Paradise Papers

John Bercow Excerpts

Monday 6th November 2017 Commons Chamber

[Mr Peter Bone (Wellingborough) (Con)]

There seems to be an extraordinary misunderstanding on the part of the shadow Chancellor about the difference between avoidance and evading. Evading is wholly illegal; avoidance is normal. People who put their money into an ISA are avoiding tax—that is completely legal. There is a moral issue. If you happen to be a political party that spends £1 million a year on rent in a tax-exempt company, that is what people are upset about. It is not avoidance; it is morally wrong avoidance. Is that not what your party does, sir?

[Mr Speaker]

Order. My party does not do anything. As people know, I do not have a party. I am just the leader of the good order and fair play party, or I try to be.

[Mel Stride]

I thank my hon. Friend for his question, which I take to be directed at me, Mr Speaker. It is of course for the Labour party to account for any situation in which its headquarters may or may not be owned by an overseas trust.

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[Mel Stride]

This Government have brought far more property into the scope of taxation than the hon. Gentleman’s party ever did in 13 years in office, so I will not take any lectures on that point from him. [Interruption.]

[Mr Speaker]

Order. I would not want the hon. Member for Eltham to get uber-excited; I call Mr Clive Efford.

[Clive Efford (Eltham) (Lab)]

Thank you, Mr Speaker.

The Minister has set out the reasons why the eye-wateringly rich would benefit from a tax haven, but how would my average taxpayer in Eltham benefit from a tax haven and why should they tolerate this in overseas British territories?

Finance Bill

John Bercow Excerpts

Tuesday 31st October 2017 Commons Chamber

[Peter Dowd (Bootle) (Lab)]

I beg to move, That the clause be read a Second time.

[Mr Speaker]

With this it will be convenient to consider Government amendment 17.

[Peter Dowd]

Proceedings on this Bill started in March, but we are now drawing to a close. The Bill’s progress was interrupted by the general election. Not much happened to it in the post-election period, but it was brought back in September, and now we are moving, to use the Minister’s phrase, towards the denouement of the debate.

To solve a problem, it is first important to recognise that there is a problem. I think that that sums up the debate surrounding the Government’s deemed domicile measures—the Government cannot see that there is a problem. Non-dom status is a hangover from the days of the British Empire. Non-dom tax status was introduced in 1799 to allow British colonialists with foreign property to shelter it from wartime taxes. These days, non-doms are individuals who live in the UK but claim to have a permanent home in another country. There is no statutory definition of a non-dom; the status depends on circumstantial evidence.

Her Majesty’s Revenue and Customs says that 121,000 individuals claimed non-domiciled taxpayer status via their self-assessment returns in 2014-15. Non-domiciled UK-resident taxpayers accounted for about 85,000 of those individuals, and the remaining 35,000 or so were non-UK residents. Famous examples of non-doms include the directors of Lloyds, HSBC and RBS, the billionaire Chelsea owner Roman Abramovich, the steel magnate Lakshmi Mittal, the media baron Viscount Rothermere, and numerous footballers.

Non-doms are allowed to avoid tax on overseas investment income if that does not exceed £2,000 a year. All non-doms are required to pay income tax on their UK earnings, but they can avoid income tax and capital gains tax on assets held elsewhere as long as the amounts are not remitted to the UK. The Treasury’s proposals to reform non-dom status would mean that an individual who had been resident in the UK for 15 of the last 20 years would be considered UK-domiciled for the purposes of income tax, capital gains tax and inheritance tax.

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[Ms Nusrat Ghani (Wealden) (Con)]

I accept that you do not want to talk about the tax gap and want to move forward, but if you want to move forward, will you at the very least welcome the fact that we have collected more than £1 billion—

[Mr Speaker]

Order. I am not doing anything. It is not that I do not want to talk about this or I do not want to do that. That is simply not germane. The debate goes through the Chair, as the hon. Lady knows on her best days.

[Ms Ghani]

I am sorry, Mr Speaker.

The hon. Gentleman might not want to talk about the tax gap, but will he at the very least acknowledge that an extra £1 billion has been collected under this Government compared with under Labour? Surely he wants to take this opportunity to welcome that.

Oral Answers to Questions

John Bercow Excerpts

Tuesday 24th October 2017 Commons Chamber

[Philip Davies (Shipley) (Con)]

Given that more people are in employment, there is more opportunity for people to take advantage of employee share ownership saving schemes. Unfortunately, the maximum amount of time someone can pause one of those schemes is six months, which means that many women on maternity leave for up to a year have to cash in their schemes and cannot take advantage of them to maximum effect. I am sure that is an out-of-date anomaly, so in the Budget will the Chancellor extend the period of time that an employee share ownership saving scheme can be paused to up to 12 months? In that way, women on maternity leave can enjoy the same benefits of those schemes as everybody else.

[Mr Speaker]

The hon. Gentleman used the words “employment” and “employee” and just about got his question in order.

[Mr Hammond]

I am sure he did, Mr Speaker. My hon. Friend raises an interesting but technical point that has been raised with me by others, including the TUC. I will take what he said as a Budget representation and look into it carefully.

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[Stephen Kerr (Stirling) (Con)]

Does the Minister agree that the Labour party’s plans to raise corporation tax would harm small and medium-sized businesses—

[Mr Speaker]

Order. Just for the benefit of the hon. Gentleman, may I say that the Opposition’s plans for taxes are not a responsibility of the Government? This is a lesson we all have to learn; in my case I learned it early in my first Parliament, and the hon. Gentleman has learned that lesson today.

[Jim Shannon (Strangford) (DUP)]

Across the whole United Kingdom, and not just in the east midlands, small and medium-sized businesses have created not hundreds but thousands of jobs. Small and medium-sized businesses in my constituency tell me that they are over-regulated and that bureaucracy restricts their ability to employ more people. What is the Minister doing to address that?

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[Elizabeth Truss]

There is not a pay premium. Public and private sector pay are roughly comparable, but in the public sector there is an average of 10% additional remuneration in terms of pension contributions.

[Mr Speaker]

I hope that the whole House will join me in congratulating very warmly the right hon. Member for Tatton (Ms McVey) on her significant birthday today.

[Ms Esther McVey (Tatton) (Con)]

I am older and, I hope, wiser. Like all the ladies who are at my age, I am just hitting my stride and coming of age.

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[Several hon. Members rose—]

[Mr Speaker]

Order. As a very distinguished chartered surveyor, the hon. Member for The Cotswolds (Geoffrey Clifton-Brown) will know that the Cotswold is a very significant distance from the north or the north-west, but we will look forward with eager anticipation to hearing the hon. Gentleman at some later point.

[James Cartlidge (South Suffolk) (Con)]

10. What recent progress has been made on reducing the deficit.

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[Mel Stride]

International co-operation with other countries is an area where we have an exemplary record. We have co-operated with the OECD on the base erosion and profit shifting project—many of the recommendations are actually going through the House at this precise moment, in the latest Finance Bill—and, of course, we have common country reporting; we were leading that move in around 2012.

[Mr Speaker]

Finally, Royston Smith.

[Royston Smith (Southampton, Itchen) (Con)]

13. What assessment he has made of the effect of recent increases in income tax thresholds on household income.

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[Several hon. Members rose—]

[Mr Speaker]

This really is finally. I call Mr Nigel Huddleston.

[Nigel Huddleston (Mid Worcestershire) (Con)]

16. I am very proud of the fact that this Government have taken 3 million of the lowest paid out of paying income tax altogether. These are people who cannot afford to pay more tax. Some Opposition Members—and, indeed, others—often say that they would not mind paying more tax. Can we find a mechanism for them to do so?

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[Andrew Jones]

We discussed this issue when I was a Transport Minister. All the topography and construction implications as the route is finalised will be taken into consideration as part of the business case.

[Mr Speaker]

We all remember when the hon. Gentleman was a Transport Minister and he enjoyed telling us how he travelled to work by bus; I remember thinking that the fellow passengers on the bus must have been absolutely exhilarated to know that they were accompanied at the time by the Under-Secretary of State for buses.

[Helen Goodman (Bishop Auckland) (Lab)]

The Chancellor acknowledged earlier that the fall in the exchange rate following the Brexit vote has pushed up inflation. What is the Treasury’s estimate of the impact of that on people’s standard of living?

[Several hon. Members rose—]

[Mr Speaker]

We are out of time, but the temptation to hear remaining colleagues is, frankly, just too powerful.

[Anna Soubry (Broxtowe) (Con)]

The Chancellor, in his efforts to secure a good Brexit deal and a transition period, has the confidence and support not only of Members on the Government Benches, but from across the whole of British business, including in Broxtowe—unlike the Labour party, which inspires complete fear with the Marxist mayhem it would put into policy if elected into government. Will my right hon. Friend confirm that it is in the best interests of British business to secure a transition period as a matter of some urgency, and will he do all he can to get that transition period?

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[Scott Mann (North Cornwall) (Con)]

rose—

[Mr Speaker]

Can either remaining Member ask a question consisting of 10 words or fewer?

Finance Bill

John Bercow Excerpts

Tuesday 12th September 2017 Commons Chamber

[Kit Malthouse]

As I have said, part of the problem is related to housing. However, the Government have made huge strides in trying to increase the take-home pay of the lowest paid. There is the rise in the personal allowance, which will increase even further. There is the national living wage, which has raised wage rates altogether. There is the apprenticeship scheme, which is giving young people a route to higher-paid jobs by giving them more and more skills. There are plenty of things that can be done.

There will be no overnight solution, but once the Government manage to move young people up the income scale, and as they get older and more money accretes to them, we should encourage them to think about saving—not just about home ownership but about saving for their futures. We are doing that in the case of pensions: through auto-enrolment, we are making employers responsible for instilling in young people the idea that they should be joining pension schemes. I am trying to think in decadal terms about the signals that we send about the operation and dynamism of capital in this country. Unless we start planting some acorns now, we will not have oaks to sell in 20 or 30 years’ time, as we have been able to do in the case of all the companies that have been founded in the last couple of hundred years.

The second issue that the Bill raises in my mind is the nature of the tax system in general. This Finance Bill is incredibly thick for what is actually a relatively short Bill, because the complexity of it is incredible. In some of its measures, the Government are rightly closing loopholes, such as through the disguised remuneration rules, and when we look at them we suddenly realise that our tax system has become a game of 3D chess, whereby the Government are engaged with business and individuals in a constant cat and mouse game around what has become a Byzantine system that is choking economic growth and development and distracting entrepreneurs and others far too much from their day-to-day work of creating wealth and jobs. Most small businesspeople I know spend far too much time on compliance costs, with taxation regulations, and this Bill illustrates that in no uncertain terms.

The Bill also illustrates that it is going to become ever harder for the Government to tax the new economy. We have heard talk today of the fourth industrial revolution, and even in my working lifetime of 20-odd years the nature of work has changed almost completely, as has the way we work. My business is almost entirely cashless. There are vast corporations that operate without cash, and that trade in one jurisdiction, fulfil in another jurisdiction, bank the money in a third, and pay tax in a fourth. Chasing this money around, combined with this incredibly complicated system, is going to become harder and harder. Part of the reason for this Bill, as the Minister said, is to maintain the sustainability of the tax base. The Government are worried that it is getting away from them; it is like a wild horse straining at the leash or reins, and galloping off across the field given half a chance. [Interruption.] Leash or reins; I do not know what we hold a horse with.

All of this means that we are going to have to do some pretty heavy fundamental thinking over the next couple of decades about the way we tax. We often talk about how much we tax, but rarely talk about how we tax. How are we going to tax these enormous corporations that are bigger than nations? How are we going to make it fair between them and small businesses? How are we going to tax a changing economy of individuals, who might have four, five or six different jobs, with somebody in this country perhaps performing a job in another country, but doing it digitally? All of these matters raise questions, and it is perhaps becoming harder to tax in a direct way and easier to tax in an indirect way.

I have talked in this House before about the notion of getting rid of business rates— which are biased against small businesses, and certainly small retail business on the high street, and which favour the massive internet companies—of getting rid of corporation tax, which is hard to collect and for which compliance is not great, and of thinking about moving to an easy, collectible turnover tax. A huge company like Amazon, which is completely electronic and totally cashless, could pay its turnover tax every day: at the end of the day it knows how much money it has made, and the computer can tell how much tax there is and transfer the money across to the Government. That would be an enormous win.

The advent of the cashless society means it is much easier to track people’s turnover, and to take that little clip that the Government want to pay for all the services we need. In time—perhaps not in my political lifetime, but in the future—we might even move to a situation where there are no direct taxes on individuals, and where tax becomes voluntary, with people paying it as part of their spending, in the form of indirect taxes through VAT, duties and so forth. Certainly that is the tax that those at the lower end pay; the only tax those who earn less than £11,000 will pay is indirect, such as VAT, which they pay voluntarily when they spend. These are the broad themes we are going to have to think about over the next couple of decades if we are going to be able to raise the money to pay for the services the country rightly needs.

While welcoming the Bill, therefore, I would like the Minister, certainly as the Budget approaches, to think in decadal terms about the foundations we need to create now for a sustainable tax base and a vibrant economy for the future.

[Mr Speaker]

I hope that the hon. Gentleman feels that in the course of his comparatively brief contribution he was at least able to clear his throat.

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[Ruth George]

rose—

[Mr Speaker]

Order. Before we proceed, I suggest that a little focus on the contents of the Finance Bill might be in order.

[Ruth George]

If the hon. Gentleman wants to decide that election pledges were made from any sort of wording that came from any politician or any party leader, I hope he will also be looking over pledges made by those on his side, which came with absolutely no costings whatsoever.

Oral Answers to Questions

John Bercow Excerpts

Tuesday 18th July 2017 Commons Chamber

[The Chancellor of the Exchequer (Mr Philip Hammond)]

Short-term indicators of growth are volatile. Quarterly growth was 0.2% in the first quarter of this year, but this followed strong growth of 0.7% in the quarter before. The underlying economy is robust, thanks to record employment levels. Although a recent rise in inflation, caused mainly by the depreciation of sterling last year, may temporarily dampen consumer spending—today’s inflation figure for June is a little lower at 2.6%—there are signs from surveys of business that export orders and business investment intentions are up.

[Mr Speaker]

I call the Chair of the Select Committee on the Treasury, Nicky Morgan.

[Nicky Morgan]

Thank you, Mr Speaker. Would the Chancellor not agree that a growing economy is necessary to pay for our essential public services? The Office for Budget Responsibility’s “Fiscal risks report”, which has already been referred to, says that

“governments should expect nasty fiscal surprises from time to time”—

I am not referring to the shadow Chancellor there—and “plan accordingly”, but this Government also have to manage the uncertainties posed by Brexit. Should not a responsible Government not worsen uncertainties and risks by the decisions that they take?

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[Stephen Barclay]

Actually, we are seeing record numbers of people, in particular disadvantaged students, going to university. The situation will not be helped if people are conned with the idea that student debts will be written off.

[Mr Speaker]

Well, that was a first in this place, certainly during my time in the Chair: I have never known a ministerial swap to take place mid-answer. I assume that it was inadvertent; the Exchequer Secretary to the Treasury is nothing if not immaculate in his parliamentary manners. I put it down to error. But I hope that the Ministers know their own identities. I would be worried for them if they did not.

[Christian Matheson (City of Chester) (Lab)]

10. What fiscal steps his Department is taking to incentivise businesses to invest in rooftop solar.

--- Later in debate ---

[Andrew Jones]

I thought my hon. Friend was going to say that the sun may be shining more brightly post-Brexit. We are very keen to see the progress of solar as well as all other renewables. We will have to see what happens with pricing, but the key thing is that we will be supporting solar, as it is a key part of our power mix for the future.

[Mr Speaker]

There was I thinking that the hon. Member for North East Somerset (Mr Rees-Mogg) was taking an interest in energy saving because he has six children. Apparently not.

[Kelvin Hopkins (Luton North) (Lab)]

Have not the Government actually cut support for solar because, together with new storage technologies, it threatens to become so successful that it would kill off any case for horrendously expensive nuclear?

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[Several hon. Members rose—]

[Mr Speaker]

Time is against us, but I want to hear a couple more of the Order Paper questions.

[Mrs Kemi Badenoch (Saffron Walden) (Con)]

15. What discussions he has had with the Secretary of State for Education on the effect of Government investment in skills since 2010.

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[Kirsty Blackman (Aberdeen North) (SNP)]

On a point of order, Mr Speaker.

[Mr Speaker]

I am advised that the point of order flows from Treasury questions, and I will therefore take it, but if it turns out to be just a continuation of the debate, I will be pretty intolerant of it; so I hope it is pithy and something approaching a genuine point of order.

[Kirsty Blackman]

Thank you, Mr Speaker. I very much appreciate your taking my point of order.

During Treasury questions, I asked the Exchequer Secretary to the Treasury, the hon. Member for Harrogate and Knaresborough (Andrew Jones), a question that specifically concerned an announcement in the Chancellor’s autumn statement. He did not answer it, saying that it was not within the remit of his Department. May I ask for your guidance, Mr Speaker? Whom should I ask questions about Treasury documents, if not Treasury Ministers?

[Mr Speaker]

If memory serves me correctly, the Minister indicated that he would pass the matter on to the relevant departmental Minister. These are matters not of precise fact but of judgment, and also of some discretion so far as the Minister answering questions is concerned. Of course, when the Chancellor delivers either his Budget or an autumn statement, he inevitably makes announcements that concern expenditure covering all sorts of different Government Departments. If subsequently a Treasury Minister is asked a question relating to expenditure in a particular area to which, because of his or her natural self-effacement and modesty—in the case of the hon. Member for Harrogate and Knaresborough—he feels that another Minister would be better equipped to provide an informative answer, there is nothing disorderly about that. It may be disquieting for the hon. Lady, but that is not the same as the Minister’s behaviour being disorderly. I hope the hon. Lady will accept that for now—and I see that the Minister is beaming with contentment, although it has to be said that there is nothing new there.

Public Sector Pay Cap

John Bercow Excerpts

Wednesday 5th July 2017 Commons Chamber

[Hon. Members]

Withdraw!

[Mr Speaker]

Order. I know these matters pretty well by now. The right hon. Lady must resume her seat. I am sure that she has got a very versatile vocabulary, and she must deploy some other term. She cannot accuse a Member of being disingenuous; that is an imputation of dishonour. She has been in the House long enough to know that she should not say that. It is very simple, no debate required—a simple withdrawal. Thank you.

[Elizabeth Truss]

I do withdraw that, Mr Speaker, and apologise for it.

Perhaps the right hon. Gentleman was mistaken in what he said, because in 2015-16 we saw teachers get 3.3% worth of progression pay, we saw more than half of nurses and NHS workers get over 3%, and we saw military service personnel receive 2.4%. I therefore suggest that he include those facts in the figures next time he speaks. As for the fire service, he knows perfectly well that those pay policies are set independently and are covered within the local government budget.

I think it is wrong that we are hearing the Opposition talk down our public services when we are seeing huge improvements, we are seeing more people attracted into our public services, and we are seeing the best performance ever in our education system and our health system. As for uncosted commitments, the right hon. Gentleman has £60 billion worth.

The right hon. Gentleman asked about the pay review process. Well, the process is very simple. We have received recommendations from pay review bodies already this year. They make decisions based on the individual circumstances within those sectors. We have followed all of their recommendations. We will look at the further recommendations we need to make decisions on, and we will look at the balance between affordability and making sure that we retain and recruit high-quality public sector workers. This is the right approach. It is not saying that we are going to open up the cheque book, bankrupt our public services and see people lose their jobs, which is exactly what has happened in countries like Greece that took that approach and took their eye off the public finances. The right hon. Gentleman needs to take a more balanced approach in the way that he looks at this issue.

[Mr Speaker]

During the rather fractious proceedings to date, one Member has been the embodiment of calm and serenity. That Member should be imitated by others, and will now be called to contribute—Mr Kenneth Clarke.

[Mr Kenneth Clarke (Rushcliffe) (Con)]

Those are not adjectives that have been applied to me throughout my political career, Mr Speaker, but I am grateful to you for that credit. May I congratulate my right hon. Friend the Chief Secretary to the Treasury on straightforwardly restating the Government’s sensible policy on this issue? It is necessary as part of our ensuring, in this post-Brexit world, that we keep the economy on track; that steady, sustainable growth continues; and that we steadily eliminate the problem of debt and deficit that we inherited.

Does my right hon. Friend agree that if she were to give way to this week’s lobbying on the subject it would be a political disaster, because the Government would be accused of a U-turn and a surrender? It would set off a wave of pay claims across the entire public sector, which the Opposition are obviously looking forward to taking part in if they can provoke them. It might also be an economic disaster, and it would not be in the interests of the many people in the public and private sectors who are having economic difficulties in these times, and who want to look forward to a much more prosperous future as we get our economy back to health.

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[Rachel Maclean (Redditch) (Con)]

Does the Chief Secretary agree that as a result of Labour’s economic mismanagement in 2008 to 2009, average wages—[Interruption.]

[Mr Speaker]

Order. The hon. Lady’s question must be heard. Everybody in this Chamber must be heard. Let us hear Rachel Maclean.

[Rachel Maclean]

Thank you, Mr Speaker. As a result of Labour’s economic mismanagement in 2008 to 2009, average private sector pay fell significantly, while public sector pay remained stable. Does the Chief Secretary agree that it is important, when we look at the pay review bodies’ recommendations, to recognise the challenges faced by small businesses when they are outpaced by public sector earnings? Given that small businesses, as employers, create the majority of the jobs in this country, will she ensure that the pay review bodies take into account the views of small business people?

[Elizabeth Truss]

We have got to the position where public sector pay is comparable with private sector pay, and public sector workers often have pension entitlements on top of that. It is fair to get to a position where pay is comparable, for the skills people have. That is fair for the businesses that we need to create wealth in our country, so that we can fund public services. It is fair for workers in both the private sector and the public sector. Nothing is more important than getting people into work and giving them a sense of pride and responsibility, and the ability to earn for themselves and their family that come with it. The Government should be proud of what we have achieved: the lowest level of unemployment since 1975. The idea that we should put that at risk by making our public finances unsustainable or by pricing small businesses out of the market is very dangerous.

[Mr Speaker]

I see that the Father of the House is leaving the Chamber, but I hope that the calm and serenity that he brought to the Chamber will linger with us for some time to come.

[Rosie Cooper (West Lancashire) (Lab)]

This issue is also about fairness—a word I have heard repeatedly. Liverpool clinical commissioning group paid themselves increases of between 15% and 81%, with a non-executive getting £105,000. An NHS investigation has confirmed that that is far outside the rules, yet the accountable officer and governing body have not been held to account. Does that send a message from the Government to the NHS that people can do what they want, that anarchy rules and that the pay cap will be applied selectively and is not fair?

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[Mr Speaker]

Order. Mr Stephens, you are a very excitable denizen of the House. I had been intending to call you, but I think I will leave you to simmer down for a few minutes in the hope that you can recover such poise and composure as are available to you.

[Liz McInnes (Heywood and Middleton) (Lab)]

The Labour Government brought in Agenda for Change for NHS staff, which finally put us—I was one of those NHS staff—on a fair rate of pay with an independent pay review body, but since 2010 the coalition Government and the Tory Government have systematically undermined Agenda for Change pay rates by capping and freezing wages. The Government are all too ready to describe NHS workers as fantastic, but giving them a fair pay award is just that—fantasy. Is it not time that the Government put their money where their mouth is?

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[Several hon. Members rose—]

[Mr Speaker]

Order. I mean to accommodate remaining would-be interrogators, but questions and answers from now on need to be shorter. They have been becoming ever longer as the session has proceeded.

[Lilian Greenwood (Nottingham South) (Lab)]

Fifty-five per cent. of public sector workers are not covered by review bodies, including most of our civil servants and some of those on the very lowest incomes. Will the Chief Secretary give any hope that real pay rises will be considered for the 3 million public sector employees without a review body, and what will be the mechanism for doing so?

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[Elizabeth Truss]

The Labour Government left us with a huge deficit and a huge debt, which we have had to deal with over the last Parliament. It continues to hang over us, which is why the only path is the sustainable path of making sure we grow our economy, so we can enjoy even better public services and see people’s pay rise across the board.

[Mr Speaker]

Now that the hon. Member for Glasgow South West (Chris Stephens) has been sitting in a state of almost Buddha-like repose for some minutes, I think it is safe for the Chamber to hear from him.

[Chris Stephens]

Mr Speaker, as a passionate trade unionist for 20 years sometimes my emotions get the better of me.

Will the Chief Secretary confirm that pay is so low in some Government Departments that 40% of employees in those Departments are in receipt of tax credits? Will she publish, for each UK Government Department, how many employees are in receipt of tax credits?

--- Later in debate ---

[Neil Gray]

On a point of order, Mr Speaker. At the start of these proceedings I failed to declare the fact that my wife is a primary school teacher, which I did when I asked a similar question during Cabinet Office questions. I apologise, and I thank you for allowing me to correct the record now.

[Mr Speaker]

I am grateful to the hon. Gentleman—as will be the House—for putting that on the record.

Select Committees

John Bercow Excerpts

Tuesday 4th July 2017 Commons Chamber

[Mr Speaker]

We now come to the three motions on Select Committees, which will be debated together. It may be helpful to the House to know before the debate that, if the motion on allocation of Chairs is agreed to, the ballot for the election of Select Committee Chairs, including the Chair of the Backbench Business Committee, will be held on Wednesday 12 July from 10 am to 4 pm in Committee Room 8.

I hope that that will meet with colleagues’ approval, because it seems to me to be important that we get on with the business of electing Chairs of Select Committees and, preferably, as soon as possible thereafter with the election, by the parties, of members of those Committees. It is very much in Parliament’s interest and in the interest, ultimately, of good government, that these mechanisms are established without further delay.

Nominations will open as soon as the motion is agreed and may be submitted in the Table Office and the procedural hub in Portcullis House. Nominations will close at 3pm on Friday 7 July. A briefing note with more details about the elections will be made available to Members and published on the intranet.

Just before I call the Deputy Leader of the House—he is itching to favour the House with his eloquence, as colleagues will note—I must add one other point. Specifically, I must tell the House that I have, perfectly properly, had a request from the hon. Member for Harwich and North Essex (Mr Jenkin) for clarification of the application of Standing Order No. 122A to his position as the Chair of the Public Administration Committee in the 2010 to 2015 Parliament, and of the Public Administration and Constitutional Affairs Committee since 2015.

Having taken comprehensive advice from the Clerks and reflected on the matter myself, I have decided that the eight-year term limit does apply to the hon. Gentleman, on the basis that the Committee that he chaired between 2015 and 2017 was, in effect, the same Committee as in 2010 to 2015, albeit with an extended remit. That means that, in common with several other former Chairs, if he is re-elected next week, his term of office will expire, eight years after his election in 2010, on 10 June 2018. He and others are, of course, free to put their names forward in the ballot, and if they are elected, they can seek to have the existing terms of the Standing Order amended, or indeed repealed; that is a matter within the purview of the Select Committee on Procedure.

My responsibility is not to speculate on what the Standing Order might be in the future, but to offer a proper interpretation of what it now means. That is what I was asked to do, and that is what I have done. I hope that that is clear to colleagues.

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[Mr Speaker]

With this it will be convenient to discuss:

Motion 5—Standing Orders Etc. (Committee on Exiting the European Union)—

That for the remainder of this Parliament, the following changes be made to Standing Orders:

A: Committee on Exiting the European Union

(1) There shall be a select committee, to be called the Committee on Exiting the European Union, to examine the expenditure, administration and policy of the Department for Exiting the European Union and related matters falling within the responsibilities of associated public bodies.

(2) The committee shall consist of no more than twenty-one Members; and the provisions of Standing Order No. 121(2) shall apply to motions for the nomination and discharge of Members to and from the committee as if it were a committee not established under a temporary Standing Order.

(3) Unless the House otherwise orders, each Member nominated to the committee shall continue to be a member of it for the remainder of the Parliament.

(4) The committee shall have the power to appoint a sub-committee.

(5) The committee and any sub-committee appointed by it shall have the assistance of the Counsel to the Speaker.

(6) The committee and any sub-committee appointed by it shall have power to appoint legal advisers and specialist advisers either to supply information which is not readily available or to elucidate matters of complexity within the committee’s order of reference.

(7) The committee and any sub-committee appointed by it shall have power to send for persons, papers and records, to sit notwithstanding any adjournment of the House, to adjourn from place to place and to report from time to time the evidence taken before them.

(8) The quorum of the committee shall be six and the quorum of any sub-committee appointed by it shall be three.

(9) The committee shall have power to report from time to time, and any sub-committee appointed by it shall have power to report to the committee from time to time.

B: Election of Select Committee Chairs

(10) That Standing Order No. 122B (Election of select committee chairs) be amended in paragraph (1), by inserting, in the appropriate place, "the Committee on Exiting the European Union".

C: European Committees

(11) That Standing Order No. 119 (European Committees) be amended as follows:

(a) in paragraph (4) by inserting after “departments)” the words “, or the Committee on Exiting the European Union”; and

(b) in the Table in paragraph (7), in respect of European Committee B, by inserting, in the appropriate place, “Exiting the European Union”.

D: European Scrutiny Committee

(12) That paragraph (12) of Standing Order No. 143 (European Scrutiny Committee) be amended by inserting, in the appropriate place, “the Committee on Exiting the European Union”.

E: Public Bodies: Draft Orders

(13) That Standing Order No. 152K (Public bodies: draft orders) be amended as follows:

(a) after sub-paragraph (b) to paragraph (1) to insert

“(c) in respect of a draft order laid by a Minister in the Department for Exiting the European Union, the Committee on Exiting the European Union”; and

(b) in paragraph (2) by inserting after “departments)” the words “, or the Committee on Exiting the European Union”.

F: Positions for which additional salaries are payable for the purposes of section 4A(2) of the Parliamentary Standards Act 2009

(14) That the Order of the House of 19 March 2013 (Positions for which additional salaries are payable for the purposes of section 4A(2) of the Parliamentary Standards Act 2009) be amended, in paragraph (1)(a), by inserting, in the appropriate place, “the Committee on Exiting the European Union”.

Motion 6—Select Committees: Allocation of Chairs—

That, pursuant to Standing Order No 122B (Election of Committee Chairs), the chairs of those select committees subject to the Standing Order be allocated as indicated in the following Table:

[Michael Ellis]

I rise to speak to the motions on the Order Paper standing in the names of the Leader of the House and the Prime Minister, as well as of the leaders of the three largest Opposition parties. Motion 4 will make the Women and Equalities Committee a permanent Select Committee of this honourable House. Motion 5 serves to establish the Exiting the European Union Committee in this Parliament in exactly the same way as in the last Parliament, and motion 6 allocates the Chairs of Select Committees as agreed between the parties and within the proportions set out by you, Mr Speaker, to reflect the party balance in this honourable House.

[Mr Speaker]

Does Cat Smith wish to speak?

[Cat Smith (Lancaster and Fleetwood) (Lab)]

No, Mr Speaker.

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[Mr Speaker]

I am grateful to the hon. Lady. I call Maria Miller.

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[Pete Wishart (Perth and North Perthshire) (SNP)]

rose—

[Mr Speaker]

I call Harriet Harman. [Interruption.] Oh, I beg the hon. Gentleman’s pardon. Let us hear first from Mr Wishart.

Economy and Jobs

John Bercow Excerpts

Thursday 29th June 2017 Commons Chamber

[Mr Speaker]

I advised the House earlier of the selection of amendments that I have made, but I appreciate that some Members were not present. I am very happy now, because I think it would be helpful to the House, to repeat that selection. I can inform the House that I have selected amendment (l) in the name of the Leader of the Opposition, which will be moved at the start of the debate, as well as amendment (d) in the name of the hon. Member for Walthamstow (Stella Creasy) and amendment (g) in the name of the hon. Member for Streatham (Chuka Umunna), which will be moved formally at the end of the debate.

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[Several hon. Members rose—]

[Mr Speaker]

Order. On account of the very large number of would-be contributors to this debate, the largest proportion of whom I am keen to accommodate, there has to be a six-minute limit on each Back-Bench speech, with immediate effect.

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[Neil Gray]

I will give way one last time.

[Mr Speaker]

There is a considerable shortage of time, so the intervention must be brief.

[Angus Brendan MacNeil]

Perhaps my hon. Friend will remember the years past when people here used to deride Iceland and Ireland, post-crash. They are very quiet now, when those countries have three to four times the growth of this country. Of course, Iceland and Ireland did not choose the mega-austerity cult that the Tories here at Westminster have chosen.

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[Several hon. Members rose—]

[Mr Speaker]

Order. In congratulating the hon. Member for Chichester (Gillian Keegan) on her maiden speech, I want to say two things in the name of transparency. First, I inform the House that the hon. Lady is the godmother of two of my children. Secondly, although it has been declared in all the appropriate places, I nevertheless take this opportunity to declare to the House that her husband Michael—my very good friend of 32 years—generously contributed to each of my last three election campaign funds in the Buckingham constituency.

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[Faisal Rashid (Warrington South) (Lab)]

Thank you, Mr Speaker, for calling me to make my maiden speech. I congratulate all the newly elected Members who have made their maiden speeches. It is a pleasure to follow the hon. Member for South Cambridgeshire (Heidi Allen).

I am delighted and honoured to be the new Member of Parliament for Warrington South—my home town. On this very proud occasion, I give thanks to my parents, my wife Aleeza and all our family for their prayers and support. I thank all the electors of Warrington South, regardless of who they voted for, and I thank all my supporters and campaign team for their unstinting work in our victory on 8 June.

Recent events in England have caused a serious loss of lives, tearing families and communities apart. Those responsible stand to be utterly condemned. I represent a town that suffered two terrorist attacks in 1993 and I say that our nation remains united—we stand together in our determination to ensure that humanitarian and democratic principles prevail.

My predecessor, David Mowat, served in Parliament for seven years and for a year as a junior Health Minister. As a councillor and as Warrington mayor, I met David frequently. He was steadfast in his support for Warrington and courteous to his constituents and he supported many Warrington charities. I thank David for his public service and wish him all the very best for the future.

The name Warrington South does not accurately describe my constituency. Warrington South covers both south Warrington and west and north-west Warrington. It has excellent communication routes with ready access to the motorways, west coast mainline, regional railways and Manchester and Liverpool airports.

My Warrington South constituency is home to the Warrington Wolves, nicknamed The Wire because the town was once one of the leading producers of steel wire. The former RAF Burtonwood site in the north-west part of my constituency was a United States air force base during world war two, and in 1948 was the launching point of the famous Berlin airlift. The site, now known as Omega, is in the process of major redevelopment. Chapelford village, built on part of the site, has provided new homes. I am extremely proud to serve as a councillor for this area.

Today’s theme for the Gracious Speech debate is the economy and jobs. The Government’s programme is bereft of measures that will address the harm caused by austerity, growing poverty, educational inequality, homelessness, public services at breaking point, the crisis in social care and more. Since 2010 Warrington council has suffered over £100 million cuts.

The Government must stop further cuts to local authorities. I pledge to work with my council colleagues in their drive to provide high-quality services for the people of our town. I am also looking forward to working closely with my hon. Friend the Member for Warrington North (Helen Jones) to improve services in our town and tackle the issues that matter to our residents. Schools in my constituency are already seriously underfunded. A top priority for me will be to oppose any attempts by the Tory Government to downgrade or close any NHS services in Warrington.

Mr Speaker, 1950s-born women have had their state retirement age put back three times. This injustice needs addressing in this Session of Parliament. We have an overstretched police force doing a demanding job often in very dangerous circumstances. Having more frontline police is what will make communities safer. I add my tribute to the bravery of PC Keith Palmer, who gave his life in protecting Parliament. I send my sincere condolences to his wife and family.

In my mayoral year of 2016-17, I launched many community and business initiatives. My “Breaking the Barriers” initiative brought mainstream religious and non-faith groups together to work for the common good of Warrington; I commend the initiative to the House as a model for promoting community cohesion. I used my business and banking experience to create “Circle—The Future”, which aims to make Warrington an entrepreneurs’ hub. I started the mayor’s achievement awards, recognising the work of unsung heroes. I shall change the name to “Warrington South achievement awards” and continue to give recognition to people who make a difference in my constituency.

On a different note, just before the 2015 general election Chancellor Osborne promised Warringtonians free travel over the Mersey Gateway bridge in Halton and the existing Runcorn bridge. This January, a junior Transport Minister broke that promise. If it is right to remove tolls on the Severn bridge, it is only right that Halton bridges should be toll free.

I have stood for public office five times, and each time I promised to serve in the interests of every elector. I repeat that promise and add that I will make Warrington South constituents proud.

[Mr Speaker]

The time limit for speeches must be reduced to four minutes, with immediate effect.

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16:59

Division 2

Ayes: 297

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Labour: 256
Scottish National Party: 35
Plaid Cymru: 4
Green Party: 1

Noes: 323

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Conservative: 313
Democratic Unionist Party: 9
Independent: 1

[Mr Speaker]

I call Stella Creasy to move amendment (d).

[Stella Creasy]

Thank you, Mr Speaker. I am grateful to all the Members who have supported the rights of Northern Irish women to have equal access to abortion. I am delighted by today’s announcement from the Government and satisfied by the commitments that I have had from the Minister responsible to work with the sector. On that basis, I am happy not to move the amendment today. Let us send a message to women everywhere that in this Parliament their voices will be heard and their rights upheld.

[Mr Speaker]

We come next to amendment (g).

Amendment proposed: at the end of the Question to add:

“but respectfully regret that the Gracious Speech does not rule out withdrawal from the EU without a deal, guarantee a Parliamentary vote on any final outcome to negotiations, set out transitional arrangements to maintain jobs, trade and certainty for business, set out proposals to remain within the Customs Union and Single Market, set out clear measures to respect the competencies of the devolved administrations, and include clear protections for EU nationals living in the UK now, including retaining their right to remain in the UK, and reciprocal rights for UK citizens.”—(Mr Umunna.)

Question put forthwith (Standing Order No. 33), That the amendment be made.

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[Mr Speaker]

As I am often moved to remark, I do so again. If, inexplicably, there are Members now leaving the Chamber because they do not wish to hear the hon. Member for Kettering (Mr Hollobone) expatiate on the merits of his local hospital—I know that it is a considerable feat of imagination to suppose that anybody would wish to absent him or herself from the Chamber—please do so quickly and quietly so that the rest of us can enjoy, at least for a period, the Einsteinian intellect and Demosthenian eloquence of the hon. Gentleman.

Oral Answers to Questions

John Bercow Excerpts

Tuesday 18th April 2017 Commons Chamber

[Mr Hammond]

I am sure you are delighted, Mr Speaker, that my hon. Friend has lighted on the key role of Buckinghamshire as a bridge between the north, the south, the east, the west and every other part of the country. I should be happy to receive, and I confidently predict that I will receive, my hon. Friend’s detailed submission on the case for greater infrastructure investment in Buckinghamshire.

[Mr Speaker]

Be careful what you wish for, sir.

[Steven Paterson (Stirling) (SNP)]

25. According to the findings of independent analysis, a hard Tory Brexit could cost Scotland 80,000 jobs over 10 years and a 5% drop in GDP. Why have the UK Government failed to produce a comprehensive impact assessment of the effect of a hard Tory Brexit on our economy? Is it the case that, for some reason, now is not the time?

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[Mr Speaker]

I call Toby Perkins.

[Toby Perkins (Chesterfield) (Lab)]

Lucky No. 7, Mr Speaker.

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[Toby Perkins]

Throughout the last seven years, the needs of the British people have had to play second fiddle to the needs of the Conservative party. As a result, the Chancellor has been forced to disown the manifesto commitment to balance the Budget in this Parliament. Is it not the truth that today’s announcement about a general election is another example of this Government putting their party’s interest ahead of the country’s interests at a time when there is a desperate need for stability in this country?

[Mr Speaker]

The question is about the departure from the EU and the effect thereof on the public finances.

[Mr Hammond]

In terms of the effect on the public finances, the decision that the Prime Minister made today is very much in the national interest, to strengthen her hand as she goes into the negotiation with the European Union, to provide a clear mandate for the type of exit that she set out in the letter she wrote to President Tusk two and a half weeks ago, and to ensure that the UK can negotiate its exit from the European Union, execute that exit, and then transition to the new arrangements with a clear run before the next general election.

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[Jane Ellison]

We look to support the tourism sector in a whole range of ways, and the sector is doing very well. We have seen great increases in the number of tourists, and my hon. Friend is a great advocate for his region. Tourism is one of the highest performing sectors in the economy. For example, the UK has one of the highest VAT registration thresholds in the EU— [Interruption.] The highest. That helps many small businesses that are providing goods and services to tourists without charging VAT at all.

[Mr Speaker]

We can now hear about tourism in South Down as well. I call Ms Margaret Ritchie.

[Ms Margaret Ritchie (South Down) (SDLP)]

With particular reference to that, does the Minister recognise the additional disadvantage faced by the tourism industry in Northern Ireland, particularly in border constituencies such as mine, given that the VAT rate on tourism in the Republic of Ireland sits at 9% and ours sits at 20%?

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[Several hon. Members rose—]

[Mr Speaker]

There can be a link between productivity and recent trends in the level of employment, so if the hon. Member for Northampton South (David Mackintosh) wishes to come in on Question 17, he is welcome so to do.

[David Mackintosh (Northampton South) (Con)]

18. Thank you, Mr Speaker. What assessment has the Minister made of current employment in Northampton?

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[Several hon. Members rose—]

[Mr Speaker]

Brevity, please, because I am keen to get through as many colleagues as possible.

Money Laundering: British Banks

John Bercow Excerpts

Tuesday 21st March 2017 Commons Chamber

[John Mann (Bassetlaw) (Lab)]

To counter the impression that he has been promoted beyond his competence, can the Minister tell us which British banks have been convicted of money laundering over the past five years? What specific, individual thing has he learned from reading those judgments? [Interruption.]

[Mr Speaker]

Order. The question was discourteous, but it was not disorderly—there is a distinction. The hon. Gentleman has been practising that technique in all sorts of different forums in all the 30 years that I have known him. The question was not one of the more extreme variants on the theme.

[Simon Kirby]

I can tell the hon. Member for Bassetlaw (John Mann) that the FCA has carried out a number of enforcement actions, both large and small, over a large number of different financial services. It is right and proper that a balance between fairness and responsible behaviour is struck at all times.