(11 years, 3 months ago)
Commons ChamberThat is an important question. My hon. Friend will have seen the statements published today by the Minister of State, Department of Health, our hon. Friend the Member for North Norfolk (Norman Lamb), and we will address the issue seriously in the spending round. I am not going to pre-announce what we will do, but my hon. Friend will know that in the 2010 spending round we ensured that additional resources amounting to £7.2 billion were available over four years to support social care services. If we are to deal with these important issues while also reducing the strain on the national health service, further such transfers will clearly be necessary.
T3. In just over an hour, in an unprecedented move, the bishops of Sheffield and Hallam and a delegation of civic, community and faith leaders will present a petition to No. 10 from thousands of Sheffielders calling for a fair deal for our city. Will Ministers accept their argument that the unfair distribution of cuts is having a disproportionate impact on cities such as Sheffield, widening inequality, hitting those who have least the hardest, and weakening the capacity of the council and the voluntary sector to support them?
(13 years, 10 months ago)
Commons Chamber3. What representations he has received on variations between the English regions and constituent parts of the UK in respect of the effects of the measures in the June 2010 Budget.
We received representations from many interested parties from all parts of the UK and at the time of the Budget we published details of the impact of the Budget on each English region and each devolved Administration.
I am grateful for the question, and I understand the sensitivity in the community about that decision. The spending review will, of course, result in some difficult decisions having to be made all over the country. I can however say to the hon. Gentleman that we are looking very closely at the regional and national impact of particular decisions. One of the reasons why the Deputy Prime Minister announced a regional growth fund for England is to deal with those issues, and I hope very much that the Welsh Assembly Government might follow suit.
Will the Chief Secretary acknowledge the analysis undertaken by the Institute for Fiscal Studies, whose head at that time now leads the Office for Budget Responsibility, that found that the measures in the emergency Budget will hit those on lowest incomes hardest and will have a disproportionate impact on constituencies in the north?
If anything demonstrates the independence of the OBR it is the appointment of the head of the IFS to be the head of the OBR, and I hope that will put an end to any such criticisms from the hon. Gentleman’s side of the House. The analysis was interesting, but the analysis we published at the time of the Budget was robust and soundly based. I have carefully studied the IFS’s additional analysis, and I think it makes some assumptions that push the boundaries. As a result it is not an analysis the Treasury would stand by. I would stand by the view that the measures we announced in the Budget were progressive and fair and hit the people on the highest incomes hardest.
T9. Will the Chief Secretary to the Treasury welcome the backing given by Olympic champion Jessica Ennis to the U-mix centre, which is a sports and leisure facility in Sheffield designed by Urban Mixtures, an inspiring group of young people who represent the real big society at work? Funding has been allocated for the project under the myplace programme, but has been frozen pending the comprehensive spending review. Will he share my hope that that funding will be unfrozen and allocated shortly?
I am grateful to the hon. Gentleman for raising that point, and as usual he puts the case for his constituency very eloquently. Decisions on spending matters, including spending that was frozen under the project re-approvals process, will be announced on or after the date of the spending review.
As I said earlier, the reason we face such a tough spending round is the overriding need to bring our deficit down further and faster than was planned by the previous Government. That is necessary to restore confidence in our economy and restore balance to our public finances. It is the overriding priority, and it will restore jobs and growth in this country faster than the last Government would have managed.
I wonder whether I can help the Chief Secretary by providing the answer that he failed to provide in response to an earlier question about value for money. Will he acknowledge that over the three years for which the Sheffield Forgemasters loan was under consideration, the Treasury conducted an extremely robust value-for-money exercise? This Government talk a great deal about consultation, but before the statement I spoke to the chairman of Sheffield Forgemasters, who confirmed that over the period of the Government’s review there has been no contact whatever with the company. Will the Chief Secretary confirm that fact?
What I can confirm to the hon. Gentleman is that we have applied value-for-money grounds to this as to all the other projects. With a restricted budget, however, we must make choices about where we can spend money, and unfortunately we simply cannot afford to provide funds for this project any longer. As I have said, officials from the Department for Business, Innovation and Skills will continue to work with the company in helping to find a private sector solution to the challenge.