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The hon. Gentleman, whose work on the Select Committee is much appreciated, is absolutely right. There are examples of good work being done in the system. In the north-east in particular, there are some areas where the voluntary sector has worked well, taking a leading role within CRCs, but they are the exception to the rule. That is why we think that the new system must have specific targets for the voluntary sector, and means of getting it into the system. I know from my experience over the years that the voluntary sector is much more flexible. It is much more able to calibrate to the local social, economic, job-market and housing-market needs, which are all-important in rehabilitation, and is able to build up links at local level with the relevant agencies, in a way that so far has tended to be lacking in the very large and sometimes remote organisations. The hon. Gentleman is totally right.
I thank the Select Committee and its Chair for an excellent report, which I have read from cover to cover. I particularly agree with what the Chair said about the operation of the through-the-gate system. Was he as surprised as I was by the evidence given to his Committee by the Minister of State, who said that we had all got our expectations of through the gate wrong, and that it was simply meant to be a signposting service? Does he agree that the Ministry of Justice should properly assess, evaluate and embed good, systematic through-the-gate practice that supports offenders—before, at the point of, and after release from custody?
That is absolutely right. My recollection is that that was not the way through the gate was sold at the time it was brought in. I think there is a little bit of rewriting of history there, to be blunt. The truth is that for a long time we have been appallingly bad at follow-up supervision of people who are released. Through the gate actually extended it to those serving sentences of one year or less, which indicates that the Government thought that it was a good thing, but that has not been delivered in practice. We do need a wholesale review of it.
For example, if the CRC becomes involved with an offender only about 12 weeks before their release, that is wholly inadequate, in terms of setting that person up with the support that they need when they come out. We suggest that during that time, there be work to ensure that bank accounts are set up, and that people can register for universal credit, so that they get it on the day they leave custody, rather than coming out with their £46 and not necessarily having a roof over their head. The temptation for them then is to go straight to meet their mates at the pub or the café; they spend their £46; and then they are back into exactly the same sort of offending—often to drive drug, alcohol or other habits—that got them into prison in the first place. The leaflet in their pocket, which is supposed to do the signposting, is not much use to them in those circumstances.
(6 years, 10 months ago)
Commons ChamberIt is a pleasure to see you in the Chair, Sir David. I start by associating myself with the condolences of the hon. Member for Wakefield (Mary Creagh) to the right hon. Member for Chorley (Mr Hoyle) and his family. He is greatly regarded by every one of us across the Chamber, I am sure.
I pay particular tribute to my right hon. and learned Friend the Member for Beaconsfield (Mr Grieve). I listened to his speech, as I did to pretty much all of today’s speeches, and invariably I found myself agreeing with pretty much every word he said. He has been an absolute stalwart in working to improve the Bill. As others have said, our purpose, through our amendments, has been to improve, not to obstruct. We do not want to obstruct the outcome of the referendum, but we want to ensure that the legislation does the best possible job of the important task that it must do. I hope that the Government have come to recognise that, and that we can continue forward in that spirit.
In a similar vein, it is worth endorsing the comments made by my right hon. Friend the Member for Broxtowe (Anna Soubry). She is right: most people were not consumed by the minutiae of our arrangements. A fairly broadbrush debate, which was often pretty unsatisfactory and low grade, infected both sides from time to time. Frankly, the topic in hand was not done the justice it should have been done. We must now deliver on the decision, but it is pretty rich when some media commentators seem to regard the efforts of hon. Members to do their job as parliamentarians as some kind of betrayal, which is of course nonsense.
One is reminded more and more of the continuing relevance of those words of Stanley Baldwin when he got his cousin, Rudyard Kipling, to supply some lines about power without responsibility being, if I might paraphrase, the prerogative of the journalistic harlot throughout the ages. Those words are as applicable now as they were in the 1930s.
My three amendments relate to financial matters and matters linked to the City of London Corporation. I am grateful to the Minister and to the Solicitor General for their constructive approach.
Obviously I will not seek to press new clause 71 to a Division. I welcome the Government’s recognition of the centrality of the financial services sector to our economy, which is the point I want to stress. The deal we reach has to look after the interests of this jewel in the crown of the British economy. I am sure that that is the intention, but it is critical that we achieve it. To walk away without a deal would, of course, be of no value at all to the financial services sector, because WTO rules do not apply to it—it is not tariffs but regulatory burdens that would be the obstacle to our successful financial services sector.
As my constituency is that with the 16th highest number of financial and professional services workers in the country, it is my absolute duty to make sure that I am able to have a meaningful say on a deal that will affect their livelihoods and the livelihoods of their neighbours, friends and families. Thanks to the good work of my right hon. Friend the Member for West Dorset (Sir Oliver Letwin) and others, I hope we are now in a position for me to have that say on their behalf. It is important we retain that say.
I was grateful for the Minister’s intervention on my right hon. Friend the Member for Broxtowe. The truth is that the more a person kicks a hornets’ nest, the angrier they get. I take the Minister’s comments in the spirit in whey they were made, and I hope we can move forward constructively.
New clause 72 addresses another aspect of the City’s work: the question of port charges and port authorities. Again, I welcome the helpful clarification of the Government’s stance. The port of London, of course, is one of the country’s largest ports, and the City of London is the port health authority. Estimates by port health authorities indicate that there could be a minimum increase in their workload of 25%. The facilities needed to carry out checks will involve a cost not just in revenue terms but in capital terms. If we are able to secure a continuing alignment on standards—I am grateful to the Minister for quoting a number of the regulations—it would obviate those difficulties, which is in the interest of the agricultural sector both here and in the EU, and in the interest of the food retail sector because of the last-minute delivery systems that now play a full part in its way of working.
Amendment 362 addresses the interpretation of contracts, and I am grateful that the Government have said we can continue working on that. Contractual certainty is critical, because many international legal contracts are written using English law because of the high regard in which it is held. That makes our legal services sector a considerable national asset. Maintaining certainty for the sector is important to all the business that comes into the UK, and it underpins the rest of the financial sector, too. I am grateful for the Government’s recognition of that important point.
Finally, I come to new clause 56, on Gibraltar, which I signed, but which stands in the names of SNP Members and others across the House. It has had cross-party support, for which I am grateful. I declare my interest as the chair of the all-party group on Gibraltar. I welcome the Government’s statement, both from Ministers today and from the Prime Minister earlier, of their full commitment to Gibraltar. What is important for Gibraltar—the new clause was designed to probe this—is not just the issue of the predatory approach that Spain takes to Gibraltar and the border. Although that is one issue on which we must fight on Gibraltar’s behalf, we must also address its people’s real desire—this is an absolute necessity for their wellbeing—to maintain access into UK markets and, in particular, to preserve the rights that we and they currently have as common members of the EU. I welcome the fact that the Government will try to find a constructive way of taking that forward. Gibraltar has a thriving financial services sector. It has transformed its economy from a dockyard and garrison economy to one with a significant financial services base. That economy complements the City of London in a number of key sectors, including insurance. Maintaining access is crucial and to the advantage of both the UK and the Gibraltarians. I am, again, grateful to Ministers on that.
I end on this note: the vote was about leaving, not the form of the new relationship. We are talking today about the process. In terms of where we end up, the one thing that has been made clear to me by the many constituents I speak to, particularly those in financial services, manufacturing and many other areas of business, is the absolute criticality of having a proper transitional period. That is vital for the financial services in particular, but also for many other areas. A constituent of mine has a manufacturing business that feeds into a complicated supply chain across EU boundaries. He wants to have certainty about the availability of the supply chain to make his products, and it is critical that there is certainty about the City’s ability to adapt. The City does adapt, and financial services can and will adapt, but they need time to do so, given the varied and complex nature of regulations.
My right hon. Friend the Member for Broxtowe hit on a fair point when she said, “Perhaps don’t start ruling out things that you don’t need to have to rule out.” Some people on the other side of the argument from me never ruled out either the customs union or the single market during the referendum campaign, but it seems that many of them seek to do so now. I would have thought that we ought to be keeping as many options open as possible, and the European Free Trade Association is one such option. I speak as a lawyer and someone who is concerned that we should have a proper dispute resolution mechanism. EFTA does have a court, which, although its jurisprudence historically tends to follow that of the ECJ, is institutionally independent. That is perhaps important for those who regard the move away from a direct jurisdiction as one of the important issues for the negotiations. EFTA is capable of ticking that box, so I simply say that we should not rule it out from the mix of the things we should look at.
In that—I hope—constructive spirit, may I wish you, Mrs Laing, and all hon. Members a happy Christmas? I might exclude from that the gentleman who sent me a card that said on the outside, “The peace and joy of God be upon you”, but said inside, after I opened it, “Judas, leave the country at once and never come back.” [Laughter.] Given that that probably is the least thing that has been said to some people, it is one thing we can laugh about. I say merry Christmas sincerely to all hon. Members. I hope that everybody has a good Christmas and that we can have a constructive new year as we take forward a great issue, on any view of the debate, for this country.
It is a great pleasure to follow my good friend the Chair of the Justice Committee. I had the honour of serving on that Committee when we prepared our report on Brexit’s impact on the justice system, to which the Government provided their response earlier this week. May I say to Ministers that new clause 31, which is about the best interests of children and safeguarding those interests, has a particular relevance to some of the issues that the Committee uncovered? Those relate to family law, which has not been the subject of much debate in Committee but is, none the less, an extremely complicated and important issue for the wellbeing of children. Our EU membership gives us access to institutions that protect and safeguard children as potential victims of crime.
As a member of the Justice Committee, I should like to congratulate my hon. Friend—if I may call him that—the Member for Bromley and Chislehurst (Robert Neill) on his expert guidance of the Committee. As he said, the work that we have done together has been very enjoyable. Governor empowerment should support a number of aspects of our prisons, including ensuring that they are safe and secure, that they are decent and that they offer support and assistance. Does he agree with the evidence suggesting that very large prisons housing more than 1,200 prisoners, which the Government are now planning, are less likely to achieve those standards and more likely to create greater challenges and pressures for governors?
That issue has been raised in evidence, and there are differing views on the impact of larger or smaller units. I pay tribute to the hon. Lady for her work and support, and for her immense knowledge in this area. Whatever the size and nature of an establishment, it is critical that there should be a proper relationship between staff and prisoners. One of the biggest problems is that there is often an insufficient sense of such a personal interface, and that can breed a sense of alienation. I personally do not have a hard and fast rule about size. The important thing is that however a prison is organised, it must be possible to build long-term relationships between staff and prisoners. That is why staff retention and morale are critical in creating the climate and atmosphere that enable people to be constructive in their time in prison, rather than falling into some of the other diversions, which can create difficulties.
(7 years, 7 months ago)
Commons ChamberMy right hon. Friend is spot on about the gravity of the regulatory failure. It was not just the process—the nuts and bolts—that went wrong; there was a fundamental failure to see that something that had been put into the market should have been ringing alarm bells. That is a very important point. That is why the case that the Government should provide proper compensation is all the stronger. The superficially attractive argument that it was too good to be true so people acted at their own risk was put about quite early. It was also claimed that all those affected were lawyers—barristers and solicitors—consultants and the comfortable middle class. I have dozens of victims of Equitable Life in my constituency and most are modest people who had jobs that enabled them to put a little bit aside, which they did in good faith and were let down by the system. A Government-regulated system let them down. That is why the obligation is very strong.
My hon. Friend the Member for Harrow East referred to EMAG’s work. I declare an interest as a member of the all-party parliamentary group on the matter. I particularly pay tribute to my constituents, David Truran and Richard Collins among others, who galvanised our local group of Equitable Life victims. They work hard to keep people in their area, many of whom are elderly and quite frail, in the loop about what is happening. That is a valuable local service. As has been said, the information about the compensation scheme and the way it worked was less than user friendly, to put it mildly. There was a lack of transparency and it was sometimes difficult for people in difficult circumstances, in the latter years of their lives, to navigate the information. EMAG’s work, nationally and locally, to help them is important.
The moral case is overwhelming and I think that the Minister, given his background and experience, knows that. The coalition Government were right to move when the previous Government had sadly done nothing, and it is a fair point that something is better than nothing. However, that is not really a sound basis for policy, morally or in terms of good governance. Something was given, and circumstances now permit the Government to give more.
Does the hon. Gentleman agree that policyholders do not regard what they are entitled to as compensation? They simply want back the money that they saved—their own money, which they put in to their long-term pension savings, believing it would be given back, with a reasonable return, when they retired and needed it.
That is an entirely fair and proper point. We use “compensation” only in a technical sense rather than to reflect the morality of what has happened. My hon. Friend the Member for Harrow East was right to describe the scheme as effectively a Ponzi scheme. In other jurisdictions, it would undoubtedly have been regarded as a fraud on the investors. They put in their money, lost out and the regulator that was supposed to protect them failed abysmally.
When the coalition Government introduced the compensation scheme, finances were difficult. Things have improved and it is not unreasonable to expect those people to be recompensed by more now. The distinction between pre-1992 and post-1992 annuitants was at best arbitrary. Although the case is made in a legalistic, dry, desiccated-calculating-machine way, it does not hold water for anyone who examines it. I hope for a measure of human decency and a broad view of the impact on public confidence. The Government let themselves down somewhat with that arrangement, although it was better than nothing. Now we can do better and I urge the Government to do that.
As well as the moral case, there is a case to be made for the importance for this country of good governance in our financial services sector. I am a passionate advocate of Britain’s financial services; 36% of my constituents work in the financial and professional services sector. It is a massive earner for this country and a jewel in our economic crown. However, it succeeds because of its reputation for integrity, which is based on the strength of its regulatory structures. When there is a failure, which is not followed by proper redress for those who lose out, confidence in our financial sector is dented and damaged.
As we emerge from the European Union—hon. Members know I regret that, but that is where we are—the financial services sector’s international reputation will be all the more important. It is in our national self-interest to ensure that we are seen to be 100% behind those who invest prudently and sensibly in our financial institutions. Britain is a world leader in the insurance sector, but this failure has the potential to damage us and it will always be held against us unless we do something to get it right. Given the national benefit that the sector brings, doing justice to the Equitable Life losers would be a drop in the ocean financially. Perhaps even for that reason, as well as for our long-term national economic self-interest, if not out of moral decency, the Government will think again.
6. What assessment he has made of the effect of council tax benefit localisation on families in Stretford and Urmston constituency.
An impact assessment is on my Department’s website. These reforms will create stronger incentives for councils to get people back into work and will help to pay off the budget deficit we inherited from the previous Administration. This Government are committed to supporting the most vulnerable in society. We have made it clear that pensioners should be protected and that any changes should help to support work incentives.
I am grateful to the Minister for that reply. However, the budget for council tax benefit is being cut by 10% from 2013-14, so how can he guarantee that every hour of work will pay for the working poor in my constituency and that they will not be impacted by this budget cut?
I have made it clear that we intend to protect the most vulnerable, but, equally, the hon. Lady has to recognise that spending on council tax benefit more than doubled between 1997 and 2010. That needs to be reduced as part of the strategy to lower the deficit that we inherited, in order to get the country back on track. We intend to do that in a proportionate and measured fashion, to protect the most vulnerable.