(12 years, 10 months ago)
Commons ChamberI strongly agree. The relationship between our banks and small and medium-sized businesses is possibly the most important issue for the country’s long-term prosperity, and one of the many virtues of the Vickers report, which, we have been very clear, in principle we are going to implement, is precisely that it will create a firewall in the banking system, so that there is a real vocation in the banking industry to support traditional customers, such as small and medium-sized businesses, in a way that has slightly withered on the vine in recent years.
Does the Deputy Prime Minister believe that the Supreme Court should continue to have a UK-wide role, even at a time when there are stronger devolved Administrations?
Yes. I think that, in keeping with all judicial systems in all countries that have a high degree of devolution, as we do, it is right that at the apex of the judicial system there should be a highest court, a supreme court, which is able to oversee the jurisdiction of all nations of the United Kingdom.
(13 years, 2 months ago)
Commons ChamberThat very much depends, of course, on the state aid process, which, as the hon. Gentleman will know from his own experience, we cannot totally determine. In order not to waste time, however, the investment committee that has been set up within the Big Lottery Fund will begin to disburse funds from dormant accounts as soon as they are made available and released. I hope that that will happen within a few months.
At a recent meeting of the Public Administration Committee, Sir Ronald Cohen said that the big society bank might have to change its name because it is not a bank. Will the Minister enlighten us? If it is not a bank, what is it?
The hon. Gentleman’s question reminds me of Maynard Keynes’s dictum when asked about the IMF and the World Bank. I think he said that the World Bank was a kind of fund, and the IMF was a kind of bank. There are often these oddities in the naming of things. Shall we just call it the BSB and know what it does, rather than worry about the name?
(13 years, 4 months ago)
Commons ChamberI am thrilled that the right hon. Lady is waiting for the document with such obvious excitement, and I can assure her that it will be well worth waiting for. This Government are committed to breaking up the old public sector monopolies and providing diversity, particularly with the growth of public service mutuals. The document will be published later this summer, and I can promise her that she will be delighted with it.
2. Whether private sector organisations will be able to make applications to the big society bank.
The big society bank will provide finance for the voluntary and community sector through funds to social lenders and investors. It will provide funds only to bodies that are onward lending or investing in the voluntary and community sector, charities and community groups.
I thank the Minister for his response. In the light of that, can he please indicate how the bank will define social enterprise, as currently there is not a legal definition? How will he ensure that all social enterprises have access to funding but that no organisation that exists for private profit has such access?
Social enterprises can take a wide range of different forms, but the common feature is that they do not seek to make a profit for shareholders. I think there is a widely understood definition of voluntary and community sector groups, and the big society bank will be organised in such a way that it can identify those and make sure that the funds that it is providing to social investors and social lenders go only to those groups.
(13 years, 7 months ago)
Commons ChamberThe hon. Lady will be glad to know that a number of NCS pilots are taking place in and around her constituency. The Prince’s Trust is running a pilot in collaboration with local partners, including Sunderland football club, and Catch22 is running pilots in Sunderland and Washington. I hope that she will engage directly with those organisations to ensure that the widest possible range of participants is attracted to those pilots.
12. What assessment he has made of the effects on the big society initiative of the outcomes of the comprehensive spending review; and if he will make a statement.
The hon. Gentleman was a distinguished head teacher in Scotland, I believe, and if his question relates to the effects in Scotland, he should of course address it to Scottish Ministers, as we do not have responsibility in that field.
For England, £470 million a year has been allocated to the Office for Civil Society, a considerable amount in light of the spending review. We have also allocated £100 million to the transition fund, and as I have mentioned repeatedly, there are huge new opportunities for voluntary bodies.
I thank the Minister for his answer. Can he reassure me that ultimate responsibility for providing a safety net for the most vulnerable people in society still rests with the state?
Of course responsibility for ensuring that people are cured, taught and protected from criminals rests with the Government and the state. The question is how that responsibility is best fulfilled. In our view, there are some areas in which things should be done by innovative and enterprising voluntary and community groups, rather than being delivered directly by public authorities.
My hon. Friend will know that there is a long-standing convention, quite rightly, that a serving Prime Minister does not and cannot order the release of papers that refer to a previous Prime Minister. That is why the Cabinet Secretary will be looking at this issue, which is a matter for him. Anyone unhappy with the conclusions is clearly able to write to Tony Blair to make their views known. For my own part, I hope this inquiry can be as open and clear as possible so that we get to the bottom of the very important issues it is looking at.
Q8. As the Prime Minister will be aware, I spent most of my working life in schools and colleges, so I have overwhelming evidence of the benefits of the education maintenance allowance. It brings benefits to teenagers from modest backgrounds in terms of their employability skills and in raising their achievement. May I urge the Prime Minister to go back to the position when he pledged to support EMA, so that we can support our economy as we move forward?
As the hon. Gentleman knows, the problem is that we want more people to stay on in school, but we have to look at the working of the current system. The Labour Government commissioned research and found that 90% of those on EMA would have attended school in any event. We also have to look at the context in which EMA was introduced into this country. Let me cite what the hon. Gentleman’s parliamentary colleague, the former Prime Minister said at the time:
“We will fund this major advance in educational opportunity from savings that we have made from our success in reducing… debt.”—[Official Report, 15 July 2002; Vol. 389, c. 29.]
Is it any surprise that we are having to look at these spending programmes and work out how to get better value for money to clear up the mess we have been left?
(13 years, 9 months ago)
Commons ChamberWe do not have a dogmatic view about exactly what form these should take. I hope there will be considerable innovation. Some will want to form joint ventures with outside providers; in other entities, the Government or whatever other state agency is the commissioning body might want to retain a stake in the organisation. There will be strong democratic worker involvement in many of them, but the key element is a degree of ownership by the employees themselves.
May I probe the Minister further on what specific advice and support the Government are offering to organisations that wish to become mutuals or co-operatives?
A range of advice is available. The 12 pathfinder projects are supported by organisations that are able to provide support—for example, Co-operatives UK and the John Lewis Partnership, which have enormous experience in this area. The advice and support service that these organisations are putting together will be able directly to channel support and advice from organisations such as the Employee Ownership Association. That should help organisations to find the right advice for the particular circumstances of a particular group of workers.
(13 years, 10 months ago)
Commons ChamberMy hon. Friend makes a good point. Many hon. Members will have football clubs in their constituencies that sometimes struggle financially, and seeing one owned by its supporters is a very positive move. I hope she will not mind if I spend more of my time on another football bid, which is the very important bid to make sure that England hosts the World cup in 2018.
Q4. I have already briefed the Prime Minister on the likely impact of the interim cap on migrant workers on a leading-edge company in my constituency. The one graduate sponsorship licence issued has suddenly been withdrawn. Can the Prime Minister assure me that he will review this case urgently, as this expert is pivotal to growth and jobs in our community?
I thank the hon. Gentleman for giving me notice of his question. I will arrange for the Minister for Immigration to look urgently at this case. The point is that we have consulted business and other interested parties on how the limit should work. We have also asked the Migration Advisory Committee to consult on what the actual limit should be. The consultations are closed and we will announce the findings in due course. The reason for an interim cap is that it was important to have a temporary limit to ensure that there was no closing-down sale, as it were, before the final limit was introduced. I will make sure that the Minister for Immigration gets in touch with the hon. Gentleman about this case.
(13 years, 11 months ago)
Commons ChamberJust to be clear, we are seeking to negotiate a new scheme, which would effectively make the terms in the Bill redundant. I make no bones about this: the Bill is a bit of a blunt instrument. It does not seek to create an entire, comprehensive new scheme. It simply imposes a cap on the amounts payable under the current scheme, so that it will be possible for the scheme to operate in a way that is fair to the taxpayer and to workers in other sectors outside the civil service. This is a complex process, and no one should be surprised that there is not instant agreement on a comprehensive new scheme. We are seeking to negotiate all the terms, but particularly those relating to additional protection for lower-paid workers and to a cap on what can be paid to the highest-paid workers.
Can the Minister explain the rationale behind giving preferential treatment to those who seek voluntary redundancy, as opposed to those who are forced to take a compulsory redundancy package?
Almost by definition, if a compulsory scheme offered less work and better terms, no one would take up voluntary redundancy. Voluntary redundancy is better because it can be negotiated and a scheme can be fashioned to meet the precise circumstances of the employing organisation and the work force. It can be designed to be as sensitive as it can be to the particular needs of the situation. Obviously, if a compulsory scheme were more generous than a voluntary one, no one would ever take voluntary redundancy. It is of the essence of any redundancy scheme that voluntary terms should be capable of being more generous. That is why we framed the provision in this way and why part of what we are seeking to achieve in the negotiated comprehensive new scheme is to enable employers in the civil service to configure voluntary redundancy schemes that are more generous than the compulsory scheme.
Thank you, Madam Deputy Speaker, for calling me to make a short contribution to this vital debate on civil service superannuation. My comments will be brief and they are intended as constructive reinforcement rather than unnecessary duplication, but it will be a test for Members to see whether they can distinguish the difference.
Let me say at the outset that few in the civil service in my community—and there are many of them—would deny that the civil service pension scheme needs reform. Given that position, there is all the more reason why the reform should focus on renegotiation rather than, as is patently obvious here, on a Government planning to proceed unilaterally with a devastating agenda. I appreciated the Minister’s comments about the virtues and values of the civil service, but the contents of the Bill do not match that unqualified support. Significantly, the Bill tells us much about the nature and culture of this Government who, at the same time as focusing on negotiation, are using a blunt stick to bulldoze through change. They are taking measures forward in legislation that, if enacted, would have a damaging effect on a cohort of modestly paid people who give outstanding service to our community. Indeed, I dispute the fact that they are not profit-making. They make profit, although not in financial terms, through the dividends and benefits that they give to our community, which are much appreciated.
Surely in the aftermath of the judicial review, the opportunity should have been taken to engage in a steep learning curve jointly through further negotiation. A bullish, insensitive and punitive approach destroys trust between Government and a loyal and dependable civil service work force who believe that they are being treated shabbily, to say the least. They believe that they are being marginalised and that they are bystanders in the whole process. It ill behoves a Government who claimed that they would be champions of fairness to act in such a draconian way, trying to push through an unacceptable change without proper scrutiny. The vast majority of civil servants are modestly paid, yet they play vital roles in our society, as we have heard. They keep our borders safe, support our armed services and help the unemployed.
In essence, the Bill does not strike a fair balance between the interests of taxpayers and the legitimate expectations of civil servants, many of whose livelihoods are being threatened. Governments do have to make hard decisions, but they must underpin those with the values of justice, fairness and respect. Those values seem sadly lacking in the approach that has been taken—or at least that is the perception, as the lowest paid appear to be being treated in a reckless and cavalier manner. Let us make no mistake: this Bill is potentially part of a slash-and-burn approach, a highly insensitive attack on modestly paid public servants who, in an economic downturn, are facing real challenges economically.
So where do I see us going? My focus would be on renegotiations that will succeed and make the Bill redundant. So I urge the Cabinet Office Minister to reaffirm his commitment to go that extra mile—to adopt the principles of the February scheme as an initial basis for discussion; to review his definition of reasonableness, particularly in protecting the lowest-paid; and to balance the needs of the taxpayer and the legitimate expectations of civil servants.
The civil servants of this country deserve to be treated with dignity—with fairness, justice and respect. The citizens of this country expect nothing less, and I hope that common sense will prevail in resolving this dispute, and that the Minister will be persuaded to reconsider his strategy and tactical approach in addressing this dispute, and withdraw the Bill.
(14 years, 1 month ago)
Commons ChamberMy hon. Friend makes an extremely good point. Yes, we have to take difficult decisions but, when we look at the NHS, we know that there are expensive drugs coming down the track, expensive treatments and an ageing population, and more children born with disabilities and living for longer. There are cost pressures on our NHS that mean that even small real-terms increases will be an heroic thing to achieve. I think that the Opposition have completely lost touch and lost their senses to think that you can somehow cut the NHS.
As a former head teacher, I endorse the commitment given by the Prime Minister to improving discipline in schools and in education more widely. May I ask him what special measures he, as the Head of Government, plans to invoke in relation to his Education Secretary, who has failed to do his homework properly on five occasions in the past week?
In the week of the Mandelson memoirs—to get a lecture on ill discipline. We used to say that the Labour Government were dysfunctional and shambolic and that they were all at each other’s throats, but we were wrong—it was much, much worse than that.