British Indian Ocean Territory

Debate between Priti Patel and Graham Stuart

Wednesday 28th January 2026 Commons Chamber

[Priti Patel]

As is often the case, the hon. and learned Gentleman is spot on. That is exactly why the Minister has this marvellous opportunity today to explain this to the House and the British public.

Let us not forget that President Trump, the commander-in-chief, said that the UK is giving away extremely important land in an “act of great stupidity”—I think the House would agree with that comment—and that:

“There is no doubt that China and Russia have noticed this act of total weakness.”

Has there been any Minister-to-Minister engagement with the US Administration on this? Had the Prime Minister spoken directly to the President on this matter before kowtowing to China? I asked this very question here on Monday, but the Minister for the Overseas Territories, who is not present, could not answer. There is a new opportunity today for the Minister for the Indo-Pacific, the hon. Member for Feltham and Heston (Seema Malhotra), to tell us: yes or no?

On that point, it is also worth asking whether, should there be a change in the proposed US-UK treaty, it will come to Parliament through the 21-day Constitutional Reform and Governance Act process? Again, we asked this question on Monday, and the Minister refused to answer. What are the Government trying to hide? As Labour failed to provide the House with scrutiny under the previous CRaG process, it is clearly happy to give away this sovereign territory and billions in taxpayers’ money without being held to account.

Given the Labour Government’s abject failure to clarify these points, it took Conservatives in the other place to take action, leading to this pause of the treaty. Instead of showing some humility and transparency and commitment to engage in proper scrutiny, however, Labour has sought to gaslight its critics—and, by the way, the British public—with a Government spokesperson telling the media:

“This is irresponsible and reckless behaviour by peers”.

Blaming peers—Conservatives, Cross Benchers and others—for doing their job diligently is another new low from a Labour Government seeking to undermine accountability, democracy, scrutiny and accountability. When the junior Minister for the Indo-Pacific responds, I hope she will speak on behalf of this feeble Labour Government and apologise to the British people for their appalling and discredited conduct.

[Graham Stuart (Beverley and Holderness) (Con)]

Like my right hon. Friend, I am proud of the role that Conservative peers have played in this, but can we also take a moment to pay credit to Back-Bench Labour MPs? I think it is important to note that they are not here. Practically the only Government Member present, scribbling away, is the hon. Member for Rugby (John Slinger), whom I admire a great deal, but who is loyalist to his very core. If he is the only Member prepared to speak up, the truth is that Labour MPs have voted with their feet, and they now agree with my right hon. Friend that this deal has to go.

[Priti Patel]

I commend my right hon. Friend for his intervention. He has highlighted a lot of things there, which, in the interest of time, I am grateful for, because we have a lot of other colleagues who want to speak. It is worth pointing out that the Government will have a few of their Members who like to climb the greasy pole—there is one, who is not present today, who is now the trade envoy for Mauritius because he spoke up so frequently for the Government.

Ultimately, this is about the security and defence of our country. [Interruption.] No, no. The Government have a lot of questions to answer, because their feeble remarks in defence of this entire process have been absolutely shameful. That includes on China, with not just the Government’s relationship with China, but the relationship between the Governments of China and Russia. We have had completely misleading remarks about China and Mauritius, when it is the Opposition who have constantly called out that cosy relationship. I have even brought the Minister some press cuttings, but, as she has responsibility for the Indo-Pacific, she may have seen them already. None the less, I advise her to read the website of the Chinese Foreign Affairs Ministry. It provides a weekly diary of its friendly relationship with the Government of Mauritius.

On the Pelindaba treaty, we have already heard the comments about what this now means. It is absolutely wrong to inhibit and restrict our ability when it comes to stationing a nuclear deterrent on Diego Garcia, and it is right that we on the Conservatives Benches continue to question this.

Before I conclude, let me discuss the money. It is an absolute disgrace that this House has not had full disclosure on the money. It is in the public interest for Ministers to tell the truth, to be held to account, and to stop hiding the true cost by misrepresenting the positions of the Office for Budget Responsibility and the Government Actuary’s Department. That is utterly shameful. Today, Labour MPs have an opportunity to join us—

[Graham Stuart]

Where are they?

[Priti Patel]

They are all in hiding, because they are embarrassed. They can join us and stop this surrender. They can tell their constituents that they voted to save a British territory from being lost, that they stood up for our defence and security, that they voted to save £35 billion from disgracefully being handed over to a foreign Government while their taxes at home go up and their public services are squeezed, and that they voted to defend the rights of the Chagossians. Alternatively, they can sleepwalk through the Division Lobby like sheep, defending the indefensible and backing another Labour weak policy and failure of their enfeebled Prime Minister. Conservatives have opposed this deal at every stage from day one and we will continue to do so. We will fight to kill this Bill to defend both British sovereignty and Britain’s pride and national interests.

Diego Garcia Military Base and British Indian Ocean Territory Bill

Debate between Priti Patel and Graham Stuart

Consideration of Lords amendments
Tuesday 20th January 2026 Commons Chamber

[Priti Patel]

If the Government wish to U-turn and scrap the Bill, we would welcome that and support it; there is no question about that.

I turn to amendment 1. It is not just when it comes to money, which is addressed in amendment 5, that the Government’s claims lack any credibility; amendment 1, which deals with the surrender of British sovereignty, leaves us weaker and, as we have heard from my right hon. and hon. Friends, will compromise the long-term operations of the base.

We are required to give notice to the Government of Mauritius about a range of activities taking place on the base. As the hon. Member for Strangford (Jim Shannon) pointed out, Mauritius is a signatory to the Pelindaba treaty, and if that applies to Diego Garcia, it would prohibit the stationing and storage of nuclear weapons there. This is very serious. While the Prime Minister has claimed that China, Russia and Iran oppose the surrender, we know that they back it; they publicly endorse it, and they will seek to gain from this lack of sovereignty.

These points are all relevant to amendment 1, as it requires the Government to renegotiate article 11 of the treaty, so that payments cease should the use of the base for military purposes became impossible. Obviously, we hope that that scenario does not materialise, as we believe that Diego Garcia is a vital cornerstone of our national security and defence, and should remain so. However, as the treaty stands, if we stop using the base, the UK is still bound to make pretty significant payments over the 99-year lease period; it is a huge cost. Amendment 1 is therefore a vital point of contingency.

We would like the whole agreement binned, but we believe that it is reasonable and practical for the Government to accept this change. When he sums up, will the Minister explain why he is not prepared to consider the amendment, and to renegotiate parts of the treaty?

[Graham Stuart]

Does my right hon. Friend, like me, feel some sympathy for the Minister? He has rested his whole case on the support of the United States of America. The Deputy Prime Minister said that the Bill would not go ahead if the American President did not support it. We all remember the great mystery about who shot J.R., but there is no mystery about who shot the Minister’s fox—it was the President of the United States last night, and the Minister’s whole case has crumbled.

[Priti Patel]

My right hon. Friend is spot on. This is the critical moment when the Government should tear up the Bill and scrap this disaster. It should not proceed at all.

Oral Answers to Questions

Debate between Priti Patel and Graham Stuart

Tuesday 17th January 2023 Commons Chamber

[Graham Stuart]

Post offices, like all non-domestic businesses and institutions, will benefit from the new energy price discount scheme, which follows the energy bill relief scheme, as announced by the Chancellor.

[Priti Patel (Witham) (Con)]

My right hon. Friend the Energy Minister is more than aware of the deep anger in my constituency and across the east of England about National Grid’s green proposals to put pylons across the whole of East Anglia. Will he give clear assurances that the Government will work proactively to explore offshore grid options—an alternative, basically—to deliver more resilience and capacity, and to protect our countryside?

[Graham Stuart]

I thank my right hon. Friend who, along with colleagues, has been assiduous in championing constituents’ interests and making sure that no infrastructure that imposes a burden on constituents goes in if it is not necessary. I am pleased to say that we have launched the £100 million offshore co-ordination support scheme, which provides funding to ensure a more co-ordinated approach. Although we recognise that we cannot forcibly change some contracts, we can—including with that funding—encourage developers to look at doing their infrastructure in the way that has the least negative impact on her constituents.

Bankers’ Bonuses and the Banking Industry

Debate between Priti Patel and Graham Stuart

Wednesday 25th February 2015 Commons Chamber

[The Exchequer Secretary to the Treasury (Priti Patel)]

I thank all Members who have contributed to this debate, which has been quite wide-ranging; it even became a debate on the north-east region at one point. I commend my hon. Friends the Members for Hexham (Guy Opperman), for Redcar (Ian Swales), for Dover (Charlie Elphicke) and for Warrington South (David Mowat) for their speeches. I particularly commend my hon. Friend the Member for Hexham, who made a very thoughtful and considered speech about the changes made by the Government through the banking reforms. He also highlighted the role of challenger banks and his own commitment to that through his work locally. He is clearly a champion not just for his constituency and region but for challenger banks, and that is to be commended.

I think it is fair to say that we all agree that the banking scandals that have emerged in the past years have been disgraceful, and we have shown that consensus during this debate. They have, without a doubt, shaken public trust in a proud British banking history, and revealed pockets of rottenness at the heart of the banking system. The country is understandably angry about the reports of practices, behaviour and conduct that have become legendary in the banking scandals of recent years.

[Mr Graham Stuart]

Will my hon. Friend give way?

[Priti Patel]

I will not because of the time, if my hon. Friend will accept that.

We can never go back to the bad old contaminated days when the culture in the banking sector was so wrong. That is why the actions taken by this Government, which were long overdue, and neglected by the previous Government, will ensure that the system and the sector never go back to those bad old days. The core action that has been undertaken to tackle misconduct has been pure reform on misconduct and clearing up remuneration. The reforms have ensured that we have the toughest remuneration regime of any major financial sector. Through the Government’s reforms, we have ensured that rotten behaviour in the sector will be punished. We have heard about criminal sanctions today.

The overall contribution of the sector is hugely important to the country’s economy, but we must ensure that we reform its reputation and conduct, and change the culture to bring probity and integrity back into a system that was challenged and flawed. Back in 2010, we had a banking system that had no connection between performance and remuneration, and that rewarded, and was dominated by, excessive risk taking. There was no accountability for losses. It was a sector where wrong practices and the wrong culture had become institutionalised, and, more disgracefully, where people who should have known better turned a blind eye and looked the other way.

Like any responsible Government, our job is to bring back measures and laws, and a regulatory framework, that were sorely lacking in the past to ensure that the financial sector regains its reputation, while stamping down on the reprehensible behaviours of the culture that the country witnessed in the past. This Government have brought in reforms, transparency, a regulatory framework, and the ability to make sure that those who did wrong would not go unpunished. We have made reckless misconduct leading to bank failure a criminal offence. We have strengthened the accountability of senior management and the powers of the regulators. We have increased choice and competition in the retail banking sector to help create a sector that genuinely puts consumers first and brings through the regulatory changes that are required.

That also means clamping down on unacceptable pay practices. We have heard plenty of references to that throughout the debate. Hon. Members spoke about remuneration in two banks in particular: RBS and Lloyds. The hon. Member for Bishop Auckland (Helen Goodman) asked for clarity on Lloyds. This week, we announced that we are getting another £500 million back for the taxpayer, which is money that we have put in and are now taking out. We can do that because, since the crisis, Lloyds has gone from failure to being a strong and profitable bank that is helping to drive the recovery. The bank contributes £238 million per year through the bank levy. It will have its bonus pool reduced this year, and we are continuing to restrict its cash bonuses to £2,000. It is absolutely right to ensure that the culture is completely reformed.

Both the hon. Lady and my hon. Friend the Member for Hexham mentioned not only challenger banks, but the issue of financial exclusion. I want to pay tribute to organisations such as challenger banks and credit unions. I spend a lot of time in my constituency of Witham at the Holdfast credit union, which does so much for those who are excluded.

Through our reforms, we are ensuring that banks that need to be punished are punished. The reforms have led to greater disclosure and transparency, and we have also reformed bonuses. We are consulting on the recommendations of the Parliamentary Commission on Banking Standards to strengthen the rules further. There is no doubt that actions speak louder than words, and we have taken action.

The EU bonus cap, which has been mentioned, would not control bankers’ pay. It would push up fixed pay, and make it difficult to claw back bankers’ earnings when things go wrong. It would weaken financial stability and ultimately make it more likely that the taxpayer, rather than the banker, paid the cost of any mistakes. Unfortunately, that has already started to happen and the cap remains fundamentally flawed, but we are willing to draw a line under the issue, and the legal challenge has been withdrawn. Instead, we are looking at other ways of building a system of pay in global banking that encourages rather than undermines responsibility.

It is fair to say that bankers got it very wrong over a number of years. Regrettably, they are still getting it wrong, and several Members mentioned HSBC. Its chief executive, who is in front of the Treasury Committee this afternoon, has apologised for the failures and errors, which have been pushed out into the public domain. However, the reality is that the Government have taken action to sort out the mess.

The job is not over. We must continue to be firm in working with the regulators to stamp out malpractice. We should continue down the path we have set: linking pay and performance; making sure that failure is not rewarded; and ensuring accountability by our most senior managers. We should be proud of being the toughest major financial centre in the world on remuneration, but we should also be careful not to get carried away with the rhetoric and damage the competitiveness of one of this country’s most prized economic assets.

This Government have set the sector back on the right path, so I urge hon. Members to reject the Labour party’s motion. As Opposition Members have pointed out, the motion refers to job guarantees, but the best guarantee for jobs is to stick to the Government’s long- term economic plan, under which youth unemployment and unemployment have declined.

Question put.