Police Employer Pension Contributions

Debate between Pat McFadden and Nick Hurd

Wednesday 14th November 2018 Commons Chamber

[Mr Hurd]

The voice of Ilford should never be silenced, and I am grateful to the hon. Gentleman for his intervention. He is entitled to his own version of events, but the fundamental fact is that the coalition Government inherited the biggest peacetime budget deficit in the history of this country, and had to take some radical action.

I want to deal with the pension issue, which is the substance of the debate, but before I do so, let me make the point that when the situation has changed—and the situation in 2018 is different from that in 2010, because the picture of demand on the police has changed and the financial efficiency of the police has changed—so have the Government. We are not talking about cuts. We are talking about additional public investment in our police system: over £1 billion more this year than three years ago.

Let me now address the pension issue. There is a problem, and I want to be frank about it. As I stand here at the Dispatch Box, it remains unresolved, but, as I have said at the Dispatch Box during an urgent question and subsequently, our intention is to resolve it in the police funding settlement scheduled for early December.

[Mr McFadden]

I will resist the temptation to go back over the crisis with the Minister. I thought he was doing all right until then. Instead, may I ask him to clarify a point? I read out statements made by the Chancellor to the Treasury Committee and a written answer from the Chief Secretary. I genuinely want us to leave the Chamber with the same understanding, so will the Minister confirm that no money has been set aside from the Government reserve for Departments and so on? This is an issue in which a cost has been identified, but, as yet, the question of how to pay for it remains unresolved. Will that be a correct understanding as we leave?

[Mr Hurd]

As I said during the urgent question, our intention is to resolve the issue at the time of the police funding settlement. It is my responsibility to bring that to Parliament and it is currently scheduled for early December. That is when we will announce our police funding proposal for next year, and I hope to resolve the pension issue.

The Government have made it clear that the costs for beyond 2019-20 will be resolved in the comprehensive spending review. So there is an issue for 2019-20, which I hope to resolve at the 2019-20 funding settlement in early December, and we have made it clear that the costs beyond 2020 will be resolved in the CSR process. I want to give a little more detail and context to that.

Police Pension Liabilities

Debate between Pat McFadden and Nick Hurd

Tuesday 6th November 2018 Commons Chamber

[Mr Hurd]

I have been very clear that what I set out last year enabled police forces up and down the country to start recruiting officers again, and I want that to continue. I ask the hon. Lady to support us in holding the PCC to account for holding £72.7 million of public money—almost 18% of funding—in reserves. I am sure that her constituents will want to know how that money is going to be spent to benefit the local force.

[Mr Pat McFadden (Wolverhampton South East) (Lab)]

West Midlands police estimates that, if these changes go ahead in their current form, they will cost the force more than £22 million over the next two years, and the loss of hundreds of officers on top of the 2,000 who have already gone since 2010. The reserves that have been mentioned are already being used to fund current spending and will disappear by 2020. Does the Minister agree that it would be intolerable for the public to have to put up with the loss of hundreds more officers?

[Mr Hurd]

I have engaged closely with the West Midlands police and crime commissioner and the chief constable about some of the challenges facing the force, and these are real. They know that it is my intention to work through the issue and come to the House in early December with a funding settlement that works. We are working very closely with the police to build the evidence base for the Treasury’s comprehensive spending review, which the right hon. Gentleman knows is a major event in shaping police budgets for the next few years.

Policing

Debate between Pat McFadden and Nick Hurd

Tuesday 19th December 2017 Commons Chamber

[Mr Hurd]

I thank my hon. Friend, and I join her in congratulating Essex police on its work. Essex is excellently led at both PCC and chief constable level, and she is quite right to point out that it has a relatively low level of reserves, at 8% of net revenue compared with a national average of 15%. I can give her a twofold assurance. She will see in the statement that there is an intention to work towards broadly the same type of settlement in 2019-20, which will allow additional precept flexibility for Essex. We are also clear in the statement that the work on the so-called fair funding review is not lost; we just feel that the most appropriate point at which to revisit it is in the context of the next spending review.

[Mr Pat McFadden (Wolverhampton South East) (Lab)]

What the Minister has done today is to pass the buck from the Government to local police and crime commissioners. He has done this at a time when the West Midlands force has lost £145 million in real terms in the past seven years, and 200 officers are no longer there to keep the public safe. Does the Minister not accept that if the tables were turned, and Conservative Members were in opposition facing a Government who had cut police numbers by over 20,000, they would be screaming about the injustice of it from the rooftops?

[Mr Hurd]

I am puzzled by the right hon. Gentleman’s attitude, because we are talking about an increase of investment for West Midlands of £9.5 million for 2018-19, if the local police and crime commissioner maxes the precept flexibility. I cannot see how that can be a cut. He will also be aware that his force, which is excellently led, is relatively rich in terms of the reserves it holds. They are worth 20% of its net annual revenue, a number that has actually grown. He will have lots to raise in his conversations with his police and crime commissioner and chief constable about how this increased investment can benefit his community.

Community Policing

Debate between Pat McFadden and Nick Hurd

Tuesday 7th November 2017 Westminster Hall

[Mr Hurd]

I will return to that.

We invest strategically from the centre. We have a system of 43 individual police forces. It makes sense to have a strategic investment capability to invest in things that can have an impact across the system, and we must continue to invest in innovation, not least given the context we are dealing with. The settlement at the moment is flat cash for all police forces. We recognise, as I have said publicly, that demand has grown and is changing. We are also extremely sensitive to the strain that the police are under. This is a can-do organisation that is saying, “We are very concerned about stretch and sustainability.” I have heard that directly from police commissioners and cops.

[Mr McFadden]

Will the Minister confirm that in this Budget, as in any other, flat cash is a cut in real terms?