(12 years, 7 months ago)
Commons ChamberOrder. Before the hon. Gentleman intervenes, let me make the point that 19 hon. Members are seeking to speak in the debate. If I am to have any chance of accommodating that level of interest, self-restraint—in respect of Front-Bench speeches and the length of interventions—will be essential.
I am mindful of your admonition, Mr Speaker.
I am puzzled by the right hon. Gentleman’s views on household registration, given that the Electoral Commission has said that
“The ‘household’ registration system means there is no personal ownership by citizens of a fundamental aspect of their participation in our democracy—their right to vote”.
Is he saying that he is in favour of household registration, whose removal is at the centre of these reforms, or not?
(12 years, 8 months ago)
Commons ChamberWe are not removing the civic duty, as I think the hon. Gentleman knows. It is not an offence at present not to register to vote. We are maintaining the offence that is on the statute book whereby there is an obligation for people to provide information about voters in their household. That is being kept intact. As to the hon. Gentleman’s first point about the link between the register and crime, the Credit Services Association recently supported the move towards individual electoral registration, saying:
“We believe that the proposed approach will lead to a reduction in financial crime, in particular fraud. In our view any proposal that will result in a reduction of financial crime is to be welcomed.”
5. What steps he is taking to increase participation in elections by service and overseas voters.
I am yet to present a Bill that has had the support of both the Government parties and the Opposition, and I look forward to the opportunity to do so. However, my hon. Friend has made an important point. Lobbying—in other words, the setting out of concerns by businesses, charities, and our constituents—is a perfectly sensible activity. Indeed, legislation is worse when we do not listen to the outside world, and we do not want to damage that position. I hope that when we present our consultation paper, my hon. Friend will find it acceptable. We look forward to what she, and other Members in all parts of the House, have to say about it.
8. What assessment he has made of the potential effects of the introduction of individual electoral registration on the 2015 boundary review.
That study was, of course, paid for by the Government, because we wanted to find out what state the electoral register was in before introducing individual electoral registration. It suggests that those who complacently thought that the register was already in good shape may need to think about that a little more, and also that our proposals, which include data matching and improving registration, are urgently required and will make the register better.
10. What recent progress he has made on reforming the House of Lords; and if he will make a statement.
As Deputy Prime Minister, I support the Prime Minister on a full range of—[Laughter.]
As I was saying, I support the Prime Minister on a full range of Government policies and initiatives, and within Government I take special responsibility for this Government’s programme of political and constitutional reform.
The right hon. Gentleman refers to the reasons why this coalition Government were created—it was to clear up the mess that his party left behind. It is not easy, what we are doing, but it is right. At the beginning of this year, his party had nothing to say about the economy—[Interruption.]
At the beginning of this year, the right hon. Gentleman’s party had nothing to say about the economy. At least they are consistent: they are completing this year with still nothing to say about how to save our economy.
T2. Members on both sides of the House are very concerned about the implications for local communities and community cohesion of the initial proposals from the Boundary Commission. Although I recognise the importance of getting the numbers between constituencies relatively similar, community cohesion is also really important. Will the Deputy Prime Minister reserve the right not to support the Boundary Commission proposals if they are considered against community—
As the hon. Gentleman knows, the whole system has been devised so that it is not in the gift of politicians, still less the Government, to draw lines on the map to decide where these new boundaries are set; that is for the independent boundary commissions. There is a process of consultation and appeal, which is now ongoing. But I am glad he recognises that the principle is a perfectly valid one: that people’s votes should be worth the same weight and esteem, wherever they live in this country.
As he knows, we have legislated to make it quite clear—the Foreign Secretary has pioneered and led on this legislation—that if there were to be a major transfer of power from this House to Brussels and from the UK to the EU, there should absolutely be a referendum. We are the first Government to have guaranteed to the British people that if we give up more power to the EU, they will have their say. I do not think we could be more crystal clear than that.
The Deputy Prime Minister said earlier that there was no criminal sanction on individuals if they failed to register to vote. The only reason that is so is that the obligation rests on the householder, on whom there is a criminal sanction. Does the Deputy Prime Minister accept that as we move towards individual registration, Ministers must reconsider the proposal to allow opting out without any criminal sanction whatsoever?
(12 years, 8 months ago)
Commons ChamberIt may be for the convenience of the House to know that the Backbench Business Committee has recommended that the second of our two debates should last for at least three hours, which means that this first debate should finish no later than 3 pm. It may also be for the convenience of the House to know that I have selected the amendment to the motion in the name of the hon. Member for Aberconwy (Guto Bebb).
(12 years, 8 months ago)
Commons ChamberOrder. It is normally a great pleasure to hear from the hon. Lady, but the Wirral is a little distance away from Calder Valley, to which this question exclusively relates. We will save her up for another occasion.
Order. There are far too many noisy private conversations taking place in the Chamber. The House must come to order.
According to figures published by the Cabinet Office last week, the Deputy Prime Minister has appointed four more special advisers at a cost to the taxpayer of at least £190,000. At a time when the average family is set to lose £320 a year as a result of tax credit changes and at a time when almost everyone is asking what exactly is the point of the Deputy Prime Minister, does the Minister think that this is a good use of public money?
Order. I know that the House wants to hear the right hon. Gentleman’s answer.
I sense that the House is waiting on the edge of its seat for my answer. On 30 November, 146,256 civil servants went on strike, which represents about 30% of the civil service work force. I would like to express my appreciation to the 70% of civil servants who came to work that day as normal.
T7. What contribution are Departments making to greater energy efficiency and reducing carbon emissions following the successful Durban summit?
I think our sympathy is with the Deputy Prime Minister. His partner goes on a business trip and he is left waiting by the phone, but he hears nothing until a rambling phone call at 4 am confessing to a terrible mistake.
How is the Prime Minister going to pick up the pieces of the bad deal he delivered for Britain? The Council came to conclusions on Friday morning, but the treaty will not be signed until March. In the cold light of day, with other countries—[Interruption.]
Order. Some very, very foolish person shouted out “Stop”. The person who did that will stop, because people in this place must be heard. If there is a Member here who does not think so, I invite that Member to leave the Chamber.
First, I make no apologies for standing up for Britain. In the past two days we have read a lot about my opinions and we have read a lot about the Deputy Prime Minister’s opinions; the one thing we do not know is what the right hon. Gentleman would have done. While he was here on Monday his aides were running around the Press Gallery briefing that he would not have signed up to the treaty. Well, here is another try: what’s your answer?
I have no answer on this matter whatsoever—[Interruption.] Order. I am glad the Minister of State, Department of Health, the right hon. Member for Chelmsford (Mr Burns), has returned from his travels. We wish him a merry Christmas, but in his case it should be a quiet one.
There was a better deal for Britain that the Prime Minister should have got, and that is what the Deputy Prime Minister himself says. Here is the truth: last week the Prime Minister made a catastrophic mistake, and this week we discover that unemployment is at its highest level for 17 years. This Prime Minister thinks he is born to rule. The truth is that he is just not very good at it.
Order. I am sure Government Back Benchers want to hear their own colleague, Mr Martin Vickers.
Thank you, Mr Speaker. Yesterday’s announcement about local television was good news for my constituency, where Channel 7, the sole survivor from the original batch, is based. Does the Prime Minister agree that local broadcasting strengthens local communities and advances the big society? If he is in north Lincolnshire in the near future, will he find time to pay Channel 7 a visit?
I am in a generous mood too, and it is always a delight to listen to my colleagues, so we will have a little more.
Earlier this week in the other place, the coalition Government voted down, by a majority of two, a proposal to protect the benefits of disabled children. Is reducing benefits for disabled children by over £1,300 a year something that reflects the Prime Minister’s often repeated mantra that we are all in this together?
First of all, we are not cutting benefits for disabled children. Actually, we are uprating all those benefits by 5.2%, so people will see an increase in the benefits that they receive next year.
The Prime Minister will be aware that capacity levels on the west coast main line are intolerable and getting worse. Does he share the concerns of rail users that delays to High Speed 2 will only make their journeys more unpleasant? Will he provide the assurance that they seek about the future that he promised them?
I am grateful to my hon. Friend for raising that question. Clearly the country has a choice. Because the west coast main line is as congested as it is, we need to replace it with either a traditional line or a high-speed line. It is well known that the Government’s view is that a high-speed line is the right answer. That is why the consultation has been conducted. Not only will it be good for people who use the west coast main line; it will be a successful regional policy that will link up our great cities, shrink the size of our country and ensure that all parts of the country can enjoy economic prosperity and growth.
I appeal to right hon. and hon. Members who are leaving the Chamber to do so quickly and quietly so that we can all listen attentively to the Secretary of State for Environment, Food and Rural Affairs—preferably facing the House or the Chair.
(12 years, 8 months ago)
Commons ChamberOrder. The House must calm itself, taking whatever medicaments are required for the purpose, and the Prime Minister’s statement must and will be heard.
Thank you, Mr Speaker.
I went to Brussels with one objective: to protect Britain’s national interest, and that is what I did. Let me refer to what I said to the House last Wednesday. I made it clear that if the eurozone countries wanted a treaty involving all 27 members of the European Union, we would insist on some safeguards for Britain to protect our own national interests. Some thought that the safeguards I was asking for were relatively modest. Nevertheless, satisfactory safeguards were not forthcoming, so I did not agree to the treaty. Let me be clear about exactly what happened, what it means for Britain and what I see happening next.
Order. I apologise for interrupting the Prime Minister. I hope that Members have now got it out of their system. The statement will be heard. Right hon. and hon. Members on both sides of the House will have ample opportunity to question the Prime Minister, but courtesy and parliamentary convention dictate that the statement will be heard.
Thank you, Mr Speaker.
Let me take the House through the events of last week. At this Council, the eurozone economies agreed that there should be much tighter fiscal discipline in the eurozone as part of restoring market confidence. That is something that Britain recognises as necessary in a single currency. We want the eurozone to sort out its problems. That is in Britain’s national interest because the crisis in the eurozone is having a chilling effect on Britain’s economy too, so the question at the Council was not whether there should be greater fiscal discipline in the eurozone, but how it should be achieved.
There were two possible outcomes: either a treaty of all 27 countries, with proper safeguards for Britain; or a separate treaty in which eurozone countries and others would pool their sovereignty on an intergovernmental basis, with Britain maintaining its position in the single market and in the European Union of 27 members. We went seeking a deal at 27 and I responded to the German and French proposal for treaty change in good faith, genuinely looking to reach an agreement at the level of the whole of the European Union, with the necessary safeguards for Britain. Those safeguards—on the single market and on financial services—were modest, reasonable and relevant. We were not trying to create an unfair advantage for Britain. London is the leading centre for financial services in the world, and this sector employs 100,000 people in Birmingham and a further 150,000 people in Scotland. It supports the rest of the economy in Britain and more widely in Europe.
We were not asking for a UK opt-out, special exemption or a generalised emergency brake on financial services legislation. They were safeguards sought for the EU as a whole. We were simply asking for a level playing field for open competition for financial services companies in all EU countries, with arrangements that would enable every EU member state to regulate its financial sector properly. To those who say that we were trying to go soft on the banks, nothing could be further from the truth. We have said that we are going to respond positively to the tough measures set out in the Vickers report. There are issues about whether this can be done under current European regulations, so one of the things we wanted was to make sure we could go further than European rules on regulating the banks. The Financial Services Authority report on RBS today demonstrates just how necessary that is—[Interruption]—and perhaps instead of talking Opposition Members will remember their responsibility for the mess that they created.
Those who say that this proposed treaty change was all about safeguarding the eurozone, and so Britain should not have tried to interfere or to insist on safeguards, are fundamentally wrong as well. The EU treaty is the treaty of those outside the euro as much as it is for those inside the euro, so creating a new eurozone treaty within the existing EU treaty without proper safeguards would have changed the EU for us, too. It would not just have meant a whole new bureaucracy, with rules and competences for the eurozone countries being incorporated directly into the EU treaty; it would have changed the nature of the EU—strengthening the eurozone without balancing measures to strengthen the single market.
Of course, an intergovernmental arrangement is not without risks, but we did not want to see that imbalance hard-wired into the treaty without proper safeguards. To those who believe that that was not a real risk, I tell them that France and Germany said in their letter last week that the eurozone should work on single market issues such as financial regulation and competitiveness. That is why we required safeguards, and I make no apology for it.
Of course, I wish those safeguards had been accepted, but frankly I have to tell the House that the choice was a treaty without proper safeguards or no treaty—and the right answer was no treaty. It was not an easy thing to do, but it was the right thing to do. As a result, eurozone countries and others are now making separate arrangements for the fiscal integration that they need to solve the problems in the eurozone. They recognise that this approach will be less attractive, more complex and more difficult to enforce, and they would prefer to incorporate the new treaty into the EU treaties in future. Our position remains the same.
Let me turn to what this means for Britain. Britain remains a full member of the European Union, and the events of the last week do nothing to change that. Our membership of the EU is vital to our national interest. We are a trading nation, and we need the single market for trade, investment and jobs. The EU makes Britain a gateway to the largest single market in the world for investors; it secures half of our exports and millions of British jobs; and membership of the EU strengthens our ability to progress our foreign policy objectives, too, giving us a strong voice on the global stage on issues such as trade and, as we have seen in Durban this week, climate change and the environment.
So we are in the European Union and we want to be. This week there will be meetings of the Councils on Transport, Telecommunications and Energy, and Agriculture and Fisheries. Britain will be there as a full member of each one, but I believe in an EU with the flexibility of a network, not the rigidity of a bloc. We are not in the Schengen no-borders agreement, and neither should we be, because it is right that we use our natural advantage as an island to protect ourselves against illegal immigration, guns and drugs; we are not in the single currency, and while I am Prime Minister we will never join; we are not in the new euro area bail-out funds, even though we had to negotiate our way out of them; and we are not in this year’s euro-plus pact.
When the euro was created, the previous Government agreed that there would need to be separate meetings of eurozone Ministers, and it is hardly surprising that those countries required by treaty to join the euro chose to join the existing eurozone members in developing future arrangements for the eurozone. Those countries are going to be negotiating a treaty that passes unprecedented powers from their nation states to Brussels. Some will have budgets effectively checked and re-written by the European Commission. None of this will happen in Britain. But, just as we wanted safeguards for Britain’s interests if we changed the EU treaty, we will continue to be vigilant in protecting our national interests.
An intergovernmental treaty, while it does not carry with it the same dangers for Britain, is none the less not without risks. The decision of the new eurozone-led arrangement is a discussion that is just beginning. We want the new treaty to work in stabilising the euro and putting it on a firm foundation. I understand why they would want to use EU institutions—but this is new territory and does raise important issues that we will want to explore with the euro-plus countries. So in the months to come we will be vigorously engaged in the debate about how institutions built for 27 should continue to operate fairly for all member states, Britain included. The UK is supportive of the role of the institutions, not least because of the role they play in safeguarding the single market, so we will look constructively at any proposals with an open mind. But let us be clear about one thing: if Britain had agreed treaty change without safeguards, there would be no discussion. Britain would not have proper protection.
Finally, let me turn to the next steps. The most pressing step of all is to fix the problems of the euro. As I have said, that involves far more than simply medium-term fiscal integration, important though that is. Above all, the eurozone needs to focus, at the very least, on implementing its October agreement. The markets want to be assured that the eurozone firewall is big enough, that Europe’s banks are being adequately recapitalised, and that problems in countries like Greece have been properly dealt with. There was some progress at the Council, but far more needs to be done. The eurozone countries noted the possibility of additional IMF assistance. Our position on IMF resources remains the one I set out at the Cannes G20 summit. Alongside non-European G20 countries, we are ready to look positively at strengthening the IMF’s capacity to help countries in difficulty across the world. But IMF resources are for countries, not currencies, and cannot be used specifically to support the euro—and we would not support that.
There also needs to be greater competitiveness between the countries of the eurozone. To be frank, the whole of Europe needs to become more competitive. That is the way to more jobs and growth. Many eurozone countries have substantial trade deficits as well as budget deficits. If they are not to be reliant on massive transfers of capital, they need to become more competitive and trade out of those deficits. The British agenda has always been about improving Europe’s competitiveness, and at recent Councils we have achieved substantial progress on completing the single market in services, opening up our energy markets, and exempting micro-businesses from future regulations. This has been done by working in partnership with a combination of countries that are in the eurozone and outside it. Similarly, on this year’s EU budget, it was Britain, in partnership with France, Germany and Holland, that successfully insisted on no real increases in resources—for the first time in many, many years in the EU.
On defence, Britain is an absolutely key European player, whether leading the NATO rapid reaction force or tackling piracy in the Indian ocean. Our partnership with France—[Interruption.]
Order. I apologise for having to interrupt the Prime Minister. Those on the Opposition Front Bench, at the moment, are making the most noise. [Interruption.] Order. This is not acceptable. The Leader of the Opposition will have an opportunity to reply on behalf of the Opposition, and his colleagues must conduct themselves with a degree of reserve.
Thank you, Mr Speaker.
Our partnership with France was crucial in taking successful action in Libya. Britain will continue to form alliances on the things we want to get done. We have always had a leading role in advocating the policy of enlargement and, at this Council, we all celebrated the signing of Croatia’s accession treaty. That was one European treaty I was happy to sign.
Let me conclude with this point. I do not believe there is a binary choice for Britain: that we can either sacrifice the national interest on issue after issue or lose our influence at the heart of Europe’s decision-making processes. I am absolutely clear that it is possible to be a full, committed and influential member of the European Union but to stay out of arrangements where they do not protect our interests. That is what I have done at this Council. That is what I will continue to do as long as I am Prime Minister. It is the right course for this country. I commend this statement to the House.
May I start by thanking the Prime Minister for his statement? We all note the absence of the Deputy Prime Minister from his normal place.
The reality is this: the Prime Minister has given up our seat at the table; he has exposed, not protected, British business; and he has come back with a bad deal for Britain. The Prime Minister told us that his first priority at the summit was to sort out the eurozone, but the euro crisis is not resolved. There is no promise by the European Central Bank to be the lender of last resort, there is no plan for growth and there is little progress on bank recapitalisation. Will he first tell us why his promise of action did not materialise and what that will mean for the British economy in the months ahead? At the summit that was meant to solve these problems, the Prime Minister walked away from the table.
Let me turn to where that leaves Britain. Many people feared an outcome of 17 countries going it alone. Few could have anticipated the diplomatic disaster of 26 going ahead and one country—Britain—being left behind. The Prime Minister rests his whole case on the fact that 26 countries will not be able to use the existing treaties or institutions. That is apparently the win that he got for this country. However, can he confirm that article 273 of the treaty on the functioning of the European Union allows those countries to use the European Court of Justice? No doubt they will end up using the Commission’s services and, yes, even the buildings—the point that he made in the negotiations. In case anyone had any doubt, that was confirmed yesterday by the absent Deputy Prime Minister, who said:
“Well it clearly would be ludicrous for the 26, which is pretty well the whole of the European Union…to completely reinvent…a whole panoply of new institutions.”
The Prime Minister will not even be sent the agenda for the meetings that will start in January. He will read about decisions affecting British business in the pages of the Financial Times.
The Prime Minister’s next claim was that he did not want to sign up to the fiscal rules being imposed on euro area countries. Can he confirm that no one even proposed that those would have applied to Britain? The next claim in his statement was that he did what he did because the treaty posed a grave threat to our financial services industry. However, over the whole course of the weekend, he has been unable to point to a single proposal in the proposed treaty that would entail the alleged destruction of the City of London. Will he tell us what the threat was?
In any case, there is nothing worse for protecting our interests in financial services than the outcome that the Prime Minister ended up with. Will he confirm that he has not secured one extra protection for financial services? The veto on financial services regulation—he did not get it. The guarantees on the location of the European Banking Authority—he did not get them. Far from protecting our interests, he has left us without a voice.
The sensible members of his party understand that as well as anyone. What did Lord Heseltine say—[Interruption.] Oh, how significant! That is what the Tory party now thinks of Lord Heseltine. What did he say at the weekend?
“You can’t protect the interest of the City by floating off into the middle of the Atlantic.”
It is no longer the Conservative party of Lord Heseltine; it is the Conservative party of the hon. Member for Stone (Mr Cash), who went out on Friday saying that this was exactly what he had always wanted.
What about the rest of British business, which the Prime Minister does not seem to have been thinking about? The danger is that the discussions about the single market, on which it relies, will now take place without us. Only this Prime Minister could call that leadership. The Deputy Prime Minister clearly does not agree with him. He said that the outcome leaves Britain “isolated and marginalised”. Does the Prime Minister agree with that assessment? How can he expect to persuade anybody else that it is a good outcome when he cannot persuade his own deputy?
The Prime Minister claims to have wielded a veto. Let me explain to him that a veto is supposed to stop something happening. It is not a veto when the thing that you wanted to stop goes ahead without you. That is called losing. That is called being defeated. That is called letting Britain down. I have not finished with the Prime Minister yet. Next, I want to ask him—[Interruption.]
Order. I am worried about the health of the right hon. Member for Mid Sussex (Nicholas Soames). He must calm himself and have a lie down, if necessary, while we listen to the Leader of the Opposition.
Next, I want to ask the Prime Minister about how he ended up with this outcome. The proposals he tabled, when he tabled them and his failure even to try to build alliances for them suggest someone who did not exactly want a deal. Can he confirm that what he actually proposed was to unpick the existing rules of Lady Thatcher’s Single European Act as regards the internal market? Given that those proposals would have changed 25 years of the single market, why did he make them in the final hours of the summit?
Where were the Prime Minister’s allies? If he wanted a deal, why did he fail to build alliances with the Swedes, the Dutch, the Poles and Britain’s traditional supporters? If he really did want to protect the single market and financial services, why did he not seek guarantees that those issues would be discussed only with all 27 members in the room?
In any case, the Prime Minister should not have walked away, because the truth is—[Interruption.] Just calm down. The truth is, the treaty will take months and months to negotiate. Other countries have carried on negotiating and carried on fighting for their national interest. The real answer is this: he did not want a deal, because he could not deliver it through his party. He responded to the biggest rebellion of his party in Europe in a generation by making the biggest mistake of Britain in Europe for a generation.
So this is a bad deal, which we ended up with for bad reasons, and it will have long-lasting consequences. It is a decision that means we are on the sidelines, not just for one summit but for the years ahead. The Prime Minister said in this House on 24 October that what mattered
“is not only access to that single market but the need to ensure that we are sitting around the table”.
He went on:
“That is key to our national interest, and we must not lose that.”—[Official Report, 24 October 2011; Vol. 534, c. 38.]
Well congratulations, Prime Minister, that is exactly what you have done. He has done what no Prime Minister ever thought was wise—to leave the room to others, to abandon our seat at the table.
The Prime Minister says he had no choice. He did. He could have stayed inside and fought his corner; he should have stayed inside and fought his corner. Faced with a choice between the national interest and his party interest, he has chosen the party interest. We will rue the day this Prime Minister left Britain alone, without allies, without influence. It is bad for business, it is bad for jobs, it is bad for Britain.
A lot of sound and fury, but one crucial weakness—the right hon. Gentleman has not told us whether he would sign up to the new treaty. He had about 15 minutes, and he could not tell us whether he is for it or against it. Has it got enough safeguards in it, or has it got too few safeguards? Would a Labour Government back it, or would they veto it? Let me tell him: if you cannot decide, you cannot lead.
Inasmuch as there were some specific questions, let me try to answer them. The right hon. Gentleman asks what the threat was to financial services. Why cannot he understand that if you allowed a new treaty of 17 members within the EU, without proper safeguards, huge damage could be done to the single market and to financial services? He asks what will happen when this new organisation goes ahead. Of course, a new organisation cannot do anything that cuts across the existing treaties or the existing legislation, so he does not even understand how the European Union works.
The right hon. Gentleman asks what we gained from the veto. I will tell him: we stopped Britain signing up to a treaty without any safeguards. That is what we gained.
On the issue of the City and financial services, the right hon. Gentleman completely fails to understand that this is a nationwide industry. It is not just the City of London; it is the whole of our country. I have to say, there was not a word about the report today showing that Labour was to blame for the appalling regulation of the Royal Bank of Scotland. Then, of course, we had a lecture—[Interruption.]
Order. Members must calm down. I have my eye on one hon. Gentleman from the north of England who entered the House 32 years ago and should know better.
Of course, then we had a lecture on how to negotiate. I have to say that I am not going to take any lessons from people who gave in time after time to the comfy consensus rather than ever stand up for Britain. Just look at the record: the previous Government joined a bail-out scheme even though it was not protecting a currency that they were a member of; they gave up the rebate even though they got nothing in terms of the reform of agriculture; and they signed up to the Lisbon treaty but never had the courage to put it to the British people. Every time, they just go along with what others want.
The Leader of the Opposition also talked about growth and jobs. Let me just say this: his plan, alone in Europe, is to spend more, borrow more and increase debt by more. All the while, if he wants to join the euro, he needs to understand that the treaty that is being established would actually make that illegal. The very thing he wants to do in Britain he wants to ban in Brussels.
But the key question the right hon. Gentleman cannot answer is this: does he back this treaty or not? If the answer is yes, he should have the courage to say so. If the answer is no, he should have the honesty to say that I was right to keep Britain out of it. And let me just say this: just because the right hon. Gentleman is in opposition does not mean that he should oppose Britain’s interests.
For all the right hon. Gentleman’s experience, I think that he is very naive about what is happening in Europe over financial services. Time and again—[Interruption.]
Order. Members must calm themselves. I am concerned for them, and I also feel that the Prime Minister must be heard.
There have been any number of examples of frankly discriminatory legislation against financial services in the European Union that have affected Britain very badly. Let me give the right hon. Gentleman one example. At the moment, the ECB is taking Britain to court on the basis that we should not be able to clear euros through London. So we would be put in the extraordinary position that banks in Britain could clear Swiss francs, dollars and yen, but—even though we are in the single market—we could not clear euros. That is one example of discriminatory legislation. When you are faced with a situation in which the 17 eurozone members want to go into a further treaty within the European Union, with all the powers and force that would have—[Interruption.] They are not going to have a treaty within the European Union: they are doing it outside—it is right to seek safeguards. That is why the right hon. Gentleman is naive not to understand that.
I am afraid that I missed the beginning of the right hon. Gentleman’s question.
Will the Basel III regulatory regime for financial services apply in the United Kingdom?
Order. If I am to accommodate the large number of Back Benchers, as I always wish to do, we will require brevity, a textbook example of which will now be provided by Mr Chris Bryant. [Laughter.]
I think, Mr Speaker, that that was an example of irony.
The single most important thing that our voters have seen over the past weeks and months has been the crisis in the economies across the whole of Europe, which is depressing the economy in this country as well. They want to ensure that they have jobs to go to next year. Last week, the Prime Minister surrendered an opportunity to do that; he surrendered his seat; and he surrendered to his Back Benchers. Is he not ashamed of himself?
Given that we are facing the worst financial crisis in living memory, does the Prime Minister agree with me that the UK coalition Government have a policy for dealing with it and that unfortunately the eurozone does not? What we now need, surely, is to work in parallel to ensure that we have outcomes that are not divergent, but deliver a strong pound and a strong euro.
Given the current economic crisis in Europe, does the Prime Minister believe that the Europe 2020 strategy still has a future as a successor to the Lisbon benchmarks, and is he confident that we will achieve those shared goals?
Order. Short, single-sentence questions and the Prime Minister’s characteristically pithy replies would enable me to get in all Members who are still standing. I ask them to help me to help them.
I have received an important message to pass on to the Prime Minister: “The efforts of the Prime Minister on Thursday night gave me great pleasure. Yours ever, Mrs Bone.”
Order. The House will want, without exception, I hope, to hear Mr Graham Stringer.
Thank you, Mr Speaker.
Europe would not be in the economic and political mess that it is in now if we had not had to wait nearly 40 years before a British Prime Minister came back and said that he or she had used the veto. Can the Prime Minister tell us how, and when, he is going to repatriate some of the powers that have been so carelessly given away?
I am very grateful to my hon. Friend for looking at Twitter or whatever else it is that the Leader of the Opposition now uses. I gather that it is possible for the Leader of the Opposition to come back on that. Perhaps he can confirm whether he would have signed the treaty. I am happy to give him a few more minutes if we get a bit of clarity.
I think that the sensible approach, in conformity with convention, is to stick to questions to and answers from the Prime Minister in this Chamber.
In the words of one business leader today,
“Margaret Thatcher was a constant thorn in the side of European leaders, but she never vacated the negotiating table; I am anxious by the implications of what the prime minister has done.”
When will the Prime Minister give business in this country the reassurance that it needs about the impact that his walking away will have on jobs and the economy?
Order. I simply say—[Interruption.] Order. I am perfectly capable of handling these matters myself. If I wanted help, I certainly would not ask Back Benchers of any party, or anybody else for that matter.
I simply say to the hon. Gentleman that he asked his question earlier, and it was perfectly in order for him to do so, but we are here discussing the European summit and the Prime Minister’s statement on it. The hon. Gentleman is an ingenious fellow—
Order. I am being helpful to the hon. Gentleman. I have known him since we were at university together 29 years ago, and I have probably forgotten more about him than he knew in the first place. I am being kind to him and he has said enough for today. He can use other methods to get his point across, and I am sure that he will.
It is only the tough action taken by my right hon. Friend’s Government to tackle our own deficit that has made us a safe haven in Europe and given us a choice last week. Is it not the case that if we had followed the economic policies advocated by the Opposition, it would not be the eurozone asking us for help, but us going to beg Europe to bail us out?
I thank my hon. Friend, who has made a number of sacrifices on my behalf over the last 18 months, one of which is waiting to the very last in this marathon question session. I am delighted that he believes that we have done the right thing for Britain and for Brighton, and I praise him for his very hard work in his constituency.
I am extremely grateful to the Prime Minister and other colleagues, as 101 Back Benchers had the opportunity to question the Prime Minister in the 88 minutes of exclusively Back Bench time on this statement. I thank colleagues for their co-operation.
(12 years, 8 months ago)
Commons ChamberWith permission, I would like to update the House on today's public sector strike action, which is about long overdue reforms to public sector pensions.
I start by thanking the large majority of public servants who have turned up for work today as normal. The low response to the call for strike action reflects their dedication to their public service calling. It also reflects the recognition that taking strike action while negotiations continue on an almost daily basis is nothing short of irresponsible, inappropriate and untimely. It is plain wrong.
This strike is about long-overdue reforms to public sector pensions. I repeat that we want public sector workers to continue to have access to pension schemes that are among the very best available. They will continue to be defined benefit schemes, delivering a guaranteed pension, index-linked and inflation-proofed. Such schemes have all but disappeared from the rest of the work force.
Reform, however, is urgently needed. The cost of public service pensions has increased by a third in the past 10 years to £32 billion a year, and the Office for Budget Responsibility forecasts that, without reform, spending on public sector pensions will rise by nearly £7 billion over the next five years. Life expectancy is rising, and people are living longer, so in future people will work longer, for a better balance between life spent in work and life in retirement. Most public sector staff, except the lowest-paid, will pay more for a fairer balance between what they pay towards their pensions and what other taxpayers pay.
During the discussions, we have been willing to listen to the concerns of staff, and we have responded. On 2 November, after months of negotiations, my right hon. Friend the Chief Secretary set out in Parliament a revised offer that was more generous by 8%. In addition, we have made sure that any public sector workers within 10 years of retirement will be able to retire on their current terms. We are also protecting the lower paid. Public sector staff earning less than a full-time equivalent of £15,000 will not have to pay anything extra at all, and there will be limited increases and contributions for those earning, on a full-time basis, between £15,000 and £21,000. We think that that is fair.
The offer on the table is, by any standards, a generous one. It is a deal that most people in the private sector could only dream of being offered. Most staff on low and middle incomes will retire on a pension as good as what they expect today, and for many it will be even better.
The changes to the pension schemes will particularly protect women, who form the majority of the public sector work force, many of whom are on lower pay. A move from final salary schemes to career average will secure fairer outcomes for lower-paid workers, most of whom are women. The new schemes will also protect future generations from an unsustainable burden placed on them by unaffordable public sector pensions.
It is simply not true that the Government are not negotiating. I was surprised to hear the Leader of the Opposition repeating that claim today. Only yesterday there were discussions with the civil service unions on the civil service pension scheme; tomorrow there will be discussions with the teaching unions, and on Friday with the health unions. After the new offer was made on 2 November, it was agreed, at the request of the TUC, that discussions would continue on the schemes—so it is within the sectoral schemes that the discussions are taking place, at the specific request of the TUC. In addition, there are frequent—[Interruption.] The shadow Chancellor asks from a sedentary position whether we have met the TUC. The answer is yes. [Hon. Members: “You!”] So, contrary to—[Hon. Members: “You! You!”] I will say to—
Order. The right hon. Gentleman will resume his seat. The Minister has, perhaps understandably, been provoked into a response, but questions, of whatever kind, relating to his statement must follow the statement. We cannot have constant sedentary interjections. I appeal to Members to stop doing that, and if it happens, I suggest that the Minister blithely ignore it.
As always, Mr Speaker, I will do as you encourage me to.
Contrary to claims being made this morning by trade union leaders—and by the Leader of the Opposition and the shadow Chancellor—talks are very much alive. They are intensive and they are making good progress. I deeply regret the misleading claims to the contrary.
All this underlines how indefensible today’s strike is while talks at scheme level are moving forward. It is inappropriate, untimely and irresponsible. The ballots for strike action, particularly in the bigger unions, had a turnout of between a quarter and a third—a very low turnout indeed. Our latest data suggest that, as of 11 am today, 135,000 civil servants—well below a third, indeed not much more than a quarter, of civil servants—were on strike. Most civil servants are going to work today as normal.
We have put in place rigorous contingency plans to ensure that, as far as possible, essential public services are maintained during such periods of industrial action. I have an update on what my right hon. Friend the Prime Minister said a few minutes ago: only 16 of the 930 jobcentres are now closed to the public, and UK borders are open and operating with only very minor delays in some seaports. In the airports services are being maintained. I pay tribute to all the dedicated people who are keeping those borders both secure and open.
Across the other sectors the impact has been varied. According to estimates early this morning, across all state-funded schools in England, some 60% are closed but a great many are open or partially open. I am very grateful to those who have worked hard to keep their schools open across the country—head teachers, governors, support staff and teachers, all of whom may have concerns about their own pensions but have chosen to put the needs of pupils and parents above their own to minimise the impact of this strike. I deeply regret the fact that there will have been disruption to the lives of so many hard-working parents across the country, and to hard-working pupils, many of whom are facing mock exams in the near future; they need a closed school like they need a hole in the head.
Overall, the national health service is coping well with industrial action. Early indications are that the strike is having only a minor impact on patient services, and that has largely been mitigated by robust contingency planning. Several trusts have been forced to make cancellations of elective surgery, which is deeply unfortunate and I deeply regret it, but many organisations in the health service are reporting that they are operating at near normal levels. There is some disruption taking place in the local government sector, but councils have worked hard to secure essential services in areas such as dementia care and homelessness, to protect some of the most vulnerable members of the public from the most serious potential impacts of strikes.
Let me finish by saying this: I have huge respect for the dedicated women and men who keep our public services running. Their work is demanding, essential and highly valued. They deserve to be able to retire on decent pensions. Our reforms will ensure that their pension schemes will be decent, and that they can be sustained for the future. They deserve no less.
I thank the Minister for his courtesy in letting me have advance sight of the statement, which I received 20 minutes ago.
Clearly, the whole House regrets that industrial action is taking place today and that millions of families now face disruption to the services on which they rely and depend. Strikes are always a sign that negotiations have broken down, and if a deal is to be reached it is essential that both sides—let us be clear that that includes the unions, but the bulk of the responsibility lies with the Government—get around the negotiating table and show willingness to give ground.
Is it not true that the Government bear the greatest burden of responsibility for what is happening today? We accept that there is a need to continue the reform of public service pensions, which we in fact began when we were in office. We found the unions to be tough but ultimately reasonable negotiators. and we achieved a settlement without any industrial action.
The Government refer to Lord Hutton. He provided rigorous analysis of the current situation, laid out the ground rules for the negotiations, and persuasively argued that there was a need for further change. For example, he was right when he suggested we should look again at career average schemes, which might be fairer in many cases.
The unions need to show they accept the need for change, and indeed they have said they accept the continued need for negotiation and further change. The Government arbitrarily announced a 3p in the pound levy on the incomes of public sector workers, but this imposition has nothing whatever to do with Hutton. Is it not the case that the money that will be garnered from that 3p is not going to the pension schemes but is instead going into the pockets of the Chancellor of the Exchequer? The Minister says negotiations are ongoing, but will he tell us whether or not the 3p imposition, which is a form of tax on public sector workers, is negotiable? It clearly is not in the Government’s mind. Will he also respond to the question about when he last met the unions as part of the negotiation, and when Treasury Ministers last met them, as the leader of Unison said today he had not met them at all since 2 November? It is remarkable that the Government can say negotiations are ongoing when the key Departments have never met the trade unions.
At the core of today’s industrial action are 750,000 low-paid workers. These people provide daily services to all of us and to all the people we serve in our constituencies. They are mainly women, they are almost exclusively low paid, and they provide the essential services on which our whole country depends: they are school dinner ladies, teachers, nurses and others. The House must not underestimate the difficult decisions each of those people must make in deciding whether to take action. Many of them never thought, when they entered the service of the public, that they would have to go on strike. It is a difficult personal decision for each of them, and I assure the House that they take it only with the greatest reluctance. They feel a burning sense of injustice that, low paid though they are, an additional burden is now being imposed on them. Equally, they face a significant deterioration in their pensions, which is why 750,000 low-paid workers—mainly women—have taken that difficult personal decision.
There is a risk that many of those people will opt out of their pensions.
Order. May I gently say that I know that in pretty short order the shadow Minister will want to come to his questions on the statement?
I thought I was asking questions as I was going along.
What estimate have the Government made of the number of people who might opt out of their pension schemes, and what damage might the schemes incur?
It has been suggested that the Prime Minister thinks he can gain political advantage from the strike. He told The Daily Telegraph that he was delighted that a strike would take place. What is the Minister’s strategy? Will he and the Treasury again meet the trade unions to begin negotiations? We have consistently argued that negotiations should be ongoing. Will he call the unions today to ask for meetings tomorrow?
Let me turn to the disruption that has been caused today. How many people are staffing the borders? Will the Minister confirm that there has been no relaxation of border checks?
This is a strike that did not need to happen—nobody wants strikes. The Government must show that they are willing to negotiate sensibly.
Order. I gently say to Whips, wherever they are in the House, that the House is best served when they go about their Protean tasks quietly. On the whole, the House is greatly nourished if they are seen and not heard.
May I deal with the point about the negotiations? I thought I had made it as clear as possible that, at the TUC’s request, the negotiations are continuing in the scheme sector talks. [Hon. Members: “Are you going to meet them?] I have met them—[Hon. Members: “When?] Since 2 November. We conduct many of the negotiations in private—at the request of the TUC. [Interruption.] If Labour Members want to know when the meetings took place, I shall give them the TUC’s telephone number. Let me be absolutely clear: I shall not disclose what the contacts are—at the express request of the TUC. Okay? If they want me to be explicit about the contacts, rather than attacking me they should talk to the TUC. I think they probably know the number.
The shadow Minister asked whether I would call the unions today to suggest a meeting. He is a bit slow on the uptake: I called them yesterday to make that suggestion. I make it absolutely clear that my right hon. Friend the Chief Secretary and I are ready at any stage to meet the TUC. We have done so consistently over the whole period, but at the request of the TUC the discussions are continuing in the four sector schemes and are making good progress. That is why this strike is so indefensible, so unjustifiable, so irresponsible. Luckily, not that much damage will have been inflicted on the economy, because most public servants have chosen to work today as normal. But that has nothing to do with the attitude of the Labour party or of some trade union leaders.
I was asked about the Labour Government’s public sector pension reforms. The shadow Minister made a point about full-time equivalence—the basis on which the previous Government put in place their public sector pension reforms. We have simply followed what they did. I can tell the House that 750,00 low-paid workers will not lose at all—they will not pay a penny more in contributions, because they are below the threshold we have set—and 85% of them are women. It would be useful if the hon. Gentleman confirmed those figures.
The other thing to say about the Labour Government’s pension reforms is that, at the behest of their paymasters in the trade unions, they bottled out of putting in place the long-term reform that makes these changes sustainable. That is why Lord Hutton, Labour’s former Work and Pensions Secretary, recommends all these proposals and reforms, which will make the arrangements we arrive at in the discussions sustainable for a generation. No Government over the next 25 years should have to revisit pension schemes, which we have had to do because the previous Government bottled it.
Order. Many Members are seeking to catch my eye. There is another statement to follow, and I remind the House that we have an Opposition day debate too. There is therefore a premium on brevity, the exemplar of which will be Mr David Ruffley.
Three out of four of my constituents work in the private sector for middling incomes, and they tell me that they would have to put one third of their earnings into their pension to get the benefits that people on strike today enjoy on retirement. Does the Minister agree that the public sector pensions settlement is not only incredibly affordable but incredibly fair?
Order. It is also absurd to suppose that we can accommodate everyone unless questions and answers are significantly shorter.
The Minister has consistently refused to address the issue of low-paid part-time workers and the extra contribution they will have to make on a pro rata basis. Does he deny that those people—many of them the lowest-paid women working in the public sector—will be more affected than others?
Order. The hon. Gentleman must calm himself. There will be an opportunity for points of order, but it does not arise in the middle of a statement.
Far from having the views about public sector workers that the hon. Member for Derby North (Chris Williamson) wrongly attributes to me, all of us in this House have dedicated ourselves to public service. We know that this is an honourable calling and we know how dedicated are the 6 million public sector workers. I commend the 75% to 80% of public sector workers who have ignored the irresponsible call for strike action and gone to work today as usual.
(12 years, 9 months ago)
Commons ChamberI beg to move, That the clause be read a Second time.
With this it will be convenient to discuss the following:
New clause 2—Local authority strategies—
'(1) Section 4 of the Local Government Act 2000 (strategies for promoting wellbeing) is amended as follows.
(2) After subsection (1) insert—
“(lA) A local authority’s sustainable community strategy must include—
(a) their proposals in connection with promoting engagement in social enterprise in their area; and
(b) a statement of measures proposed for enabling persons or bodies engaged in social enterprise in their area and such other persons as they consider appropriate to participate in the implementation of the proposals referred to in paragraph (a).”.
(3) After subsection (4) insert—
“(4A) For the purposes of this section a person or body is engaged in social enterprise if—
(a) the person or body is carrying on a business;
(b) the business’s activities are being carried on primarily for a purpose that promotes or improves the social or environmental wellbeing of the United Kingdom, whether the purpose is pursued in relation to all or any part of the United Kingdom or all or any of the persons resident or present in it; and
(c) the greater part of any profits for distribution is applied for such a purpose.’”.
New clause 3—Annual report to parliament—
'(1) The Secretary of State must prepare and publish an annual report on the operation of the Government’s strategy for social enterprises in the preceding year and must lay a copy of the report before Parliament.
(2) The Secretary of State must, during the preparation of each report, consult—
(a) the National Audit Office;
(b) the Charity Commission;
(c) Co-ops UK;
(d) the National Council for Voluntary Organisations;
(e) Social Enterprise UK;
(f) the Association for Chief Executives in Voluntary Organisations;
(g) the Office for National Statistics; and
(h) such other organisations or persons as the Secretary of State considers appropriate.
(3) Each report must include statistics on the performance of social enterprises.’.
Amendment 1, in clause 1, page 1, line 3 after first ‘of’, insert ‘goods and’.
Amendment 2, in clause 4, page 3, line 36, after ‘Services (’, insert ‘Social Enterprise and’.
Amendment 3, in title, line 1, at beginning insert—
‘To require the Secretary of State and local authorities to publish strategies in connection with promoting social enterprise; to enable communities to participate in the formulation and implementation of those strategies;’.
Amendment 4, in title, line 1, leave out from ‘Require’ to ‘and’ in line 2 and insert
‘that public sector contracts include provisions relating to social outcomes and social value;’.
I congratulate the hon. Member for Warwick and Leamington (Chris White) not only on his choice of subject but on the way in which he has steered the Bill through the House thus far.
The Opposition want a comprehensive change programme to boost social enterprise further. I hope to set out this morning a more ambitious approach to the Bill than the Government and the Minister, sadly, have been willing to countenance so far, but before I do so let me explain how my amendments seek to build on some of the issues raised in Committee.
In new clause 1, I have sought to respond to the appetite shown in Committee for more certainty about the definition of social enterprises, and in particular how an asset lock might be worked into the Bill. In new clause 3, I have sought to provide a clear means of encouraging the Government to be accountable for their work in social enterprises. Amendment 1 offers the Minister an opportunity to clarify the arguments that he used in Committee to justify the limited scope of the Bill in relation to commissioning.
In Committee, we had an interesting discussion about the merits or otherwise of a national strategy for social enterprise. I fear that the absence of a clear requirement for such a strategy poses the risk of a loss of momentum behind the sector when ministerial attention is diverted, as it inevitably will be. An example is the point of order on which you ruled earlier, Mr Speaker. No doubt ministerial attention has been diverted, quite rightly, to youth unemployment and the return of the future jobs fund in another guise. There is a risk that other issues might also divert Ministers’ attention from their commitments to social enterprises in the future, and a clear strategy would help to avoid any such loss of focus and interest.
I fear that things that could and should be done by other Whitehall Departments to help social enterprises cannot be done without a requirement for a cross-Whitehall strategy. I fear, too, that some parts of the country will miss out, and that many communities that could and should benefit from what social enterprise can offer will not be able do so because of the absence of a clear strategy framework for Whitehall’s work.
The Minister claimed in Committee that there was a strategy for social enterprise, and cited social investment as one part of that strategy. I must point out gently to him that he did not seem to be willing to give many more such examples. He did, however, go on to say that the Cabinet Office was working with the Department for Business, Innovation and Skills, suggesting that that somehow proved that the whole of Whitehall was united behind work for social enterprises.
I believe that a strategy for social enterprise should touch on a series of issues. Access to finance is clearly a key issue, as are access to commissioning opportunities and the role that social enterprises can play in assisting the process of modernising our public services, making them more flexible and personal. Access to advice and support for fledgling or “wannabe” social enterprises is clearly a further aspect of such a strategy. Ongoing support and representation from—ghastly phrase—infrastructure organisations to help social enterprises to share best practice, to solve legal problems that they may face, or to tackle difficult human resource issues would also be worthy of inclusion.
A strategy could explore the scope for more work with, or indeed instead of, the private sector. It could also consider issues relating to coverage: which communities are likely to need more help to enable more social enterprises to emerge, and what should that help look like in practice? It could outline the role not only of other Whitehall Departments but non-Whitehall players in developing the Government’s endeavours to help social enterprise.
(12 years, 9 months ago)
Commons ChamberI thank the right hon. Gentleman for that interesting answer. Does he agree that it is time for the Labour party to be honest about the privileged influence that some of its larger donors have had on legislation that is debated in the House, and will the Liberal Democrats join the Conservatives—
Order. The hon. Gentleman must resume his seat.
Questions to Ministers should be about the responsibility of office-holders for public policies. It is no good the hon. Gentleman nodding at me; his question was out of order, and it is about time that he learned that fact.
The Deputy Prime Minister has previously endorsed the long-held convention that issues of party funding should—as he has just said—be resolved by cross-party agreement when that is possible. He has told us that the Committee on Standards in Public Life will report shortly: in fact, it will report next week. Is he concerned about the objections from the chairman of the Conservative party to the £10,000 cap proposed in the draft report, and is he worried about the possibility of a situation similar to that which arose in 2007 when the Conservatives walked away from the opportunity to secure a cross-party agreement? [Interruption.]
Order. It would help if there were not so much noise from Whips on the Treasury Bench, so that the Chair could hear what was being said. Questions must be orderly. The Deputy Prime Minister will answer that which is orderly, and not that which is not.
T7. I strongly support the principle of fairness in constituency size, which is behind the Parliamentary Voting System and Constituencies Act 2011, but does the Deputy Prime Minister recognise that the Boundary Commission’s proposal to relocate Gloucester’s entire city centre into the Forest of Dean constituency seriously damages the link between the Member of Parliament and the city, and the accountability of the MP for Gloucester’s regeneration? Does he agree that the Boundary Commission could split a ward? Will he confirm that that is in order?
Order. We have got the thrust of it. This is topical, so it has to be brief.
I feel in a slightly invidious position having to answer that question while the Parliamentary Secretary, Cabinet Office, my hon. Friend the Member for Forest of Dean (Mr Harper) is sitting next to me, because I know that he has an adjacent constituency. As my hon. Friend the Member for Gloucester (Richard Graham) knows, this is simply not a matter for Ministers. We have legislated—[Interruption.] I know that the idea of an independent Boundary Commission is alien to the Labour party, but that is what is going to happen.
Will he just listen? That offence will remain on the statute book.
Order. The House must come to order. Members must not keep shouting at the Deputy Prime Minister simply because they do not like what he is saying. It is called democratic exchange, and the hon. Member for Cardiff West (Kevin Brennan) should be used to it.
T10. The Deputy Prime Minister will be well aware that Cornwall is a distinctive region within the UK, with its own unique language and history, and that it has modest ambitions for devolution, not to cut itself off, but to cut itself into the celebration of diversity. Will he meet a delegation from Cornwall so that we can explore how Cornwall can help the Government to make better and more efficient decisions there?
No Front Bencher in the coalition is talking about the unilateral repatriation of powers from the European Union. Why? Because it simply is not possible—it does not work like that. We have to seek agreement with 26 other countries to get that repatriation. The idea that one could simply get on to the Eurostar, go over to Brussels and come back with a bag load of powers simply is not feasible. Yes, let us examine the balance of powers, as we committed to do in the coalition agreement. I am a pro-European, but I believe in reforming the European Union. I do not believe the status quo is right, but I also believe that we need to act smart and move sensibly.
Last year, the Deputy Prime Minister, speaking in a professional capacity, set out how he would end child detention by May. It is now November. Does he still believe this practice is immoral and does he still plan to keep his promise? If so, will he tell the House when?
As the hon. Gentleman knows, that matter was independently examined; the Liberal Democrat party was entirely within its rights, and it was entirely reasonable, to accept the money at the time, even though, of course, we would not have done so if we had known then what we subsequently knew. Given that his colleagues on the Front Bench are tabling amendments and deciding how to vote according to what their paymasters in the trade unions say, we need to know whether he and other Labour MPs are voting for what they think is right, or what they think is right for the trade unions.
I am sure that the hon. Member for Bolsover (Mr Skinner) is duly flattered, but it is no part of his responsibility in the House to answer questions, or at least not at this mid-point in his parliamentary career.
Will the Deputy Prime Minister tell the House when he intends to join the headlong rush to join the euro?
(12 years, 9 months ago)
Commons ChamberOrder. Given the intense interest in this statement and the fact that there are two further statements to follow, brevity is essential.
The European Commission has estimated that implementation of the financial transactions tax would reduce gross domestic product in the euro area by 1.8%. Of course, that would hit the UK disproportionately hard at a time when we need more growth, not less. Does the Prime Minister agree that, of all times, now is not the appropriate moment to consider such a controversial measure?
Order. In the interests of accommodating more colleagues, I now appeal for single, short supplementary questions and the Prime Minister’s characteristically pithy replies.
Why does the Prime Minister seem to think that the Greeks will be any more successful at staying in the euro than we were at trying to remain in the ERM?
Order. We have two further statements to follow and programmed business. I am sorry to have to disappoint a few colleagues today, but that is the way it is.
(12 years, 9 months ago)
Commons ChamberI thank my right hon. Friend for that very revealing answer. He will be aware of the current scandal of public sector employees spending 100% of their time on union activities while still drawing their publicly funded salary. My constituents in Lincoln expect their thousands of pounds in taxes to be used to pay for public services, not union activities. This situation clearly does not—
Will my right hon. Friend assure me that as part of any consultation or meeting, such as the one he had today, he will fully examine this scandal?
We do not feel that it is necessary to legislate for strategies at a national and local level. The previous Government specialised in having lots of strategies and fulfilling none of them. By contrast, we are in favour of taking action, which is why we are working with my hon. Friend the Member for Warwick and Leamington (Chris White) to ensure, as I mentioned in answer to the previous question, that there is provision for social outcomes and social value to be measured in contracts. That is, of course, part of his Bill. [Interruption.]
Order. I am sure that when the Minister was conducting his philosophy seminars he had a rather more respectful and attentive audience, and that is what we should grant him.
Allia and Future Business are promoting social bonds to support social enterprises, such as the future business centre in my constituency. There has been a very good uptake by individuals and companies, but not by the banks. Will the Minister have discussions with the banks to encourage them to invest in these bonds, which provide a secure social investment asset?
The roles of Cabinet Secretary and head of the civil service are very different and were indeed separate roles until 1981. Following the announcement of the retirement of Sir Gus O’Donnell, the role of head of the civil service will, once again, be separated from the Cabinet Secretary role. The two individual roles will be more focused, and people can be appointed to each on the basis of the skills match to each role. An internal competition is under way to recruit the post holder from among existing permanent secretaries.
Change is the watchword of the Prime Minister and change in government is a vital ingredient of the Government’s reform programme. How will the head of the civil service be able to lead and implement change if he does not have equal authority and equal access to the centre of government as he does now?
It is in no one’s interest that public sector workers should opt out of pension schemes. The numbers to which the hon. Lady refers do not in any way reflect the pension that people retire on after a full career. That is the average, including many people who serve relatively short times in the public service. At the end of these reforms public sector pensions will still be among the very best available, much better than those available to most people in the private sector, who have no chance of enjoying such pensions. [Interruption.]
Order. There are far too many noisy private conversations taking place. The House will want to hear Stephen Mosley.
T3. Thank you, Mr Speaker. Can the Minister update the House on the progress of negotiations with the trade unions on public sector pension reform?
These are the banks the right hon. Gentleman completely failed to regulate year after year—[Interruption.] Yes, yes, and these—[Interruption.]
Order. The House is getting—[Interruption.] Order. Mr Ronnie Campbell, calm yourself. The House is getting far too excited. It is only six minutes past—[Interruption.] Order. Let me say it at the outset: both the Prime Minister and the Leader of the Opposition must be heard. It is called democracy and free expression.
Let me just give the right hon. Gentleman the figures for what has happened under the bank lending schemes of this Government. We have £190 billion of new credit this year, up from £179 billion last year. That is a huge increase. There is £76 billion for small and medium-sized enterprises, up 15% on last year. We are seeing more bank lending under this Government, but we are seeing also the bank levy, so people in the banks are helping to pay to deal with the deficit that his Government created.
Q9. Will the Prime Minister join me in congratulating the pupils and staff at Whitchurch high school, a foundation-status comprehensive school in my constituency? It is the former school of Sam Warburton, the outstanding Welsh rugby captain; Gareth Bale, the impressive footballer at Spurs and Wales; and Geraint Thomas, the gold medallist. It will be receiving the award for state school of the year for sports—
I have to say that that is a very impressive list of sports personalities who have attended this school; I do not know what they put in the water, but I think we would probably all like to have some. I certainly join my hon. Friend in congratulating such an excellent school.
The Prime Minister has described his Work programme as the biggest back-to-work programme since the 1930s, but he knows that it does not create jobs—it merely links people to vacancies. In Tottenham, there are 6,500 people unemployed, 28,000 people on out-of-work benefits, and only 150 vacancies. What is his Work programme going to do about that?
I will certainly welcome that bid. It is important to note that, because we are protecting the per-pupil funding, even at a difficult time for the economy and public spending, the education budget will be rising and not falling—[Interruption.] As ever, the shadow Chancellor is wrong, even when he is sitting down. He talks even more rubbish when he stands up. I digress. As well as the extra investment in the schools budget, there is also the opportunity for free schools, which I think are going to be a major reform in our country, to bring in more good school places. Perhaps when a future shadow Chancellor attends one of those schools, he will learn a few manners. [Interruption.]
Order. Some people are going to burst they are getting so excited, which is a bit of a shame—and a bit of a problem for them.
Will the Prime Minister listen to both the campaigners outside Parliament today and the 80,000 people who have written to him in recent weeks, and commit to becoming a leading advocate for the introduction of a Robin Hood tax at the G20 summit later this week? Will he ensure that the revenue is earmarked to tackle sustainable development and the growing climate crisis?
As ever, it takes the Father of the House to bring the wisdom to the table, which is that if we did not have a proper plan for getting on top of our debts and our deficit, we would not have 2.5% interest rates, which are the greatest stimulus our economy could have. Instead, we would have interest rates like those of the Greeks, the Spanish and the Italians, and our economy would be hit. Do you know how you get interest rates like that? You get them if you adopt the plans of the Labour party. Its plan is for an extra £87 billion of borrowing over this Parliament. You do not solve a debt crisis by adding to your debts—[Interruption.] The shadow Chancellor can go on making his rather questionable salutes, but it is time for him to take a primer.
Order. I appeal to right hon. and hon. Members who are leaving the Chamber, who unaccountably do not wish to remain for the statement, to do so quickly and quietly, so that the rest of us can listen attentively to the Chief Secretary.