Access to Cash

Martin Docherty-Hughes Excerpts

Wednesday 20th October 2021 Westminster Hall

[Alex Davies-Jones (Pontypridd) (Lab)]

I beg to move,

That this House has considered access to cash.

It is a pleasure to serve under your chairship, Mrs Miller. Given recent events, I feel it is important to take a moment to pay tribute to our wonderful colleague, Sir David Amess, who was a regular contributor to Westminster Hall debates. His presence here will forever be missed.

I am pleased to have secured this debate, particularly as our ability to physically access cash has been restricted as we continue to tackle coronavirus, and given the recent increase to the contactless card spending limit from £45 to £100.

I come to this debate with a specific constituency interest in mind. One of the jewels in the Pontypridd crown is the Royal Mint, based in Llantrisant. It is a major local employer, and I must give its tourist attraction, the Royal Mint Experience, a quick plug. The Royal Mint is the manufacturer of UK coins, and is not directly involved in policy on the use of cash, but it is a key contributor to ensuring that certain skills, and the capability to circulate coins, still exist in this country. I was joined there by the Under-Secretary of State for Wales, the hon. Member for Monmouth (David T. C. Davies), only a few months ago; we struck coins, and met young people on the kickstart scheme. I will, however, try to refrain from reminding the Minister that despite all the country’s coins being made in my constituency, we sadly see precious little money in return from the Government. Perhaps that is a matter to be discussed another time.

Instead, I will focus on the sad, widespread repercussions of reduced cash flow, which is having a major impact on high streets up and down the country. Many have been hit by multiple bank closures, including in my constituency of Pontypridd and across Caerphilly. Banks not only provide vital services for a huge range of community groups, but are often the epicentre of our high streets, and are vital in encouraging local trade and footfall for surrounding businesses.

[Martin Docherty-Hughes (West Dunbartonshire) (SNP)]

In West Dunbartonshire, we have seen a huge decrease in the number of banks, and I congratulate the hon. Member on making that point. Do they agree that if we are moving to a cashless society, that cannot happen in a vacuum, and that the Government must step up to ensure that people have access to cash in local communities?

[Alex Davies-Jones]

I completely agree. It is vital that the Government step up to ensure that this transition to a cashless society—if that is where we are heading, which seems to be the case—is made quickly. I will return to this point later, but I must begin by placing on the record my gratitude to all the organisations that have supported me and my team in preparing for this debate, notably the team at the LINK group, who have assisted with many of the stats I will refer to; I am particularly grateful to them for their expertise. In addition, Cardtronics found time to advise us on the potential repercussions of losing more and more free-to-use ATMs, for which I am thankful.

Put simply, when it comes to how we access and spend cash, it is clear that our habits as a nation are changing. In my household, physical cash is essentially non-existent, and I often actively avoid carrying cash. In a world where tools such as Apple Pay mean that I can pay with my phone, my watch, or even just my face, carrying a large amount of cash seems to add an element of risk, and it ultimately feels largely unnecessary.

This stands in stark contrast to my attitude towards cash when I was growing up. I still remember the genuine thrill I felt as a youngster when I received what I suppose would be considered a wage for completing my household chores. That £3 per week felt like my ticket to freedom, and I loved to collect my pounds and pennies in my piggy bank, all to be spent, no doubt, in one go on something like Bliss magazine, the latest Tamagotchi or Steps’ latest single. This fondness and nostalgia for the Great British pound is widespread. According to the access to cash review interim report, “Is Britain ready to go cashless?”, despite the increasing use of cards and electronic payments, approximately 8 million people, which is 17% of the country, said that cash feels like an economic necessity.

For me, years down the line, I have changed not only my spending habits, but my attitude to cash. What was once seen as an exciting physical representation of my earnings is now something I tend to actively avoid. However, I recognise that plenty of people feel completely differently, with many preferring to use cash for security or cash management reasons. It is important to acknowledge that when we talk about access to cash, acceptance of cash is part of that debate as well. That is where the marked difference between the needs of those living in my semi-rural constituency of Pontypridd and those in inner-city dwellings becomes even more obvious.

In London, it is not uncommon for businesses to be entirely cashless. That is in stark contrast with the many small businesses in my community that rely on cash payments, due to the cost or impracticalities of accepting card transactions. I am pleased that there appears to be widespread support for the preservation of free-to-use ATMs, which are vital for protecting access to cash.

Lockdown: Economic Support

Martin Docherty-Hughes Excerpts

Tuesday 3rd November 2020 Commons Chamber

[Steve Barclay]

I am aware of the concerns that my hon. Friend has raised. I point him to the fact that, to date, the Treasury has spent more than £200 billion as part of our comprehensive package of support. We have applied a universal approach in terms of the furlough, loans, business grants and so forth, but I am happy to have further discussions with him in the weeks ahead.

[Martin Docherty-Hughes (West Dunbartonshire) (SNP) [V]]

While welcoming the news that the support will return to 80%, many people here in West Dunbartonshire and across Scotland regret the fact that this decision has been made at the last minute, when many have already made life-changing decisions in anticipation of the rate being reduced. To give those whom we will rely on to rebuild our economy some degree of certainty, will the Minister commit the Government to fill the gaps in the scheme so that freelancers and creatives—the excluded—can start to grow the companies of tomorrow?

[Steve Barclay]

I draw the hon. Gentleman’s attention to the future fund, which has provided additional support. On the timing of the furlough extension, I refer him to the answer I gave earlier. Those who have lost their jobs recently could come back through the furlough extension. Those employees employed as of 23 September—the day of the job support scheme announcement—and notified to HMRC by real-time information on or before that date who have since been made redundant can be rehired.

Netflix: Tax Affairs

Martin Docherty-Hughes Excerpts

Monday 3rd February 2020 Commons Chamber

[Jesse Norman]

I thank the hon. Gentleman for his question, although it is a pity that he asks a question that has already been asked when we are short of time in a debate, because that does not allow me the time to come back to the right hon. Member for Barking, who asked the question in the first place. If they permit me, I will get to his point in due course after I address another issue raised by the right hon. Lady that is of great importance to the debate.

Turning to creative sector tax reliefs, we need to be clear that the creative industries make an important and extremely valuable cultural contribution to the UK. They are also an important part of a dynamic and diversified economy, with the UK’s world-famous creative industries making a record contribution to the economy in 2017 by breaking through the £100 billion mark. The Government are committed to supporting these highly skilled and innovative industries as they support economic growth across the UK. That is why the Government continue to offer support for the creative industries through eight sector-specific tax reliefs. The most established of those are reliefs for British film and high-end television productions. The reliefs have supported over £19 billion of UK expenditure, including the completion of 90 TV programmes and 245 films in 2018-19 alone. The success and popularity of British films overseas is well known. The UK film industry exported a record £2.6 billion-worth of services in 2017 and employed over 90,000 people across the UK in 2018.

The effect of the tax reliefs, in turn, is to help cement investor confidence in UK creative skills, infrastructure and innovation. Indeed, investment in facilities has spread to projects around the UK and includes new studio spaces such as Wolf near Cardiff, Pentland in Scotland, Church Fenton in Yorkshire, and the Littlewoods building redevelopment project in Liverpool.

I now turn to the questions raised by the right hon. Lady. She asked about the location where IP is created and whether that should determine the taxation of that IP. As she will be aware, I cannot comment on the circumstances of individual businesses, but under international tax rules, the UK is entitled to tax the shares of a company’s profits that relate to those production activities. That is what we are in a position to do, so she should not have concern on that front.

The right hon. Lady also raised the question of Brazil.

[Martin Docherty-Hughes (West Dunbartonshire) (SNP)]

Will the Minister give way?

[Jesse Norman]

I really have no time if I am to answer the right hon. Lady’s questions. Perhaps I can come back to the hon. Gentleman, but I have already taken two completely irrelevant repetitions of questions that I am trying to answer.

Why can Brazil tax companies but the UK cannot? As the right hon. Lady explained, Brazil has a withholding tax. In the Finance Act 2019, the UK introduced a charge, as I have described, on offshore receipts from intellectual property. That charge, introduced in 2019, completely refutes the suggestion made by the hon. Member for Ilford North (Wes Streeting) that tax arrangements have existed for a long time—in fact, trying to stop these forms of aggressive avoidance and potentially outright evasion is an ever continuing process. The effect of the ORIP rules is to replicate the effect of a withholding tax where IP is held in low-tax territories, along the lines that the right hon. Member for Barking has called for.

The right hon. Lady asked about the digital services tax. As she is probably aware, that is designed to relate to large search engine, social media and online marketplace businesses. Those are different from the case that she is discussing, as they rely on their users to create value where that value is not recognised under current international tax rules. Therefore the set of rules would have to be entirely rewritten to take into account the circumstances of the case that she is describing now, which may be important but is in any case captured by existing Government law in many instances. In any case, the DST is intended to be a temporary measure pending agreement of a long-term global solution, potentially including the United States, that will address the wider challenges posed by digitisation.

I remind the right hon. Lady as she denounces the company in question, for which I hold no brief either way, that it is planning to invest about £232 million in Shepperton Studios. That is not a trivial act and is something that we should be aware of. Finally, she mentioned country-by-country reporting. Again, the law is in place. Since 2017, large multinationals have been disclosing the information to HMRC. Businesses of all shapes and sizes make a valuable contribution to the UK’s creative economy, and it is absolutely right that they should be incentivised to continue to do so. But it is equally right that HMRC should subject large businesses to an appropriate level of scrutiny, and my understanding is that it is actively investigating around half of the UK’s large businesses at any given time. That is a very considerable undertaking and ample testimony to the seriousness with which it takes this issue.

Let me conclude, Mr Deputy Speaker, by thanking you and thanking the right hon. Lady once again for raising this important issue.

Question put and agreed to.

The Economy

Martin Docherty-Hughes Excerpts

Thursday 24th October 2019 Commons Chamber

[Martin Docherty-Hughes (West Dunbartonshire) (SNP)]

Let me begin by informing the House that I am a vice- chair of the all-party parliamentary group on blockchain.

At a time of great change, politically, economically and socially, we should be mindful of the technological change that is taking place in these momentous days. From the challenges posed to liberal democracy though the industry of fake news—mentioned by the hon. Member for Gedling (Vernon Coaker)—to the unbridled and unregulated sphere of social media, the economy of today in no way reflects the economy of yesterday. It is, indeed, an economy about to be further brutalised by a Government who are wedded to the worst types of mercantilism. This is a world in which we must challenge that economic vision with a simple word: trust.

How is it possible, in the 21st century, for the Government of the UK to fail to recognise the simple fact that trustworthy economies are more stable and have more positive economic and social outcomes that benefit their citizens? What is trustworthy about a Government who place one part of the Union at a competitive advantage at the expense of the rest? How is it possible that the Government have thrown the Democratic Unionist party under the Brexit bus, and also seek to remove Scotland from the largest liberal democratic single market and customs union in the world? The simple fact is that this Government cannot be trusted with Scotland’s economy.

It would be easy to list the Government’s failures, but I am sure that that litany of despair requires a debate of its own, so instead I shall mention some of the innovative and dynamic opportunities that are available to nations that are willing to participate in a trustworthy fashion. We need to look at new technologies such as blockchain, which, although not in itself a panacea, can be a valued asset in the delivery of public services by a range of public and private agents. According to the recently published European Commission report “Blockchain now and tomorrow’’, this technology can assist the delivery of transparency, security and increased trust across a range of fields including medicine, asset transaction, finance, education and the energy sector, and, critically, it can assist the resilience of the economic infrastructure. Only last April, the United States Department of Energy announced, through its National Energy Technology Laboratory, phase 2 of its blockchain-based electricity grid security pilot. Meanwhile, the UK thought that it might be good to give Huawei the 5G network and allow the People’s Republic of China to build our nuclear power stations.

The last thing that Scotland needs at this critical point is removal from the largest coherent customs union and single market in the world, so let us look to its closest allies and EU partners to see how we can combat that narrative. One of those partners is none other than Estonia, a nation of 1.5 million with a rather large domineering neighbour in a state of flux, and a nation whose only contact with the outside world at the time of the collapse of the Soviet Union was a single secret mobile phone held by the then Prime Minister. Cut to 2019, and it is a digital society like no other, sitting at the top table of the European Union and named as the most advanced digital society in the world. Yet in 2007 the impact of a cyber-attack closed down its Parliament and major public services. That attack had a profound and, indeed, practical outcome for Estonia.

Even before Satoshi—of whom most people in the Chamber will never have heard—released their blockchain paper, the Estonians were ahead of the game. They called it “hash-linked time stamping”. Since 2012, blockchain has been at the centre of its national economic infrastructure, in its health service, its judiciary, its legislature and its national security, as well as across a whole raft of commercial fields.

I am heartened by the fact that at least the Scottish Government, even with their limited powers, are pushing ahead. We need only read their report entitled “Distributed Ledger Technologies in Public Services” to see that blockchain represents a new opportunity for the creation of natively digital public services, building on the substantial policy framework of the Christie report on public service reform.

I hope the Minister recognises that the future is already here. If the Government are unable to commit themselves to achieving trust in the digital age by ensuring honesty, consideration and accountability, they should get out of the way and let Scotland set its own economic destiny.

Discrimination in Football

Martin Docherty-Hughes Excerpts

Thursday 11th April 2019 Commons Chamber

[Mims Davies]

Four goals? Wow! The hon. Gentleman has now set himself up for that. And who would want to be the goalkeeper?

[Martin Docherty-Hughes (West Dunbartonshire) (SNP)]

As a gay Roman Catholic of Irish heritage who grew up in the west of Scotland, I am very much aware of some of the issues the Minister raises. My own local clubs, Clydebank, Yoker Athletic, Dumbarton and the Vale, have challenged the community to think differently over the past 20 years. Can the Minister tell me where we are on disability discrimination? There needs to be more done to challenge football clubs to give disabled fans and disabled footballers more access to the game.

[Mims Davies]

The hon. Gentleman makes an important point. The experience of our disabled fans across the country is not equal, not fair and not good enough. The whole House is listening and the UK is watching: football, give everyone a fair experience, particularly our disabled fans.

Beer Taxation and Pubs

Martin Docherty-Hughes Excerpts

Thursday 28th March 2019 Commons Chamber

[Ruth Smeeth]

I think I am going to be heckled throughout by my hon. Friend and neighbour.

Titanic has benefited hugely from small brewer’s relief, which I will touch on in a moment. First, I would like to put on record my thanks to Keith and Dave Bott not only for the support that I receive from them, but for the investment they have made in my community. They have ensured that small brewers have had a voice in this place, and others, for many years.

It is a pleasure to talk about a B-word that has nothing to do with Brexit. I think we can all agree that we have spent enough time on that for a little while. Instead, I would like to talk about the value of pubs to our society.

While the sector supports more than 1 million jobs in the country, and we heard various statistics from the hon. Member for Dudley South about it, we need to touch on the other things that the pub sector delivers, such as the impact on loneliness—especially providing somewhere for older gentlemen to go—and on our communities.

[Martin Docherty-Hughes (West Dunbartonshire) (SNP)]

Does the hon. Member recognise the importance of linking community pubs with craft breweries, such as Loch Lomond and Lennox breweries in my constituency, which reduces social isolation and consumption of alcohol at home?

[Ruth Smeeth]

There is a huge opportunity for us to debate the benefits of off-licence versus on-licence, the support that people get when they enter a pub and the responsibilities of the landlord. That is especially the case when we talk about loneliness.

Gambling-Related Harm

Martin Docherty-Hughes Excerpts

Tuesday 19th March 2019 Westminster Hall

[Ronnie Cowan]

I agree with that point and I hope to cover it later on, when I will look at the educational support for kids and the possible grooming of children, normalising gambling as part of their lives.

On my last point, will the Minister consider ways whereby coroners can ensure that data around suicide can be captured, so that accurate figures can be maintained?

Jack Ritchie was 24 and from Sheffield. He was a history graduate who taught English in Kenya and Vietnam. He began gambling at 17 and would visit betting shops during his school lunch break. By 18, he admitted that he had a gambling problem and that he had lost thousands of pounds, including £5,000 given to him by his grandmother. After another gambling loss, he committed suicide in 2017, while he was in Vietnam. Jack’s mother, Liz Ritchie, compared gambling addiction to heroin dependency. The harm is real and it is growing, while the research and support is massively underfunded.

I commend the work undertaken by Henrietta Bowden-Jones at her clinic in Fulham. There are plans to open a similar clinic in Leeds, and hopefully more in Scotland and Wales. That must happen, but the funding model requires scrutiny. Currently, the industry pays a voluntary levy that raises £10 million to £14 million a year. That money is used to fund support for problematic gamblers, and campaigns to educate people and hopefully reduce harm.

That voluntary contribution of £14 million must be measured against the gambling companies’ profits. In November 2018, William Hill issued a profit warning, saying that it expected yearly profits to be in the range of £225 million to £245 million—in 2017, company profits were £291 million—whereas 888 Holdings reported pre-tax profits of £83 million on revenue of £541 million in March 2019. Paddy Power Betfair reported pre-tax profits of £219 million in 2018 on revenue of £1.87 billion, and bet365 posted an operating profit of £660 million on revenue of £2.86 billion.

The total gross gambling yield for Great Britain between April 2017 and March 2018 was £14.4 billion, which was a 4.5% increase from the previous year. The annual sum that gambling firms win from their customers has risen by 65% since the Gambling Act 2005. It is against those figures that we have to consider the voluntary levy of £10 million to £14 million. A statutory levy of 1% would guarantee £140 million a year and that sort of money, in the right hands, could do some serious good.

[Martin Docherty-Hughes (West Dunbartonshire) (SNP)]

I congratulate my hon. Friend on securing this debate. Does he agree that, given the numbers he has cited, it is nigh impossible for local authorities anywhere in the United Kingdom of Great Britain and Northern Ireland to implement their statements while they are dealing with a marketplace in which the money created for the businesses fundamentally outweighs anything that they can do locally through a simple planning statement?

[Ronnie Cowan]

I wholeheartedly agree. I am not going to war with the gambling industry here, but we have to look at the figures, and the money that companies have to spend in order to promote gambling far outweighs anything that we have got at local council level to counteract that and the damage that has been done.

In addition, because the levy is voluntary, the amount raised can vary from year to year, and therefore budgeting for long-term treatment is extremely precarious. I ask the Minister to review how gambling-related harm reduction is funded and to investigate more effective methods.

Let me be clear: I am not asking for financial recompense from gambling companies just to improve their public image. A sponsorship deal here and a charitable donation there are no more than fig leaves to hide the companies’ own embarrassment—and they should be embarrassed. How can a family be recompensed for the loss of their son, or a child who has lost their father? I am not asking for token gestures; I am asking gambling companies to stop doing the damage in the first place. Rather than merely asking punters to “gamble responsibly”, they should run their organisations responsibly. If the Gambling Commission cannot act, and if self-regulation is not adequate, the UK Government should step in and legislate to ensure responsible working practices are in place. Will the Minister review the role of the Gambling Commission and its funding model?

While we talk about responsible working practices, companies are gathering data pertaining to the habits of online gamblers. Astonishingly, they are closing down the accounts of people who are successful and winning—even those winning small amounts—while targeting and encouraging vulnerable gamblers who are losing to continue gambling. This callous disregard for the welfare of their customers is tantamount to gross negligence.

Another outcome of the increased use of technology is that the division between gambling and gaming has been blurred by the introduction of “loot boxes”. That did not happen by accident: adults designed and wrote the software; adults considered the returns; and adults are grooming children to be the next generation of gamblers.

Communities: Charities and Volunteers

Martin Docherty-Hughes Excerpts

Wednesday 13th February 2019 Commons Chamber

[Martin Docherty-Hughes (West Dunbartonshire) (SNP)]

I am delighted to follow the hon. Member for St Ives (Derek Thomas), who detailed some of the work that is going on in his community. Let me make a non-pecuniary declaration of interest: I was the national policy adviser for Volunteer Scotland, the national body for volunteering, before I came to this House. I have also worked for West Dunbartonshire Community and Volunteering Services—Members will know it as a CVS and volunteer centre—for over a decade.

I thank the Government for bringing forward this general debate today. I am sure that there are those in the Chamber who have been seeking such a debate for quite a long time. I commend the work of the all-party parliamentary group on charities and volunteering, of which I am a member. I see the redoubtable chair, the hon. Member for Clwyd South (Susan Elan Jones), in their place. I do hope that, when they sum up, both Front-Bench speakers will pay tribute to the work both of that all-party group and of the chair who has been a doughty campaigner since coming to this House.

Although much of the policy framework for charities and volunteering is fully devolved to the Parliament of Scotland, there is a range of overlaps that needs to be highlighted so that Members can be aware of the distinct nature of charities in Scotland, the number of which, according to the Office of the Scottish Charity Regulator, now stands at 24,466 in total.

[Stephen Kerr]

The hon. Gentleman is quite right that these issues are devolved and rightly so, but where there are opportunities for co-operation across the United Kingdom, we should surely grasp them. Why, for example, is it not possible for young people in my constituency, because of a decision by the Scottish Government, to participate in the National Citizen Service? There is a demand for that in Scotland.

[Martin Docherty-Hughes]

I will come on to answer that question at the end of my contribution. There is a big discussion to be had about the legislative process of the UK Government and a distinct understanding of what volunteering actually means, but I will come back to the hon. Gentleman’s point further on in the debate because he raises a very important point about the difference between volunteering and being told to do something. Volunteering is a free-will activity.

It is essential to understand that, as in England, Wales and Northern Ireland—although I do not see any Members from Northern Ireland in the Chamber—the vast majority of voluntary organisations are small, with no employees; they are founded, organised and able to connect communities solely through volunteers. As a sector, both charities and the many unincorporated voluntary organisations play a central role in the delivery of people-centred services and in ensuring that communities, through a whole host of avenues, are able to inform and shape our nations. We have already heard about how the sector informs participation and democracy.

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)]

My hon. Friend is making a good point about the role of voluntary organisations. In the past year, two new food banks have opened in Inverness to cope with the demand caused by the failures of universal credit. Those volunteers are working not just there, but in initiatives such as the hungry lunches project at Inverness Cathedral and MFR Cash for Kids, which provides help and advice. Does my hon. Friend agree that they are not just providing help for people, but actually saving them?

[Martin Docherty-Hughes]

I could not disagree, and that is replicated not just in Scotland, but across the whole UK.

[Mr Jim Cunningham (Coventry South) (Lab)]

Like the hon. Member for Inverness, Nairn, Badenoch and Strathspey (Drew Hendry), in Coventry we have volunteers who not only collect, but distribute, the food; and a lot of people are very thankful to them. Another issue is loneliness. I hope that the hon. Gentleman will agree that every amount of pressure should be put on the BBC to revoke any plans it has to charge the licence fee to over-75s. Finally, there is another voluntary organisation in Coventry that is totally run by volunteers who help the blind using modern techniques. Has the hon. Gentleman come across anything like that in his constituency?

[Martin Docherty-Hughes]

I could not disagree with the hon. Member on a range of matters, and I do not on the over-75s licence fee issue. It is incomprehensible to me why the BBC would even consider such a thing, given that social isolation is a profound issue across not only older age, but a whole gamut of ages. I may come to that point in a moment.

The right to form voluntary organisations—charities or unincorporated organisations—is a fundamental pillar of a modern, liberal democracy. Such organisations are founded on the lived experiences of communities, on geography, on choice and on need. Nevertheless, charity is no replacement for good government. Maybe that is what many have found with issues around food banks and services having to be replicated by volunteers.

The unincorporated organisations and charities challenge policy makers and Governments in general, campaigning on issues on conscience and locality. I think of the Women’s Aid organisations in my constituency, which—with the new local authority administration—are addressing specific targeted issues such as domestic abuse and violence, and access to services. They are also raising the matter of three-year funding strategies, rather than constantly having to come back to the local authority or Government Department year in, year out for the same type of funding scheme.

These organisations deliver public services in ways that are too numerous to mention, including by supporting people through drug addiction. This includes the Dumbarton Area Council on Alcohol in my constituency. Organisations such as Tullochan and Y Sort-It in West Dunbartonshire enhance the lives of young people through group activity and individual support. Importantly, the unincorporated organisations across all our constituencies run groups of all shapes and sizes, such as Clydebank’s Morison Memorial lunch club, which offers friendship and wholesome food every Thursday; I can testify—I am sure that Scottish Members will recognise this—that it has the best and finest tablet in Scotland.

Charities and voluntary organisations connect and enhance our communities socially and economically. In Scotland, the investment from the Scottish Government has again increased to £24.9 million, with additional resources and support from a range of other funding bodies and groups, such as local authorities and NHS boards. Indeed, voluntary organisations are seen as an essential part of shaping public service through community planning in each of the 32 councils of Scotland.

From a Scotland-wide perspective, the voluntary sector covers every facet of Scottish society, and I am grateful to the Scottish Council for Voluntary Organisations for the following figures. There are over 45,000 voluntary organisations—on top of the charitable sector—in Scotland, employing more than 106,000 paid staff. That is 3.5% of Scotland’s workforce. The workforce is dominated by women, who make up 71% of it; this is significantly higher than in the public and private sectors. The sector also employs more people with disabilities than the public and private sectors. Over 1.3 million people in Scotland volunteer, and over 30% of women, people from rural communities and those aged 16 to 24 volunteer. There are over 250,000 charity trustees, many of whom will never actually see themselves as volunteers; and that is a clear point about many trustees and those involved in the governance process.

[Susan Elan Jones (Clwyd South) (Lab)]

indicated assent.

[Mims Davies]

indicated assent.

[Martin Docherty-Hughes]

I see that the chair of the all-party parliamentary group and the Minister agree. It is a fundamental point that we need to reinforce.

The sector in Scotland has a combined turnover of £5.8 billion. For the record, that is higher than the whisky industry. Some 78% of charities in Scotland are locally based, and four out of five Scots used a third sector organisation last year.

[John Mc Nally (Falkirk) (SNP)]

In my Falkirk constituency, I have the great privilege to support Strathcarron Hospice, which this month holds its Snowdrop appeal. Princess Anne is also a great supporter of the hospice. The volunteers who support this superb charity and many other organisations are appreciated, but I have looked at some of the salaries paid to the chief executives of national charities. Does my hon. Friend agree that that the salary of those at national charities should be capped?

[Martin Docherty-Hughes]

I think that might be above my pay grade. However, I do believe that pay must be commensurate with the working activity undertaken. It is up to the board members of charities to make sure that they hold their staff, especially their senior staff, accountable in terms of the wages that they are paid.

My hon. Friend also mentioned the hospice movement. I have two hospices in my own constituency: St Margaret of Scotland, which is well known across the west of Scotland; and CHAS, or Children’s Hospices Across Scotland, which assists children who are terminally ill from all over the UK. They are to be commended for the sterling work that they do.

Although not perhaps enjoying the same attention and understanding as other sectors with regard to Brexit, the sector is no more or less immune to the uncertainties generated as a consequence of leaving the European Union. Alongside concerns about protecting human rights, participation in European networks and pan-European programmes, and the future workforce, the issue of funding is paramount. Over the 2014 to 2020 funding period, Scotland has secured €941 million in European structural investment fund money, a significant proportion of which was to be channelled to third sector organisations in a diverse range of communities. This funding enables third sector organisations to access funds under the following interventions: employability pipelines, social inclusion and poverty reduction, and growing the social economy. I believe that the UK Government are developing the UK shared prosperity fund as a successor fund to replace the ESIF when the UK leaves the European Union. Yet despite repeated promises of a consultation, the launch has been delayed several times. Therefore, charities are yet to have their say on how this fund will evolve and operate, and they have had no clarity on what it will fund, how it will be designed, who can access it, how much it will be worth, or who will manage it. I hope that the Minister will clarify issues around the consultation and inform the House of what progress will be made in this area.

The Minister referred to the Dormant Assets Commission, which was set up in March 2016, building on the Dormant Bank and Building Society Accounts Act 2008. It had the expanded objective of looking at a much wider range of financial assets such as life insurance, pension products and so on. The commission published its final report and a series of recommendations in 2017. It identified some £2 billion-worth of dormant assets that could be freed up and distributed to good causes, for want of a better term. This is considered to be a conservative estimate, much as the value of dormant accounts was undervalued. More assets will also fall dormant in the years ahead, meaning that the fund can deliver in perpetuity.

In 2011, the dormant accounts money was made subject to the Barnett formula and devolved nations were able to set their own spending priorities, with the Big Lottery Fund taking responsibility for distributing money through the Young Start programme, which aims to create opportunities for children and young people. I am sure that Members would hope and expect that the new fund will follow a similar model. However, there has been little detail available about how funding will be allocated and distributed. Future consultation will give the sector an opportunity to ensure that this money can be secured for good causes and successfully targeted to produce the best outcomes. Again, I hope that the Minister can clarify the situation.

The essential elements of voluntary organisations in connecting communities are those who, either individually or collectively, volunteer to run charities and voluntary organisations. In Scotland, this is even an essential element of the nation itself. For instance, as I am sure that Members on both sides of the House from Scottish constituencies will know, the national Church, while it has ministers, is a charitable organisation facilitated by volunteers. Like many other faith-based organisations, it is a cornerstone of national life. Its role in the distinct nature of the Scottish nation is volunteer-led. Yet for volunteering to flourish, we must recognise that it requires investment.

In its report “Volunteering, Health and Wellbeing”, Volunteer Scotland—the national body for volunteering—highlighted the substantial evidence to support the contribution of volunteering to policies where health and wellbeing has an important role to play. That includes key policy areas such as health, education, employment, young people, older people, criminal justice and community engagement. The Minister mentioned isolation and loneliness. Last year, the Scottish Government brought forward their first ever draft strategy, “A Connected Scotland: Our strategy for tackling social isolation and loneliness and building stronger social connections”, with an additional £1 million of investment, and that is only for the first two years.

Through those policy areas, we understand that volunteering is essential to healthy behaviours and improved daily life—critically, for those who are isolated due to a range of factors, from income to age—and it has the real benefit of allowing people to cope with illness. It is well evidenced that volunteering has a profound positive impact on all our mental health, and the work of so many local groups across these islands, including Stepping Stones in my constituency, is a testament to the positive impact of volunteering on our mental health.

Yet we face challenging volunteer geography across western society, with a decreasing number of people volunteering. Even in rural communities, where the number has been traditionally high, we are seeing a marked decrease. There is no simple answer to growing volunteering. Our societies are evolving, and as I said, there may be people who do not even recognise that they volunteer.

The Minister mentioned the London Olympics. There were also the Glasgow Commonwealth games, and in a few years the games will be in Birmingham. While large sporting events see spikes in volunteering, there is yet to be substantial evidence that that investment brings a long-term increase in volunteering.

The hon. Member for Stirling (Stephen Kerr) mentioned the National Citizen Service, an issue on which he and I disagree. For me, my party and the Government of Scotland, the call to have a National Citizen Service only detracts from investment in existing infrastructure in Scotland. There are many national youth organisations; the exact same type of organisation exists and is already funded. Rather than asking for a London-based system, we should look to the systems that already exist in Scotland, as a lot of work is being done by YouthLink Scotland and other organisations.

For me, big society is like Big Brother. It is a threat to individual and collective community action, undermining volunteering in its most basic and fundamental form. It is a society where we have, in the words of Robert Dahl,

“an effectively enforced right to form and join autonomous associations”,

rather than ones brought about by Government.

Draft Maritime Transport Access to Trade and Cabotage (Revocation) (EU Exit) Regulations 2019

Martin Docherty-Hughes Excerpts

Tuesday 29th January 2019 General Committees

[Martin Docherty-Hughes (West Dunbartonshire) (SNP)]

I rise very briefly to make just a few points. Following on from what the shadow Minister said, the Scottish National party has grave concerns that the UK Government do not intend, through this instrument, to ensure that cabotage rights for EU member states continue to be expressly guaranteed in UK legislation. That creates an essential issue of trust between European Union members and the UK, which will be outside the EU; it seems that the UK Government are not reciprocating their trust.

Continuity is critical as we are taken out of the EU. Many Opposition Members have supported instruments related to our leaving the EU because we want to maintain continuity. How can we support an instrument that does not do so? It seems the instrument would have an unacceptable impact on maritime trade, because it actively rescinds the basis on which EU ships transport, import and export, and breaks the EU shipping regime’s safety and environmental standards. Finally, the instrument does not provide continuity for shipping arrangements after we leave the EU. Therefore, at this moment in time, the SNP will not support it.

Finance (No. 3) Bill

Martin Docherty-Hughes Excerpts

Committee: 1st sitting: House of Commons
Monday 19th November 2018 Commons Chamber

[Kevin Hollinrake]

I want to speak first to amendment 14. The hon. Member for Streatham (Chuka Umunna) is no longer in his place, but he said that all the choices before us were the worst possible choices and worse than the deal that we have today. I was certainly not someone who campaigned to leave the European Union—I have my reservations about our departure from an institution of which we have been a member for effectively 45 years—but we should not ignore the opportunities that lie ahead of us.

I do not look at these things through rose-tinted spectacles, but many years ago, following protests by those concerned about the impact on their livelihoods of imports from India by the East India Company and the successful lobbying of their Members of Parliament, legislation was introduced from 1700 called the Calico Acts, which banned all imports of calico—rough-cotton cloth—from India. That gave rise to the industrial revolution, because at that point we could not produce enough calico, so Watt linked his steam engine to Hargreaves’s spinning jenny and mass production resulted.

[Martin Docherty-Hughes (West Dunbartonshire) (SNP)]

The hon. Gentleman mentions the historical Calico Act. He does know that it also impoverished the people of India, rather than just creating the industrial revolution.

[Kevin Hollinrake]

The hon. Gentleman may well be aware of that fact, but that is not the point that I was making. I am not keen to impoverish people from any nation; the point is that what happened gave rise to a huge opportunity. Amendment 14 looks at one side of the equation, as if we can rely on a Treasury forecast simply as fact. It does not take into account the other side of the equation, which is that business will respond to the future framework that it is part of. There are concerns about the future, but there are also opportunities.

I want to talk mainly about clauses 68 to 78, which concern our carbon emissions. The hon. Member for Stroud (Dr Drew) seemed to imply that we were not succeeding at reducing our carbon emissions, but actually the UK is fifth in the world in the climate change performance index, a German-based index published every year by Germanwatch. We are ahead of many countries that people might think would be ahead of us, including France, Italy and Germany. I cannot say that our climate change credentials are second to none, but they are second to those of only four other countries. Every other country that we might mention—other than, I think, Norway, Sweden and Lithuania—is behind us on that performance index. We are performing admirably in carbon emissions, but we need the right mechanisms to enable us to continue that success. The carbon emissions tax that the Exchequer Secretary to the Treasury described earlier is a good framework to ensure that the carbon price is right and business has stability in the undesirable event of a no-deal situation.