Oral Answers to Questions

Steve Barclay Excerpts

Tuesday 22nd June 2021 Commons Chamber

[The Chief Secretary to the Treasury (Steve Barclay)]

In March 2021, the Chancellor announced a further £300 million to build on the existing £1.57 billion of culture recovery fund support to protect our cultural sector. To date, more than £1.2 billion in grants has been paid.

[Sir Robert Neill]

The Minister is right, of course, to point out the unprecedented sums that have been given to the arts sector, and that is very welcome, but does he recognise that, particularly for the performing arts, the further four-week delay is crippling their future plans? As all the leading producers both in the west end and throughout the country point out, it takes months to get a show going, and uncertainty cripples that planning. Will he at least consider the calls from throughout the industry for a Government-backed insurance scheme to deal with cancellations if there is further uncertainty? There is a precedent in film and TV production that could readily be adapted. This is about getting them back working, which is actually want they want, rather than simply being subject to grants all the time. They want to get back on stage.

[Steve Barclay]

My hon. Friend is right to draw attention to the success of the film insurance scheme, which has protected over 45,000 jobs and £1.6 billion of spend. On the specific issue he raises, that is exactly why my right hon Friend the Chancellor announced the additional £300 million of support at the Budget. He anticipated the fact, in going long with that support, that there would be the risk of further delays to the covid row-back, so that was part of the announcement of an additional £300 million that he set out at the Budget.

[Alison Thewliss (Glasgow Central) (SNP) [V]]

The live events sector continues to be hard hit by covid-19. UK Music and We Make Events have called for additional financial support, an extension of the VAT reduction and Government-backed covid-19 cancellation insurance. Just now, it is impossible for those running concerts and festivals to plan, and some, including Kendal Calling, have had to postpone again until 2022. Can the Minister tell me why the UK Government have left this sector and the many thousands who work in it without the additional support they are calling for?

[Steve Barclay]

I fear that the question came before my previous answer. I had just mentioned the £300 million of additional support, over and above the £1.57 billion of support that has been announced. Indeed, the hon. Member frequently raises the plight of those individuals who have been hit, and again that is something we very much recognise. Again, however, that is why my right hon. Friend the Chancellor has set out the wider package of support, such as the time to pay arrangements, loans, business grants and the universal credit uplift. This is about looking at the totality of support within the £352 billion that my right hon. Friend has set out.

[Jane Stevenson (Wolverhampton North East) (Con)]

What steps his Department is taking to incentivise businesses to invest in new equipment or infrastructure.

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[Mohammad Yasin (Bedford) (Lab)]

What assessment he has made with the Secretary of State for Education of the (a) effectiveness, (b) value for money and (c) adequacy of the funding allocated to educational catch-up provision announced on 2 June 2021.

[The Chief Secretary to the Treasury (Steve Barclay)]

We are providing a further £1.4 billion over the next three academic years for education recovery. This is on top of the £1.7 billion provided for academic year 2020-21.

[Mohammad Yasin [V]]

It has been widely reported that it was the Chancellor who refused by a 90% margin to find the funding recommended by Sir Kevan Collins to help our nation’s children to catch up on their education after the pandemic. The Chancellor has benefited from a first-class private education, so will he take this opportunity to apologise to the generation of children he is letting down as the Tories refuse to invest in our children’s and our country’s future?

[Steve Barclay]

There was a striking omission from that question. There was no reference at all to the additional £2.2 billion of core school funding, over and above which there is the £1.4 billion announced by my right hon. Friend the Chancellor. Of course, the House would expect proposals to be evidence-led, deliverable and provide value for money, and we will work with Department for Education colleagues on that, but there was no mention in the hon. Gentleman’s question of the additional £2.2 billion of core school spending uplift this year.

[Bridget Phillipson (Houghton and Sunderland South) (Lab)]

The Institute for Fiscal Studies has estimated that the significant long-term cost to our economy from the Chancellor’s failure to invest in our children and young people is as much as £350 billion in lost earnings. Has the Treasury done its own assessment and will the Minister have the decency to publish it?

[Steve Barclay]

As I said in my last answer, we will have a review to inform the question in terms of the impact on time. Most of the debates that we have had in this House have focused on teacher quality as the biggest driver of outcomes for children, so we need to see the evidence of it. For example, if we look at Finland, we see that Finland has a shorter school day but a higher PISA—programme for international student assessment—result. If we look at the USA, we see that it has a longer school day but a lower PISA result. So it is right that we look at the evidence, but teacher quality is usually seen as the bigger driver and that is why we have funded the tuition in the way that my right hon. Friend the Chancellor has.

[Bridget Phillipson]

With this Government, it seems that it is a case of “don’t know, don’t care”. The reality is that the Chancellor’s failure to invest in our children’s future is the very definition of a false economy. The Chancellor recently said that he could not say yes to everyone. He seemed to have no problem saying yes to the friends and donors of the Conservative party, but it is a no to the children who urgently need support to catch up after the biggest disruption to their education for a generation. Is the Minister really proud of that?

[Steve Barclay]

I am very proud that my right hon. Friend the Chancellor has committed an additional £7.1 billion over three years to increase the school uplift, with £2.2 billion this year alone. I am very proud that he announced £1.7 billion of additional recovery funding. I am proud that he announced a further £1.4 billion, but again, the hon. Lady appears to have written her question before hearing the answer. The answer was that we will of course look as part of our review at the effectiveness of the additional time. I have cited some of the international evidence that we will look at, but teacher quality is usually the bigger driver and that is why we have focused on teacher training but also on the tuition programme, so that we are training an additional 500,000 teachers and rolling out 6 million tuition courses to get that targeted learning support to children across the country.

[Mrs Sheryll Murray (South East Cornwall) (Con)]

What progress his Department has made in establishing freeports in England.

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[Mark Eastwood (Dewsbury) (Con)]

The youth investment fund remains an important manifesto commitment and will be valuable in supporting young people. Will my right hon. Friend inform me of its intended launch day and briefly outline the benefits it will bring to young people in Dewsbury, Mirfield, Kirkburton and Denby Dale once it is launched?

[The Chief Secretary to the Treasury (Steve Barclay)]

My hon. Friend is right to highlight the importance of the youth investment fund. It was a manifesto commitment and it is due to launch in the coming months. He will recall that at the spending review 2020 we allocated some funding to inform pilots, as we shape that launch.

[Owen Thompson (Midlothian) (SNP)]

Almost every time that I, or others Members, have raised the plight of the millions of people excluded from covid support, Ministers reel off the various levels of support that have been made available to those who have access to it. Without again going through the list of supports that are available, will the Minister tell me when the Government are going to put in place some level of support for those who have had nothing so far, and when it will be backdated to?

[Steve Barclay]

The hon. Gentleman will know, as we have discussed it on many occasions, how we have absolutely bent over backwards to attempt to include as many people as possible and have leant into considerable discussion, both with excluded groups and with other related groups. As he will know, it is not a single picture; different groups are not included for different reasons. As a result, we have in part been able to evolve and extend the programmes, and he will be aware that we did so in the last iteration of the self-employed scheme.

[Angela Richardson (Guildford) (Con)]

  I welcome the launch of the national infrastructure bank. Road infrastructure projects are needed in my constituency to meet the additional 14,000 homes to be delivered in our local plan, which is why I am calling for the A3 to be tunnelled under Guildford to ease congestion. As we move towards our target of net zero and transition our vehicles to being electric and hydrogen-run, there will be a decrease in revenue raised by fuel duty. Will my right hon. Friend outline what steps he is taking to replace that revenue and to help fund road infrastructure projects such as my tunnel?

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[Robert Largan (High Peak) (Con)]

On 3 March, when the Chancellor announced the £4.8 billion levelling-up fund, High Peak was designated one of the top priority areas, and the Government committed to giving more than £100,000 to the council to help it deliver a world-class bid. However, despite my urging, and having had nearly four months, I regret to inform the House that my Labour council has failed to submit a levelling-up fund bid in time. Can my right hon. Friend assure the House and my constituents that there will be a second round for further bids and that High Peak will still be considered a top priority area in any future rounds?

[Steve Barclay]

I understand my hon. Friend’s frustration. He will know from the announcement at the Budget that the prospectus set out the process, the types of projects, and indeed how bids will be assessed. To reassure him, there will be further opportunities for local authorities to submit bids to the fund. One of the things that we are encouraging those local authorities to do is to work with elected Members of Parliament in the shaping of those bids, and I hope that they will now take the opportunity to do so.

[Rushanara Ali (Bethnal Green and Bow) (Lab) [V]]

More than half a million young people are out of work and thousands are on furlough. The delay in easing restrictions without associated support for businesses is set to further increase unemployment by 300,000. In the event of a third wave that triggers further restrictions, will Ministers commit to extending the coronavirus job retention scheme and other support that has been vital for our constituents and businesses in our constituencies?