27/06/2016

:00:00. > :00:10.The member for tooting. Thank you very much.

:00:11. > :00:23.Order. Statement, the Prime Minister. Thank you, Mr Speaker. Web

:00:24. > :00:28.promotion I would like to make a statement on the result of the EU

:00:29. > :00:33.referendum. Last week saw one of the biggest democratic exercises in our

:00:34. > :00:36.history, with over 33 million people from England, Scotland, Northern

:00:37. > :00:41.Ireland, England, and Gibraltar having their say. We should be proud

:00:42. > :00:46.is right that we do not just leave is right that we do not just leave

:00:47. > :00:52.it to politicians but listen directly to the people. That is why

:00:53. > :00:59.people voted for a referendum with a margin of 6-1. Let me welcome the

:01:00. > :01:03.new member to her place. I would advise her to keep her mobile phone

:01:04. > :01:11.on as she may be in the Shadow Cabinet by the end of the day.

:01:12. > :01:30.I thought I was having a bad day. Let me set out for the House what

:01:31. > :01:34.this book means, the steps we are taking to stabilise the UK economy,

:01:35. > :01:39.the preparatory work for negotiation to leave the EU, our plans were in

:01:40. > :01:44.gauging with the devolved administrations, and our next step

:01:45. > :01:47.tomorrow's European Council. The British people had voted to leave

:01:48. > :01:51.the European Union. It was not the result that I wanted or the outcome

:01:52. > :02:03.that I think is best, but there can be no doubt about the result. I do

:02:04. > :02:05.not take back what I said about the risks, it will be difficult and I

:02:06. > :02:07.will be adjustments within the economy, complex constitutional

:02:08. > :02:11.issues, and challenging renegotiation. I am clear that the

:02:12. > :02:17.decision must be accepted and the process of implementing it in the

:02:18. > :02:21.best possible wave must now begin. At the same time, we have a

:02:22. > :02:28.fundamental responsibility to bring our country together. We have seen

:02:29. > :02:30.community Centre, verbal abuse community Centre, verbal abuse

:02:31. > :02:35.against individuals because they come from ethnic minorities. These

:02:36. > :02:41.people have come here and contributed to our country. We will

:02:42. > :02:47.not stand for hate crime or these attacks, they must be stamped out.

:02:48. > :02:50.We can reassure European citizens living here and British people in

:02:51. > :02:54.European countries that there will be no immediate changes in the

:02:55. > :02:59.circumstances. There will not be any change in the way our people travel,

:03:00. > :03:04.in the way our bits move, or the way our services are sold. The deal

:03:05. > :03:08.renegotiated at the European Council in February will be discarded and a

:03:09. > :03:14.new negotiation to leave the EU will begin under a new Prime Minister.

:03:15. > :03:17.companies are considering their companies are considering their

:03:18. > :03:21.investments and we know this will not be plain sailing. We should take

:03:22. > :03:26.confidence from the fact that Britain is ready to confront what

:03:27. > :03:31.the future holds from a position of strength. As a result of our

:03:32. > :03:38.long-term plan, we have one of the strongest economies in the world. We

:03:39. > :03:43.are well placed to face the challenges ahead. We have no, stable

:03:44. > :03:49.inflation, the employment rate remains the highest it has ever

:03:50. > :03:54.been, the budget deficit is over 11% of national income to be less then

:03:55. > :03:58.3% this year is forecast. The financial system is more resilient

:03:59. > :04:04.than it was six years ago, with capital requirements now ten times

:04:05. > :04:09.higher than before the banking crisis. -- banking crisis. The

:04:10. > :04:12.market may not have expected the result, but the Treasury and Bank of

:04:13. > :04:17.England and other financial authorities have spent the last

:04:18. > :04:22.month putting contingency plans in place. As a governor of the Bank of

:04:23. > :04:24.England said on Friday, stress test showed that UK institutions have

:04:25. > :04:27.enough capital liquidity to enough capital liquidity to

:04:28. > :04:33.withstand this scenario more severe than the one the country faces. The

:04:34. > :04:39.bank will make available to London ?50 billion is to support banks and

:04:40. > :04:42.markets. In the coming days, the Treasury, the Bank of England, and

:04:43. > :04:47.the financial authorities will continue to be in contact and they

:04:48. > :04:52.have contingency plans in place and they will not hesitate to take

:04:53. > :04:57.further measures if required. In terms of negotiating our exit from

:04:58. > :05:03.the EU, the Cabinet met this morning and agreed to make a new EU unit in

:05:04. > :05:09.Whitehall. This will bring up together -- this will bring together

:05:10. > :05:13.various expertise. It is the most complex and important past that the

:05:14. > :05:18.British civil service has undertaken in decades. It will sit at the heart

:05:19. > :05:23.of Government and it will be staffed with the best from across our civil

:05:24. > :05:25.service. It will report to the Cabinet on the outcome of the

:05:26. > :05:32.referendum and will advise on transitional options and will

:05:33. > :05:36.discuss our future relationships from outside the European Union. It

:05:37. > :05:40.will be responsible for making sure the Prime Minister has the best

:05:41. > :05:45.advice. I know that colleagues on all sides of the House will want to

:05:46. > :05:52.contribute to how we prepare and execute the new negotiation to leave

:05:53. > :05:56.the European Union. All views and representations will be listened to

:05:57. > :06:01.exercise. He will play no part in exercise. He will play no part in

:06:02. > :06:05.the leadership election. We must ensure that the interests of all

:06:06. > :06:08.parts of our United Kingdom are protected and advance. As he

:06:09. > :06:12.prepared for a new negotiation with the European Union we will involve

:06:13. > :06:17.the Scottish, Welsh, Northern Ireland governments. We will also

:06:18. > :06:20.consult Gibraltar, the overseas territories and all regional centres

:06:21. > :06:26.of power, including the London assembly. I have spoken to the first

:06:27. > :06:30.ministers of Scotland and Wales and the first and Deputy first from

:06:31. > :06:36.Northern Ireland. We will be working intensively together in the coming

:06:37. > :06:39.weeks to bring our devolved administrations into the process for

:06:40. > :06:43.determining the decisions that need to be taken. While all these

:06:44. > :06:46.decisions will have to wait for the arrival of the new Prime Minister,

:06:47. > :06:50.there is work that can be started now. The British and Irish

:06:51. > :06:54.governments will start to meet this week to work to the challenges

:06:55. > :06:59.related to the common border area. Tomorrow I will attend the European

:07:00. > :07:04.Council. I've spoken to Angela Merkel, President Holland and a

:07:05. > :07:07.number of other leaders. We discussed the need to prepare for

:07:08. > :07:11.negotiations and the fact that the British Government will not be

:07:12. > :07:15.triggering Article 50 at this stage. Before we do that we will determine

:07:16. > :07:18.the kind of relationship that the one with the EU and that is

:07:19. > :07:23.something for the next Prime Minister and the Cabinet to decide.

:07:24. > :07:26.presidents of the European Council presidents of the European Council

:07:27. > :07:31.it clear again tomorrow. This is our it clear again tomorrow. This is our

:07:32. > :07:36.sovereign decision and it will be for Britain to take it. Tomorrow is

:07:37. > :07:39.also an opportunity to make the point that Britain is leading the

:07:40. > :07:44.European Union but we will not turn our back on Europe or the rest of

:07:45. > :07:47.the world. The nature of the relationship that we secured with

:07:48. > :07:51.the EU will be determined by the next Government, but I think

:07:52. > :07:54.everyone is agreed that we want the strongest possible economic links

:07:55. > :07:58.with our European neighbours as well as with our friends in North

:07:59. > :08:02.America, the Commonwealth, and India and China. I'm also sure that

:08:03. > :08:07.whatever the precise nature of our relationship we will want to

:08:08. > :08:10.continue with a great deal of our extensive security cooperation and

:08:11. > :08:13.to do everything we can to influence decisions that will affect the

:08:14. > :08:19.prosperity and safety of here at home. This negotiation will require

:08:20. > :08:22.strong, determined and committed leadership and as I have said I

:08:23. > :08:26.think the country requires a new Prime Minister and Cabinet to take

:08:27. > :08:31.it in this direction. I have not taken this decision lightly but I am

:08:32. > :08:35.convinced it is then the national interest. Believing he was not be

:08:36. > :08:40.passed directly men did, I praise our strength is the country. As they

:08:41. > :08:44.proceed with implementing this decision and facing the challenges

:08:45. > :08:48.it will bring, I believe we should help fast in a vision of Britain

:08:49. > :08:52.wants to be respected abroad, tolerate at home, engaged in the

:08:53. > :08:57.world and working with our international partners to advance

:08:58. > :09:00.this security and prosperity of our nation for generations to come. I

:09:01. > :09:04.have thought for those every day of my political life and I will

:09:05. > :09:12.continue doing so. I commend this statement to the House. Jeremy

:09:13. > :09:16.Corbyn. Thank you Mr Speaker. Firstly I would like to thank the

:09:17. > :09:21.British people for turning out to vote in the referendum in such high

:09:22. > :09:27.numbers. The vote was a reflection of the significance of the issue. It

:09:28. > :09:33.was a close vote on the back of a campaign that was too often divisive

:09:34. > :09:38.and negative. These benches put forward a positive case to remain

:09:39. > :09:41.part of the European Union and convinced more than two thirds of

:09:42. > :09:46.our own supporters. The majority of people had voted to leave and we

:09:47. > :09:52.have listened to and accepted what they have said. Many people feel

:09:53. > :09:57.disenfranchised and panellist. Especially in parts of the country

:09:58. > :10:06.that have been left behind for too long. Communities that have been let

:10:07. > :10:14.down, not by the European Union but by Tory governments. Those

:10:15. > :10:20.communities do not trust politicians to deliver because for too long they

:10:21. > :10:25.have not. In this bed of more extreme cuts to local services,

:10:26. > :10:29.which have hit the area is the hardest, this Government needs to

:10:30. > :10:36.invest in bills communities. Many of those areas are very concerned,

:10:37. > :10:41.deeply concerned about the security pledge to EU funding. Can the Prime

:10:42. > :10:45.Minister give us any guarantees on those issues is that money is

:10:46. > :10:52.desperately needed? Secondly, there is an issue of trust. The terror of

:10:53. > :10:57.the referendum campaign was disheartening as half truths were

:10:58. > :11:02.told. Many leave figures spent the weekend distancing themselves from

:11:03. > :11:10.these, not least the boat to leave would hand the NHS an extra ?350

:11:11. > :11:14.million every week. It is shameful that politicians make claims they

:11:15. > :11:21.knew to be false and promises they knew could not be delivered. Badly,

:11:22. > :11:27.real concern exists about immigration but too much of the

:11:28. > :11:32.discussion in the referendum campaign was divisive. -- Burghley.

:11:33. > :11:39.In the days following the result, it appears there was a rise in racist

:11:40. > :11:43.incidents, such as the attack on the Polish Centre in Hammersmith which

:11:44. > :11:47.the Prime Minister referred to and many other incidents across the

:11:48. > :11:51.country. I hope the Prime Minister and Home Secretary will take all the

:11:52. > :11:54.action that they can to halt these attacks, to halt the racist

:11:55. > :12:03.behaviour on the streets of the country. As political leaders, we

:12:04. > :12:08.have a duty to keep our language and tone calm, especially at the events

:12:09. > :12:15.of ten days ago. The country is divided and it will thank me those

:12:16. > :12:25.in front of me or those behind for indulging in internal movements

:12:26. > :12:35.within their parties at this time. Mr Speaker, we have... Mr Speaker,

:12:36. > :12:44.we have serious matters to discuss in this House and in the country. I

:12:45. > :12:51.want to accommodate as many as possible of those colleagues who

:12:52. > :12:54.want to question the Prime Minister. People will be -- things will just

:12:55. > :13:00.be flowed down if people keep interrupting. It appears that

:13:01. > :13:04.neither wing of the Tory Government has an exit plan, which is why we

:13:05. > :13:10.are insisting that the Labour Party be fully engaged in the negotiations

:13:11. > :13:12.that lie ahead. We need the freedom to shape our economy for the future

:13:13. > :13:18.and to protect social and employment and to protect social and employment

:13:19. > :13:23.on trade, migration, environmental on trade, migration, environmental

:13:24. > :13:25.understand the Prime Minister is understand the Prime Minister is

:13:26. > :13:32.standing down in three months, but we cannot be paralysed until then.

:13:33. > :13:34.The Prime ministers meet in the European Council tomorrow and I hope

:13:35. > :13:37.he is meeting the European Council tomorrow and I hope he's going to

:13:38. > :13:43.say that negotiations will begin so we know what is happening rather

:13:44. > :13:47.than being delayed until October. We have a duty to act in the national

:13:48. > :13:51.interest is the House and to make sure we get the best agreements for

:13:52. > :13:55.our constituents. Will the Prime Minister confirmed that in the light

:13:56. > :13:59.Chancellor will announce a Chancellor will announce a

:14:00. > :14:07.suspension, worried termination, of his even more counter-productive

:14:08. > :14:10.fiscal rule? The economy needs a clear plan for investment,

:14:11. > :14:15.particularly in the communities that have been damaged by this Government

:14:16. > :14:21.and has said such a strong message to us last week. Will he

:14:22. > :14:24.specifically rule out tax rises or further cuts to public services that

:14:25. > :14:29.were threatened in the pre-referendum period? I welcome his

:14:30. > :14:34.assurances on the uncertainty felt by many European nationals working

:14:35. > :14:38.in our economy, including the 52,000 who worked so well and help our

:14:39. > :14:44.National Health Service to provide the service we need. It is welcome

:14:45. > :14:48.that the Prime Minister is consulting with the devolved

:14:49. > :14:53.administrations and I hope that the Mayor of London, a city from which

:14:54. > :14:56.the implications are huge. We must act in the public interest and

:14:57. > :15:00.support measures to reduce volatility. I welcome market

:15:01. > :15:05.protections, but what about protection for people's jobs, wages

:15:06. > :15:09.and pensions? Can the Prime Minister may clear plans in place. The

:15:10. > :15:14.Chancellor 's book this morning to reassure the stock markets, although

:15:15. > :15:17.they remain uncertain. -- the Chancellor spoke. We understand some

:15:18. > :15:28.measures cannot be discussed in the House, but can you give this

:15:29. > :15:36.And, may I say, Mr Speaker that I have many fundamental disagreements

:15:37. > :15:39.with the policies of the poor Mr and his Government. Nevertheless, as he

:15:40. > :15:44.announces the end of his Premiership, it is right to reflect

:15:45. > :15:47.that he led a Government that delivered equal marriage against the

:15:48. > :15:51.majority of his own MPs, and he was right to do so. I want to thank and

:15:52. > :15:58.also for his response to the bloody Sunday enquiry, and how he reacted

:15:59. > :16:02.to the tragic murder of Jo Cox. We thank him for a service and I'm sure

:16:03. > :16:09.we will enjoy many more debate and disagreement while he continues as

:16:10. > :16:13.Prime Minister. Let me agree with the Leader of the Opposition that it

:16:14. > :16:16.was positive that turnout was so high. I also agree with him that we

:16:17. > :16:20.do need to reach out to those people who have not entered from economic

:16:21. > :16:24.growth and make sure they feel that their economic security is important

:16:25. > :16:28.to us as well. But I do not agree with him that it is right to start

:16:29. > :16:32.to refight the campaign all over again. All I know from my part is

:16:33. > :16:35.that I feel I put everything I could into the campaign that I believed

:16:36. > :16:40.in, head, heart and soul, and left nothing out, and I think that was

:16:41. > :16:43.the right thing to do. Answering his questions on money, different areas

:16:44. > :16:47.of the country get, until we leave the EU, none of those arrangements

:16:48. > :16:51.change. What has been set out in the budget, payments and the rest of it,

:16:52. > :16:55.all of those continued. As the negotiation begins properly for

:16:56. > :16:59.leaving, obviously the next Government will want to set out what

:17:00. > :17:05.arrangement it will put in place for farmers, local authorities, four

:17:06. > :17:07.regions of our country. On intolerance and fighting

:17:08. > :17:10.intolerance, I absolutely agree with him. We must dig all action we can

:17:11. > :17:16.to stand aside. He asked about the Chancellor's fiscal rule and also

:17:17. > :17:21.future plans. I would say, we have not worked so hard to get the Budget

:17:22. > :17:25.deficit down to see that go to waste, we must continue to make sure

:17:26. > :17:29.that we have a stoned strong economic plan in our country. For

:17:30. > :17:32.the coming months it is my responsibility and the Chancellor's

:17:33. > :17:35.responsibility, in time it will be the responsibility of a new

:17:36. > :17:38.Government, and they will have to decide how to react if there are

:17:39. > :17:42.economic goodies along the way. He asked if they could be private

:17:43. > :17:47.meetings for members of the front bench with the Chancellor, as always

:17:48. > :17:51.in these arrangements, if Shadow Cabinet members want those sorts of

:17:52. > :17:54.briefings, they can have them. And can I finally thank him for his kind

:17:55. > :17:57.remarks and the fact that he hopes will be debating with each other for

:17:58. > :18:11.some weeks and possibly months to come? Mr Speaker, when we acquire

:18:12. > :18:17.any Government that has decided what it means by leaving and draws up

:18:18. > :18:20.some detailed policy instructions for the committee officials he has

:18:21. > :18:23.set up, a great deal of detailed legislation covering a whole variety

:18:24. > :18:29.of fields will start being submitted to this Parliament. Does my Right

:18:30. > :18:33.Honourable Friend agree that we still have a Parliamentary

:18:34. > :18:38.democracy, and it will be the duty of each member of Parliament to

:18:39. > :18:42.judge each measure in the light of what each man and woman regards as

:18:43. > :18:46.the national interest? And not to take broad guidance from a

:18:47. > :18:51.plebiscite which has produced a small majority on a broad question

:18:52. > :18:56.after a bad-tempered and ill informed debate? And would he agree

:18:57. > :19:02.that we face months of uncertainty everywhere not careful... It is

:19:03. > :19:05.willing not acceptable for people to make that level of noise. The Right

:19:06. > :19:09.Honourable and learned gentleman will be hard, and every member of

:19:10. > :19:12.this house will be heard. Lets accord the Right Honourable and

:19:13. > :19:17.leather gentleman the respect which he is entitled. Thank you, Mr

:19:18. > :19:20.Speaker. Would he agree there is a risk of uncertainty for a few

:19:21. > :19:26.months, causing considerable difficulty, would he consider the

:19:27. > :19:31.possible first step of joining the European economic area, which was

:19:32. > :19:35.designed in the first place for countries like Norway and Iceland,

:19:36. > :19:39.where the great bulk of politicians whist to join the European Union but

:19:40. > :19:47.could not get past the ridiculous hurdle of a referendum in order to

:19:48. > :19:50.get their? And that would at least could be negotiated, modifications,

:19:51. > :19:53.changes, if anybody can decide what they want after we get there, but it

:19:54. > :19:59.would give some reassuring order and stability to our economy, and might

:20:00. > :20:04.begin to track a little investment and future prospects. Let me thank

:20:05. > :20:08.my Right Honourable Friend for his remarks. My view is simple, this

:20:09. > :20:12.house should not block the will of the British people to leave the

:20:13. > :20:14.European Union. But of course we have now got a look at all the

:20:15. > :20:17.detailed arrangements, and Parliament will clearly have a role

:20:18. > :20:22.in that in making sure that we find the best way forward. That will

:20:23. > :20:25.principally be the job for the next Government, but I do believe in

:20:26. > :20:28.Parliamentary sovereignty and the sovereignty of this Parliament, and

:20:29. > :20:34.a lot of detail will have to be discussed and debated. Decisions

:20:35. > :20:39.like with not enjoying the EEA will have to be for a future Government.

:20:40. > :20:48.Scotland voted overwhelmingly to remain in the European Union. 62% of

:20:49. > :20:53.voters cast their votes to remain in the EU, every single local

:20:54. > :20:59.Government area in the country voted to remain in the EU. And in

:21:00. > :21:03.Scotland, we voted to remain because it really matters that we are in the

:21:04. > :21:08.single European market, because we value the free movement of people,

:21:09. > :21:11.of goods and services, the cars are EU citizenship rights matter, as do

:21:12. > :21:17.our legal safeguards for workers, for women, and for parents. In

:21:18. > :21:24.Scotland, we voted to remain because we are a European nation. And it

:21:25. > :21:29.really, really matters to us that we live in an outward looking country,

:21:30. > :21:34.not a diminished Little Britain. In Scotland we are now being told Frost

:21:35. > :21:38.Westminster that despite the majority against Leave, we will have

:21:39. > :21:44.to do as we are told, we're going to be taken out of Europe against our

:21:45. > :21:50.will. Let me tell this house and our friends across Europe, we have no

:21:51. > :21:57.intention whatsoever of seeing Scotland taken out of Europe. That

:21:58. > :22:02.would be totally, totally and practically unacceptable. We are a

:22:03. > :22:06.European country and we will stay a European country. And if that means

:22:07. > :22:13.we have to have an independence referendum to protect Scotland's

:22:14. > :22:17.lace, then so be it. Thank goodness, Mr Speaker, that we have a Scottish

:22:18. > :22:22.Government and the First Minister prepared to lead and seek to protect

:22:23. > :22:25.Scotland's lace, and it is very, very welcome that this approach is

:22:26. > :22:31.being supported by opposition political parties across the

:22:32. > :22:36.Scottish Parliament. Meanwhile, Project fair has turned into project

:22:37. > :22:42.farce. Apparently those who proposed we should leave Europe have no plan.

:22:43. > :22:49.A senior Leave MP said, "There is no plan. The Leave campaign do not have

:22:50. > :22:56.a post Brexit plan. Number ten should have had a plan." Meanwhile,

:22:57. > :23:01.UK share places are so volatile that some stocks have temporarily been

:23:02. > :23:09.suspended, and sterling has hit a 31 year low. Mr Speaker, on one thing I

:23:10. > :23:16.hope we are all agreed. And that is that we take very serious note of

:23:17. > :23:21.the very disturbing series of racist incidents directed against our

:23:22. > :23:27.fellow citizens who happen to come from other European countries. I

:23:28. > :23:31.hope that we all, on all sides, totally repudiate these despicable

:23:32. > :23:36.acts, and encourage the police and prosecuting authorities to do all

:23:37. > :23:39.that they can. Given the economic damage and uncertainty that has

:23:40. > :23:44.currently been caused, may I ask the Prime Minister the following

:23:45. > :23:47.financial questions? We welcome the actions of the governor of the Bank

:23:48. > :23:50.of England to help provide certainty in difficult times. Can the Prime

:23:51. > :23:57.Minister confirm that the governor has no plans presently change his

:23:58. > :24:01.forward guidance on interest rates? The SNP will continue to support any

:24:02. > :24:05.sensible measures to deliver stability and confidence in the UK

:24:06. > :24:09.economy at this time. However, we want to be explicitly clear that

:24:10. > :24:15.this will not be used to further deepen the programme of austerity.

:24:16. > :24:17.In conclusion, the lack of leadership from Whitehall over the

:24:18. > :24:23.past few days has been unprecedented. We recognise that any

:24:24. > :24:27.further drift or vacuum simply exacerbates uncertainty. We know the

:24:28. > :24:31.Prime Minister is planning to leave, and we wish him well, but can we

:24:32. > :24:35.have an absolute assurance that his Government will finally start to

:24:36. > :24:43.take a firm grip of the situation we all sadly find ourselves in? First,

:24:44. > :24:47.what I say is that our focus should be to get the very best deal for the

:24:48. > :24:51.United Kingdom outside the European Union, and that should be the very

:24:52. > :24:55.best deal for Scotland as well. I absolutely agree with him about the

:24:56. > :24:59.despicable acts of racism that have taken place, and let me reassure him

:25:00. > :25:02.as well but we will take every step we can. He asked Western

:25:03. > :25:05.specifically about interest rates, that is a matter for the governor of

:25:06. > :25:07.Bank of England and the Monetary Policy Committee, and they set out

:25:08. > :25:11.their abuse in advance of the referendum. He asked about budgets,

:25:12. > :25:14.that is a matter for a future Government. But let me say this.

:25:15. > :25:20.Cotton benefits from being into single market, the United Kingdom

:25:21. > :25:30.and the European single market. -- Scotland benefits. In my view, the

:25:31. > :25:37.best outcome is to try to both. May I first of all paid tribute to the

:25:38. > :25:43.Prime Minister for the dignity with which he addressed the nation from

:25:44. > :25:50.ten Downing St yesterday? Will my Right Honourable Friend take a

:25:51. > :25:53.positive and simple message to the leaders of the other 27 member

:25:54. > :26:01.states at the European Council tomorrow, namely that the voters of

:26:02. > :26:06.the United Kingdom have demonstrated a value of that great principle, the

:26:07. > :26:14.principle of democracy, in which people fought and died? Let me thank

:26:15. > :26:18.my honourable friend. Of course when I go to the Council tomorrow I will

:26:19. > :26:21.report directly on the result and the decision of the British people.

:26:22. > :26:26.And no one should be in any doubt about that. But I think it is

:26:27. > :26:30.important that we set off on this part of exciting from the European

:26:31. > :26:37.Union, trying to build as much goodwill as possible on both sides.

:26:38. > :26:40.Can I pay tribute to the Prime Minister following the announcement

:26:41. > :26:44.of his resignation on Friday? We have not often agreed, but his

:26:45. > :26:48.commitment to historic bipartisanship during the Coalition

:26:49. > :26:51.Government and his energetic commitment to the Remain campaign

:26:52. > :26:58.contrasts favourably to the tribalism of others. He has my

:26:59. > :27:04.respect and my thanks. I also respect the outcome of the

:27:05. > :27:07.referendum. But I still feel passionately that Britain's

:27:08. > :27:12.interests are best served at the heart of Europe in the European

:27:13. > :27:21.Union. I can accept defeat, but I will not give up. I have not changed

:27:22. > :27:24.my beliefs. With the promises of the Leave campaign unravelling and no

:27:25. > :27:28.leadership insured by the opposition, will the Prime Minister

:27:29. > :27:31.confirm that free movement of people and access to the single market are

:27:32. > :27:35.paramount to the economics ability of Britain? And will he launch an

:27:36. > :27:45.investigation into the whereabouts of the members of Oxbridge Ansari?

:27:46. > :27:48.-- Oxbridge Ansari. It is not up to me to ensure attendance in the

:27:49. > :27:51.Chamber. I have many responsibilities, but that is not

:27:52. > :27:54.one of them. Let me thank him for what he said about my leadership,

:27:55. > :27:58.and say how much I enjoy the on the platform with him outside Birmingham

:27:59. > :28:01.University which brought together himself, myself and Gordon Brown, in

:28:02. > :28:07.a unique, but obviously unpersuasive trilogy. Although I have to say that

:28:08. > :28:11.Gordon Brown and the Right Honourable member Dave fantastic

:28:12. > :28:14.speeches. I think he is right that the decision we're going to have to

:28:15. > :28:17.take, and it will be for the next Government, but how we get the best

:28:18. > :28:20.possible access to the single market, that will be one of the

:28:21. > :28:24.single most important decisions that the Government will take on, because

:28:25. > :28:27.we must bear in mind the importance of safeguarding our economy, trade

:28:28. > :28:33.links, and jobs. That'll be a very serious consideration. Much of the

:28:34. > :28:36.distress expressed by those who voted Remain on Thursday has been

:28:37. > :28:39.that they believe their country has turned its back on their values.

:28:40. > :28:45.Does the Prime Minister agree that they can be reassured that the

:28:46. > :28:48.tolerance, openness and Western liberal internationalism that we

:28:49. > :28:52.supported within the European Union will continue to be the hallmark of

:28:53. > :28:57.the United Kingdom as we seek a new role in the world?

:28:58. > :29:03.I hope my honourable friend is right. I think that Britain is at

:29:04. > :29:05.its strongest when we stand up for our values and work with others. We

:29:06. > :29:11.will still be full members of Nato, will still be full members of Nato,

:29:12. > :29:18.the Security Council, the G-7, Britain does best when we make our

:29:19. > :29:24.voice heard to these organisations. -- heard through these

:29:25. > :29:28.organisations. I never thought I read Steve the day when I wish

:29:29. > :29:34.they'd Tory Prime Minister with win a vote, and last Thursday I did. I

:29:35. > :29:38.think the country will pay a better price because he lost this one.

:29:39. > :29:46.Leaving aside the constitutional turmoil, the economy's damage, and

:29:47. > :29:49.the uncertainty, the leaders of the Brexit campaign have engendered an

:29:50. > :29:54.atmosphere where some people believe it is open season now for racism.

:29:55. > :29:57.Will the Prime Minister said clearly Will the Prime Minister said clearly

:29:58. > :30:03.that when it comes to the difficulties of getting a job, the

:30:04. > :30:09.problems when it comes to the difficulties of getting a job,

:30:10. > :30:13.problems in the NHS, or housing, or schools, that is the responsibility

:30:14. > :30:20.of his Government to sort out, not be fault of migrants from the EU or

:30:21. > :30:23.anywhere else. Can I praise the right honourable lady for her

:30:24. > :30:28.decision to cross party lines and appear with others on platforms to

:30:29. > :30:33.make the arguments that she made persuasively. She is right that we

:30:34. > :30:37.must be clear about our commitment to diversity and tolerance and our

:30:38. > :30:42.intolerance of racism and hate crimes as we've seen in recent days.

:30:43. > :30:46.I know that is the view of honourable members in this House

:30:47. > :30:53.though matter what side of the House they were on. That message needs to

:30:54. > :30:58.quite clearly. Does the Prime Minister recall that when we held

:30:59. > :31:04.the boat in September last year on the EU referendum bill, not a single

:31:05. > :31:06.Conservative and only one Labour Conservative and only one

:31:07. > :31:14.member voted against it? Is it not a member voted against it? Is it not a

:31:15. > :31:17.bit late now for people to talk about blocking the implementation of

:31:18. > :31:23.the result just because they disagree with it and finally, as it

:31:24. > :31:29.is good to end in a positive note, would he care to bring in the vote

:31:30. > :31:37.for the Trident successor submarines before he leaves office? I think it

:31:38. > :31:41.is clear when it comes to numbers he wants for submarines and one

:31:42. > :31:45.referendum. He makes a good point. When the House voted on the

:31:46. > :31:50.referendum it was by a margin of 6-1 to hold the referendum. We will have

:31:51. > :31:54.a plan for all the other decisions that can be made during the

:31:55. > :31:58.remainder of this parliamentary session and I hope that includes the

:31:59. > :32:05.one that he mentions. I would like to add my thanks to the Prime

:32:06. > :32:09.Minister for his service to the nation and his place in the

:32:10. > :32:13.Coalition Government. Knowing that time we disagreed on many things

:32:14. > :32:19.that I appreciated his ability and good humour, which is on display

:32:20. > :32:23.today, and his ability to see politics from the perspective of

:32:24. > :32:26.other people. I think those qualities ensure the stability that

:32:27. > :32:33.was necessary as the country was recovering from the shocks of 2008

:32:34. > :32:37.and he should be thanked for that. I have heard a lot about democratic

:32:38. > :32:40.ticket not be right as a matter of ticket not be right as a matter

:32:41. > :32:44.democratic principle that only democratic principle that only

:32:45. > :32:48.members of the Conservative Party constituting a tiny percentage of

:32:49. > :32:53.the total electorate, should be the only people that have a say to elect

:32:54. > :32:54.the new Prime Minister with new priorities different to those he got

:32:55. > :32:59.elected last year. But he agree that elected last year. But he agree that

:33:00. > :33:06.there should be an early general election? Let me thank him for his

:33:07. > :33:14.kind words. We did work together successfully and I know that he paid

:33:15. > :33:19.a large personal and political price for the support he offered to the

:33:20. > :33:23.Government. What I would say about the leadership election that will

:33:24. > :33:32.now take place is that all parties have rules for electing leaders.

:33:33. > :33:37.Those rules will be followed. In the coalition agreement we agreed a

:33:38. > :33:43.fixed term Parliament act which many of my colleagues have misgivings

:33:44. > :33:47.about. I think it is a good measure. A new Prime Minister should take

:33:48. > :33:56.office and it is for them to decide whether to build the terms of this

:33:57. > :33:59.Parliament or do something else. My right honourable friend will know

:34:00. > :34:05.that are larger and people my constituency who work in the service

:34:06. > :34:09.They have seen jobs leave this They have seen jobs leave this

:34:10. > :34:18.country this weekend and they are worried about their future. They

:34:19. > :34:22.need to be a part of the single market and so does this country as

:34:23. > :34:28.they currently have a ?20 billion surplus. Will my honourable friend

:34:29. > :34:32.ensure that is given the highest priority in the national interest in

:34:33. > :34:37.our negotiations? He makes an important point that let me stress

:34:38. > :34:42.nothing changes in the UK's trading relations with Europe until we

:34:43. > :34:47.actually leave the European Union. There is a period where service

:34:48. > :34:50.companies will maintain that passport and one of the most

:34:51. > :34:53.important tasks for the new Government will be to negotiate the

:34:54. > :34:59.best possible arrangements with the single market. There is a strong

:35:00. > :35:00.case for trying to remain in the single market, but that will be a

:35:01. > :35:19.decision for the new Government. As the process of leaving the

:35:20. > :35:24.European Union unfolds, we will continue to face a large number of

:35:25. > :35:31.international challenges, climate change, the threat of terrorism,

:35:32. > :35:35.among them. We risk seeing our voice in the world diminished. Does the

:35:36. > :35:40.Prime Minister agree that in the negotiations every effort should be

:35:41. > :35:44.made to ensure that we continue to have tactical cooperation with our

:35:45. > :35:48.European allies so we can obtain the kind of influence in the world that

:35:49. > :35:52.is so important to our prosperity and security? We agree on this issue

:35:53. > :35:58.and we spent some time on the and we spent some time on the

:35:59. > :36:03.campaign discussing it. I would say that it is important to use all of

:36:04. > :36:07.these forums to maximise Britain's influence and they will have to find

:36:08. > :36:10.a way under the new Government to work out how to work with the

:36:11. > :36:15.European Union to get the maximum effect for the British stance on

:36:16. > :36:21.climate change, Syria, and how we try to prevent refugees leaving

:36:22. > :36:24.Libya. These will be issues for a future Government. I know from what

:36:25. > :36:29.happened in the campaign that this is not about Britain's rack

:36:30. > :36:36.withdrawal from the world or playing less of their role, we will need to

:36:37. > :36:40.work out a way forward. I would like to add my voice to the tributes to

:36:41. > :36:46.the Prime Minister from across the House. He has made Oxfordshire pride

:36:47. > :36:49.and we will miss him. Will he take this opportunity to reassure the

:36:50. > :36:55.science and innovation sector that the Government will fight to protect

:36:56. > :36:58.access to Horizon 2020 funding and research collaborations and two

:36:59. > :37:04.recruitments of the brightest and recruitments of the brightest and

:37:05. > :37:08.best of EU researchers, who are essential to our knowledge economy

:37:09. > :37:12.and deserve to know they will be a priority in ongoing negotiations. I

:37:13. > :37:17.found my honourable friend for her kind remarks and it has been eight

:37:18. > :37:23.pleasure to be her constituency neighbour and working together. How

:37:24. > :37:27.we maintain advances in British science and the competitiveness of

:37:28. > :37:32.our universities is one of the issues the EEE unit will look at. We

:37:33. > :37:35.have done well in this part of the European Union. The new Government

:37:36. > :37:40.will have to look the evidence for that and how to move forward. I

:37:41. > :37:46.would like to commend the Prime Minister for the way he handled

:37:47. > :37:52.Friday and his very diplomatic and kind speech today. I would ask him

:37:53. > :37:56.to continue to show that leadership in the coming months to ensure that

:37:57. > :38:00.some of the hysteria which has been around about what is called the

:38:01. > :38:07.happened to the country is kept under control. Could I have skim to

:38:08. > :38:14.condemn to Dave Bennett clearly those people -- chiasm to condemn

:38:15. > :38:21.today those who are implying that those who voted to leave the

:38:22. > :38:25.European Union are closeted racists? I have been on the opposite side to

:38:26. > :38:30.the honourable lady in this debate but I know a discouraged to stand up

:38:31. > :38:36.as she has. One of my first jobs in politics was as a researcher in her

:38:37. > :38:40.constituency and if I had now and then she would be part of my

:38:41. > :38:45.There are many people on both sides There are many people on both sides

:38:46. > :38:47.of the debate who have strong views about tolerance and diversity and we

:38:48. > :38:56.need to make sure that shines need to make sure that shines

:38:57. > :39:01.through in the coming days. As the Prime Minister knows, I have not

:39:02. > :39:06.always agreed with him on issues. He also knows I have also been very

:39:07. > :39:10.supportive of him personally and I did not want him to make the

:39:11. > :39:16.announcement he made last week. Having said that, does the Prime

:39:17. > :39:21.Minister agree with me when I say we need to bring the country together.

:39:22. > :39:24.Does he accept that the first part of that is that everyone has to

:39:25. > :39:30.accept the results of the referendum, whether they like it or

:39:31. > :39:34.not? The talk of a second referendum is for the birds. When he goes to

:39:35. > :39:38.see his European counterparts will he passed on the message that what

:39:39. > :39:42.the British people have said is that we are happy to continue with our

:39:43. > :39:48.trading with the European Union but in return for that we are not

:39:49. > :39:54.willing to accept free movement of people or contributing to the EU

:39:55. > :40:00.budget? He is right that we must accept the result and Has and

:40:01. > :40:03.everyone should. What has to happen now is translating that result into

:40:04. > :40:07.action and choosing the right pathway to leave the European Union

:40:08. > :40:11.and the correct relationship to have with it. That will take complex

:40:12. > :40:17.decision-making and he has a clear view about what that should involve.

:40:18. > :40:18.different decisions, but the different decisions, but the

:40:19. > :40:25.decision must be accepted. Many of decision must be accepted. Many of

:40:26. > :40:29.my constituents are European citizens and they are fearful of

:40:30. > :40:33.their future. The Prime Minister has talked about a group of officials

:40:34. > :40:38.set up to determine what Brexit will mean. Can you give any comfort to

:40:39. > :40:47.these people or a timetable for when they will now how they can apply to

:40:48. > :40:48.remain in the UK? There will be many people watching this with the same

:40:49. > :40:54.question that the honourable lady question that the honourable lady

:40:55. > :40:58.has Ascot. The cancer is that while we are members of the European Union

:40:59. > :41:01.there is no change in the rights of circumstances of people coming to

:41:02. > :41:07.live and work in Britain or Britain is going to work in other European

:41:08. > :41:14.countries. -- or people from Britain going to work in. We want to protect

:41:15. > :41:18.the rights of people who are already here. The clarification of this and

:41:19. > :41:22.the rights of British people living in other parts of the European Union

:41:23. > :41:29.will have to wait until the complex negotiations. Can I thank the Prime

:41:30. > :41:32.Minister forgiving the British people the opportunity to vote on

:41:33. > :41:37.decades and can I thank those who decades and can I thank those who

:41:38. > :41:38.voted to leave for giving me a remarkable birthday present on

:41:39. > :41:45.Friday. I also welcomed the Friday. I also welcomed the

:41:46. > :41:50.establishment of the European unit. Does the Prime Minister planned to

:41:51. > :41:55.publish a white paper? I do not think that will be possible. The new

:41:56. > :41:59.unit will need to get up and running and go through the complex issues

:42:00. > :42:06.that need to be sorted out, about agriculture payments, borders, the

:42:07. > :42:09.situation in Northern Ireland, complex issues about which British

:42:10. > :42:15.laws will need to be rewritten and all the rest of it. What I envisage

:42:16. > :42:18.is a series of papers being worked through and discussed by the Cabinet

:42:19. > :42:29.and being prepared for the new Government as it comes in. Given the

:42:30. > :42:34.enormity of this decision and the repercussions of the negotiation

:42:35. > :42:37.process, the arrangements he described some week. He is saying

:42:38. > :42:45.that Members of Parliament should have an informal chat. He is leaving

:42:46. > :42:51.a dangerous political vacuum. Can I urge him to look at broader

:42:52. > :42:55.arrangements to build a wider consensus, including setting up a

:42:56. > :42:59.joint Committee of both Houses of Parliament to look at wider

:43:00. > :43:04.arrangements to involve voices from across the country in what the

:43:05. > :43:09.negotiations about our future Britain alongside the EU should be.

:43:10. > :43:16.Written fields divided now and we have a responsibility to build a new

:43:17. > :43:22.consensus for the future. -- Britain feels very divided now. I do not

:43:23. > :43:28.disagree but Parliament will want to consider how they can best produce

:43:29. > :43:33.evidence and take research and interviews to add to this process. I

:43:34. > :43:42.see the role of the Government to move from one situation, membership

:43:43. > :43:46.of the EU, to another. We need to describe in an objective way for the

:43:47. > :43:50.different outcomes look like and the advantages and disadvantages of

:43:51. > :43:56.them. We know a trade deal like Canada, a situation like Norway, the

:43:57. > :44:00.pros and cons of being in the single market, so people can see the

:44:01. > :44:04.situation in each case. The House of situation in each case. The House of

:44:05. > :44:13.Commons can play a part in that. And also Baker put it Right

:44:14. > :44:18.Honourable Friend for giving the reddish people the chance to dig

:44:19. > :44:22.this historic decision? Isles share his that Britain will continue to be

:44:23. > :44:27.engaged with the rest of the world. I hope in a more positive fashion.

:44:28. > :44:31.May I also expressed the view that I'm disappointed that my Right

:44:32. > :44:34.Honourable Friend has decided to stand down, and I wonder if it is

:44:35. > :44:40.difficult time he might not want to reconsider their decision? I say so

:44:41. > :44:43.because he is a star at the dispatch box. And furthermore as he has

:44:44. > :44:49.demonstrated today, he will rather miss it if he is not here to do it.

:44:50. > :44:52.I'm sure there are many things I will miss, and statements that go on

:44:53. > :45:01.for at least three hours are perhaps one of them. What on earth will I do

:45:02. > :45:04.to fill my time? But the reason for my decision to remind us that the

:45:05. > :45:09.country has made a very clear decision to go in a particular

:45:10. > :45:12.direction, and I really do believe it needs someone, fresh leadership,

:45:13. > :45:17.a fresh pair of eyes, committed to that path and to get to get right

:45:18. > :45:20.for Britain, and I think that does require a change, and that is why

:45:21. > :45:25.amid the decision I did, and I'm certainly not changing my mind.

:45:26. > :45:29.Talking of which, at nine o'clock this morning the Right Honourable

:45:30. > :45:35.member for Uxbridge welcomed the stabilisation of the pound. At

:45:36. > :45:41.lunchtime, sterling fell to a 31 year low against the dollar. If you

:45:42. > :45:45.break it, you own it. So who owns this particular adjustment? Is of a

:45:46. > :45:51.Prime Minister who called the referendum, or the Right Honourable

:45:52. > :45:58.member for Uxbridge exploited it? I will be very frank. The Government

:45:59. > :46:03.was elected on a manifesto promise to hold a referendum. We have held a

:46:04. > :46:06.referendum. The country has made its decision, and this Government is

:46:07. > :46:09.responsible motorist setting out the steps we need to take and doing all

:46:10. > :46:14.that is necessary to stabilise the economy. We took a choice to ask the

:46:15. > :46:17.people was very big question is I believe in our Parliamentary

:46:18. > :46:21.democracy. But when it comes to the very big decisions I believe it is

:46:22. > :46:26.right to consult the people. This Government takes responsibilities.

:46:27. > :46:32.In respecting with dignity the wishes of the electorate, does the

:46:33. > :46:37.Prime Minister accent that he has an absolutely pivotal role to play in

:46:38. > :46:43.encouraging all sides to come together and talk the country up.

:46:44. > :46:48.Calm optimism is now required. We are a great country and we have a

:46:49. > :46:52.very bright future ahead of us. I certainly believe we all have a

:46:53. > :46:55.responsibility to bring the country together and make this new pathway

:46:56. > :47:00.work as well as it does, but we have to do it from a position of realism.

:47:01. > :47:03.We don't know exactly what some of the economic and other effects will

:47:04. > :47:07.be, so we will have to take great caution and care in the coming days

:47:08. > :47:12.and weeks to respond to that, as well as coming together to get the

:47:13. > :47:16.best pathway for our country to leave this organisation. On Friday

:47:17. > :47:19.the Leader of the Opposition suggested we should rush to invoke

:47:20. > :47:27.article 50 real negotiations now. I disagree. I believe it would be

:47:28. > :47:31.inside an order for our economy to ensure a stable transition to make

:47:32. > :47:36.sure that Article 50 is not triggered until at least the New

:47:37. > :47:38.Year. The triggering of Article 50 is a matter for the British

:47:39. > :47:43.Government. It is important we establish that. What matters is that

:47:44. > :47:47.we do as much work as possible to determine the best possible model

:47:48. > :47:51.that we want to try and negotiate, and that must be a matter for the

:47:52. > :47:57.new Prime Minister. And then he or she will make that decision to

:47:58. > :48:00.trigger article 50. Boston in my constituency voted more than any

:48:01. > :48:07.Other Place in the country to leave the European Union, and has seen --

:48:08. > :48:12.I'm keenly aware that those migrants are my constituents to. Does my

:48:13. > :48:17.Prime Minister agree with me that we owe it to the will of those people

:48:18. > :48:21.that live in my constituency to deliver on the promises to reform

:48:22. > :48:28.immigration and increase spending on the NHS if we are to retain their

:48:29. > :48:31.faith in This Place? What we must continue to do is enact our

:48:32. > :48:36.manifesto promises, one of which was to set up an immigration impact

:48:37. > :48:40.fund, and we need to set that up and establish it, hopefully on an

:48:41. > :48:43.all-party basis. We should continue to deliver for the NHS as we

:48:44. > :48:48.promised in our manifesto, and we have done so. But one of the key

:48:49. > :48:51.issues in this negotiation is how to balance typical decisions about

:48:52. > :48:55.access to the single market and better control of immigration, and

:48:56. > :49:00.that will go to the heart of what the country needs to do. The Prime

:49:01. > :49:04.Minister and I were on different sides of this argument, but when he

:49:05. > :49:09.spoke on Friday he did so with his dignity, his principal and his

:49:10. > :49:13.honour intact. I'm very grateful to the Prime Minister for indicating

:49:14. > :49:17.that discussions will commence this week on the Common travel area, but

:49:18. > :49:21.can I ask the Prime Minister to dismiss the notion that there could

:49:22. > :49:26.be a border poll in Northern Ireland? To dismiss the notion that

:49:27. > :49:30.devolved institutions can wield a veto on this process, and to resolve

:49:31. > :49:32.it only with collective will to do what is in our national interest

:49:33. > :49:39.will be maintained this United Kingdom? Can I thank him for his

:49:40. > :49:44.kind remarks? I think he is right to say that we get the issues around

:49:45. > :49:47.the Common travel area right. They are complex, and difficult, if

:49:48. > :49:50.Northern Ireland is go to be the frontier between the kingdom outside

:49:51. > :49:57.the European Union and the European Union. On the issue of border poll,

:49:58. > :49:59.the rules for that I set out clearly in the Good Friday Agreement and I

:50:00. > :50:03.don't believe they have been triggered. And in terms of the

:50:04. > :50:09.decision to leave the EU, and how we do it, that is principally the

:50:10. > :50:16.matter for this Westminster United Kingdom Parliament. The Prime

:50:17. > :50:20.Minister has shown decency and courage that my predecessor, Harold

:50:21. > :50:22.Macmillan, would have respected. I think Harold Macmillan would have

:50:23. > :50:27.wept for the day that this has happened and the day that the Prime

:50:28. > :50:30.Minister departs. Well he concedes that it is very clear legally that

:50:31. > :50:35.article 50 is the only proper means of exiting from the European Union,

:50:36. > :50:39.that any attempt to circumvent that will be wrong and will involve this

:50:40. > :50:42.country any breach of its international obligations, which no

:50:43. > :50:47.decent leader of this country should ever contemplate? Let me thank him

:50:48. > :50:51.for his remarks. He is right that the only legal way set out in these

:50:52. > :50:56.EU is by triggering Article 50, and that is clearly what our partners

:50:57. > :50:59.want us to do, although, not all of them believe that we have to do it

:51:00. > :51:04.immediately. And that is why think we have some time to examine the

:51:05. > :51:08.right model we want to negotiate for, and then to pull the trigger.

:51:09. > :51:16.But as I understand that it is the only legal way that the job can get

:51:17. > :51:23.done. During the campaign we heard quite a lot of criticism about

:51:24. > :51:27.politicians, elites and experts. And I ask the Prime Minister about a

:51:28. > :51:32.promise made by the Leave side just this morning? The Honorourable

:51:33. > :51:39.Member for Uxbridge has said he wants to maintain full access to the

:51:40. > :51:42.single market. Can the Prime Minister name a country that has

:51:43. > :51:50.full access to the single market but which does not also have to accept

:51:51. > :51:55.free movement of people. I think the technical answer to his question is

:51:56. > :51:59.that there isn't a country today that has full access to the single

:52:00. > :52:04.market without contributing to the budget or accepting free movement of

:52:05. > :52:08.people. But I think that where we should try to seek some cross-party

:52:09. > :52:12.agreement here is that it is in all our interests whatever the eventual

:52:13. > :52:15.decision to make sure that we are as close as possible economically to

:52:16. > :52:20.our friends and partners in the European Union. That is obviously

:52:21. > :52:29.going to have to be negotiated, and personally, my view is the closer

:52:30. > :52:34.the better. As somebody of Polish origin, I'm very proud of the

:52:35. > :52:39.contribution that the Polish have made this country, not just during

:52:40. > :52:44.the Battle of Britain, where the Polish 303 Squadron was one of the

:52:45. > :52:47.largest, but also in recent years. As chairman of the all-party group

:52:48. > :52:52.for Paul and I invited a chairman of the Polish cultural Centre to the

:52:53. > :52:56.House of Commons to show solidarity with them after that polling attack,

:52:57. > :53:00.and I very much hope the Prime Minister will potentially us for

:53:01. > :53:04.that meeting. Let me commend my Honourable Friend for his work with

:53:05. > :53:08.the Polish community here in the UK and for furthering relations between

:53:09. > :53:12.Britain and Poland. I spoke to the Woolwich Prime Minister this

:53:13. > :53:15.afternoon to say how appalled I was about the terrible attacks have

:53:16. > :53:19.taken place and to reassure her we are doing everything to protect

:53:20. > :53:22.Polish citizens in our country. Poland is a country that is sad to

:53:23. > :53:26.see Britain leave the European Union because where like-minded on some

:53:27. > :53:29.any issues about open and enterprise and the Atlanticist nature of the

:53:30. > :53:32.European Union, but we must make sure we work for the strongest

:53:33. > :53:37.bilateral relationship between Poland and Britain in the years

:53:38. > :53:43.ahead. Can I commend the Prime Minister on the way he has accepted

:53:44. > :53:46.the verdict of a United Kingdom wide referendum? And I think the rest of

:53:47. > :53:50.the house should accept that verdict the way he has. When it comes to

:53:51. > :53:53.implementing it, could you tell the house whether he intends to replace

:53:54. > :53:59.our Commissioner, and whether he intends to set up a special unit as

:54:00. > :54:04.well? Let me congratulate the Honourable Lady for the role she

:54:05. > :54:08.played in the campaign as a very key spokesman for that side of the

:54:09. > :54:14.argument. Firstly let me a tribute to Lord Hill who worked incredibly

:54:15. > :54:18.hard in the European Commission. I am sad to see him go. I think we

:54:19. > :54:21.should try to seek a replacement, because the fact is we are full

:54:22. > :54:24.member of this organisation, a contributing and paying member until

:54:25. > :54:31.we leave, and therefore we should have a commissioner. I'm sure that

:54:32. > :54:36.will be a challenge. As for the group in Brussels, it is ably led by

:54:37. > :54:39.Sir Rogers, and I hope will remain in place and continue to give the

:54:40. > :54:45.excellent advice he has two Ministers to date. Whilst the

:54:46. > :54:50.Honourable Lady for a Vauxhall is right, I make no apology from the

:54:51. > :54:56.side of the house to bring my Right Honourable Friend back to the topic

:54:57. > :55:02.of what we have seen since Thursday. Where a tweet can be sent to a young

:55:03. > :55:07.black woman in London which says" go home, we voted leave, time to make

:55:08. > :55:12.written great again by getting rid of you blacks, Asians and

:55:13. > :55:19.immigrants" and Jeannie appears to have been let out of the bottle.

:55:20. > :55:22.Unintended by both sides of the campaign. Could I ask my Right

:55:23. > :55:28.Honourable Friend to specific questions? First, that the police

:55:29. > :55:35.and the prosecuting authorities have the resources to bring cases against

:55:36. > :55:39.perpetrators of this while racism? And secondly, to use his good

:55:40. > :55:44.offices with the leaderships of both of the referendum campaigns, to call

:55:45. > :55:52.out this abuse for what it is, and to bring a stop to it now? My

:55:53. > :55:55.honourable friend is absolutely right, this is hideous language that

:55:56. > :55:57.we thought we had banished from our country, and it is important

:55:58. > :56:01.everyone comes out and condemns this as strongly as possible. On his

:56:02. > :56:04.specific questions, firstly the police do have resources because we

:56:05. > :56:09.protected their budgets. They have the necessary laws as well to

:56:10. > :56:12.prosecute hate crimes. An unusual both campaigns, as far as I'm

:56:13. > :56:16.concerned these campaigns no longer exist. There is no one Government

:56:17. > :56:19.with one view, which is we have to find the right path for the future.

:56:20. > :56:27.I think the sooner we can do that, the better. I am proud to say

:56:28. > :56:33.publicly that I voted for Britain to remain in the European Union. I'm

:56:34. > :56:36.sure the premise to would too. But I'll so respect and recognise that

:56:37. > :56:41.people across this house voted differently. All of us no need to

:56:42. > :56:46.help those at the sharp end of this decision. Can he tell us

:56:47. > :56:50.specifically what measures his Government will put in place for all

:56:51. > :56:54.those small businesses who are now facing a loss or opposing contracts

:56:55. > :57:00.as a result of a decision on Thursday? The Business Secretary has

:57:01. > :57:04.been consulting with businesses throughout the campaign, but

:57:05. > :57:07.obviously has stepped that up and is having a very large meeting with

:57:08. > :57:12.businesses tomorrow. I will be doing that later in the week. The true

:57:13. > :57:18.position is this, that as long as we are in this organisation, until we

:57:19. > :57:21.exit, all the rules about trade, services, financial passports,

:57:22. > :57:26.access to markets, none of those change. And what needs to happen

:57:27. > :57:30.now, informed by the work of this EU unit is that we seek the very best

:57:31. > :57:35.possible deal to make sure that businesses can still benefit from

:57:36. > :57:39.access to European markets. The Prime Minister and the Chancellor

:57:40. > :57:42.and the governor of the Bank of England have commendably acted

:57:43. > :57:47.swiftly to restore calm to the markets and confidence in our

:57:48. > :57:51.country and our economy. However, the Prime Minister knows there are

:57:52. > :57:55.many people leading voters to believe that a second referendum is

:57:56. > :58:00.possible and that it could be rerun on different rules. What with the

:58:01. > :58:05.premise to say to those people who are encouraging others to believe

:58:06. > :58:09.that that is a possibility? I think people will not be surprised to hear

:58:10. > :58:15.that I am not planning a second referendum. We have to get on and

:58:16. > :58:19.deliver it. And as we do so, we have to seek the best possible deal. And

:58:20. > :58:24.we see this house should be involved with that process.

:58:25. > :58:33.The scare stories about immigration that were spoken by people leading

:58:34. > :58:37.the league campaign were frankly shameful. We do have a divided

:58:38. > :58:42.country, divided between our cities and small towns for whom immigration

:58:43. > :58:47.was the number one issue. Beyond the impact, which I support, but was

:58:48. > :58:52.abolished some years ago, can the Prime Minister assure that we can

:58:53. > :58:57.look more deeply into some of the pressures on our small town

:58:58. > :59:01.immunities, the employment sectors, some of the abuses going on, the

:59:02. > :59:05.increase on housing and rents. And can I gently say to the Prime

:59:06. > :59:09.Minister, I am somewhat surprised in his statement that the new EU unit

:59:10. > :59:13.in Whitehall does not include the hot Home Office?

:59:14. > :59:18.First of all, on her last point, this new EU unit is going to be

:59:19. > :59:22.working with every departments, because every department is affected

:59:23. > :59:26.by this decision. They Home Office will be playing a leading role in

:59:27. > :59:31.trying to work out what the options are for leaving the EU, but

:59:32. > :59:34.maintaining levels of cooperation of crime, borders, information and

:59:35. > :59:38.terrorism and all the rest of it. Very useful work can be done before

:59:39. > :59:42.my successor takes office. I agree with horror that immigration was a

:59:43. > :59:45.key issue in this election. I think we have to look as a country at what

:59:46. > :59:49.more we can do to help people integrate into our country, to

:59:50. > :59:53.examine the pressures on public services. I need a series of

:59:54. > :59:57.suggestions about wealth changes which will now not be coming in,

:59:58. > :00:02.which I am sad about. We need to find some alternatives to those, to

:00:03. > :00:06.reassure people that we can have a good and fair and manage system for

:00:07. > :00:16.immigration, but outside the EU and inside it.

:00:17. > :00:19.All I would like to do today is like my bike Honourable friend, the Prime

:00:20. > :00:24.Minister, for his years of service to the party and country. I hope if

:00:25. > :00:27.the result had been the other way round, my side would have behaved

:00:28. > :00:32.with the dignity and nobility that he has showing up.

:00:33. > :00:41.Can I thank my honourable friend for his kind remarks, and the spirit in

:00:42. > :00:46.which they were given. Thank you Mr Speaker. The Prime

:00:47. > :00:51.Minister said that there is now a collective Government and Cabinet

:00:52. > :00:56.responsibility. In that context, can I ask him, can he say on the heart

:00:57. > :01:03.of the members of Surrey Heath and the member for Uxbridge that we will

:01:04. > :01:10.have a vote in this House before article 50 is triggered?

:01:11. > :01:18.On a technical issue, the member of Uxbridge is not a member of the

:01:19. > :01:22.Government will stop to answer his question directly, I cannot get that

:01:23. > :01:30.guaranteed. The decision for triggering Article 50 will be a

:01:31. > :01:34.decision for the next Government. Not responsible for the member of

:01:35. > :01:42.Uxbridge and South Ruislip. He's public wife wheezed he's not

:01:43. > :01:45.responsible for hen! The Prime Minister must take great

:01:46. > :01:49.credit for delivering the referendum, and great credit for the

:01:50. > :01:53.way he campaigned, because undoubtedly the Remainer vote was

:01:54. > :01:58.hired because of that. And also because of the way he has reacted

:01:59. > :02:02.afterwards. Can I ask the Prime Minister, we were talking just now

:02:03. > :02:05.about collective responsible take, will all his ministers now be behind

:02:06. > :02:11.the Prime Minister in leaving the EU? And there is some talk today

:02:12. > :02:14.that the exit of the Prime Minister will be earlier now, sometime around

:02:15. > :02:19.the end of August. Could he comment on that as well?

:02:20. > :02:24.On collective responsible thing, I meant what I said, it was suspended

:02:25. > :02:28.for a period of this campaign, but it is now come back into place.

:02:29. > :02:33.Embers of the Cabinet are of one of you, and that must be that we

:02:34. > :02:36.deliver the country's will to leave the European Union. That decision

:02:37. > :02:42.will be taken by the next prime Minster, however. There are all

:02:43. > :02:47.sorts of bodies, the 22, the party board, who will make decisions. I am

:02:48. > :02:53.your servants, I want to make sure we have stability and continuity in

:02:54. > :02:56.the Government of this country, and we take the necessary steps to

:02:57. > :03:00.stabilise things. I know the right thing to do is to hand over to a new

:03:01. > :03:07.team and we don't take this issues forward.

:03:08. > :03:11.Can I work in the emphasis the Prime Minister now puts on coming back

:03:12. > :03:16.together as a community. There are people now living in fear in the way

:03:17. > :03:21.the Honourable member of not Dorset describes, and is up to us to bit

:03:22. > :03:24.decency back into our democracy. Can the Prime Minister now understand

:03:25. > :03:29.the rage that many feel at what appeared to be mysteries talked

:03:30. > :03:34.about the virtues are coming out of the European Union? Such as, for

:03:35. > :03:37.example, an extra ?250 million per week for the National Health

:03:38. > :03:42.Service? Can I press the Prime Minister on the answer he gave to my

:03:43. > :03:46.right honourable friend? We are about to go on some of the most

:03:47. > :03:51.dangerous waters this country has ever entered. It would be strange if

:03:52. > :03:56.we carried on in this House as if business was going on as usual.

:03:57. > :04:00.Transparency is the best guarantee against any more mysteries. Surely

:04:01. > :04:07.this parliamentary arrangement must be strengthened to provide oversight

:04:08. > :04:12.for the arrangements were leaving the European Union?

:04:13. > :04:18.He's right, we need to get decency interact a mocha say, we must stand

:04:19. > :04:21.against hatred and intolerance. We do not need to fight the referendum

:04:22. > :04:27.campaign all over again. What Aggborough fret on what he said --

:04:28. > :04:31.what I will reflect on what he said is that we need to set out and

:04:32. > :04:35.examine in an objective and fact -based way what are the alternative

:04:36. > :04:38.models for leaving the European Union? What are the advantages and

:04:39. > :04:43.disadvantages ayes I do believe this House is a big role. Whether it is a

:04:44. > :04:48.new joint committee or existing select committees, I'm very happy to

:04:49. > :04:51.receive advice and ideas from Honourable members. This House

:04:52. > :04:56.should play it cool role in making sure we get that decision right.

:04:57. > :05:01.The Prime Minister is absolutely writes about all of us who voted on

:05:02. > :05:05.the Remain side must accept the results of the referendum and do our

:05:06. > :05:10.best implemented as well as possible. And I said the man and

:05:11. > :05:15.tone of his resignation speech and today is absolutely in keeping with

:05:16. > :05:20.the unifying, one nation Tory style that he has implement it in his

:05:21. > :05:26.career. In the wake of the referendum, there is a spirit of one

:05:27. > :05:29.where young people felt let down by their parents and grandparents. With

:05:30. > :05:33.my right honourable friend agree, that in the weeks ahead with the

:05:34. > :05:36.current governments, the Government seizes all opportunities to reassure

:05:37. > :05:39.young people that the opportunities and benefits which many of them see

:05:40. > :05:43.in Europe. The available for them after the process of leaving the

:05:44. > :05:47.European Union? I think my honourable friend makes

:05:48. > :05:52.an important point. We must accept the results, that I think during

:05:53. > :05:56.this process of debate, there will be many arguments for people who

:05:57. > :06:00.want to look at for how we exit the EU and the Roissy Jibril had at the

:06:01. > :06:06.end. What will it mean for young people and terms of travelling,

:06:07. > :06:12.these oral questions. We are not now about theoretical alternatives to

:06:13. > :06:15.membership, we're now talking actual alternatives. We need transparency

:06:16. > :06:23.in the dates of people can make their voices heard.

:06:24. > :06:29.I'm keen to accommodate colleagues, that there is a need for brevity.

:06:30. > :06:37.I applaud the Prime Minister, now that leaving the European Union is

:06:38. > :06:40.the policy of the Government, can the Prime Minister no guarantee that

:06:41. > :06:46.some of the architects of the campaign will be involved?

:06:47. > :06:50.The Government and the Cabinet includes many people who are

:06:51. > :06:53.prominent in both campaigns. The campaigns are now over, however,

:06:54. > :07:00.there is one Government, one Government policy. Let me take issue

:07:01. > :07:04.about civil servants - they are impartial, hard-working, the best of

:07:05. > :07:12.British. They do a fine job and will help us deliver this incredibly

:07:13. > :07:16.important and difficult challenge. Whatever the final form of our exit

:07:17. > :07:18.negotiations from the European Union take, it is clear to everyone that

:07:19. > :07:23.we will need to strengthen our trading relationship with other

:07:24. > :07:29.economies around the world. The Prime Minister is right to set up

:07:30. > :07:33.this EU exit unit within the Cabinet Office, but what steps as he taking

:07:34. > :07:39.to supercharge the business Department, so we can have a team of

:07:40. > :07:41.officials to start taking such trade agreements?

:07:42. > :07:47.That is the sort of issue we shall be looking at. In many cases we will

:07:48. > :07:52.have to do is at our exit first before we can make those

:07:53. > :07:55.arrangements. The Foreign Office can help with this, the trade envoys can

:07:56. > :08:01.help, as can the business Department itself.

:08:02. > :08:06.Can I say to the Prime Minister that I saw very closely the work he did

:08:07. > :08:09.during the riots, I am very grateful for that. He will recognise that

:08:10. > :08:15.some of my constituents are among the poorest in Britain. In these

:08:16. > :08:22.very tough economic times, it is the poorest that will suffer. Does he

:08:23. > :08:25.recognise that young people, or people and actually, many

:08:26. > :08:31.middle-class people who voted to Remain want a plan, and that lies

:08:32. > :08:36.behind the call for a second referendum on the detail?

:08:37. > :08:42.As I have said, what I think needs to happen is that we need to set out

:08:43. > :08:44.the options for a model of leaving. The next Government will take this

:08:45. > :08:49.decisions, and the next Government will have to confront the issue that

:08:50. > :08:52.he raises, of how to involve parliament in those decisions. But

:08:53. > :08:58.that is good to be something for them, not for me.

:08:59. > :09:01.An echo many comments that the Prime Minister has been a true

:09:02. > :09:05.meadowsweet, not just for this country, but also the party. If it

:09:06. > :09:11.wasn't for him, we should not have such a diverse field of Members of

:09:12. > :09:17.Parliament behind him. Can I also say that, in my constituency, many

:09:18. > :09:22.businesses are concerned that trade missions abroad will be put on hold.

:09:23. > :09:27.Can we make sure in this period, while we are still in Europe, that

:09:28. > :09:30.those missions planned before will continue? We must continue to work

:09:31. > :09:34.for this country. I thank my honourable friend for her

:09:35. > :09:36.kind remarks, I can certainly give the assurance that trade missions

:09:37. > :09:42.will continue. If anything, they will be stepped up.

:09:43. > :09:45.My dirty Prime Minister back to the resignation of the European

:09:46. > :09:49.Commissioner? -- might I take the Prime Minister back. Might I

:09:50. > :09:54.recommend he makes a replacement within weeks rather than months?

:09:55. > :10:03.I omitted on is as fast as we can. The process on appointments include

:10:04. > :10:08.hearings in the European Parliament. But as a full paying member, we're

:10:09. > :10:14.entitled to a Commissioner. I wish to put on record my thanks to

:10:15. > :10:19.the Prime Minister for the support he is given to BAE Systems, many of

:10:20. > :10:25.whom the many women who are apprentices who work in my

:10:26. > :10:29.constituency. The Prime Minister has visited that planned more often than

:10:30. > :10:33.all his predecessors combined, such as the level have this dedication.

:10:34. > :10:42.And as for his reassurance that the people who worked on the Typhoon

:10:43. > :10:45.fighter that this Government will do everything it can to secure the

:10:46. > :10:48.future is? I will continue to do everything I

:10:49. > :10:54.can to support BAE Systems. I enjoyed watching a flyover over

:10:55. > :11:00.Cleethorpes on Saturday, and I will continue to work as hard as I can to

:11:01. > :11:03.secure orders abroad. The mayor for London has rightly

:11:04. > :11:07.expressed his concerns about the consequences that Brexit will have

:11:08. > :11:12.on the London economy, jobs and growth. That is clearly a concern

:11:13. > :11:15.for the whole country. Given that the financial sector relies on

:11:16. > :11:20.retaining passport and rights to the European markets, will the Roman

:11:21. > :11:24.guarantee this will be a top priority for negotiations with the

:11:25. > :11:27.EU? And does the primers to agree with the mayor for London that

:11:28. > :11:33.London needs a seat at the table for the forthcoming negotiations with

:11:34. > :11:38.the EU? As I said my statement, London

:11:39. > :11:41.should be involved. Financial services are 7% of economy. Two

:11:42. > :11:46.thirds of the geography outside London. Access to the single market

:11:47. > :11:51.is vital, so I hope they will make their job Howard as we seek the

:11:52. > :11:59.closest possible economic Roissy get we can with Europe.

:12:00. > :12:07.We must position ourselves to make the most of opportunities in the

:12:08. > :12:11.long term. Will my right honourable friend agree with me that we should

:12:12. > :12:17.concentrate on a comment's strong fundamentals, and not talk our

:12:18. > :12:19.economy and country down? My honourable friend is absolute

:12:20. > :12:24.right, we must talk about strength is, and they continue to be right

:12:25. > :12:32.and stop we must continue with the difficulties we face.

:12:33. > :12:35.Thank you Mr Speaker. The Treasury Select Committee in his report into

:12:36. > :12:41.our membership of the new European Union looked at the short run of

:12:42. > :12:45.risks and volatility, much of that is now manifesting itself with the

:12:46. > :12:49.shortfall in sterling and the volatility of the stock exchange and

:12:50. > :12:53.with element bond yield at an all-time low. What actions are the

:12:54. > :12:57.Government taking now to protect British jobs, growth and living

:12:58. > :13:01.standards? The honourable lady is right, the

:13:02. > :13:05.Treasury Secretary did look at this and wonder volatility, we have seen

:13:06. > :13:08.that volatility. We've seen that in the Bank of England and treasurer

:13:09. > :13:12.reaction, as well as the volatility, we have to look at at the dangers of

:13:13. > :13:18.uncertainty. The Government stands ready to help in any way can. But

:13:19. > :13:23.this is reassuring business at all relationships will continue while

:13:24. > :13:29.we're in negotiations. There be big challenges ahead.

:13:30. > :13:30.The honourable member has started bombing, I think we should hear him.

:13:31. > :13:40.Mr Dominic Greene. Whilst we must accept the referendum

:13:41. > :13:44.decision, is it not the case that the problem we run is that in the

:13:45. > :13:49.course of the campaign statements have been made by those advocating

:13:50. > :13:53.road leave that were firstly false, and secondly, in many cases,

:13:54. > :13:58.unfulfilled or? Isn't one of the things that came out so clearly from

:13:59. > :14:03.this referendum campaign the increasing disconnect between the

:14:04. > :14:09.public and those of us in this house who are in authority, as they would

:14:10. > :14:14.see it. What can we do and what should we be doing to restore the

:14:15. > :14:17.trust? I have to say to my Right Honourable Friend, who has behaved

:14:18. > :14:22.impeccably on this matter, and I would like to pay thanks for as long

:14:23. > :14:26.service to this country that if we do not restore the trust, it seems

:14:27. > :14:38.to me that the role of this house is fatally undermined. Has he spoken

:14:39. > :14:42.for his charm as well? No. I thank my Honourable Friend for his

:14:43. > :14:48.remarks. One of the concerns the road this referendum is that people

:14:49. > :14:52.are disaffected with politicians and politics but also expert opinion as

:14:53. > :14:56.well. What we need to do is recognise that we're moving from a

:14:57. > :15:01.situation we have today and a number of hypothetical situations, to real

:15:02. > :15:04.choices. That is where this house and the Government and all the rest

:15:05. > :15:08.can come into their own by setting out in a very cool and neutral way

:15:09. > :15:11.what these alternatives are what the costs and benefits are, and then

:15:12. > :15:18.perhaps we can restore some of the trust. This morning the Chancellor

:15:19. > :15:22.said that action to address the impact of the referendum on our

:15:23. > :15:29.economy and public finances won't be taken until the autumn. At a time of

:15:30. > :15:33.such risk and uncertainty, and with continuing weaknesses in our

:15:34. > :15:36.economy, I find that staggering. Will the Prime Minister reconsider

:15:37. > :15:45.this decision and bring forward a proper plan? Particularly to secure

:15:46. > :15:51.the investment that our economy will need to whether the incoming storm.

:15:52. > :15:54.I would say to the Honourable Lady that the Chancellor was referring to

:15:55. > :15:59.the idea of there being fiscal measures that might be necessary if

:16:00. > :16:04.the economic impacts of leaving are as bad as some of the independent

:16:05. > :16:08.forecasters suggested. It was the idea of some form of budget he was

:16:09. > :16:11.referring to. The Government stands ready with the Bank of England and

:16:12. > :16:18.others to take necessary measures to help create stability in markets

:16:19. > :16:21.that might be necessary. Can I warmly thank my Right Honourable

:16:22. > :16:24.Friend for his statement today? I have long hoped for this day ever

:16:25. > :16:29.since I stood right here in first move the motion that there should be

:16:30. > :16:36.a referendum on Ireland Bishop of the European Union bag on the 24th

:16:37. > :16:39.of October in 2011. Can I ask my Right Honourable Friend, what does

:16:40. > :16:43.he think it says about the nature of the European Union that several

:16:44. > :16:49.member countries reportedly want to punish the UK simply because a

:16:50. > :16:55.majority of people had the temerity to vote to leave it? Let me

:16:56. > :17:00.congratulate my Honourable Friend on his long campaign. I would say to

:17:01. > :17:05.him that I think when we look at the reaction of the European Union to

:17:06. > :17:09.these events we should be very careful not to entirely take it

:17:10. > :17:14.through the filter of media outlets that want only to see one reaction.

:17:15. > :17:18.What I am sensing from the conversations I have had with the

:17:19. > :17:23.Germans, the French, the polished, the Italians and others, is that

:17:24. > :17:25.they are genuinely sad to see the United Kingdom girl, they genuinely

:17:26. > :17:30.want to have a good and strong relationship with us when we leave,

:17:31. > :17:35.but obviously they like us have to think of their own interests just as

:17:36. > :17:41.we have giving of our own interests. The fact that the 27 member states

:17:42. > :17:47.are meeting without the kingdom, we should not see that as surprising.

:17:48. > :17:50.That would happen where we are not to leave, they will fight for their

:17:51. > :17:56.interest. What we have to try and do is try to convince them and try to

:17:57. > :17:59.maintain inner selves good and open and strong relations with them so

:18:00. > :18:02.that actually this becomes a dialogue leading to a mutually

:18:03. > :18:14.beneficial result rather than a war of words or something worse but then

:18:15. > :18:19.leads to a painful divorce. The response to my Honourable Friend was

:18:20. > :18:24.simply woeful. Scotland overwhelmingly voted to remain

:18:25. > :18:28.within the European Union, 62%, every local authority in Scotland.

:18:29. > :18:32.We value our EU membership, we are European nation. What does he know

:18:33. > :18:36.say to the people of Scotland who believe that we should remain within

:18:37. > :18:43.the European Union. What do we do now? What we do now is make sure we

:18:44. > :18:46.get the very best outcome from this negotiation so it is good for the

:18:47. > :18:51.United Kingdom and good for Scotland. It is all very well him

:18:52. > :18:58.waving his finger, but that is actually what matters most to the

:18:59. > :19:01.people of Scotland. Can I pay tribute to my Right Honourable

:19:02. > :19:06.Friend for his leadership over many years and thank him for that?

:19:07. > :19:09.Carlisle so pay tribute to the German Chancellor for her measured

:19:10. > :19:15.and wise words over the weekend? Which I believe has set a good town

:19:16. > :19:20.for the negotiations. Can I ask my honourable friend what measures have

:19:21. > :19:24.been taken to ensure we strengthen bilateral relations right now

:19:25. > :19:28.between us and all other 27 members of the European Union now that we

:19:29. > :19:32.will not beginning with them through the filter of the European Union in

:19:33. > :19:36.future? Let me thank him for his remarks. One of the great roles of

:19:37. > :19:41.the Foreign Office going forward is to concentrate on those bilateral

:19:42. > :19:44.relations even as we conduct this complicated and difficult

:19:45. > :19:47.negotiation. We have embassies in every single European country, we

:19:48. > :19:53.have strong bilateral relations will stop I was the first British prime

:19:54. > :19:57.Minster to visit some of the further flung parts of the European Union,

:19:58. > :19:59.and in whatever capacity I will do whatever I can to keep those

:20:00. > :20:06.provisions strong because that will help in negotiations for our future

:20:07. > :20:12.in Europe. I picked up a leaflet this morning in my London flat which

:20:13. > :20:16.was an official leaflet of the Leave campaign which said that the NHS

:20:17. > :20:21.could get an extra ?350 million per week as a result of a vote to leave.

:20:22. > :20:30.Can the Prime Minister tell us when the NHS can expect to receive that

:20:31. > :20:33.money? I think... Obviously until we leave the European Union we will

:20:34. > :20:37.continue with our contributions to the European Union, and at that

:20:38. > :20:48.moment my successor will have to explain where the money is going.

:20:49. > :20:51.Thank you. The City of London boasts some of the best global lawyers

:20:52. > :20:56.anywhere in the world. Can I urge the Prime Minister that he speak to

:20:57. > :21:01.the Law Society of Scotland, the losses idea of Northern Ireland and

:21:02. > :21:04.the of England and Wales to ensure that we get the very best British

:21:05. > :21:10.lawyers who will undertake part of the negotiation team's effort? He

:21:11. > :21:13.makes an important point. When I talk about this EU unit, which will

:21:14. > :21:16.have the best and brightest in the civil service, it is important

:21:17. > :21:20.because the best and brightest from the private sector, without lawyers,

:21:21. > :21:24.financial experts are trade experts. We want all this expertise to come

:21:25. > :21:30.forward in what will be a massive national endeavour. I understand why

:21:31. > :21:33.there are courteous prefaces to many questions, and I think that is

:21:34. > :21:38.appreciated in the house. But now it would be useful if we could just

:21:39. > :21:40.have single, short supplementary questions, because the Prime

:21:41. > :21:47.Minister is giving a replace sink replies. In short, sitting to

:21:48. > :21:51.question. Does the Prime Minister think reciprocating a collapse in

:21:52. > :21:54.the value of sterling, a fall in the value of our equities and a

:21:55. > :22:01.suspension of trading and our banks amounts to Britain taking back

:22:02. > :22:04.control? I think I have said there are financial consequences that we

:22:05. > :22:13.need to manage in the days and weeks ahead. Further to the question of my

:22:14. > :22:18.friend from Beaconsfield, does he accept that there was a very clear

:22:19. > :22:22.perspective is sold to the electorate voted to leave which

:22:23. > :22:26.included an explicit promise to end on skilled migration from the

:22:27. > :22:31.European Union? This was explicit, this was what they voted for. Does

:22:32. > :22:34.he believe that can be delivered? I think one of the greatest challenges

:22:35. > :22:39.will be negotiating the best possible access to the single market

:22:40. > :22:43.and balancing the issue of the best management and control of migration.

:22:44. > :22:46.That will be a decision for the future Prime Minister. It will be

:22:47. > :22:54.one of the most important that he or she and the Cabinet will have to

:22:55. > :22:59.take. 78% of voters in my constituency voted to remain. In no

:23:00. > :23:02.small part due to the contribution the EU makes both to higher

:23:03. > :23:06.education and a large financial services sector in Edinburgh. What

:23:07. > :23:09.is the Prime Minister doing to reassure my constituents and

:23:10. > :23:12.constituents all over this country of the uncertainty that he has

:23:13. > :23:17.created by calling this referendum in the period up to the article 50

:23:18. > :23:21.being introduced to this house, after the article 50, and beyond

:23:22. > :23:26.Brexit? Because there is uncertainty, and they're worried

:23:27. > :23:29.about jobs and future livelihoods. Firstly we have to respect the

:23:30. > :23:33.outcome of the referendum. It is right not to trigger Article 50

:23:34. > :23:37.because that starts a process that within two years has to result in an

:23:38. > :23:41.accident, and it might be an unmanaged except if it started to

:23:42. > :23:43.soon. To people working in financial services, including the 100,000 that

:23:44. > :23:45.working in financial services, including the 100,000 at work in

:23:46. > :23:48.Edinburgh and Glasgow, an important part of our economy, went to work as

:23:49. > :23:54.hard as we can, and including Aberdeen, Aberdeen asset management,

:23:55. > :23:59.to give them a plug. We have to do everything we can to get the pot the

:24:00. > :24:09.best possible access to the single market. In addition to the work that

:24:10. > :24:12.the unit of the Chancellor of the Duchy of Lancaster will be doing to

:24:13. > :24:18.look outwards into the European Union and our relation with that,

:24:19. > :24:31.but he also look at the preservation of the United Kingdom? Yes.

:24:32. > :24:36.Splendid. Like many others across this house I have been saddened and

:24:37. > :24:39.deeply distressed to hear of some terrible racist and xenophobic

:24:40. > :24:43.incidents recently. In fact, during the course of this debate I've been

:24:44. > :24:47.sent a message to see a young lady in my constituency has been told to

:24:48. > :24:51.go home. This is her home, and she is very welcome here. Will the Prime

:24:52. > :24:54.Minister therefore agree to reconvene and Arjun meeting of a

:24:55. > :24:58.cross-party commission to look at race hate crimes and how we can

:24:59. > :25:03.eradicate this cancer from our society? She's absolutely right in

:25:04. > :25:07.the point she makes, and as for the organisation she mentions, I will

:25:08. > :25:09.look into it. One of the greatest achievements of this Prime Minister

:25:10. > :25:14.has to make the job of eliminating youth unemployment no longer an

:25:15. > :25:18.impossible dream but an achievable mission. While I agree that might

:25:19. > :25:21.have become more challenging, like him I agree we must accept the

:25:22. > :25:27.outcome of the referendum. Would he agree that who've is his successor,

:25:28. > :25:30.he or she should ensure that the opportunities and life chances for

:25:31. > :25:35.young people are the heart of their mission? Whatever route we take

:25:36. > :25:40.through this difficult pathway of access to the single market and

:25:41. > :25:42.control of migration, one of the best ways to control migration is to

:25:43. > :25:46.increase the apprenticeships and opportunities to our own young

:25:47. > :25:52.people in our own country to fulfil the jobs that our economy is

:25:53. > :25:55.creating. Key industries in my constituency, notably agriculture

:25:56. > :25:59.and fish processing, face very challenging times because they rely

:26:00. > :26:04.on European market access and also depend quite heavily on migrant

:26:05. > :26:07.workers to meet labour shortages. The Scottish Government is already

:26:08. > :26:10.meeting with stakeholders in an attempt to steer through these

:26:11. > :26:15.turbulent times. But what is the Government doing to shore up

:26:16. > :26:17.confidence in these sectors? And can the Prime Minister give us any

:26:18. > :26:25.indication when he will be in a position to indicate what the status

:26:26. > :26:27.of EU workers will be? In terms of reaching out to businesses in

:26:28. > :26:31.different sectors, the Business Secretary will do that, he is

:26:32. > :26:34.holding a large meeting tomorrow with businesses. I will do the same

:26:35. > :26:38.later in the week. I'm happy to look at some of the interests she

:26:39. > :26:42.mentions. In terms of the answer I gave on the rights of EU workers,

:26:43. > :26:46.they continue until we leave this organisation, and if I have heard

:26:47. > :26:49.correctly what those who want us to leave have said, that the rights of

:26:50. > :26:56.those already here, students and workers, will be protected. I also

:26:57. > :26:58.pay tribute to the premised, but does he agree with me that in

:26:59. > :27:03.negotiating the excellent it is absolutely crucial that each of the

:27:04. > :27:10.nations of the kingdom are formally represented? Yes, it is important

:27:11. > :27:13.that the negotiation and negotiating mandate is drawn up with the

:27:14. > :27:25.involvement of all those constituent parts of the UK. Thank you. Can the

:27:26. > :27:28.Prime Minister tell us what justification is the Leader of the

:27:29. > :27:32.House and the Secretary of State for Northern Ireland have given him for

:27:33. > :27:41.claiming that should we leave the European Union there will be ?350

:27:42. > :27:44.million a week to spend on the NHS? I don't want to re-fight the

:27:45. > :27:49.campaign. Obviously there was a disagreement about whether with a

:27:50. > :27:52.smaller economy we would have less money or other by leaving the EU

:27:53. > :27:55.would have more money. We are now putting that to the test, and the

:27:56. > :28:03.results will be clear for all to see. I am pleased to hear that the

:28:04. > :28:06.unit is being set up, can the Prime Minister I sure that resources will

:28:07. > :28:10.not be diverted from the life chances agenda which he has been so

:28:11. > :28:12.instrumental in any end, and which mean so much to the people of

:28:13. > :28:18.Portsmouth? And that he will continue with good pace. I can

:28:19. > :28:23.certainly give that assurance. The key European issues will be from the

:28:24. > :28:26.Foreign Office, Treasury and Cabinet Office, and the agenda she talks

:28:27. > :28:33.about is very important in the weeks ahead.

:28:34. > :28:41.Given it the disdain shown by many leading Leave campaigners for EU

:28:42. > :28:45.environmental protections, can the Prime Minister tell me what stance

:28:46. > :28:50.will now be taken as the European Union looks at the fitness of the

:28:51. > :28:54.nature directors? And will we still be lamenting the EU circular economy

:28:55. > :28:59.package? We remain full members of the EU and

:29:00. > :29:03.must meet our obligations as full members of the EU, including the

:29:04. > :29:06.existing directors that we have. I think that's important. Obviously

:29:07. > :29:10.those matters will then be matters for a future Government. In the

:29:11. > :29:16.meantime, we carry on obeying the rules set out.

:29:17. > :29:24.There is another group of people who are hurting since the result of the

:29:25. > :29:28.referendum on Thursday. And that's the elderly, who had been told time

:29:29. > :29:34.and time again that they have let down Britain and let down the use of

:29:35. > :29:38.this country. But the Prime Minister confirm that the elderly are valued

:29:39. > :29:43.in this country? That the voices of equal merit to young people, and

:29:44. > :29:47.that we value them greatly? Of course my honourable friend is

:29:48. > :29:49.right. The key thing in any referendum is that every vote is

:29:50. > :29:57.worth the same. Single sentence questions.

:29:58. > :30:00.The overwhelming majority of my constituents and indeed Scotland

:30:01. > :30:03.voted to remain in the European Union, does the Prime Minister

:30:04. > :30:08.agreed that it would be a democratic outrage if you know to be stripped

:30:09. > :30:11.European citizenship? What I want is the best possible

:30:12. > :30:15.outcome for the United Kingdom, and there for the best possible outcome

:30:16. > :30:20.for Scotland, that is what matters the most.

:30:21. > :30:24.I joined colleagues in speaking out against racism and hatred. I

:30:25. > :30:28.actually voted for 16 and 17-year-olds to have a vote in the

:30:29. > :30:33.referendum, but worlds have the utmost respect for people of all

:30:34. > :30:40.ages who voted, whether they are the elderly pensioners, many whom served

:30:41. > :30:43.our nation in years of peril. I congratulate my honourable friend

:30:44. > :30:50.in speaking out on racism, we must all continue to do that.

:30:51. > :30:55.Once the Government agrees the terms of the negotiation, is that not the

:30:56. > :30:58.time that this House should make a judgment on whether the terms of the

:30:59. > :31:02.negotiation match up to the promises made by the Leave campaign? This

:31:03. > :31:07.House should make that judgment before it goes forward.

:31:08. > :31:10.This House is sovereign, and under the reforms that the Coalition

:31:11. > :31:15.Government put through, this House has all sorts of opportunities to

:31:16. > :31:19.take an issue and vote on it. That happens more often then it hurt when

:31:20. > :31:24.I first became a Member of Parliament. The House must accept

:31:25. > :31:26.the world of the country. The next Government is going to to bring

:31:27. > :31:30.forward its proposals and Article 50 and the rest of it, they will be

:31:31. > :31:35.discussions between the Government and the House on how that goes

:31:36. > :31:39.ahead. Would the Prime Minister agree that

:31:40. > :31:47.it makes little sense for us to be trade balance between could trade

:31:48. > :31:53.barriers between ourselves and the majority of trade markets?

:31:54. > :31:56.Scotland benefits from two single markets, and I'm keen to keep it in

:31:57. > :32:01.one and close as possible to the other.

:32:02. > :32:06.If the Prime Minister can't guarantee today that there's Clinton

:32:07. > :32:16.?50 million for the NHS, and all the other promises made -- 300 ?50

:32:17. > :32:21.million, what does that say about politics?

:32:22. > :32:30.I don't propose to refight the campaign. The point is this, that

:32:31. > :32:33.either what will happen now is that the two side had different

:32:34. > :32:37.arguments, one was that if the economy reduced in size there would

:32:38. > :32:40.be lower tax receipts and less money available, the other side said there

:32:41. > :32:45.be more money because we're leaving the EU. As we are now leaving the

:32:46. > :32:51.EU, we will be able to test which of us answers is correct.

:32:52. > :32:57.What success as the Prime Minister made for preliminary negotiations

:32:58. > :33:02.before triggering Article 50? The assessment that I have made is

:33:03. > :33:05.that it is a national, sovereign decision to trigger Article 50, so I

:33:06. > :33:08.think that's right for this Government to prepare the ground and

:33:09. > :33:12.the next Government to choose the model it things is the right one to

:33:13. > :33:17.pursue. To hold some discussions and then to trigger the Article 50

:33:18. > :33:19.process, which, just the House fully understands, is a two-year limit

:33:20. > :33:25.that can only be extended by a unanimous vote of all other 27

:33:26. > :33:31.members. June that two-year period, if you don't have a arrangement, it

:33:32. > :33:40.moves on to World Trade Organisation rules. I think it is vital we get

:33:41. > :33:44.the best deal for our country. Mr Speaker, thousands of my

:33:45. > :33:48.Edinburgh South West constituents are employed in Edinburgh's

:33:49. > :33:51.financial sector, which is the second-biggest in the UK. Can the

:33:52. > :33:55.Prime Minister give me his assurance that the UK Government will work of

:33:56. > :33:59.the Scottish Government to ensure that constituents's jobs don't face

:34:00. > :34:04.a similar threat to those of the people in the City of London, where

:34:05. > :34:06.it is estimated that up to 70,000 jobs will move abroad in the next 12

:34:07. > :34:11.months? I can certainly give that insurance,

:34:12. > :34:15.this is an important industry for our country. There are jobs in

:34:16. > :34:18.Bristol and Bournemouth that are as valuable as the jobs among them, I

:34:19. > :34:28.want to keep as many of them as possible.

:34:29. > :34:33.One of my councillors told me -- was taught this weekend, get out of this

:34:34. > :34:37.country. Another was told, I cannot wait to send you and the anti-white

:34:38. > :34:42.garbage that you stand for to the third World dons who belong to. What

:34:43. > :34:47.the Prime Minister send out an unequivocal message from this House

:34:48. > :34:52.that if you indulge in and stoke fear, you generate hate?

:34:53. > :35:01.I would add to that, you not only generate hate, you commit a crime

:35:02. > :35:06.and should be prosecuted. With a volatile currency, the are

:35:07. > :35:09.fears that petrol prices could rise sharply if sterling falls faster

:35:10. > :35:13.than the oil price. These views are been heightened by the Chancellor's

:35:14. > :35:19.threats, prerendered, of a punishment budget. The Prime

:35:20. > :35:26.Minister issue motorists that they will not enforce F hike on fuel

:35:27. > :35:30.duty? What I said at the time is that

:35:31. > :35:38.nobody wants to have an extra budget or any difficult measures for taxes

:35:39. > :35:41.or spending. Any Government has two reactor the economic circumstances

:35:42. > :35:47.it faces. Let up the circumstances aren't as bad as the experts

:35:48. > :35:52.predicted. Over the next five years, the

:35:53. > :35:56.northeast was due to receive ?726 million in a EU funding. But the

:35:57. > :36:01.Prime Minister give some much-needed reassurance to the regions currently

:36:02. > :36:05.relying on hundreds of millions of pounds of EU funding that they will

:36:06. > :36:10.still receive the same amount from Whitehall?

:36:11. > :36:13.I can't give that reassurance today, obviously, but we heard Jerry the

:36:14. > :36:18.campaign, those arguing that we should leave, we will do everything

:36:19. > :36:23.we can to help disadvantaged areas of the country, farmers and the rest

:36:24. > :36:27.of it, with the best situation we can. I'm sure that is what will

:36:28. > :36:31.happen. There has been no mention of Wales

:36:32. > :36:35.yet in this debate, we have been speaking for one hour 38 minutes.

:36:36. > :36:39.What the Prime Minister agreed to speak out for our future prosperity

:36:40. > :36:47.and commit as best he can to Wales' place in the European Economic Area?

:36:48. > :36:51.I mentioned Wales and my statements, I have spoken to the First Minister,

:36:52. > :36:57.and I appeared on a platform with Carwyn Jones and the member that

:36:58. > :36:59.just spoke. That's real, brilliant as it was, was not enough to

:37:00. > :37:04.convince the people of Wales to remain in. It is important that we

:37:05. > :37:10.make sure Welsh voice is heard loud and clear. Wales has had a lot of

:37:11. > :37:15.important investment because we are in the single market. I would say it

:37:16. > :37:21.is worth making sure the voice is heard.

:37:22. > :37:24.As well as jobs in the ceramic industry, many of my constituents

:37:25. > :37:33.rely on the logistics sector, and all of us, all of our constituencies

:37:34. > :37:37.need the logistics centre. Given the fears of what is happening in Calais

:37:38. > :37:39.to the hauliers coming across, what reassurances can the Prime Minister

:37:40. > :37:44.give to the haulage industry that what is happening in Calais will

:37:45. > :37:48.stay there and not happen in Folkestone or Dover?

:37:49. > :37:52.We supported the treaty establishing has the border in Calais. We will do

:37:53. > :37:59.everything we can to make sure the French state their side the bargain.

:38:00. > :38:02.The Prime Minister will no doubt have seen the First Minister move

:38:03. > :38:09.quickly to reassure EU nationals living and working in Scotland that

:38:10. > :38:12.they are welcome and valued. In the Highlands, we need EU citizens. They

:38:13. > :38:14.are not only essential to our economy, they are friends and

:38:15. > :38:22.neighbours. Order. I'm not prepared to have

:38:23. > :38:26.these speeches. That is a speech, what I want is a one sentence

:38:27. > :38:29.question. There is an years gesticulating at me, the honourable

:38:30. > :38:37.gentleman has to do what he has been asked today. One sentence please.

:38:38. > :38:41.The Prime Minister said in a statement they would be no immediate

:38:42. > :38:48.changes in their circumstances. Given that Scotland voted so heavily

:38:49. > :38:53.to stay in the use, EU... This is a decision that will have to

:38:54. > :38:56.be made by the new Government as it negotiates its position outside the

:38:57. > :39:01.European Union. I would very much hope that the rights and allowances

:39:02. > :39:09.given to European Union citizens here and now working, studying and

:39:10. > :39:13.contributing will continue. I wonder if the Prime Minister

:39:14. > :39:17.regret not giving 16 and 17-year-olds the chance to have a

:39:18. > :39:21.say in the future of this country? I have always believed that a team

:39:22. > :39:29.is the right age to have that vote, and I have always voted accordingly.

:39:30. > :39:33.This is a Government that Scotland did not elect. We had a referendum

:39:34. > :39:36.that Scotland did not once, and Scotland is being taken out of your

:39:37. > :39:40.act against our will. It is the Prime Minister agreed that there has

:39:41. > :39:46.been a fundamental change in circumstances from September 2014?

:39:47. > :39:49.What I say is that we need to focus on now getting the best of the

:39:50. > :39:54.United Kingdom and getting the best eel for Scotland. It's worth

:39:55. > :39:58.looking, actually, at the Daily Record poll today which indicates

:39:59. > :40:02.that it is not the case necessarily that Scotland is looking for a

:40:03. > :40:08.second referendum. Just because she doesn't like what you read is,

:40:09. > :40:11.doesn't mean she should not read it. The Prime Minister keeps saying that

:40:12. > :40:15.our economic fundamentals are strong, but are membership of the

:40:16. > :40:20.you're was one of those economic fundamentals. And as Camp Nou to

:40:21. > :40:28.speak to the Chancellor - has now fled this House - to set up a cancer

:40:29. > :40:33.to the planned Brexit negotiation to increase spending to the north?

:40:34. > :40:37.The Chancellor sat through a lot of this statement and the responses. He

:40:38. > :40:41.made a very clear statement this morning. The guarantee I can give

:40:42. > :40:44.her is that he and I will remain in our post until the new Government

:40:45. > :40:48.arrives and if there is action we need to take, if there are

:40:49. > :40:55.reassurances we need to give, we will do all we can to make sure our

:40:56. > :41:01.economy continues to succeed. European citizens in my constituency

:41:02. > :41:06.are worried about the messages and lack of clarity given by the Leave

:41:07. > :41:10.campaign. Does the Prime Minister realise how little reassurance this

:41:11. > :41:14.brings? The only reason I'm saying no

:41:15. > :41:17.immediate changes is because I'm trying to accurately reflect the

:41:18. > :41:21.legal situation which is this - people are free at the moment to

:41:22. > :41:26.come and live and work in the United Kingdom. Let me just repeat that if

:41:27. > :41:29.they come here and cannot support themselves, we can ask them to

:41:30. > :41:34.leave, that is important, that has been the case was some time. But

:41:35. > :41:37.songs were members of the European Union, that continues. The point at

:41:38. > :41:41.which we go, a Government will have to make a decision about what to

:41:42. > :41:44.negotiate with the rest of Europe about the rights of Europeans to

:41:45. > :41:49.come and live and work here. There will be visas or work permits or

:41:50. > :41:53.what have you, and then there will be consequences, potentially, for a

:41:54. > :41:58.British citizen is going to live and work in Europe. You have the

:41:59. > :42:05.opportunity to camp tribute to all of these discussions. I must react

:42:06. > :42:08.appropriately from this dispatch box. Or can say is that as long as

:42:09. > :42:13.you remain in the European Union we will continue to contribute. 04 from

:42:14. > :42:17.those campaigning to leave is that those rights will continue after

:42:18. > :42:23.have left. Does the Prime Minister except that

:42:24. > :42:25.maintaining very strong UK participation in Europe-wide

:42:26. > :42:28.scientific research collaboration needs to be an important strand of

:42:29. > :42:32.the work that he describes going forward?

:42:33. > :42:35.I very much agree with the right honourable gentleman. It is an area

:42:36. > :42:40.we have got more out of Europe than we put in, and weekly want to

:42:41. > :42:45.safeguard that for the future. Does the Prime Minister agree with

:42:46. > :42:49.me at 55% of people in Scotland voted against independence was

:42:50. > :42:53.another to keep Scotland in the union, then 63% of them voting to

:42:54. > :42:58.remain member of the EU should be enough to keep Scotland in the EU?

:42:59. > :43:01.You can make the Congress points, which is that Scotland had voted to

:43:02. > :43:08.leave the United Kingdom, it would have left the European Union

:43:09. > :43:15.already. Thank you. Some discussion in June

:43:16. > :43:20.this statement revolved around the response of members of this House to

:43:21. > :43:24.the decision of last week. Can I suggest to him that throughout my

:43:25. > :43:29.experience of 24 years in this House, I have regarded my own

:43:30. > :43:35.responsibility to look people of my constituency who voted two to 14

:43:36. > :43:38.remaining in European Union. But I will oppose any measures that come

:43:39. > :43:44.before this House that will seek to undermine them.

:43:45. > :43:49.Members have devoted the see fit. My sense is that it would be wrong to

:43:50. > :43:53.do this regard will of the British people, but clearly in the future,

:43:54. > :43:56.this house will be confronted about all sorts of different decisions

:43:57. > :43:58.about the nature of a relationship with Europe and the rules and

:43:59. > :44:05.regulations, and the house will have its say. Can I ask the Prime

:44:06. > :44:09.Minister that if mechanisms were to emerge as yet unseen which would

:44:10. > :44:13.allow Scotland to remain in the European Union passed allowing

:44:14. > :44:17.England and Wales to leave, would he facilitate such an approach would he

:44:18. > :44:23.prefer to feel the appetite of the Scottish people for their own

:44:24. > :44:27.self-government? Obviously I want Scotland to stay inside the United

:44:28. > :44:29.Kingdom, and it is a United Kingdom decision to leave the European

:44:30. > :44:33.Union, and so what we should focus on is the best deal for the United

:44:34. > :44:37.Kingdom, the best deal for Scotland. That is the question, it is not

:44:38. > :44:43.could be a referendum but should there be a referendum? Does the

:44:44. > :44:47.Prime Minister agree that one of the more positive things he could do in

:44:48. > :44:52.the time left to him will be to ensure that this house has the

:44:53. > :44:56.opportunity to vote before the summer recess, not just on the

:44:57. > :45:01.Trident successor programme but on the building of the third runway at

:45:02. > :45:06.Heathrow? There are a number of decisions that we are going to have

:45:07. > :45:10.to look at in the light of the new circumstances with which we are

:45:11. > :45:14.faced. I will do that over the coming days. I want to make sure

:45:15. > :45:18.this parliament is still debating, discussing and deciding important

:45:19. > :45:23.issues, and I will set out in the days to come but I think those

:45:24. > :45:26.important issues should be. Is it not the case that this is the

:45:27. > :45:34.biggest foreign policy disaster for a Conservative Prime Minister since

:45:35. > :45:36.Suez? But specifically on the Scottish question cometh the

:45:37. > :45:38.Scottish parliament backed by the Scottish people calls for a

:45:39. > :45:41.referendum on Scotland's independence in Europe, will you

:45:42. > :45:45.leave a note for the next by Minister to say, you must accede to

:45:46. > :45:51.the wishes of the Scottish people and allow that referendum? The point

:45:52. > :45:54.I would make is not could there be a second referendum but should there

:45:55. > :45:58.be a second referendum? And I don't believe there should be. That is the

:45:59. > :46:01.point I would make, and if you look at the daily record poll today it is

:46:02. > :46:04.not clear that the Scottish people want a second referendum. Like me,

:46:05. > :46:09.they want to focus on getting the best relationship for the United

:46:10. > :46:17.Kingdom with Europe. Let's try and keep all the single markets

:46:18. > :46:20.together. Thank you, Mr Speaker. At the weekend I received an e-mail

:46:21. > :46:23.from a teacher in my constituency saying that children from ethnic

:46:24. > :46:26.minority and EU heritage background were crying and telling me they were

:46:27. > :46:32.going to have to leave. Other children told them their parents

:46:33. > :46:35.were proud and it was great. The teacher said they reassured all the

:46:36. > :46:39.children and talked about the fact that everyone here would be able to

:46:40. > :46:42.stay, but that our community was afraid. Could the prime Minster tell

:46:43. > :46:45.the house what guidance is given to teachers and headteachers? I'm sure

:46:46. > :46:50.that my school was not the only one affected. What I would say to the

:46:51. > :46:53.Honourable Lady is that we should be very proud of our diversity in this

:46:54. > :46:57.country, the welcome we have given to immigrants and refugees coming to

:46:58. > :47:01.our country, and we're proud the contribution they make. That message

:47:02. > :47:04.list quite loud and clear. Just because we are leaving the youth it

:47:05. > :47:08.will not make us a less tolerant, less diverse nation. That needs to

:47:09. > :47:11.quote loud and clear from all of us, whatever side of the debate,

:47:12. > :47:18.whatever we felt about the campaign at some of the posters in it. During

:47:19. > :47:20.the independence referendum Scottish people were told of the no to

:47:21. > :47:24.preserve their place within the European Union. Will the Prime

:47:25. > :47:29.Minister now give Scotland an apology for this false promise? At

:47:30. > :47:36.Scotland voted to leave the United Kingdom it would have been out of

:47:37. > :47:44.the European Union. I don't know... I... You don't need many

:47:45. > :47:50.conversations with the Spanish by Minister to the difficult it would

:47:51. > :47:56.be to get back in. I'm a regular traveller between Northern Ireland

:47:57. > :47:59.and the Republic. I never thought I would see that broader goal, I weep

:48:00. > :48:03.at the thought of advertising. It beggars belief that the Secretary of

:48:04. > :48:06.State for Northern Ireland remains in that post. Can the Prime Minister

:48:07. > :48:12.tell us what discussions he has had with the Taoiseach since Friday? I

:48:13. > :48:15.have spoken to the Taoiseach and I will see him again tomorrow, and

:48:16. > :48:19.he's taking an incredibly constructive and helpful approach.

:48:20. > :48:23.He is very sad that Britain has decided to leave the European Union,

:48:24. > :48:25.but the relationship between Britain and the republic is I think stronger

:48:26. > :48:31.than it has been for many years. What we have to do is sit down with

:48:32. > :48:34.officials in Northern Ireland, and in the Republic, and worked out what

:48:35. > :48:38.is the best way of conserving and keeping all the parts of the Common

:48:39. > :48:42.travel area that have been so beneficial, and how can we do that

:48:43. > :48:47.in a world in which we are not in the EU? It will be difficult, but we

:48:48. > :48:50.have to find a way through. I feel to see how a Prime Minister who is

:48:51. > :48:54.working his notice can guarantee the continued involvement in devolved

:48:55. > :48:58.administrations over a two-year period, but can the Prime Minister

:48:59. > :49:00.confirm that the Scottish Government's initial involvement

:49:01. > :49:04.they will be able to represent the will of Scotland which are staying

:49:05. > :49:07.in Europe for Scotland? Cabinet agreed this morning that there

:49:08. > :49:11.should be the greatest possible involvement of Scotland, Wales, the

:49:12. > :49:14.Government in Northern Ireland in drawing up and understanding all the

:49:15. > :49:20.challenges that we need to meet in this big session. The level of lies,

:49:21. > :49:25.malice, exaggerations in both campaigns degraded the level of

:49:26. > :49:30.public discourse to a state where Nolan would believe politicians in

:49:31. > :49:37.the future. Is this not a threat to the whole status of politics and

:49:38. > :49:40.democracy? I don't actually agree with that. I think the turnout

:49:41. > :49:46.showed that people took this referendum campaign very seriously.

:49:47. > :49:51.The complex negotiations prior to triggering Article 50 will shape the

:49:52. > :49:54.future of Britain. Would it not be right in the cold light of day for

:49:55. > :49:59.the British public to have a referendum on the facts in front of

:50:00. > :50:06.them, that future that they can then see and be able to remain at home in

:50:07. > :50:12.Europe if they so wish? We had a referendum on a very important

:50:13. > :50:16.principle question about in or out. What needs to happen now is

:50:17. > :50:19.different models of out need to be properly examined. Parliament should

:50:20. > :50:26.debate them. That Government should make a decision, that is what should

:50:27. > :50:31.happen. Why doesn't the Prime Minister just commit to match the

:50:32. > :50:35.money for Wales, the north-east and all the other places that presently

:50:36. > :50:39.receive EU funding? He has made a lot of commitments already today, so

:50:40. > :50:43.he could certainly do that. I will do a deal with him. If he does, I

:50:44. > :50:50.will make a contribution to building a statue of him somewhere in Wales.

:50:51. > :50:54.I'm so glad that my resignation set of such a generally action,

:50:55. > :50:57.including the honourable gentleman. It has been like filling a leaky

:50:58. > :51:03.bucket, or you pour in, the faster you have to go. I have forgotten

:51:04. > :51:06.what the question was. The money! Obviously it is the point at which

:51:07. > :51:11.Britain leaves the European Union that a future Government will have

:51:12. > :51:15.to make the decision how to match the money for Cornwall, Wales,

:51:16. > :51:19.farming. That is not a commitment I can get now. I very much hope that a

:51:20. > :51:22.future Government will be able to, but it will depend on economic

:51:23. > :51:28.circumstances and the decision at the time. The constituency are

:51:29. > :51:38.present posted by Wessex 27% to remain calm and in Scotland it was

:51:39. > :51:45.62%. -- six to 7% can he understand Scotland position about being

:51:46. > :51:52.dragged out against their will? My constituency voted to remain in

:51:53. > :51:57.United Kingdom, but we are a United Kingdom and we take this decision on

:51:58. > :52:01.a United Kingdom basis. There are over 1.5 million 16-17 -year-olds in

:52:02. > :52:05.the UK, and the referendum was won or lost depending on your point of

:52:06. > :52:09.view by 1.5 million votes. As the Prime Minister still have no regrets

:52:10. > :52:14.about allowing 16 and 17-year-olds essay in their future? I'm sorry,

:52:15. > :52:17.but I don't think it would be right to change my mind about an issue

:52:18. > :52:27.simply because it would have helped my side in the debate. Quite, you at

:52:28. > :52:31.the back. That is why I stuck to the view I have taken all along that 18

:52:32. > :52:36.is the right age, and I often find going around secondary schools in

:52:37. > :52:39.the country and in my constituency, very often find when you ask sixth

:52:40. > :52:46.formers, there is quite strong support, sometimes majority support,

:52:47. > :52:51.but keeping it at 18. How does the Prime Minister's devilish and

:52:52. > :52:54.respect agenda like to the constituents of Glazunov who voted

:52:55. > :52:58.to remain? And what is the message to one of my constituents whose

:52:59. > :53:00.parents live in Spain and who are increasingly concerned about the

:53:01. > :53:05.impact this what will happen their health care? What I would say,

:53:06. > :53:09.respectfully, is that we had a vote on Scotland remaining in the United

:53:10. > :53:14.Kingdom, and we had the Edinburgh agreement that said that the results

:53:15. > :53:17.should be respected. That meant that Scotland was part of United Kingdom,

:53:18. > :53:23.the outer kingdom has now had a vote on its militia but the European

:53:24. > :53:27.Union, and that is how we do things. 7000 people are employed in the

:53:28. > :53:33.ceramics industry in the city of Stoke-on-Trent. 50% of their traders

:53:34. > :53:37.to the European Union, and their employers are incredibly concerned

:53:38. > :53:42.about the future. What reassurances can he get that the industry is safe

:53:43. > :53:44.outside of the European Union? I think the ceramics industry is a

:53:45. > :53:49.classic example of one needs to make his voice heard, and I will make

:53:50. > :53:51.sure this happens, and that we get a good negotiation. If at the end of

:53:52. > :53:54.two years Britain were to come out of the European Union without an

:53:55. > :53:59.adequate deal, we could be facing quite large tariffs on, for

:54:00. > :54:03.instance, ceramics. It is a very good argument about why we need to

:54:04. > :54:07.think this through carefully, then trigger article 50, and make sure

:54:08. > :54:13.during that process we protect those industries' access to those markets.

:54:14. > :54:17.Earlier he described the financial and economic action to Brexit as an

:54:18. > :54:21.adjustment. I presume that was a euphemism. Does he believe that

:54:22. > :54:25.trillions of pounds being wiped off the share value of global companies,

:54:26. > :54:28.the pound at a 31 year low of the threat of tens of thousands of jobs

:54:29. > :54:35.moving to the continent is just an adjustment? The reason I use the

:54:36. > :54:39.word adjustment is this, there are short-term financial effects, and we

:54:40. > :54:42.have seen that. My worry is there will be longer-term uncertainty

:54:43. > :54:46.affects. The adjustment I'm talking about is that people and businesses

:54:47. > :54:50.will be concerned about the access of the UK to crucial markets, and

:54:51. > :54:54.therefore there might be a more fundamental adjustment. What we need

:54:55. > :54:58.to do now, the decision has been taken to leave, is that we make sure

:54:59. > :55:04.we get the best possible access to the markets to the judgment is a

:55:05. > :55:08.small as possible. Could I ask the Prime Minister what reassurances you

:55:09. > :55:10.will give to businesses in my constituency and also the future of

:55:11. > :55:15.regeneration projects that were funded through the EU and the jobs

:55:16. > :55:20.that are rolling to those projects? What I can say is that the budget

:55:21. > :55:23.money is set out from 2014 - 2020, and all that money, while where

:55:24. > :55:28.members of the EU, will continue to be spent. And the crucial decision

:55:29. > :55:33.will be for the next Government at the point of departure, which could

:55:34. > :55:38.be 2017, 2018, 2019, or later, at that height to give reassurances to

:55:39. > :55:41.him or his constituents about how that European money might be

:55:42. > :55:45.replaced with something else. If everybody is to get in, the

:55:46. > :55:50.questions must be shorter, otherwise they just will not get in. Very

:55:51. > :55:53.short questions. Does he agree that there are profound lessons to be

:55:54. > :55:56.loud at that dispatch box and the one opposite about how we listen to

:55:57. > :56:01.and responsibly address the perfectly legitimate concerns that

:56:02. > :56:07.good, decent, working-class people have about things like I'm skilled

:56:08. > :56:09.immigration? And also the consequent self-evident alienation they feel

:56:10. > :56:16.about their current political leadership? Immigration was a key

:56:17. > :56:18.issue in this election, I was hoping that welfare restrictions I had

:56:19. > :56:22.negotiated would help to address that. Because people feel a very

:56:23. > :56:24.clear sense in this country that you should not have something for

:56:25. > :56:28.nothing. People should pay end before they take out. Clearly that

:56:29. > :56:33.was not enough to reassure people stop and also I think there has been

:56:34. > :56:36.a lot of immigration from outside the EU over many, many years, and

:56:37. > :56:39.people want to see the system brought under better control and

:56:40. > :56:42.management. That is what needs to happen and we need to have a

:56:43. > :56:45.rational debate about it. The result of common ground between the two

:56:46. > :56:52.parties about it, and that is what we should get on with. He said a

:56:53. > :56:56.leave what was like putting a bomb under the economy. Is that part of

:56:57. > :56:59.his long-term economic plan? I thought the economy would be better

:57:00. > :57:02.off if we had stayed, the British people made a different decision,

:57:03. > :57:06.now we need to do your best to make sure we safeguard the economy in the

:57:07. > :57:10.new reality. In the last debate we had on the EU the Foreign Secretary

:57:11. > :57:15.said the problem for the UK was that we had no experience trade forgot

:57:16. > :57:20.heaters left in the civil servants. -- trade negotiators. What is the

:57:21. > :57:23.Government doing to train up people to be able to negotiate on trade

:57:24. > :57:29.deals? We will increase our capacity in that vital area. Earlier this

:57:30. > :57:34.year you give me on my commute to the great honour of commemorating

:57:35. > :57:38.the Clydebank floods in your own home. And since that period in 1941

:57:39. > :57:42.but Nato and will begin the EU has delivered both military and economic

:57:43. > :57:45.peace and prosperity for Europe. Does the British Government led by

:57:46. > :57:50.this prime Minster not agree with my community that he has delivered us

:57:51. > :57:55.from peace into unparalleled chaos? What this Government has delivered

:57:56. > :57:57.for Scotland is actually record rates of employment growth and

:57:58. > :58:01.business growth as part of a successful economy. The people of

:58:02. > :58:04.United Kingdom have decided to take a different path with respect to

:58:05. > :58:06.Europe, we must do all we can to continue to safeguard the economies

:58:07. > :58:12.of all countries of the United Kingdom. As anyone that has played

:58:13. > :58:17.an active role in the Remain campaign will know, for a huge

:58:18. > :58:19.number of people who voted Leave, immigration was their top concern,

:58:20. > :58:25.and they believe that this degree negotiation would lead to them

:58:26. > :58:29.ending free movement. I regret that, but does he believe that those

:58:30. > :58:30.people that now try to airbrush that out when they inherit this situation

:58:31. > :58:39.will end in tears? As I have said I think one of the

:58:40. > :58:42.most difficult decision for a future Government is how to balance access

:58:43. > :58:46.to the single market, the best we can get, with decisions about

:58:47. > :58:51.immigration. I don't know what exact answer can be found. The answer I

:58:52. > :58:54.found was welfare reform, which was bold and brave, because axing meant

:58:55. > :59:01.reducing welfare payments to newly arrived migrants, changes that now

:59:02. > :59:06.will not go ahead, so that will continue for a couple of years. But

:59:07. > :59:12.we have to find a solution to that problem. We want access to the

:59:13. > :59:16.single market, but we have to do better when it comes to immigration.

:59:17. > :59:23.In response to repeated questions from this pensions, the Prime

:59:24. > :59:27.Minister has wanted to reduce one of the most ancient and proud nations

:59:28. > :59:35.in this world to the status of an England County. Can I suggest we

:59:36. > :59:39.continue to do that, there should be no Scotland Office?

:59:40. > :59:46.I do not intend to do that, Scotland is a proud part of the United

:59:47. > :59:50.Kingdom, and I would continue to congratulate all that Scotland

:59:51. > :59:53.brings to the UK. All I want to point out is that when you make a UK

:59:54. > :59:58.wide decision, not everyone gets what they want.

:59:59. > :00:02.Order. When the Prime Minister addresses this House contents of

:00:03. > :00:07.late and attends all of our questions, years at entitled to a

:00:08. > :00:16.courteous hearing and not being heckled.

:00:17. > :00:19.I commend the Leader of the Opposition on his condemnation of

:00:20. > :00:26.the race attack on eight constituent of mine yesterday. He was one of the

:00:27. > :00:32.same generation of polls who fought for this country in the Battle of

:00:33. > :00:35.Britain. What the Prime Minister expressed his solidarity with the

:00:36. > :00:37.Polish community and all our migrant communities who are now feeling

:00:38. > :00:44.under threat? I am very happy to do with that. As

:00:45. > :00:49.someone who lived in that constituency previously and mothers

:00:50. > :00:55.brother centres -- parlour centres well, I go past but Polish War

:00:56. > :00:58.Memorial, and say to the polish people you meet a great contribution

:00:59. > :01:03.to our country, these attacks are hateful.

:01:04. > :01:07.Young people across the UK voted overwhelmingly to remain in the EU.

:01:08. > :01:10.And as the Prime Minister what specifically he will do to reassure

:01:11. > :01:18.and support young people that they will have opportunities to live,

:01:19. > :01:22.work and thrives across the EU? Those opportunities are not yet been

:01:23. > :01:26.taken away. I would urge young people to make a voice hard, so when

:01:27. > :01:30.we go into negotiation, we try to get the very best arrangements for

:01:31. > :01:36.people's ability to study and get work.

:01:37. > :01:41.Our great research institutions rely heavily on funding from the European

:01:42. > :01:44.Union. The Prime Minister suggest nothing changes immediately, but for

:01:45. > :01:47.a research is the threat of immediate and real. Can you tell the

:01:48. > :01:53.House would support he will to help them this uncertain times?

:01:54. > :01:58.What I can add to what I have said before is that all contracts will be

:01:59. > :02:05.honoured. So the British Yunis university has won a contract, that

:02:06. > :02:12.contract will be honoured. The issue is post-leaving how we will

:02:13. > :02:15.safeguard those opportunities. The Prime Minister has rightly

:02:16. > :02:19.condemned the worrying wave of post-Brexit racism. Willie

:02:20. > :02:29.absolutely commit to the prevent strategy and indeed funding

:02:30. > :02:33.generally to stamp out xenophobia? I think we should continue with the

:02:34. > :02:42.Prevent strategy. I'm happy to look at anything that will strengthen our

:02:43. > :02:46.stance on hate crimes. The two were promised at

:02:47. > :02:50.continuation of subsidies and support. What reassurance can the

:02:51. > :02:54.Prime Minister given that this will continue to be the case?

:02:55. > :02:58.I will say what I said you in the campaign, as far as I'm concerned, I

:02:59. > :03:02.want a living, working countryside where we continue to support our

:03:03. > :03:08.farmers. That was guaranteed as part of the EU out until 2020. What is

:03:09. > :03:11.the to happen now is those foreign payments will continue until we

:03:12. > :03:18.leave, at that point a new Government will have to make a

:03:19. > :03:22.decision. -- farm payments. Our countryside is as it is because it

:03:23. > :03:26.is farmed, long may that continue to be the case.

:03:27. > :03:31.The devastated citizens are unimpressed by party leaders who

:03:32. > :03:34.simply say that they did their best in this campaign. Will he take the

:03:35. > :03:37.opportunity at the end of this long session to say sorry for what he has

:03:38. > :03:45.done? What I would say is that I made a

:03:46. > :03:48.pledge of holding a renegotiation and a referendum, and I kept that

:03:49. > :03:54.I'd about renegotiation and referendum. I'm sure we've got

:03:55. > :03:57.lessons to learn. I will I will say is that I threw absolutely

:03:58. > :04:02.everything into that campaign. I believed head, heart and soul in

:04:03. > :04:08.what I was saying, the merits of my case. I did everything to get it

:04:09. > :04:13.across. But if you lose, you have to accept the verdict of the British

:04:14. > :04:16.people. In my part, except that means you also have to accept that

:04:17. > :04:21.someone else should take leadership of this great country. I am proud of

:04:22. > :04:29.the action I took and fought as hard as I did.

:04:30. > :04:36.48% of the country wake up sick at heart and angry everyday. Now, large

:04:37. > :04:41.numbers of people outside voted for Brexit are also waking up sick and

:04:42. > :04:45.angry when they find that they were lied to about money for the NHS and

:04:46. > :04:51.immigration. How does the Prime Minister hope to build unity in this

:04:52. > :04:55.country with a Government that may well include people who misled the

:04:56. > :04:59.British public in this vote and referendum?

:05:00. > :05:04.As I say, we now have to come back as one Government which has accepted

:05:05. > :05:07.the will of the British people to leave the European Union. We have to

:05:08. > :05:11.find the best way for our country as we do that. That should be the

:05:12. > :05:14.focus. There is no point in refighting the campaign, we have had

:05:15. > :05:20.that, now we should make the best case for a country that we can.

:05:21. > :05:23.Can I take this opportunity to thank the Prime Minister for attending the

:05:24. > :05:27.National Armed Forces event in Cleethorpes on Saturday. It was very

:05:28. > :05:33.appreciative, especially after the events of the previous 48 hours. I

:05:34. > :05:37.particularly appreciated by the forces, both past and present. To

:05:38. > :05:41.return to the subject matter, although the Prime Minister has

:05:42. > :05:46.already clearly stated there is, perhaps it is appropriate at the end

:05:47. > :05:51.if you could reaffirm something which my constituents have nagging

:05:52. > :05:54.doubts over, whether the Government will deliver Brexit? And he

:05:55. > :05:59.reaffirmed that will happen? I thank him for those one work and

:06:00. > :06:03.that he and the people Cleethorpes kidney on Saturday. I've heard

:06:04. > :06:06.something about hiding away after the referendum, I was there on stage

:06:07. > :06:11.on Armed Forces Day, representing our great Armed Forces in front of

:06:12. > :06:15.an enormous clout in Cleethorpes with a brilliant display and a very

:06:16. > :06:24.good fly past, much past and all the rest. But I say to my honourable

:06:25. > :06:29.friend is that we will ever have a renegotiation, these things did

:06:30. > :06:32.happen, we available other people, we are a democracy, that is what we

:06:33. > :06:37.will do. I thank all colleagues, but critical

:06:38. > :06:41.of the 110 backbenchers who question the Prime Minister. And hats I can

:06:42. > :06:45.congratulate the Prime Minister for the enormous dignity, grace and good

:06:46. > :06:51.humour that he has displayed this afternoon in attending, in detail

:06:52. > :06:55.and at length, to our enquiries. I say, I hope behalf of the whole

:06:56. > :07:04.House, something we don't set off enough - and Q. -- thank you. Point

:07:05. > :07:09.of order. In this House we fight passionately

:07:10. > :07:14.for the rights of British citizens, but Mr Speaker, leaving the EU

:07:15. > :07:18.impacts directly on UK citizens in the EU and in the UK, who is right

:07:19. > :07:22.we have heard from the Prime Minister are secure, but only in the

:07:23. > :07:25.short term. Mr Speaker, do you believe the procedures in this House

:07:26. > :07:30.are fit for purpose when it comes to issuing the Government represents

:07:31. > :07:34.the interests and assures the security of EU citizens in the UK

:07:35. > :07:40.and UK citizens in the EU effectively?

:07:41. > :07:42.I must say to the Right Honourable gentleman, forgive me, I don't think

:07:43. > :07:48.there is a matter contained within that purported point of order that

:07:49. > :07:54.relate to the procedures of the House for the protection of the

:07:55. > :07:58.interests of the European Union citizens. Notwithstanding the

:07:59. > :08:04.expression of unrivalled solemnity on the face of a former deputy

:08:05. > :08:10.leader of this House as he put that point of order to me, I am still

:08:11. > :08:15.struggling to come to terms with the notion that it is a point of order,

:08:16. > :08:22.rather than a point of perfectly legitimate and understandable

:08:23. > :08:27.concern, frustration and anxiety. In so far but it is the latter, the

:08:28. > :08:30.right honourable gentleman is sufficiently experienced and

:08:31. > :08:34.accomplished parliamentarian to find several opportunities further to

:08:35. > :08:46.expand on his concerns in the days and weeks that lie ahead. Point of

:08:47. > :08:50.order, Mr peat washer. Can the legislative programme be

:08:51. > :08:58.reviewed following the dramatic decision made last week?

:08:59. > :09:01.Ask him again. As a courtesy, I should hear the

:09:02. > :09:04.right honourable gentleman once more, but I'm not sure the point

:09:05. > :09:09.will improve with repetition. But we can try! I do beg the gentleman's

:09:10. > :09:15.pardon as I was hearing from someone else at the time. Can we hear it

:09:16. > :09:20.again? I'm sure it is not in dishes. Have you been approached by the

:09:21. > :09:24.Leader of the House to have an urgent review over the legislative

:09:25. > :09:29.programme given the dramatic decision taken last week?

:09:30. > :09:37.The answer to that is no. There will be the opportunity of dozens

:09:38. > :09:41.questions on Thursday -- business questions on Thursday. An occasion

:09:42. > :09:48.in which the honourable gentleman is very familiar, but have I had any

:09:49. > :09:52.indication of the business statements before then, or an

:09:53. > :09:57.intended revisiting of the business of the House, or of the legislative

:09:58. > :10:06.programme? The answer is no. Point of order, Mr Ian Blackford.

:10:07. > :10:12.It has been brought to my attention that a debate in which I attended

:10:13. > :10:15.and spoke on the 24th of June, 2015, on the subject of broadband in

:10:16. > :10:21.Westminster Hall, in my notes I should an indication was to declare

:10:22. > :10:25.I financial interests, I sadly failed to do so in a debate. I

:10:26. > :10:28.wanted to take the opportunity today to Gregory put and apologise to the

:10:29. > :10:34.House for the error in not doing so on the 24th of June last year.

:10:35. > :10:36.We are very grateful to the honourable gentleman forgiven me

:10:37. > :10:43.notice he wished to raise this matter. I also appreciate the fact

:10:44. > :10:48.that he has now, although somewhat belatedly, put the record straight.

:10:49. > :10:50.Let me say thank you to him on the principle, better late than never.

:10:51. > :10:56.Thank you. Point of order.

:10:57. > :11:02.This morning the Chancellor indicated two contrary views - one

:11:03. > :11:05.that we face in the days of the media they had a great turbulence,

:11:06. > :11:09.and secondly that he was going to postpone the urgency budget until

:11:10. > :11:17.after the Tory leadership crisis was resolved. -- emergency budget. Much

:11:18. > :11:21.we face an crisis will have an impact on the Government's finances,

:11:22. > :11:27.should we not have greater clarity before we undertake the scrutiny of

:11:28. > :11:33.this finance bill? That is what I was asking!

:11:34. > :11:37.The matters which the honourable gentleman wishes to treat are

:11:38. > :11:41.contained within the Bill, he may well have a perfectly good

:11:42. > :11:47.opportunity to air his concerns undertake scrutiny today. I would

:11:48. > :11:50.just say to him - I am very grateful to him for giving me notice of this

:11:51. > :11:55.point of order - it is perfectly clear the Government intends to

:11:56. > :12:03.proceed with the committee stage of the Finance Bill today, and and they

:12:04. > :12:10.will be in accordance with the agenda. I must say, that although

:12:11. > :12:14.the new member is an accomplished person with much life experience,

:12:15. > :12:20.while... LAUGHTER

:12:21. > :12:25.I meant by that he has a personal the world, a cerebral individual.

:12:26. > :12:28.While debate must be focused on the amendments selected, I have no doubt

:12:29. > :12:34.that the honourable gentleman will find ways to weave into his

:12:35. > :12:38.contribution some reference to the general concerns that he has just

:12:39. > :12:41.ventilated. I'm sure the honourable gentleman will find his own

:12:42. > :12:45.salvation, I have every confidence in him. He should have every

:12:46. > :12:49.confidence in himself. We'll leave it there for now, if there are no

:12:50. > :12:57.further points of order, I think we will proceed, and I call the

:12:58. > :13:02.minister - I thank all colleagues - I call the most to call motion

:13:03. > :13:05.number one. Thank you. The question is as on the order paper. As many as

:13:06. > :13:14.are of the opinion, say "aye". To the contrary, "no". I think the eye

:13:15. > :13:24.Mike we're have it. As many as are of the opinion, say "aye". To the

:13:25. > :13:26.contrary, "no". The ayes bit. The client will now proceed to read the

:13:27. > :14:05.orders of the day. Finance Bill. We begin. Government

:14:06. > :14:09.amendment to 22 the clause seven, which which will take the other

:14:10. > :14:21.amendments, clusters, schedules and new quotas listed on the paper.

:14:22. > :14:34.Thank you. It is a great pleasure Dee pleasure to move these causes.

:14:35. > :14:38.If I may say at the beginning, as I mentioned to the speaker earlier and

:14:39. > :14:44.you will have noted that somewhat incapacitated with a back strain. I

:14:45. > :14:52.will be taking interventions today, but if I may, with your permission,

:14:53. > :14:56.I will remain standing during those interventions. Bobbing up and down

:14:57. > :15:06.would be a little discomforting. If I may have your permission. Please,

:15:07. > :15:09.don't sit down. I would like to say that if you had not made that point,

:15:10. > :15:14.I was going to offer my permission having once been in the dreadful

:15:15. > :15:21.position of standing there on crutches with a broken leg. Whereas

:15:22. > :15:24.it is possible to stand still, going up and down is exceedingly difficult

:15:25. > :15:32.and I am sure that the whole house has every sympathy for the Minister.

:15:33. > :15:37.I'm sure the House will concur in giving permission to remain on his

:15:38. > :15:42.feet. Thank you. I am grateful for those remarks. The measures that I

:15:43. > :15:46.will outline today in the simple clear and fair tax treatment of

:15:47. > :15:51.employment income and benefits. They strengthen the incentives to choose

:15:52. > :15:55.the cleanest cars and vans and ensure that those who have used

:15:56. > :16:00.artificial arrangements to avoid paying tax pay their fair share.

:16:01. > :16:05.Given the number of clauses selected for the debates, I would like to

:16:06. > :16:16.briefly set out how I will speak on them today. I will firstly discuss

:16:17. > :16:24.clauses eight two 11. I will then outline clause seven and then

:16:25. > :16:34.clauses 12 up until 17. And finally I will outline clause 18. Let me

:16:35. > :16:38.first turn the clause eight, which will increase the appropriate

:16:39. > :16:46.percentage for conventionally fuelled cars by three points by

:16:47. > :16:52.2019. It will also widen the tax advantage of ultralow emission cars

:16:53. > :16:56.over the conventionally fuelled cars compared to previously announced

:16:57. > :17:01.plans. As a result of these changes, in 2019 a basic rate taxpayer

:17:02. > :17:09.driving a ultralow emission company car will be ?113 better off. Close

:17:10. > :17:17.nine makes a minor technical update to ensure the legislation works as

:17:18. > :17:24.intended. This update applies to a small number of rare company cars.

:17:25. > :17:30.It is estimated that exposure to nitrogen dioxide is linked with

:17:31. > :17:37.23,500 deaths annually in the UK, costing approximately ?13.3 billion.

:17:38. > :17:48.As announced at the statement and 2015, clause ten retains that diesel

:17:49. > :17:53.company cars until 2020, 20 21. This will support the UK's transition

:17:54. > :17:58.from diesel cars to cleaner, zero Archer emission cars. As a result of

:17:59. > :18:06.this change, a basic rate taxpayer with an ultralow emission car will

:18:07. > :18:13.save money in 2017 when compared to an employee with an average diesel

:18:14. > :18:19.company car. Clause 11 retains the van benefit charge for deal emission

:18:20. > :18:27.bands at 20% of the rate paid by conventionally fuelled fans for 2016

:18:28. > :18:32.to 26 17. Rather than increasing to 40% and 60% as currently planned.

:18:33. > :18:41.This means a basic rate taxpayer driving a zero emission band will

:18:42. > :18:46.save ?126 in 2017 and ?128 in 2018. These two clauses will incentivise

:18:47. > :18:50.business employees to take up the cleanest cars and vans and will help

:18:51. > :18:55.ensure the market for these new technologies becomes established in

:18:56. > :18:59.the UK and support the UK carbon emissions and air quality targets.

:19:00. > :19:05.If I made, in anticipation of what we would hear from the opposition,

:19:06. > :19:11.let me turn to amendments to and three. These amendments would

:19:12. > :19:14.require the exception of diesel cars from paying the supplement if the

:19:15. > :19:21.have the same supplements as petrol cars. I appreciate that we want to

:19:22. > :19:25.incentivise people to purchase the cleanest cars. These amendments will

:19:26. > :19:30.only serve to introduce confusion. They are not linked to the wider

:19:31. > :19:36.regulatory programme to achieve the latest air standards. Even when cars

:19:37. > :19:43.are driven on our roads. Clause ten retains the supplement until 2021

:19:44. > :19:47.when these new standards will be mandatory for all new cars. This

:19:48. > :19:52.approach is transparent and easy to understand and will give consumers

:19:53. > :19:55.confidence that all new diesel cars are in parable to petrol. Our

:19:56. > :20:02.approach incentivise is people to purchase the cleanest cars and in

:20:03. > :20:06.anticipation of what will be said later, I do hope that the party

:20:07. > :20:11.opposite would press these amendments, let me now turn to the

:20:12. > :20:14.clauses in the session which clarify and so provide the tax treatment of

:20:15. > :20:19.income on certain benefits and insure certain benefits in the tax

:20:20. > :20:24.system. Clause seven will clarify how the cash equivalent of certain

:20:25. > :20:31.tax benefits are a calculator. The ensure that fair bargain does not

:20:32. > :20:36.apply to those benefits with the level of computing the value of the

:20:37. > :20:45.benefit is set out in statute. The Government has made some minor

:20:46. > :20:48.technical changes set out amendments 22 to 26, which ensure the

:20:49. > :20:56.legislation is maintained. All income from an employed or

:20:57. > :21:01.previously employed sports person will be taxable, but we are aware

:21:02. > :21:05.that careers in sport can be short. We have also introduced an exemption

:21:06. > :21:09.for the first ?100,000 or income received from a sporting testimonial

:21:10. > :21:13.that is not contractual or customary. The Government believes

:21:14. > :21:16.that this is a fair compromise and the vast majority of employed sports

:21:17. > :21:23.persons who have testimonials will not be impacted. Clause 13

:21:24. > :21:28.introduces a statutory exemption for certain benefits costing up to ?50

:21:29. > :21:32.that employers provide to their employees. This also provided tax

:21:33. > :21:37.treatment of these benefits and reduce the administrative burden for

:21:38. > :21:41.employers. To insure that the exemption is not misused a ?300

:21:42. > :21:45.annual cap will apply in certain circumstances. This is a sensible

:21:46. > :21:59.and simple five measure which will reduce burdens on employers. Turning

:22:00. > :22:04.to clause 14 it will ensure that no business can have a tax advantage

:22:05. > :22:10.from claiming abroad. It is Mr Bush sensible that people are not able to

:22:11. > :22:15.claim tax relief on the cost of ordinary commuting. Individuals who

:22:16. > :22:19.are engaged through intermediaries such as umbrella companies and their

:22:20. > :22:26.employers can get to benefit from this relief of the cost of commuting

:22:27. > :22:33.from home to work, simply because of the way they are engaged to work.

:22:34. > :22:37.Just on that point, the Secretary of State looked at the fact that this

:22:38. > :22:41.will have disproportionate impact on rural communities where travel is

:22:42. > :22:47.much more expensive and sometimes an overnight stay is necessary when

:22:48. > :22:51.undertaking these roles? I will talk about clause 14 a little bit more,

:22:52. > :22:56.but I do believe this is a matter of fairness and in the case of the vast

:22:57. > :23:03.majority of people, home to work costs don't have tax relief applied

:23:04. > :23:09.to it. I think it is right that we apply the same rules across the

:23:10. > :23:16.board here and there just because an arrangement is made through an

:23:17. > :23:22.umbrella company or another form of intermediaries, that we see a

:23:23. > :23:25.difference in treatment. The clause will put these workers on the same

:23:26. > :23:31.terms as everybody else. This underpins the Government's

:23:32. > :23:37.commitment to ensure the tax is fair and treats all individual doing same

:23:38. > :23:40.thing in the same way. I the semi-Minister balls argument, I do.

:23:41. > :23:47.But this is offering a disincentive to many people who have chosen to go

:23:48. > :23:52.down the self-employed route. Does he not share the concerns that we

:23:53. > :23:55.and others have that this may act as a disincentive to entrepreneurship

:23:56. > :23:57.with being a contractor or self-employed being the first step

:23:58. > :24:03.to forming another business and employing other people? I understand

:24:04. > :24:07.where the honourable gentleman is coming from, but I don't share these

:24:08. > :24:17.concerns. It doesn't seem to me that it is justifiable that simply by

:24:18. > :24:20.arranging a fares in a particular way through an intermediary that

:24:21. > :24:29.somebody benefits from tax relief for travel to work costs. Anyway

:24:30. > :24:36.that someone else doesn't. As much as I, as I think all sides do,

:24:37. > :24:39.recognise that it is important that we have an entrepreneurial economy

:24:40. > :24:43.and the importance of the self-employed within our economy. It

:24:44. > :24:48.doesn't seem to me that there is a strong case for saying that the

:24:49. > :24:51.difference in treatment in terms of tax relief should apply. That is why

:24:52. > :24:56.we have come forward with the measures that we have. In recent

:24:57. > :25:01.years there has been a substantial increase in the number of workers

:25:02. > :25:05.who aged through an employment intermediary. While many employment

:25:06. > :25:08.intermediaries play a legitimate role in the labour market,

:25:09. > :25:12.increasingly some of their market themselves at least in part on the

:25:13. > :25:15.basis that they allow individuals and businesses to maximise their

:25:16. > :25:22.income through claiming tax relief on home to work travel expenses. The

:25:23. > :25:29.increase on the use of intermediaries now means large

:25:30. > :25:34.numbers of individuals are claiming tax relief. With this change we

:25:35. > :25:41.estimate that the service will save the general taxpayer over ?150

:25:42. > :25:51.million this year and over ?600 million by 2019 to 2020. This change

:25:52. > :25:53.will ensure fairness for all individuals and businesses

:25:54. > :26:04.regardless of the structure workers are employed through. I suppose in

:26:05. > :26:09.this context, let me just say, in terms of Government amendment 27, we

:26:10. > :26:15.have introduced an amendment, a technical amendment, to correct a

:26:16. > :26:23.point in the original draft. In terms of new clauses one and three,

:26:24. > :26:27.if I may anticipate arguments that the SNP in a moment, both new

:26:28. > :26:33.clauses would require the Chancellor to publish a report on the impact on

:26:34. > :26:38.workers who provide services on intermediaries for tax purposes

:26:39. > :26:42.within six months of the passing of this Bill. These reviews would be

:26:43. > :26:45.completely unnecessary. Robbie those who provide their services through

:26:46. > :26:50.intermediaries are tax is either employed or self-employed. Some

:26:51. > :26:55.others operate as owner directors of their own companies. The tax

:26:56. > :26:58.treatment of the income and the expenses of these individuals would

:26:59. > :27:05.depend on their employment status for tax purposes. The ATF carried

:27:06. > :27:10.out a review which considered the employment status and taxation of

:27:11. > :27:21.individuals working through intermediaries. The Government

:27:22. > :27:28.committed to a further six more. My recently the Government has received

:27:29. > :27:34.the recommendations which includes the continued developed desire of

:27:35. > :27:40.taxation for small businesses December five tax affairs at a news

:27:41. > :27:44.simple business model that would protect the assets of the

:27:45. > :27:47.self-employed. Following these recommendations, the Government has

:27:48. > :27:51.now formed a cross Government working group on employment status.

:27:52. > :27:55.This group will examine the advantages and challenges of an

:27:56. > :28:02.agreed employment and the balls and statutory employment test. Given the

:28:03. > :28:05.volume and range of the work that has been done in this area recently

:28:06. > :28:08.an additional review I would argue is unnecessary and I therefore urge

:28:09. > :28:20.members to We understand the effort the

:28:21. > :28:25.Government are making, but given we suggested this will save the

:28:26. > :28:30.taxpayer, or to put it another way, cost these individuals, ?600 million

:28:31. > :28:34.over the lifetime of this Government, will he at least be

:28:35. > :28:39.prepared to concede that should the tax yields go automatically - that

:28:40. > :28:41.is to say taking yet more of the self-employed and contracting

:28:42. > :28:46.community - he might want to revisit the decision he is taken today?

:28:47. > :28:53.I don't think the Government will be persuaded by that, I would have to

:28:54. > :29:00.say. Because when that to be the case, that would suggest that the

:29:01. > :29:03.use of tax relief in the circumstances was even more

:29:04. > :29:09.widespread than we had anticipated. And there for the problem we face in

:29:10. > :29:12.terms of the fundamental unfairness... Make no criticism of

:29:13. > :29:17.those making use of intermediaries in the circumstances. They are

:29:18. > :29:23.making use of the law as it currently stands. I do think it is

:29:24. > :29:27.unfair that essentially two people performing essentially identical

:29:28. > :29:32.roles, one is able to gain an element of tax relief and the other

:29:33. > :29:35.isn't, simply because of the way they have structured their

:29:36. > :29:41.arrangements. I do believe the approach we have taken in this

:29:42. > :29:46.clause is the right one. Clause 15 makes changes to allow for the

:29:47. > :29:53.extension of voluntary payroll link to include cash and credit tokens.

:29:54. > :30:01.This will allow businesses to benefit from changes to HMRC, and a

:30:02. > :30:06.system to employers. Changes to schedule three make a number of

:30:07. > :30:13.changes clarifying the rules for finance securities and options.

:30:14. > :30:16.These options are normally used by companies to provide a return

:30:17. > :30:21.incentives to their employees. Remuneration in the form of shares

:30:22. > :30:26.would be generally liable to income tax contributions. However, if they

:30:27. > :30:33.are rewarded under one of the four types of employee share schemes,

:30:34. > :30:39.these are exempt from contributions. Share programmes are greatly valued

:30:40. > :30:43.by employees and companies, the Government wants to make sure these

:30:44. > :30:49.arrangements are simple and clear as possible. To that end, close 14

:30:50. > :30:54.build towards the Government's response to employee share schemes

:30:55. > :31:03.by simplifying and clarifying this area of tax legislation. In

:31:04. > :31:05.addition, clause 17 but in no doubt these arrangements, given the

:31:06. > :31:15.uncertainty in the current law legislation. The trading activities

:31:16. > :31:18.required to receive tax advantages of an enterprise management

:31:19. > :31:22.incentive scheme will continue to apply where the company is

:31:23. > :31:29.controlled by an employees ownership trust. Again, if I may anticipate

:31:30. > :31:34.what we are to hear in future, before I move onto clause 18, will

:31:35. > :31:43.briefly address amendment at hundred and 18 in clause ten, which relates

:31:44. > :31:49.to clause 16. Amendment at hundred and 80 refers to the withdrawal of

:31:50. > :31:54.HMRC by its check service, and associated impacts on employee share

:31:55. > :31:57.ownership schemes. This is unnecessary. HMRC continues to

:31:58. > :32:02.operate a service for employee shareholder status, and the tax

:32:03. > :32:06.advantage scheme is most relevant to small and medium enterprises. HMRC

:32:07. > :32:13.has only withdrawn evaluation takes for income tax in PAYE, these are

:32:14. > :32:18.not part of these recognised employee membership schemes. There

:32:19. > :32:27.are recommendations from less than 0.05% of the SME population. In the

:32:28. > :32:31.vast majority of cases, these originals were acceptable. As such

:32:32. > :32:36.the service as little value and providing a valuable for money for

:32:37. > :32:45.the taxpayer. There are four I hope the House will reject amendment 180.

:32:46. > :32:49.New clause ten proposes that within six bonds of the passing of this

:32:50. > :32:53.act, the Chancellor should publish a report for the value of money

:32:54. > :33:01.provided by each employee share scheme. And HMRC commissioned report

:33:02. > :33:06.considered the effect of tax advantage employee share schemes on

:33:07. > :33:09.productivity. This is publicly available. Due to the difficulty of

:33:10. > :33:16.drawing conclusive outcomes from such studies, in 2012, the office of

:33:17. > :33:20.tax application recommended that it would not be a good use of taxpayer

:33:21. > :33:25.money to produce further reports on the links between share ownership

:33:26. > :33:28.and productivity. However, as with all release, the Government will

:33:29. > :33:33.continue to keep these schemes under review, and will continue to publish

:33:34. > :33:39.regular statistics on the estimated take-up and costs of scheme. For

:33:40. > :33:45.these reasons, I would urge members to reject new clause ten. Now let's

:33:46. > :33:50.make include my opening remarks by addressing clause 18. This

:33:51. > :33:53.Government wants to ensure that companies and individuals have used,

:33:54. > :33:58.or continue to use artificial arrangements to disguise their

:33:59. > :34:01.income pay their fair share. These schemes involve income being

:34:02. > :34:05.funnelled through a third party, with the money off and then being

:34:06. > :34:11.given to the individual in the form of a loan, which has never been

:34:12. > :34:16.repaid. In 2011, the Coalition Government successfully introduced

:34:17. > :34:20.new legislation to tackle schemes in years at the time. Many of those who

:34:21. > :34:23.use these games before 2011 has still not settled. In addition, the

:34:24. > :34:29.tax avoidance industry has been selling new schemes which are even

:34:30. > :34:32.or artificial and contrived. At budget 2016, this Government

:34:33. > :34:39.announced changes to address these issues, and clause 18 as the first

:34:40. > :34:42.part of that package. Clause 18 addresses one type of the schemes by

:34:43. > :34:49.addressing a relief in the current rules which those schemes exploit.

:34:50. > :34:52.There is a tax avoidance motive. It also withdraws a transitional relief

:34:53. > :34:56.from three minor technical clarifications to the current rules

:34:57. > :35:00.to ensure they work as Parliament intends. These reforms make it clear

:35:01. > :35:07.that everyone must pay their fair share. I will not take up any more

:35:08. > :35:16.time for the moment. I'd therefore move that was in 17- 18, schedules

:35:17. > :35:19.two- three, and others stand as part of the Bill.

:35:20. > :35:25.The question is that the amendment be made.

:35:26. > :35:36.A pleasure to appear before you, Sun Roger. I want to give a preview on

:35:37. > :35:42.where I'm going on some of these. I will do the numerically.

:35:43. > :35:48.On clause seven, I do want to probe a little bit on clauses eight, nine,

:35:49. > :35:58.ten and 11 which are to do with vehicles. We support those clauses,

:35:59. > :36:10.but that are two amendments which I would say, sir Roger, although the

:36:11. > :36:19.Minister indicated... If the Government, in spite of myself time,

:36:20. > :36:24.maintains that petition, I will be seeking to continue that. In the

:36:25. > :36:33.vehicle ones we broadly support the amendments two and three. In terms

:36:34. > :36:38.of clauses 12, 13, we broadly support those. In terms of clause

:36:39. > :36:45.14, travelling expenses for workers, we broadly supported, but I do wish

:36:46. > :36:50.to probe the Government on that. On clause 15, we broadly support that.

:36:51. > :36:55.Clause 16, employee share schemes, I want to run that around the block to

:36:56. > :37:00.get a greater indication, because there is a number of employee share

:37:01. > :37:05.option schemes under various guises. I think it's arguably getting a

:37:06. > :37:12.little out of control. Again, the opposition broadly supports clauses

:37:13. > :37:20.17 and 18. Starting with clause seven, this is on the taxable

:37:21. > :37:24.benefits, and it amends 2003 legislation to clarify the concept

:37:25. > :37:30.of a fairer bargain. This is, as I understand that, and I'm not an

:37:31. > :37:34.accountant, it provides an employer some form of benefit in kind which,

:37:35. > :37:40.in some circumstances, is provided at a cost to the employee, and in

:37:41. > :37:45.some circumstances isn't, where those benefits or goods and services

:37:46. > :37:50.are provided at a cost, the revenue wishes to know whether that caused

:37:51. > :37:58.benefits provided is below market rates or not. And clause seven goes

:37:59. > :38:03.to that issue. But it appears to cover bands and cars as well as

:38:04. > :38:11.other things, and we will be looking at other causes to deal with plans

:38:12. > :38:14.and cars. I will say to the Minister, I will try to avoid a

:38:15. > :38:18.situation where he feels he needs to intervene at this stage am because

:38:19. > :38:29.of his back. I have suffered with a bad back decades, I have every

:38:30. > :38:33.sympathy. I trust that he will be able to explain and differentiate

:38:34. > :38:37.for those of us who are not accountant how vans and cars come to

:38:38. > :38:40.the benefit in kind provisions under clause seven. I understand how

:38:41. > :38:44.becoming an subsequent quarters, having for many years had a company

:38:45. > :38:48.car with two different employers will stop I am broadly familiar with

:38:49. > :38:56.that territory, but not clause seven. I wonder if the Minister, in

:38:57. > :38:59.terms of clause seven, to which the Government amendments as well, to

:39:00. > :39:03.what extent the Treasury has found there has been in misuse of the

:39:04. > :39:09.original rules, necessary seating the clarifications which come in

:39:10. > :39:20.subsequent clauses. -- necessitating clarifications. My lodestar in these

:39:21. > :39:25.matters referred to "Uncertainty". I hope the Minister will say what that

:39:26. > :39:33.uncertainty is, so we could be clearer. Moving on to the new tier

:39:34. > :39:41.matters for the official opposition on cars and vehicles and so on. --

:39:42. > :39:45.new tier matters. We are all aware that the use of the tax regime to

:39:46. > :39:52.encourage certain Hagar and discourage other behaviour is well

:39:53. > :39:57.known to have an effect when it comes to the purchase and use of

:39:58. > :40:03.vehicles. Unlike in some other areas, with the tax reliefs are not

:40:04. > :40:08.so clear to their effectiveness and others. I'm looking around the

:40:09. > :40:12.House, and there aren't many members who will remember it, but I remember

:40:13. > :40:20.and supported the campaign for lead-free air. Campaign for

:40:21. > :40:25.lead-free petrol, I should say. In the bad old days, lead was added to

:40:26. > :40:30.petrol as a mechanism for increasing its octane rating, are there for it

:40:31. > :40:36.increased the power output of the petrol, as it were. To produce

:40:37. > :40:43.petrol which did not have led in it, cost more. And in their four, when

:40:44. > :40:49.initially the excise regime was the same, for leaded and unleaded,

:40:50. > :40:54.unleaded cost more. The then Conservative Government, under some

:40:55. > :40:58.rasher for the campaign for lead-free petrol and others, wisely

:40:59. > :41:08.change the excise regime, so that unleaded actual cost less, and the

:41:09. > :41:13.switch was made for many, many motorists within a period of about

:41:14. > :41:20.two years. That was using excise at Weavers to change use in the change

:41:21. > :41:25.of vehicles. We also seen in recent years the explosion in the United

:41:26. > :41:32.Kingdom of the purchase and use of diesel vehicles. Started, I have to

:41:33. > :41:41.say, by a Labour Government which was trying to cut CO2 emissions,

:41:42. > :41:47.because Martha mile, diesel at lower CO2. -- mile for mile. And that

:41:48. > :41:53.succeeded. But it was always a contradictory policy, because there

:41:54. > :42:00.was also, for a benefit in kind and company car traders, a 3% loading by

:42:01. > :42:05.more tax payable for those who had a diesel- powered company car, and

:42:06. > :42:14.contradiction to a petrol- powered company car. So clause eight

:42:15. > :42:21.increases quite markedly the percentage of the purchase price

:42:22. > :42:25.which is then counted as taxable income for somebody who is provided

:42:26. > :42:34.a company car. For example, for low emission gurgles -- vehicles, for

:42:35. > :42:42.those with a CO2 grams protocol matter, - I hope that we leave the

:42:43. > :42:51.European Union we will not revert to Imperial measures - for those

:42:52. > :42:55.vehicles it goes from 19% to 22%. It goes up under 3% every time under

:42:56. > :43:01.clause eight. The Government has announced every two years. I will

:43:02. > :43:06.return to this in the future. Broadly, that looks to us, like a

:43:07. > :43:15.tax raising measure. Nothing wrong with raising taxes, HMRC is about

:43:16. > :43:18.raising taxes, so the Government has sufficient income to provide the

:43:19. > :43:23.services which are constituents wish. I hope the Minister will be

:43:24. > :43:31.able to give an estimate of how much he thinks the increase in those

:43:32. > :43:35.bandings, the percentage of those bandings and clause eight, how much

:43:36. > :43:41.that will bring into the Exchequer, and whether he believes that it will

:43:42. > :43:47.have any effect - positive or negative - on the types of vehicles

:43:48. > :43:56.purchased, given that most people, I think, would agree that the vehicle

:43:57. > :44:00.purchased with lower CO2 emissions purple matter is generally less

:44:01. > :44:03.dirty and more socially acceptable than a vehicle with higher CO2

:44:04. > :44:21.emissions per kilometre. In terms of clause nine, this as I

:44:22. > :44:26.understand it is in parts a correction of problems in the

:44:27. > :44:29.Finance act 2015. Though I confess that I'm not sure if it was the

:44:30. > :44:37.second Finance act of that year, because I think there were two.

:44:38. > :44:42.Clause nine is correcting that. For vehicles which cannot emit CO2. For

:44:43. > :44:46.most of those that would probably mean a electric vehicles, although

:44:47. > :44:52.there may be other types, but those are the most common. Because it is a

:44:53. > :44:55.correction, there will not be the two-year lead in that the Government

:44:56. > :45:00.generally wishes to have so that manufacturers can plan and

:45:01. > :45:04.purchasing managers for fleet operations and so one can plan.

:45:05. > :45:08.Because it is correcting now, which is unfortunate. Can the Government

:45:09. > :45:14.tells a little bit about that and how that will correct? And extra

:45:15. > :45:22.nation on how that error arose would be helpful. I think it is because

:45:23. > :45:34.provisions were overlooked and omitted. Clause ten gets us onto the

:45:35. > :45:43.much meatier issue to do with diesel cars. This clause is diesel car is

:45:44. > :45:50.appropriate percentages. There was as I referred to earlier and I think

:45:51. > :45:54.it was always the case, a 3% in addition to be paid as a benefit in

:45:55. > :46:02.kind as asthma for those who had diesel powered company car is as

:46:03. > :46:12.opposed to petrol powered ones. The Government had and I'm not perhaps

:46:13. > :46:21.sure why, promised or enacted abolishing the 3% loading. And

:46:22. > :46:27.closed ten abolishes the abolition. So the 3% loading continues. On

:46:28. > :46:35.these benches, that seems overall a good thing to do. Given the

:46:36. > :46:39.increasing evidence which is emerging as to the deleterious

:46:40. > :46:45.effects, particularly caused by diesel vehicles, not just diesel

:46:46. > :46:49.cars of course. But many, many commercial vehicles, of course

:46:50. > :46:55.diesel and due to the size and weight of them tend to get fire a

:46:56. > :46:58.few miles to the gallon. That is a particular problem in certain parts

:46:59. > :47:07.of the country. I shall get onto that. In terms of the quality. In

:47:08. > :47:11.terms of the number of vehicles which this will affect, the library

:47:12. > :47:17.has been very helpful and I'm here as always most grateful to my

:47:18. > :47:22.excellent research, image and Watson who has done a huge amount of work

:47:23. > :47:26.on this. A great deal of help from the library as well. The latest

:47:27. > :47:32.figures that the library defined as I understand it, any mistakes I make

:47:33. > :47:37.are mine, not the library or the re-searchers. As I understand it the

:47:38. > :47:43.latest figures that they could find was that there were about 313,000

:47:44. > :47:51.company clients replaced each year. Those figures go back to 2012 and

:47:52. > :47:55.2013. That is around 14% of total new car sales. That is a

:47:56. > :48:02.considerable drop. If you look at the United Kingdom 30 years ago it

:48:03. > :48:05.was nearer 50%. Because of the taxation on company vehicles, that

:48:06. > :48:20.has lessened that proportion. Diesel cars as we now know are particularly

:48:21. > :48:23.noxious. And there are in fact standards which came in for a new

:48:24. > :48:33.type approvals from September 2014 and all new cars from September 2015

:48:34. > :48:38.have to be, when sold in the United Kingdom, compliant with Euro sex.

:48:39. > :48:44.Alas a subsequent Government decides to change that. Regardless of the

:48:45. > :48:51.United Kingdom using the European Union, one words presumed that would

:48:52. > :48:57.continue to apply in this country. Even if there were a Euro seven to

:48:58. > :49:01.be introduced post-Brexit I would suggest that the United Kingdom

:49:02. > :49:04.would comply with that. I manufacturers would have to in order

:49:05. > :49:14.to sell any continental market. At the moment the standards are set out

:49:15. > :49:19.in terms of grounds per column at. I confess that I don't understand all

:49:20. > :49:25.the science. The metrics are the same for petrol and diesel. The

:49:26. > :49:32.targets that the vehicles have to reach are somewhat different. The 3%

:49:33. > :49:38.surcharge, deluding which the Government wishes to retain and we

:49:39. > :49:43.support, will discourage somewhat fleet managers from allowing company

:49:44. > :49:49.cars to be diesel. Even though they will get more miles to the gallon.

:49:50. > :49:57.The Minister and think and he can perhaps correct me, referred to

:49:58. > :50:01.23,500 deaths per year, which is estimated, nobody knows for sure.

:50:02. > :50:07.These things are estimates, but the minister is very helpfully nodding.

:50:08. > :50:10.Those 23,500 premature deaths brought about by low air quality in

:50:11. > :50:17.the United Kingdom is a shocking, shocking figure. Given from memory

:50:18. > :50:24.that the number of road traffic collision fatalities is on the order

:50:25. > :50:29.of 2750. I stand be corrected, but it is that order of magnitude. That

:50:30. > :50:34.is the 10th of the air quality premature deaths. It appears that

:50:35. > :50:41.United Kingdom has quite rightly invested huge amounts in passive and

:50:42. > :50:44.at the safety to cut down on the number of road traffic collisions

:50:45. > :50:51.and in terms of the severity there of. But in terms of air quality,

:50:52. > :50:54.well still a member of the European Union we have been in breach of the

:50:55. > :51:00.European Union legislation. In this case the European union does make

:51:01. > :51:08.rules to the United Kingdom. We're been in breach of those air quality

:51:09. > :51:11.standards for years, for years. The world health organisation has

:51:12. > :51:16.ambient air quality guidelines with which I am sure the Minister is

:51:17. > :51:25.intimately familiar and his ministerial colleagues. These are

:51:26. > :51:30.based on micrograms per cubic metre. There are two ways of measuring

:51:31. > :51:36.that. One is the annual mean and one in the 24-hour mean which I refer

:51:37. > :51:41.peaks. There are two broad categories of the particles which

:51:42. > :51:52.are of particular concern, one is particles of less than ten in

:51:53. > :51:58.diameter and one is PM 2.5. The smile. Those fine particles, less

:51:59. > :52:06.than 2.5 are considered by many to be much more damaging to health than

:52:07. > :52:13.PM ten particles. They are found in dust, dirt, suit and liquid

:52:14. > :52:20.droplets. Without detaining the hazard very great length, there is a

:52:21. > :52:28.large the British cities in England and Wales and Scotland, I don't as

:52:29. > :52:32.she have any figures for Northern Ireland, there is a large number

:52:33. > :52:41.where the air quality consistently reaches those WHO guidelines in

:52:42. > :52:47.terms of the annual mean. For example, the annual mean I commend

:52:48. > :52:51.the shoe in 4pm 2.5, that of the smaller ones, is less than ten

:52:52. > :52:55.micrograms per cubic metre as an annual mean. In Birmingham, just

:52:56. > :53:02.down the road from my constituency in Wolverhampton, it is 14, well

:53:03. > :53:08.above that ten. In Leeds it is 50 and in London it is 50. In

:53:09. > :53:17.Stoke-on-Trent it is 14. In Glasgow, I'm afraid it at 16, well above that

:53:18. > :53:25.time. This is bad, bad news. London has a shocking record, frankly. I

:53:26. > :53:28.have to say the former Mayor of London, now the honourable member

:53:29. > :53:38.for Oxbridge bears responsibility in this regard for not having done

:53:39. > :53:44.enough. In 2016, January, London reach the annual air quality limit

:53:45. > :53:54.in eight days. So if you think of it as annual allowance, London used up

:53:55. > :54:00.its annual allowance and more within eight days of the start of the year.

:54:01. > :54:04.That is where under EU rules sites are only her road to breach the

:54:05. > :54:11.hourly limits of 200 micrograms of nitrous dioxide per cubic metre of

:54:12. > :54:15.air 18 times in a year. These guidelines, call them what you well,

:54:16. > :54:19.I think they're actually legislating from the European Union, they do

:54:20. > :54:23.allow for a certain peaks and certain exceptional circumstances

:54:24. > :54:31.and so on, but having 18 exceptional circumstances in eight days means

:54:32. > :54:34.that for the City of London those are not exceptional circumstances,

:54:35. > :54:40.the everyday circumstances. On that period, on average more than twice a

:54:41. > :54:47.day. The health in pact that we talked about, the 23,500 annual

:54:48. > :54:51.deaths estimated, premature deaths, there are huge financial costs as

:54:52. > :54:54.well. The loss of lives is the key indicator anything for all

:54:55. > :54:59.honourable members around the House, but the costs are higher estimated

:55:00. > :55:04.between ?15 billion a year for the United Kingdom, that is an Scottish

:55:05. > :55:06.Government sources. When the Royal College of physicians and

:55:07. > :55:15.paediatrics and Child health report of their this year, the estimated

:55:16. > :55:21.?20 billion per year. It now is estimate that England's air and

:55:22. > :55:26.water is posing a risk to their ecosystem. It is costing farmers as

:55:27. > :55:33.well, because of ground levels and reduce by nitrogen oxide the acting

:55:34. > :55:43.with other atmospheric pollutants to lessen crop yields. This is a huge

:55:44. > :55:52.problem. Amendments to and three seek to address that in a small way.

:55:53. > :55:59.The deal with company cars, not all cards and they basically say to

:56:00. > :56:12.encourage Manufacturer 's that if a diesel engine meets the same level

:56:13. > :56:18.of Euro, as a petrol engine, then the same tax regime shall apply to

:56:19. > :56:23.that diesel engine vehicle as would apply to a petrol engine vehicle.

:56:24. > :56:27.Those dozens and dozens of Honourable members who were paying

:56:28. > :56:31.attention earlier will remember that Ira third to this using the same

:56:32. > :56:37.measurement yardsticks, but different points on those yardsticks

:56:38. > :56:41.apply to diesel or petrol. So for carbon monoxide it is one for petrol

:56:42. > :56:52.and five diesel. Furniture is oxide is as zero point six and 0.84

:56:53. > :57:00.diesel. That is as I understand it small particles and that is where

:57:01. > :57:07.they come from. It is a very small step, but a symbolic one for the

:57:08. > :57:15.Government to take towards lessening the appalling and arguably under EU

:57:16. > :57:20.rules are air quality in the 38 cities in the United Kingdom which

:57:21. > :57:32.are in breach of the world health organisation recommended levels. And

:57:33. > :57:36.ten UK cities are in breach of the PM ten world half organisation

:57:37. > :57:39.guidelines. This is literally killing people. I would urge the

:57:40. > :57:42.Government to rethink on this measure. It is not going to

:57:43. > :57:48.transform air quality if the Government asset amendments to and

:57:49. > :57:55.three. It is important that the Government takes it seriously. I

:57:56. > :58:02.have to say to the ministers opposite, the move the manic mood

:58:03. > :58:07.music from this Government has not been that they have taken our

:58:08. > :58:11.quality from vehicle emissions very seriously and because vehicles can

:58:12. > :58:18.be bought in one part of the United Kingdom and driven in another, we're

:58:19. > :58:22.still a United Kingdom, this requires measures at the Westminster

:58:23. > :58:26.level whatever the Scottish Parliament by the Welsh assembly

:58:27. > :58:32.might wish to do to improve air quality. Principally it has to be

:58:33. > :58:37.done at the national level and unless one were to be incredibly

:58:38. > :58:39.Draconian the weight of this is through a Finance Bill, rather than

:58:40. > :58:50.through some Moving on to clause 11, which is

:58:51. > :58:57.calf equivalently benefits to vans, I hope the Minister can, in summing

:58:58. > :59:01.up, indicate what the Government's... Where the Government

:59:02. > :59:09.is going with vans here in clause 11. Because, as I read it, and I may

:59:10. > :59:15.have misunderstood it, where it seems to be going is to discourage

:59:16. > :59:22.people from buying electric vans. If I've understood it correctly, that

:59:23. > :59:28.seems a bit odd. And the moment, the charge for zero emission bands is

:59:29. > :59:35.20% of the benefit in kind which would apply to vans which admit CO2.

:59:36. > :59:43.The Government is then, under clause 11, as I understand it, going

:59:44. > :59:50.gradually to abolish that the differential so that the 20% becomes

:59:51. > :59:59.40%, becomes 60%, becomes 90%, becomes 100% by 2023. So someone

:00:00. > :00:04.buying a van, scientist and it's, in 2023, who is thinking about the

:00:05. > :00:08.benefit in kind on themselves, is going to say, the electric van, I

:00:09. > :00:16.have to pay as much benefit in kind as I do for petrol or diesel. That

:00:17. > :00:21.seems an odd way to be going in benefit and taxation for vehicles.

:00:22. > :00:25.Perhaps the Minister could explain either that I have misunderstood

:00:26. > :00:29.that, or the Government's thinking in going in what many of us witty,

:00:30. > :00:38.in terms of the environment, as the wrong direction. -- many of us would

:00:39. > :00:44.say. Moving on to clause 12 on the sporting testimonial payments, as

:00:45. > :00:50.the Minister said, careers in sport can be short. I'm afraid that is the

:00:51. > :01:00.case and politics as well, sometimes, as I have experienced.

:01:01. > :01:07.What would be helpful is if, as the Chartered Institute of Taxation, who

:01:08. > :01:13.I thank for their help, points out, that the clarification from the

:01:14. > :01:22.Government about the ?100,000 upon which tax is not payable, if that's

:01:23. > :01:26.income from a testimonial, that that situation pertains when the

:01:27. > :01:32.testimonial is neither contractual law customary. To those of us who

:01:33. > :01:39.are lawyers, then contractual is very straightforward. Customary, a

:01:40. > :01:43.bit woolly. It is the kind of worried that lawyers and accountants

:01:44. > :01:50.like, because you make money charging people to interpret it for

:01:51. > :01:54.them. So as I understand it, and again I may be wrong, I can't see

:01:55. > :02:02.customary defined on the face of the Bill. And I would urge the Minister

:02:03. > :02:07.to have another look at that. Can he also, either today or later, try to

:02:08. > :02:13.get us indication how much revenue has been missed by the Exchequer in

:02:14. > :02:17.the last five years from testimonials which are contractual

:02:18. > :02:24.or customary, in which case one would expect them to be liable to

:02:25. > :02:32.income tax. And, as I say, but customary on the face of the Bill.

:02:33. > :02:37.Moving on swiftly to clause 13, this refers to reward for services,

:02:38. > :02:45.extension for trivial benefits of either by employers. The CIO T has

:02:46. > :02:49.suggested it would be useful to all of us at the Minister, if not on the

:02:50. > :02:54.face of the legislation, when replying today, could clarify the

:02:55. > :03:02.difference between a reward for services and a reward for particular

:03:03. > :03:09.services. Because the ear to the very, very similar will stop HMRC

:03:10. > :03:14.must think there is a difference. Perhaps you could clarify that. I'm

:03:15. > :03:20.clause 14, the travel expenses for workers provided by intermediaries,

:03:21. > :03:25.this is a difficult area I think for all of us, because it brings in the

:03:26. > :03:29.issues of equality between those who are workers, but not the surly

:03:30. > :03:34.employees, and those who are employees, for knows who are not

:03:35. > :03:37.familiar with the terrain - there are people who are workers for tax

:03:38. > :03:42.purposes, and indeed for minimum wage purposes, but they are not

:03:43. > :03:48.employees. This is an attempt by successive governments to stop

:03:49. > :03:54.people, employers, the factor employers, getting around the law by

:03:55. > :04:01.using devices which lessen the amount of tax payable. Of course,

:04:02. > :04:06.the overnight costs and travel costs of workers who are employed by

:04:07. > :04:12.various organisations, difficult to clamp down on, because people are

:04:13. > :04:16.very inventive to what they do. But if one thinks of those who are

:04:17. > :04:21.working on a building site as skilled workers, walking miles from

:04:22. > :04:24.home, it is common for those to be engaged through an agency or be

:04:25. > :04:31.self-employed, and for them, if through an agency, to have their

:04:32. > :04:36.travel experiences paid week by week, because they could be hundreds

:04:37. > :04:40.of miles from home. Clause 14 is an attempt to clarify and clamped down

:04:41. > :04:46.on what the Government sees as misuse of this. Or if not misuse, a

:04:47. > :04:50.lack of equality between what one might call true employees and

:04:51. > :04:55.non-employee workers who are subject to this kind of arrangement. I

:04:56. > :05:00.declare an interest as a member of the Unite trade union, of which I am

:05:01. > :05:07.proud to be a member. And is a member of the trade union Congress,

:05:08. > :05:11.another is the trade union for construction, which is strong in

:05:12. > :05:17.Scotland but also across Britain. They believe that the Government's

:05:18. > :05:22.estimate of how many workers will be affected by these changes is that

:05:23. > :05:29.grows underestimation. They estimate that some of their members in the

:05:30. > :05:33.construction trade, being employed by an umbrella company, because of

:05:34. > :05:41.these changes to income tax and national insurance - things which

:05:42. > :05:44.would not previously assessable to income tax in terms of travel and

:05:45. > :05:52.accommodation - that some of their members could be over ?3300 a year

:05:53. > :05:55.worse off. I have met with another association who made some proposals

:05:56. > :06:02.that I wrote to the Minister about, who replied helpfully on two

:06:03. > :06:06.occasions - which I thought was very good of him, because I did write on

:06:07. > :06:12.two occasions - I think that the Government still ought to have

:06:13. > :06:16.another look at it. Three proposals were made about a radius allowance,

:06:17. > :06:21.so that your main address would have to be a certain distance further

:06:22. > :06:27.from the place of work than the average commutes, which is

:06:28. > :06:33.apparently 16.5 miles per day. They also suggest a 24 month rule, the

:06:34. > :06:37.yardstick by which employment position is regarded as temporary or

:06:38. > :06:43.not. And this, which would hurt some people, I suppose, removing food and

:06:44. > :06:46.drink from the subsistence expenses, which we did must play some time

:06:47. > :06:52.ago, when food and drink was removed from what used to be caught the ACA,

:06:53. > :06:57.the additional costs Alliance. Quite rightly that was removed. The

:06:58. > :07:03.Government should look at that. In terms of amendments to this, I think

:07:04. > :07:06.it is new clause one and three, new clause three in the name of the

:07:07. > :07:11.Scottish National Party, and new clause in my name and those of my

:07:12. > :07:14.honourable friends, it will not surprise members to note that I

:07:15. > :07:20.prefer new clause three rather than new clause one, the reason for that

:07:21. > :07:26.is that while both clauses call for a review and assessment by the

:07:27. > :07:29.Chancellor of the Exchequer on this whole area of the tax system, the

:07:30. > :07:34.new clause three also includes within it umbrella companies, which

:07:35. > :09:03.is arguably a growing goblin, or a growing

:09:04. > :09:16.In a written parliamentary reply on April this year, the noble lord

:09:17. > :09:21.Gatley replied, basically saying that the Government didn't know.

:09:22. > :09:27.Because it's all a bit contributed to work out. I appreciate that, but

:09:28. > :09:31.I say this in the context of the National Audit Office, which found

:09:32. > :09:39.there were something like 1200 measures which should be called tax

:09:40. > :09:50.reviews, on which... Whether they had an effect on behaviour which

:09:51. > :09:54.they were designed to do. Whether these of measures had any effect on

:09:55. > :09:59.productivity is at best unclear, the Government can afford to look into

:10:00. > :10:07.that more. Terms of clause 17 on securities options, related to that

:10:08. > :10:12.is new clause ten. I begged a clause ten rustlers to value for money, I

:10:13. > :10:18.should have regard to that there. New clause ten is calling, because

:10:19. > :10:27.of the uncertainty to the efficacy or on fries are such thing, for the

:10:28. > :10:32.Chancellor of the Exchequer I hope the Minister will accept new clause

:10:33. > :10:37.ten. Rather than saying we keep these things under review, which

:10:38. > :10:41.they do, and that is good, I think a significant report in this area

:10:42. > :10:44.would be good. In terms of securities options, again, it is

:10:45. > :10:52.unclear what effect some of these have, but broadly we welcome them.

:10:53. > :10:55.Clause 18, unemployment benefit provided through third parties, I

:10:56. > :10:58.think most less is fairly technical stuff, doesn't mean we shouldn't

:10:59. > :11:02.scrutinise it, but I understand there is going to be consultation on

:11:03. > :11:07.this, perhaps the Minister could provide a little more detail on

:11:08. > :11:13.that. And that the minister might address lower paid individuals and

:11:14. > :11:19.smaller businesses, some who feel that these proposals are

:11:20. > :11:25.retrospective, because they refer to pre-2011 arrangements. Of course, we

:11:26. > :11:36.are always wary in this House of retrospective T.

:11:37. > :11:44.I rise to speak to amendments 180, to speak to move new clause one, and

:11:45. > :11:47.to indicate support to the opposition on amendment two. If I

:11:48. > :11:53.start with amendment two, I think the honourable member for

:11:54. > :11:57.Wolverhampton South West has been giving us his reasoning with such

:11:58. > :12:01.typical eloquence that I have nothing of any substance to add to

:12:02. > :12:08.his remarks, other than to say that we shall be supporting the amendment

:12:09. > :12:16.when he it is pressed to the vote. Prior to the onset of this debate, a

:12:17. > :12:19.short time ago, I raised a point of order with the Speaker, who

:12:20. > :12:25.encouraged me to say a few remarks in my opening here. So I hope you

:12:26. > :12:31.will indulge me for about 30 seconds to indicate that we have had an

:12:32. > :12:38.extraordinary and historic statement from the Prime Minister. However, in

:12:39. > :12:42.terms of the economy and Government finances, it has helped me later

:12:43. > :12:50.clarified that there is no clarity. -- merely to clarify. We face great

:12:51. > :12:55.challenges that will be relevant to much that is in this Bill, yet we

:12:56. > :13:00.don't know the detail of what the ministers, what the Treasury, plan

:13:01. > :13:05.to actually do, and how it will affect some of the issues within

:13:06. > :13:08.this Bill. I am particularly concerned about some of the issues

:13:09. > :13:13.we are addressing within these amendments, as it will affect small

:13:14. > :13:19.business people in my constituency, and small business people in

:13:20. > :13:26.different legal guises throughout the whole of the UK. I mentioned

:13:27. > :13:35.that I ministers questions, just prior to the referendum, two of my

:13:36. > :13:40.constituents who run small businesses who are of German descent

:13:41. > :13:44.have now left the country, such as their feelings of the way in which

:13:45. > :13:54.the immigration debate has been handled.

:13:55. > :14:02.had been hoping to engage in share ownership schemes. I know that at

:14:03. > :14:07.least one of them has been engaged as an intermediary who would've been

:14:08. > :14:11.affected by this. So when I make remarks about the amendment of the

:14:12. > :14:16.new clause, although this would apply to many people, I had in my

:14:17. > :14:23.mind a particular concern to those people in our society to want to

:14:24. > :14:28.make a contribution to productivity and feeling disadvantaged because of

:14:29. > :14:33.the wider ramifications of Brexit. In terms of speaking to our

:14:34. > :14:39.amendment 180 on the impact of the abandonment of HMI Roussillon at

:14:40. > :14:43.those valuation check services for small and medium-sized enterprises,

:14:44. > :14:47.I'm aware of the Minister giving his words of comfort when he opened his

:14:48. > :14:53.address feeling that this is not really a matter of such significance

:14:54. > :14:58.it was a pearly use the service and therefore it is of little confidence

:14:59. > :15:09.that this is being abandoned or has been abandoned in the last few weeks

:15:10. > :15:13.by HMI C. Would he accept that first of all given the reduction on the

:15:14. > :15:17.number of people employed by them and secondly the dissatisfaction

:15:18. > :15:24.faction level sometimes at the service given it is understandable

:15:25. > :15:31.that many businesses would return to professional they employ themselves

:15:32. > :15:36.rather than rely on the HM RSC. Angry entirely. I would point out

:15:37. > :15:40.that some of the smallest enterprises that might wander in

:15:41. > :15:44.gauge in areas such as recruiting their first or second employee and

:15:45. > :15:48.engaging some type of share ownership, they are not in the a

:15:49. > :15:54.situation to be able to go out to a professional community and the 1000

:15:55. > :16:06.?30,000 to get the type of valuation service that may be needed. That was

:16:07. > :16:08.provided at no cost by them. Organisations based in University

:16:09. > :16:14.College in London had indicated that they are aware of a number of cases

:16:15. > :16:20.where small businesses are being discouraged from engaging in small

:16:21. > :16:24.scale share ownership schemes precisely because the assistance

:16:25. > :16:30.they were once afforded has been removed. If the demand was so small,

:16:31. > :16:34.quite clearly there were some people who needed to be involved and the

:16:35. > :16:37.costs could not have been greeted the Government. So do abandon the

:16:38. > :16:42.service when some people may be looking towards expanding the amount

:16:43. > :16:47.of share ownership schemes and society seems to me somewhat

:16:48. > :16:52.perverse. If we move on to the new clause one, which reasons that defy

:16:53. > :16:57.all understanding, the honourable member for Wolverhampton South West

:16:58. > :17:03.but was not dramatically superior to his new clause three, no doubt he

:17:04. > :17:10.will attempt to explain and convince me of that a little later. With a

:17:11. > :17:14.view of taxes provided the services through intermediaries. We believe

:17:15. > :17:18.this has a particular impact on Scotland. I think it was the

:17:19. > :17:23.Honourable member himself that indicated that on average people

:17:24. > :17:29.have a travel to work return journey of around 16 miles. 16.7 miles. Try

:17:30. > :17:34.telling that to people who live on the Isle of Skye and to have to

:17:35. > :17:40.commute to places like Fort William or Inverness. Try telling that to

:17:41. > :17:46.people who have two hop islands to move from one place to the other.

:17:47. > :17:48.Try telling that to some of the health workers employed in these

:17:49. > :17:55.matters who are servicing islands and who need to travel on ferries to

:17:56. > :17:59.stay overnight and the like they are not in a situation that is also

:18:00. > :18:07.close to the average 16 miles to travel to work. There was recently

:18:08. > :18:12.an article in the Times educational supplement pointing out the negative

:18:13. > :18:19.impact this is likely to have on many aspects of the education sector

:18:20. > :18:22.that rely on people on particular types of contracts and who don't

:18:23. > :18:30.enjoy the benefits of full-time employment. Of course, the Minister

:18:31. > :18:36.has argued very calmly, as he always does, about this simply being a

:18:37. > :18:40.matter of making sure there is a level playing field. If the minister

:18:41. > :18:44.wanted to make sure there was a level playing field, he would be

:18:45. > :18:52.ensuring that these workers and intermediaries benefit from sickness

:18:53. > :18:56.pay, benefit from holiday pay, benefit from many of the other

:18:57. > :19:02.benefits of full-time employment. The fact is that they don't. They

:19:03. > :19:06.don't have those same benefits, they cannot be compared with somebody in

:19:07. > :19:10.the additional forms of employment. Indeed what I suspect as part of the

:19:11. > :19:13.problem here for the Government is that they have a misunderstanding of

:19:14. > :19:19.the needs of the modern labour market. It is no longer the case

:19:20. > :19:24.that we only had people employed in very traditional ways or have people

:19:25. > :19:30.who are entirely self-employed in the way in which it is traditionally

:19:31. > :19:34.understood. There are many ways in which flexibilities in the labour

:19:35. > :19:43.market have been developing over the last ten or 20 years. Many of these

:19:44. > :19:48.flexibilities play to and unable local economies that as those in

:19:49. > :19:52.rural areas whether in Scotland or Northern Ireland or in specialist

:19:53. > :19:56.sectors such as the oil and gas sector who need to import very

:19:57. > :20:01.specialist services. These people might be based not just in Scotland,

:20:02. > :20:06.but might be based down here near London and having to fly to provide

:20:07. > :20:15.their services. Is going to have a potential impacts that has not been

:20:16. > :20:23.thought through by the Government. Would he agree with you cat who says

:20:24. > :20:31.that if possible, such workers should be directly employs. They

:20:32. > :20:36.have agreements to get employment rates for the Olympics and so on.

:20:37. > :20:44.There is a place for specialist work on oil rigs or whatever who will not

:20:45. > :20:47.be permanently employed through an intermediary, but the opening

:20:48. > :20:52.position should be to try to have direct employment so that people get

:20:53. > :20:55.the feel benefit of rights. I very much agree with the Honourable

:20:56. > :20:59.member that there will be those among this community where it would

:21:00. > :21:02.be better if they were able to achieve traditional forms of

:21:03. > :21:08.employment, but what I would say to him and respect is that it is not

:21:09. > :21:14.the situation for the in excess of 1 million people in the United Kingdom

:21:15. > :21:19.who fall into this category. Sir Roger, I think that despite the warm

:21:20. > :21:27.words of the Minister, it will be our intention to move new clause

:21:28. > :21:32.one. This is a matter of some importance to the communities and

:21:33. > :21:38.the economy of Scotland. I have simply been indicating that we are

:21:39. > :21:42.speaking to amendment 180 zoo we do not intend to press that to a vote,

:21:43. > :21:54.but we will also be supporting the opposition in their amendment, too.

:21:55. > :22:03.First of all, the Honourable members speaking for the fashionable

:22:04. > :22:09.nationalists is absolutely right in that excessive governments have

:22:10. > :22:12.understaffed the HM C. They have consistently argued that they are

:22:13. > :22:16.going to make it more efficient. I remember when I was elected to this

:22:17. > :22:20.house I went to my local VAT office and they said that if we employ more

:22:21. > :22:25.staff then every member of staff collect is five times their own

:22:26. > :22:27.salary. Being a logical person I would be Chancellor of the Exchequer

:22:28. > :22:30.and suggested this was a good idea to employ more staff and collect

:22:31. > :22:34.more revenue for the Government. I got a letter back from a civil

:22:35. > :22:38.servant suggesting that they were going to save money by cutting

:22:39. > :22:45.staff. It was so irrational, it was just nonsense. That kind of nonsense

:22:46. > :22:50.has continued ever since. Reducing the number of offices and making it

:22:51. > :22:56.more remote and so on, I was not terribly impressed with the idea of

:22:57. > :23:04.having a benefits distributing service. It should be to tax

:23:05. > :23:08.credits. I was not the only one I said it was uneasy about that

:23:09. > :23:10.change. I want to talk about the new clause three and support my

:23:11. > :23:16.honourable friend of the front bench about tax treatment of workers

:23:17. > :23:23.through intermediaries. It has long occurred to me that in cheese,

:23:24. > :23:26.private agencies make lots of money out of public pose and the people

:23:27. > :23:34.they are employing. I think it could be overcome if we issued a

:23:35. > :23:36.substantial public ownership programme for agencies. Particularly

:23:37. > :23:43.when we're talking about the public sector. Nurses, if we had a local

:23:44. > :23:49.authority or a National Health Service agency so that the money

:23:50. > :23:54.went either into the pockets of the people employed by the agency was

:23:55. > :23:57.saved in public spending by the health service, everyone would

:23:58. > :24:01.benefit. The people who would lose of course would be the private

:24:02. > :24:07.sector who would not make profits out of employing people in this way.

:24:08. > :24:12.In that way serving and taxation could be properly regulated and it

:24:13. > :24:15.would be no cheating or tax fiddles, because it would be within the

:24:16. > :24:22.publicly accountable public sector. This could also be extended. I am

:24:23. > :24:26.grateful to my honourable friend forgiving way. I have sympathy is

:24:27. > :24:29.with him on organisations such as agencies which deal with supply

:24:30. > :24:34.teachers, which you will remember of growth from its background in

:24:35. > :24:36.education. Commonly to be done by the local education authority before

:24:37. > :24:42.sadly the Labour Government change that. The local education of birdies

:24:43. > :24:47.were battered by its current Government and its predecessor. In

:24:48. > :24:51.certain areas such as construction or oil rigs which have been

:24:52. > :25:01.mentioned today, there is a role for these specialist agencies and that

:25:02. > :25:04.would be bad to look at nationalising those or have them run

:25:05. > :25:13.by national Government bodies as he appeared to be suggesting. I would

:25:14. > :25:19.like to, it is not that everything in the past was bad, some people say

:25:20. > :25:22.we can't go back to the past. We have had a succession of governments

:25:23. > :25:26.have gone back to the 19th century in the way they run the economy and

:25:27. > :25:30.neoliberalism was invented them. Since then we have managed economies

:25:31. > :25:33.which have worked fro well but that has been thrown away and we have

:25:34. > :25:36.gone back to the 19th century. Some things in the past we could go back

:25:37. > :25:39.to which might actually improve things. I suggest that public

:25:40. > :25:45.agencies for temporary staff would be a very good thing, I might even

:25:46. > :25:50.debate with him that this could be employed in the private sector as

:25:51. > :25:55.well, because at least the staff involved would be properly

:25:56. > :26:03.protected. The companies that employ them would know they are not being

:26:04. > :26:06.ripped off. The taxpayers and recipients, the Treasury, with no it

:26:07. > :26:11.is getting a feared deal by collecting its proper taxes. We did

:26:12. > :26:15.a properly organised trade unions making sure we are properly paid and

:26:16. > :26:19.we could go back to a world of active social democracy, which I

:26:20. > :26:25.think would be a splendid thing. My honourable friend, I am pushing him

:26:26. > :26:32.to fire. I do supporters amendment. Yes, of course. I had to say, I am

:26:33. > :26:35.in favour of the world active social democracy but I'm not sure my

:26:36. > :26:41.definition is the same as his if he is seriously suggesting that the

:26:42. > :26:48.construction agencies should be run by some kind of state body. That is

:26:49. > :26:54.a step too far them. I would also say to my honourable friend, caution

:26:55. > :27:01.him, having gotten his way last Thursday he is pushing his luck on

:27:02. > :27:06.this somewhat Stalin like approach. You are suggesting it is like

:27:07. > :27:09.Stalin, but we are documenting words were rehab democratically elected

:27:10. > :27:12.governments. After the Second World War we had Labour Government did

:27:13. > :27:19.wonderful things, I would not call them like Stalin. They were

:27:20. > :27:24.sometimes defeated in this house. Being like Stalin is not the right

:27:25. > :27:26.description. A bigger role for the public sector in regulating

:27:27. > :27:31.employment and making sure that people are properly paid, securely

:27:32. > :27:36.employed even when they are temporary staff and that taxes are

:27:37. > :27:40.properly paid and private sector agencies don't rip off both the

:27:41. > :27:43.public person and the plays. I will leave that with my honourable

:27:44. > :27:50.friend. Hopefully at some point in the future he will bring

:27:51. > :28:01.I just want to speak briefly. I just want to speak about the review of

:28:02. > :28:07.income tax for workers employed through intermediaries. A couple of

:28:08. > :28:10.points, we're asking for the review to come back. I understand the

:28:11. > :28:15.Government's point is that they feel this is sensible for the majority of

:28:16. > :28:20.workers, and for the majority of people. What we are raising is the

:28:21. > :28:25.unintended consequences on specific issues and areas that it is going to

:28:26. > :28:28.be a major problem. We have for a dimension that rural communities

:28:29. > :28:34.will be disproportionately affected by this, but by geography. There are

:28:35. > :28:41.further away, it is what has gotten people to make cheap traveller

:28:42. > :28:46.Leachman is or find recently priced overnight accommodation. -- travel

:28:47. > :28:50.arrangements. Another thing is that if you have a specialist contractor,

:28:51. > :28:55.we do not want them to not choose to go to in the community because it is

:28:56. > :28:58.going to disproportionally cost them money, that means these committees

:28:59. > :29:01.will lose out and stop they were not have the ability to get whatever

:29:02. > :29:08.needs done in that community because the contractor will go somewhere

:29:09. > :29:10.where it is cheaper. Particular, as we mentioned, this is an issue in

:29:11. > :29:16.the oil industry and whiskey industries. You may have specialist

:29:17. > :29:20.contractors that need to go to rural locations, we do not want there to

:29:21. > :29:24.be disproportionately affected. One of the big issues were rural

:29:25. > :29:28.communities is that, with the Brexit scenario, they are going to be

:29:29. > :29:32.missing out on European funding as it is. We do not want them to be

:29:33. > :29:38.further negatively impacted by this. So we're asking for a review on

:29:39. > :29:41.this. I understand there have been reviews made before and predictions

:29:42. > :29:45.that the main - we all know from last week that predictions can be

:29:46. > :29:50.wrong - we do not know how this will work in practice. The Government

:29:51. > :29:55.knows how much will cost, but they do not know the impact on workers'

:29:56. > :30:01.behaviour. So it as the Government to look at this and in a few months

:30:02. > :30:07.come back and see evidence have a negative effect on rural

:30:08. > :30:10.communities. Would also ask that the reduction on net income for people

:30:11. > :30:14.disproportionately affects those on lower incomes, so this is quite a

:30:15. > :30:19.regressive measure in terms of that. I wondered any review has brought

:30:20. > :30:23.back anything, and if there is anything to come back if that could

:30:24. > :30:28.be looked at as well, whether or not those contractors doing lower paid

:30:29. > :30:33.jobs are less likely to choose to go to rural communities on that basis?

:30:34. > :30:38.I am grateful to her. Some of those lower paid companies may be working

:30:39. > :30:46.for umbrella companies, that is the difference in writing between new

:30:47. > :30:56.clause three clause one. In terms of the clause tabled by her honourable

:30:57. > :31:00.friends, dishy envisage within that concepts, different types of workers

:31:01. > :31:06.-- does she envisage within the concept, different types of umbrella

:31:07. > :31:10.company is being part of that? When we said different types of

:31:11. > :31:14.work, we met all of those who are going to be impacted by this change

:31:15. > :31:21.in taxation measures. I will wrap up now, thank you very much.

:31:22. > :31:27.Minister? Thank you, Sir Roger, I am grateful

:31:28. > :31:32.for the points made over the course of the debate. I will not repeat all

:31:33. > :31:35.the points made in my opening remarks, but will try to address the

:31:36. > :31:40.particular questions raised in the course of our debate will stop as we

:31:41. > :31:45.have had plenty of questions. I should begin by saying how pleased I

:31:46. > :31:47.was to see the member for Wolverhampton South West join us.

:31:48. > :31:54.You never know these days who will be there. But given the very

:31:55. > :31:58.considerable work that he clearly put into his speech, and not

:31:59. > :32:03.forgetting the very considerable work put in by Imogen Watson, I

:32:04. > :32:07.think it would have been a great pity were he not had been on the

:32:08. > :32:12.front bench in a position to ask those questions. I'm delighted to

:32:13. > :32:16.see him as were happily give way. I wouldn't have missed it for the

:32:17. > :32:22.world. The links that people will go to to

:32:23. > :32:31.avoid attending a PLP meeting are clearly very considerable. Let me

:32:32. > :32:35.address the lengths that the honourable member went to. I will

:32:36. > :32:43.try to address other points raised and this debate. I will run through

:32:44. > :32:49.an clause order, attempt to do so. We start with clause seven, where

:32:50. > :32:53.the question was asked to what extent that have been problems with

:32:54. > :32:59.uncertainty to tax law addressed by tax seven. There has been some

:33:00. > :33:07.uncertainty about the application of the current tax law and reflect of

:33:08. > :33:12.their provision by advisers. The matter has been put beyond doubt. It

:33:13. > :33:17.will give employers certainty about where and when their bargaining

:33:18. > :33:21.should be applied to benefits in kind. These issues have recently

:33:22. > :33:24.been rehearsed by the Court of Appeal. The honourable gentleman

:33:25. > :33:30.raised particular issues as to why there were special revision for cars

:33:31. > :33:35.and vans. Company cars and vans are a particularly valuable benefit.

:33:36. > :33:41.Does the code specify how to calculate the benefit? It is as

:33:42. > :33:46.though consequence that it is particularly valuable that we have

:33:47. > :33:52.got the provisions that we have. I'll give way.

:33:53. > :33:57.There may be a bit of doing and throwing on this for clarification.

:33:58. > :34:04.This may well be my ignorance. Is this to do with the sale of a car as

:34:05. > :34:11.opposed to one supplied as a benefit in kind, the classic seals wrecked's

:34:12. > :34:16.company car. It supports talking about a different scenario for

:34:17. > :34:23.undervaluing, or is a difference? It is not talking about that, and I

:34:24. > :34:31.hope to provide some clarity. In terms of clause eight, in terms of

:34:32. > :34:37.the issue of the question put, why is the Government imposing tax

:34:38. > :34:41.increases on drivers of low emission cars, the company car tax system

:34:42. > :34:45.encourages people to choose the most fuel-efficient cars, while ensuring

:34:46. > :34:49.the benefit is fairly taxed. It is fair that all company car users,

:34:50. > :34:54.including those on zero and low-carbon cars make a fair

:34:55. > :34:59.conservation to the public finances. The tax differentiation between low

:35:00. > :35:06.emission and conventionally fuelled cars will be lowered in 2019 and

:35:07. > :35:12.2020, compared to previous plans announced at budget 2013. I could,

:35:13. > :35:21.if you so wish, provide examples of that. Let me also address the issues

:35:22. > :35:26.as to why the Government is increasing rates of conventionally

:35:27. > :35:32.fuelled cars by 3% after years of two percentage point increases? The

:35:33. > :35:38.question is also ask about the impact on the type of cars

:35:39. > :35:41.purchased. These increases ensured that the taxation of company cars

:35:42. > :35:47.continues to reflect changes in emissions technology. The rate

:35:48. > :35:54.increased, together with the extra incentive of these vehicles promotes

:35:55. > :36:01.the move to cleanest cars. In 2013 there were many ultralow emission

:36:02. > :36:11.vehicles in the company car fleet. In 2015, the Rover 8000 supporting

:36:12. > :36:16.this approach. -- over 8000. Revenue has been broadly maintained in real

:36:17. > :36:18.terms in the face of continued improvements in Newcastle

:36:19. > :36:30.efficiencies. This will support the move towards cleaner and lower

:36:31. > :36:37.emission cars. In respect of clause 11, certainly... .

:36:38. > :36:41.I wonder, I think I asked before, and he may not have the figure to

:36:42. > :36:45.hand, in terms of the measures include an clause eight, can the

:36:46. > :36:49.Minister give us an estimate of how much he thinks these changes will

:36:50. > :36:55.raise, given that for each of the four bands, the percentages are

:36:56. > :37:03.going up by 3%? I will... If I may, I will write to

:37:04. > :37:12.the honourable gentleman and provide ten with those details. In terms of

:37:13. > :37:18.clause 11, the Government will review the van benefit charge for

:37:19. > :37:24.zero emission vans again in light of market elements in 2018. This clause

:37:25. > :37:28.is keeping the level at 20%, not increasing it as planned. The review

:37:29. > :37:35.carers before any further increase the odd 20%. I hope that is helpful

:37:36. > :37:41.to him. In terms of what will be the impact on zero emission advance

:37:42. > :37:48.sales, while extending the ban benefit -- van benefit to include

:37:49. > :37:50.the uptake in new vehicle technologies, the Government

:37:51. > :37:55.announces a scheme for zero emission vans and the van grant which else

:37:56. > :38:00.with the upfront cost of buying a new low emission vehicle that will

:38:01. > :38:04.also help to ridges barriers in the uptake of these technologies.

:38:05. > :38:10.Hopefully this will increase the sales of these fans and the

:38:11. > :38:14.manufacture of green vehicle technologies in the UK, consistent

:38:15. > :38:20.with the Government's bands to encourage growth in these areas. The

:38:21. > :38:26.point was raised by the honourable member about EU air quality

:38:27. > :38:30.requirements, and whether there is more that we should be doing.

:38:31. > :38:38.Government is committed to improving air quality and complying with legal

:38:39. > :38:42.obligations. Last September, Defra published the Government's plans to

:38:43. > :38:48.achieve these aims. The most polluting diesel vehicles will be

:38:49. > :38:52.discouraged from entering the centres of many English cities. The

:38:53. > :39:00.Mayor of London has responsibilities and his own plans for reductions.

:39:01. > :39:05.And the honourable member's amendment, while I accept as

:39:06. > :39:09.well-intentioned, but no current vehicles will because, and we are

:39:10. > :39:16.pursuing these aims for effectively elsewhere. I will give way.

:39:17. > :39:21.It may be that I missed it, and I apologise if I did. I understood he

:39:22. > :39:30.was referring to stuff going through Defra and so on that an milestone

:39:31. > :39:34.would be 2020. I have to say to the Minister, if I understood correctly,

:39:35. > :39:39.2020 seems an awfully long way away, given that we should have been

:39:40. > :39:45.complying with this error quality staff in something like 2011 or

:39:46. > :39:48.2012. -- air quality stuff. It does seem to be kicking the can down the

:39:49. > :39:51.road while literally tens of thousands of people are dying

:39:52. > :39:57.prematurely. That's worrying. I can understand

:39:58. > :40:02.why the honourable gentleman raises that point, what's, particular given

:40:03. > :40:11.the amendment in front of us here, no vehicles would currently be

:40:12. > :40:15.caused, and it is a question of finding the most effective means to

:40:16. > :40:21.do this. Last December, Defra published the Government's plans to

:40:22. > :40:27.achieve these aims. Yes, there is further work that needs to be done,

:40:28. > :40:33.and I accept that. We need to setup a realistic, achievable target. By

:40:34. > :40:37.2020, the most polluting diesel vehicles will be discouraged from

:40:38. > :40:42.entering a number of cities. I will give way, but I am keen to make some

:40:43. > :40:47.progress, because a number of points had been arranged.

:40:48. > :40:51.When he says no vehicles are caught, my understanding of what he means by

:40:52. > :40:55.that, is that there are no vehicles currently manufactured that if this

:40:56. > :41:02.measure is adamant it would be able to take advantage of that. He's

:41:03. > :41:06.nodding, that's helpful. So is the purpose of the amendment to drive

:41:07. > :41:09.the market? I appreciate that is the intention

:41:10. > :41:16.behind that, and he would be the first except that would require some

:41:17. > :41:19.time for that to take effect. But there are other measures elsewhere

:41:20. > :41:25.that the Government is taking which I believe achieve those objectives

:41:26. > :41:33.more effectively. Just turning to... I give way.

:41:34. > :41:37.There is a well way scheme being proposed to build around way line

:41:38. > :41:43.which will take 5 million lorry journeys off roads every year and

:41:44. > :41:50.transform the emissions that are currently, particularly in towns. --

:41:51. > :41:54.Railway journeys. Will the Government look seriously at this

:41:55. > :41:57.scheme, is it a positive way forward?

:41:58. > :42:03.What I would say is that this Government is committed to a very

:42:04. > :42:08.substantial investment in our Railways. The biggest rail building

:42:09. > :42:16.programme, I think, since Victorian times. As a Government we have great

:42:17. > :42:18.ambitions they are. We intend to spend ?16 billion on transport

:42:19. > :42:23.infrastructure in the course of this Parliament. Turning to sporting

:42:24. > :42:36.testimonials, the point was raised about the definition of customary.

:42:37. > :42:40.Just issue of the honourable member, HMRC is engaged in creating guidance

:42:41. > :42:46.on these issues, including the definition of customary. He is as

:42:47. > :42:51.about the numbers involved in testimonials that fall within the

:42:52. > :42:58.contractual customary awful outside that. Employers have not had to

:42:59. > :43:10.report that two HMRC, it is worth writing out that contractual

:43:11. > :43:14.payments are required as... Returning to clause 14, there are a

:43:15. > :43:23.number of points raised on this. First point was raised that this

:43:24. > :43:26.would change disadvantage rural communities? Rural communities which

:43:27. > :43:33.are contracted directly cannot claim travel and subsistence on their

:43:34. > :43:36.ordinary commute. This would equalise the tax treatment of

:43:37. > :43:39.employers are employed through intermediaries will stop this is a

:43:40. > :43:43.balance in our tax system, ensuring it is fair. It is a long-standing

:43:44. > :43:47.vegetable of the tax system that tax relief is not allowable for the

:43:48. > :43:49.expense of Audrey commuting, travelling from home to a permanent

:43:50. > :44:10.workplace, a point made earlier. more it would be suitable for travel

:44:11. > :44:17.and affect growth, we are businesses need to come from some distance

:44:18. > :44:28.away, the government expects businesses to pay workers enough to

:44:29. > :44:31.not need this subsidy. Businesses meeting a wage which will not

:44:32. > :44:46.require assistance from the government. When we see the DBE is

:44:47. > :44:53.about the likes of supply teachers, this does put supply teachers on

:44:54. > :44:58.intermediary on the same level as those contracted through an agency

:44:59. > :45:04.contract. Supply teachers are not engaged in this way would not

:45:05. > :45:12.receive tax relief on the travel, as it is regular home to work travel.

:45:13. > :45:21.Prior to the last general election, we were told we would stop umbrella

:45:22. > :45:28.companies exploiting tax relief. That is exactly what this change

:45:29. > :45:36.does. I hope the measures we are putting in place will have

:45:37. > :45:43.cross-party support. Can one point come at the point raised by his

:45:44. > :45:47.colleague, his colleague from Aberdeen North, about the effect on

:45:48. > :45:59.the oil industry. Employees with the permanent workplace at an offshore

:46:00. > :46:05.oil or gas sitting, are already given a sessional additional

:46:06. > :46:16.assistance for travel. These will not affect the exemption. The only

:46:17. > :46:23.time I had to operate through an umbrella company was when it was at

:46:24. > :46:28.the requirement of the government because of the contract I had. Will

:46:29. > :46:36.wriggle through every department to ensure that they no longer contract

:46:37. > :46:40.out in this way. It is the case that that is a lot of work which has been

:46:41. > :46:48.done in recent years to ensure that the government are not involved in a

:46:49. > :46:53.way in which the tax bill is driven down in a way which is not the

:46:54. > :47:07.intention of government or Parliament. Can I come to clauses

:47:08. > :47:13.Clauses16 and 17. The government believes the impact of these

:47:14. > :47:22.services would be negligible. It is worth pointing out that the