Oral Answers to Questions

Lord Dodds of Duncairn Excerpts

Wednesday 15th September 2010 Commons Chamber

[Mr Swire]

The right hon. Gentleman does not, of course, draw attention to his Government’s own cuts of £44 million, and he—and the House—would do well to remember that we are in the current economic situation as a result of the legacy of the previous Administration. There are a number of positive things to say about Northern Ireland, however: there is the increase in the enterprise finance guarantee scheme, and the waiving of national insurance contributions on the first 10 jobs created by a new business in year one will benefit more than 15,000 businesses in Northern Ireland, while reversing the most damaging part of the planned increase in employer national insurance contributions will add a saving of about £80 million in Northern Ireland. The situation is very serious, but it was more serious before the coalition Government put these measures in place. It is not going to be easy, but Northern Ireland must play its part, along with the rest of the United Kingdom, in confronting the deficit and getting the economy going once more, which must be the aspiration of every Member.

[Mr Nigel Dodds (Belfast North) (DUP)]

What meetings has the Minister or his right hon. Friend the Secretary of State had with Treasury Ministers—and what representations have they received from them—on public expenditure in Northern Ireland generally, and specifically on the level of block grant to Northern Ireland after the spending review?

[Mr Swire]

I repeat to the right hon. Gentleman that there will be a meeting this afternoon attended by his party colleague, the hon. Member for East Antrim (Sammy Wilson), the Chief Secretary to the Treasury, my right hon. Friend the Secretary of State for Northern Ireland and representatives of the other Administrations in Scotland and Wales, at which, no doubt, these matters will be discussed in the proper manner.

[Mr Dodds]

I asked the Minister what meetings he or his right hon. Friend the Secretary of State had had with Treasury Ministers, not what meetings there had been between Executive Ministers and the Treasury. However, does he accept that the circumstances in Northern Ireland are unique? It is the only country or region in the United Kingdom that is suffering from the dissident terrorist threat—a subject that has already been discussed—and that shares a land frontier with another country, and it is also the only area in the United Kingdom that is coming out of 40 years of violence and terrorism, which has greatly truncated the ability of the private sector to compete. It is also the only area that has already had 3% year-on-year efficiency savings, implemented by the Executive. Will the Minister ensure that the fabric of society and vital services in Northern Ireland are protected by making sure that everything is done to protect the level of the block grant after the spending review?

[Mr Swire]

Let me put the right hon. Gentleman straight: my right hon. Friend the Secretary of State and I meet Treasury Ministers regularly and have done of late, not least to discuss the issue that confronts us all to do with the Presbyterian Mutual Society, and we will continue to do so. The right hon. Gentleman makes a very good point, however, in that this issue brings to the fore once more the fact that it is completely unacceptable and unsustainable in the longer term for Northern Ireland’s economy to be so dependent on the state sector—the relevant figures are about 70% as opposed to 30% for the private sector. We have to address that, such as by looking at other ways to kick-start the private sector, not least through corporation tax measures. We have to look at enterprise zones, too. All those things we are doing—