Oral Answers to Questions

Simon Kirby Excerpts

Tuesday 17th January 2017 Commons Chamber

[Philip Boswell (Coatbridge, Chryston and Bellshill) (SNP)]

8. Whether he has made an assessment of the potential merits of introducing additional rules to ring-fence the operations of US banks in the UK.

[The Economic Secretary to the Treasury (Simon Kirby)]

US banks operating in the UK are regulated by the Prudential Regulation Authority and the Financial Conduct Authority. The UK’s ring-fencing regime applies to all banks operating in the UK that are above the threshold of holding £25 billion of core deposits.

[Philip Boswell]

Does the Minister agree that the likely rolling back of the Dodd–Frank Act in the US, combined with the watering down of banking conduct reform, could result in deregulated American banks with high-risk lending patterns operating in the UK?

[Simon Kirby]

The UK and US financial sectors have significantly increased their resilience since the crisis, and the PRA has the powers it needs to regulate overseas firms operating in the UK to ensure the stability of the UK financial system.

[Mike Wood (Dudley South) (Con)]

What steps are the Government taking to ensure that banks meet the 2019 deadline for separating retail banking from riskier investment banking activity?

[Simon Kirby]

That is well under way and we are keeping a close eye on it.

[Clive Efford (Eltham) (Lab)]

9. What recent assessment he has made of the effect of high levels of household debt on the economy.

--- Later in debate ---

[Stuart Andrew (Pudsey) (Con)]

10. What progress has been made on improving access to online and in-branch banking for carers.

[The Economic Secretary to the Treasury (Simon Kirby)]

Banks are required to treat customers fairly and ensure that vulnerable customers have appropriate access to banking. My hon. Friend and I met recently to discuss this, and I am pleased to hear that both the Financial Conduct Authority and the British Bankers Association have offered to meet my hon. Friend to discuss it further.

[Stuart Andrew]

I am grateful to my hon. Friend for meeting my constituent Annie Dransfield, who, as a carer for her adult son, manages his finances in the hope that he will be able to live as independent a life as possible, but she has real issues trying to access his online banking. Given the increasing number of carers in the country, does my hon. Friend agree that the banking industry should do all it can for these very important customers?

[Simon Kirby]

The FCA and BBA are both looking at ways to make it easier for trusted friends or family to help people to manage their money safely, and I wish my hon. Friend luck with his meetings.

[Jim Shannon (Strangford) (DUP)]

As my brother’s appointee after he suffered severe head trauma in an accident 11 years ago, I can see many avenues by which carers’ time is taken up dealing with red tape. Will the Minister outline his view on how things such as online banking can be kept safe but made simpler for carers with regard to multiple usernames?

[Simon Kirby]

I can assure the hon. Gentleman that we have discussed this. It is the very issue that my hon. Friend the Member for Pudsey (Stuart Andrew) will be discussing with the BBA and the FCA, and the Government are keeping a close eye on it.

[Mr Stewart Jackson (Peterborough) (Con)]

11. What fiscal steps he is taking to increase housing supply in (a) Peterborough and (b) England.

--- Later in debate ---

[Huw Merriman (Bexhill and Battle) (Con)]

T8. The Halifax reports that the number of first-time buyers is at its highest since 2007 and cites Government schemes such as Help to Buy as making a major contribution. What more can the Government do to back aspiration and get more people on the housing ladder?

[The Economic Secretary to the Treasury (Simon Kirby)]

The Help to Buy scheme has helped more than 220,000 households to buy a home, including more than 180,000 first-time buyers. In the autumn statement, the Chancellor announced that the Government will invest an additional £1.4 billion in affordable housing to deliver 40,000 new homes for shared ownership, rent to buy and affordable rent, bringing the total funding of the affordable homes programme to £7.1 billion.

[Patrick Grady (Glasgow North) (SNP)]

Will the Chancellor state unequivocally the Government’s commitment to the 0.7% aid target in this and future spending rounds?

--- Later in debate ---

[Jeremy Quin (Horsham) (Con)]

Alongside other elements driving recent extremely successful purchasing managers’ index surveys were seven consecutive months of export growth. Does the Minister agree that this is a fine way to underpin our already record rates of employment?

[Simon Kirby]

I agree. The PMI surveys show significant resilience in the UK economy since the referendum. The Prime Minister recently made it clear that we will make a success of leaving the EU.

[John Cryer (Leyton and Wanstead) (Lab)]

Given the Chief Secretary’s earlier comments about attempts to stimulate house building, can he guarantee that at the end of this Parliament the supply of rented homes will be larger than it was at the beginning?

--- Later in debate ---

[Yvonne Fovargue (Makerfield) (Lab)]

More than a year ago, the Treasury promised to consult on breathing space to assist people in debt and protect them from interest and other charges while they seek help. In view of the high levels of personal debt, will the Minister commit himself to proceeding with that as a matter of urgency?

[Simon Kirby]

I can tell the hon. Lady that we are looking closely at the issue and will see some progress in the very near future.