Tuition Fees
Marion Fellows Excerpts(7 years, 4 months ago)
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Marion Fellows (Motherwell and Wishaw) (SNP)
It is a fundamental Scottish National party principle that access to education should be based on the ability to learn, not the ability to pay. SNP MPs have a strong and principled record of opposing tuition fee increases in England and Wales and, if we are able to, we will reject any Bill that would increase the financial burden on students.
In 1997, I personally lobbied my predecessor in this place on the introduction of student fees. I had never met him before, but I think he still remembers that meeting, because I was incensed at the idea that students should have to pay fees. I found their introduction by a Labour Government particularly objectionable, especially as so many of them had gone to university themselves; they then pulled up the ladder behind them. Neither I nor the SNP have changed our view that access to education must be based on the ability to learn, not the ability to pay.
The SNP’s commitment to free tuition is firm and unequivocal. In 2007, the SNP Scottish Government abolished tuition fees. The Scottish Government’s free tuition policy benefits 120,000 undergraduate students in Scotland every year, saving them from accruing debts of up to £27,000, unlike their peers in other parts of the UK. The SNP will always guarantee that access to education is based on the ability to learn, not the ability to pay.
Since we came to office in Scotland, the number of Scottish-domiciled full-time first-degree entrants has risen by 12%, but this is also about our values and the kind of Scotland we want to live in. Scotland as whole values free access to higher education, as does the SNP. Unlike the Tories in Scotland, we have no intention of billing our young people for their education, either up front or after they have graduated.
In 2015, the president of the National Union of Students Scotland, Vonnie Sandlan, said:
“The idea that abolishing free education—a clear recognition of the public and social good provided by higher education—would improve fair access seems bizarre.”
It is almost as bizarre as the recent comments by the Secretary of State for Environment, Food and Rural Affairs on “The Andrew Marr Show”, when he said that only graduates benefit from their studies. As a Scot, has he not heard of the commonweal? Everyone benefits. Society benefits from a higher tax take, and from its teachers, its doctors, even its lawyers, and sometimes, perhaps, its MPs.
Alex Chalk (Cheltenham) (Con)
Has the hon. Lady read the report by the Sutton Trust, the social mobility charity, which was absolutely damning about social mobility in Scotland as a specific result of the SNP’s policy of capping places? Does she not deprecate the fact that social mobility in Scotland is going into reverse?
Marion Fellows
I thank the hon. Gentleman for his intervention, but I totally disagree with him. I will come on to that point further on in my speech. The fact is that Scottish education is different; the way into it and how to progress in it are completely untypical.
Deidre Brock (Edinburgh North and Leith) (SNP)
Does my hon. Friend share my frustration at the blatant gaslighting that is going on, once again, around the number of young people in Scotland from disadvantaged backgrounds attending university? Does she agree that our young people have many pathways to university? If children coming through further education colleges are included in UCAS figures, there are significantly higher numbers of young people from disadvantaged backgrounds in Scotland going through to university than in the rest of the UK.
Marion Fellows
As a former further education lecturer, I have personal experience of that. Indeed, I will be disseminating my wisdom on this when I take up my place on the Education Committee; I see that the Chair of the Committee, the right hon. Member for Harlow (Robert Halfon), is sitting on the Government Back Benches. The point that has been raised is a well-known canard. We cannot measure Scottish education by the same yardstick that we use in England and Wales because it is different.
Jamie Stone (Caithness, Sutherland and Easter Ross) (LD)
I thank the hon. Lady for giving way. I have for some time been trying to make the point that things are done slightly differently in Scotland. I once was a Member in another place. The scrutiny of subordinate legislation in Scotland is very thorough indeed, and consideration is given to whether it should be positive, negative or super-affirmative. The heart of the problem is that the instrument to which the parent Act refers is perhaps a little too draconian in the powers that it gives the governing party. The fault may lie with what was originally agreed months ago—this may be what is bedevilling hon. Members—and perhaps the role of the House was not made suitably strong.
Marion Fellows
I thank the hon. Gentleman for his intervention and welcome him to his place. Yes, there are many differences, and trying to compare apples and pears just does not work.
Wes Streeting
There are international comparators. The fact is that the SNP Government’s record on education in Scotland is a national disgrace: there are 4,000 fewer teachers, class sizes are up and, of the increased number of students going to university, 10 times more are coming from the wealthiest backgrounds than the poorest backgrounds. The gap is widening, and that is under an SNP Government.
Marion Fellows
If the hon. Gentleman listens to the end of my speech, he will find that I completely refute what he is saying. The facts tell a different story. Larry Flanagan, the general secretary of the Educational Institute of Scotland, has said that Scottish education is not in the parlous state that is ascribed to it by other parties. I believe that he is one of the hon. Gentleman’s colleagues.
Scottish-domiciled full-time first-degree university entrants rose 12% in 2006-07. The figure now stands at 28,777, 58% of whom are women. As I have said, the SNP firmly believes that access to university should be based on the ability to learn. To support that, the SNP Government have invested record levels of funding in our universities—£5 billion since 2012-13, with a further £1 billion planned in 2017-18.
The latest UCAS statistics have shown a drop in Scottish-domiciled students applying to higher education institutions, but that is not necessarily a negative. Indeed, it is further evidence that the approach taken in Scotland to ensuring that young people have equal choices and chances to succeed in life is working. For example, the youth unemployment rate has fallen from 14% since 2007 and now stands at 8.4%, and Scotland continues to have among the lowest rates of all the EU countries.
A record proportion of young people from Scotland’s most deprived communities are continuing their education, entering training or getting a job after they leave school, with 88.7% of school leavers from these communities going on to a positive initial destination—the highest ever proportion, and up since 2011-12. A record 93.3% of young people are continuing their education, going into training or getting a job—that includes modern apprenticeships—after leaving school. This is a good news story. They do not all want to go to university; many of them want to earn and learn.
According to the Scottish Funding Council, nearly 85% of further education students who achieve a qualification go on to a positive destination such as further study, training or employment. In 2015-16, almost 12,000 more students than in 2008-09 in both further and higher education at college successfully completed full-time courses leading to a recognised qualification. I know about that because I taught in a further education college. People in the most deprived areas of Livingston and West Lothian, where I taught, started in further education colleges at 16, and in some cases at 15. They progressed through college. They did further education for perhaps one or two years—in the same place—and continued on to higher education courses at higher national certificate and higher national diploma level. They were then able to articulate into the second or third year of Scottish university courses. That is how it is done in Scotland.
I was privileged to be part of the educational journey made by these people, some of whom were from the worst areas. I can think of one woman student who got pregnant at 15, had to leave school and came back to university. I interviewed her and saw her potential; she had no formal qualifications, yet she ended up with a degree—and no debt. I think that answers the question of the hon. Member for Ilford North (Wes Streeting) about social mobility.
Thanks to free tuition, Scotland is making progress towards achieving the target of 20% of students who enter university coming from the 20% of Scottish communities that are most deprived. There is no doubt about the SNP Government’s investment in additional places for access students; my husband was an access student. He decided to go to university aged 65 and joined the local college, which at that time was called Motherwell College. He took an access programme, did a year at college and gained a place at Glasgow University. He was unable to continue his educational journey for various reasons, but I know many others who have followed the same route. These students go to not only former technical colleges or institutes of technology that have since become universities, but our ancient universities. That is to be cherished and encouraged—and they have no fees.
That is why the Scottish Government continue to invest £51 million a year in supporting approximately 7,000 places. Scotland’s universities continue to attract students from around the world, and the number of non-EU international applicants has increased by 6% since last year; that is higher than the 2% increase in the UK as a whole. This is good news for Scotland, and we are keen to welcome those who wish to come to Scotland to live, learn and work.
The Scottish Government are determined to support our valuable higher education sector and are committed to working with our universities to continue to attract the very best students from around the world.The UK Government’s failure to provide an offer that goes far enough for EU nationals after Brexit has had a worrying knock-on effect on applications to HEIs in Scotland.
Down here, the Tories are all for front-door fees; back in Scotland, the Tories are all about back-door fees. If Ruth Davidson’s Tories had had their way in the 2016 election in Scotland, they would have introduced a £6,000 graduate tax, which would have had to be paid back when graduates earned £20,000. The UK Tories want to stop international students studying in the UK by abolishing the vital post-study work visa, but the Scottish Tories want to deter EU students by threatening them with additional taxes. By contrast, the SNP Scottish Government have pledged to reform student loan repayments: graduates will not pay loan debt until they earn £22,000; the repayment period is reduced to 30 years. If even a wee country like Scotland can do that, so can any other.
Over the past 10 years, the SNP Scottish Government have worked hard to make Scotland the best country it can be. It is no wonder that other parties are now taking their lead from the SNP on tuition fees. Labour and the Tories opposed progressive SNP policies tooth and nail for a decade; now they have changed their minds. The SNP has opposed tuition fees since they were first introduced by Labour in 1997, and scrapped them in 2008. Now Labour has said it will follow our lead in England—imitation is indeed the sincerest form of flattery.
Average student loan debt in Scotland continues to be the lowest in the UK: £10,500 per student in 2015-16, compared with £24,640—up 2% since 2014-15. By contrast with the UK Government, who abolished maintenance grants entirely for new students in England from the 2016-17 academic year, we raised the income threshold for the maximum bursary from £17,000 to £19,000. That will benefit an additional 2,500 young students and 400 independent students.
Geoffrey Clifton-Brown
Have not further education budgets in Scotland been cut continually, which has led to a reduction of 152,000 young students in Scotland? Is it not high time to do what the Conservative party manifesto pledged to do, which is to reverse those cuts so that we give our young people a fair chance in life?
Marion Fellows
May I also rebut that canard? When I started teaching in further education in Scotland in 1992, many college courses were not vocational but leisure courses. West Lothian College ran a very successful one on which people my age—now—spent six hours a week doing art. The Scottish Government cut funding for courses like that and increased funding for vocational training. They also do huge programmes in places where there has been a loss of jobs locally, and the first thing the Scottish Government do when they send in a taskforce is include local colleges to provide short-term training courses. More people now leave further education with good qualifications—and that is totally what matters.
Marion Fellows
I am sorry, but I would like to continue—I am feeling a little dizzy, to be fair.
The SNP Government are not complacent and are committed to doing more to support students. They want to ensure that support is equitable, in particular for the most vulnerable, which is why the Scottish Government are conducting a comprehensive review of student support under an independent chair and a wide range of membership, from Scotland’s colleges to the National Union of Students and other bodies.
Geoffrey Clifton-Brown
The hon. Lady is generous in giving way. She has talked about the most vulnerable students in Scotland and about being able to work and learn. Can she explain why the Scottish Government receive the apprenticeship levy yet sponsor only a very modest 30,000 apprenticeships, compared with the 3 million awarded in the UK during the last Parliament?
Marion Fellows
Let me say one thing in response to that. The Scottish Government consulted businesses in Scotland; they were already doing good work with businesses, encouraging them to take on modern apprenticeships. Modern apprenticeships were far further advanced. The Scottish Government did not just make decisions for themselves. There was almost an imposition on the Scottish Government because our devolved Parliament deals with issues such as training and education. When the UK Government introduced the new levy for all employers, we consulted those employers and the agreement went forward.
I am not prepared to take any more interventions; I have almost finished.
The terrible decision to introduce fees for nurses and to scrap bursaries in England and Wales is clearly having an impact on nursing application numbers from England; figures show a massive 23% fall on last year. In Scotland, we remain committed to free tuition fees and protecting the non-means-tested, non-repayable nursing and midwifery student bursary, which we believe is essential to ensure a steady supply of trainees into the profession.
Those who want a highly educated workforce should follow Scotland’s example. After all, it ranks at the top of the world’s statistics, with Canada and Russia: 45% of Scotland’s population aged between 25 and 64 are educated to degree level. Will the Minister consider doing what the Scottish Government have done so well? Do not attempt to increase fees for students in England and Wales—abolish them. We have world-class universities too, and what the Scottish Government do works.
Mr Speaker
I call the Chair of the Education Select Committee, Mr Robert Halfon. As we have discussed, the right hon. Gentleman is welcome to speak from a seated position if he wishes.
Julian Knight
I am not going to give way at the moment.
Loans are available in this progressive system to everybody. They are paid back only when the student is earning enough to afford it, and the amount to be repaid scales up with income. Effectively, student loans are a type of graduate tax, rather than a tax on everyone, including everyone who does not go to university. No bailiffs are sent out to collect on student loans, and after 30 years any outstanding debt is forgiven by the Government. No other loan has so many protections built in for low earners.
However, to focus narrowly on the repayment structure is to ignore so much of what makes the current system a good deal for less-advantaged students. It secures more places and higher-quality teaching.
I know there is a lot of nostalgia in some circles for the days when university was free, but too often those people fail to acknowledge that this was only possible because the proportion of school leavers who went on to higher education was tiny. I was the first member of my family to go to university. I come from a council house background and a lone-parent family. It was a really unusual event at my school to go to university, to such an extent that when people found out that I had a place, I and a few others at my school were called on stage. When I went to university, only one in 10 were able to take up the advantages that I had, and I do not want us to go back there, under any circumstances.
When the previous Labour Government decided to massively expand higher education, the costs for universities ballooned, and it was rightly decided that those who stood to benefit should shoulder a share of the cost. The alternative was to fund the entire cost from general taxation—shifting the burden to millions of people who have never had higher education—or to leave it to universities to fill in the gaps in their budgets themselves. Scotland illustrates the dangers of that approach. Local students, especially those from disadvantaged backgrounds, have been consistently squeezed out of Scottish universities in favour of fee-paying international students.
Julian Knight
Scotland used to say to the rest of the United Kingdom, “We have a gold standard in education.” I think it is a matter of shame that the SNP has presided over the collapse of Scottish education in the way that it has.
Julian Knight
No—you had your chance.
As all studies show, the introduction of fees in England has seen an increase in the number of students from poorer backgrounds. Tuition fees have opened up the opportunity to study, and the repayment structure shelters them if they do not get the graduate dividend that they hoped for.
Of course, the current system is not perfect. There are legitimate questions over the interest levied on loans, and especially about the fact that nearly every university charges the maximum amount of fees. Price signals should be an important way for students to gauge the actual value of a degree course. I also think that some courses may be too long, and if they were to be time-limited, that would bring down the costs for all. But abolishing fees and forgiving debts that will only ever be repaid by high earners, and replacing the current system with one that taxes those who do not benefit or leaves universities fighting over high-income applicants, would be a huge transfer of wealth from the poor to the rich, and a ferocious attack on opportunity and social mobility.
Post Office Closures
Marion Fellows Excerpts(7 years, 7 months ago)
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Marion Fellows (Motherwell and Wishaw) (SNP)
It is a pleasure to serve under your chairmanship, Sir Edward. I thank the hon. Member for East Worthing and Shoreham (Tim Loughton) on securing this debate. It is testament to how passionately people feel about this issue that so many Members are here fighting for their local community in the last week of this Parliament. I expected to walk into an almost empty room, but I am amazed and delighted that so many people are here.
This is the second time I have spoken on this issue. I could not possibly sum up everything that everyone has said, but I can give examples from my own area. Motherwell is about to lose its post office, which is situated in the town centre. The number of businesses that will be affected if the closure goes ahead is incalculable. People go to the town centre to go to the post office, to get their pensions and to spend money. We do not have a WH Smith in Motherwell any more. We do not have one in Wishaw, either: it closed very recently. The Wishaw Crown post office closed a number of years ago, and we saw the effect that that had. It was relocated into a nice, good shop which, unfortunately, was not designed to be a post office. Access is difficult and queues snake round what are effectively the old Woolworths long shelves. It does not work. We are really concerned.
The CWU has been out trying to save the Motherwell Crown post office. I conducted a survey of customers, and they are all absolutely incandescent: 84% of the people I spoke to said that they use the post office every week, and they have to queue. People said that if they lose that post office, small businesses that use the post office services will be hugely affected. They do not know where they will go, because we are losing banks in the area. Although there are still other banks, that is not what those small businesses want. They want to use banking services in the post office and do postal work at the same time, because many of them rely on the post office to get things out to customers.
It is really disturbing that, although the Government claimed that they would use post offices as the front office for Government, that has not happened. I have spoken to postmasters and postmistresses, and the loss of Government business has affected their business in general. I could not find any figures about Motherwell Crown post office’s turnover and why it was picked. I was told that it was all commercially confidential. If some Members have accessed that kind of information, why cannot all Members do so? It is not right.
At the end of the day, we need to keep our post offices. We have lost a number of sub-branches, which have moved from very accessible local places further out into estates and housing schemes that are not accessible for the majority of people. They suit the people who are there, who can go to their local convenience store, but they do not suit other people. In fact, a post office in the Motherwell civic square closed, right next to where the local authority has hundreds of workers. They cannot access a post office. If the one in the main town centre closes, there is going to be a loss of work for those in the post office and in the businesses around it.
I feel very strongly about this issue, and I am glad that there is such cross-party opposition to the recent round of closures and the effect it has on the poorest and most elderly in our communities, who use post offices the most. I ask the Minister to put pressure on the Post Office to halt this latest round of closures.
Fuel Poverty
Marion Fellows Excerpts(7 years, 8 months ago)
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Marion Fellows (Motherwell and Wishaw) (SNP)
I want to approach today’s debate from the perspective of older people and those who are particularly vulnerable as a result of fuel poverty. I want to be a voice for the people in Scotland who are disproportionately affected by fuel poverty, as others are across the United Kingdom. I commend my hon. Friend the Member for Ross, Skye and Lochaber (Ian Blackford) for talking about the difficulties faced by those in his constituency and throughout the highlands.
In Scotland, 58% of single pensioner households are in fuel poverty, as are 44% of pensioner couples. The UK as a whole has one of the highest rates of fuel poverty and one of the most inefficient housing stocks in Europe. Fuel poverty rates are higher in Scotland. It is an indisputable fact that more often than not it is colder in Braemar than in Bournemouth, and that means that houses must be heated from a lower ambient temperature and for longer periods throughout the year.
Today in London the sun is shining, and although it is cold, older and vulnerable people could probably venture outside. This morning I received two picture messages showing snow lying on the ground outside my Wishaw home. Not many older or vulnerable people will be venturing outside there until it thaws. They will need to heat their homes in the meantime, and the cost of heating those homes is a burden that many of them simply cannot afford. That is shameful. When people are old, infirm or immobile, the cost of heating can be excessive, especially for those on low fixed incomes.
Many in fuel poverty will be using prepayment meters to pay for the cost of heating their homes. Consumers who are in arrears with gas or electricity bills can be switched to prepayment meters. According to Ofgem, more than 90% of those consumers are currently not repaying a debt, and are therefore unable to switch to different tariffs that could cut their fuel costs. Switching is absolutely impossible for them.
There are two main ways of tackling fuel poverty. One is to make homes more energy-efficient, and, as housing is a devolved competence, the Scottish Government have poured significant resources into making homes more affordable to heat.
Mr Jim Cunningham (Coventry South) (Lab)
Is the hon. Lady aware that electricity prices have risen by about 125% overall, and gas prices have risen by about 75%? More important from the point of view of older people, the Government have withdrawn their green deal. Houses could have been insulated against cold weather. I hope that the Minister will respond to that point when he winds up the debate.
Marion Fellows
I thank the hon. Gentleman for making that point. Thank goodness I live in Scotland, because the Scottish Government are pouring even more money into making homes more energy-efficient. I myself have benefited from a deal whereby my loft was insulated at no cost, because by that time both my husband and I were of pensionable age. In fact, I think that it was only my husband who was of pensionable age. May I make a plea for that?
Marion Fellows
The hon. Gentleman is cheering me on from the Benches behind me.
By 2021, the Scottish Government will have spent more than £1 billion to ensure that Scottish homes and other buildings are warmer. Since 2008, more than 1 million energy efficiency measures have been installed in nearly 1 million households across Scotland, and the proportion of homes with the three highest energy ratings has increased by 71 per cent since 2010.
Scottish local authorities have also had an additional £10 million this winter to ensure that homes are energy efficient. The Scottish Government do not do that because it is a nice thing to do; they do it because it is absolutely necessary and imperative, to protect the most vulnerable people living in Scotland. Also, rather than simply throwing money at the problem, the Scottish Government have taken a consultative approach, working with many independent stakeholders and acting on their recommendations. My hon. Friend the Member for Ross, Skye and Lochaber mentioned the independent Scottish Fuel Poverty Strategic Working Group, and it has commended the Scottish Government; I will come back to that later.
Progress has been made. In 2015 almost 100,000 fewer households were in fuel poverty than in 2014. Energy to heat our home is a basic human right that no one should go without. That is especially true for older and vulnerable people in our society. Action has been, and will continue to be, taken in Scotland during the course of this Parliament, and a warm homes Bill will be introduced to set a new target for tackling fuel poverty so that it may be challenged head on.
I received an email from Age Scotland this morning. It welcomes the fact that the Scottish Government have designated energy efficiency as a national infrastructure priority. They have also given a commitment to invest half a billion pounds over the lifetime of this Parliament to tackle fuel poverty and promote energy efficiency. That is crucial, and it is what the UK Government need to do for homes in England and Wales, and to help in Northern Ireland. I know this does not come under the competency, but the Westminster Government is the largest Government in the UK and they must set an example.
As has been said, rural communities have particular issues with fuel poverty. In Scotland, the fuel poverty rate is 50% in rural areas compared with 32% in towns and cities, and a staggering 71% of homes in the Western Isles are in fuel poverty. Due to the demographics of these islands, pensioners are largely affected. Only this month, on 8 March, the Scottish Government announced a pilot scheme that will see 220 rural households offered support specific to the needs of older people in these islands to cut their energy bills. The pilot and its review will be used to develop the Scottish Government’s new fuel poverty strategy, due to be published later this year.
The Scottish Government have made huge efforts to minimise the number of older people affected by fuel poverty but are hampered by realities such as many rural homes being off the mains or off-grid, which means they cannot access gas supplies as the majority of us do—something most of us in this Chamber take for granted.
New powers to the Scottish Parliament will maintain winter fuel payments for pensioners in Scotland. Furthermore, early payments to almost 80,000 pensioners who live off-grid will also be made available so that they can take advantage of lower energy prices available during the summer months. That is a common sense idea that will help improve the lives of many older people. In addition, the winter fuel payment will be extended to families with children in receipt of the highest care component of disability living allowance.
As I have shown, the Scottish Government are already taking great steps to address fuel poverty. However, only so many powers to do so are located north of the border; the rest lie here at Westminster, and it is therefore here that the responsibility must lie. As has been mentioned, the fuel poverty rate for 2015 would have been 8.4% instead of 31% if fuel prices had only risen with inflation. Instead, the UK Government have allowed corporations to hike up energy prices, to the detriment of vulnerable groups who are in greater need of a warm home—a basic necessity which, let us be honest, can make the difference between life and death. The current cost of fuel poverty to NHS Scotland is calculated at £80 million per annum, and that must be much higher in the rest of the UK.
Increases in prices can outweigh everything that the Scottish Government are trying to do on fuel efficiency. No matter how much the Scottish Government spend, they can still have little impact on fuel prices across the UK. However, a Scottish Government Minister chaired a summit on 14 December last year urging energy companies to make a difference to low-income households living in fuel poverty and facing a poverty premium tax.
James Heappey
The hon. Lady is right that there are ways of insulating people from the volatile cost of energy, the most obvious of which is the electrification of heat. Will she share what the Scottish Government’s plans are for delivering that?
Marion Fellows
No, I cannot, because I am not here representing the Scottish Government. The electrification of heat is a joke in some of the far-flung places in the highlands and islands. If we electrify heat, we are then causing more carbon emissions in many regards, depending on what fuel we use. We in Scotland already have huge power resources run by water power, and the Scottish Government only recently opened a new dam that would produce—[Interruption.] The hon. Member for Wells (James Heappey) is chuntering from a sedentary position; I beg his pardon, but I can only answer what I have been asked. Recently the Scottish Government opened a new dam, producing power, but we have the real difficulties of getting power from Scotland on to the grid at a reasonable cost.
Marion Fellows
No, I am sorry, but I will continue my speech.
There are of course other ways that the UK Government can take action. They can increase household incomes, but instead they have allowed wages to stagnate, adopted a false living wage for select age groups, and pushed people further into poverty through their welfare cuts. The truth is that this Government do not do enough to help our most vulnerable people.
The Scottish Government have now taken over control of some of the new welfare powers. They have hit the ground running by doing what they can to support vulnerable groups, and please be assured that the new Scottish Government welfare powers will be built on a foundation of respect and dignity—things that are severely lacking in the UK welfare regime. For older people, the Scottish Government have launched a campaign to ensure that all groups are able to access the public funds they are entitled to; for example, one third of pensioners are entitled to pension credit but do not claim it. The new best start grant has already been referred to, and the Scottish Government have spent almost £58 million mitigating the impact of Tory austerity cuts to welfare on homes across Scotland. A £7.7 million increase in funding for discretionary housing payments will be made as the Scottish Parliament takes over more welfare powers. Between April 2013 and March 2016, local authorities will have made 321,000 discretionary housing payment awards totalling £129 million.
I can tell the House from personal experience how important these discretionary housing payments and the Scottish welfare fund set up by the Scottish Government to mitigate these cuts were to people when I was a local councillor. Since becoming an MP, I can also tell of the numbers of people attending my surgeries in real poverty, and that impacts especially on their ability to keep their houses warm; they are in real fuel poverty as a direct result of some of the actions taken by this Government.
The Scottish Government have also taken steps to mitigate the impact of the bedroom tax. All of this has helped the most vulnerable groups in Scotland. However—this will come as no surprise to the House—I agree with the First Minister that the Scottish Parliament’s finances and powers should be used to tackle poverty at its core, rather than being a plaster over Tory neglect. Given the powers that they currently have, the Scottish Government are doing what they can to alleviate fuel poverty in Scotland. Much of what they have done has helped with energy efficiency, thus reducing bills. The World Health Organisation attributes 30% of preventable deaths to cold and poorly insulated housing. Inroads have been made in Scotland to improve housing. In fact, some new houses were built and allocated recently in my constituency and they have been built to the highest specifications. This will enable the people living in them to spend far less on fuel than is currently the case in most houses across Scotland.
It is imperative that the UK Government urgently address the cost of energy across the UK. The large energy firms must be made to fulfil their social responsibilities. It is shameful that so many folk across the UK have to juggle heating and eating. Rolling out smart meters is not enough when people have no means of keeping warm. The fact that the Minister refers to an annual debate on fuel poverty should give us all pause for thought.
Steel: Preserving Sustainable Jobs and Growth in Europe
Marion Fellows Excerpts(7 years, 10 months ago)
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Mr Hurd
I thank my hon. Friend for his questions. I do not think it is any secret: anyone who has dealt with the EU emerges from that process frustrated about the pace of action. That is perhaps not surprising, because getting agreement between 28 countries is convoluted. That is the reality of it; it is slow. The UK has played an honourable role in putting pressure on the system to improve. I would make a couple of observations in response to his questions. Whether the EU has been slow or not in responding, I am reasonably satisfied that we have made significant progress within that response. I cited the 41 trade defence measures that have been put in place, but more important is the impact of those measures, in terms of reductions of 70% to 90% in the level of dumped products. Slow or not, what has been put in place has clearly had an impact.
There has been some suggestion from Members on the Opposition Benches that the UK has been a drag anchor in the process, but that is not the case. We were in the lead in pointing out that provisional duties on products such as rebar and cold-rolled flat products were too low. We pressed for higher definition on that and got that. Higher duties were put on rebar from China. On 29 July, an increase from 9% to 13% was announced.
My hon. Friend talked about pace. Again, we were instrumental in pressing the Commission to conduct its investigations into cases more rapidly than usual, and there is some evidence of response to that. Driving pace continues to be a challenge for any UK Minister involved with the EU, but let us be clear about the context. There is widespread recognition across the EU, not least by the UK, that the sector has a deep structural problem with overcapacity, and it is no secret where most of the problem comes from. In that context, I doubt the EU scores anywhere near 10 out of 10, but it is certainly not at the lower end of ones and twos. There has been significant progress, and the policies put in place have had an impact.
Marion Fellows (Motherwell and Wishaw) (SNP)
It is a pleasure to serve under your chairmanship, Mr Wilson. I wanted to ask the Prime Minister—[Laughter.] I apologise, but I hope I have woken everyone up by making them laugh. I think we are all rather more tired than normal today. The Prime Minister has said that we will be outside the EU customs union and the single market. In that scenario, we will not be part of anything that the EU is doing to deter Chinese dumping of steel in the UK. Can the Minister confirm that when the UK leaves the EU, the UK tariff on Chinese steel will be consistent with the strong common tariffs that EU states are trying to set at the moment? Is he aware of any World Trade Organisation rules or regulations on tariffs that may restrict the UK’s ability to set a tariff on Chinese steel imports to deter dumping?
Mr Hurd
I thank the hon. Lady for that question, although it contained an announcement that might have career-limiting implications for me. I think we call it an alternative fact. She represents a constituency in which a mothballed plant is coming back to life, and I hope she welcomes that. I congratulate Liberty and all the team involved. It is a good, positive sign for the UK steel sector.
In response to the hon. Lady’s main point, which is a fundamental one, I frustratingly cannot give her the exact clarity and visibility that she and colleagues want, because we are about to embark on a complex negotiation, in parallel with which we have to work through a whole set of deep and complex policy responses to the implications of UK independence from the EU, which includes duties and future participation in the emissions trading scheme.
I come back to the point that I made to the hon. Member for Middlesbrough South and East Cleveland: we are acutely aware that we have to do everything we can in this country to maintain the competitiveness of the key industries on which many communities rely for income, jobs and skills. That has arguably never been more important as we take this big step of independence from the EU. That is our great challenge and responsibility as a Government.
Marion Fellows
I thank the Minister for his response, which did not give me the answers I was seeking, as he indicated. I thank him for mentioning the plant in my constituency, which was saved by a work party set up by the Scottish Government. It worked very hard in conjunction with the UK Government, and we managed to save the steel plant, for which I am eternally gratefully. It is important that we know that UK steel will be protected if and when we leave the EU.
Another issue that really affected the plant in my constituency was high electricity and power charges. The devaluation of sterling has had a big impact. We are tied to dollar prices, which makes things very difficult. Has the Minister made any assessment of the effect of that on energy costs for businesses? What support might the UK Government provide after we exit the EU?
Mr Hurd
I thank the hon. Lady for that question and, through her, congratulate everyone involved in what sounds like a very positive process and outcome in relation to the plate rolling mill in her constituency.
Energy costs have been front and centre of every conversation that I have had about the steel sector with leading management in the sector, trade unions and Members of Parliament who are passionate advocates of the steel industry in their constituencies. We recognise two things very clearly. First, I mentioned the £133 million, but even though we have gone a huge way to compensate the industry for policy costs, we still have not reached a point where we have the kind of competitive, level playing field that the sector and others—not just steel—are asking for, quite reasonably in the circumstances. We take that very seriously. If there were an easy answer, we would have pulled the lever, but we have removed something like 85% of the policy costs. We are now in a residual situation where the premium industrial electricity price in the UK reflects wholesale energy prices, network costs and a bit of policy cost. It is not a straightforward situation. We have said—I am sure that this is right—that we need to move on from a sticking plaster-type situation and look at the issue strategically and long term to ensure that our heavy, energy-intensive industry can compete on a level playing field.
As there is not a simple, straightforward solution that I can announce today, we announced in the industrial strategy—in case the hon. Lady missed it—that we are committed to publishing a road map later this year showing how we intend to reduce and control business energy costs. An external review looking at the opportunities to reduce the costs of decarbonisation in the power sector and heavy industry will feed into that road map. There is a very serious piece of work under way that I know from the conversations I have had with representatives of the steel sector is welcome. We are absolutely serious about it; we just need a bit of time to work through it properly, because there is not a silver bullet that we can fire today that will address the issue in a sufficiently strategic and long-term way. We take the issue very seriously, and I hope that the process we have set out reflects that.
Marion Fellows
Finally, will the Minister commit to contacting the Scottish Government, Skills Development Scotland and all the agencies that were involved in the steel taskforce that took part in saving the Dalzell works in my constituency? A lot of good work was done and a lot of innovative ideas were brought forward. If, as the Minister says, the Government are looking at different strategies, I think it would be useful to him to consult with people who have already applied some of those strategies.