efficiency, for the taxpayer and for the user.
Today’s Institute for Government report reveals what it calls “fragile leadership” of the civil service reform programme. It is clear that the chaotic and expensive redundancy programme and the culture of blaming the service for blunders while Ministers get away scot-free is damaging morale. Even the right hon. Gentleman’s friends in the TaxPayers Alliance acknowledge that he is engaging in the costly practice of laying off staff while paying to recruit replacements. For all his bluster about savings, the Cabinet Office now has more staff than it had last year. When will he get a grip?
Coming from the Parliamentary Private Secretary to the previous Prime Minister, who presided over a massive explosion in the size of the state and the growth of inefficiency—who presided over the decade in which public sector productivity was flat while private sector productivity grew by 30%—that is pretty rich. The hon. Gentleman refers to the expensive voluntary redundancy programme that has taken place. Under the position that his Government left—until we reformed the redundancy scheme—it would have been impossible to pursue that at all. The civil service today is considerably smaller. There are plans in Departments to reduce the size further, but productivity is already improving considerably. I just wish it had started under the previous Government.
(11 years, 11 months ago)
Commons ChamberMy hon. Friend makes an important observation. One issue that came up in the course of the consultation, which many consultees and indeed the Select Committee commented on, is the question of scope. The Government’s initial proposals did not include any reference to lobbyists that were “in house”—the ones to which my hon. Friend refers—whether they be charities, businesses, social enterprises or whatever. Some respondents suggested that the scope should be wider. This is clearly something that needs to be considered, and my hon. Friend’s point is well taken.
Yesterday’s reshuffle saw the entry into the Cabinet of every single Tory MP who had sat on the advisory board of the disgraced Atlantic Bridge lobbying organisation. Examples like this leave the Government open to the accusation that they are dragging their feet on regulating the industry because of inappropriately close relationships with lobbyists. This is damaging to the House and to democracy itself. Following the departure from his Department of the Minister responsible for regulating lobbying, will the Minister immediately bring forward legislation to regulate this matter once and for all?
I certainly do not want to get into any partisan repartee across the Dispatch Box on a matter that ought to command considerable cross-party agreement and support. I am grateful to the hon. Gentleman for the remarks he has made on the record in the past about supporting the principle of regulating lobbying. I should, however, point out that his party was in government for a very long period during the whole of which issues were raised about this subject and at no time did that Government issue a paper or consult on it, or move towards serious regulation of it. If he feels that this should have been done immediately, the question arises of why it was not done from 1997 onwards. To help him, the answer is, of course, that it is an extremely complicated and difficult subject, which is why the Select Committee and respondents to the consultation had many things to say. I hope that the hon. Gentleman will, on mature reflection, agree that we should consider this in an unpartisan spirit and try to get it right.
(12 years, 2 months ago)
Commons ChamberI thank the Minister for his courtesy in providing me with an advance copy of the plan, and for taking some time to explain his thinking.
The British civil service is widely admired, and rightly so, for its core values of honesty, impartiality and professionalism, and that is why it is so worrying that in the past two years the Minister has presided over chaotic change, which has seen a collapse in morale and more than one in three of the most senior civil servants leaving voluntarily. We, in contrast, sought radical but incremental change in the service.
On accountability, management culture and increased flexibility, there is always more to do, and we will support and, indeed, welcome sensible reforms such as improving management culture, information systems and skills development. We especially welcome the drive to digitise. It is essential to promote this process so that we obtain the highest possible levels of productivity from all staff. How does the Minister see digitisation proceeding?
In an era of flexible networks, the civil service can be seen as over-hierarchical and bureaucratic, as well as operating within self-contained departmental silos. Will the Minister indicate his intentions in reducing hierarchy and bureaucracy? The civil service has often been criticised in relation to procurement, IT, the management of change, and project management. What plans does he have to improve performance in all those areas?
I note the Minister’s suggestion that there should be interaction between the civil service and the private sector, but will he confirm that he is not making a presumption that private sector experience is somehow superior to the service of the public within the public sector ethos? We welcome the increased accountability of the civil service to Parliament and his comments on the Public Accounts Committee. On public sector mutuals, will he ensure that more information is placed before the House on this matter in due course?
The Minister has proposed that the performance of the worst 10% of civil servants be addressed. What consultation has he had on that proposal, and when does he intend it to be introduced? Of course, we welcome the drive to improve the standards of management in the public service, but is there not a danger that he and his colleagues may indulge in a blame game? After all, the problems that his Government face result from the failure of Ministers, not of the civil service. In identifying the worst-performing public servants, perhaps he might consider the proposal that he name and shame the poorest Ministers; I can see one of them talking to him on the Front Bench now. Perhaps he does not need to, though, because the court of public opinion has already rendered its verdict, at least in relation to the Secretary of State for Health. Given the double-dip recession, does he agree that at least the Chancellor of the Exchequer should now be placed in special measures?
Has the Minister done any U-turn on regional pay? Will he confirm that while there is nothing wrong with sensible local bargaining of the kind that we did when we were in office, we live in a single United Kingdom and the suggestion of large-scale regionalising of pay is divisive and should now be dropped?
The Minister has said that he intends further to reduce the size of the civil service and that the Government would cut back-office staff and not front-line services. Staff reductions on the scale that he has announced cannot possibly be easily developed. We are not talking about simple numbers on a page but real human beings facing redundancy at a time of high unemployment. These people have chosen to serve the public. How does he intend to deal with the human consequences of his decisions, and will he be engaging with the trade unions and other staff representatives in this process? His staffing estimates must be based on detailed risk impact assessments. For example, will the country be left vulnerable as a result of further cuts at the UK Border Agency, in the police service, or elsewhere? Will he agree to place in the Library copies of all departmental risk impact assessments of staff reductions?
On the sensitive area of the relationship between Ministers and civil servants, I have two concerns. The Minister proposes to formalise the process of seeking policy advice from outside agencies, and he intends that Ministers play a larger role in appointing permanent secretaries. We welcome careful progress on both those suggestions, but equally, is there not a danger that they might lead to cronyism and a dangerous politicisation of the civil service? What assurances will he give to the House that in engaging in the appointment of civil servants and in selecting external agencies providing policy advice, neither of those matters will fall into disrepute because of ideological, or even personal, favouritism by particular Ministers?
We welcome the positive proposals in the plan, but it will do little to correct the chaos that now exists in many Departments. After all, the point of reform is to make things better than they were before.
(12 years, 2 months ago)
Commons ChamberThat is exactly our approach. Far too much of the freehold estate is under-occupied and far too many expensive leasehold properties are occupied in a very inefficient way. In Bristol alone we discovered that central Government, in their different forms, occupied 115 separate addresses, which is very inefficient and not at all conducive to joined-up government.
As you know, Mr Speaker, we should always watch what Ministers do, rather than simply listening to what they say. The problem with this Minister is that he promised millions of pounds of savings from other Departments while sneakily building up his own empire. In truth, his Department’s agencies had 23,000 square metres of office space when he came to office, but that figure has more than doubled to a staggering 56,000 square metres. Squeezing others while fattening up his own Department is hardly a policy that will incentivise colleagues to reduce their estate. When will he deliver the savings, and not just mythical ones?
The hon. Gentleman ought to look a little more carefully at the facts. He will see that the National School of Government and the Central Office of Information, which had been part of quangoland under the previous Government, have been brought in-house and so have been closed down.
(12 years, 5 months ago)
Commons ChamberI am afraid that some wildly inaccurate reports have been floating around, but it is certainly true that the review that the Cabinet Secretary and the head of the civil service are leading on, which I mentioned in my previous answer, is looking right across the board to try to work out what a modern civil service ought to look like, bearing in mind all the technology and other advantages we currently have, in order to deliver innovation, change and the delivery of policy in the most effective and efficient way possible.
The Minister has announced the closure of the Central Office of Information, which provides politically independent public information from professional civil servants, and he will instead locate the service in various Departments, with the consequential inherent risk that the Government information service might become politicised. We would of course support any sensible measure to deliver a more economic service, but is not the current flood of leaks, on an industrial scale, in relation to today’s Budget a portent of the public information service’s politicisation, which he is opening the door to?
In a word, no. The changes that are being made in the structure and character of the information service are being made in order to have a modern service that can actually do the job properly. The hon. Gentleman ought to pause before talking about politicisation of the civil service, as under the previous Government efforts were made on an unparalleled scale to politicise the service’s activities. By contrast, this Government in all our information have been extraordinarily transparent, providing data on an unparalleled scale and operating a much more open Government than he and his colleagues ever dreamed of doing.
But that is all flim-flam, frankly. The leaking of Budget information on that scale is without precedent, and it is in clear breach, Mr Speaker, of your strict admonition that such statements should take place first in the House and not in the media. There is no way that professional civil servants in the COI would have undertaken such leaking, so does the Minister agree that there should be a Cabinet Office inquiry to identify the leakers? If it was civil servants, they are clearly in breach of their code of conduct, but, if it was Ministers, they are playing fast and loose with our democracy.
First, if the hon. Gentleman recalls his time as the Parliamentary Private Secretary to the previous Prime Minister, he will be aware that he was serving a past master at giving foretastes of Budgets. Secondly, I am surprised that the hon. Gentleman feels he knows what is or is not a leak, as he has not seen the Budget yet, and nor has the House.
(12 years, 6 months ago)
Commons ChamberIt is completely consistent with that, because we need particular skills to drive out the waste we inherited. Particularly, there is a need for commercial and IT skills. While those skills exist in Government, we do not have enough of them. Every single one of those external recruitments by the Cabinet Office will have been approved by me personally, and I make absolutely no apology at all for approving them. Where those skills are needed and a rigorous search has shown that they are not available within Government, we will recruit from outside and we will pay people properly for work that is essential.
Is it not a fact that the Minister’s Efficiency and Reform Group will achieve no savings at all if the most senior officials in Government are distracted into chaotic breaches of the Cabinet Office code of conduct? Will he confirm that the Cabinet Secretary has now restored efficient Government by launching an investigation into such destructive breaches of the code as that reported in The Times yesterday of a senior No. 10 aide saying the Health Secretary should be “taken out and shot”?