Jobseekers (Back to Work Schemes) Bill

Debate between Mark Hoban and Julian Lewis

Tuesday 19th March 2013 Commons Chamber

[Mr Hoban]

The hon. Lady clearly has a press release that she wants to set out this afternoon. [Interruption.] From a sedentary position, she says that it is a good press release. I wish it were an accurate one. The reality is that our schemes are helping to get people back into work. It is vital that people who are looking for work are given help to get into work, and we are offering that. Up to the end of September, 200,000 people found work as a consequence of the Work programme. If she thinks that that is a failure, she is insulting the people who have got work through the Work programme. She should recognise the benefits that such schemes bring. To allow people not to take part in them is breaking a contract between us and the unemployed. We give them the support that they need to get back into work and we expect them to take up that offer of support. If they do not take up that offer, it is right that they are penalised.

[Dr Julian Lewis (New Forest East) (Con)]

Will the Minister tell the House how our employment rate compares with that of eurozone countries and even with that of the United States?

[Mr Hoban]

My hon. Friend makes a good point. The unemployment rate in the UK is below the average of the eurozone and the European Union. We are seeing one of the fastest rates of job creation in the developed world and we have record numbers of people in work, and record numbers of women in work. Our policies to help people into work are effective. On the whole, jobseekers welcome them and it is important that they continue to take advantage of the schemes that are on offer.

European Union Fiscal Union

Debate between Mark Hoban and Julian Lewis

Wednesday 14th September 2011 Westminster Hall

[Mr Hoban]

I think that there is a great deal of work to be done on this and that it is my hon. Friend who is putting his head in the sand. We need a successful euro area if we are to protect jobs and businesses in this country. We can see some of the impact on the economy today as a consequence of the uncertainty in the eurozone. We have seen the impact in the form of growth in France and Germany being below the rate of growth in the UK in the second quarter. These issues have an immediate impact on what happens in our constituencies and businesses. We need to ensure that the eurozone is successful if we are to continue to have a successful economy.

[Dr Julian Lewis]

Will the Minister give way?

[Mr Hoban]

No, I am going to continue. [Interruption.] No, I have four minutes left and there are more things that I need to say. My hon. Friend would have had a chance to speak earlier if there had been a more even division of time.

The situation in the euro area remains one of great concern. Market tensions have persisted since the euro area summit of 21 July. The European Central Bank’s purchase of an additional €70 billion of euro area bonds since early August has been accompanied by an alleviation of some of those tensions, but Greek 10-year bond yields are at a new high of about 20% and Italian and Spanish 10-year bond yields remain high. Commitments were made at the summit of 21 July to enhance the scope and flexibility of the European financial stability facility, to lengthen the maturity of euro area loans and to lower interest rates. Those commitments must be implemented in full. Euro area countries need to get ahead of the curve and move towards a more permanent, comprehensive solution to the ongoing crisis.

Several further proposals for greater fiscal integration in the eurozone have been put forward, most notably by President Sarkozy and Chancellor Merkel following their summit of 16 August. There will be further debate about that, but let me be clear: nothing in the agreement of 21 July or in the current proposals put forward by Chancellor Merkel and President Sarkozy requires a treaty change or a transfer of powers from the UK to the EU. That is the state of play at the moment, but it is clearly not possible to say where the debate on fiscal integration may end up.

As the Chancellor has already told the House, more radical proposals should be considered as part of a permanent solution for the euro area, including measures such as euro bonds or other forms of guarantee. However—this goes back to the point made by my hon. Friend the Member for Northampton South—any move in that direction needs to be matched by more effective economic governance in the euro area to ensure that fiscal responsibility is hard-wired into the system. I am pleased that he recognised the need for those monitoring controls to be in place.

Although euro bonds or other guarantees could be designed in a number of ways, it is possible that such a proposal would require a treaty change. If that were to happen, the Government would act to protect the UK’s national interest, as we did last December when leaders agreed to amend the treaty to allow the creation of the new, permanent crisis resolution mechanism. As my right hon. Friend the Prime Minister said when he appeared before the Liaison Committee last week, we will take that opportunity seriously. He said that

“when there is a treaty change, you have an opportunity to put forward what you want in your country’s national interest. I have done that once already, and I would do it again in the future.”

He also said:

“Britain should think carefully about how to maximise our national interest if that”—

treaty change—

“were to come about, but I think that it is some way down the road.”

We need to ensure that there is a strong eurozone and, as hon. Members said, a clear growth agenda in the EU. The current position is one of the barriers to those countries digging themselves out of the recession. However, we should not underestimate the value of the European Union to this country. It adds £600 billion a year to the economy. Further liberalisation could add a further £800 billion to the value of the economy. We need to ensure that we get this right. It is in our national interest to get it right, and we will work to ensure that we do so.

Equitable Life (Payments) Bill

Debate between Mark Hoban and Julian Lewis

Tuesday 14th September 2010 Commons Chamber

[The Financial Secretary to the Treasury (Mr Mark Hoban)]

I beg to move, That the Bill be now read a Second time.

The Government want to see justice for Equitable Life’s policyholders and that is clearly reflected in the actions that we have taken since coming to office. In our programme for government, we pledged to implement the Parliamentary and Health Service Ombudsman’s recommendation to make fair and transparent payments to Equitable Life policyholders. As a constituency MP and as the Financial Secretary to the Treasury, I receive plenty of correspondence on this matter, I have answered a series of parliamentary questions about it and I have had a number of oral representations from colleagues on it, all of which have stressed the need for a fair resolution. I understand the strength of feeling and, given my role in the past five years in opposition and now in government, I hope that hon. Members will recognise my commitment to policyholders.

We need a swift resolution, but, vitally, one that is transparent and fair. I am pleased to report to the House that more progress has been made to address the plight of Equitable Life policyholders during the first few months of the coalition Government than was achieved over the past decade. We have published Sir John Chadwick’s independent report setting out his approach to calculating payments. I commissioned the first bottom-up estimates of losses suffered by policyholders, calculated at each individual stage of Sir John’s methodology, and published those estimates in July.

[Dr Julian Lewis (New Forest East) (Con)]

As one of the many people who signed the Equitable Life representatives’ pledge before the election, I am very concerned that there should be a fair settlement. Will the Minister comment on the statement by the parliamentary ombudsman in her letter to all MPs of 26 July that

“the Chadwick proposals seem to me to be an unsafe and unsound basis on which to proceed”?

[Mr Hoban]

My hon. Friend was one of a number of colleagues on both sides of the House, including me, who signed the pledge. I am determined to make sure that we honour the pledge and that justice is delivered to Equitable Life policyholders. I met the ombudsman yesterday to discuss her letter and her comments on Sir John’s report. That is one of a number of representations that I have received about the report. I shall talk about the others in more detail later, but let me say that the starting point of Sir John’s work is a basis for calculating external relative loss. That is the first such basis that has been proposed to us and we need to look at how it could work as a basis for calculating the losses. I am determined to make sure that in deciding the loss figure we should take into account all the representations that have been received, including those of the parliamentary ombudsman.

--- Later in debate ---

[Dr Lewis]

My hon. Friend is extremely generous in giving way a second time. Does he accept that whatever calculations are done, any outcome that results in only a small fraction of the relative loss being made good to the policyholders would be deemed unacceptable by the policyholders, and dishonourable behaviour by those of us who signed that pledge in good faith?

[Mr Hoban]

I draw my hon. Friend’s attention to the ombudsman’s report. She set out a process for assessing relative loss, but she was very clear in her report that we need to take into account the impact on the public purse of any compensation scheme.

Equitable Life

Debate between Mark Hoban and Julian Lewis

Thursday 22nd July 2010 Commons Chamber

[Mr Hoban]

I am conscious that this is a very complex business. There are 1.5 million policyholders with 2 million policies and 30 million transactions. The policies are not straightforward and the data are old and difficult to access. I want to do as much as I can to make the process as quick as possible, and my hon. Friend has my commitment that I will do everything that I can to ensure that the date is speeded up.

[Dr Julian Lewis (New Forest East) (Con)]

Dozens of my constituents affected by the scandal, and a cousin who lives abroad, were favourably impressed by what was said in opposition creditably by Conservative and Liberal Democrat MPs. Will my hon. Friend accept that the experience of root canal surgery by the right hon. Member for Rotherham (Mr MacShane) will be as nothing compared with what those MPs will suffer if we fail to live up to our promises? I welcome the speed with which my hon. Friend is taking action, but the content of that action must live up to the speed.