Sovereign Grant Bill Debate

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Department: HM Treasury
Thursday 14th July 2011

(12 years, 10 months ago)

Commons Chamber
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George Osborne Portrait Mr Osborne
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I will deal in my remarks with that specific point about what will happen if the revenues of the Crown Estate suddenly grow beyond people’s expectations, or even in line with the expectations of those who think that there will be a windfall from the marine estate.

Tristram Hunt Portrait Tristram Hunt (Stoke-on-Trent Central) (Lab)
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The guidance to the Bill suggests:

“The Crown Estate is not the sovereign’s private property”.

However, we know that in 1760, as the guidance states, George III

“surrendered these revenues (but not ownership of the capital assets)”.

Where do we stand on the clarity of ownership?

George Osborne Portrait Mr Osborne
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It is understood that there are certain pieces of property, such as Buckingham palace, Windsor castle and the Crown Estate, that belong to the institution of the monarchy, and certain pieces of property and assets that are the private property and assets of the Windsor family. That is a well-established precedent and has been recognised by the House for many decades. Nothing in the Bill changes that.

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Tristram Hunt Portrait Tristram Hunt
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In Committee, the hon. Member for Gainsborough (Mr Leigh) said that the monarchy was a fragile institution, but I beg to differ. The monarchy has shown itself to be a very powerful and strong institution, lasting over the centuries. If the British state was beginning again, we probably would not start by creating a monarchy: it is irrational, inequitable, inherently sexist, myopic and averse to many of the principles of progressive politics and the social democratic future that we on the left hold dear. However, we are where we are and there is no enthusiasm for dismantling the monarchy.

Ian Davidson Portrait Mr Davidson
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Yes, there is.

Tristram Hunt Portrait Tristram Hunt
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Among the public as a whole.

We in opposition should be brave and confident enough to think about some of the monarchy’s strengths, which is partly what the Bill is about ensuring. First, the monarchy gives a broader notion of citizenship. We on the left often get in a lather about being subjects rather than citizens and whether that holds back our politics, but the virtue of the monarchy is that it creates a notion of citizenship that is not necessarily linked to ethnicity. It is not a blood-and-soil notion of citizenship. The political scientist John Gray put it rather well when he wrote:

“The monarchical constitution we have today—a mix of antique survivals and postmodern soap opera—may be absurd, but it enables a diverse society to rub along without too much friction.”

It also points to a wonderful thing about Britain—that we have no purpose in the world, unlike the great republics of France, America or Italy, where there is an endpoint, or telos, to do with happiness or improving equality. Britain has no ultimate endpoint and monarchy is part of that.

Thomas Docherty Portrait Thomas Docherty (Dunfermline and West Fife) (Lab)
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My hon. Friend has demonstrated that he has a far superior knowledge of history than perhaps any other Member of the House who was not actually there during large sections of it. Does he agree that the histories of the United States and France are histories of violent revolution, whereas we have had a period of stable evolution, apart from a dark period in the 1650s and so on, largely because we have had a constitutional monarchy?

Tristram Hunt Portrait Tristram Hunt
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I take my hon. Friend’s point, but we should not over-emphasise our Whiggish stability over the years. We often used to think of the 18th century as the age of equipoise and stability. In fact, underneath that monarchy, all sorts of revolutionary fervour was going on. The campaign of my hon. Friend the Member for Newport West (Paul Flynn) to have the Chartists properly recognised in the House hints at a slightly different history. It is a source of great sadness to many people that, although the House was rebuilt in the 1830s and ’40s, it took until mid-1890s for the statue of Cromwell to appear outside.

For all its narrow, Eurocentric and white family structure, the royal family also has a curious internationalist sensibility, for to understand the British royal family in the 19th and 20th centuries is to understand empire and the nature of Britain in the world. As we have heard today in respect of reforming the Act of Settlement, the monarch was also monarch of imperial nations across the world, then the British Commonwealth and then the Commonwealth. That points to the unique nature of Britain: its openness and sense of citizenship, which is, again, above and beyond blood and soil. Part of the strength of monarchy is that it speaks to the multicultural, multi-faith age in which we live. There is a curious modernity about the nature of monarchy, which, again, keeps its strength going.

The real virtue of the royal family today is the soft power embodied within it. We have heard, quite rightly, detailed discussions about £35 million or £37 million costs this afternoon, but the royal family as a brand vehicle for Britishness is worth huge sums more than £35 million or £37 million. The sums regained from the world’s media focus on London during the royal wedding recently were far in excess of its cost. Although our beloved former Prime Minister, Tony Blair, used to describe Britain as a young country, it is, in fact, a very old country.

Oliver Heald Portrait Oliver Heald (North East Hertfordshire) (Con)
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I am listening carefully to the hon. Gentleman, but does he agree that we do not need a new, written constitution because we have gradually evolved as a country. Other countries look at us and at Parliament—the mother of all Parliaments—because we have been through a great, long history. We have managed to achieve something. We stand for things in the world. We stand for democracy, freedom of speech, common law and the rule of law, whereby this country has made the sort of decisions that it has over the past few days.

Tristram Hunt Portrait Tristram Hunt
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I thank the hon. Gentleman for his intervention, but he knows far better than I do that, of course, in the quote about the mother of Parliaments, John Bright was referring to the whole country, rather than to Parliament. The hon. Gentleman points to the dangers of a written constitution, although my hon. Friend the Member for Nottingham North (Mr Allen) would vehemently disagree and do so in quite some detail if pressed.

Part of our strength as an old country is connected to the royal family and monarchy, which has taken different forms over the years. We have in this country a natural resource in history. As other nations have oil and diamonds, we have the past, and we need to use it as a source of leverage in the world.

In addition to soft power, the royal family also brings hard currency. I am privileged to represent Stoke-on-Trent, where the Chancellor will soon visit many successful businesses in the area. Many ceramics companies in my constituency have enjoyed record profits on the back of the royal wedding. The profits of Bridgewater, Portmeirion and Hudson and Middleton show that the ceramics industry is booming on the back of the royal wedding.

According to VisitBritain spokesman, Paul Eastham,

“Our culture and heritage reputation is very strong around the world. At the heart of that lies monarchy.”

Many historians and I would disagree that the nature of Britain is innately bound up with monarchy, but we should not kid ourselves about the fact that, as the success of the visit of the Duke and Duchess of Cambridge to Canada and California has shown, it brings remarkable attention to Britain. I was involved in constituency business in Australia at the time of the royal visit to Canada and California, but the media attention focused on that young couple—and another great global icon, Ms Kate Moss—from right around the world was remarkable.

There is a job to be done, and many members of the royal family do it very well. We come to the tricky question of financing it. I share my Front Benchers’ concerns about making sure that we have a proper vehicle to ensure that excessive profits and marked changes in the amount of money flowing to the royal family are properly looked after. I, too, still have questions about the shared ownership of assets when it comes to the royal family. I also share concerns about security costs. We in Stoke-on-Trent were greatly privileged to have a visit by the Earl of Wessex recently, but I have to say that I thought that the security costs and the entourage involved were not wholly necessary.

On timetabling, the move from seven to five years is quite right. When we return to government in the imminent future and return, hopefully, to four-year Parliaments, that period can go down to four years from five years, to reflect the length of a Parliament.

The Chancellor has come up with the least worst option for financing the royal family. As the hon. Member for Gainsborough suggested, the royal palaces are in real danger of decay. Many of them have not had the infrastructure investment that they demand, and demands on their fabric will grow. As part of the quid pro quo of the settlement, we need from the royal family further opening-up of some of the royal palaces, and we need to think more creatively about the art collection held by Her Majesty. We need to continue bearing down on costs, and we need the kind of public accountability and audit that the Bill brings to bear.

The Chancellor and shadow Chancellor spoke of the language of utility and satisfaction, in terms of the relationship between Parliament and monarchy, and this settlement sets us on that road.

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Paul Flynn Portrait Paul Flynn
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That is a splendid illustration of the fact that we are infantilised and incapable of the freedom of expression that I would have if I was writing a blog, speaking on the radio or writing in a newspaper. This House and our role is diminished because of that. As an elected representative who has long been regarded by my constituents as a republican, I am denied the opportunity of speaking the truth as I see it.

Tristram Hunt Portrait Tristram Hunt
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On my hon. Friend’s substantive point, does he not think that the Fixed-term Parliaments Bill will withdraw the capacity for such royal interference in elections?

Paul Flynn Portrait Paul Flynn
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I think that many advances have been very beneficial. One of the most important was the decision we took in 2003 to vote on whether we go to war. Some 230 Members voted against. Unlike my hon. Friend, I do not agree with many of the attributes that give us our national status in the world of being “wider still and wider”. Many people praise us for that because it means that we can punch above our weight. It also means that our soldiers have to die beyond our responsibilities. We have taken on an unreasonable share of the dying in Afghanistan and Iraq because of the elevated view we have of our status, which is a damaging view.