Housing, Communities and Local Government: Departmental Spending
Simon Clarke Excerpts(4 years, 4 months ago)
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Kate Hollern
I can actually prove it, Minister. They have been given no information or have been given information too late to implement any changes. As for the app, I am sure we will see it some day.
All of this has been a recipe for disaster, but councils have kept their promises, because they are committed to serving their residents. Yet again, councils will be given no comfort in this estimates debate today. How long must council services—those on the frontline in our hard-hit communities—be treated as Cinderella services? On 16 March, the Secretary of State told councils that the Government stood ready to do whatever was necessary to support them in their response to coronavirus. By 4 May, he was back-pedalling on that pledge, and he gave a grim warning:
“We would not want anyone to labour under a false impression that what they are doing is guaranteed to be funded by central Government.”
Interestingly, the Chancellor said the exact opposite yesterday. He says they agreed wherever it takes. Perhaps we again have an example of a headline not being a true reflection of what is happening in debates.
It is true that the Government have provided councils with funding of £3.7 billion in three tranches to meet the costs of the crisis. The first was mainly for adult social care and was allotted on the basis of relative need. However, the second was allocated on a per capita basis and did not take into account deprivation, despite the mortality rate from the virus in the most deprived areas being more than double that in the least deprived areas. As a result, the funding for metropolitan councils in deprived areas was substantially lower in the second tranche, whereas the allocation for many Conservative-controlled shire councils miraculously increased. Funding for Surrey rose by 32%, whereas that for Liverpool fell by the same percentage—so much for the promise of levelling up.
Blackburn with Darwen Borough Council received a little over £9 million, yet it has been well publicised that, with the anticipated loss of income, the council could face a deficit double the size by the end of the financial year. In March, April and May, councils lost £470 million in business rates and £506 million in council tax as businesses were forced to close and people lost their jobs.
Councils across the country are already making cuts to services and will inevitably be looking at serving section 114 notices. Last week, the Secretary of State announced just £500 million in further funding for councils and a yet-to-be-worked-out sum for loss of income, fees and charges. I say “yet-to-be-worked-out”, because once again, there is no detail.
I recognise that time has marched on. I just ask the Minister to urge the Secretary of State to live up to his promise and, perhaps if that does not work, we can get the right hon. Member for Rayleigh and Wickford (Mr Francois) to get the Prime Minister’s adviser to make a difference.
The Minister of State, Ministry of Housing, Communities and Local Government (Mr Simon Clarke)
I congratulate the hon. Member for Sheffield South East (Mr Betts) on securing today’s debate and I thank hon. Members across the House for their contributions. I entirely echo the tributes that have been paid to the hard work and sacrifice of local government officials and elected representatives around the country. It is a good chance to pay tribute to the frontline workers—the carers, the teachers, the mortuary staff, the social workers, the emergency planners, the refuse collectors and so many others who have done their utmost to make sure that our society continues to function at such a difficult time. Every tier of local government has come together to rise to the enormous challenges that covid-19 has created.
Time is very short, so I will be brief. From the outset of covid-19, the Government have said that we would ensure that councils have the resources that they need. We have already delivered a multibillion-pound infusion of support. Last week, we announced a further comprehensive package of support with several important components. First, we are providing a further £500 million of funding to cover additional local authority spending pressures. That means that since the crisis began, the total unring-fenced grant funding that has been provided to local authorities for their spending pressures now stands at £3.7 billion, and that is without including the £600 million that we provided for care homes to relieve the strain on social care services.
We have particularly asked councils to prioritise some core aspects of their work. The hon. Member for Hackney South and Shoreditch (Meg Hillier), who chairs the Public Accounts Committee, pressed me for detail on this, and those are: adult social care, children’s services, public health services, fire and rescue services, household waste services, shielding the clinically vulnerable, homelessness and rough sleeping, domestic abuse and managing excess mortality. I am very happy to provide any further clarity that would be helpful—
Mr Clarke
As time is extremely tight, I had better make progress.
We have provided in total almost £28 billion to local councils, businesses and communities to help to support them through the virus. That includes £300 million for the new test and trace service. Unlike the hon. Member for Blackburn (Kate Hollern), who spoke for the Opposition, I will not talk that down. I think it is making immense strides. I pay huge tribute to the work of Tom Riordan, the chief executive of Labour-controlled Leeds City Council, who has done a fantastic job in helping us to bring that tool together.
The second element of our comprehensive package is a specific mechanism to address councils’ income losses. That includes a co-payment scheme to cover irrecoverable losses from sales, fees and charges income in financial year 2020-21. That includes such things as car parking fees or revenue from cultural assets. The hon. Lady said that it is not defined, but it is not defined precisely to enable flexing according to the extent of those losses as they crystallise, so it is capable of being as generous as is required to meet the eventual losses that we face.
Through that co-payment scheme, the Government will cover 75% of losses beyond the first 5% of planned income. This will help to address the issues that my hon. Friend the Member for West Dorset (Chris Loder) alluded to. In addition, my right hon. Friend the Secretary of State has committed to extending from one year to three years the period over which councils can manage shortfalls and local tax income relating to this year, as was specifically requested by the LGA.
The Chair of the Housing, Communities and Local Government Committee referenced leisure centres. We are working with the Treasury and the Department for Digital, Culture, Media and Sport on this issue. We recognise its complexities and I can assure him that we are very serious about tackling it. In the autumn spending review, the Government will agree an apportionment of irrecoverable council tax and business rate losses between central and local government for 2020 and 2021.
Taken together, the support offered here will safeguard a range of essential public services, from social care to public health, shielding the vulnerable and now helping to safely reopen our economy and wider society. There will always be scope for specific, bespoke discussions with individual councils that find themselves in difficulty. The shadow Minister referred to Luton Council and its airport. I can assure her that we are very aware of that issue and continue to work closely with them.
On the wider work we are doing, my right hon. Friend the Chancellor gave an excellent statement yesterday underscoring our commitment to saving jobs and boosting growth. Clearly, levelling up is a massive responsibility that the Government are intensely serious about. We heard several colleagues refer to the £3.6 billion towns fund, including the future high streets fund. Be that Barnstaple or Warrington, we want to make sure these funds are paid out quickly and help to make a real difference and deliver for our society. That comes on top of the £5 billion stimulus from the accelerated getting building fund that the Prime Minister announced last week.
We also want to work closely with council leaders from all political parties in delivering our ambitious devolution agenda. This is appropriate, given the hon. Members for Sheffield South East (Mr Betts) and for Sheffield, Hallam (Olivia Blake) and their role in this, as we have the parliamentary order coming up next week to unlock £900 million of investment for the Sheffield city region, which is great. We have also negotiated the £1.1 billion of investment for West Yorkshire announced at Budget. With West Yorkshire’s new Mayor in place, 41% of residents in England and 63% in the north of England will be served by directly elected city region Mayors.
I heard the comments of my hon. Friend the Member for Southend West (Sir David Amess) and my right hon. Friend the Member for Rayleigh and Wickford (Mr Francois), and I look forward to meeting them to discuss the situation in Essex, but I can assure them that we will not be pressing ahead with proposals that do not command popular consent. That is always at the forefront of our mind.
On the comments from the SNP Front Bench, I can also confirm that we will publish our White Paper on devolution and local recovery in the autumn, which will address issues concerning the UK shared prosperity fund, which I should point out is our money, top-sliced and sent back to us by the EU. None the less, we will provide detail on that. Clearly, it is very important and he can rest assured we are working hard to work out how we can safely allocate that money, but we made a commitment in our manifesto at the general election that no part of the UK would receive less from the shared prosperity fund than they currently do under EU structural funds.
I am conscious that time is very tight, so I will conclude by pointing out that levelling up is not specific to the north and the midlands of England. I had good talks with my hon. Friend the Member for Isle of Wight (Bob Seely) and we continue to look at his island deal. The whole country—all the nations and regions of the United Kingdom—should look forward to our work on levelling up. We are committed to making it happen and making it happen soon.
Oral Answers to Questions
Simon Clarke Excerpts(4 years, 5 months ago)
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Kate Osamor (Edmonton) (Lab/Co-op)
The Minister of State, Ministry of Housing, Communities and Local Government (Mr Simon Clarke)
We have paid an unprecedented £3.2 billion to local authorities to address the pressures that they are facing in response to the pandemic, including £17.9 million to the hon. Lady’s own council, on top of an increase of £13.5 million in its core spending power this year. We have introduced measures worth more than £5 billion to help to ease councils’ immediate financial pressures. My right hon. Friend the Secretary of State and I are currently working closely with Cabinet colleagues on a comprehensive plan to ensure councils’ financial sustainability over the financial year ahead.
Kate Osamor [V]
I thank the Minister for his response, but the financial cost of covid-19 to Enfield council is expected to be more than £68 million and the Government have so far funded only a fraction of that burgeoning cost. The Minister is fully aware of local authorities’ statutory duty to provide a range of services to their communities. In the absence of fair funding, should local authorities begin making plans for more austerity to fill the funding gap by cutting vital services such as libraries, waste collection or adult social care?
Naz Shah (Bradford West) (Lab)
The recent reports on disparity in the risk and outcomes of covid-19, published by Public Health England, confirmed that black and minority ethnic communities have been disproportionately affected by covid-19. What plans does the Minister have to ensure that areas that have been badly hit by covid-19, particularly those with large black and minority ethnic populations, receive the support necessary to recover from the social and economic effects of the outbreak?
Mr Clarke
The hon. Lady’s question is a good and important one. Obviously, that is something that the Government have published research on, and it is obviously a fast-evolving situation. We continue to work closely with councils that cover areas of high density of BAME population, including, for example, Bradford. We want to understand those pressures and as we do, then we will adjust our response accordingly.
Seema Malhotra (Feltham and Heston) (Lab/Co-op) [V]
Hounslow Borough Council has identified spending pressures of around £15 million and income losses of £95 million due to covid-19, and the funding gap is rising. Our local authority is heavily dependent on aviation and my constituency has the fourth largest amount of furloughed employment. How do the Government plan to support partnerships between councils, industry, training providers and community organisations to ensure that our economic recovery and our community recovery go hand in hand?
Mr Clarke
The hon. Lady asks an excellent question. Clearly, it is important that local authorities and business work together. We have so far allocated a total of more than £103 million to Hounslow Borough Council precisely to help ensure that we support the whole community. That includes a generous settlement of grants for businesses as well as additional funding worth more than £14 million for the council. It is vital that any authority with particular issues—for example, links to aviation—that is struggling to make the books balance speaks to the Department and we will of course always be happy to offer detailed advice.
Jeff Smith (Manchester, Withington) (Lab)
Gerald Jones (Merthyr Tydfil and Rhymney) (Lab)
The Minister of State, Ministry of Housing, Communities and Local Government (Mr Simon Clarke)
We are working closely with the sector to develop a good understanding of the pressures that local authorities currently face. We have announced £3.2 billion of additional funding, councils will be able to defer £2.6 billion in business rates payment, and £850 million in social care grants were paid in April in a move aimed at helping to ease immediate pressures on local authority cash flows.
Jeff Smith
Manchester has lost £136 million in revenue this year alone. In Greater Manchester, the funding gap is £406 million. In the UK, it is £10 billion. The Minister just told us unequivocally that local authorities should not make plans for more austerity. Is he committing to fully fund those gaps?
Mr Clarke
As I explained in my previous answer, we will issue a comprehensive spending plan, which ensures that we do not leave local authorities facing unmanageable spending pressures in the year ahead. I point out that Greater Manchester councils have received £168 million of additional funding in response to the pandemic and their core spending power in this financial year increased by £150 million. I know that my right hon. Friend the Secretary of State has held detailed talks with Sir Richard Leese, and obviously an invitation to have further conversations as required always stands.
Gerald Jones
The financial position of Merthyr Tydfil and Caerphilly County Borough Councils, which cover my constituency, was difficult enough before the pandemic owing to years of UK Government austerity. Will the Minister commit to ensuring that the Welsh Government receive the funding they need for Welsh local authorities and the funding that the Prime Minister committed to Wales in February to tackle the effects of Storm Dennis? The impact of the floods and the pandemic have caused a hugely difficult situation for local authorities in my area and across Wales.
Mr Clarke
The winter storms have passed from memory, given everything that has happened subsequently, but they were terrible and had a significant impact on several communities, particularly on the west coast of the country. I am very conscious of that. We of course make a commitment that the funds that were promised will be paid. Local government is a devolved matter and therefore my Department does not engage directly with Welsh councils, but they can rest assured that they will receive their fair share according to the Barnett formula.
Kate Hollern (Blackburn) (Lab) [V]
Thank you, Mr Speaker, but it is not so sunny today I am afraid.
The Government made a promise to councils that they would provide full support so that councils could do whatever it takes to get through the coronavirus crisis. According to Local Government Association figures released on 29 May, councils needed as much as £6 billion to cover the cost of coping with the ongoing pandemic. If things returned to normal, that was the Government’s promise. However, we all know it is obvious that things will not to return to normal in July. Will the Minister speak to his Treasury colleagues and keep his promise to cover the deficit faced by councils and prevent them from going over the cliff edge? I acknowledge the Minister’s earlier responses, but he has yet to give a complete commitment to funding councils’ deficit.
Mr Clarke
We are obviously very conscious of £9.3 million that we have given to Blackburn with Darwen Borough Council. It is crucial that we deliver a suitable funding settlement for local authorities. We are working hard with Treasury colleagues to do that. The hon. Lady can rest assured that we will bring further details to the House as soon as we are ready.
Jane Hunt (Loughborough) (Con)
The Minister of State, Ministry of Housing, Communities and Local Government (Mr Simon Clarke)
Obviously I very much welcome the fact that today is a big moment for all our local economies as shops reopen, which is really positive news. We have given councils, businesses and communities over £27 billion thus far to support them as we move to recovery from this pandemic. That includes almost £13 billion in business grants, which has so far supported 832,000 businesses, and the £50 million reopening high streets safely fund, which the Secretary of State referred to. Today we are also publishing the guidance on the £3.6 billion towns fund, which will enable 100 places across England to make further progress with their town deals.
Jane Hunt
I refer Members to my entry in the Register of Members’ Financial Interests. I have welcomed the super announcements to help business improvement districts with various funds, to support local economies through the uncertainty of the covid-19 pandemic. This has been a vital lifeline for Love Loughborough, the BID in my constituency. Given the need to ensure that our town centres have the resources they need to get back on their feet, what further steps are being taken to support BIDs as the lockdown restrictions are eased?
Mr Clarke
BIDs have a significant part to play in our high street regeneration programme, and they will be even more important given the setback we have all experienced during the first half of this year. That is why we have legislated to allow BIDs that were due to re-ballot this year to continue until March 2021 and have announced £6.1 million in emergency support funding for BIDs. I am pleased that the Love Loughborough BID—not one to be said unless you have a taste for tongue-twisters—will receive £12,747 from this additional fund.
Lucy Powell (Manchester Central) (Lab/Co-op)
Rob Butler (Aylesbury) (Con)
The Minister of State, Ministry of Housing, Communities and Local Government (Mr Simon Clarke)
Our £3.6 billion towns fund will create jobs and drive economic growth in towns across England, and the new high streets task force, along with our £50 million reopening high streets safely fund, will help local areas to kick-start the safe reopening of their town centres.
Rob Butler
The new unitary Buckinghamshire Council has ambitious regeneration plans for Aylesbury, which has garden town status, with an excellent masterplan already prepared. Will my hon. Friend confirm that funding will still be available from central Government for the imaginative and innovative garden town project, which will make Aylesbury a place where people will want to live, work, visit and invest, long after the coronavirus crisis?
Mr Clarke
Yes, I can. Well planned, well designed, locally led garden communities play a vital role in helping to meet this country’s housing need well into the future. As we announced at Budget 2020, the Government have demonstrated their support for the Aylesbury garden town through a £170 million housing infrastructure fund award, which should help to unlock its full potential.
Rob Roberts (Delyn) (Con)
Dr Luke Evans (Bosworth) (Con) [V]
The Minister of State, Ministry of Housing, Communities and Local Government (Mr Simon Clarke)
I thank my hon. Friend for his question, which is a very good one. As he rightly says, BIDs have a very important role to play in this regeneration. We see them at the heart of the process of making sure that the high street comes back stronger from this pandemic and that we make good progress in making sure that the high street is genuinely fit for the future. That means meeting the needs of modern consumer habits.
Ruth Cadbury (Brentford and Isleworth) (Lab)
Local Authority Procurement: Fraud and Corruption Risk Review
Simon Clarke Excerpts(4 years, 5 months ago)
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The Minister of State, Ministry of Housing, Communities and Local Government (Mr Simon Clarke)
Today I have published a review into the risks of fraud and corruption in local government procurement in England, in collaboration with the Government’s anti-corruption champion, the hon. Member for Weston-super-Mare (John Penrose). This report delivers on a commitment by the Ministry of Housing, Communities & Local Government (MHCLG) in the UK anti-corruption strategy 2017-2022 and is an important part of the wider agenda to strengthen the UK’s response to the risks posed by corruption. The findings highlight the importance of continued vigilance across the whole procurement lifecycle and is particularly relevant at this time of heightened activity by councils, as they are working hard to respond to the challenges posed by covid-19.
Acknowledging and mitigating the risk of fraud and corruption is critical to sound financial management and ensuring that every pound spent by local councils supports the communities they serve. Activities to reduce vulnerability to the risks of fraud and corruption will also have the potential to improve efficiency and identify losses resulting from error, by highlighting weaker areas within systems and processes.
The potential benefits to both councils and the local taxpayer are significant. Under “business as usual” circumstances councils in England spend around £55 billion a year on goods, works and services[1]. Estimates[2] of the losses to Government expenditure caused by fraud and error range between 0.5% and 5%[3], equating to between £275 million and £2.75 billion per year for local government procurement spend.
It is also important to emphasise that fraud and corruption are by their nature hidden, and a low level of reported cases does not necessarily indicate a lack of fraudulent or corrupt activity.
Recent cross-Government reports demonstrate that detected fraud and corruption is only a proportion of the true scale of the problem[4]. Furthermore, of the 86 councils responding to the survey as part of this review, 23% reported having experienced cases of fraud and corruption within procurement in the 2017-2018 financial year.
Although there is no silver bullet for tackling the issue of fraud and corruption within procurement, this review draws together a range of activities which collectively help identify and mitigate the risks faced by local councils. The report details anonymised examples of good practice already in place across England, providing excellent evidence of local authorities’ innovation, commitment and collaborative approach.
The case studies of incidents of fraud and corruption and examples of best practice in prevention, illustrate how risks can materialise and what can be done to mitigate them. In addition, the report includes a risk matrix, which highlights possible measures that councils can use to strengthen their resilience to the risks of fraud and corruption. I hope the report will serve as a valuable resource for councils across the country to learn from. In additional to this report, I would also encourage councils to make best use of the national fraud initiative[5], CIPFA Counter Fraud resources[6] and the case studies from the counter fraud fund pilots MHCLG funded in 2014[7], as well as the latest fighting fraud and corruption locality strategy[8].
Taking forward the findings of the review
This report sets out suggested next steps for the public sector as a whole, for local councils and for MHCLG. Those for the public sector focus on putting in place standard definitions and measurement methodologies, ensuring there is a central place to record reports of fraud and corruption and strengthening whistleblowing arrangements.
MHCLG has a key role in supporting a culture of strong governance and robust accountability within the local government sector, and the counter fraud and anti-corruption agenda are important strands within this work.
At the level of individual councils, appropriate capacity is needed to prevent, detect and respond to incidents of fraud and corruption within the procurement lifecycle. This means having in place effective fraud and corruption risk management structures and risk assessments, effective due diligence and management of gifts and hospitality and conflicts of interest.
Capacity and capability within local authority contract management and commercial activities have been identified as areas for improvement and all those involved in procurement must understand their roles and responsibilities, whenever commissioning, procuring or purchasing on behalf of their council. Councils should consider how the risks of fraud and corruption are managed in their wider networks, including local authority companies, Arms-length management organisations (ALMOS) and other special purpose vehicles.
Procurement is only one area where fraud and corruption risks are present for councils, and similar risks are present in other areas of council operations. Many of the recommendations in this report should support efforts by councils to prevent and detect fraud and corruption, and to hold perpetrators successfully to account.
[1] National Procurement Strategy for Local Government in England 2018, LGA, page 5, https://www.local.gov.uk/sites/default/files/documents/11.122%20-%20National %20Procurement%20Strategy%202018_main %20report_V7.pdf
[2] See page 16, https://assets.publishing. service.gov.uk/government/uploads/system/uploads/attachment_data/file/764832/Cross-GovernmentFraudLandscapeAnnualReport2018.pdf
[3] The Fraud Measurement and Assurance Oversight Board concluded that there is an upper and lower range of likely losses: 0.5% to 5%. See page 31,
https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/764832/Cross-GovernmentFraudLandscape AnnualReport2018.pdf
[4] Page 15, Cross-Government Fraud Landscape Annual Report 2018,
https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/764832/Cross-GovernmentFraudLandscapeAnnualReport2018.pdf
[5] https://www.gov.uk/government/collections/national-fraud-initiative
[6] https://www.cipfa.org/services/counter-fraud-centre
[7] https://www.local.gov.uk/our-support/efficiency-and-income-generation/counter-fraud-hub-outcomes-counter-fraud-fund-0
[8] https://www.cifas.org.uk/insight/public-affairs-policy/fighting-fraud-corruption-local-authorities
[HCWS275]
Private Car Parks
Simon Clarke Excerpts(4 years, 5 months ago)
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The Minister of State, Ministry of Housing, Communities and Local Government (Mr Simon Clarke)
I thank my right hon. Friend the Member for Romsey and Southampton North (Caroline Nokes) for raising this issue and I congratulate her on securing this much-delayed debate. I also want to thank her and indeed, hon. Members across the House because this is an issue that I receive a lot of representations about on a daily basis. It is something that I am keenly aware needs resolving, and Members across the House are firm in their view that action is necessary on the regulation of the private parking industry.
Too often, our constituents are treated poorly at the hands of parking firms, and I know that many of my constituents in Middlesbrough South and East Cleveland feel the same. The clear cross-party support for the Parking (Code Of Practice) Act 2019 was therefore hugely encouraging, and I am pleased that, through the Act the Government are giving motorists greater protection against bogus parking fines and clamping down on rogue operators.
Self-regulation in the private parking sector has led to some undesirable practices, including misleading or confusing signage, aggressive debt collection, spiralling fees and opaque appeals services, and we heard some of that in the case of my right hon. Friend’s constituent, Mr Hindle. Members see in our postbags the effect that these poor practices have on people in our communities. They include the motorist who made a genuine and minor error entering their vehicle registration number into a machine and received £100 fine in the post; the driver who entered a car park on a busy day and could not park due to lack of spaces but got a ticket regardless because the camera assumed they had parked; the car park with signs that are impossible to read, subject to terms and conditions which are difficult to understand or which change without proper notice. Letters from motorists and even from MPs have gone unanswered by parking companies, although it does sound as though the hon. Lady has a staffer who will not be defeated by such tactics.
These practices are unfair and not good enough. The private parking industry plays a crucial role in our transport infrastructure, from facilitating commutes every morning to making our high streets accessible for shoppers and those accessing vital services. It employs thousands of people and serves millions of customers every day in normal times. We understand its importance, and that is why this Government are taking action to crack down on rogue firms, protect motorists and raise standards across the sector. With that in mind, I am pleased to update Members on the progress of our action after the passing of the Parking (Code Of Practice) Act, which was introduced thanks to the hard work of my right hon. Friend the Member for East Yorkshire (Sir Greg Knight), and we are actively delivering on our 2017 manifesto commitment to tackle rogue parking operators.
The Act provided for the creation of an independent code of practice for private parking companies and a one-stop shop for parking appeals, and our new code will ensure that enforcement and appeal processes are fair and proportionate. It will bring consistency, creating a level playing field across the industry, and it will benefit motorists, operators and landowners alike. If a parking company were to repeatedly break the code, its access to DVLA data could be blocked, and this data includes information on the vehicle keeper, so a company blocked from accessing it would be effectively unable to pursue parking charges. Blocking rogue operators in this manner will grant motorists greater protection against companies not delivering the standards that the Government and the public would expect.
We have taken steps to ensure that the code is not only reflective of the issues that we want to address but is informed by outside experts. On 3 November last year, the Government announced that the British Standards Institution would write the code in consultation with consumer and industry groups and carry out a full consultation once the draft was ready. The BSI is widely regarded as expert in regulatory delivery and has a proven track record of working with Government. Developing the code of practice as a British standard is thus a guarantee that the new regulation will be robust and of the highest quality, and the Government’s choice of BSI also delivers on our promise to listen to industry and consumers and involve them in the design of the new regulation. BSI’s process for developing new British standards involves reaching a consensus for a range of key stakeholders and seeking a wide array of views through a full public consultation. That will help to ensure that the code is entirely comprehensive.
I assure my right hon. Friend that, working in conjunction with the BSI, it is a priority to ensure that this code addresses the most significant and recurring issues that consumers deal with.
Jim Shannon
I welcome what the Minister has outlined for the right hon. Lady. I think it is exactly what we want to hear in this House, but when it comes to monitoring and checking, will the changes in the pipeline be enforced by locals councils, the police or another independent body?
Mr Clarke
It would not be an Adjournment debate without an intervention from the hon. Gentleman. In this case, he raises a really significant point. We need to make sure that these regulations have teeth. The deterrent lies in the fact that repeat offenders will find themselves unable to access the DVLA database and so it will in effect be self-policing.
In November, we announced that the Government would propose that the code considers a mandatory requirement to give all drivers the 10 minute grace period, which my right hon. Friend referred to, after their tickets expire. This will be a common-sense measure to ensure that drivers are not unfairly penalised for trying to do the right thing.
Caroline Nokes
I thank my hon. Friend for giving way. He was very specific then about a 10-minute grace period after a ticket had expired. Will it also include a 10-minute grace period in the circumstance that he himself identified where somebody perhaps drives into a car park and finds that there are no spaces, or that it is too expensive?
Mr Clarke
I confess that, given the code is in draft, I do not know the answer to that question, but I will write to my right hon. Friend, as she would expect, to clarify. I suspect that it will make good sense for it to do so in practice, but I will not presume to prejudge what the independent regulation may eventually come up with.
I also want to address issues raised about debt collection, because it cannot be fair that a hard-working family is prevented from obtaining a mortgage because a small breach of a car park’s terms and conditions led to a county court judgment that, as my right hon. Friend refers to, can have such serious consequences, especially if it is sent to an old address. I have seen constituency cases of that nature. We are proposing that the code considers new protections for consumers, and looks at extra measures to crack down on intimidating and aggressive debt collection practices. We will also look at the appeals system, because this is a particularly significant issue. There are two appeals services in the private parking sector. Both have their own processes and procedures and different rates at which parking charges are overturned at appeal. Which appeals service a motorist has access to depends not on their choice or the nature of the alleged breach of contract, but simply on which trade association the operator happens to belong to. That cannot be fair and is at odds with natural justice, which is why it is the Government’s stated position that we intend to appoint a single appeals service for the entire industry, giving motorists the ability to challenge unfair charges.
Finally, we are actively exploring ways to combat unfairly issued tickets from automatic number plate recognition technology. There is a widespread sense from motorists that this technology does not function as it should. I have heard of motorists entering and leaving a car park yet still having a ticket issued, and that is obviously a real concern. We want a private parking sector that works fairly in that regard.
Turning to the substantive issue of timing, I am pleased to update the House that work with the BSI commenced in December, and it has now convened a group of key stakeholders to write the code. This group comprises representatives from the parking industry, consumer groups, standards bodies and, recognising the key role that parking plays in supporting our high streets, the retail sector.
I can also update the House that we have appointed Steve Gooding, the director of the RAC Foundation, as our technical author, and he has now produced the first draft of the code. The RAC Foundation is a well-respected transport policy and research organisation and Mr Gooding is a former director-general of the Roads Traffic and Local Group at the Department for Transport, so he will bring real knowledge, experience and expertise to bear on his work. This is only a first draft and, as I have said, the final draft will be worked up in close consultation with key stakeholders, and there will be plenty of opportunity for everyone to have their voice heard in this process.
In the context of this debate, I would like to put it on record that the Government are doing all they can to utilise our parking infrastructure to best serve our collective response to the coronavirus. I am sure that the measures that we have announced to support frontline workers and volunteers have been welcomed by both the House and the British public. We are offering free parking for NHS workers, volunteers and social care workers in council-owned on-street spaces and car parks. In conjunction with NHS England, the parking sector and local government, we have produced a free parking pass to allow those workers to park in council spaces, worry free. We have pledged to cover the costs of providing free car parking to NHS staff working in hospitals during this unprecedented time. Our aim is to alleviate any unnecessary pressures on those workers by removing any fears that they may have about fees or fines while they carry out what is by common consent truly heroic work.
As we take the first steps towards recovery, we want to offer alternatives to public transport, but we are of course wary of an increase in the numbers of people taking end-to-end car journeys. To ease parking capacity, my right hon. Friend the Secretary of State for Transport has announced that the Government will seek to repurpose underused parking facilities outside town centres, made possible by close collaboration with local authorities and private operators. Those who live too far from town centres to cycle or walk can therefore park on the outskirts and finish their journeys on foot, bike or even—excitingly—an e-scooter.
Individual businesses are also playing a hugely positive role. Many private operators have been offering parking spaces to NHS workers during the coronavirus crisis. I commend such efforts and reiterate the Government’s appreciation for them.
I recognise the need to progress the new code at pace, and across Government we recognise the urgency of this issue. It is crucial to get the regulations right and, as my right hon. Friend said, the coronavirus situation has had an impact, but we have committed to developing the final code this year. Prior to that, a public consultation will take place to give the parking industry, the public and other interested parties the opportunity to have their say.
The 2019 Act builds on action that the Government have already taken to tackle rogue private parking firms, including the banning of wheel clamping and towing and the stopping of over-zealous parking enforcement by councils and parking wardens. Beyond our work on the private car parking sector, the Government are taking decisive action to improve public and private car parking throughout the country.
The Government are taking determined steps to protect motorists across the country. The Act will tackle an issue that our figures show affects literally millions of motorists every year. We will ensure that the private parking industry works to the high standards that motorists can reasonably expect, and we will tackle the rogue operators and their unfair practices. It will be an industry that will deliver for everybody.
I thank my right hon. Friend again for raising the issue of Mr Hindle, and I put on record my own tribute to Mr Hindle for his persistence in showing a certain British doggedness in refusing to accept a fundamentally unfair situation. I thank my right hon. Friend for the opportunity to update the House on the work that we are doing to improve the sector. I of course look forward to returning to the Dispatch Box to give further updates when the final code is ready.
Question put and agreed to.
Contingencies Fund Advance
Simon Clarke Excerpts(4 years, 6 months ago)
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The Minister of State, Ministry of Housing, Communities and Local Government (Mr Simon Clarke)
I hereby give notice of the Ministry of Housing, Communities and Local Government’s intention to seek an advance from the Contingencies Fund. The Department requires an advance of its cash requirement pending parliamentary approval of the main estimate 2020-21.
Parliamentary approval for additional resources of £1,415,000,000 will be sought in a main estimate for the Ministry of Housing, Communities and Local Government. Pending that approval, urgent expenditure estimated at £1,415,000,000 has been met by repayable cash advances from the Contingencies Fund.
[HCWS239]
Financial and Social Emergency Support Package
Simon Clarke Excerpts(4 years, 8 months ago)
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The Minister of State, Ministry of Housing, Communities and Local Government (Mr Simon Clarke)
I begin by offering the deepest thanks and praise of all of us in this House for all those working to deliver essential services to the public across the country. The way they have come together is nothing short of astounding. Equally astounding is the fact that the Prime Minister confirmed this afternoon that, in the past 24 hours, 400,000 Britons have signed up to act as volunteers to support our NHS, which is an incredible statement of the shared sense of purpose we all feel in this unique national endeavour.
I want to address directly every individual working to deliver an essential public service or a business, or to support their local community during this crisis, from NHS employees, local government workers, care workers and community volunteers through to those keeping our supermarket shelves full: you are keeping this country running and collectively helping to shoulder the burden, and we thank you. The whole House will want to join me in recognising the contribution they have already made and will no doubt continue to make over this period of crisis. We need the help of the British public to ensure that we beat the virus as quickly as we can and, above all, we need them to stay inside whenever possible.
This is the worst public health crisis in any of our lifetimes. The Government are responding, and we aspire to make our measures as comprehensive as we possibly can. A national crisis needs a national response and we are offering UK-wide support to ensure that people in all four corners of the country are receiving help.
Whatever resources the NHS needs, it will get. As an aside, today we have agreed with local councils in England to provide free parking for our NHS and social care workers as they fight coronavirus. I am working closely with my right hon. Friend the Secretary of State for Housing, Communities and Local Government, the Chancellor and other ministerial colleagues across Government to ensure that public services receive the funding they need to get their residents through this crisis. That means supporting those on the frontline; those who are in a dispensable. Generous tributes have been paid to them in excellent speeches from my hon. Friend the Member for Southend West (Sir David Amess), the hon. Member for Croydon Central (Sarah Jones)—I will return to some of the points she made—the hon. Members for Mitcham and Morden (Siobhain McDonagh), for Brent Central (Dawn Butler), for Gordon (Richard Thomson) and for Coventry South (Zarah Sultana), as well as the hon. Member for Brighton, Kemptown (Lloyd Russell-Moyle), whom we are all glad to see back in his place after recovering from the virus, the hon. Member for Glasgow South West (Chris Stephens), the right hon. Members for North Durham (Mr Jones) and for East Ham (Stephen Timms), the latter an expert in all matters to do with the welfare system, and the hon. Members for Sefton Central (Bill Esterson) and for Newcastle upon Tyne Central (Chi Onwurah). I thank everyone who has taken part in this afternoon’s debate. I assure all hon. Members that the Government are absolutely resolved to do whatever is necessary to support public services and authorities through the response to the coronavirus.
In normal times, I am a convinced believer in an agile state supporting free enterprise, which delivers jobs and revenue for our public services. The hon. Member for Newcastle upon Tyne Central gave a paean to the power of the market, but she is right: these are not normal times. In this strictly limited period, we must all accustom ourselves to a relationship between the state and civic society that is unprecedented in peacetime.
Chi Onwurah
I have to correct the record. It was not a paean to the power of the free market; actually, I was identifying its critical failings when it comes to providing capacity for the state to respond to pandemics of the type we face.
Mr Clarke
I will of course take that point for the record. Let me in turn pay my own tribute to the power of the market.
In these unusual times, we have a shielding policy, for which my Department is responsible. Letters have been sent to 1.5 million high-risk individuals asking them to shield themselves and stay at home for the next 12 weeks. I think we all recognise the magnitude of what we are asking people to do. I emphasise to everyone who is in the process of becoming shielded that we are there for them and we will not let them down.
Chris Stephens
Let me ask the Minister for, I think, the fifth time today, what action are the Government considering to protect workers and employees who have one of those letters but whose employer is forcing them into work? What are they going to do for people put in that dreadful situation?
Mr Clarke
To put it simply, none of those individuals ought to be going to work at this time; the Government would stand with anyone who refused to go to work because they need to be shielded, and we will stand up for them if any employer is so foolish as to try to press that point.
Those who are being shielded will benefit from a website and a telephone helpline, both of which are now fully operational. We are working with all partners—councils, the food industry, local resilience and emergency partners and voluntary groups—to ensure that essential items can be delivered as soon as possible to those who need them. Deliveries of food will start this week, medicines will be delivered by community pharmacies, and groceries and essential household items will be delivered by local councils and food distributors working with supermarkets to ensure that no one needs to worry about getting the food they need. Parcels will be left on the doorstep.
The Government, the food industry, community pharmacies, councils and emergency services are working around the clock to get this scheme off the ground. I pay tribute to the civil servants who have been working tirelessly throughout this period. I am enormously impressed by the dedication and resolve that they have shown. I can also confirm that, from today, we have deployed military planners to every area of the country to help to co-ordinate this work. We pay tribute also to our armed forces and the role that they will play in this effort.
As Members have highlighted, it is not only the incredibly hard-working medical professionals on the frontline against coronavirus who are under immense pressure. We in my Department know that local authorities, which are essential to the running of this country, are feeling the pressure too. We have already announced £3.4 billion to alleviate that pressure, comprising £1.6 billion of covid-19 pressures funding and the initial £1.8 billion grant for business rates relief measures. We know that immediate pressures require immediate cash, so we can now confirm that the funding will be with every local authority, in its bank account, by Friday. We have said that we will do everything we can to support the sector, and this is us doing it.
When it comes to grants for businesses, the Department for Business, Energy and Industrial Strategy has now issued guidance to all local authorities, and we will provide the full £13 billion of funding for the business grant support scheme at the beginning of April. We must acknowledge that the crisis will not just burden our social care system and affect our most vulnerable; it will also affect our local economies, so local authorities should be confident about contacting businesses in their patch and making arrangements for the grants to be paid as quickly as possible. Time really is a vital factor here.
Further to the targeted funding, we have set out detailed guidance for local authorities on the 100% business rates discount for the retail, hospitality and leisure sectors, which was published by my Department this week. Today, we have announced a further expansion to the discount to remove some of the previous exclusions from the relief, to ensure that businesses that are now required to close—including estate agents, letting agents and bingo halls—will pay no business rates this coming year. My Department will amend guidance as necessary this week. We will, of course, fully compensate local authorities for the costs of this measure.
More broadly, I acknowledge that asking businesses to close their doors is a huge ask—those businesses have often been built up over many years of hard work and sacrifice—but it is only through such measures that we will ensure public safety. By the action that the Government are taking, we will mitigate the effects of the crisis so that once it is over, businesses can bounce back and renew our economy.
The Government’s measures not only are targeted at our businesses and public sectors but will support citizens at an individual level, too. We are working to support those who, through no fault of their own, are facing a sudden drop in income. The Chancellor has announced unprecedented measures to support people by making funding available to cover up to 80% of wages. In response to a point raised by the shadow Chancellor in his speech, I can confirm that apprentices will qualify for that if they are on PAYE. I will write to him on that point, but it is certain that they are included.
Mr Kevan Jones
I accept what the Minister is saying, but during my contribution I referred to the email that I received from Scott Hawthorne, who runs a recycling business. He wants to do the right thing by his workers but he is still waiting and does not quite understand how to implement the scheme. I urge the Minister to get the information out to businesses as a matter of urgency, because those that want to do the right thing need to be able to implement it.
Lloyd Russell-Moyle
My ex has been sent a letter from his employer saying, “We want to put you on the 80% but we don’t yet know how this works. We do not know the details.” I suggest that it is perhaps not just one employer that needs to be written to; all employers in this country need to be given greater guidance. That letter came from a top law firm that his employer had got in to try to work out the system, and that firm could not work it out either. I do not think it is about an individual case. Will the Minister please put on the public record the details of how employers will use the scheme?
Mr Clarke
I can confirm that other Government Departments, alongside my own, will have heard the hon. Gentleman’s remarks, and we will ensure that they are taken to heart.
This is a convenient point to discuss universal credit and some of the related issues, which the hon. Member for Brighton, Kemptown raised, as did the hon. Member for Glasgow South West. I can confirm that advances for all new universal credit claimants are now available online or by phone, with no requirement to attend the jobcentre. Earning rules for the self-employed have been temporarily relaxed for those who are sick or self-isolating. From 6 April, we are increasing the standard allowance for UC and the basic element in working tax credit for one year: both will increase by £20 a week on top of the planned annual uprating, and that will apply to all new and existing universal credit claimants and to existing working tax credit claimants, too. We recognise that there is going to be an enormous increase in the number of people claiming universal credit; we will continue to make sure that the system responds to this fast-changing situation.
Mr Dhesi
Will the Minister advise Members as to whether local authorities will be given full information about the number of universal credit claimants? As he rightly points out, many of us, along with local authorities—including mine in Slough—are expecting a huge hike in that number.
Mr Clarke
I can of course commit that we will share that information whenever we have the full dataset available. It is obviously important that we make sure the figures are accurate, but we will share all the relevant data so that local authorities can plan.
We have announced a £500 million hardship fund so that local authorities can provide council tax relief to vulnerable people and households in their area. Working-age people who already receive council tax support will have their council tax reduced by a further £150 and local authorities will have the flexibility to provide funding to support others, too.
On renters, we are aware that for many who are not receiving their regular income a financial strain will be put on all aspects of their lives. We want to protect tenants during this crisis. To address the concerns raised by the hon. Members for Croydon Central and for Mitcham and Morden, and the shadow Chancellor, I can confirm that the Government are clear that no renter who has lost income because of the coronavirus will be forced out of their home. The very clear guidance we have given to judges and bailiffs means it is extremely unlikely that any possession proceedings will continue during this period.
Sarah Jones
I thank the Minister for finishing his sentence so that I heard that last bit, as it was helpful. He said just a few minutes ago that letting agents and estate agents are now on the essential list of things that have to close. I did not think that they were; I thought that was the advice. Either way, people are being evicted right now and will not be included in that definition the Minister used. How on earth are they going to find anywhere else to go if there is nowhere open to help them? We need clear guidance from the Government that nobody should be evicted, for any reason, at this time.
Mr Clarke
I will write to the hon. Lady with full details on that point and make that letter public. That is a firm commitment to the House this afternoon.
I am conscious that time is pressing. On support for rough sleepers, I want to confirm that the support package is comprehensive and, of course, therefore extends to some of the most vulnerable members of society. Not all of us are so fortunate as to have a stable home in case we are sick, so we are developing a bespoke response and have launched a £3.2 million covid-19 rough sleeping fund. Dame Louise Casey is heading up our rough sleeping response to covid-19, and our aim is to make sure that everyone is protected and is in appropriate accommodation. On the point raised by the hon. Member for Croydon Central, hotels engaged in this process should stay open, and the Department is working closely to ensure that that is the case. We are working intensively across all local authorities in England, and Dame Louise is focusing on high-priority areas, both in and outside London. The hon. Lady raised the issue of Grenfell, and we are absolutely clear that building sites and priority work, where appropriate PHE guidance has been observed, can continue, where the work is genuinely essential. We will be issuing further detail on this point. We want to see the Grenfell issue of cladding continue to be addressed at this time, assuming that safe practice can be followed.
On the care system, we are providing £1.6 billion for local authorities’ response to the covid-19 pandemic, to address the additional pressures they are facing. We expect that the majority of that funding will be spent on providing adult social care services, which are going to be required. I can confirm that 26,000 care organisations—care homes, home care and hospices—have each received 300 fluid-repellent masks. Obviously, many more will be needed and we are dramatically ramping up the supply of those. The Army is now involved in making sure that they are distributed across the country as required.
The hon. Member for Mitcham and Morden raised the issue of children’s hospices in her question, and I can confirm that the Chancellor of the Exchequer is working on a support package for charities right now, We are working at pace and hope to bring forward plans shortly, recognising that, as she rightly said, time is of the essence in making sure that these places do not have to close. On children, young people and those who work with them, our priorities are their safety, minimising disruption to everyday life and not unduly impacting on their progression and education. That is why we have asked parents to keep their children at home wherever possible. Schools and all childcare providers have been asked to continue to provide care for a limited number of children: those who are vulnerable; and those whose parents are crucial to the covid-19 response and who cannot be safely cared for at home. We are extremely grateful for the work of teachers, childcare providers and local authorities, and we will continue to monitor closely what is happening on the ground. To be clear, the position is as follows: children should be sent to school only if they have to be because someone’s work is genuinely crucial to our national response. If people are able to keep their children at home, they should do so.
Ruth Cadbury (Brentford and Isleworth) (Lab)
I am very grateful to my right hon. Friend the shadow Chancellor for raising the point I raised with Treasury Ministers yesterday about child benefit. Surely raising child benefit by at least £10 a week, as recommended by the Child Poverty Action Group, during this time—children are at home and the price of food is going up, as they will not now get free school meals or meals at school—would be quick and easy to do, unlike other schemes which are taking longer to set up?
Mr Clarke
I thank the hon. Lady for her suggestion, which will have been heard. I can confirm that free school meals ought to continue to be available during this time. Schools have discretion to make sure they find the appropriate way to do that, but I take her point on board. Costs will be higher for families at a time like this.
Barry Gardiner (Brent North) (Lab)
The Minister said that only children of parents who are engaged in essential services should be going to school. Earlier in his remarks he talked about “essential” construction. Can he confirm that the children of construction workers working on an essential site will also be included?
Mr Clarke
It is key workers only. I have to correct the hon. Gentleman. It is only those who are doing the jobs specified in the list we have issued.
To conclude, the Government have responded rapidly to this crisis. An enormous amount has happened in the past two weeks. I am proud of what we are doing. We are ensuring the long-term protection of public services and businesses.
Mr Clarke
I think I must move on.
Once this crisis is passed, the United Kingdom can re-emerge with pride and purpose. The Government are working flat out to get the right support to the right people at the right time. We must address this crisis very frankly. If too many people become seriously unwell at one time, the NHS and our public services risk being overwhelmed. It is absolutely vital that we slow the spread of this disease. We must do so together as one nation. I offer my deep thanks for the constructive approach and hard work of our counterparts in Opposition. We must look out for one another, our loved ones, friends, family, neighbours and strangers, because that is how we will overcome this. I urge any local authority, if faced with immediate unmanageable pressures, to contact my officials at the earliest opportunity. We are likely to be sorely tested in the weeks ahead, but I ask Members to rest assured that Her Majesty’s Government are prepared to do whatever it takes. The message to the public is very clear: we will support you and we will get through this together.
Question put and agreed to.
Resolved,
That this House has considered the emergency financial and social package needed to support people, families and business through the covid-19 outbreak.
Ian Blackford (Ross, Skye and Lochaber) (SNP)
On a point of order, Mr Speaker. I am most grateful to you for granting this point of order. Robert Peston, the ITV journalist, is tweeting that Boris Johnson has confirmed that the Government will be making an announcement tomorrow on help for the self-employed. Mr Speaker, you will recall the ticking off that you gave to the Chancellor for making statements that should have been brought to this House. First, I just wondered, given the time, why the Government are not coming here this evening, if they are ready to make an announcement on help for the self-employed, especially given the fact that so many right hon. and hon. Members right across this House have been asking for that day after day. Secondly, if it is the case that, for whatever the reason, the Government cannot come to the House this evening, why are we not sitting tomorrow? Why did the Government seek to move the motion that the House would be going into recess tonight? It is simply unacceptable that while so many of our constituents are in financial peril, their elected representatives will not be able to hold the Government to account. Further, I wonder, given the circumstances and because oversight is now so critical, why we are not due to be here for more than three weeks. What can we do to make sure that the Opposition parties can scrutinise the Government? I ask through you, Mr Speaker, that at the very least Opposition party leaders are offered the opportunity of ongoing conference calls with the Government as these announcements are made. The way the Government are behaving is simply not acceptable.
Oral Answers to Questions
Simon Clarke Excerpts(4 years, 9 months ago)
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Lia Nici (Great Grimsby) (Con)
The Minister of State, Ministry of Housing, Communities and Local Government (Mr Simon Clarke)
Great Grimsby is the Government’s pilot town deal. We are already investing over £40 million across Government to deliver local priorities. We will provide further significant investment through the £3.6 billion towns fund and we have already delivered funding to help to develop local plans for Great Grimsby’s future prosperity and growth.
Mr Clarke
We have introduced a number of measures to address the number of empty shops on high streets, including our Open Doors pilot project, which matches landlords of empty properties with community groups, and a proposed private register for empty commercial properties. We are also cutting the business rates bills of small retailers by 50% from this April for properties with a rateable value of below £51,000. That is an increase from the one third that we have delivered in the current financial year.
Jim McMahon (Oldham West and Royton) (Lab/Co-op)
Today, the Manchester Evening News reports on the findings of the Marmot review, which are truly shocking. It says that life expectancy has fallen for women and stalled for men, the likes of which we have not witnessed for 120 years in England. The richest men now live nine and a half years longer than the poorest and the equivalent figure for women is 7.7 years. The north needs not just a rebalancing of capital, but an investment in human capital. How can any levelling up address the austerity-led crisis so that the poorest do not see a decade stolen from their lives?
Mr Clarke
The hon. Gentleman raises a really important point. Clearly, the process of levelling up is not restricted to that of economic infrastructure; it is also absolutely about making sure that the life chances of individuals are realised to the full. That means, for example, making sure that our skills policy works, and the Government are committed to delivering a new national skills fund—we will announce more about that as part of the Budget process. It also means that it is really important that we get the process of skills devolution right, and we are keen to make sure that we work with strong local mayoral leaders to make sure that they deliver those budgets in a way that makes a real difference. This is clearly a long-term challenge. We need to make sure that we get the right devolution models in place so that such things as the towns fund and the future high streets fund are complemented by comparable work on life chances.
Mark Garnier (Wyre Forest) (Con)
Giles Watling (Clacton) (Con)
The Minister of State, Ministry of Housing, Communities and Local Government (Mr Simon Clarke)
The Government are committed to giving communities across the United Kingdom, including Clacton, real power and investment to drive growth and unleash their full potential. I am pleased that Clacton has progressed to the business case development stage of the £1 billion future high streets fund and will be bidding for capital funding shortly. The South East local enterprise partnership, which covers Clacton, has received £590 million through the local growth fund to drive regional development.
Giles Watling
I thank my hon. Friend for his answer, but I recently asked Cabinet Office Ministers not to overlook coastal communities in the south as we seek to level up between the north and the south. Levelling up is a laudable aim, but we should not overlook places such as Clacton, which, as is well known, has pockets of extreme deprivation. We need real and lasting support there. Can my hon. Friend assure me that the Government’s support for local growth in my area will be the norm rather than a passing fad?
Mr Clarke
I can certainly provide that reassurance. I have vivid memories of the Clacton by-election, when I first met my hon. Friend: I get all the best days out!
The Government are committed to levelling up all regions of our country. I speak as a proud north-easterner, but I am very conscious that deprivation is not limited to the north or to the midlands. It is clearly found in pockets throughout the country. I can absolutely reassure my hon. Friend that wherever those characteristics exist, we will be there to act.
Rob Butler (Aylesbury) (Con)
Andy Carter (Warrington South) (Con)
The Minister of State, Ministry of Housing, Communities and Local Government (Mr Simon Clarke)
We are investing £1.5 billion across the north-west through the local growth fund, including £201 million in Cheshire and Warrington. We have also invited 20 north-west towns, including Warrington, to put forward locally led proposals to draw down up to £25 million from the Government’s towns fund.
Andy Carter
What steps is the Department taking to ensure that local councils prioritise brownfield development over green-belt development and make use of sites such as Fiddler’s Ferry, a coal-fired power station in my constituency that is about to close?
Andrew Bridgen (North West Leicestershire) (Con)
Karl MᶜCartney (Lincoln) (Con)
The Minister of State, Ministry of Housing, Communities and Local Government (Mr Simon Clarke)
We are always up for new ideas. Town deal boards should be business-led and representative of their communities. We provided guidance on their membership and made it clear that we expect to see a business chair and the local MP on the board. We will set out a clear decision-making process for boards to follow.
Debbie Abrahams (Oldham East and Saddleworth) (Lab)
Mr Richard Holden (North West Durham) (Con)
Mr Simon Clarke
I thank my hon. Friend for his question; it is great to have an MP for North West Durham who is committed to fighting hard for his community rather than grandstanding. Our £1 billion future high streets fund is key to levelling up the economy of all parts of the country. There will be a second phase of the fund and we will bring forward further details in due course.
Jeff Smith (Manchester, Withington) (Lab)
Earlier in this questions session, the Secretary of State announced a new homes ombudsman, which will be welcome if it has the right powers. Will he also consider requiring an escrow account for each new build property, so that a proportion of the house price can be withheld until the snagging is completed and remedial work is carried out?
Oral Answers to Questions
Simon Clarke Excerpts(6 years ago)
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James Brokenshire
I welcome the right hon. Gentleman’s positive outlook as we leave the European Union. We will deliver a positive Brexit, looking outwards into the world and at how we have trade deals in the future. We continue to engage with local councils to ensure that we deliver a smooth and effective Brexit.
Mr Simon Clarke (Middlesbrough South and East Cleveland) (Con)
Kit Malthouse
I have done better than that—I have met them. I did so just two weeks ago to discuss their fascinating ideas, not least on how we can make the principle of neighbourhood planning work in urban areas, an issue that I know is of great importance to my hon. Friend.
Non-Domestic Rating (Nursery Grounds) Bill
Simon Clarke ExcerptsTuesday 10th July 2018
(6 years, 4 months ago)
Commons ChamberRead Full debate Non-Domestic Rating (Nursery Grounds) Act 2018 View all Non-Domestic Rating (Nursery Grounds) Act 2018 Debates Read Hansard Text Read Debate Ministerial Extracts
Steve Double (St Austell and Newquay) (Con)
I am delighted to speak in support of a Bill that rights a wrong that was clearly never intended in the first place, and I have the honour of being the Member who first raised this issue when the Local Government Finance Bill was in Committee last year. Unfortunately, however, the Conservative party’s majority was not the only victim of last year’s general election, because that Bill fell at that point and the amendment that was likely to be made to it could not be passed, hence the need for this new Bill.
Plant nurseries play a vital role in this country’s food production supply chain. At a time when we want to increase domestic food supply and become less reliant on imported food, it is right to do all we can to support an important industry and ensure that we do not impose a further tax on producers that would see them struggle with the additional costs. Many of them would face the possibility of going out of business, with the loss of jobs that that would entail. The Bill sets out to put in place what the Local Government Finance Act 1988 always intended and to ensure that the exemption for nurseries continues. It will support our rural economy, ensuring that we support food production and that jobs are retained in the industry. I am therefore pleased to support the Bill to ensure that it becomes an Act as soon as possible.
Mr Simon Clarke (Middlesbrough South and East Cleveland) (Con)
Does my hon. Friend agree that this is a crucial Bill, because it gives hope to so many businesses that underpin life in rural constituencies such as his and mine?
Steve Double
I agree that it is vital to support those important businesses in our rural communities. If the jobs that they provide were lost, it would be difficult to replace them.
Matt Warman (Boston and Skegness) (Con)
It is extraordinary that this House has spent so long talking about doing such a simple thing as undoing the errant court judgment, and I suspect we may even continue talking about it for a few minutes yet. However, that is only fitting, because, as has been said by a number of my hon. Friends, including the Minister, and by the Opposition, we are all here concerned about this issue as we understand the profound impact that a single court judgment could have had, not only on businesses up and down the country, but on the food chain and even on the communities and local economies that those businesses support.
I have talked in the previous debate on this matter about the individual constituency business that came to me to discuss the impact this court judgment would have had, not only on its business and bottom line, but, crucially, on the income to the local internal drainage board. This would have meant that in my constituency, which is the most at risk of flooding in the country, according to the Association of British Insurers, not only would businesses and livelihoods have been affected, as others have said, but, even worse, that huge swathes of the area would have been at greater risk of flooding. That would have posed a real threat to the broader economy, the food chain and huge numbers of people who live in areas at or sometimes below sea level and who rely on those internal drainage boards being able to function.
The Bill is therefore a hugely important tweak to the legislation that was inadvertently altered by the court judgment, and it is a fitting tribute to the change that the previous Minister and this Minister are initiating and seeing through respectively that we have devoted a reasonable amount of parliamentary time to it. However, it is worth pointing out that we would hope in future, in legislation generally, not just in this area, to avoid a single court judgment having the kind of ramifications that this one has had here. We would all like not to put our constituents through the genuine trauma of knowing that the business they work for might face real financial difficulties simply because of a single court judgment. Somewhat unusually, these people in my area may also face the risk of their homes and businesses being flooded, which is an additional factor.
Although it is good that the Government are fixing this and the Opposition parties have co-operated so readily in fixing it, we should also bear in mind that it would have been better not to have found ourselves in this situation in the first place. So my plea to the Minister is to see what he can do, working across the Government—I do not pretend that all the problems are in his Department, by any means—to avoid legislation where we have not thought through all the potential consequences of the precise wording. We spend a lot of time in Bill Committees and in Committee of the whole House going through pieces of legislation line by line, paying close and deep attention to every moment in those Committees, but sometimes such things lay themselves open to unintended consequences, so we would all welcome anything that can be done to try to avoid them.
Clearly, the Government have acted as quickly as they can, given the unfortunate situation with the previous Bill, to bring this piece of legislation back individually, notwithstanding the election interrupting the previous passage of the Local Government Finance Bill. Obviously, that Bill was going to do a number of things far wider than this one and it is clearly the right thing to have adjusted how the legislation has been formatted so that we can do this quickly. It is likely we would have ended up seeing businesses paying large sums and going through significant difficulty only then to be given that money back. Of course it is a good thing that this legislation has been moved on faster than it otherwise might, but I hope that we would all like to avoid this sort of situation in the first place.
I will close simply by saying that I hope the Minister will do all he can to avoid this sort of situation arising again, should he have the opportunity. I re-emphasise how good it is that we have been able to bring this matter to a relatively speedy conclusion and how heartening it is to see so many colleagues discussing a matter that otherwise would have passed with relatively little attention. This is a good example of the Government giving real attention to an important matter and acting quickly to correct a court judgment that was never intended by any previous Government. I welcome the actions that the Minister has taken and, as I said previously, that his predecessor has taken. Perhaps weirdly, I welcome, above all, the co-operation of the Opposition in getting on with this ever so quickly. I hope that the constituents who raised this issue with me see that this is an example of action being taken and are genuinely reassured.
Mr Simon Clarke
It was particularly moving to be in here as we heard the sound of the RAF fly-past a few moments ago to mark 100 years of the RAF. It was 100 years ago this month that my great, great uncle John Headlam was killed while serving in the RAF, so it is nice to be able to pay tribute to his service and sacrifice.
We are a nation of gardeners, and it is important to us all that our nursery sector thrives. It is a particular pleasure to see my hon. Friend the Member for Richmond (Yorks) (Rishi Sunak) on the Front Bench as the Minister today, because my constituency abuts his and it is home to some of the nurseries that I know very well—Cherry Hill and Strikes in Stokesley, which was subject to a recent devastating fire. I know that I speak on behalf of lots of people in my constituency when I say that I hope Strikes is back up and running in its normal place as quickly as possible.
The nursery industry is extremely significant for growing produce for our home market and for ensuring the sustainability of our rural economy. At a time when there is fierce competition from the supermarket and similar sectors, there is no doubt traditional nurseries need all the support they can get that Agricultural land has been exempt from business rates for almost 100 years.
Ben Bradley
I want to pick my hon. Friend up on the point about supporting nurseries and this kind of industry. Does he agree that it would be right for this place to make a plea to our constituents, not just in this area, but across our high streets and in all sorts of other areas, to support independent local businesses such as these nurseries to ensure that they can continue to exist in the future?
Mr Clarke
I thank my hon. Friend for that intervention and he is right in what he says. That is something people really care about, and people often regard these nurseries as a hub in the local community. They are not just another shop; they are often dearly loved, and this fits with the spirit of the time, when people increasingly want to buy local.
Until recently, the exemption that applied in this case had been assumed to be uncontroversial and would fit with the understanding of both rating valuers and practitioners. That was the situation until the 2015 court judgment in the Tunnel Tech case, which was a great mistake. I am delighted that the Government have taken steps to reverse it, as such judicial activism simply is not appropriate. The Bill will ensure that plant nurseries in buildings will once again benefit from the business rate exemption, which restores the law to the same state in which it existed before the Court of Appeal decision. I am pleased that the Bill will apply retrospectively, so that those nursery grounds in England that have been charged business rates will now be refunded.
The Government should be congratulated on acting so swiftly to rectify this wrong and on demonstrating common sense. This is so clearly the right course of action that there is no controversy anywhere in this House, and the Bill has received full support from the NFU. I pay tribute to the NFU, because I know full well the value of the work it does in supporting farmers in rural East Cleveland. Indeed, I had the pleasure of going on a farm visit with the NFU recently to see Capon Hall farm and Peter Humphrey. That is exactly the kind of work the NFU does day in, day out, and it should be saluted.
The legislation needs to be viewed in the broader context of the Government’s commitment and keenness to support our agricultural sector and small businesses, especially those in rural areas. Last week, I spoke out about my deep concerns regarding the future of business rates, but it is worth noting that as a result of measures taken by the Government, more than 600,000 small businesses—occupiers of a third of all properties—now pay no business rates at all. The Government doubled small business rate relief to 100% and raised the threshold from £6,000 to £12,000. At the same time, the Government doubled rural rate relief from 50% to 100% for eligible businesses. Such reliefs are hugely welcome for many small businesses in my constituency.
Anti-Semitism
Simon Clarke Excerpts(6 years, 7 months ago)
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Mr Simon Clarke (Middlesbrough South and East Cleveland) (Con)
I am not Jewish, but my wife’s family is. They helped to rescue people fleeing the Nazis in the years running up to the second world war.
Anti-Semitism is raw, ugly and utterly toxic. As we have heard today, it is a force that is still present in society—albeit adopting, as it always does, new guises in a new era. I pay immense tribute to Opposition and Government Members who have spoken with such courage on this issue today.
The hon. Member for Denton and Reddish (Andrew Gwynne) spoke from the Opposition Front Bench about the Labour party’s moral mission to renew and turn the corner on this issue. The Board of Deputies has pointed out:
“For…the last two years, the Jewish community has been exposed to a constant drip-feed of antisemitism coming from Labour members.”
It also condemned the
“weak, pathetic and slow response from the Labour Party”
in the face of these incidents. May I just say how much I associate myself with the calls for Ken Livingstone to be expelled from the Labour party? He has no place in our national life in any party or in any way anymore.
What does it say about the willingness of the Leader of the Opposition to respond meaningfully to this criticism, when Labour MPs are telling us the stories that we have heard today or feel compelled to join the protestors outside Parliament because there is no hope of change within it? I am convinced that it stems from the fact that the leadership of the Labour party has been captured by the man who, more than any other, embodies the selective blindness of his political beliefs in regard to anti-Semitism. It is worth noticing that, after defending the despicable mural in Tower Hamlets, the Leader of the Opposition condemned himself in his own excuse. He said,
“I didn’t notice the anti-Semitism”.
I believe him, for failing to notice blatant anti-Semitism is precisely the problem. Perhaps he has become immune. The problem is that he sets the tone. I see it in my own constituency. The former Member for Sunderland South, Chris Mullin, tweeted on 26 March:
“Sorry to see Jewish leaders ganging up on Corbyn. Far less anti-semitism in the Labour Party than in other parts of society”,
and this was swiftly retweeted by the chair of the South Middlesbrough Labour party. This will not and must not stand.
I am pleased that the Leader of the Opposition has committed to upping his game, but I ask him: will he now utterly dissociate himself from Hamas and Hezbollah? Is he proud that Salim Mulla, who said that Israel was responsible for both the Sandy Hook massacre and for ISIS, is still representing his party as a councillor in Blackburn? Enough is enough, but it can only change from the top and it must change. Today must mark the turning point.