(5 years, 9 months ago)
Commons ChamberWe now come the Select Committee statement. I call Mary Creagh to speak for up to 10 minutes.
(5 years, 9 months ago)
Commons ChamberOrder. I suggest that Members take up to 10 minutes, and we will start with Fabian Hamilton.
Order. I am not going to complain about the length of that speech, but if Members can try to speak for under 10 minutes, that would help the situation. All our constituents need the help and support of this House, and we need to hear these passionate speeches, but please try to help each other. The good news is that Sir Desmond Swayne has offered to undershoot in order to pull some time back.
(5 years, 10 months ago)
Commons ChamberI beg to move, That the clause be read a Second time.
With this it will be convenient to discuss the following:
New clause 7—Review of effect of carbon emissions tax on climate targets—
“The Chancellor of the Exchequer must review the expected effect of the carbon emissions tax on the United Kingdom’s ability to meet its internationally agreed climate targets and lay a report of that review before the House within six months of the passing of this Act.”
New clause 12—Review of expenditure implications of Part 3—
“(1) The Chancellor of the Exchequer must review the expenditure implications of commencing Part 3 of this Act and lay a report of that review before the House of Commons within six months of the passing of this Act.
(2) No regulations may be made by the Commissioners under section 78(1) unless the review under subsection (1) has been laid before the House of Commons.”
This new clause would require a review within 6 months of the expenditure implications of introducing a carbon emissions tax. It would prevent part 3 (carbon emissions tax) coming into effect until such a review had been laid before the House of Commons.
New clause 13—Report on consultation on certain provisions of this Act (No. 2)—
“(1) No later than two months after the passing of this Act, the Chancellor of the Exchequer must lay before the House of Commons a report on the consultation undertaken on the provisions in subsection (2).
(2) Those provisions are—
(a) sections 68 to 78,
(b) section 89, and
(c) section 90.
(3) A report under this section must specify in respect of each provision listed in subsection (2)—
(a) whether a version of the provision was published in draft,
(b) if so, whether changes were made as a result of consultation on the draft,
(c) if not, the reasons why the provision was not published in draft and any consultation which took place on the proposed provision in the absence of such a draft.”
This new clause would require a report on the consultation undertaken on certain provisions of the Bill – alongside New Clause 11, New Clause 14 and New Clause 15.
New clause 19—Review of powers in consequence of EU withdrawal (No. 2)—
“(1) The Chancellor of the Exchequer must, no later than a week after the passing of this Act and before exercising the power in section 89(1), lay before the House of Commons a review of the following matters—
(a) the fiscal and economic effects of the exercise of the powers in section 89(1) and of the outcome of negotiations for the United Kingdom’s withdrawal from the European Union giving rise to their exercise;
(b) a comparison of those fiscal and economic effects with the effects if a negotiated withdrawal agreement and a framework for a future relationship with the EU had been agreed to;
(c) any differences in the exercise of those powers in respect of—
(i) England,
(ii) Scotland,
(iii) Wales, and
(iv) Northern Ireland;
(d) any differential effects in relation to the matters specified in paragraphs (a) and (b) in relation between—
(i) England,
(ii) Scotland,
(iii) Wales, and
(iv) Northern Ireland.”
This new clause would require a review of the economic and fiscal impact of the use of the powers in section 89 in the event of no deal and in event of a withdrawal agreement passing.
Amendment 16, in clause 78, page 51, line 32, after “may” insert
“(subject to section (Review of expenditure implications of Part 3))”.
See New Clause 12.
Amendment 1, in clause 89, page 66, line 38, at end insert—
“(1A) The Chancellor of the Exchequer must, no later than a week after the passing of this Act and before exercising the power in subsection (1), lay before the House of Commons a review of the following matters—
(a) the fiscal and economic effects of the exercise of those powers and of the outcome of negotiations for the United Kingdom’s withdrawal from the European Union giving rise to their exercise;
(b) a comparison of those fiscal and economic effects with the effects if a negotiated withdrawal agreement and a framework for a future relationship with the EU had been agreed to;
(c) any differences in the exercise of those powers in respect of—
(i) Great Britain, and
(ii) Northern Ireland;
(d) any differential effects in relation to the matters specified in paragraphs (a) and (b) in relation between
(i) Great Britain, and
(ii) Northern Ireland.”
This amendment would require the Chancellor of the Exchequer to review the fiscal and economic effects of the exercise of the powers in subsection (1) before exercising those powers.
Amendment 13, page 67, line 7, leave out subsection (5) and insert—
“(5) No statutory instrument containing regulations under this section may be made unless a draft has been laid before and approved by a resolution of the House of Commons.”
This amendment would make Clause 89 (Minor amendments in consequence of EU withdrawal) subject to the affirmative procedure.
Amendment 7, page 67, line 19, at end insert—
“(7) The provisions of this section only come into force if—
(a) a negotiated withdrawal agreement and a framework for the future relationship have been approved by a resolution of the House of Commons on a motion moved by a Minister of the Crown for the purposes of section 13(1)(b) of the European Union (Withdrawal) Act 2018, or
(b) the Prime Minister has notified the President of the European Council, in accordance with Article 50(3) of the Treaty on European Union, of the United Kingdom’s request to extend the period in which the Treaties shall still apply to the United Kingdom, or
(c) leaving the European Union without a withdrawal agreement and a framework for the future relationship has been approved by a resolution of the House of Commons on a motion moved by a Minister of the Crown.”
This amendment would prevent the Government implementing the “no deal” provisions of Clause 89 without the explicit consent of Parliament for such an outcome. It would provide three options for the provisions of Clause 89 to come into force: if the House of Commons has approved a negotiated withdrawal agreement and a framework for the future relationship; if the Government has sought an extension of the Article 50 period; or the House of Commons has approved leaving the European Union without a withdrawal agreement and framework for the future relationship.
Amendment 8, page 67, line 19, at end insert—
“(7) The provisions of this section shall not come into force until the House of Commons has come to a resolution on a motion made by a Minister of the Crown agreeing its commencement.”
Amendment 14, in clause 90, page 67, line 22, after “may” insert
“(subject to subsections (1A) and (1B))”.
See Amendment 15
Amendment 15, page 67, line 24, at end insert—
“(1A) Before proposing to incur expenditure under subsection (1), the Secretary of State must lay before the House of Commons—
(a) a statement of the circumstances (in relation to negotiations relating to the United Kingdom’s withdrawal from the European Union) that give rise to the need for such preparatory expenditure, and
(b) an estimate of the expenditure to be incurred.
(1B) No expenditure may be incurred under subsection (1) unless the House of Commons comes to a resolution that it has considered the statement and estimate under subsection (1A) and approves the proposed expenditure.”
This amendment would require a statement on the circumstances (in relation to negotiations) giving rise to the need for, as well as an estimate of the cost of, preparatory expenditure to introduce a charging scheme for greenhouse gas allowances. The amendment would require a Commons resolution before expenditure could be incurred.
New clause 18—Review of effects on measures in Act of certain changes in migration levels—
“(1) The Chancellor of the Exchequer must review the effects on the provisions of this Act of migration in the scenarios in subsection (2) and lay a report of that review before the House of Commons within one month of the passing of this Act.
(2) Those scenarios are that—
(a) the United Kingdom does not leave the European Union,
(b) the United Kingdom leaves the European Union without a negotiated withdrawal agreement,
(c) the United Kingdom leaves the European Union following a negotiated withdrawal agreement, and remains in the single market and customs union,
(d) the United Kingdom leaves the United Kingdom on the terms of the draft withdrawal agreement of 14 November 2018.
(3) In respect of each of those scenarios the review must consider separately the effects of—
(a) migration by EU nationals, and
(b) migration by non-EU nationals.
(4) In respect of each of those scenarios the review must consider separately the effects on the measures in each part of the United Kingdom and each region of England.
(5) In this section—
“parts of the United Kingdom” means—
(a) England,
(b) Scotland,
(c) Wales, and
(d) Northern Ireland;
“regions of England” has the same meaning as that used by the Office for National Statistics.”
This new clause would require a review of effects on measures in the Bill of certain changes in migration levels.
This group of amendments relates to the tax and fiscal implications of the UK’s withdrawal from the EU.
Throughout the last year Parliament has been asked to approve a series of Bills giving the Government the power to deliver every type of Brexit deal conceivable, and this Finance Bill is no different. I said when closing the Second Reading debate on the Bill for the Opposition that this approach was one of “give us the powers now and we will make the decisions later,” and as it currently stands Brexit represents the biggest transfer of power to the Executive in modern constitutional history. That is disappointing for anyone who thought Brexit would see greater powers for this Parliament, but it is also a recipe for very bad decisions, and there is a classic culprit in this Finance Bill in the form of clause 89. Innocently named “Minor amendments in consequence of EU withdrawal”, it gives the Government power to amend tax legislation without any of the usual due process in the event that the UK leaves the EU without a deal.
The Government always tell us—I am sure they will do so again—that this is simply a safeguarding provision that we will never have to use, but all of us here today know that as it stands the Government have absolutely no chance of getting their deal through, because that deal does not deliver the basics of what this country needs. It does not deliver smooth, low-friction borders for manufacturing and supply chains, nor does it deliver market access for financial services. It also fails to resolve the big question: after we leave the EU, will we prioritise market access or trade autonomy? Because of that, we will almost certainly end up in the backstop arrangements, a halfway house without any say for the UK—the very worst of all worlds.
The new clauses and amendments are therefore of seminal importance, and I am extremely grateful to the Chair of the Home Affairs Committee, my right hon. Friend the Member for Normanton, Pontefract and Castleford (Yvette Cooper), for laying amendment 7 before the House today. It is clearly a cross-party amendment, supported by the Chairs of the Treasury, Exiting the European Union and Business, Energy and Industrial Strategy Committees, but it has the Opposition’s support because it offers Parliament a chance to make a clear statement rejecting a no-deal outcome—a statement that cannot come soon enough.
Anyone pretending that crashing out without a deal is simply about resorting to World Trade Organisation schedules is dangerously misinformed. As The Economist magazine said last month:
“A no-deal Brexit is about a lot more than trade—it would see many legal obligations and definitions lapse immediately, potentially putting at risk air travel, electricity interconnections and a raft of financial services”.
It would mean tariffs on trade with the EU, but it would also affect trade beyond the EU as all our current trade agreements negotiated as an EU member would immediately cease to apply. Agriculture, aerospace, the automotive sector—all these major sectors of our economy—would face potentially irreparable damage, and while tariffs may be reduced over time, excise duties and health checks on food, plants and livestock cannot be reduced so easily. Researchers at Imperial College London have calculated that just two minutes more transit time per lorry at Dover and the Channel tunnel translates into a 47 km traffic jam, and for perishable items like food, delays of that magnitude simply could not be sustained. When we add to that higher prices through tariffs and further inflationary pressure from another inevitable fall in the value of the pound, it is a recipe for significant pressure on living standards. That is why the Opposition say that no deal is not a real option.
There has been some suggestion that the Government might accept amendment 7.
I am afraid that the hon. Gentleman is going to have to do a bit better than this. He talks about crashing out without a deal, but he needs to get into the detail of the implications. Perhaps he is going to start talking about planes, but amazingly, the planes are going to keep flying. Amazingly, we are still going to have drugs supplied into the United Kingdom. He needs to get down into the detail of exactly what the implications will be, because if we are faced with the reality of no overall agreement, there will be a barrow-load of minor agreements to ensure that the common interests of the United Kingdom and the European Union survive the transfer to WTO terms on 29 March with minimum impact on the citizens of the EU and the UK. It is time he got real and stopped this nonsense—
Thank you, Mr Deputy Speaker.
I have just talked about some of the consequences of crashing out without a deal. I have talked about relationships, about tariffs on products and about the legal definitions under the common agreements that this country has undertaken with other European countries. We all know this—the information is readily available—so I am not quite sure what point the hon. Gentleman is making. I think he is aware of the dangers of taking this course of action.
(6 years ago)
Commons ChamberI beg to move amendment 6, page 2, line 24, leave out subsection (4).
This amendment would take out provisions removing the legal link between the personal allowance and the national minimum wage.
With this it will be convenient to discuss the following:
Clauses 5 and 6 stand part.
Clauses 8 to 10 stand part.
Clause 38 stand part.
That schedule 15 be the Fifteenth schedule to the Bill.
Clauses 39 to 42 stand part.
New clause 1—Additional rate threshold and supplementary rate—
“The Chancellor of the Exchequer must, no later than 5 April 2019, lay before the House of Commons a distributional analysis of—
(a) the effect of reducing the threshold for the additional rate to £80,000, and
(b) the effect of introducing a supplementary rate of income tax, charged at a rate of 50%, above a threshold of £125,000.”
New clause 2—Impact of provisions of section 5 on child poverty and equality—
“(1) The Chancellor of the Exchequer must review the impact of the provisions of section 5 and lay a report of that review before the House of Commons within six months of the passing of this Act.
(2) A review under this section must consider the impact of the changes made by section 5 on—
(a) households at different levels of income,
(b) people with protected characteristics (within the meaning of the Equality Act 2010),
(c) the Treasury’s compliance with the public sector equality duty under section 149 of the Equality Act 2010,
(d) different parts of the United Kingdom and different regions of England, and
(e) levels of relative and absolute child poverty in the United Kingdom.
(3) In this section—
‘parts of the United Kingdom’ means—
(a) England,
(b) Scotland,
(c) Wales, and
(d) Northern Ireland;
‘regions of England’ has the same meaning as that used by the Office for National Statistics.”
New clause 3—Review of the effectiveness of entrepreneurs’ relief—
“(1) Within twelve months of the passing of this Act, the Chancellor of the Exchequer must review the effectiveness of the changes made to entrepreneurs’ relief by Schedule 15, against the stated policy aims of that relief.
(2) A review under this section must consider—
(a) the overall number of entrepreneurs in the UK,
(b) the annual cost of entrepreneurs’ relief,
(c) the annual number of claimants per year,
(d) the average cost of relief paid per claim, and
(e) the impact on productivity in the UK economy.”
New clause 7—Review of changes to entrepreneurs’ relief—
“(1) The Chancellor of the Exchequer must review the impact on investment in parts of the United Kingdom and regions of England of the changes made to entrepreneur’s relief by Schedule 15 to this Act and lay a report of that review before the House of Commons within six months of the passing of this Act.
(2) A review under this section must consider—
(a) the effects of the provisions on business investment,
(b) the effects of the provisions on employment, and
(c) the effects of the provisions on productivity.
(3) In this section—
‘parts of the United Kingdom’ means—
(a) England,
(b) Scotland,
(c) Wales, and
(d) Northern Ireland;
‘regions of England’ has the same meaning as that used by the Office for National Statistics.”
This new clause would require a review of the impact on investment of the changes made to entrepreneurs’ relief which extend the minimum qualifying period from 12 months to 2 years.
New clause 8—Review of geographical effects of provisions of section 9—
“The Chancellor of the Exchequer must review the differential geographical effects of the changes made by section 9 and lay a report of that review before the House of Commons within six months of the passing of this Act.”
This new clause would require a geographical impact assessment of income tax exemptions relating to private use of an emergency vehicle.
New clause 9—Report on consultation on certain provisions of this Act—
“(1) No later than two months after the passing of this Act, the Chancellor of the Exchequer must lay before the House of Commons a report on the consultation undertaken on the provisions in subsection (2).
(2) Those provisions are—
(a) section 5,
(b) section 6,
(c) section 8,
(d) section 9,
(e) section 10,
(f) Schedule 15,
(g) section 39
(h) section 40,
(i) section 41, and
(j) section 42.
(3) A report under this section must specify in respect of each provision listed in subsection (2)—
(a) whether a version of the provision was published in draft,
(b) if so, whether changes were made as a result of consultation on the draft, and
(c) if not, the reasons why the provision was not published in draft and any consultation which took place on the proposed provision in the absence of such a draft.”
This new clause would require a report on the consultation undertaken on certain provisions of this Act – alongside new clauses 11, 13 and 15.
New clause 18—Review of public health and poverty effects of Basic Rate Limit and Personal Allowance—
“(1) The Chancellor of the Exchequer must review the public health and poverty effects of the provisions of section 5 to this Act and lay a report of that review before the House of Commons within six months of the passing of this Act.
(2) A review under this section must consider—
(a) the effects of those provisions on the levels of relative and absolute poverty in the UK,
(b) the effects of those provisions on life expectancy and healthy life expectancy in the UK, and
(c) the implications for the public finances of the public health effects of those provisions.”
New clause 19—Personal allowance—
“The Chancellor of the Exchequer must, no later than 5 April 2019, lay before the House of Commons an analysis of the distributional and other effects of a personal allowance in 2019-20 of £12,750.”
This new clause would require a distributional analysis of the effect of increasing the personal allowance to £12,750.
What a pleasure it is, Mr Deputy Speaker, to speak first in this debate. I very much appreciate the way the selection has worked out in my favour today. I rise to speak to amendment 6 and new clauses 7, 8, 9 and 19 in my name and the names of my SNP colleagues. For the avoidance of doubt, should the Opposition press new clause 1, new clause 3, or new clause 18, we will support them.
As I am sure that you, Mr Deputy Speaker, and those on the Treasury Bench will be unsurprised to hear, I would like to start by raising my concerns about the process. It is the case that the personal allowance is reserved while matters relating to the upper limit of basic rate taxation are devolved. I therefore have issues with the way that clause 5 is constructed. I request, as I did on Second Reading, that in future years these two sections of the Finance Bill are split and considered separately. I hope that the Minister and officials will take that on board in drafting future Finance Bills. It would make the debate cleaner and easier to follow for MPs and for those outside the House. As I have said previously, there are real issues with the way that the House scrutinises both tax and spending measures, and this would be a simple change that would ensure that better scrutiny could be brought to bear on these matters.
Amendment 6 would take out provisions removing the legal link between the personal allowance and the national minimum wage. The legal link between the two was put in place to kick in in years where the personal allowance was below £12,500. I have two concerns with the removal of this link. First, we have no guarantee that the personal allowance will not in future be reduced to less than £12,500, because this House cannot bind a future House of Commons and a future Government might decide to reduce, rather than increase, the personal allowance.
The shadow Chancellor did not speak from the Dispatch Box. I think the hon. Gentleman is thinking of the shadow Chief Secretary, my hon. Friend the Member for Bootle (Peter Dowd)—the two should not be confused. On nationalisation, I think the point that my hon. Friend was trying to make is that we can simply look at British history to see how this works. If we take an asset into public ownership and the return from that asset is greater than the cost of the borrowing to take it on, there is no net cost to the taxpayer, and certainly, income tax will not have to rise to cover that.
Order. We are not having a debate on party policy. We have amendments and clauses before us and we are straying from them—I know you wanted to get through your speech very quickly, Mr Graham.
You are entirely right as always, Sir Lindsay. It was helpful to have it exposed that there is clearly a significant difference of opinion between the shadow Chief Secretary and the shadow Chancellor on whether there will be any additional costs from the policies of the Opposition—[Interruption.] I have taken a lot of interventions, so I will cease from taking them so that I can come, as you suggested Sir Lindsay, to a rapid closure, which I am sure will be welcomed by Opposition Members.
Having made the crucial point on our approach to investment in business, let me finish on the annual investment allowance, which is a crucial part of the Budget and the clauses under discussion. This is important because it encourages businesses to invest in expensive technology that, over time, will allow them to grow and employ more people. I could give a dozen examples from my constituency of where this has been true. To give it some flavour, I will highlight just one area. The hon. Member for Stalybridge and Hyde will know, having visited China with me last week, how far we have gone in increasing our exports to China. From Gloucester alone, we are exporting a huge number of manufactured goods, including the landing gear on all Airbus aircraft.
Does my hon. Friend recall that, along the same lines, the Labour Opposition were preparing for capital flight and a run on the pound, and does he share my alarm at that prospect?
Order. May I share my wisdom with you both? The debate is about the clauses and new clauses before us. Members tried to go down this route once before. The new clauses are quite clear, and the clauses are quite clear. I am sure Mr Docherty wishes to stick to that, and I am sure Members will not tempt him again.
You are absolutely right, Sir Lindsay. I certainly will not be tempted to stray from the clauses and new clauses that we are considering.
It is, of course, important to consider the approach to ownership of private property that the shadow Chancellor and his party laid out last year in a document that Members can obtain from the Library, entitled “Alternative Models of Ownership”.
It is relevant because it puts renationalisation at the front and centre of the Labour party’s economic policy. Regrettably, there are no figures in the document. That is because the cost of renationalisation, calculated by the Centre for Policy Studies, would be £176 billion: £6,471 for every single household. That is a deeply alarming fact.
That approach was given further voice when, just last week, the shadow Chancellor made a speech at an event hosted by Red Pepper. He discussed his broad economic approach, and his approach to tax and private property. He promised that the Labour manifesto would be even more radical than the last. This is relevant because, referring to Labour’s approach to the private ownership of land, the shadow Chancellor said:
“One of the big issues we’re now talking about is land, how do we go about looking at collective ownership of land”.
Order. We have strayed completely from where we should be. If the hon. Gentleman wants a debate on the Opposition, he needs to wait until the right moment. Today is not that moment. This is about the new clauses that we are discussing, and what he is talking about is not relevant. I have allowed him a little leeway, but we have now strayed too far. I would like him to concentrate on the new clauses.
With this it will be convenient to discuss the following:
Clauses 69 to 77 stand part.
Amendment 10, in clause 78, page 51, line 32, after “may”, insert—
“(subject to section (Review of expenditure implications of Part 3))”.
Antecedent to new clause 10.
Clause 78 stand part.
Amendment 14, in clause 89, page 66, line 30, at end insert—
“(1A) The Chancellor of the Exchequer must, no later than the date provided for in subsection (1C), lay before the House of Commons a statement of the circumstances (in relation to the outcome of negotiations with the EU) that give rise to the exercise of the power.
(1B) The statement under subsection (1A) must be accompanied by—
(a) an assessment of the fiscal and economic effects of the exercise of those powers and the circumstances giving rise to them;
(b) a comparison of those fiscal and economic effects with the effects if—
(i) a negotiated withdrawal agreement and a framework for a future relationship with the EU had been agreed to, and
(ii) the United Kingdom had remained a member of the European Union;
(c) a statement by the Office for Budget Responsibility on the accuracy and comprehensiveness of the assessment under paragraph (a) and the comparison under paragraph (b).
(1C) The date provided for in this subsection is—
(a) a date which is no less than seven days before the date on which a Minister of the Crown proposes to make a motion for the purposes of section 13(1)(b) of the European Union Withdrawal Act 2018 and after the passing of this Act, or
(b) a date which is no less than seven days before the date on which a Minister of the Crown proposes to make a motion for the purposes of section 13(6)(a) of the European Union Withdrawal Act 2018 and after the passing of this Act, or
(c) a date which is no less than seven days before the date on which a Minister of the Crown proposes to make a motion for the purposes of section 13(8)(b)(i) of the European Union Withdrawal Act 2018 and after the passing of this Act, or
(d) the date on which this Act is passed,
whichever is the earliest.”
This amendment requires the first use of the powers intended to modify tax legislation in the event of a no deal Brexit to be accompanied by a statement of the circumstances and a comparative analysis of their impact, accompanied by an OBR assessment.
Amendment 15, page 66, line 30, at end insert—
“(1A) No regulations under this section may be made until the Chancellor of the Exchequer has laid a statement before the House of Commons setting out—
(a) a list of the powers in relevant tax legislation that the Treasury has acquired since June 2016 in connection with the United Kingdom’s withdrawal from the European Union,
(b) a list of the powers in relevant tax legislation the Treasury expects to acquire if—
(i) a withdrawal agreement and a framework for a future relationship with the European Union have been agreed to, or
(ii) the United Kingdom has left the European Union without a negotiated withdrawal agreement.
(c) a description of any powers conferred upon the House of Commons (whether by means of the approval or annulment of statutory instruments or otherwise) in connection with the exercise of the powers set out in subsection (b).”
Amendment 22, page 66, line 30, at end insert—
“(1A) The Chancellor of the Exchequer must, no later than a week after the passing of this Act and before exercising the power in subsection (1), lay before the House of Commons a review of the following matters—
(a) the fiscal and economic effects of the exercise of those powers and of the outcome of negotiations for the United Kingdom’s withdrawal from the European Union giving rise to their exercise;
(b) a comparison of those fiscal and economic effects with the effects if a negotiated withdrawal agreement and a framework for a future relationship with the EU had been agreed to;
(c) any differences in the exercise of those powers in respect of—
(i) Great Britain, and
(ii) Northern Ireland;
(d) any differential effects in relation to the matters specified in paragraphs (a) and (b) in relation between—
(i) Great Britain, and
(ii) Northern Ireland.”
Amendment 7, page 67, line 1, leave out subsection (5) and insert—
“(5) No statutory instrument containing regulations under this section may be made unless a draft has been laid before and approved by a resolution of the House of Commons.”
This amendment would make clause 89 (Minor amendments in consequence of EU withdrawal) subject to affirmative procedure.
Amendment 20, page 67, line 2, at end insert—
“(5A) No regulations may be made under this section unless the United Kingdom has left the European Union without a negotiated withdrawal agreement.”
Amendment 2, page 67, line 13, at end insert—
“(7) This section shall, subject to subsection (8), cease to have effect at the end of the period of two years beginning with the day on which this Act is passed.
(8) The Treasury may by regulations provide that this section shall continue in force for an additional period of up to three years from the end of the period specified in subsection (7).
(9) No regulations may be made under subsection (8) unless a draft has been laid before and approved by a resolution of the House of Commons.”
Clause 89 stand part.
Amendment 8, in clause 90, page 67, line 16, after “may”, insert—
“(subject to subsections (1A) and (1B))”
This amendment is antecedent to Amendment 9.
Amendment 9, page 67, line 18, at end insert—
“(1A) Before proposing to incur expenditure under subsection (1), the Secretary of State must lay before the House of Commons—
(a) a statement of the circumstances (in relation to negotiations relating to the United Kingdom’s withdrawal from the European Union) that give rise to the need for such preparatory expenditure, and
(b) an estimate of the expenditure to be incurred.
(1B) No expenditure may be incurred under subsection (1) unless the House of Commons comes to a resolution that it has considered the statement and estimate under subsection (1A) and approves the proposed expenditure.”
This amendment would require a statement on circumstances (in relation to negotiations) giving rise to the need for, as well as an estimate of the cost of, preparatory expenditure to introduce a charging scheme for greenhouse gas allowances. The amendment would require a Commons resolution before expenditure could be incurred.
Clause 90 stand part.
New clause 10—Review of expenditure implications of Part 3—
“(1) The Chancellor of the Exchequer must review the expenditure implications of commencing Part 3of this Act and lay a report of that review before the House of Commons within six months of the passing of this Act.
(2) No regulations may be made by the Commissioners under section 78(1) unless the review under subsection (1) has been laid before the House of Commons.”
This new clause would require a review within 6 months of the expenditure implications of introducing a carbon emissions tax. It would prevent Part 3 coming into effect until such a review had been laid before the House of Commons.
New clause 11—Report on consultation on certain provisions of this Act (No. 2)—
“(1) No later than two months after the passing of this Act, the Chancellor of the Exchequer must lay before the House of Commons a report on the consultation undertaken on the provisions in subsection (2).
(2) Those provisions are—
(a) sections 68 to 78,
(b) section 89, and
(c) section 90.
(3) A report under this section must specify in respect of each provision listed in subsection (2)—
(a) whether a version of the provision was published in draft,
(b) if so, whether changes were made as a result of consultation on the draft,
(c) if not, the reasons why the provision was not published in draft and any consultation which took place on the proposed provision in the absence of such a draft.”
This new clause would require a report on the consultation undertaken on certain provisions of this Act – alongside new clauses 9, 13 and 15.
New clause 17—Review of the carbon emissions tax (No. 2)—
“Within twelve months of the commencement of Part 3 of the Act, the Chancellor of the Exchequer must review the carbon emissions tax to determine—
(a) the effect of the carbon emissions tax on the United Kingdom’s carbon price in the context of non-participation in the European Union emissions trading scheme, and
(b) the effect of the carbon emissions tax on the United Kingdom’s ability to comply with its fourth and fifth carbon budgets.”
In these parts of the Bill, we make sensible preparations for our exit from the European Union. While right hon. and hon. Members across the House may well disagree on Brexit, I would hope that all would wish to see us prepare as carefully as possible so that we can maintain the stability of the tax system; provide as much certainty for the taxpayer as possible; in respect of carbon pricing, meet our commitments to the environment; and do all those things in all eventualities, including in the event of no deal, which is clearly not the Government’s preference but remains a possibility.
At Budget, the Government announced essential provisions to ensure that the tax system can continue to function in any outcome.
(6 years ago)
Commons ChamberI am very clearly on the record as having supported changing the tariff that people can spend on fixed odds betting terminals from £100 to £2; it is absolutely the right thing to do. Let me be clear that it is quite extraordinary for a Labour Member to stand up and start lecturing the Government on having made an incredibly important and valuable change to legislation that rights the wrong of this fixed odds betting terminals—
Order. Mr Graham, you have been here long enough to know that we have short interventions; you do not need me to tell you that. If you want to speak, I will put you on the list, but we must have short interventions.
I should say that I am not from the Labour party. The Government’s reasoning for the delay is what concerns me, especially when it is completely the opposite of the reasoning they are using about Brexit, where they are saying, “It’s fine. Everybody has heaps of time to prepare—loads of time.”
I thank the Government for the changes to transferable tax history. They have worked very well with the industry to ensure that late-life oil and gas assets can be exploited for longer. I first raised this issue in March 2016, so I am very glad that the Government are now moving on it. However, this is not the whole picture. It is appreciated that this change has been made, as it will have a small but positive effect. I am pleased that this measure has come through, but we still have not seen the oil and gas sector deal, nor have we seen proper unequivocal support for carbon capture and storage. I want the Government to make louder noises about carbon capture and storage, and they need to after pulling the rug from under the feet of the industry three years ago. They need to be even louder and more vociferous in their support because the industry has been stung. The companies that were keen to take part in carbon capture and storage have been stung by the decisions of the previous Chancellor, so the Government need to be as clear as possible about support for carbon capture, utilisation and storage, which is a real industry for the future.
Order. We have 29 Members wishing to speak. There is no time limit, but Members should remember that we want to get everybody in.
(6 years ago)
Commons ChamberBefore I call the Chancellor of the Exchequer, I remind hon. Members that copies of the Budget resolutions will be available in the Vote Office at the end of the Chancellor’s speech. I also remind hon. Members that it is not the norm to intervene on the Chancellor of the Exchequer or the Leader of the Opposition.
I hear the hon. Lady, but her point is slightly blunted by the fact that she made it in the autumn of 2016, again in the spring of 2017 and again in the autumn of last year.
As well as making work pay, we want working people to keep more of the money that they earn. When we came into office, the personal allowance stood at £6,475 and the higher rate threshold was at £43,875. In April, I raised the personal allowance to £11,850 and the higher rate threshold to £46,350, as steps towards our manifesto commitments of £12,500 and £50,000 respectively by 2020. Those manifesto commitments were, of course, made before our new funding pledge to the NHS. I have received representations that the least painful way for taxpayers to contribute to increased NHS funding would be to abandon our manifesto pledges and freeze the personal allowance and the higher rate threshold at current levels.
Let me reassure the House that, unlike the right hon. Member for Islington North (Jeremy Corbyn), my idea of ending austerity does not involve increasing people’s tax bills. I did not come into politics to put taxes up, and the improvement that we have delivered in the public finances means that, based on the Office for Budget Responsibility’s forecast published today, I do not need to do so. I can therefore confirm today that I will meet our manifesto commitments for April 2020 to raise the personal allowance to £12,500 and the higher rate threshold to £50,000, before indexing both in line with inflation from 2021 to 2022. But our careful management of the economy allows me to go further, so I will raise both the personal allowance and the higher rate threshold to these levels from April 2019, delivering our manifesto commitments one year early. A tax cut for 32 million people, £130 in the pocket of a typical basic rate taxpayer, meaning that, since 2015, we have taken 1.7 million people out of tax altogether and nearly 1 million people out of higher rate tax. As a result of the announcements that I have made today, a single parent, receiving universal credit and working 25 hours a week on the national living wage will benefit by £890 next year—the hard work of the British people paying off in hard cash in their pockets.
We have turned an important corner and now we must pull together to build the bright, prosperous future that is within Britain’s grasp if we choose to seize it— embracing change, not hiding from it, building on the inherent strength of the British economy and the indomitable spirit of the British people.
Under this Conservative Government, austerity is coming to an end, but discipline will remain. [Interruption.] Austerity is coming to an end, but discipline will remain. That is the clear dividing line in British politics today: between a Conservative Government delivering on the British people’s priorities, supporting our public services, investing in Britain’s future, keeping taxes low and getting our debt down; or the Corbyn party, whose idea of ending austerity is to raise taxes to their highest level in peacetime history, which would send our debt soaring, squander the hard-won achievements of the past eight years and take this country back to square one. We are at a turning point in our history and we must resolve to go forwards, not backwards, and work together to build a Britain that we can all be proud of. I commend this statement to the House.
Under Standing Order No. 51, the first motion, entitled “Provisional Collection of Taxes”, must be decided without debate. Will the Chancellor of the Exchequer please move it formally?
The Question is that, pursuant to section 5 of the Provisional Collection of Taxes Act 1968, provisional statutory effects shall be given to the following motions: (a) stamp duty reserve tax (listed securities and connected persons) (motion No. 49); (b) tobacco products rates—[Interruption.] Order. May I just say to hon. Members that they need to listen to what is going to affect their constituents? I will say it once again: hon. Members may be interested in what affects their constituents—I certainly am—but we will not know what affects them and what does not until I can complete the motion. Let us complete the motion—I do not need any help from those on the Back Benches.
Provisional Collection of Taxes
Motion made, and Question put forthwith (Standing Order No. 51(2))
That, pursuant to section 5 of the Provisional Collection of Taxes Act 1968, provisional statutory effect shall be given to the following motions:—
(a) Stamp duty reserve tax (listed securities and connected persons) (Motion No. 49);
(b) Tobacco products duty (rates) (Motion No. 57).— (Mr Philip Hammond.)
Question agreed to.
I now call upon the Chancellor of the Exchequer to move the motion entitled “Income tax (charge)”. It is on this motion that the debate will take place today and on succeeding days. The Questions on this motion and on the remaining motions will be put at the end of the Budget debate on Thursday 1 November.
(6 years, 1 month ago)
Commons ChamberI am delighted to speak in the debate, although the opportunity has come around rather sooner than I expected, so I am afraid that my speech is in the form of a large pile of Post-it notes. I apologise if it is a little disjointed. I welcome the Department’s work on an inclusive—
Order. I made a mistake. I should have called the Scottish National party spokesperson. Does the hon. Gentleman wish to speak now?
I thank the hon. Member for Inverclyde (Ronnie Cowan), who is a valued member of the Transport Committee, for allowing me to continue.
I very much welcome the Department’s work on an inclusive transport strategy and the opportunity to debate these issues. We know that disabled people are often reliant on public transport, and much of my speech will focus on that. As the Minister said, disabled people face difficulties due to the accessibility of transport, its cost and attitudes, and as I have said already, many measures that can make public transport more accessible for people with a disability also make it more accessible for everyone. Audio-visual announcements on buses, which are standard in London and, I am pleased to say, available on almost all buses in my city of Nottingham, not only are essential for someone who is blind or visually impaired, but help everybody using the bus, particularly if they are visitors from out of town or going on an unfamiliar route. If people can hear what the next stop is, it helps everyone. We look forward to having visual announcements on all trains in the future. As people get older, they often experience greater difficulties with mobility and hearing, and with an aging population, addressing such issues becomes ever more pressing.
The hon. Member for Banbury (Victoria Prentis) talked about pavement parking. Guide Dogs has done important work to raise the profile of that issue and the problem it poses to many people with a disability, so I hope that the Minister will tell us when we can expect to see some change. Pavement parking was the subject of a private Member’s Bill some time ago, when the Government promised to act, so I would be grateful if she could give us a timescale. I also welcome the work around shared spaces, which is another issue that Guide Dogs and other organisations regularly raise on behalf of people with visual impairments.
Of course I welcome the commitment to getting more disabled people into work, but my concern is whether the Government are doing enough on a range of issues so that people have the support that they need to get back into work. Perhaps that is an issue for another day, but the availability of accessible and affordable transport certainly plays a key role in ensuring that disabled people can access the workplace.
Funding for these measures is really important, but sadly there is a problem in my city at the moment. In September, Nottingham City Council changed the rules for the concessionary pass for people with a disability. Until early September, disabled people could use their mobility pass before 9.30 am, which was a huge assistance not only to disabled people in work, but to many who would be travelling to attend hospital and other medical appointments. As a result of the funding reductions that the council has suffered, it has had to go back to the national system, which says that passes can be used only after 9.30 am. That enormously regrettable decision is having a significant impact on disabled people in my constituency, although I understand why the council made it. This is about the availability of resources as well as policy.
Another local issue—I wonder whether the Minister is aware of this at a national level, and whether it is a problem in other places—relates to payments for on-street parking through parking meters. Increasingly, meters that allow people to pay by cash are being replaced by services such as RingGo, which involve people paying for their parking by telephone or using their smartphone. I am concerned about the impact of that on older and disabled people, particularly those who are deaf or have a hearing impairment. Has the Minister considered that issue and asked local authorities that are implementing such changes whether they have properly considered the impact on disabled people?
I will come on to speak about a number of individual modes of transport, but people going on journeys do not think, “I’m going to take a bus journey and a rail trip, and then I’m going to walk.” People think about getting from their starting point—perhaps their home—to where they wish to go. We must ensure that there is joined-up thinking, because a disabled person needs to be confident that every leg of their journey will be reliable and accessible. What action is the Minister taking to ensure that there is the joined-up and integrated approach that a disabled person will need if they are to have the confidence to travel? Unfortunately, we know that many disabled people are stopped from travelling because they do not have that confidence.
A report published in April 2017 by the Equality and Human Rights Commission stated that transport options for disabled people are “very limited” because of access and expense, and that disabled people report feeling “trapped” by high costs and limited options. The report also refers to
“attitudinal or psychological barriers that prevent or discourage disabled people from using transport services. This could involve the behaviour and attitudes of some transport staff or concerns that people have about using transport, such as fear of crime, abuse or attack”.
Of course, those are not just issues for disabled people, as they often affect young travellers or women travelling late at night. There are many common issues that we can look to address.
Community transport has already been mentioned, and the Transport Committee’s first report of this Session considered the Government’s proposals on changing the regulations on section 19 and 22 permits. There is considerable concern among Members on both sides of the House about the potential impact of the Government’s changes. Indeed, it is not just a potential impact, because the Government’s actions in July 2017—that was before the Minister took responsibility for community transport, which is a recent development—have already started to have an impact on community transport operators. I wrote to the Minister only a couple of weeks ago to express concern about the actions of some local authorities, traffic commissioners and police. That is happening even though the response to the consultation has not been published and the Government have not issued new guidance.
When the Committee took evidence as part of our inquiry, we heard from hundreds of individual disabled people and the organisations that represent them. We were struck by how many people referred to community transport as a “lifeline”. I am sure that the Minister has listened to concerns raised across the House. I hope that she will take them into account when she publishes her response to the consultation and act to protect community transport, which is vital for so many disabled people.
I know the Minister is passionate about buses and I have been heartened by our discussions so far, but there are a number of issues to raise. One concern that has been highlighted by the Campaign For Better Transport since 2010 is the loss of supported bus services, which in part relates to the reduction in funding for local authority services. Thousands of services have been cut or scrapped altogether as result of those changes, and the impact of that on people who depend on buses—they might be people on low incomes, older people, or of course disabled people—is a great concern. Ahead of the Budget, I hope that the Minister has had conversations with the Chancellor and put in a plea for appropriate funding for transport, and particularly for buses, which are so important to communities up and down the country. Those cuts have had a particular impact on rural communities and more isolated locations.
The curtailing of services can have a particular impact on disabled people. Last week, the Transport Committee held an outreach event in Leicester where we talked to bus users. One woman, who had been a driver in the past but due to having had a stroke was now a bus user, described how on one of her local services the number of stops had been reduced. Where the bus had previously stopped at the hospital, it now stopped at the bottom of the hill before it reached the hospital, leaving her with a difficult journey uphill to access a very important local facility. That is just one example of how services are sometimes curtailed in a way that has a disproportionate impact on disabled people.
Reference has been made to the importance of wheelchair spaces on buses. Everyone is of course aware of the potential clash between buggies and wheelchair users for that space. I pay tribute to Doug Paulley, who took this issue on and confirmed that disabled people should have access to them. I welcome the Government’s commitment to act, but I would like more clarity on when it will happen. We raised this issue during the passage of the Bus Services Act 2017 about 18 months ago, so it would be helpful to understand when further action will be taken. We do not want to see a clash between the needs of wheelchair users and those with large amounts of luggage or prams and buggies. We want to ensure that buses are accessible for everyone. There are some really good examples of bus design. Nottingham City Transport, in my constituency, has large banks of tip-up seats that allow space for two wheelchairs or a large number of parents with children in buggies, so it can be done. We need to ask some bus operators why they are not acting more quickly.
The same is also true for audiovisual announcements, which I have already mentioned. Another shocking example from our visit to Leicester last week was told to me by a young woman. Her friend, who is visually impaired, had got on a route that normally has audio announcements, even though it is not standard in that city. She noticed that there were no audio announcements, so she spoke to the driver who said, “Oh yes, we’ve turned them off because I find them annoying.” That is really shocking, so what action will be taken to ensure that that cannot happen?
Finally on buses, the Minister knows that I wrote to her about the importance of transport to hospital. Many of those who use an older person’s concessionary bus pass use it to travel to hospital and medical appointments. I was really glad that, after I wrote to the Minister—alongside Age UK, which has done excellent work on this in its report, “Painful Journeys”—it appeared in the inclusive transport strategy. I just want clarification on some of the action that was promised. Has transport to hospital been raised at the disabled people and society cross-ministerial working group mentioned in the strategy? Is cross-departmental work currently under way? If so, what specifically is happening? What are the Minister’s plans for ensuring that the commitments in the strategy on transport to hospital actually happen? Will they definitely be built into the evaluation framework? I am sure that she will address those issues when she sums up later.
Trains often dominate our discussions. I apologise, Mr Deputy Speaker, but I am hoping we have plenty of time for this debate.
I am sure you will not want to take more time than the Minister.
I will try to push on, Mr Deputy Speaker, but I have such a long list of issues to raise.
On trains and the disabled people’s protection policy, we know that the Office of Rail and Road was looking at undertaking a review of the guidance. It stated that a consultation on draft revised guidance was planned for September this year and that completed guidance would be published by the end of the year. Will the Minister update us on what she knows about that work, because it was not published in September as planned?
On step-free access, I welcome the progress that has been made, but 202 stations out of 2,565 is simply not enough. What is the goal on that? Perhaps the Minister could clarify whether, when we talk about step-free access at 202 stations, that is from the train to the street or just from the platform to the street, because that makes a big difference. Step-free access is important, but I appreciate that it can be costly to implement. There are some much cheaper and simpler measures that can make a difference. Although it will not solve the problem of step-free access, one such measure is seating at stations. We have a “Take a Seat” policy across the city of Nottingham, and I have noticed that there is nowhere for people to sit down and have a rest at some stations. I noticed last week that people can sit down and have a rest at Euston station, but if they do, they cannot see which platform their train will be on. That leaves disabled people without very much time to get to their trains. Perhaps the Minister will raise that with train operators.
Another question is the accessibility of the rolling stock—the trains—for persons of reduced mobility. Currently, 78% of the rolling stock on our network meets modern access standards. That figure should be 100% by 1 January 2020. What assurance can the Minister give us that that will be the case?
I have already touched on staffing issues on trains and at stations. I was really pleased to hear my hon. Friend the Member for York Central (Rachael Maskell) mention the importance of attitudes to invisible disabilities. The TSSA’s work on neurodiversity is particularly significant. I am sure the Minister shares my concern about the report in The Guardian on Wednesday of the mum of a 17-year-old son who was humiliated by Great Western staff, who accused her of trying it on when she asked if she could take an earlier train because her son was overwhelmed by the station environment. Train operators need to do more to train their staff properly so that such circumstances do not arise.
The Minister alluded to the issue of taxi drivers who ignore customers in wheelchairs or try to charge customers more if they have assistance dogs.
(6 years, 4 months ago)
Commons ChamberOrder. We will start with a time limit of seven minutes, but of course we have two maiden speeches to come, so that might have to be adjusted accordingly.
(6 years, 5 months ago)
Commons ChamberThat is an excellent point, and many of the Windrush generation people I have met or tried to help have been completely frustrated by the fact that they had a whole ream of paper showing that they had been paying tax for all these years, but still the Home Office rejected their claim that they had been legally here.
I am afraid to say that this is a product of a system put in place by this Government, and if anyone doubts that, they have to answer this question: who was it who said we would deport first and ask questions later? Was that not announcing in advance that people who were entitled to be here may well be deported and treated as if they were here illegally, and then they could appeal? Anyone who has ever dealt with Home Office appeals procedures must know what that means: the chances of the removal decision being overturned are vanishingly small. Of course, it was the Prime Minister who said we would deport first and have appeals later. Why she was speaking in that mode I cannot say, but some say it was all about chasing UK Independence party votes.
In any event, the Windrush scandal was the consequence. My hon. Friend the Member for Brent Central has, I think, written to the Prime Minister asking whether she was warned. She was warned: I warned her here in this Chamber when we debated the Immigration Act 2014 that the consequence of an Act designed to catch illegal immigrants in its net would be that people who just looked like immigrants would be caught up, and that is what we are seeing with the Windrush scandal.
Looking ahead, the new Home Secretary clearly does not want to go the way of his predecessor, and he clearly wants to put the scandal behind him, but it is a product of policy, not accidents, and that policy will continue to generate scandals for the waves of migrants who came after 1948, all the way up to 1973, and it will draw in broader and broader categories of people from the Commonwealth. This policy will continue to do that until it goes.
The Windrush generation came here to see the mother country. Some came to rejoin the RAF. Others just wanted new and more prosperous lives for themselves and their families, and they were what are now sometimes called economic migrants. In coming here, they enriched this country in so many ways: culturally, socially and economically. In our own cafeteria here, one of the most popular dishes, week in and week out, is jerk chicken with rice and peas. I could never have imagined that I would live to see that.
In general, a more diverse society is a more interesting one, a more challenging one and a more prosperous one. There is, however, an unfortunate aspect to this history, as some of my hon. Friends have mentioned. Despite being invited here—my own mother was recruited in the Caribbean—the Windrush generation did not always receive a warm welcome. There is an unfortunate history in this country of sometimes defaulting to seeing categories of good immigrants and bad immigrants. For a long time, anyone from the Caribbean tended to be treated as a bad immigrant, with all the stereotypes that were ascribed to black Britons. I have lived long enough to see things move on, however, and we now sometimes hear people who are happy to say the most vile things about Muslims and eastern Europeans exempting black people from their vitriol. History takes some surprising turns.
The Windrush generation—including people from the Caribbean as well as people from Poland by way of Mexico, and all the people from other countries who got off that ship in 1948—came here for a better life for themselves and their families, and they all made a contribution to our society and our prosperity. We were literally better off because of them, and that is what their modern-day counterparts are also doing.
Before moving to a close, I want to mention someone who has not received enough public tributes. Patrick Vernon is a social historian and grassroots campaigner, and he has led the campaign for a Windrush Day. I also want to add to what my hon. Friends have said about the importance of establishing a hardship fund. I have met members of the Windrush generation who have had to live off the charity of friends and family and who have run up debts because of all the uncertainty about their immigration situation. We really need a hardship fund to be put in place now. Those people cannot wait for the conclusion of the consultation on compensation. We also need to look at the workings of the Windrush taskforce, to see whether it is meeting the targets that it set itself to resolve cases. Some of the cases that I and my hon. Friends are dealing with seem to suggest that that it is not. Again, I join other hon. Friends in calling for an official Windrush Day.
Everyone in this House thinks fondly of their parents, but I can speak with confidence on behalf of myself, my hon. Friend the Member for Brent Central and my right hon. Friend the Member for Tottenham when I say that if it were not for the courage, the hard work and the vision of our parents, none of us would be in this Chamber this afternoon as Members of Parliament. The Windrush generation has had a number of important effects, but none has been more important than forcing people to look at migrants as people—people with families, people with histories and people just like other people. If we could only extend the humanisation of the debate on migration from the Windrush generation to migrants of all generations and all times, we would achieve what I am committed to seeing—namely, a very different type of conversation on migration. We could achieve a change in the debate on migration. It should not have to take 60 years for people to recognise the contribution of a group of migrants to this country. I stand here bearing witness, and hoping for a better future when we come to discuss issues around migration.
(6 years, 6 months ago)
Commons ChamberI call Martin Whitfield to move the motion, with up to 15 minutes to speak to it.