Thursday 25th March 2021

(3 years, 8 months ago)

Lords Chamber
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Lord Oates Portrait Lord Oates (LD)
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My Lords, I declare my interest as a director of H&O Communications. I remember thinking, immediately before speaking on the debate on the Coronavirus Bill last year, that for the first time since the end of the coalition in 2015 I was heartily glad that I was not in government any more. The scale of the challenges that the Government faced were almost overwhelming. They had to tackle not only a public health emergency unprecedented in our lifetime but a national and international economic crisis as well. Inevitably, the Government made mistakes—any Government would have done—but they also got some things right, most notably the vaccine programme and the rapid deployment of fiscal firepower into the economy to protect employment and businesses. There were some significant gaps, which I will come to later, but overall the Chancellor acted boldly and decisively at a crucial moment and he should be commended for that.

In other areas, the Government’s performance proved to be less impressive. My principal complaint is not about the mistakes that were initially made—as I said, any Government would have made mistakes, even if they were different ones—but about their failure to learn from them. In the debate on the Bill last year, along with other Peers, I raised the position of the self-employed who were facing severe financial hardship. I welcome the fact that the Government subsequently created the Self-employment Income Support Scheme, but it excluded huge numbers of people, as my noble friend Lady Brinton underlined. Most notably, it excluded all self-employed people who trade through a limited company, any who had not traded through two tax years, which particularly impacted young people, and any who had had profits of over £50,000 in one of those previous tax years, even if their business could no longer be carried on at all because of coronavirus restrictions. Despite repeated appeals, the Government refused to listen and provide relief, leaving without support millions who had operated absolutely properly under all the tax and company law rules that exist. If the Government think that those rules are not right, they should change them. They should not penalise the people who followed them.

Another area where the Government refused to listen was protecting people who were required to isolate under the coronavirus rules from loss of earnings. This was not only damaging to the people impacted, particularly the self-employed; it fatally undermined public health. In the absence of proper provision, many inevitably went out to work, despite a positive test, or avoided being tested at all. There can have been few more penny-wise, pound-foolish decisions taken by the Government, because the impact of the virus spreading was further catastrophic damage to the economy. More importantly even than that, an unquantifiable number of people almost certainly and unnecessarily lost their lives as a result.

As I said at the outset, my criticism is not that mistakes were made. It is that the huge amount of good will and cross-party support that existed for the Government at the start of the pandemic was squandered. Hubris rather than humility became the dominant theme, and, in that hubris, the Government failed to listen to others. As a result, instead of correcting initial and understandable mistakes, they persisted in repeating them.

Last year, we granted the Government extraordinary powers, which we would not have dreamed of doing in any other circumstance. In return, we expected them to be used with great care and in the spirit of cross-party unity in which they were granted. That did not prove the case. Instead, advice went unheeded, cronies were rewarded, and the Government’s public health messaging was fatally undermined at Barnard Castle and buried in the Downing Street garden by a special adviser consumed with self-regard and dripping with “The rules are not for me” arrogance.

A Government who respected the spirit of unity, which the Minister referred to in his opening remarks and which allowed the Bill to pass so rapidly into law last year, would have returned this year with a replacement. It would have been proportionate to the situation we currently face, compared to the emergency we encountered last year, and it would have removed the obnoxious powers that have so damaged civil liberties. This time last year I swallowed hard, put my trust in government and voted for draconian legislation in the face of the emergency. That we are back here a year later with a contemptuous take-note Motion, which prevents us making any of the many necessary amendments to the legislation, underlines the extent to which the Government have betrayed that trust. They will not have it again.