Michael Ellis
Main Page: Michael Ellis (Conservative - Northampton North)Department Debates - View all Michael Ellis's debates with the Cabinet Office
(2 years, 9 months ago)
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The Paymaster General (Michael Ellis)
In December 2020, we published the Government’s response to the consultation on the Green Paper on “Transforming Public Procurement”. We intend to bring forward these detailed and ambitious legislative proposals when parliamentary time allows. The reforms will make it easier for buyers to take account of previous poor performance by suppliers, which is an important factor in deciding whether to award contracts, and there will be clearer and stronger rules about excluding suppliers that pose an unacceptable risk.
Bob Blackman
I thank my right hon. and learned Friend for that answer. What action will he take to get contractors to supply the service for which they are contracted, rather than necessarily cancelling them? However, if they continue to underperform, what action will he take to cancel those contracts and get suppliers in who do the job properly?
Michael Ellis
I am grateful to my hon. Friend for his excellent question. As he knows, the Prime Minister is bringing forward some of the biggest reforms in decades in this country. One of them will be in procurement, which is worth £300 billion a year to our economy. We have seen underperformance and it is of course current Government policy to ensure that suppliers’ past performance in adhering to contracts is taken into account when awarding new contracts. Under the public contract regulations, contracting authorities can use selection criteria, but we will make across-the-board improvements and reforms in the procurement system. I know that my hon. Friend will look forward to that and its benefits.
Daniel Zeichner
The Government maintain buying standards for food and catering services. The relevant Select Committee, campaign groups such as Sustain, and Henry Dimbleby with his food plan have all made the point that those standards should be brought up to date. The shadow Chancellor has pledged that Labour will ensure that public bodies have to report on how much British produce they buy. What are the Government doing on that, or is it just open season for Australia, New Zealand, Brazil and the rest?
Michael Ellis
The Conservative party is a party of free trade and a free economy. I do not know about the Labour party. We are improving procurement and thereby having a major effect on the economy. The hon. Member, like everyone else, will have to wait for the details of how the new rules will be implemented and how they will work, but, through a Green Paper, we have asked everyone to feed in their ideas and suggestions for detailed policies. Based on that, a Bill is currently being prepared for introduction to Parliament and I know that the hon. Member will look forward to that.
Nick Smith
Given that the Government’s VIP lane for personal protective equipment contracts has been ruled unlawful, will there be immediate publication of contracts after emergency procurement to restore faith in the system? It would help avoid having the Government hauled so embarrassingly through the courts.
Michael Ellis
I do not accept that characterisation of any technical breaches that may have occurred. If the hon. Member looks at the judgment, he will see that the court ruled yesterday that the Government’s industry call to arms was open, transparent and justified in a time of national emergency. Actually, the court found that it was highly unlikely that the outcome would have been substantially different if a different assessment process had been followed.
Nia Griffith
During the pandemic, UK companies stepped up to the mark and changed production lines to meet our needs and increase our resilience. They were encouraged to think that they would get ongoing business for helping out during the PPE shortages. A local SME in my constituency invested more than £700,000 in automating its hand sanitiser production, but now finds that most of its UK Government Department customers have gone back to their original foreign suppliers. What will the Minister do to recognise the resilience that British firms provided, improve the uptake of British-made products by Government Departments and ensure that build back better is not just a slogan?
Michael Ellis
I would appreciate it if the hon. Member wrote to me with that particular example. I know that companies in her constituency are ably supported by her and I would like to hear more about that example. She is right that companies across the United Kingdom provided support at a time of national emergency, and they should be thanked for that.
Kate Osborne
The shocking news this week that the Government broke the law by handing out contracts worth huge sums to those with political connections shows that cronyism is rife in the Tory party. When will all the emergency procurement procedures end and all the emergency covid contracts finally be published?
Michael Ellis
I do not accept that characterisation. The court found that we did not rely on referral to the high priority lane when awarding contracts in certain cases, but that it was a technical matter, and that we were open, transparent and justified in what we did. “Justified” is a key word. As for emergency procurement, that is perfectly routine. It happens all the time, every year, including outside pandemics for various reasons. That will have to continue, but we are looking, in a new procurement Bill, at different ways of proceeding.
Tim Loughton (East Worthing and Shoreham) (Con)
Frustratingly, pre-Brexit, “EU procurement rules” was always trotted out as a reason why local firms, local farms and others never got a look in when it came to local public service contracts. Post Brexit, will the Government take a proactive lead to support local procurement, which benefits local small businesses especially, as well as farmers and local food and drink producers? That would also help to reduce food miles.
Michael Ellis
The short answer is yes. Thanks to the work of my noble friend Lord Agnew, who has been working on this matter for a considerable time, my hon. Friend can look forward to further progress.
Rachel Hopkins (Luton South) (Lab)
The Government’s use of emergency procurement during the pandemic has raised concerns around the transparency of contracts, potential conflicts of interest and the unsuitability of suppliers. Nearly two years on, Government Departments can still use those emergency regulations to bypass open competition and scrutiny. That is unacceptable, and it implies that Departments have failed to plan ahead to meet demand. Will the Minister explain why that has been allowed to continue?
Michael Ellis
The availability of an emergency mechanism for procurement existed prior to the pandemic. It has taken place under Governments of all political colours, and it will continue to take place occasionally. The contracts signed by Government with third parties are myriad, and there will frequently be circumstances of supply, or circumstances that relate to particular individual cases where emergency mechanisms have to apply. That is routine and it continues on a regular basis when it has to.
Rachel Hopkins
Good procurement that benefits the whole country needs good decisions made by a civil service that reflects the society it serves. However, the civil service fast stream recruitment over the last three years—from 2019 to 2021—resulted in more successful applicants coming from homes in London than the whole of the midlands and north of England put together. Although young people whose parents did not go to university made up more than half of external applicants, they made up only less than a third of those who were offered jobs. What is the Minister doing to rectify that regional and class discrimination in the civil service fast stream recruitment?
Michael Ellis
Procurement or otherwise, I am proud of our civil service, and I hope that the hon. Lady is, too. She criticises the civil service and makes a class warfare-type assertion about it—I do not accept that. This country, under this Government, is levelling up. We are levelling up across the country and making reforms in all our mechanisms of government, including in the national health service, housing, the economy and transport, and we are doing it in the civil service, too.
Sally-Ann Hart (Hastings and Rye) (Con)
Catherine West (Hornsey and Wood Green) (Lab)
The Paymaster General (Michael Ellis)
All Ministers are subject to the ministerial code, which requires Ministers to ensure that no conflict arises, or could arise, between their public duties and their private interests, financial or otherwise.
Catherine West
It was so good to hear the Paymaster General praising civil servants, so could he please explain why the Foreign Secretary overruled civil servants’ advice and went to a £3,000 lunch in a private members’ club owned by a Tory donor, and he calls that abiding by the code? Will the Paymaster General immediately include that in the investigation being undertaken into the other boozy parties in No. 10 Downing Street?
Michael Ellis
It is absolutely ridiculous to characterise the matter in the way that the hon. Lady does. The reality of the matter is that the Labour party engages in trade union entertainment on every possible occasion. There is no conflict of interest in the matter she describes. Indeed, all the matters that are brought to the attention of the relevant authorities are properly dealt with.
Mr Speaker
That is not a very good answer, to be quite honest. I am not impressed with that.
Fleur Anderson (Putney) (Lab)
It would seem to be quite a hard life being a Prime Minister at the moment. In WhatsApp messages to Lord Brownlow that surfaced last week, the Prime Minister described his No. 11 flat as a “bit of a tip” that is desperately in need of a lick of paint, some gold wallpaper and the offices of a leading fashion designer. In return for expediting this, the Prime Minister assured Lord Brownlow that he would take a look at his idea for a great exhibition festival. So we have a new term in British politics: wallpaper for access. Can the Minister give a serious explanation as to why this exchange with Lord Brownlow was not passed on to the independent adviser on ministerial interests but was passed on to the Electoral Commission for its investigation? Out of interest, does he have the Prime Minister’s new number?
Michael Ellis
As set out in the letter, Lord Geidt has not changed his assessment that no conflict of interest arose from the support provided by Lord Brownlow. The Prime Minister correctly declared an interest, as required under the ministerial code, and Lord Geidt now considers the matter closed.
Peter Gibson (Darlington) (Con)
Andrew Gwynne (Denton and Reddish) (Lab)
The Paymaster General (Michael Ellis)
Following the long-standing practice of successive Administrations, Her Majesty’s Government do not comment on individual disciplinary matters. The terms of reference for the Cabinet Office’s investigation have been published and the Government have committed to publishing the findings of that investigation.
Andrew Gwynne
But now we know that there were parties at Downing Street in lockdown and the Prime Minister was present. It is serious. He knowingly breached the rules that he himself set for the country. He broke the law, and over recent weeks he has told the House things that turned out not to be true, breaking the ministerial code. Allegra Stratton paid the price for joking about parties at Downing Street—parties that the Prime Minister attended. Why is it always the little people who get the chop to save this unsaveable Prime Minister?
Michael Ellis
As the hon. Gentleman knows, this matter is under the purview of a senior civil servant—the second permanent secretary at the Department for Levelling Up, Housing and Communities, who is an expert having been director general of propriety and ethics. She is carefully looking into the matter. She is a highly respected civil servant with probity, independence and integrity, and she will report in due course, swiftly. So the hon. Gentleman will no doubt wish to wait before he jumps to any unwarranted and unevidenced conclusions.
Jonathan Gullis (Stoke-on-Trent North) (Con)
The Paymaster General (Michael Ellis)
On 15 December, the Prime Minister announced the appointment of the right hon. Baroness Hallett—Heather Hallett—as chair of the public inquiry into covid-19. The inquiry is set to begin its work in the spring of 2022.
Mrs Lewell-Buck
I thank the Minister for that answer, but it would appear that discussions on this have not been a priority. The terms of reference for the inquiry have not even been set yet. Bearing in mind the Prime Minister’s distant relationship with the truth, will the Minister outline exactly how the public, and Covid-19 Bereaved Families for Justice, can have any faith in this inquiry at all?
Michael Ellis
We have appointed a very senior figure from the judiciary—a recently retired lady justice of appeal from the Court of Appeal. The Prime Minister has confirmed that the inquiry’s detailed terms of reference will be set out in due course, and the bereaved families and other groups will be consulted before they are finalised. The process will be done carefully and properly and with consultation and consideration for all.
Dame Diana Johnson (Kingston upon Hull North) (Lab)
Might the Paymaster General consider the approach that was adopted when the infected blood inquiry was set up, whereby those infected and affected have been at the heart of the consultation around the terms of reference? Sir Brian Langstaff made it his first priority to ensure that those people were at the very heart of the infected blood inquiry that he now so ably chairs.
Michael Ellis
May I take this opportunity to thank the right hon. Lady again for the support she has provided and the work she has done on the infected blood inquiry? It is no exaggeration to say that she has been instrumental in achieving what has been achieved so far—there is still a lot to do, of course. In answer to her question, of course it would be the wish of everyone concerned to involve the bereaved as much as possible. Baroness Hallett, a Cross-Bench peer, will have command and control of this matter, if I can put it that way, just as Sir Brian Langstaff does in the infected blood inquiry. I am sure that all concerned will have heard what the right hon. Lady has had to say.
Mr Speaker
We are going to topicals early, so there will be a great opportunity to get more people in. Let us start with David Simmonds.
Dame Diana Johnson (Kingston upon Hull North) (Lab)
The Paymaster General (Michael Ellis)
Well, natural justice also requires something on which to impose justice and as yet we do not have any result from the inquiry, so, if I may say so, the right hon. Member is putting the cart before the horse. I would say that the Prime Minister is a man of integrity, as I have said before, and the ministerial code has always been under the purview of the Prime Minister since it was created.
Jonathan Gullis (Stoke-on-Trent North) (Con)
I want to thank my right hon. Friend and the noble Lord Agnew who, with the Cabinet Office and the Home Office, have managed to bring more than 500 brand-new jobs to the city of Stoke-on-Trent as well as further investment in developing a site. Will he update the House on progress for the Stoke-on-Trent relocation and on the wider move that is taking civil servants out across our United Kingdom?
Andrew Gwynne (Denton and Reddish) (Lab)
Can I give a bit of friendly advice to the Paymaster General, who has been valiantly defending the indefensible? When the ship is about to sail, you jump on it because it is leaving without you. The ministerial code matters, standards in public life matter and trust in politics matters. The case against the Prime Minister is clear. Why is the Paymaster General destroying his own integrity to save a man who has none?
Michael Ellis
It is very kind of the hon. Gentleman to be concerned about my position and I am very grateful to him. My position is clear: the Prime Minister answers to the people of this country and to this House. He came to the House yesterday, at Prime Minister’s questions, and he apologised. He has said—and I agree—that we should wait until the result of the investigation that is in progress. That would be the case with any individual facing any allegation anywhere in this country. One waits until due process is complete. The hon. Gentleman ought to accept that that would be the case, whether that view comes from his party, my party or anywhere else.
Alan Brown (Kilmarnock and Loudoun) (SNP)
Despite the Chancellor of the Duchy of Lancaster’s words at the Dispatch Box, the reality is that his Cabinet colleagues yesterday were calling the Scottish Conservative leader a “lightweight” and irrelevant because he was up in Elgin. Is it not the case that there has never been a Union of equals? It is always “Scotland, know your place,” and that was demonstrated yesterday.