05/09/2016

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:00:09. > :00:26.Order! Order. On the front page of today's order paper, it is noted

:00:27. > :00:32.that on the 4th of September 19 6, Lieutenant Colonel Duncan Frederick

:00:33. > :00:39.Campbell, Duke of Wellington's raging -- Regiment, West riding

:00:40. > :00:46.North Ayrshire, wounded at ` battle in 1914 and again on the Western

:00:47. > :00:56.front in 1916, died from his wounds in Suffolk. We remember him today.

:00:57. > :01:08.Hear, hear! Questions for the Home Secretary. Amber Rudd. This is a

:01:09. > :01:15.voluntary scheme whereby local authorities sign up to accept

:01:16. > :01:23.refugees on a voluntary bashs. Up to 2016, June, 2046 people werd

:01:24. > :01:27.resettled across 186 differdnt authorities. There are suffhcient

:01:28. > :01:32.pledges of places across thd UK to resettle 20,000 vulnerable Syrians

:01:33. > :01:40.and we will continue to work closely with them to turn these pledges into

:01:41. > :01:44.places. Thank you, Mr Speakdr. I'm grateful for that answer and I

:01:45. > :01:49.welcome this government's rdcord in supporting the people of Syria. And

:01:50. > :01:55.also many councils who are taking in refugees and encouraging -- I am

:01:56. > :02:01.encouraging my local authorhties to do that but they need support. Would

:02:02. > :02:04.the Secretary of State update the House as to what support as well as

:02:05. > :02:11.encouragement she is giving to local authorities. I ask my honourable

:02:12. > :02:15.friend to pass on my congratulations to his local authority for their

:02:16. > :02:20.support. It is essential th`t this is done on a voluntary basis. We

:02:21. > :02:26.provide support over a five,year period and it is tapered. Btt we

:02:27. > :02:29.recognise that it is essenthal to provide central financial stpport to

:02:30. > :02:35.the local authorities who are supporting these people. Can I

:02:36. > :02:39.welcome the Home Secretary to her first Home Office questions and wish

:02:40. > :02:43.her well in the job and welcome the job that the local authorithes are

:02:44. > :02:47.doing. She will know that some of us met a few weeks ago with a Syrian

:02:48. > :02:54.teenager in Calais whose falily are here in Britain, who was given a

:02:55. > :03:00.take charge and leave two months ago but is still in Calais, alone, in

:03:01. > :03:07.dangerous conditions. He has now been given a transfer date of later

:03:08. > :03:11.this week but only because three MPs and two national newspapers

:03:12. > :03:16.intervened. There are hundrdds more children and teenagers in C`lais in

:03:17. > :03:19.awful conditions. Will she hntervene urgently and speed up the

:03:20. > :03:24.bureaucracy and a sort thesd cases out? I recognise the excelldnt work

:03:25. > :03:30.that the Right honourable l`dy delves in this area in drawhng

:03:31. > :03:35.attention to these people indicate camp. I would point out to her, and

:03:36. > :03:40.to the general public, that this is French territory. It is French law

:03:41. > :03:44.that we have to engage with in order to help these people. We ard

:03:45. > :03:48.identifying the children th`t we can help and we are now able to speed up

:03:49. > :03:55.that process and will continue to watch it carefully. Thank you, Mr

:03:56. > :04:02.Speaker. Would the Secretarx of State commend me -- join me in

:04:03. > :04:05.commending local groups who has set up their own initiatives and

:04:06. > :04:10.liaising with local councils to make sure that new people coming over,

:04:11. > :04:16.these are vulnerable Syrian refugees are locally welcomes in our

:04:17. > :04:21.communities? I do join my honourable friend in making that point, how

:04:22. > :04:26.important it is for families to be welcomed by the community. These are

:04:27. > :04:29.not families being foisted on the communities, it is communithes

:04:30. > :04:34.saying they want to welcome them. I commend what is being done hn

:04:35. > :04:36.Richmond and I know other communities and individuals are

:04:37. > :04:43.volunteering to help and sole of them are going on the website, help

:04:44. > :04:51.refugees in the UK, to find out how they can help. Mayor welcomd the

:04:52. > :04:57.Home Secretary to her first Home Office questions and I welcome the

:04:58. > :05:02.announcement that there will be enough places for 20,000 Syrians by

:05:03. > :05:09.2020. I am sure she will wish to congratulate Scotland for wdlcoming

:05:10. > :05:15.1000 of those refugees, mord than one third of the total in the UK.

:05:16. > :05:19.But will she now commit to dxtending the government's resettlement

:05:20. > :05:26.programme past 2020 and opening it up to other refugees? I do join the

:05:27. > :05:34.honourable and learn as Ladx in congratulating Scotland for the work

:05:35. > :05:38.they have done and who can forget the early pictures of the rdfugees

:05:39. > :05:44.arriving on the Isle of Butd. There is still work to do to welcome the

:05:45. > :05:48.20,000. I was pleased to announce over the weekend additional funding

:05:49. > :05:56.for language courses. For now we won't go further but we will keep it

:05:57. > :06:00.under review continually. I welcome my right honourable friend to her

:06:01. > :06:06.moored than deserved place. I'm sure the whole house will welcomd the

:06:07. > :06:13.four Syrian families who ard housed in my constituency and congratulate

:06:14. > :06:19.my counsel for their hard work. What assurances can be Home Secrdtary

:06:20. > :06:23.gave local councils that financial support will extend for as long as

:06:24. > :06:29.it takes to keep people safd in our country? I congratulate Broxtowe

:06:30. > :06:35.Council in the work they have done to welcome those families. H can

:06:36. > :06:40.reassure her and those councils that the funds are in place for the five

:06:41. > :06:46.years, that are tapered. And I note the request -- the increase funding

:06:47. > :06:51.for English language courses which are important to allow the families

:06:52. > :06:55.to form part of the community. I commend the Home Secretary for the

:06:56. > :06:59.early initiative she has taken. But she will be aware that therd are

:07:00. > :07:03.many local authorities which have not been required to take rdfugees

:07:04. > :07:08.and others who are taking in the would take more. Does that

:07:09. > :07:13.willingness to take in refugees not indicate the target of 20000 by 2020

:07:14. > :07:20.was an unnecessarily modest ones and could now be revisited? I al not

:07:21. > :07:25.ready yet to say that the 20,00 is not enough. We have worked

:07:26. > :07:29.incredibly hard to make surd that that 20,000 is welcomed, will be

:07:30. > :07:34.properly looked after. The lodern thing is to concentrate on laking

:07:35. > :07:38.sure that everyone of those 20, 00 to get the proper support from the

:07:39. > :07:42.communities in which they are housed and get the language lessons. So I

:07:43. > :07:51.would ask for his patients, making sure that we support those 20,0 0.

:07:52. > :07:55.It is not just a matter of numbers. I'm glad that we're bringing them in

:07:56. > :08:00.for the Middle East rather than from Calais. I congratulate my local

:08:01. > :08:05.councils who had taken on rdfugees. But it is not just a question of the

:08:06. > :08:09.people, it is a question of finding health care, social care, education

:08:10. > :08:13.and other infrastructure in the area and jobs for them as well. Not just

:08:14. > :08:18.bringing them in and leaving them to it. My honourable friend is

:08:19. > :08:26.absolutely right which is why we are taking these families through these

:08:27. > :08:31.UNHCR who set them carefullx so we get the people who are most in need.

:08:32. > :08:36.It is the local authorities who can decide whether they have thd

:08:37. > :08:40.capacity, in terms of health places, school places, and I think we are

:08:41. > :08:44.very fortunate in this country that we do have sufficient authorities

:08:45. > :08:48.who have come through to volunteer to help. It is testament to the

:08:49. > :08:58.strength and generosity of the British people. Mrs Baker, with

:08:59. > :09:03.permission I will answer qudstions two and six together.

:09:04. > :09:07.-- Mr Speaker. We continue to work with the French and Italian

:09:08. > :09:11.authorities to improve procdsses for unaccompanied children. We have

:09:12. > :09:15.facilities in Greece and we are working in Italy and we are sending

:09:16. > :09:19.officials to the French intdrior ministry. Request under the Dublin

:09:20. > :09:26.regulation are processed within ten days in general and children

:09:27. > :09:30.transferred within weeks. 120 children have been accepted for

:09:31. > :09:33.transfer within Europe this year. There are literally hundreds of

:09:34. > :09:39.children in Calais as we spdak who have a legal right to be retnited

:09:40. > :09:45.with their families in this country. Literally, those children are trying

:09:46. > :09:48.to put their lives at risk by jumping on trains and lorrids. I

:09:49. > :09:53.want to know specifically what the government is doing to help those

:09:54. > :10:01.children in Calais? The honourable gentleman will be aware that we have

:10:02. > :10:05.an obligation which we are `cting on to work with the authorities in

:10:06. > :10:08.France to remove the childrdn who have a family representativds in the

:10:09. > :10:15.UK under the Dublin obligathon. We have since May, since the

:10:16. > :10:19.immigration Acts, taken 30... We have agreed to take 30 of which we

:10:20. > :10:24.have taken approximately half. We have taken under and 20 this year. I

:10:25. > :10:29.don't think he should underdstimate the difficulty in making sure we do

:10:30. > :10:34.what is lawful under French law and EU law at the same time. Thd Home

:10:35. > :10:39.Secretary will be aware of significant concern on this issue

:10:40. > :10:43.from humanitarian organisathons With the onset of winter just a

:10:44. > :10:46.couple of months away, and the time it is taking, will she commht

:10:47. > :10:49.additional resources and to come back in the next couple of lonths

:10:50. > :10:56.and tell us how many childrdn she will be taking?

:10:57. > :11:01.We are aware of the humanit`rian need and that is why the Government

:11:02. > :11:04.is so committed to making stre that we do work in the best interests of

:11:05. > :11:07.the children. I would say to the honourable gentleman we are always

:11:08. > :11:13.going to work in the best interests of the children who are there and

:11:14. > :11:19.always make sure that it is within French and EU law. I welcomd any

:11:20. > :11:22.sense of urgency that comes from the Home Secretary, the members for

:11:23. > :11:27.Southgate and Castleford and myself visited Calais just two weeks ago

:11:28. > :11:29.and were disappointed yet again to find those young vulnerable children

:11:30. > :11:32.there with nobody to support them or look after them. What can the

:11:33. > :11:36.Minister tell me about whether we can have safeguarding put in place

:11:37. > :11:38.there when we have identifidd them, when we have had that take charge

:11:39. > :11:45.request to look after them there and have a Home Office official based

:11:46. > :11:50.there, not in Paris? I would like to tell my honourable

:11:51. > :11:54.friend that I met with my French counterpart last week and also met

:11:55. > :11:57.with our representatives who do attend the camp. I am sure she is

:11:58. > :12:02.aware, as many members of the House are aware who have visited the camp,

:12:03. > :12:06.that it is a fine line betwden wanting to help and safeguard those

:12:07. > :12:10.children and making sure th`t we do not encourage the traffickers to

:12:11. > :12:13.bring more children to the camp and thereby make more children lore

:12:14. > :12:16.vulnerable. We are doing our best to tread that fine line and make sure

:12:17. > :12:22.we always support those vulnerable children. But it is not as simple as

:12:23. > :12:27.she tries to pretend. I unddrstand the natural inclination to look at

:12:28. > :12:30.one's interlocketer but if the Home Secretary and other ministers could

:12:31. > :12:34.address the House that would be greatly appreciated. Thank xou. May

:12:35. > :12:37.I tell the Home Secretary that the situation in the jungle which I

:12:38. > :12:42.visited recently is truly horrific. Can I invite her to join me to visit

:12:43. > :12:45.Dover and Calais to see the situation in the jungle, thd evil

:12:46. > :12:50.activities of the people tr`ffickers and will she work with me to do our

:12:51. > :12:54.best with Britain and Francd to end the evil trade of modern sl`very

:12:55. > :12:57.these people traffickers ard pursuing? Thank you, I am grateful

:12:58. > :13:02.to the honourable gentleman and the work that he does to keep md

:13:03. > :13:06.informed and to support what the Government does to make surd that

:13:07. > :13:08.there is for instance not jtst a smooth traffic going through Dover

:13:09. > :13:11.and Calais but we are always well informed of what is happening there.

:13:12. > :13:16.Of course I will work with him to make sure that we do our best and

:13:17. > :13:20.the real criminals here are the traffickers who do their terrible

:13:21. > :13:26.violent work and take advantage of families. Children arriving at

:13:27. > :13:29.Greece seeking to be reunitdd with families in the UK are forcdd into

:13:30. > :13:33.immigration detention which is a breach of their human rights. Can

:13:34. > :13:36.she assure the House that she's in discussion with Greek countdrparts

:13:37. > :13:40.as to how to do that becausd that will prevent more children having to

:13:41. > :13:44.come to Calais in the first place? Well, I can tell the honour`ble

:13:45. > :13:49.gentleman that we have a sonnedee, in Greece we are wo working closely

:13:50. > :13:57.with the Greek Government and we are in fact - we have identified some

:13:58. > :14:02.children who we think we can assist. We anticipate the first arrhvals to

:14:03. > :14:05.the UK this month. The point of those young people and have been

:14:06. > :14:09.accepted and have family here waiting for them to arrive here

:14:10. > :14:12.Surely when we talk about fhne lines the fine lines for these yotng

:14:13. > :14:16.people where we have acceptdd - the fine line they're taking at risk of

:14:17. > :14:20.attack as we saw from young people, risk of exploitation and tr`fficking

:14:21. > :14:23.surely the line has been crossed, we have a responsibility to ensure they

:14:24. > :14:28.get back to family here and avoid being in a position where they're

:14:29. > :14:31.not safe and let's make thel safe rather than risk of exploit`tion and

:14:32. > :14:35.trafficking they're facing `t the moment. My honourable friend is

:14:36. > :14:40.right to refer to the fine line He is right to refer to the fact that

:14:41. > :14:44.the camp is a place of terror and of danger and we will follow up on our

:14:45. > :14:47.obligations and as I said in an earlier answer to a question we are

:14:48. > :14:51.now managing to move more qtickly but I would ask him not to

:14:52. > :14:55.underestimate the difficulthes sometimes of dealing with French law

:14:56. > :14:58.and EU law, we can not simply move in and take action. We have to act

:14:59. > :15:04.within the law which is what is always in the best interests of the

:15:05. > :15:07.child. Can I welcome the Hole Secretary and tell her I was in

:15:08. > :15:13.Calais this weekend, the second time I went over, both times I h`ve met

:15:14. > :15:15.some of those 800 young unaccompanied children who `re in

:15:16. > :15:20.that camp, children who told me they have not spoken in many months

:15:21. > :15:23.they've been there to a single Government official. A pregnant

:15:24. > :15:27.woman who said she had tried to claim asylum in France but the

:15:28. > :15:30.system is so broken she was told it could be months before they would

:15:31. > :15:35.even begin to process her application. These people are living

:15:36. > :15:40.in hell because of a lack of bureaucracy. My colleague is right.

:15:41. > :15:43.They need our safeguarding because they're sleeping in tents whth men,

:15:44. > :15:47.strange men, will she meet with me and other MPs affected by this and

:15:48. > :15:52.concerned to discuss how we can change that? I would point out to

:15:53. > :15:56.the honourable lady that thd French have already dispersed 5,000 people

:15:57. > :16:01.from the camp. The interior Minister has already said that he has plans

:16:02. > :16:04.by the end of the year to m`ke sure that the camp is phased out so that

:16:05. > :16:08.everybody can be rehoused. Ht is important for the children to know

:16:09. > :16:13.as the adults do know that they are not forced to come to the UK to find

:16:14. > :16:18.a bed. They can claim asylul in France. The French Government is

:16:19. > :16:23.willing to do that. The honourable lady should have a care not to

:16:24. > :16:29.encourage unwittingly the traffickers to bring more children

:16:30. > :16:35.to the camps. Number three, MrSpeaker. Thank you. With xour

:16:36. > :16:39.permission I will answer qudstions three and nine together. PCSOs have

:16:40. > :16:42.been playing a key role in policing our communities over recent years

:16:43. > :16:46.and they should play a greater role in the future and that's whx the

:16:47. > :16:49.police and Crime Bill sets out a series of reforms that will allow

:16:50. > :16:55.Chief Constables to designate them with a wider range of powers.

:16:56. > :16:59.Obviously decisions on the size and composition of a police force's work

:17:00. > :17:06.force are individual police and crime commissioners. Thank xou. The

:17:07. > :17:10.Minister in his former role as housing Minister, St Ives whll be

:17:11. > :17:16.known to you and I am sure xou are glad to be rid of that role, this is

:17:17. > :17:18.a new problem for St Ives. There is a neighbourhood popular polhce

:17:19. > :17:23.officer and valued member of the policing team in St Ives. There are

:17:24. > :17:28.5,000 people who are in support of his current role and yet he has been

:17:29. > :17:32.moved by Devon and Cornwall Police to an effective back office role

:17:33. > :17:36.soon. What can the Minister do to support local community polhcing in

:17:37. > :17:41.St Ives and safeguard front line policing roles? Well, I congratulate

:17:42. > :17:45.my friend in highlighting an issue that's clearly important enough to

:17:46. > :17:49.his constituents to have so many get in behind what must be an ilpressive

:17:50. > :17:54.PCSO to get that many peopld signing his form. Obviously those khnd of

:17:55. > :17:57.operational decisions are for the force's Chief Constable but I will

:17:58. > :18:01.be visiting my honourable friend's area soon and I hope I will get a

:18:02. > :18:04.chance to meet a sergeant who can indefiniter to get that kind of

:18:05. > :18:11.support for his community. Hn Wrexham town centre we have fewer

:18:12. > :18:14.police and more antisocial behaviour under this Government. Police

:18:15. > :18:18.community support officers introduced by a Labour Government

:18:19. > :18:23.are very welcome and perforl a very valuable role but there is `

:18:24. > :18:28.disturbing lack of understanding and clarity about their powers so will

:18:29. > :18:33.the review that the Governmdnt should undertake make clear to the

:18:34. > :18:38.general public and to offenders how important police community support

:18:39. > :18:41.police officers are? Well, the honourable gentleman makes `n

:18:42. > :18:46.important point in terms of community support officers , they do

:18:47. > :18:50.play a key role. They've increased by about 40% in his part of the

:18:51. > :18:52.world. It's important in thd bill we are giving that power to Chhef

:18:53. > :18:57.Constables to look at what hs right for their area to have the power to

:18:58. > :19:01.give those powers to the people PCSOs and other volunteers to do the

:19:02. > :19:08.work needed appropriate for their area. I was with one of the few

:19:09. > :19:12.remaining PCSOs on Friday for a walk about in the town, it would appear

:19:13. > :19:18.were it not for the funding provided by the council there would now be no

:19:19. > :19:22.PCSOs in the Borough at all. Does the Minister agree that PCSOs are

:19:23. > :19:25.vital for developing the intelligence picture locallx and

:19:26. > :19:30.without them it's difficult to see how frontline officers can do that?

:19:31. > :19:36.Well, my honourable friend lakes a very good point in a sense that when

:19:37. > :19:39.I was a council leader myself and PCSOs first came in my council

:19:40. > :19:43.funded them back then and they do play an important part as p`rt of

:19:44. > :19:46.the remit of powers that thd Chief Constables and the PCCs do have to

:19:47. > :19:51.make sure they're gathering intelligence to prevent crile which

:19:52. > :19:57.obviously is our first priority The Minister must be aware of the survey

:19:58. > :20:02.conducted by Unison which s`ys 8% of PCSOs have said they've become

:20:03. > :20:06.less visible, that their unhts have got smaller and they've stopped

:20:07. > :20:10.doing that patrolling preventive work but are actually doing

:20:11. > :20:15.callbacks on crime for other police officers. Isn't it true that PCSOs

:20:16. > :20:20.are no longer doing what we created them for, and as a result otr

:20:21. > :20:24.communities feel abandoned by the police. I would disagree with the

:20:25. > :20:28.honourable lady. I would sax what she needs to think about is yes

:20:29. > :20:32.crime is changing and the w`y police forces fight crime needs to be

:20:33. > :20:36.reflective of the modern world we live in. That's why it's right this

:20:37. > :20:40.Government has moved crime fighting to being locally driven with PCCs

:20:41. > :20:46.and the Chief Constables have the powers they need to fight crime

:20:47. > :20:50.locally in the way they see best. Number four, MrSpeaker. We continue

:20:51. > :20:55.to strengthen our counter tdrrorism powers. The 2015 counterterrorism

:20:56. > :20:59.security act provided the police with new powers and created a

:21:00. > :21:04.general duty on public bodids to prevent people being drawn hnto

:21:05. > :21:07.terrorism. To apprehend terrorist suspects the police and sectrity

:21:08. > :21:11.agencies need to collect intelligence to support arrdsts and

:21:12. > :21:16.develop evidence to secure prosecutions. I am grateful for that

:21:17. > :21:19.answer. A major terror thre`t to the United Kingdom comes from pdople

:21:20. > :21:22.trafficked into this countrx and it's vital we maintain the strongest

:21:23. > :21:25.intelligence sharing relationships and agreements with other n`tions.

:21:26. > :21:28.What steps will the Home Secretary be taking to ensure these agreements

:21:29. > :21:34.are prioritised and protectdd following the vote to leave the

:21:35. > :21:37.European Union? Well, I thank my honourable friend

:21:38. > :21:40.for that important question and I am aware of his expertise as a former

:21:41. > :21:44.police officer himself and H would like to reassure him that wd are

:21:45. > :21:47.leaving the EU but our co-operation on security with our Europe`n and

:21:48. > :21:52.global allies will be undimhnished. We are about to begin negothations

:21:53. > :21:56.and it would be wrong to set out uni lat ram positions in advancd but I

:21:57. > :22:00.share his view on this important matter. Thank you, MrSpeaker. Could

:22:01. > :22:05.I warmly welcome the Home Sdcretary to her post. I hope she has a long

:22:06. > :22:12.and successful term as Home Secretary. As she knows earlier this

:22:13. > :22:17.year - left the country havhng not handed over his passport to local

:22:18. > :22:23.police officers and he went to fight for Daesh. Her predecessor, the

:22:24. > :22:26.Prime Minister, changed the police and Crime Bill to make the situation

:22:27. > :22:32.tougher for those who seek to go abroad. Will she follow the advice

:22:33. > :22:35.of the head of counterterrorism and expect suspects to hand over their

:22:36. > :22:40.passports as a precondition for bail?

:22:41. > :22:44.Well, I thank the right honourable gentleman for raising this very

:22:45. > :22:50.important matter. It was a very distressing case where he w`s able

:22:51. > :22:55.to go away on bail and go away to do such damage and create such - join

:22:56. > :22:58.Daesh in Syria. He is absolttely right, this is something th`t the

:22:59. > :23:01.former Home Secretary addressed and we are looking at the best way to

:23:02. > :23:06.implement it and may well bd following the particular rotte he

:23:07. > :23:10.has said. Rest assured that we do take it very seriously. I

:23:11. > :23:14.congratulate the Home Secretary on her new role. Will she agred that

:23:15. > :23:18.the investigatary powers bill is Nell if the intelligence services

:23:19. > :23:21.are to retain their existing capability to collect - it's crucial

:23:22. > :23:25.in detecting terrorism and serious crime?

:23:26. > :23:29.I thank my right honourable friend for that question and she whll know

:23:30. > :23:31.from her former role as Secretary of State in Northern Ireland how

:23:32. > :23:36.important being able to collect that information is. She's absolttely

:23:37. > :23:39.right the powers bill is crhtical to making sure our police and security

:23:40. > :23:43.services and intelligence sdrvices generally have the tools thdy need

:23:44. > :23:47.to get to the convictions they hope they will have. Thank you vdry much.

:23:48. > :23:50.Can I on behalf of my party welcome the Home Secretary and the dntire

:23:51. > :23:55.team to their role. In Northern Ireland we know the true benefits of

:23:56. > :23:59.both the police and securitx services working together. Hf we can

:24:00. > :24:03.take the local case of my constituent who was murdered this

:24:04. > :24:06.year, the chief suspect in his murder has been bailed and despite

:24:07. > :24:10.having breached bail twice still remains at large. When the police

:24:11. > :24:13.and security services succedd can the Home Secretary advise what

:24:14. > :24:16.conversations she will have with the justice department to make sure that

:24:17. > :24:19.the judiciary play their part as well?

:24:20. > :24:24.Well, I thank the honourabld gentleman for that question. I would

:24:25. > :24:27.like to point out it's a matter for the judiciary in Northern Ireland

:24:28. > :24:30.but rest assured it's a matter we take very seriously. In welcoming

:24:31. > :24:36.the Home Secretary to her ndw role, may I ask her whether she h`s had a

:24:37. > :24:39.chance to see to what extent profiling of those who commht

:24:40. > :24:44.terrorist atrocities has bedn examined by her department, by the

:24:45. > :24:49.police and by the security services. People such as the journalist Peter

:24:50. > :24:54.Hitchins have noted a Coral`tion between drug abuse and the

:24:55. > :25:01.commission of atrocities whhch is rather greater than at any link

:25:02. > :25:05.between there having a Muslhm faith background than one would normally

:25:06. > :25:11.expect. Therefore, is profiling is to be carried out successfully will

:25:12. > :25:16.the appropriate effort be invested? Thank you. I thank my honourable

:25:17. > :25:20.friend for that question. Wd do have a behavioural unit in the Home

:25:21. > :25:24.Office which does try to look at types of behaviour which max lead to

:25:25. > :25:29.certain actions and rest assured now he has raised that question I will

:25:30. > :25:33.look at it more seriously. Hn Birmingham we are only too `ware

:25:34. > :25:37.that terrorism is not something that has recently been on our shores and

:25:38. > :25:42.I wanted to welcome the Homd Secretary and ask her does she agree

:25:43. > :25:47.with me and most of Birmingham that the relatives of the victims of the

:25:48. > :25:51.1974 Birmingham pub bombings should be treated equally and with parity

:25:52. > :25:55.to the relatives of the Hillsborough disaster? And be provided whth the

:25:56. > :26:01.access to legal representathons so that they can effectively p`ss to

:26:02. > :26:04.say paint in the inquests into the murder of their -- particip`te into

:26:05. > :26:08.the inquests into the murder of their loved ones. The honourable

:26:09. > :26:11.lady has raised this with md before, I know about the campaigning she has

:26:12. > :26:15.done on behalf of her consthtuents and the city in general and I don't

:26:16. > :26:18.know whether she is aware btt I am seeing representatives of the

:26:19. > :26:19.Birmingham families this evdning and I will follow up with more

:26:20. > :26:33.information after that. Number five, Mr Speaker.

:26:34. > :26:38.Mr Speaker, protecting the public is a priority for this governmdnt and

:26:39. > :26:41.it is important that checks undertaken are thorough. I visited

:26:42. > :26:44.the Metropolitan Police Service last week to see the work they are

:26:45. > :26:53.undertaking to tackle the ddlays and I will be visiting the DBS hn the

:26:54. > :26:56.near future. I will continud to maintain a close interest in

:26:57. > :27:02.disclosure turnaround times and be DBS.

:27:03. > :27:06.I welcome the honourable lady but she is taking on intractabld

:27:07. > :27:14.problems in seeing the Metropolitan Police dealing with checks hn good

:27:15. > :27:16.time. I have had cases in the 1 months prior including teachers

:27:17. > :27:22.unable to get their checks done in time to start work. I wish dvery

:27:23. > :27:26.power to her elbow but it h`s been going on for nearly a decadd and

:27:27. > :27:32.what practical steps is she going to take? I share the honourabld lady's

:27:33. > :27:37.frustration with the delays in the Met police but I can assure based on

:27:38. > :27:40.my visit last week that the DBS have increased resources made av`ilable

:27:41. > :27:45.to the police and in the last six months alone, over 100 new lembers

:27:46. > :27:49.of staff have been recruited. They have made improvements to the

:27:50. > :27:53.processes that they are unddrtaking and I'm looking at weekly

:27:54. > :27:57.performance statistics and she can be assured that I will be doing

:27:58. > :28:02.everything in my power to speed up the processing of this very

:28:03. > :28:06.important service. You must try to speed up as we have a lot to get

:28:07. > :28:14.through and I would like to accommodate colleagues. Jack Dromey.

:28:15. > :28:23.Number seven, Mr Speaker. Mhnister Wallace. As crime falls, we as no

:28:24. > :28:30.that it is changing. The Internet offers criminals new opporttnities

:28:31. > :28:34.to commit fraud and cybercrhme. We welcome reporting of this which has

:28:35. > :28:39.trebled. Collating data with the ONS means that we can better map trends

:28:40. > :28:47.and cyber security and take steps to combat cybercrime. On the d`y

:28:48. > :28:51.Parliament went into recess, the Office for National Statisthcs

:28:52. > :28:56.confirmed that there had bedn 8 9 million incidents of cybercrime in

:28:57. > :29:01.the last 12 months affecting one in ten of the population. This means

:29:02. > :29:05.that crime has near doubled. Does the Home Secretary agree th`t the

:29:06. > :29:12.legacy of her predecessor, now the Prime Minister, is one of 20,00

:29:13. > :29:16.fewer police and soaring crhme? Mr Speaker, I don't think that is much

:29:17. > :29:21.of a proper point. Under his government, there was no proper

:29:22. > :29:27.reporting mechanism for fratd. We set up Action Fraud. That h`s seen a

:29:28. > :29:34.300,000 referrals and the bdst advice we can give our constituents,

:29:35. > :29:40.rather than play politics, hs to say that GCHQ advise that if yot change

:29:41. > :29:48.your passwords regularly, and have up-to-date software you will cut

:29:49. > :29:52.your exposure to cybercrime. This government has an excellent record

:29:53. > :29:56.both in tackling crime and cybercrime by setting up thd

:29:57. > :30:00.national cybercrime unit. I wonder whether the new minister, who I

:30:01. > :30:05.warmly welcome to his posithon, will use his imagination and energy to

:30:06. > :30:08.consider a bespoke career p`th for people and graduate level entering

:30:09. > :30:12.the police force because those people need different skills from

:30:13. > :30:16.the police we have relied on hitherto before the growth of

:30:17. > :30:21.digital crime. Yes, we are working on that and we are working on direct

:30:22. > :30:26.recruitment to enable the police and NCA get the skills they need. We

:30:27. > :30:32.have invested in upscaling lembers of the NCA who host the Nathonal

:30:33. > :30:36.cybercrime unit but it is ilportant that we make everybody understands

:30:37. > :30:40.that everybody can play a role in defending against cybercrimd and

:30:41. > :30:46.then if they follow the advhce of GCHQ, we will go far. If thd

:30:47. > :31:02.Minister satisfied by the stpport being given to social media

:31:03. > :31:05.companies and the police to prevent radicalisation online. The police

:31:06. > :31:09.get the corporation and we would like to see more and we will keep

:31:10. > :31:13.pressing because it is important that we protect vulnerable people

:31:14. > :31:18.from the effects that the Internet can have in turning them to

:31:19. > :31:22.terrorism. Given the increase in cybercrime, will the new Minister

:31:23. > :31:25.commits to investigate the stories of these hardware and ethic`l

:31:26. > :31:30.concerns that destruction orders on hardware containing child

:31:31. > :31:34.pornography can be successftlly challenged by offenders in court? I

:31:35. > :31:39.think it is important that we make sure that the data is always there

:31:40. > :31:44.to help people would be convicted of their crime and it cannot bd put

:31:45. > :31:49.aside. I hope the macro will support the investigatory Powers Bill when

:31:50. > :31:58.it returns to the House bec`use that is one of the best ways to prevent

:31:59. > :32:01.cybercrime. For clarity, nobody particularly a child, facilhtates

:32:02. > :32:06.being trafficked. The Minister will know that online child abusd has

:32:07. > :32:11.reached unprecedented levels and is increasing. The Internet Watch

:32:12. > :32:23.foundation says there has bden a an increase in child images. However,

:32:24. > :32:27.children and parents are wodfully underprepared to recognise or

:32:28. > :32:32.prevent abuse and exploitathon online, despite the fact 65$ of 12

:32:33. > :32:37.to 15-year-olds own a smartphone. What does the Minister plan to do to

:32:38. > :32:43.prevent child abuse other than changing their password? Thd obvious

:32:44. > :32:48.answer to that is first of `ll that what we need to do is continue to

:32:49. > :32:50.educate children and parents either in its goal-setting or at home to

:32:51. > :32:59.make sure that they operate certainly when surfing the net -

:33:00. > :33:02.either in a school setting. The National crime agency make sure

:33:03. > :33:06.there are guidelines online for everyone to follow. The Nathonal

:33:07. > :33:16.cybercrime unit is responsible. They are responsible to make surd we

:33:17. > :33:24.catch people abroad or at home. Whatever side of the channel they

:33:25. > :33:29.are on. Thank you, Mr Speakdr. I will answer questions eight and 17

:33:30. > :33:35.together. The latest figures show the attempts we have made to prevent

:33:36. > :33:40.abuse. Reducing the number of migrants coming to the UK whll be a

:33:41. > :33:48.priority for negotiations to leave the European Union. I welcole my

:33:49. > :33:53.honourable friendfriend to his new role which must be one of the most

:33:54. > :33:56.challenging in government. The most recent figures demonstrate that

:33:57. > :34:03.despite their steps already taken by the government, we urgently need

:34:04. > :34:06.new, clear, workable and effective policies so can my honourable friend

:34:07. > :34:12.set out when he intends to bring these policies before the House We

:34:13. > :34:16.are committed to ringing down net migration to sustainable levels as

:34:17. > :34:20.soon as possible. That will take time because until we leave the

:34:21. > :34:24.European Union we will still be affected by the free movement rules.

:34:25. > :34:29.But we are doing everything we can to ensure the numbers come down At

:34:30. > :34:34.every step, we will make sure we get the best possible outcome for the

:34:35. > :34:39.British people and it would be wrong to set out unilateral posithons in

:34:40. > :34:43.advance of that. The Minister has formally got the

:34:44. > :34:48.most difficult job in government and he will be a national hero when he

:34:49. > :34:53.reduces immigration to the tens of thousands... Could you tell the

:34:54. > :35:01.House how he is going to work with the Ministry for excepting the

:35:02. > :35:07.European Union? -- for the dxit from the European Union? We may have been

:35:08. > :35:11.on different sides of the c`mpaign but we are one the same sidd in

:35:12. > :35:14.delivering net result for the British people. The Home Office will

:35:15. > :35:18.be the lead department in the biggest nations but forward to

:35:19. > :35:21.working with the Brexit dep`rtment and I think the Prime Minister may

:35:22. > :35:30.be taking an interest given her experience the Home Office. Angela

:35:31. > :35:33.Eagle. In China, the Prime Linister has unilaterally announced that

:35:34. > :35:38.Britain will not be adopting the points-based system which the Leave

:35:39. > :35:42.campaign put so much emphashs on giving the referendum but wd will be

:35:43. > :35:49.doing something more effecthve. Can you tell us what it is? When the

:35:50. > :35:54.Labour Party introduced a points-based system, the nulbers

:35:55. > :35:58.went straight up. In Australia, they have such a system and they have

:35:59. > :36:05.higher in interrogation per capita than Britain. It points -- higher

:36:06. > :36:19.immigration. An immigration system that works for Britain would decide

:36:20. > :36:25.who can come into the country. The practices, GP practices in ly

:36:26. > :36:32.constituency have sponsored students from Beirut for a four-week learning

:36:33. > :36:36.experience. This week's student a Syrian national, has been rdfused

:36:37. > :36:42.entry although he has come on the same basis as previous applhcants.

:36:43. > :36:49.Woody Home Secretary -- with the Minister review of this with me as

:36:50. > :36:53.he is due to arrive shortly. It is true that those who want to come to

:36:54. > :36:57.our blue-chip universities can come and study and understand thdre are

:36:58. > :37:01.particular cases and I will come with the honourable lady and try and

:37:02. > :37:05.facilitate this particular case Can I welcome my honourable fridnd to

:37:06. > :37:10.his post. Would he agree with me that while it is essential that our

:37:11. > :37:14.excellent universities conthnue to attract universities from all over

:37:15. > :37:18.the world, it is not sustainable to go on with a situation wherd almost

:37:19. > :37:25.two thirds of all non-EU sttdents who come into this country, stay. Al

:37:26. > :37:29.existing rules need to be enforced. It is certainly very import`nt that

:37:30. > :37:33.when people come here to sttdy from abroad that given the qualification

:37:34. > :37:37.they get, they can take those back to their country and improvd the

:37:38. > :37:42.development of those countrhes from where they came. It is not hntent on

:37:43. > :37:49.getting a place from the Unhversity in the UK is a licensed est`te in

:37:50. > :37:54.the UK for ever. It decade `go, Labour introduced a points-based

:37:55. > :38:01.system and in the referendul campaign, many MPs pledged to extend

:38:02. > :38:04.it. Today, without consultation or debate, the Prime Minister ruled it

:38:05. > :38:08.out and failed to tell us what would come instead. This comes as the

:38:09. > :38:15.Italian government gave his warning, the more they limit people hn the

:38:16. > :38:24.UK, the more we will emit goods Just as country -- -- we will limit

:38:25. > :38:31.goods. The country lacks le`dership. Can we finally have a proper debate

:38:32. > :38:39.about what Brexit means for Britain? He may have heard somebody this

:38:40. > :38:45.morning saying this morning -- that this poison a system is not a

:38:46. > :38:54.panacea. The system is brokdn, people were allowed to, werd allowed

:38:55. > :39:02.to enter and search parties were sent out... A complete nonanswer.

:39:03. > :39:07.People at home wondering whx we are getting no answers and it is because

:39:08. > :39:13.they told the civil service not to plan for Brexit. But he could

:39:14. > :39:18.address the situation of EU nationals in Britain. This hs

:39:19. > :39:22.causing uncertainty and hostility to some nationals. The whole country

:39:23. > :39:28.was appalled by the attack hn Harlow in late August which led to the

:39:29. > :39:32.death of a Polish national. It is in the Home Secretary's gift to change

:39:33. > :39:37.this climate. Will they respect the unanimous vote of the House and

:39:38. > :39:43.confirm the status of all ET nationals already here? We have

:39:44. > :39:46.already made clear that the status of EU nationals is not under threat

:39:47. > :39:51.at all and indeed, we have `lways made the point that during the

:39:52. > :39:56.negotiations, so long as those same protections are available to British

:39:57. > :39:59.nationals abroad, then thosd protections would be there for those

:40:00. > :40:07.who come from the rest of Etrope. I would commend the contributhon made

:40:08. > :40:11.by the British economy for those from further afield. Want to attract

:40:12. > :40:17.the brightest and best but we will curtail those who come.

:40:18. > :40:22.Cooperation between the European Union and European member state has

:40:23. > :40:26.continued after the referendum results, including on Europdan

:40:27. > :40:30.arrest warrants. We are exploring opportunities for further

:40:31. > :40:35.cooperation once the UK has left the EU. We will do what is necessary to

:40:36. > :40:40.keep people safe but it would be wrong to set out unilateral

:40:41. > :40:44.positions before the negoti`tions. But the Brexit secretary has always

:40:45. > :40:47.campaign for us to leave thd European Arrest Warrant and so has

:40:48. > :40:51.the Foreign Secretary. Does she agree with them or does she agree

:40:52. > :40:57.with her predecessor, now the Prime Minister, who, when we debated this

:40:58. > :41:02.in this House, said that thdre were 901 suspected serious criminals

:41:03. > :41:06.including paedophiles, rapists and murderers, who were extradited out

:41:07. > :41:09.of this country thanks to the European Arrest Warrant. Wotld it

:41:10. > :41:14.not be better for her to sax that now she would -- say that she will

:41:15. > :41:15.protect British people by ensuring we remain within the Europe`n Arrest

:41:16. > :41:25.Warrant. We know how important it has been to

:41:26. > :41:28.keep people safe. When people voted to leave the European Union, they

:41:29. > :41:32.did not vote for a less safd country. We will make sure that

:41:33. > :41:36.whatever the outcome of the negotiations are that we protect

:41:37. > :41:40.people and we do so in a wax that is as effective as with the European

:41:41. > :41:43.arrest warrant. I too welcole the Home Secretary to her first

:41:44. > :41:47.questions but I do hope we will get better answers than the ones we just

:41:48. > :41:51.had the immigration Minister. I will give it one more go. This thme on

:41:52. > :41:55.security. Last week in relation to the discussions with the Frdnch

:41:56. > :42:00.Government about Calais a sdnior Government source bereaved the Times

:42:01. > :42:04.that the UK might withdraw co-operation on counterterrorism if

:42:05. > :42:10.it doesn't get its way, refdrences the Nice attack. At a time when

:42:11. > :42:14.France is facing an unprecedented terror threat this is utterly crass

:42:15. > :42:19.but it is also counterproductive as the same networks that thre`ten

:42:20. > :42:25.France could have Lynx here. Will she today distance herself from this

:42:26. > :42:27.and commit to maintaining co-operation with our EU

:42:28. > :42:32.counterparts including to m`intain our involvement in the European

:42:33. > :42:35.arrest warrant. MrSpeaker, there are somethhng

:42:36. > :42:38.differently derisory with the right honourable gentleman trying to

:42:39. > :42:41.lecture this side of the Hotse on security measures when we know how

:42:42. > :42:47.divided his shadow front bench is with a leader of his party that

:42:48. > :42:50.refuses to defend this country with a Shadow Chancellor who calls for

:42:51. > :42:54.the disbandment of the police and does not support MI5. This side of

:42:55. > :42:58.the House is absolutely cle`r that we will do what is right to support

:42:59. > :43:04.this country and to protect this country and he is right on one

:43:05. > :43:06.element, which is when I had my many conversations with European

:43:07. > :43:12.counterparts I always said to them that we will work with them,

:43:13. > :43:17.irrespective of Brexit to ensure our joint security. Thank you,

:43:18. > :43:22.MrSpeaker. The Prime Ministdr has been clear that she wants to protect

:43:23. > :43:26.the status of EU nationals here The only circumstances I have already

:43:27. > :43:31.said in which that would not be possible is if British citizens

:43:32. > :43:35.rights in other EU member states were not protected in return. Thank

:43:36. > :43:40.you. In the two months sincd the EU referendum the EU citizens hn my

:43:41. > :43:43.conconstitute yens sri have become increasingly anxious, they lie

:43:44. > :43:46.awaits at nights wondering hf they're still going to be able to

:43:47. > :43:50.call my constituency their home Can the Home Secretary do the ddcent

:43:51. > :43:54.thing and guarantee that no EU citizens will be used as bargaining

:43:55. > :43:58.chips in the forthcoming negotiations following the

:43:59. > :44:03.triggering of Article 50? C`n I repeat again that there is no change

:44:04. > :44:07.in the status of EU nationals living and working in the UK. But the issue

:44:08. > :44:10.is not sichlly about the imligration status of an individual, EU

:44:11. > :44:14.citizens' rights are far broader than just the right to reside in the

:44:15. > :44:17.UK, the right to work, entitlement to benefits and pensions, rhghts of

:44:18. > :44:20.access to public services as well as the ability to be joined by family

:44:21. > :44:26.members from countries outshde the EU. All these need to be discussed.

:44:27. > :44:29.The Minister will be aware that the NHS would currently not be `ble to

:44:30. > :44:35.function without the input of skilled migrants from across the

:44:36. > :44:38.world. Indeed there are presently 236 known non-Irish EU migr`nts

:44:39. > :44:43.employed by the health board in North Wales alone. What asstrances

:44:44. > :44:47.can he give about the status of existing EU migrants working within

:44:48. > :44:50.the NHS and post Brexit how does he see future migration policy taking

:44:51. > :44:55.into account the needs of the health service? Well, I hope I havd already

:44:56. > :44:58.made that clear. I do recognise that EU citizens make an invaluable

:44:59. > :45:02.contribution to our economy, our society and our daily lives. They

:45:03. > :45:06.provide vital services, including in the NHS where almost one in ten

:45:07. > :45:11.doctors and one in 15 nurses are from an EU country. That is why the

:45:12. > :45:18.Government will seek an early resolution to this issue. Thank you,

:45:19. > :45:22.MrSpeaker. Last week in a statement issued by the Scottish Consdrvative

:45:23. > :45:26.and unionist party press office a Conservative member of the Scottish

:45:27. > :45:31.parliament, Alexander Burnett, questioned the rights of EU citizens

:45:32. > :45:36.resident in Scotland to participate in Scottish politics. This has

:45:37. > :45:40.caused great concern in Scotland. Will he unreservedly condemn this

:45:41. > :45:46.statement and give EU citizdns resident in Scotland and indeed

:45:47. > :45:50.across the UK, the assurancd they are still welcome to partichpate in

:45:51. > :45:54.politics? So long as we are members of the EU the status of those

:45:55. > :45:58.citizens does not change. Wd are running late and I fear colleagues

:45:59. > :46:06.are making up for unspoken words in August with spoken words in

:46:07. > :46:09.September. That said I am vdry keen to accommodate two further

:46:10. > :46:13.inquiries. Thank you, MrSpe`ker Fraud is a behindous crime that can

:46:14. > :46:15.have a devastating effect on individuals, families, the lost

:46:16. > :46:19.vulnerable members of society. That's why this Government launched

:46:20. > :46:23.a joint fraud task force last February with law enforcement and

:46:24. > :46:29.banks and has committed is spending ?1. 9 billion over the next five

:46:30. > :46:32.years on cyber security including tackling cyber enabled fraud. I

:46:33. > :46:38.thank my honourable friend for that answer. Can I ask what assessments

:46:39. > :46:41.he has made of fraud in my `rea The joint fraud task force will cover

:46:42. > :46:44.all the UK and the members of the banks etc who are on that whll be

:46:45. > :46:47.involved in making sure when people commit fraud they can't takd the

:46:48. > :46:52.money out of the country and we at least give time for people to track

:46:53. > :46:56.it back. I would also like to congratulate the Dorset Polhce who

:46:57. > :47:03.launched a fraud prevention campaign in 2015 after reports in his County

:47:04. > :47:07.had lost over ?1 million to fraud. I am still not cop Vinced abott what

:47:08. > :47:11.the Home Secretary said abott European co-operation. Could the

:47:12. > :47:19.Minister confirm we will relain members of euro poll which will

:47:20. > :47:23.tackle fraud across Europe. I think you might have to wait for the

:47:24. > :47:29.answer, because the Home Secretary and the colleague are meeting with

:47:30. > :47:31.Europol. What we continue to do is to continue with Interpol and all

:47:32. > :47:36.the other forces of the European Union to make sure this country is

:47:37. > :47:42.safe and secure. Thank you. Question 13. Thank you. The police and Crime

:47:43. > :47:46.Bill will introduce statutory safeguards to the precharge balance

:47:47. > :47:49.process including time limits and judicial - will increase

:47:50. > :47:56.accountability and scrutiny in a way that's manageable for the courts as

:47:57. > :48:00.well. I have met with a 18-xear old conconstitute yept in Lincoln and

:48:01. > :48:06.his family, there has been no admission of guilt nor the police or

:48:07. > :48:09.CPS in a charge to charge or take my constituent to charge. I am aware

:48:10. > :48:13.this is an operational mattdr for the police but my constituent's

:48:14. > :48:18.right to a family life and dducation are being severely detrimental

:48:19. > :48:21.impacted but what I feel is the police's underfunded and

:48:22. > :48:23.understaffed investigation. Will my honourable friend agree to leet to

:48:24. > :48:28.discussion the situation and how best for police forces across the

:48:29. > :48:31.country to avoid lengthy periods of precharge bail for particul`rly

:48:32. > :48:35.young suspects. My honourable friend makes an important point and it s

:48:36. > :48:39.not right some people can spend months or years on prechargd bail

:48:40. > :48:42.with little safeguards. I al happy to meet to discuss how reforms in

:48:43. > :48:45.the case he talks about and we will be bringing forward further

:48:46. > :48:49.amentments to the police and criminal evidence ability of 19 4 to

:48:50. > :48:53.ensure 17-year-olds are tre`ted as children and safeguarded as such.

:48:54. > :48:58.Topical questions. Number one, MrSpeaker. Thank you, MrSpe`ker We

:48:59. > :49:02.are meeting this September `fter terrible events over the sulmer in

:49:03. > :49:07.Nice, Normandy and Munich and we must step up international dfforts

:49:08. > :49:10.to keep our people safe and tackle violent extremism. I have spoken to

:49:11. > :49:14.a number of my counterparts other the summer, not least the French

:49:15. > :49:18.interior Minister and they `ll agree that the UK must not step b`ck from

:49:19. > :49:23.international co-operation on security and counterterrorism and we

:49:24. > :49:26.will not shirk from that. In 20 5 Northumbria Police were involved in

:49:27. > :49:30.13 extraditions. If the Homd Secretary is unable to commht to

:49:31. > :49:32.retaining the European arrest warrant and I listened to hdr

:49:33. > :49:36.earlier answers which didn't offer a great deal of comfort, can she set

:49:37. > :49:40.out in much more detail how she will make sure that we will conthnue to

:49:41. > :49:44.have the powers that we need to tackle cross-border crime, keep our

:49:45. > :49:49.country safe and bring crimhnals to justice? Can I remind the honourable

:49:50. > :49:52.Rab lady that nothing has changed yet. -- we will still have the

:49:53. > :49:57.European arrest war apt in place. The Prime Minister has said she will

:49:58. > :50:01.not be triggering Article 50 until next year. I would urge her to work

:50:02. > :50:06.with her police force and to reassure them that nothing has

:50:07. > :50:09.changed for now. We can carry on with the European arrest warrant. I

:50:10. > :50:14.am assisting a constituent who has been the victim of a fraudulent scam

:50:15. > :50:21.losing over ?30,000 of their life savings. The case has been referred

:50:22. > :50:23.to action fraud. The Ministdr spoke about an increased referrals to

:50:24. > :50:28.action fraud but it's result that is matter. The cases I have de`lt with

:50:29. > :50:34.show poor results. What acthon is being taken to ensure that `ction

:50:35. > :50:37.fraud improve their perform`nce First of all, through furthdr

:50:38. > :50:42.investment we are investing in a new software programme for action fraud

:50:43. > :50:46.that not only will improve the and lips of crimes reported to ht but

:50:47. > :50:51.also will allow victims of fraud to task their case in lifetime online.

:50:52. > :50:55.I have also asked officials in response to my honourable friend's

:50:56. > :50:57.concerns to look at how acthon fraud communicate with members of the

:50:58. > :51:02.public because it's really hmportant that we remember these people are

:51:03. > :51:06.victims, very often they've done nothing brong whatsoever and have

:51:07. > :51:12.been prayed upon by some of the worst people in society. Th`nk you,

:51:13. > :51:16.MrSpeaker. The Home Secretary will be aware of continuing concdrns

:51:17. > :51:21.about the historical conduct of South Yorkshire Police. I understand

:51:22. > :51:26.she's meeting the troous and justice campaign next week to discuss a call

:51:27. > :51:29.for a public inquiry. Is shd also aware of the tragic case of Terry

:51:30. > :51:34.Coles, a Swansea City supporters who have trampled to death by a police

:51:35. > :51:38.force at a football match in 2, 00? Would she agree to look at the

:51:39. > :51:44.evidence and accept that unless we have the truth about all thdse past

:51:45. > :51:47.injustices we won't be able to restore trust in South Yorkshire

:51:48. > :51:51.police? I thank the honourable lady for the question. She's right I am

:51:52. > :51:55.meeting with the truth and justice and look forward to having that

:51:56. > :51:58.opportunity to hear from thdm. This Government has not shirked `t

:51:59. > :52:01.looking at historical cases and if she wants to bring any other to my

:52:02. > :52:07.attention I will certainly look at them. Thank you, MrSpeaker. Red dish

:52:08. > :52:12.Borough council for welcoming five Syrian re-tees and families into our

:52:13. > :52:17.town, over a third more prolised than the County of Worcestershire.

:52:18. > :52:21.Would she update the House on progress being made to follow they

:52:22. > :52:25.follow the example of Redditch Borough council? Can I thank my

:52:26. > :52:29.honourable friend for that puestion. It's local authorities leadhng by

:52:30. > :52:33.example and showing how to welcome families into their community. I

:52:34. > :52:38.particularly welcome Redditch council for leading ahead of the

:52:39. > :52:43.pack and doing so. 188 councils so far are participating. We hope that

:52:44. > :52:46.number will grow. Given the level of public concern about British

:52:47. > :52:50.citizens who travel to fight with Daesh and attempt to return to this

:52:51. > :52:53.country, can a Minister tell me when the numbers of those attempting to

:52:54. > :53:00.return will actually be published and what action will be takdn to

:53:01. > :53:03.keep us safe in this countrx? It's incredibly important that when

:53:04. > :53:06.people return and we hope that they do return, that they are properly

:53:07. > :53:11.managed back into Saturday, not only if they pose a threat, that that

:53:12. > :53:15.threat is managed but if thdy can be removed from radicalisation we take

:53:16. > :53:18.the right steps to do so. I will certainly review her request to

:53:19. > :53:20.publish the numbers of passports etc that have been with held from

:53:21. > :53:24.individuals but first and foremost what I can assure the honourable

:53:25. > :53:27.lady is that we have steps hn place to make sure that these people are

:53:28. > :53:31.not just left alone or indedd that we lose track of them so th`t

:53:32. > :53:36.further risk can be put to the British people. Thank you, Lr

:53:37. > :53:38.Speaker. Fraud and Scrams h`ve a huge impact upon individuals,

:53:39. > :53:42.particularly the elderly who are seen as easy pray. Does my right

:53:43. > :53:47.honourable friend welcome the debate which I am leading this Thursday on

:53:48. > :53:53.scams and commit to review what more can be done to tackle this rank

:53:54. > :53:57.criminality? Can I congratulate the member for his leadership hd has

:53:58. > :54:00.shown, both on fraud but also on consumer rights and making sure that

:54:01. > :54:04.the vulnerable in society are not taken advantage of. That's why we

:54:05. > :54:08.set up the joint fraud task force and have invited people likd Age

:54:09. > :54:12.Concern to make sure the elderly, for example, are protected `nd we do

:54:13. > :54:17.more to make sure in future the people that commit those crhmes are

:54:18. > :54:23.caught and the elderly are defended from unscrupulous behaviour. Thank

:54:24. > :54:26.you, MrSpeaker. One of my constituents has recently rdturned

:54:27. > :54:29.from Greece, she was work as a volunteer in a refugee centre and

:54:30. > :54:33.brought back harrowing accotnts of conditions facing in partictlar

:54:34. > :54:37.young unaccompanied refugees. What steps is the Secretary of State

:54:38. > :54:40.taking to make sure young unaccompanied refugees if they have

:54:41. > :54:44.a right to move to the UK whth families are allowed to do so

:54:45. > :54:49.without any delay? Well, I thank the honourable gentleman for th`t

:54:50. > :54:52.question. We take very seriously our obligations under the Dublin

:54:53. > :54:57.agreement and will always look at how we can help unaccompanidd

:54:58. > :55:00.refugees, we have sonneded officials working with Greece, Italian and

:55:01. > :55:06.French counterparts and hopd to be able to speed up the process going

:55:07. > :55:10.forward. Thank you, MrSpeakdr. The Minister will be aware that the

:55:11. > :55:13.Police Federation called for a review of the position regarding

:55:14. > :55:17.police officers and visible. Will the Minister be able to givd me

:55:18. > :55:21.assure and shoons the Home Office has no intention of relaxing the

:55:22. > :55:25.current guideline as soon as I thank my honourable friend for th`t

:55:26. > :55:28.question and decisions on wlp to recruit are for the chief officer of

:55:29. > :55:33.the police force kerbed and each case should be treated on its

:55:34. > :55:37.merits. We have no plans to change guidance and the guidance is clear,

:55:38. > :55:44.should not have tattoos that can cause offence or undermine the role

:55:45. > :55:47.of a police constable. Leadhng os such as freedom from torturd are

:55:48. > :55:55.very concerned that the defhnition of torture used in imnebt statutory

:55:56. > :55:59.guidance of adults at risk hn immigration and detext should be

:56:00. > :56:05.wide enough to cover. Will she agree to meet to discuss these concerns

:56:06. > :56:08.urgently? I am more than happy to meet with the honourable melber I

:56:09. > :56:16.understand exactly the point he makes where groups like Daesh and

:56:17. > :56:17.the Taliban can be indulging in terrible acts and we need to make

:56:18. > :56:31.sure we address that situathon. With the minister be willing to meet

:56:32. > :56:39.with the Metropolitan Policd and why they are not prepared to medt with

:56:40. > :56:42.people who prevented -- presented a dossier about Tower Hamlets which

:56:43. > :56:49.showed a damning dossier of coronal intent on why this has not been

:56:50. > :56:57.taken forward by the police? From -- criminals tend. I would be

:56:58. > :57:03.willing to meet with Councillor Peter goals. This is an ongoing

:57:04. > :57:10.situation and questions havd been put in to investigate.

:57:11. > :57:13.Can I understand from the Home Secretary's earlier answer hs that

:57:14. > :57:17.it is her intention that thd relatives of those killed in the

:57:18. > :57:23.Birmingham pub bombings shotld have access to legal representathon at

:57:24. > :57:26.the fresh inquest? I'm afrahd the honourable gentleman has got a

:57:27. > :57:31.little ahead of the meeting I am having this afternoon in order to

:57:32. > :57:37.address exactly that propos`l. No decision has been made yet. Better

:57:38. > :57:44.to be a head than behind! The general consensus on that point Sir

:57:45. > :57:50.David Amis. I recently visited a UN gift box event organised by a

:57:51. > :57:54.charity. Will my honourable friend agree with me that the general

:57:55. > :57:58.public should do everything they can to cooperate with the policd and

:57:59. > :58:07.other authorities to stamp out this terrible trade. I agree enthrely.

:58:08. > :58:12.The public has a vital role in tackling this horrendous crhme and

:58:13. > :58:17.in July 2015, the Home Office ran an online campaign and on TV and radio

:58:18. > :58:20.raising awareness around hulan trafficking and those campahgn

:58:21. > :58:30.materials are available on the website. A UN resolution in May the

:58:31. > :58:35.targeting of medical facilities of the Syrian government has

:58:36. > :58:39.exacerbated the refugee crisis will be Home Secretary work with

:58:40. > :58:44.colleagues across government to prevent this despicable targeting of

:58:45. > :58:50.hospitals by Syrian governmdnt and international law is complidd with.

:58:51. > :58:55.The honourable lady raises ` valuable point and yes, I whll, we

:58:56. > :58:57.will do everything we can to help the people of Syria who are

:58:58. > :59:03.undergoing those terrible circumstances. Tragically,

:59:04. > :59:12.ex-footballer Dalian Atkinson recently died outside his f`ther's

:59:13. > :59:19.house outside his father 's -- in my constituency after eight daxs was

:59:20. > :59:24.used. Body cans were not behng used, with the police -- body camdras were

:59:25. > :59:33.not be in use, with the Minhster agree that they should be? The

:59:34. > :59:36.deployment of body cameras hs matter for the police but it is

:59:37. > :59:45.inappropriate for me to comlent as there is an inquest. I have a young

:59:46. > :59:51.couple in my constituency from Slovakia to have been in Scotland

:59:52. > :59:56.for 15 years and began the process of applying for citizenship after

:59:57. > :00:01.the Brexit diverge. The first stage is permanent right of residdnce The

:00:02. > :00:05.lady in this couple was reftsed and I cannot understand, when the Home

:00:06. > :00:09.Secretary describes that nothing has yet changed, how and EU Nathonal

:00:10. > :00:17.could be refused residency `fter living here for 14 years? It is a

:00:18. > :00:21.difficult to comment on indhvidual situations like that. But I will ask

:00:22. > :00:27.the honourable lady issue whll invite my department to havd a look

:00:28. > :00:30.and I would ask her and othdr honourable members to reasstre their

:00:31. > :00:39.constituents that at the molent nothing has changed. There hs no

:00:40. > :00:44.point in naming the French for the mess in Calais if we continte to be

:00:45. > :00:50.a magnet for illegal migrants. We grant asylum to more it leg`l -

:00:51. > :00:58.illegal migrants and deport fewer than France. Half applications were

:00:59. > :01:03.granted and of the ones reftse, only half were deported. With thd Home

:01:04. > :01:07.Secretary take steps to deal with illegal migration? I'm alwaxs keen

:01:08. > :01:12.to take action to follow thd law where it is appropriate. I would say

:01:13. > :01:16.to the right honourable gentleman, there are many reasons why we are

:01:17. > :01:23.more popular than other countries for asylum seekers. It is often to

:01:24. > :01:26.do with language, family, it is not the whole process around asxlum

:01:27. > :01:33.seeking. But we take it serhously to get those numbers down. As the Home

:01:34. > :01:39.Secretary seen the report from the NSPCC that suggests that people as

:01:40. > :01:53.young as 11 are becoming thd victims of revenge attacks. When will the

:01:54. > :02:00.Department do something to stop this because these pictures get out and

:02:01. > :02:06.become a child abuse images. The government has brought in

:02:07. > :02:09.legislation to make new offdnsive and also educate young people and

:02:10. > :02:14.their families of the risks they are taking in sharing images of

:02:15. > :02:17.themselves online. We will everything we can do to protect

:02:18. > :02:26.young people. We must move on. Argent question, Mr

:02:27. > :02:29.Hilary Benn. Will the Secretary of State for foreign and, love affairs

:02:30. > :02:33.make a statement on governmdnt assessments of breaches of

:02:34. > :02:41.international humanitarian law in the Yemen? I call the Minister at

:02:42. > :02:48.the Foreign Commonwealth Office, Mr Tobias Ellwood. I would like to

:02:49. > :02:52.thank the honourable member for raising this issue and pay tribute

:02:53. > :02:57.to him for the work that he does in keeping the House up-to-datd in

:02:58. > :03:03.these matters. Recognising the importance of this, my honotrable

:03:04. > :03:07.friend the Foreign Secretarx that adds a written statement to update

:03:08. > :03:13.Parliament on the situation in Yemen. It includes referencds to

:03:14. > :03:18.international humanitarian law. We are aware of reports of alldged

:03:19. > :03:22.violations of international humanitarian law by parties to

:03:23. > :03:27.conflict. And as I have said on many occasions, we take these allegations

:03:28. > :03:31.very seriously. The governmdnt regularly raises the import`nce of

:03:32. > :03:34.compliance with internation`l humanitarian law with the S`udi

:03:35. > :03:44.Arabian government and other members of the Saudi Arabian - led lilitary

:03:45. > :03:49.coalition. The Foreign Secrdtary raised this issue with his Saudi

:03:50. > :03:55.counterpart, the Foreign Minister, on the 22nd of August. I also did

:03:56. > :04:01.this last week on the 25th of August at the Yemen conference chahred by

:04:02. > :04:07.Secretary John Kerry. It is important that in the first

:04:08. > :04:10.instance, the Saudi Arabian led coalition conducts thorough and

:04:11. > :04:14.conclusive investigations into incidents where it is allegdd that

:04:15. > :04:21.international humanitarian law has been breached. This follows

:04:22. > :04:25.international practice. Thex have the best insights into their own

:04:26. > :04:28.military procedures and will be able to conduct the most Arab and

:04:29. > :04:38.conclusive investigations. Ht will also allow the dashed the most

:04:39. > :04:39.thorough and investigations. -- the most thorough investigations. It

:04:40. > :04:44.will allow them to adapt. most thorough investigations. It

:04:45. > :04:52.will allow them to The best solutions. In this respect, Saudi

:04:53. > :04:55.Arabia announced more detail of how incidents of concern involvhng

:04:56. > :05:01.coalition forces are investhgated on the 31st of January. The Satdi

:05:02. > :05:07.Arabia led coalition joint investigations team announcdd the

:05:08. > :05:12.allowed comes -- outcomes on the 3rd of August and further investigations

:05:13. > :05:16.will follow. I would like to reiterate that clarifications made

:05:17. > :05:21.on the 21st of July Britain ministerial statement do not reflect

:05:22. > :05:25.a change in position. The changes were made to assure that thd

:05:26. > :05:29.parliamentary record is consistent and it also accurately refldcts

:05:30. > :05:35.policy. As outlined on the statement on the 21st of July, it is hmportant

:05:36. > :05:37.to make clear that neither the Minister of defence, nor thd Foreign

:05:38. > :05:42.Commonwealth Office reachds a conclusion as to whether an

:05:43. > :05:45.international humanitarian law violation has taken place in

:05:46. > :05:54.relation to each and every hncident of potential concern. That ,- of

:05:55. > :05:59.every incident that comes to its attention. That would not bd

:06:00. > :06:05.possible in conflicts of whhch the UK is not a party, like in Xemen.

:06:06. > :06:11.The Ministry of Defence monhtors instances of alleged intern`tional

:06:12. > :06:16.human -- humanitarian law vholations using information. This is tsed to

:06:17. > :06:23.form a view on the approach of Saudi Arabia on the humanitarian law. This

:06:24. > :06:26.in turn informs the risk assessment made and the Consolidated criteria

:06:27. > :06:30.on whether there is a risk that it might be used in the commission of a

:06:31. > :06:36.serious violation of intern`tional humanitarian law. We are not acting

:06:37. > :06:40.to determine whether a sovereign state has or has not acted hn the

:06:41. > :06:50.breach of international hum`nitarian law, but instead, as criterhon to

:06:51. > :06:54.see requires, we are acting to make an overall judgment. I am sorry

:06:55. > :06:59.there has been confusion and in summary, we are responding to two

:07:00. > :07:05.Britain ministerial requests that were in error and trawling for other

:07:06. > :07:10.ministerial questions of whhch there are over 90, four more were indeed

:07:11. > :07:14.seem to be in error. I came to the House in order to clarify that that

:07:15. > :07:20.as soon as I became aware of it I made a statement and wrote to the

:07:21. > :07:26.Right honourable gentleman `nd the chair of the different commhttee as

:07:27. > :07:33.well as the Foreign Affairs Select Committee and I hope this clarifies

:07:34. > :07:36.the situation. Hilary Benn. I thank the Minister for his reply. There

:07:37. > :07:44.have been many reports by the UN and others of breaches in international

:07:45. > :07:46.law by both coalitions which use British military equipment.

:07:47. > :07:50.Ministers are being repeatedly questioned about this and the House

:07:51. > :07:56.was told by the government, we have assessed that there has not been a

:07:57. > :08:01.breach of international hum`nitarian law. Then we are told on thd 21st of

:08:02. > :08:05.July, by chance, the date on which the House rose, that a ministerial

:08:06. > :08:09.statement corrected this and other answers. It stated that we have been

:08:10. > :08:17.unable to assess that there has been a breach of IHL. The opposite of

:08:18. > :08:21.what the House had been told. I listened to what the ministdr had to

:08:22. > :08:28.say that he offered no exhalation as to why this happened. So firstly,

:08:29. > :08:33.will he now do so? This is not a minor error, but a consistent

:08:34. > :08:37.failure to provide accurate answers. Secondly, the mistakes were

:08:38. > :08:41.identified on the 24th of Jtne but were not reported to the Hotse until

:08:42. > :08:47.27 days later even though the ministerial code which says that

:08:48. > :08:51.ministers not correct any inadvertent error at the earliest

:08:52. > :08:56.opportunity. Why did it takd so long? And today it appears that

:08:57. > :09:01.after months when it was apparently incapable of doing an assessment of

:09:02. > :09:05.IHL, the government has man`ged to undertake one doing the recdss in

:09:06. > :09:11.nation to the Arms export tdsts which say that a licence should not

:09:12. > :09:15.be granted if there is a cldar risk of violations of IHL. And the

:09:16. > :09:18.Foreign Secretary told is only this morning that having regard to the

:09:19. > :09:24.information available to us, we assess that this test has not been

:09:25. > :09:34.made. When is an assessment not been -- not an assessment? Willid

:09:35. > :09:38.Minister Tellez tell us which test preceded this assessment and will be

:09:39. > :09:42.government now suspend arms sales to Saudi Arabia until it is able to

:09:43. > :09:47.assure the House that it has done a proper assessment and can explain

:09:48. > :09:52.why it believes that IHL has not been breached in Yemen when the

:09:53. > :10:03.United Nations clearly says that it has? Let's take a step back and make

:10:04. > :10:09.it very clear as to why Saudi Arabia is leading the coalition to support

:10:10. > :10:15.the president. They are allowed to do that because of UN resolttion to

:10:16. > :10:18.216. Had they not done that, the atrocities that we see, the

:10:19. > :10:23.devastation taking place in this country, would be a lot worse. The

:10:24. > :10:28.other coalition would have pushed through to the port of Aden. It

:10:29. > :10:33.would be hit a humanitarian catastrophe. Having said th`t,

:10:34. > :10:38.absolutely we need to make sure that our allies and partners are

:10:39. > :10:44.honouring IHL. Which is why we raise these matters only regular basis. I

:10:45. > :10:49.invite the honourable member to join me when the Minister of Saudi Arabia

:10:50. > :10:54.comes to this place on Wedndsday in order to address any questions that

:10:55. > :10:58.are put by parliamentarians. At ten o'clock. He is more than welcome. I

:10:59. > :11:03.will make sure that he is able to play those questions to the Foreign

:11:04. > :11:07.Minister himself. But on a general basis, he simply repeated the

:11:08. > :11:11.difference in the two lines that I have endeavoured to correct. I have

:11:12. > :11:15.answered over 90 parliament`ry questions on this matter. Wd found

:11:16. > :11:21.out that two of them were incorrectly written with a for the

:11:22. > :11:24.-- further trawl, that four more were incorrect. We immediatdly

:11:25. > :11:30.decided to correct the mattdr. I agree that the timing of thhs,

:11:31. > :11:33.firstly in replying to the various heads of committees, was slower than

:11:34. > :11:41.it should have been. The re`son for that is not because of any other

:11:42. > :11:45.reason, simply because therd was a change of government. There were

:11:46. > :11:50.delays. I didn't know if I was going to continue in this portfolho. As

:11:51. > :11:53.soon as I became aware, I m`de sure that the necessary informathon was

:11:54. > :11:58.out there and we made a further trawl to make sure there was nothing

:11:59. > :11:59.else. And then I wrote to the committee chairs, including the

:12:00. > :12:13.right honourable gentleman. Comply with international

:12:14. > :12:22.humanitarian law in their operations in the Yemen. But will he rdmind the

:12:23. > :12:26.House that the GCC states are allies and the coalition is operathng under

:12:27. > :12:32.the authority of a unanimously adopted UN resolution in response to

:12:33. > :12:37.an illegal usurpage of power in the Yemen. I am grateful for thd

:12:38. > :12:41.question. It gives me licence to spell out the fact this is `ctually

:12:42. > :12:47.new territory for Saudi Arabia. In the same way that we have ldarned to

:12:48. > :12:50.make sure that when errors `re made on the battlefield, when thdre is

:12:51. > :12:53.collateral damage we put our hand up and say something has happened that

:12:54. > :12:58.shouldn't have happened. Th`t's what the Americans did in Afghanhstan

:12:59. > :13:01.when a hospital was hit. But we are dealing with a conservative nation

:13:02. > :13:04.not used to such exposure and I am pleased to say we are making

:13:05. > :13:11.progress to make sure they `nswer to the international scrutiny that they

:13:12. > :13:15.must answer to. MrSpeaker, I would echo strongly the

:13:16. > :13:19.concerns raised by my right honourable friend. The incorrect

:13:20. > :13:22.answers he and other members were given are totally unacceptable and

:13:23. > :13:24.so was the timing in which they were corrected which has added insult to

:13:25. > :13:28.injury. It is clear that thd assurances this House has previously

:13:29. > :13:32.given on breaches of humanitarian law have proved inaccurate. I would

:13:33. > :13:36.want to ask the Minister whdther other assurances we have bedn given

:13:37. > :13:40.remain valid. In May, the Mhnister for defence procurement told this

:13:41. > :13:44.House that there was no evidence that coalition forces in Yelen had

:13:45. > :13:48.used cluster munition in civilian areas, he claimed that the cluster

:13:49. > :13:51.munitions found responsible for the death and maiming of many innocent

:13:52. > :13:54.civilians had come from previous conflicts in the region. Dods the

:13:55. > :13:59.Foreign Office stand by this assessment? In May we also `sked a

:14:00. > :14:02.question that the procurement Minister failed to answer, so I give

:14:03. > :14:06.the Foreign Office Minister an opportunity to answer this today.

:14:07. > :14:08.Had the coalition forces in emwhien used weapons or planes manufactured

:14:09. > :14:13.in Britain in this conflict? Had they used them to drop cluster

:14:14. > :14:16.munitions, had they used thdm to commit breaches of internathonal

:14:17. > :14:20.humanitarian law? And if we simply do not know the answers to those

:14:21. > :14:27.questions, is it right to continue selling weapons and planes to Saudi

:14:28. > :14:31.Arabia until we have answers? MrSpeaker, she begins by saxing it's

:14:32. > :14:34.unacceptable that the statelents that have been made have bedn put

:14:35. > :14:39.out there and I agree with her. That is why I wrote and took measures to

:14:40. > :14:43.make sure that the record w`s corrected. But I make it very clear

:14:44. > :14:48.that the subject of interest that we have, the profile of interest that

:14:49. > :14:51.there is in Yemen with over 90 written Ministerial questions on

:14:52. > :14:56.this matter, means that we had to correct this issue. Two errors were

:14:57. > :15:00.found, a further four on a trawl, that's why I made the necessary

:15:01. > :15:03.letters, wrote the necessarx letters and produced necessary statdments to

:15:04. > :15:09.correct that matter. I apologised to the chamber. I hope that apology is

:15:10. > :15:14.recognised. This wasn't somd big plot, there wasn't some conspiracy

:15:15. > :15:17.to mislead. Our policy remahns extremely clear on where we stand on

:15:18. > :15:23.our support for our friends in the Gulf. She raises the matter of the

:15:24. > :15:30.sale of cluster munitions bx Britain which did happen prior to us signing

:15:31. > :15:35.the convention on cluster mtnitions, the BL 755 I think is the one she

:15:36. > :15:39.may be referring to. One pidce of evidence on this was un - the I am

:15:40. > :15:42.not saying it's OK. What I `m saying is as soon as we found out `bout

:15:43. > :15:47.this we have asked Saudi Ar`bia to do exactly what any other country

:15:48. > :15:50.should do in the same situation and determine what is going on. As soon

:15:51. > :15:54.as we have more information we certainly will share it with the

:15:55. > :15:57.House. Again I invite her to join and pose this question to the

:15:58. > :16:07.Foreign Minister when he coles on Wednesday.

:16:08. > :16:14.Thank you, Mr Speaker. It's tragic whenever anyone is killed who is an

:16:15. > :16:21.innocent in such a conflict. I visited the Saudi-led air operations

:16:22. > :16:27.centre some months ago in Rhyadh. I specifically asked the pilots and

:16:28. > :16:32.the commanders there their rules on weapons release above targets in

:16:33. > :16:36.Yemen. I have to say I was very reassured by the answers. It was

:16:37. > :16:41.clear that their procedures seemed to be now as good as our own. Does

:16:42. > :16:46.the Minister agree with me on that statement? This has been a learning

:16:47. > :16:52.curve for Saudi Arabia. There is no doubt about it. But the conference

:16:53. > :16:55.that I attended and represented Britain at last week moved ts

:16:56. > :16:59.forward from conflict, from a military approach to this, to seeing

:17:00. > :17:02.what agreement can be made from a political and military purpose in

:17:03. > :17:09.order that we can put this behind us and create the stability th`t we

:17:10. > :17:14.need in that country. Thank you, MrSpeaker. Given the UK's

:17:15. > :17:19.clear role in the conflict we are still no closer to learning why this

:17:20. > :17:22.Government has failed to carry out their own independent investigation

:17:23. > :17:27.as to whether international humanitarian law has been breached.

:17:28. > :17:32.Hospitals have been bombed `nd civilians have been killed. We must

:17:33. > :17:37.end arps deals to Saudi Arabia now and conduct our own investigation.

:17:38. > :17:42.Ministers must remove their heads from the sand and apologise to this

:17:43. > :17:48.House for attempting to brush the issue under the carpet. Parliament

:17:49. > :17:51.was misled six times but rather than facing the music, did ministers

:17:52. > :17:59.deliberately hide this knowledge from the House until a last day

:18:00. > :18:03.before recess? This House and the public deserve more respect. A

:18:04. > :18:07.humanitarian disaster continues to unfold in front of our ice hn the

:18:08. > :18:15.Yemen. We need answers and `ction today, nothing less will do. Will

:18:16. > :18:21.the Minister commit to ending arms sales to Saudi Arabia? I am sorry,

:18:22. > :18:23.MrSpeaker, that she adopts that tone, it's right that she holds the

:18:24. > :18:27.Government to account and ghven fairness she has been consistent on

:18:28. > :18:30.that matter. I haven't been brushing any issues under the carpet. Quite

:18:31. > :18:34.the contrary, I have been as open as I can about these matters. H make it

:18:35. > :18:38.very clear to the House as H said in my letter to the chairman of the

:18:39. > :18:42.foreign affairs Select Commhttee, if we are not satisfied with the Saudi

:18:43. > :18:46.Arabian investigation itself, we are not opposed to an independent

:18:47. > :18:49.investigation to be conductdd. But first of all, we must honour

:18:50. > :18:55.international standards and allow the Saudi Arabians to conduct their

:18:56. > :18:59.own investigations as we will be doing in similar circumstances.

:19:00. > :19:05.Could the Minister confirm reports that the Prime Minister has raised

:19:06. > :19:08.concerns about the Yemen directly with Saudi Arabian leaders `t the

:19:09. > :19:12.G20 and could the Minister say a bit more about what the Governmdnt is

:19:13. > :19:17.doing to try to get Saudi Arabia to sign up to the UN cluster mtnitions

:19:18. > :19:21.convention? I am very grateful for my rhght

:19:22. > :19:26.honourable friend. She's right that the G20 poses a huge opporttnity for

:19:27. > :19:29.the Prime Minister to share thoughts and concerns about a number of

:19:30. > :19:32.matters pertaining to the Mhddle East. I am not aware at this stage

:19:33. > :19:36.but I will find out whether or not she had an opportunity. I cdrtainly

:19:37. > :19:39.did when I was with the Fordign Minister and also the Foreign

:19:40. > :19:43.Minister of the Emirates as well as with John Kerry last week and as I

:19:44. > :19:46.said there is a further opportunity for this House indeed to rahse those

:19:47. > :19:53.questions too. She raises the specific question to do with cluster

:19:54. > :19:56.munitions and the convention. I have invited Saudi Arabia to consider

:19:57. > :20:02.signing this as an indication of where Saudi Arabia wants to move to

:20:03. > :20:06.in the future. Can I thank the Minister for coming to the House and

:20:07. > :20:11.correcting the record on thd errors that have occurred. He will know

:20:12. > :20:14.that three members of this House, the honourable lady, the melber for

:20:15. > :20:21.Portsmouth south, Walsall south and myself were born in Yemen. Our fear

:20:22. > :20:25.is that Yemen is leading to death. There is a massive humanitarian

:20:26. > :20:30.crisis, the worst in the world. Could he tell the House what is

:20:31. > :20:34.being done in order to get food into the population of Yemen and to make

:20:35. > :20:38.sure that happens as quicklx as possible? MrSpeaker, can I pay

:20:39. > :20:42.tribute to the right honour`ble gentleman and the work he h`s done.

:20:43. > :20:46.He has obviously a personal interest in this matter as do others. He has

:20:47. > :20:50.raised this particular subjdct on many occasions indeed. I am pleased

:20:51. > :20:55.that he has raised the huge concern which I think the House shares about

:20:56. > :21:00.the humanitarian catastrophd that is unfolding there. To give it an

:21:01. > :21:04.illustration, the month of July 43% of the monthly food needs wdre

:21:05. > :21:09.actually met in this countrx and only 23% of the fuel needs were met.

:21:10. > :21:13.That's because there is no `ccess or complete access to the country. We

:21:14. > :21:17.need to see, not just aid coming in through the port of Aden but also

:21:18. > :21:25.further up the West Coast opened up so that can have access to the north

:21:26. > :21:29.part of the country. Does the Government support the establishment

:21:30. > :21:32.of an international independent investigation following hum`n rights

:21:33. > :21:35.council as we have done with other initiatives when it's happened with

:21:36. > :21:41.conflicts in other countries like Sri Lanka, for example?

:21:42. > :21:46.My honourable friend raises a valid point. The process that we follow is

:21:47. > :21:50.to encourage any country to conduct their own investigations as we would

:21:51. > :21:55.do ourselves. As I have just stated in answer to a previous question, if

:21:56. > :21:58.we find that those investig`tions are left wanting, then absolutely we

:21:59. > :22:02.will call for an independent investigation. But as I said in my

:22:03. > :22:06.opening remarks, eight publhcations have already come forward in looking

:22:07. > :22:10.and analysing the certain breaches or events that have taken place and

:22:11. > :22:18.further publications on othdr events will also be coming in the near

:22:19. > :22:22.future. Given the fact that Saudi-led coalition support the

:22:23. > :22:27.Yemen Government is clearly targeting civilian areas can the

:22:28. > :22:36.Minister remind us why exactly we are supporting them? The conduct of

:22:37. > :22:42.war in yem been is complicated. Much of the conflict is taking place in

:22:43. > :22:46.urban areas. The Houthis ard using civilians as guards in order to

:22:47. > :22:50.deliberately take the battld into the towns and cities itself.

:22:51. > :22:54.Therefore, it is very complhcated indeed. We have encouraged Saudi

:22:55. > :22:57.Arabia and the coalition to make sure that as limited collatdral

:22:58. > :23:03.damage takes place as possible. But she somehow seems to suggest that if

:23:04. > :23:07.we did not support UN resolttion 2216, we did not support Prdsident

:23:08. > :23:11.Hardy's request for support, that somehow Yemen would be in a better

:23:12. > :23:20.place. I can tell the honourable lady quite the opposite would be the

:23:21. > :23:26.case. Could the Minister confirm whether he believes al-Qaed` is

:23:27. > :23:29.active in Yemen and if so how? I can confirm. Unfortunatelx as we

:23:30. > :23:33.are this House is only too `ware, where there is conflict and where

:23:34. > :23:47.there is instability it's vdry easy for extremism to flourish. Xemen is

:23:48. > :23:52.a great example of that. As long as there is instability they whll

:23:53. > :23:56.continue to flourish. A port in the south until recently was colpletely

:23:57. > :24:03.run, this is an entire city, run by al-Qaeda. That is why we nedd a

:24:04. > :24:06.political solution for this country. Just over a year ago my honourable

:24:07. > :24:10.friend for Liverpool rivershde and I presented a petition to this House

:24:11. > :24:14.about the dire humanitarian crisis in the Yemen. In light of the

:24:15. > :24:18.statement made today can I trge the Minister to once again revisit the

:24:19. > :24:21.issue of immediate relatives and dependents of British citizdns who

:24:22. > :24:25.can't get out of the Yemen `nd are often stuck in areas that don't have

:24:26. > :24:28.access to humanitarian aid workers and who are having to wait tp to 12

:24:29. > :24:31.months for a decision on thdir application to come to Brit`in and

:24:32. > :24:36.to urge him to work with his colleagues in the Home Office to

:24:37. > :24:40.speed up this process. She raises two important but related issues

:24:41. > :24:44.there. The first is to do whth the humanitarian support, international

:24:45. > :24:47.support for the country. Thhs is something that my right honourable

:24:48. > :24:52.friend will be raising at the UN general Assembly to see what more

:24:53. > :24:55.the international community can do. With regards to the migrant

:24:56. > :25:00.situation and those being granted refugee status I will raise that

:25:01. > :25:04.with my Home Office colleagtes. Given the recent upgrade in

:25:05. > :25:08.diplomatic relationships between the UK and Iran, can the Ministdr inform

:25:09. > :25:14.the House whether the issue of Yemen will be subject to discussions

:25:15. > :25:17.between the two countries? My honourable friend raises a very

:25:18. > :25:22.important point. The responsible role that Iran can and should take,

:25:23. > :25:27.given where they are now in relation to the nuclear deal. If thex want to

:25:28. > :25:31.play a helpful role on the international stage in this region

:25:32. > :25:36.then they need to check thehr proxy influence in places such as Bahrain,

:25:37. > :25:43.in places such as Yemen, such as Damascus and indeed in Baghdad, as

:25:44. > :25:46.well. Only last month Oxfam claimdd that

:25:47. > :25:50.the UK Government has switched from being an enthuse as continuhng

:25:51. > :25:54.backer of the arms trade trdaty to one of the most significant

:25:55. > :25:57.violators. The Government h`s lost immense credibility over thhs saga

:25:58. > :26:02.which was not helped with l`st minute retractions. Does thd

:26:03. > :26:06.Government not accept that hf it echoed calls for an international

:26:07. > :26:10.independent inquiry then thd added transparency and accountability

:26:11. > :26:15.would be a benefit to all stake holders involved?

:26:16. > :26:21.Mr Speaker, I don't agree whth the first part of her statement, but

:26:22. > :26:27.this second part I do agree with. But the process we must follow is to

:26:28. > :26:31.encourage a Saudi Arabia to do the necessary investigations, which they

:26:32. > :26:35.are starting. If we find those investigations are wanting, then we

:26:36. > :26:45.should call for an independdnt international investigation. Mark

:26:46. > :26:53.Brickyard. Iran -- Mark Butcher Iran has obligations as a S`udi

:26:54. > :26:59.Arabia. But several months `go, when it was revealed that the UK was

:27:00. > :27:03.supplying weapons to Saudi @rabia for the Yemeni campaign, thd

:27:04. > :27:07.justification for the government 's and were that these weapons were

:27:08. > :27:11.accurate and needed by Saudh Arabia and the technical targeting

:27:12. > :27:13.assistance was being providdd by the bridges to make sure that these

:27:14. > :27:20.accurate weapons were even lore accurate. -- provided by thd

:27:21. > :27:27.British. If so, why have so many weapons gone astray? I can say that

:27:28. > :27:31.we have a very robust relathonship with Saudi Arabia. We are able to

:27:32. > :27:37.raise matters in private th`t we would not be able to raise hn public

:27:38. > :27:42.and many of the issues, that applies to. However, this is a legitimate

:27:43. > :27:49.coalition and they are allowed to use weapons which are provided and

:27:50. > :27:54.sold by the United Kingdom. One of the accusations against Saudi Arabia

:27:55. > :27:59.is that UK made cluster munhtions have been used in Yemen. Thd

:28:00. > :28:04.minister told us before the recess that the last time the UK sold

:28:05. > :28:11.customer relations was 30 ydars ago. What the MoD's assessment on the

:28:12. > :28:17.usability of these weapons `nd whether they have ever been used? Mr

:28:18. > :28:22.Speaker, I recognise the interest and the expertise that he brings to

:28:23. > :28:27.the House, given his work as a minister in the MoD. As a rdserve as

:28:28. > :28:33.standard ex-member of the rdgular forces, I would not go near any

:28:34. > :28:37.ordnance that is over 20 ye`rs old. These cluster munitions that have

:28:38. > :28:45.been discussed are well past their sell by date and should not be used

:28:46. > :28:49.by anybody. I welcome the efforts that my honourable friend's

:28:50. > :28:58.department has made in helphng Saudis with their IHL and hhs work

:28:59. > :29:02.in the armed conflict. I wonder if he has used any of our Brithsh imams

:29:03. > :29:09.who have served in the Armed Forces for the lighter kingdom, many who

:29:10. > :29:19.have studied the sayings of the first imams who would -- set out the

:29:20. > :29:25.rules of law and would remind people that these are Islamic seasons? His

:29:26. > :29:32.knowledge and expertise in this area I picture me too. I studied jet

:29:33. > :29:36.rebel over the summer and she studied and learned the Quebec City

:29:37. > :29:44.that we are dealing with in what is today Saudi Arabia. That we have to

:29:45. > :29:46.to recognise, it is a conservative society and they are being

:29:47. > :29:53.encouraged to move at a faster pace than many other countries in the

:29:54. > :30:01.world, not in the -- not only in the running of a campaign of war. The

:30:02. > :30:10.key test for continued exports to Saudi is whether there is a clear

:30:11. > :30:14.risk of as weapons may be used in a serious violation of IHL. If the

:30:15. > :30:20.government does not consider the repeated bombings of hospit`ls,

:30:21. > :30:25.schools, and the destruction of whole cities -- designation of whole

:30:26. > :30:30.cities, as violations of IHL, what does fall into that categorx? He

:30:31. > :30:35.states in number of events that have taken place which are being looked

:30:36. > :30:38.into by Saudi Arabia itself. But he also holds a comparison with what

:30:39. > :30:44.happens in the United States where also a hospital was attacked. The

:30:45. > :30:47.question is whether any nathon puts up its hand and says a mist`ke has

:30:48. > :30:52.been made or whether they are trying to cover up and say it has not

:30:53. > :30:58.happened, which would be a breach of international humanitarian law.

:30:59. > :31:01.These are not minor correcthons issued on the 21st of July. The

:31:02. > :31:10.government is now saying thd complete opposite of what they said

:31:11. > :31:13.before. I'm reminded of the press Secretary of Nixon, who said all

:31:14. > :31:18.previous statements are an operative. It is not that they said

:31:19. > :31:23.before that there was no is reaches and they are now saying thex could

:31:24. > :31:28.not say whether there have been breaches. The government saxs that

:31:29. > :31:31.the MoD has not assess whether the Saudis are targeting civili`ns. This

:31:32. > :31:37.is a serious matter, the government must take action and we want answers

:31:38. > :31:42.to these questions. Are thex Saudis targeting civilians, yes or no? And

:31:43. > :31:47.the Minister must come back to the House and answer these questions. My

:31:48. > :31:52.right honourable friend makds his point. I make the point that each

:31:53. > :31:59.case is looked at in its own right. Each arms export is studied under

:32:00. > :32:03.the roof -- criteria we operate from. We look at the intent of that

:32:04. > :32:08.country in how those weapons systems will be used. As a stand, wd do not

:32:09. > :32:17.believe that they will be used in breach of IHL. -- as it stands. I

:32:18. > :32:23.agree that the Minister's and the government's communications have

:32:24. > :32:30.been Kafka -esque at the le`st. The answers being given to commhttees to

:32:31. > :32:35.his house. The Saudi Arabian themselves admitted on the 4th of

:32:36. > :32:38.August that they had mistakdnly bombed a residential complex and

:32:39. > :32:43.medical facilities, let alone the other examples that have bedn

:32:44. > :32:49.raised. If you satisfied with that? If he is not, will you suspdnd those

:32:50. > :32:56.arms sales? Mr Speaker, thotsands of sorties were made by not just Saudi

:32:57. > :33:02.Arabia but the entire coalition Errors have been made as well. I

:33:03. > :33:07.don't agree that I have somdhow implies that I have misled not been

:33:08. > :33:12.upfront with what is going on. I have been very clear indeed. If he

:33:13. > :33:16.wants to talk about specific issues, I would be happy to deal with him

:33:17. > :33:20.outside the chamber. I have encouraged Saudi Arabia to look into

:33:21. > :33:28.every one of those and provhde a report. Thank you, Miss Mr Speaker.

:33:29. > :33:32.The Minister must be aware that sometimes in the Middle East we have

:33:33. > :33:37.to be careful what we wish for and what may come in its place. But

:33:38. > :33:40.Saudi Arabia could do a lot to reinforce confidence by joining the

:33:41. > :33:46.international ban on cluster munitions which we are alre`dy a

:33:47. > :33:51.part of. I think that is absolutely right. I know there is an intention

:33:52. > :33:56.for Saudi Arabia to move forward on this. But as I had touched on in the

:33:57. > :34:01.past, this is a conservativd society led by a liberal wing of th`t

:34:02. > :34:05.society. They need to move `t a pace which is workable for Saudi Arabia.

:34:06. > :34:16.A major step forward would be considering signing the cluster

:34:17. > :34:23.munitions convention. Mr Spdaker, the situation in Yemen is not

:34:24. > :34:26.improving and respected organisations are calling for

:34:27. > :34:32.investigations. And yet this government in the second qu`rter of

:34:33. > :34:37.2016 with fuelled dis- -- rdfused file applications and many `re

:34:38. > :34:41.pending. Could he speak to his colleagues in the Home Office and

:34:42. > :34:44.impress upon them the need for certainty for those Yemeni citizens

:34:45. > :34:49.that they will not be removdd to a country that is a war zone from

:34:50. > :34:54.bombs we are selling to the Saudis? Am I right in thinking that she is

:34:55. > :35:01.expecting Yemenis based in the UK to be returned to Yemen? I will raise

:35:02. > :35:04.theirs. This has already cole up. I will certainly look into thhs again

:35:05. > :35:10.but my understanding is that nobody is being returned back to a war

:35:11. > :35:14.zone. It is not uncommon for the same point to be raised mord than

:35:15. > :35:20.once in the course of an interrogation of a Minister I'm

:35:21. > :35:27.sure the Minister is intensdly familiar with that fact. Can the

:35:28. > :35:31.Minister reassure the House that the conflict in Yemen and accus`tions of

:35:32. > :35:35.breaches of international humanitarian law are taken hnto

:35:36. > :35:43.consideration when looking `t extending arms exports? I think the

:35:44. > :35:46.answer to that is yes, absolutely that is the case. I would lhke to

:35:47. > :35:53.say that we have now moved forward in our discussions. The Houthis

:35:54. > :35:59.after walking out of discussions in Kuwait are now working with the UN

:36:00. > :36:04.envoy and we will hopefully be able to move forward from war and

:36:05. > :36:10.conflict to political resolttion. Can the Minister please tell the

:36:11. > :36:14.House very simply whether or not any weapons or planes are manuf`ctured

:36:15. > :36:17.in the United Kingdom have been used in the conflict in Yemen and in

:36:18. > :36:24.particular, whether or not they have been used against civilians? The

:36:25. > :36:29.latter part I can't answer but I can say that yes, we have sold weapons

:36:30. > :36:33.systems, aircraft systems to Saudi Arabia and other members of the

:36:34. > :36:38.coalition that have been usdd legitimately, following a rdquest by

:36:39. > :36:47.President Abd Rabbuh Mansur Hadi, under resolution 2216. Can the

:36:48. > :36:50.government come firm that the commitment to Yemen increasdd and it

:36:51. > :36:59.as the fourth largest donor in the world to Yemen and Kenya sh`ll that

:37:00. > :37:04.the aid can be taken to the places that need it most. We are the fourth

:37:05. > :37:12.largest donor and ?85 million of that, I hope we will build to

:37:13. > :37:16.increase that. I hope that dvery effort will be made at the TN

:37:17. > :37:20.General Assembly to rally other countries to provide more fhnancial

:37:21. > :37:26.support as well and make sure that it reaches those people who

:37:27. > :37:34.genuinely require it. Can the Minister outlined what procddures

:37:35. > :37:37.are in place for the sharing of intelligence with Gulf statds from

:37:38. > :37:41.the United Kingdom and what assurances can he give to this House

:37:42. > :37:48.that none of that intelligence is being used to support these air

:37:49. > :37:52.strikes in the Yemen? No, I can t comment for the obvious reasons that

:37:53. > :38:02.we don't intelligence matters at the dispatch box. Mr Nigel Evans. Could

:38:03. > :38:07.the Minister confirm that what he is stating is that he has no evidence

:38:08. > :38:11.whatsoever that Saudi Arabi` has been involved in any human rights

:38:12. > :38:15.violations and if that was the case, that if that evidence was there

:38:16. > :38:23.would he then suspend arms sales to Saudi Arabia? It is not my gift to

:38:24. > :38:27.make that judgment. We at the Foreign Office can only makd

:38:28. > :38:32.recommendations. But he is right, if we work to find that there were

:38:33. > :38:36.breaches of IHL, then that would change our view on whether future

:38:37. > :38:44.arms exports would take place. Mr Douglas Chapman. The Saudi

:38:45. > :38:48.government have been trusted with oversight of weapons providdd by the

:38:49. > :38:54.UK Government and used in the Yemen with disastrous consequences. Does

:38:55. > :39:00.the Minister regard this as a misjudgement and should oversight be

:39:01. > :39:04.more independent and begin now? Saudi Arabia has been slow hn

:39:05. > :39:09.recognising international scrutiny in the use of the various wdapons

:39:10. > :39:13.systems that have been used in the conflict itself. Having said that,

:39:14. > :39:17.what we are seeing is an advancement in their own processes and ht is

:39:18. > :39:21.those processes which we must now lean upon to make sure they put

:39:22. > :39:29.their hand up if there is a mistake and any collateral damage. The

:39:30. > :39:33.Minister has said the government is unable to draw conclusions `bout

:39:34. > :39:39.individual allegations. But can the Minister comment on how the overall

:39:40. > :39:43.risk assessment has changed on breaches and how worried is he that

:39:44. > :39:48.weapons manufactured here in the UK have been involved? Mr Speaker, we

:39:49. > :39:52.look to the future to see what is the intent of how the weapons might

:39:53. > :39:56.be used and we also look to see whether or not there is a

:39:57. > :40:01.transparency in the misuse or collateral damage that takes place.

:40:02. > :40:04.That is why we lean on the Saudi Arabians and encourage them to

:40:05. > :40:08.produce the reports which provide the light that the NGOs and other

:40:09. > :40:16.members of the international communities are looking for. In

:40:17. > :40:19.answer to my question on Favre 2, regarding the violations of IHL the

:40:20. > :40:25.Minister said that the government were aware of such reports `nd they

:40:26. > :40:29.would continue to monitor the situation closely. In the

:40:30. > :40:32.intervening seven months, what more information has been gleaned by the

:40:33. > :40:37.government? And could you tdll me what has to happen in Yemen before

:40:38. > :40:45.this government recognises ` breach of IHL? And stops sonic Saudi

:40:46. > :40:49.Arabia? Mr Speaker, I'm not familiar with the exact reports that he is

:40:50. > :40:53.making reference to that I `m happy to speak to him in more det`il. If

:40:54. > :40:58.he is referring to the UN committee of experts, where over 100

:40:59. > :41:06.allegations were actually m`de, that UN team did not set foot in Yemen.

:41:07. > :41:09.When they compiled that evidence. Having said that, we passed that

:41:10. > :41:17.under the Saudi Arabians for to comment. -- for them to comlent

:41:18. > :41:27.With both the Saudi joint incident assessment team and the Yemdni

:41:28. > :41:30.national committee of enquiry failing to carry out proper

:41:31. > :41:34.investigations, does the Minister think it is time to put pressure and

:41:35. > :41:41.have a full independent investigation into what has gone on?

:41:42. > :41:44.If I understand correctly, the two organisations do separate work. What

:41:45. > :41:47.we are expecting from the S`udi Arabians and they have been

:41:48. > :41:52.acknowledged that it has bedn slow, is to make sure that there `re any

:41:53. > :41:56.alleged allegations they look into these matters and provide a full

:41:57. > :42:02.report. The generally investigation team is looking at rights vholations

:42:03. > :42:07.on the ground conducted unddr the fog of war. With the use of child

:42:08. > :42:13.soldiers and the conduct, qtite a separate matter. Why did it have to

:42:14. > :42:17.wait until the very last dax before recess for the corrections to the

:42:18. > :42:21.parliamentary record to be produced? Not even the day before that we

:42:22. > :42:24.could have taken requests? We have had to wait all summer long to have

:42:25. > :42:27.a session and we have had no answers. You would have thotght the

:42:28. > :42:32.government would have had thme enough to answer some of thd

:42:33. > :42:36.questions raised by members today. There were answers. As soon as I

:42:37. > :42:48.found out about it I wrote to the necessary committee chairs.

:42:49. > :42:52.If there was an opportunity before we broke for recess I would have

:42:53. > :42:54.taken it. If there is any consolation, I apologise for the

:42:55. > :42:58.House were not coming here darlier in order to put that on the record

:42:59. > :43:05.and make that clear. The secretary of state for exiting the European

:43:06. > :43:08.Union, the secretary David Davis. Thank you. I thought it would be

:43:09. > :43:13.useful for the House to be brought up to date on the working of my

:43:14. > :43:19.department after the referendum on the 23rd of June. Our instrtctions

:43:20. > :43:26.from the British people are clear. Britain is leaving the European

:43:27. > :43:31.Union. The mandate but that is overwhelming. The referendul of June

:43:32. > :43:35.23 delivered a bigger vote for Brexit than that one by any UK

:43:36. > :43:42.Government in history. It is a national mandate and this government

:43:43. > :43:45.is determined to deliver it in the national interest. The Primd

:43:46. > :43:50.Minister has made clear there will be no attempt to stay in thd EU by

:43:51. > :43:55.the back door. No attempt to delay, frustrate or thwart the will of the

:43:56. > :44:00.British people. No attempt to engineer a referendum. Becatse some

:44:01. > :44:04.people did not like the first answer. The people have spoken in

:44:05. > :44:09.the referendum offered to them by this government and confirmdd by

:44:10. > :44:13.Parliament, by all of us, on both sides of the argument and wd must

:44:14. > :44:19.all respected. That is a silple matter of democratic politics.

:44:20. > :44:29.Naturally, people want to know what Brexit will mean. Simply...

:44:30. > :44:41.Simply... Simply it means ldaving the European Union. So, we will

:44:42. > :44:47.decide on our borders, our laws and the taxpayer's money. It me`ns

:44:48. > :44:52.getting the best deal for Britain, one that is unique to Britahn and

:44:53. > :44:56.not an off the shelf solution. This must mean controls on the ntmber of

:44:57. > :45:02.people who come to Britain from Europe. But also a positive outcome

:45:03. > :45:06.for those who wish to trade in goods and services. This is a historic and

:45:07. > :45:11.positive moment for our nathon. Brexit is not about making the best

:45:12. > :45:15.of a bad job, it is about sdizing a huge and exciting opportunity that

:45:16. > :45:24.will cause a new place for Britain in the world. New freedoms, new

:45:25. > :45:27.opportunities and new horizons for our country. We can get the right

:45:28. > :45:29.trade policy for the UK. We can create a more dynamic econoly, a

:45:30. > :45:33.beacon for free trade across the world. We want to make sure our

:45:34. > :45:38.regulatory environment helps rather than hinders businesses and workers.

:45:39. > :45:42.We can create immigration sxstems that allow us to control nulbers and

:45:43. > :45:48.encourage the best and brightest to come to this country. I want to be

:45:49. > :45:53.clear to our European friends and allies. We do not feed Brexht at

:45:54. > :46:00.ending our relationship with Europe. It is about starting a new one. --

:46:01. > :46:04.we do not see Brexit. We nedd to strengthen our position on Security

:46:05. > :46:07.and defence. It is in the interest of the European Union and the UK

:46:08. > :46:13.that we have the freest trading relationship. We want a strong

:46:14. > :46:15.European Union succeeding economically and politicallx.

:46:16. > :46:20.Working with Britain in manx areas of common interest is cruci`l. We

:46:21. > :46:25.should all approach the negotiations that come about with mutual respect

:46:26. > :46:29.and cooperation. I know the House want to be updated about thd work of

:46:30. > :46:37.the Department. It is a privilege to have been asked to the Primd

:46:38. > :46:39.Minister and the challenge we face is exciting and considerabld. It

:46:40. > :46:42.requires expertise and they consistent approach. Negoti`ting

:46:43. > :46:47.with the EU had to be right and we will take the time to get it right.

:46:48. > :46:52.We will strive to build a n`tional consensus around our approach. We

:46:53. > :46:55.start from a position of economic strength. As the Prime Minister said

:46:56. > :47:01.yesterday there will be challenges ahead but our economy is robust

:47:02. > :47:07.thanks in no small part to the work of my right honourable friend. The

:47:08. > :47:11.latest data suggest manufacturing, consumer confidence and services are

:47:12. > :47:18.all strong. This is contrarx to some of the predictions earlier. But are

:47:19. > :47:23.putting their faith and mondy into this country. The Karma Glaxo Smith

:47:24. > :47:33.Kline, and Siemens all confhrmed they will make major investlents in

:47:34. > :47:37.the UK -- the companies. As other nations are the advantages to them,

:47:38. > :47:42.I am confident they will want to prioritise deals with the UK, too.

:47:43. > :47:47.We are not complacent, however. Our task is to build on the success and

:47:48. > :47:50.strength and negotiate a de`l for exiting the European Union that is

:47:51. > :47:55.in the interest of the entire nation. As I have already indicated,

:47:56. > :48:00.securing deals in our national interest does not mean turnhng our

:48:01. > :48:13.back on Europe. To do so wotld not be in our interest nor your's. We

:48:14. > :48:19.work hard to establish a stdadfast and successful European Union after

:48:20. > :48:24.we depart. So, as we proceed we will be guided by some clear principles.

:48:25. > :48:30.First, as I said, we wish to build a national consensus around otr

:48:31. > :48:36.position. Second, we will always put the national interest first, we will

:48:37. > :48:41.always act in good faith towards our European partners. Third, wherever

:48:42. > :48:45.possible, we will try to minimise any uncertainty that that change can

:48:46. > :48:51.inevitably bring. Fourthly, we will buy the end of this process have

:48:52. > :48:56.left the European Union and put the sovereignty and supremacy of this

:48:57. > :49:01.parliament is beyond doubt. The first formal step in the process of

:49:02. > :49:04.leaving the EU is to invoke article 15, which will start two ye`rs of

:49:05. > :49:22.negotiations. Let me brieflx -- article -- Article 50. We whll work

:49:23. > :49:25.closely with all departments to develop our objectives and develop

:49:26. > :49:29.new relationships with the DU and the rest of the world. Subvdrting

:49:30. > :49:37.the is a first-class team and some of the best in Whitehall Ubtntu

:49:38. > :49:40.engage in this national enddavour -- supporting the event first-class

:49:41. > :49:45.team and some of the best in the Whitehall who want to engagd in this

:49:46. > :49:50.national endeavour. We are growing rapidly with first-class support

:49:51. > :49:56.from other departments. We `re undertaking two broad areas of work.

:49:57. > :50:01.First, determined to build that national consensus, we will talk and

:50:02. > :50:07.listen to as many organisathons and companies as possible. From large to

:50:08. > :50:10.small businesses, devolved administrations, councils, lajor

:50:11. > :50:14.metropolitan bodies and so on. We are already fully engaged whth the

:50:15. > :50:19.governments of Scotland, Wales and Northern Ireland to ensure ` UK wide

:50:20. > :50:24.approach to negotiations. The Prime Minister met the First Minister and

:50:25. > :50:29.Deputy First Minister of Northern Ireland in July. Last week H visited

:50:30. > :50:32.Northern Ireland for meetings with its political leaders, wherd I

:50:33. > :50:39.reiterated our determination that there will be no return to the hard

:50:40. > :50:43.borders of the past. I will visit Scotland and Wales soon. My

:50:44. > :50:49.colleagues and I have discussed the next step. My first meeting was with

:50:50. > :50:54.the general secretary of thd trade union Congress followed by key

:50:55. > :50:57.business groups, representatives of the universities, farming and

:50:58. > :51:02.fishing organisations. This is just the start. In the weeks ahe`d we

:51:03. > :51:05.will speak to as many firms, organisations and bodies as

:51:06. > :51:10.possible. Research institutds, regional and national groups and

:51:11. > :51:14.businesses up and down the country to establish their prioritids and

:51:15. > :51:18.the opportunities for the UK as a whole as part of this exerchse I can

:51:19. > :51:24.announce we will be holding round tables with stakeholders in a series

:51:25. > :51:29.of sectors to ensure the options of the UK are reflected. Bye order

:51:30. > :51:37.There is a lot of unseemly, dare I say it, and statesman-like noise.

:51:38. > :51:43.Somebody muttering. Not too long Atawo legs the gentleman is in

:51:44. > :51:51.order. Let me remind the Hotse that it has always been my practhce to

:51:52. > :51:55.facilitate the fullest and lost extensive interrogation of the

:51:56. > :51:59.Minister. Everybody will have their opportunity but it will be ` good

:52:00. > :52:04.thing if people will listen respectfully if they can manage a

:52:05. > :52:10.smile reminiscent of that the Foreign Secretary that will be a

:52:11. > :52:15.bonus but it is not obligatory. Secretary of the. Those stakeholders

:52:16. > :52:21.include broadcast, financial services, automotive others. I am

:52:22. > :52:26.also having a visit to Dublhn this week. I am working closely with the

:52:27. > :52:31.Foreign Secretary and the sdcretary of State for trade. They have been

:52:32. > :52:37.meeting counterparts in EU states, Washington and Delhi. Supported by

:52:38. > :52:42.officials across government, we are carrying out analysis which will

:52:43. > :52:45.identify the key factors for 50 sectors of British business and that

:52:46. > :52:50.is extremely important for the House to understand. We are buildhng a

:52:51. > :52:54.detailed understanding of otr withdrawal of the EU and its effect

:52:55. > :52:58.on domestic policies to seize opportunities and ensure a smooth

:52:59. > :53:03.process of exit. The referendum result was a clear sign that the

:53:04. > :53:06.majority of the British people want to see Parliament's sovereignty

:53:07. > :53:11.strengthened and so throughout this process Parliament will be regularly

:53:12. > :53:15.informed, outdated and engaged. Finally, we are determined to ensure

:53:16. > :53:21.people have as much stability and certainty in the period leading up

:53:22. > :53:24.to our departure from the ET. Until we leave the European Union we must

:53:25. > :53:27.respect the laws and obligation that membership requires of us. We will

:53:28. > :53:32.also want to ensure certainty when it comes to public funding. The

:53:33. > :53:37.Chancellor has confirmed projects signed before the Autumn St`tement

:53:38. > :53:40.and reset innovation financdd by the European Commission granted before

:53:41. > :53:45.we leave the EU will be unddrwritten by the Treasury after we le`ve.

:53:46. > :53:47.Agriculture is a vital part of the economy and the government will

:53:48. > :53:54.match the current level of payment the sector receives to read direct

:53:55. > :53:58.payment scheme until 2020, `gain providing certainty. In terls of EU

:53:59. > :54:01.nationals in the UK the Prile Minister has been clear she is

:54:02. > :54:05.determined to protect the status of EU nationals already living here and

:54:06. > :54:09.the only circumstances in which that would not be possible is it the

:54:10. > :54:14.British citizens rights in Duropean member states were not protdcted in

:54:15. > :54:18.return. This is something I find frankly hard to imagine. I `m

:54:19. > :54:23.confident that together we will be able to deliver. I am greatly

:54:24. > :54:28.encouraged by the national lood Most of those who I have met who

:54:29. > :54:32.wanted to Remain have accepted the result and now want to make a

:54:33. > :54:36.success of the course Britahn has chosen. Organisations and

:54:37. > :54:41.individuals I have met alre`dy that backed the Remain campaign now want

:54:42. > :54:44.to be engaged in the process of exit and identifying positive ch`nges

:54:45. > :54:47.that will flow as well as the challenges. I want us to cole

:54:48. > :54:52.together as one nation to gdt the best deal for Britain. In

:54:53. > :54:55.conclusion, we are confident that negotiating a new position that will

:54:56. > :55:00.mean this country flourishing outside the European Union while

:55:01. > :55:06.keeping its members as friends, allies and trading partners. We will

:55:07. > :55:12.leave the European Union but we will not. Fine order. The honour`ble

:55:13. > :55:20.member for Perth is an aspiring statesman.

:55:21. > :55:30.These aspirations may be a little way from fulfilment. But I want to

:55:31. > :55:34.hear the Secretary of State's continuation. Secretary of the. A

:55:35. > :55:39.long-standing aspiration, Mr Speaker. Mr Speaker. We are

:55:40. > :55:43.confident of negotiating a position that will mean this country

:55:44. > :55:48.flourishing outside the EU. Keeping its members as our friends, allies

:55:49. > :55:52.and our trading partners. Wd will leave the European Union -- we will

:55:53. > :55:58.leave the European Union but we will not turn our back on Europe. We will

:55:59. > :56:00.deliver on the national mandate for Brexit and we will deliver ht in the

:56:01. > :56:12.national interest. Emily Thornbury. Thank you, Mr

:56:13. > :56:16.Speaker. Let me begin by welcoming the secretary of States to his new

:56:17. > :56:21.role. It has been many years since his last appearance at the dispatch

:56:22. > :56:28.box. I believe his last words then, were you have to answer. Let's hope

:56:29. > :56:34.we will get answers today. Can I welcome his word that he will start

:56:35. > :56:39.listening to people. Can he start by putting a telephone number on his

:56:40. > :56:43.website. It has been diffictlt to track his department down. Some of

:56:44. > :56:47.the answers, we would expect because the spin before today's statement

:56:48. > :56:52.was so much promise. We heard that we were going to year what the

:56:53. > :56:58.government's strategy for Brexit was. What we have heard has not been

:56:59. > :57:01.a strategy, or a thought out plan, it has been more empty plathtudes.

:57:02. > :57:08.From a government that does continues to make it up as ht goes

:57:09. > :57:13.along. Last night, we had the Prime Minister 's seemingly, on a plane,

:57:14. > :57:18.telling us at least what shd wasn't going to be doing. It seems we are

:57:19. > :57:22.not going to have a point -based immigration system or any extra

:57:23. > :57:27.money for the NHS or any reduction in VAT on the world. But wh`t we

:57:28. > :57:32.have not been told is what they are going to do. When are they going to

:57:33. > :57:36.tell us how they are going to deliver free trade for Brithsh

:57:37. > :57:40.businesses whilst also imposing immigration controls? Let alone how

:57:41. > :57:50.they are going to address the red line is that Labour has dem`nded on

:57:51. > :57:52.protection of workers' rights and guarantees for EU citizens. The

:57:53. > :57:55.Secretary of State says he wants to present a positive Britain boasts

:57:56. > :57:58.Brexit. Unless you can tell us what deal they are working towards and

:57:59. > :58:04.how they plan to achieve it and whether in the States were `ccepted,

:58:05. > :58:09.his positive vision is just a pipe dream, just rhetoric. Can I remind

:58:10. > :58:13.him what he said two months ago He said, the negotiating stratdgy has

:58:14. > :58:17.to be properly designed and there has to be serious consultathon

:58:18. > :58:25.before it is done. And this is one of the reasons for taking a little

:58:26. > :58:30.time before triggering article 0. But where is it? Where is the

:58:31. > :58:33.negotiating strategy? What series consultation has taken placd with

:58:34. > :58:37.other member states and in the absence of either, why are the

:58:38. > :58:42.government pushing ahead with article 15? What has happendd since

:58:43. > :58:46.July? What is the plan? Can I mind of the government what the Foreign

:58:47. > :58:54.Affairs Select Committee sahd in July about the previous govdrnment.

:58:55. > :58:57.The considered view not to hnstruct key departments not to plan for the

:58:58. > :59:02.Leave vote, amounted to gross negligence. And what do we have to

:59:03. > :59:05.say therefore about the current government when two months later we

:59:06. > :59:10.are no further forward? All we can say is this, when it comes to

:59:11. > :59:14.planning for Brexit, they h`ve gone from gross negligence to ranking

:59:15. > :59:18.competence. And when we see the warnings to Britain from Japan and

:59:19. > :59:22.others at the G20, when we see investment from companies lhke this

:59:23. > :59:28.and put under threat, it is British workers who will be paying the price

:59:29. > :59:31.for this government's incontinence. This morning, the Japanese

:59:32. > :59:38.ambassador said something that was as honest as it was deadly. He said,

:59:39. > :59:42.the problem that we see is not to have a very well thought out

:59:43. > :59:50.consideration before you st`rt negotiation. Absolutely right, Mr

:59:51. > :59:55.Speaker. The government rushing to start negotiation, yes. Havd they

:59:56. > :00:01.got a well thought out plan for the negotiation? No. So, Mr Spe`ker I

:00:02. > :00:05.must say this. The Secretarx of State has won plaudits in the past

:00:06. > :00:08.for his principled stance around issues such as Parliamentarx

:00:09. > :00:12.sovereignty and he has talkdd about it today, he has talked abott

:00:13. > :00:16.democratic rights, he has t`lked about the rule of law. So hd cannot

:00:17. > :00:21.think that it is right that article 50 should be triggered by royal

:00:22. > :00:26.prerogative. And as the forler Attorney General, his friend and

:00:27. > :00:29.mine, has said, the idea th`t a government could take a dechsion

:00:30. > :00:34.such massive importance without parliamentary approval seems to me

:00:35. > :00:38.to be extremely far-fetched. Well I don't think it is far-fetchdd. I

:00:39. > :00:42.think it's just plain wrong. And I think that if the Secretary of State

:00:43. > :00:48.was still on the backbenches, he would agree. When there is no sound

:00:49. > :00:52.evidence of planning by this government, no detail about the deal

:00:53. > :00:55.they want to strike, no str`tegy for achieving that deal or the reasons

:00:56. > :01:00.for putting it through, Parliament must have more of a say in those

:01:01. > :01:09.issues. We must have more than simply a say, we must have ` vote.

:01:10. > :01:17.Secretary of State. That was it Right. I thank the honourable lady

:01:18. > :01:22.for the welcome. As is very common in the position of people entering

:01:23. > :01:24.cabinet, I have a very largd number of congratulatory e-mails and

:01:25. > :01:30.telegrams. The best one was the shortest. Many correct relations, I

:01:31. > :01:38.now believe and resurrection. - many congratulations. But ldt me

:01:39. > :01:42.deal with the issues she has raised. She, the Labour Party, accuses us of

:01:43. > :01:51.ranking competence. The Labour Party! The Prime Minister, when she

:01:52. > :01:57.was on her trip to China, ddscribed her approach to complex problems.

:01:58. > :02:02.This is certainly one. She described it as collecting the data, `nalyse

:02:03. > :02:05.it, make your judgment, makd your decision and implement it. The

:02:06. > :02:11.Labour Party clearly does it the other way around. Indeed, the

:02:12. > :02:16.Americans have a phrase for the way that they approach these thhngs not

:02:17. > :02:21.looking at the problem, not looking at the issue, not looking at the

:02:22. > :02:27.data, they call it loads, fhre, Amy. That might be appropriate for a

:02:28. > :02:36.firing squad but not for thd national interest. -- lows, fire,

:02:37. > :02:39.aim. She raised the question of the points-based immigration system

:02:40. > :02:44.What the Prime Minister said in China was very clear. What she wants

:02:45. > :02:48.is a results -based immigration system. One that actually ddlivers

:02:49. > :02:56.an outcome the British people voted for. And that is what she whll be

:02:57. > :03:01.delivering. She mentioned the Japanese ambassador. The Japanese

:03:02. > :03:05.ambassador this morning said something to the effect that he had

:03:06. > :03:09.not met a company that did not think Britain was the best place hn Europe

:03:10. > :03:17.to have its business, not one. And that he admired the Prime Mhnister's

:03:18. > :03:21.approach to this negotiation. So I think she should pick a quote little

:03:22. > :03:30.more carefully. Let me come to the central point, if there was a point,

:03:31. > :03:38.in what she had to say. Arthcle 50. Before we entered onto this course,

:03:39. > :03:43.there was a bill that went through this House, the referendum Bill It

:03:44. > :03:56.was voted 46-1 in this Housd. She wrote it for it. -- 6-1. Shd voted

:03:57. > :04:01.for it. If was presented by the minister at the time you sahd that

:04:02. > :04:05.the British people were givdn the decision. Not revise or

:04:06. > :04:10.consultation, and what she hs trying to wrap up in a pseudo- democratic

:04:11. > :04:13.masquerade is the most anti-democratic proposal I have

:04:14. > :04:22.heard for some time. She wants to deny the will of the British people

:04:23. > :04:31.and up with that we will not put. Mr Iain Duncan Smith. Mr Speakdr, can I

:04:32. > :04:35.first start by welcoming my honourable friend's return to the

:04:36. > :04:43.front then. As someone who hs recently left the front bench

:04:44. > :04:48.voluntarily, now welcome his optimistic tone to the idea of the

:04:49. > :04:53.United Kingdom leaving the Duropean Union and forging a new rel`tionship

:04:54. > :05:01.with the world. On the spechfics of the statement, can I just ask him...

:05:02. > :05:07.LAUGHTER. Actually, on the specifics of us

:05:08. > :05:11.leaving the European Union, can I press my honourable friend. We have

:05:12. > :05:14.had speculation as to what the details are in terms of what that

:05:15. > :05:19.means in controlling our borders. Can I ask him when he gets to the

:05:20. > :05:23.dispatch box to confirm to ts that in leaving the European Union, the

:05:24. > :05:28.number one thing that is absolutely not negotiable is that this United

:05:29. > :05:32.Kingdom will take control of its control of its borders and the laws

:05:33. > :05:39.that are relevant to that and that is not negotiate bulk for any other

:05:40. > :05:43.deal? I thank the Right honourable gentleman for his question. I will

:05:44. > :05:47.say two things. The first is that in the referendum that we have just

:05:48. > :05:54.had, the biggest mandate evdr given to a British government, a clear,

:05:55. > :05:57.large part of it was the qudstion of immigration. And the Prime Linister

:05:58. > :06:03.has made it very plain that the current status of immigration cannot

:06:04. > :06:12.go on and we will bring it to an end. Thank you. Can I start by

:06:13. > :06:16.welcoming the Secretary of State to his new position and congratulating

:06:17. > :06:23.him. Can I continue by asking him, is that it? You have had all summer,

:06:24. > :06:27.Secretary of State. It is the mark of an irresponsible governmdnt, just

:06:28. > :06:32.as it was the mark of an irresponsible Leave campaign that we

:06:33. > :06:37.know nothing more about the Fraser Brexit means Brexit. Creating huge

:06:38. > :06:46.levels of uncertainty for universities and, food and drink

:06:47. > :06:51.producers, EU nationals who have made this country their homd. What

:06:52. > :06:54.reassurances can the Secret`ry of State give them, because he has

:06:55. > :06:58.given them nothing in that statement. The actions of otr

:06:59. > :07:02.government stand in stark contrast to those of the Scottish Government

:07:03. > :07:08.to have reached out EU nationals, who have set out clear action,

:07:09. > :07:14.including setting up an expdrt group. ?100 million in economic

:07:15. > :07:17.stimulus and a programme tolorrow for government. The Secretary of

:07:18. > :07:28.State was responsible for a Leave campaign that had no plans. Zilch. A

:07:29. > :07:33.670 pages white paper that the Scottish Government produced ahead

:07:34. > :07:36.of the referendum. The sera Brett having no plans, especially now the

:07:37. > :07:46.Prime Minister is slapping down some of their ideas and? Bussey regret

:07:47. > :07:52.that blank piece of paper? Well I'm tempted to say, is that it? The

:07:53. > :07:59.simple truth is that the honourable gentleman talked about a 670 --

:08:00. > :08:04.talked about a 670 page refdrendum which they lost. They would still

:08:05. > :08:09.lose it today because after the referendum, what did we see, do the

:08:10. > :08:14.Scottish people want another referendum? No, they don't. With a

:08:15. > :08:26.Vote Leave? No, they wouldn't. That's all I have to say. -, would

:08:27. > :08:33.they vote leave? I congratulate the right honourable gentleman not

:08:34. > :08:37.rushing anything. I encourage him to take as long as you can to working

:08:38. > :08:41.out a policy and I look forward to hearing from them again when the

:08:42. > :08:45.government has found somethhng that they agree on that indicate what

:08:46. > :08:51.Brexit actually means. But meanwhile, on a more positive note,

:08:52. > :08:55.I don't recall my right honourable friend taking part in any of the ill

:08:56. > :09:01.informed and sometimes prejtdiced attacks on immigrants and foreigners

:09:02. > :09:07.living and working in this country. So can you confirm that he `grees

:09:08. > :09:12.with me that although some antiforeigner rhetoric may have

:09:13. > :09:18.added a few votes that may have tilted the Leave campaign into

:09:19. > :09:21.majority, he agrees with me that the majority of the public are not

:09:22. > :09:27.hostile to other Europeans living and working in this country so long

:09:28. > :09:32.as they respect our laws and our customs. So will you confirl the

:09:33. > :09:38.government will not needlessly sacrifice our access to a free

:09:39. > :09:42.market of 500 million peopld or our other trade and economic opdrations

:09:43. > :09:46.with our European allies, jtst to demonstrate that we are turning away

:09:47. > :09:50.foreigners from this countrx who employers which to employ to fill

:09:51. > :09:53.shortages of skilled or the unwillingness of English people to

:09:54. > :10:04.fill vacancies in various p`rts of our economy? My right honourable

:10:05. > :10:08.friend and I have debated this matter for nearly 30 years. Let me

:10:09. > :10:12.say this on the question of antiforeigner rhetoric. I agree with

:10:13. > :10:16.him entirely that this sort of unpleasantness that sometimds has

:10:17. > :10:21.arisen out of this is to be wholly condemned. Wholly condemned. And I

:10:22. > :10:29.certainly join him in condelning that rhetoric. The issue, however,

:10:30. > :10:32.which he then moves onto, the question of immigration, I do not

:10:33. > :10:38.think that when people are concerned about immigration, it is necessarily

:10:39. > :10:42.xenophobia. There are econolic, social and other pressures that lead

:10:43. > :10:47.to people being concerned about immigration. Neither do I think that

:10:48. > :10:49.it is a simple trade-off, that an immigration control system which

:10:50. > :10:54.suits our country is necess`rily one that will preclude a good trade

:10:55. > :11:00.relationship with the real brain union. Trade relationships `re

:11:01. > :11:03.beneficial -- with the European Union. Trade relationships `re

:11:04. > :11:07.beneficial to both sides and we should not need a trade off. I agree

:11:08. > :11:13.with his original proposal, but not with his conclusion.

:11:14. > :11:20.The Minister will know that the business of his department will be

:11:21. > :11:26.the most important issue facing our country for decades and it hs hugely

:11:27. > :11:30.important that we get the bdst deal for Britain outside the European

:11:31. > :11:35.Union. Nobody expects him to have worked out all of the answers yet

:11:36. > :11:41.but we do expect him to be `ble to set out the outline of some kind of

:11:42. > :11:47.plan and today we have heard nothing. Let me ask him one specific

:11:48. > :11:53.question, have they looked, for example, at what the home affairs

:11:54. > :11:58.issues will be in the negothations and has he decided whether or not

:11:59. > :12:03.Britain will be staying in Duropol, a decision that will have to be made

:12:04. > :12:11.this year, not in many years to come. Has he decided Will wd be in

:12:12. > :12:21.Europol, yes or no? The honourable lady is an eminent branch -, was an

:12:22. > :12:25.eminent front bench member `nd I take her question seriously. The

:12:26. > :12:32.Justice and home affairs stream is being assessed in that the `s we

:12:33. > :12:35.speak and the aim is to preserve the relationship with the Europdan Union

:12:36. > :12:44.on security matters as best we can. She will remember that last year

:12:45. > :12:49.there was a decision which was made, which laid aside about 100 leasures

:12:50. > :12:54.which we didn't want to be part but kept some including European arrest

:12:55. > :12:58.warrant, controversially as she will remember. We are a cross th`t, of

:12:59. > :13:06.course and we are aiming to maintain that. That is the answer. I warmly

:13:07. > :13:10.congratulate my right honourable friend on his return to the

:13:11. > :13:17.government front bench after an unfortunate hiatus of 20 ye`rs. Is

:13:18. > :13:22.it not absolutely clear Mr Speaker that my right honourable frhend has

:13:23. > :13:27.both the skills and the expdrience for the extremely difficult job that

:13:28. > :13:32.lies ahead and surely the whole house will wish him every stccess as

:13:33. > :13:44.he charts those extremely dhfficult waters.

:13:45. > :13:53.I must admit I didn't hear the question! Flattering as it hs I

:13:54. > :14:04.don't intend to pay a fee for it, either! We learnt more from the

:14:05. > :14:08.Prime Minister's briefing journalists in China of substance

:14:09. > :14:13.than we had in that 15 minute about stakeholders and round tablds. Could

:14:14. > :14:19.he please confirm that the points-based immigration system the

:14:20. > :14:24.cut in VAT on fuel and the ?250 million extra every week for the

:14:25. > :14:31.NHS, the three main promises of the league campaign now lie in tatters.

:14:32. > :14:39.The task of my department is to deliver on the three things. The

:14:40. > :14:43.British people in the referdndum voted for return to Parliamdnt of

:14:44. > :14:49.control of their laws, control of our money and control of our borders

:14:50. > :14:53.and that is what my departmdnt will do. What happens then is down to the

:14:54. > :14:58.government and parliament btt let me deal with one aspect of what he

:14:59. > :15:04.said. The points-based immigration system. What the Prime Minister said

:15:05. > :15:08.in China was very clear. Shd was concerned that I points-basdd system

:15:09. > :15:11.was actually to open ended, that it did not actually put a control on

:15:12. > :15:15.the number of people coming to the UK and therefore she wanted

:15:16. > :15:22.something that sounded like it would be more vigorous, not less. As 7

:15:23. > :15:27.countries have free trade agreements with the EU without accepting any EU

:15:28. > :15:32.control over migration in their countries or accepting any

:15:33. > :15:36.contributions to the EU, wotld my right honourable friend confirm that

:15:37. > :15:40.taking back control cannot be negotiated with the French, Germans

:15:41. > :15:45.and the others. We take back control of those matters and we negotiated

:15:46. > :15:48.they wish over trade and wotld he further confirmed the French and

:15:49. > :15:53.German governments have indhcated not at all that they wish to impose

:15:54. > :15:59.any tariffs on their very profitable trade with us because they don't

:16:00. > :16:02.believe in self harm. That last point goes to the heart of the

:16:03. > :16:06.question because free trade is not something which is a gift from one

:16:07. > :16:11.country to another, it is something which is mutually beneficial and I

:16:12. > :16:16.fully expect that when we come to do our negotiation with the European

:16:17. > :16:20.Union we will see them recognising, France, Germany, all of thel, as a

:16:21. > :16:24.manufacturing surplus is delivered to us, we have a service so plus the

:16:25. > :16:31.other way and I expect we whll both gain from the free trade agreements

:16:32. > :16:34.that comes out of that negotiation. Can I welcome the Secretary of State

:16:35. > :16:39.to his place and also welcoled the statement today and the visht he

:16:40. > :16:42.made recently to Northern Ireland where he met the First Minister and

:16:43. > :16:47.Deputy First Minister and others. Can he give us reassurance that as

:16:48. > :16:51.we seek to move forward and make a success Brexit for the whold United

:16:52. > :16:56.Kingdom, which is what the British people in its entirety have voted

:16:57. > :17:02.for, all parts of it. Can hd reassure me as a result of this

:17:03. > :17:06.national vote and members of the United Kingdom had an equal vote in

:17:07. > :17:11.that and have voted overwhelmingly to come out of the European Union,

:17:12. > :17:14.can the Secretary of State lake it clear that he will work with

:17:15. > :17:18.ministers in Northern Ireland closely not just at ministerial

:17:19. > :17:22.level but that officials within his department will work closelx with

:17:23. > :17:26.officials in the executive office and the Department of the economy

:17:27. > :17:32.and others to ensure we makd a success of this project? I can tell

:17:33. > :17:35.the right honourable gentlelan that is already happening. Offichals in

:17:36. > :17:40.my department and other Whitehall departments are working with

:17:41. > :17:44.officials in the Northern Ireland Office to proceed on what whll be

:17:45. > :17:48.one of the more difficult elements of the negotiation because we do

:17:49. > :17:52.have two deal with the issud of the border and keeping it open `nd not

:17:53. > :18:03.returning to the times of the recent past. I also agree with him in some

:18:04. > :18:07.depth in his statement that this is a national decision. A horrhble

:18:08. > :18:14.British nation, a whole United Kingdom nation that -- and dntire

:18:15. > :18:20.British nation that has dechded this. Whilst we seek to meet and

:18:21. > :18:24.protect the interests of evdry part of the United Kingdom that does not

:18:25. > :18:34.mean that any part of it will have a veto on it, least of all thd

:18:35. > :18:37.partisan reasons. I welcome my right honourable friend to his

:18:38. > :18:40.responsibilities and further welcome his agreement to come beford the

:18:41. > :18:45.Foreign Affairs Committee ndxt week in order to provide further

:18:46. > :18:51.follow-up to this statement. Does he share my assessment that thdre is a

:18:52. > :18:56.key foreign security and defence interest for our 27 European Union

:18:57. > :19:04.partners in finding continuhng engagement with United Kingdom after

:19:05. > :19:09.Brexit? By right honourable friend is right and this is fundamdntal for

:19:10. > :19:15.one of the points I was makhng in the course of my earlier relarks.

:19:16. > :19:19.There is a very strong security foreign affairs, foreign policy

:19:20. > :19:23.environmental, a whole serids of relationships that will continue to

:19:24. > :19:27.apply long after we have left the European Union to the benefht of

:19:28. > :19:35.both European Union and the United Kingdom. Can I welcome warmly the

:19:36. > :19:39.minister to his new position and I know that millions of Labour voters

:19:40. > :19:42.who were supporters who votdd to Leave will be pleased there is

:19:43. > :19:47.someone in this position he genuinely wants to get out of the

:19:48. > :19:51.European Union. Can I ask hhm to confirm that there is a real

:19:52. > :19:55.difference between wanting to be members of the single market and

:19:56. > :20:01.wanting to have access of the single market and some of the Remahn

:20:02. > :20:06.campaigner should remember that She is right and of course the `ccess to

:20:07. > :20:11.the single market is actually not really up for grabs. It is there for

:20:12. > :20:15.everybody. There are many countries actually outside the Europe`n Union

:20:16. > :20:19.that do a better job in the single market than we do, even without a

:20:20. > :20:23.trade agreement so of coursd we want to have access to the singld market,

:20:24. > :20:27.we don't need to be a member of its to do it. Being a member of that has

:20:28. > :20:37.caused some of the problems of sovereignty that this referdndum was

:20:38. > :20:42.driven by. Congratulations to my right honourable friend on his

:20:43. > :20:47.appointment. Will he confirl that the vote to Leave requires the

:20:48. > :20:51.repeal of the European commtnities act and will the government bring in

:20:52. > :21:00.such a Bill as soon as is rdasonably possible? The aspects of thd

:21:01. > :21:07.European Union act, European communities act 1972 that are

:21:08. > :21:14.required to be repealed and those aspects that need to be carried into

:21:15. > :21:20.British law are very import`nt set of issues that have to be ddcided.

:21:21. > :21:24.Once we have got to be proud of deciding that we will come back to

:21:25. > :21:29.the House at the first posshble opportunity. Don't we need lore

:21:30. > :21:34.specifics really from the Sdcretary of State? Don't we need to know the

:21:35. > :21:37.example that we can build those new relationships and not just wait

:21:38. > :21:46.until after the divorce proceedings finished. When this weekend the

:21:47. > :21:50.president of the EU commisshon said he wasn't keen on negotiating trade

:21:51. > :21:54.agreements that leave us in limbo. It is essential we get on whth

:21:55. > :21:58.building knows the relationships now and dealing with the Brexit issue at

:21:59. > :22:02.the same time as making surd that we forge those new relationships? We

:22:03. > :22:10.have do have them together, not one after the other. How will hd secure

:22:11. > :22:14.that? He is right and indeed the suggestion from the commisshon that

:22:15. > :22:18.it is somehow illegal for mx right honourable friend to go and talk to

:22:19. > :22:23.ministers in India, Canada or Australia or where ever he hs going

:22:24. > :22:27.to next is ridiculous. The only thing they can say in legal terms is

:22:28. > :22:31.that we cannot bring into force an agreement until after we le`ve. That

:22:32. > :22:35.is perfectly fair and probable stock that is what the laws of thd

:22:36. > :22:39.European Union are. He can take it as read that that is what wd are

:22:40. > :22:43.doing. We are looking to make sure all that we have the fastest

:22:44. > :22:46.transition to our other opportunities that I mentioned as

:22:47. > :22:52.fast as possible after Brexht concludes. As the same on the other

:22:53. > :22:57.front suggestions we can't talk about the trade arrangement with

:22:58. > :23:01.Europe until Article 50's process is concluded and we are outsidd the

:23:02. > :23:04.European Union, that is nonsense and I have looked carefully at several

:23:05. > :23:11.different versions in different languages of Article 50 and they all

:23:12. > :23:15.refer to the parallel negothations that will take place. He can take it

:23:16. > :23:23.as read that on both the cotnty is right and on both those counts we

:23:24. > :23:33.are pursuing the matter. -- bye both those pounds he is right. M`ny of

:23:34. > :23:38.our industries depend on European regulation. There is some

:23:39. > :23:41.uncertainty about the futurd of this law. Further dealers replied to my

:23:42. > :23:48.honourable friend the chairlan of the select committee, can hd confirm

:23:49. > :23:53.the government is going abott work establishing the entire corpus of

:23:54. > :23:56.European law, establishing `ll the detail and following the path set by

:23:57. > :24:01.countries such as India and Australia when they took on full

:24:02. > :24:06.independence, converted the whole of British law into their national law

:24:07. > :24:12.and in subsequent years went through it, repealed, or improved upon it.

:24:13. > :24:16.Yes, my right honourable frhend makes a good point. It is one of the

:24:17. > :24:25.reasons this process is takhng some time. The legal interactions of the

:24:26. > :24:29.elements of British law and European law are not straightforward. My

:24:30. > :24:32.initial starting position w`s we put them all into law and take ht from

:24:33. > :24:37.there. It doesn't quite work like that. That is why it is takhng a

:24:38. > :24:44.little while but he can be sure that my legal section and my lawxers up

:24:45. > :24:47.on that issue as we speak and will come up with conclusions as quickly

:24:48. > :24:56.as they can and when they do I will tell the House what their conclusion

:24:57. > :25:04.is. Scotland's fishing commtnities were due to receive over 100 million

:25:05. > :25:08.euros between now and 2020 from the EU. The Secretary of State today has

:25:09. > :25:11.committed to support our agricultural committees by

:25:12. > :25:16.guaranteeing that funding whll be matched. Will he make a simhlar

:25:17. > :25:22.commitment to fishing communities to honour funding in the current

:25:23. > :25:29.funding round? Sadly I didn't make the commitment, the Chancellor made

:25:30. > :25:33.the commitment and, well, whth great respect, it isn't up to me to make

:25:34. > :25:36.commitments on behalf of thd Treasury but what I will sax to her

:25:37. > :25:43.is this. He made the commitlent if she reads and we will put a copy of

:25:44. > :25:48.the letter in the library, which he laid out the underpinning of the

:25:49. > :25:53.common agricultural policy `nd structural funds and sciencd fund

:25:54. > :25:56.that he make the point clearly that this was effectively his decision

:25:57. > :26:01.until the Autumn Statement. What I would say to her and I will reflect

:26:02. > :26:04.it to him myself is what shd has said so that before the Auttmn

:26:05. > :26:10.Statement he is aware of her concerns.

:26:11. > :26:20.One of the legitimate concerns of many Remain voters was a fe`r that

:26:21. > :26:24.an unduly long period of uncertainty one negotiations were going on would

:26:25. > :26:29.be damaging for the British economy. Could my honourable friend then

:26:30. > :26:37.confirmed that it would be his piety to complete this process as soon as

:26:38. > :26:41.the, that the -- his priority. That the two years to complete this is an

:26:42. > :26:50.arbitrary maximum and that countries which have left a political union,

:26:51. > :26:58.like Canada, Australia or India have done so in far less than two years.

:26:59. > :27:02.I defer to his knowledge of history on the other countries. What I will

:27:03. > :27:06.say to him is this. The Prile Minister has said that we whll not

:27:07. > :27:12.trigger article 50 until thd New Year. The reason for that is not

:27:13. > :27:17.unnecessary delay or wasting time. It is to make sure we get all the

:27:18. > :27:22.decisions absolutely right. He has heard in the last few minutds about

:27:23. > :27:26.some of the complexity involved in the Acquis Communautaire alone. So

:27:27. > :27:30.what we will do is we will trigger article 50 as soon as is re`sonably

:27:31. > :27:35.possible. I would rather be a month late and get it right than be a

:27:36. > :27:39.month early and get it wrong. We will do so as expeditiously as

:27:40. > :27:44.possible. The Prime Minister has said in clear terms that shd thinks

:27:45. > :27:51.the British people expect us to get on with this. Angela Eagle.

:27:52. > :28:00.Unravelling 40 years of close corporation within the European

:28:01. > :28:05.Union with 27 nation states is, as the right gent is learning, is very

:28:06. > :28:13.complex issue. -- the right honourable gentleman, and as he he

:28:14. > :28:21.give us a view of how that hs going and Kenny givers a few on workers

:28:22. > :28:26.prove rights, equal pay for equal value, weedy keeping that, with the

:28:27. > :28:30.EU laws guaranteeing pension payments if they are deferrdd wages

:28:31. > :28:35.still be recognised by this House? He talks about the sovereignty of

:28:36. > :28:41.Parliament. Will he give thhs Parliament much more of a s`y on the

:28:42. > :28:45.deal that is done? And is hhs government intending to givd the

:28:46. > :28:50.British people a say on the deal when it is done? I will start by

:28:51. > :28:55.saying that we got our instructions from the British people to do this

:28:56. > :29:01.in the first place. But she raises some serious issues. Yes, of course,

:29:02. > :29:06.my views on the importance of Parliamentary accountabilitx have

:29:07. > :29:09.not changed because I have loved four benches forward. I still

:29:10. > :29:14.believe that we should be as open with Parliament as it is possible to

:29:15. > :29:20.be in a negotiation. I am appearing before the Foreign Affairs Select

:29:21. > :29:25.Committee soon and undertakhng - and undertaking I made some time

:29:26. > :29:30.ago. I am doing the same with the House of Lords committee. On the

:29:31. > :29:34.question of employment rights, I would say that a very large

:29:35. > :29:39.component of the people who voted to leave the European Union cotld be

:29:40. > :29:44.characterised as the British industrial working class. And it is

:29:45. > :29:55.no part of my brief to undermine their rights. For a start. Nicky

:29:56. > :29:59.Morgan. Thank you, Mr Speakdr. I welcome the Secretary of St`te to

:30:00. > :30:03.his new role. I think he is right that we need to respect the result

:30:04. > :30:07.of the 23rd of June and he hs also right that people wanted further

:30:08. > :30:15.controls on immigration. Thdy don't feel confident in the immigration

:30:16. > :30:20.Wallasey is that we have had. I don't know -- policies that we have

:30:21. > :30:26.had. But the missing words `re single market. We will be arguing

:30:27. > :30:30.between access to the singld market and the freedom of people to come to

:30:31. > :30:34.this country. Whether the government set out its views on the fundamental

:30:35. > :30:41.point. I start from a disagreement with the honourable lady. The simple

:30:42. > :30:45.truth is, as I said earlier, that the negotiation over free trade with

:30:46. > :30:53.the European Union is something that will be to the benefit of both

:30:54. > :30:56.sides. Beneficial for us and the European countries themselvds. The

:30:57. > :31:00.question of immigration and control of immigration is a very high

:31:01. > :31:06.priority for this government as the Prime Minister has made plahn. So I

:31:07. > :31:10.am afraid that I don't agred with the fundamental tenet of thd

:31:11. > :31:14.question. I don't think that is a natural trade-off. The negotiation

:31:15. > :31:23.has got to be very much on what is in the mutual benefit of thhs

:31:24. > :31:31.country and the European Unhon. 45 Japanese companies operate hn Wales

:31:32. > :31:35.supporting some 6000 jobs m`inly in tech and manufacturing.

:31:36. > :31:39.Manufacturing itself is worth ? billion to the Welsh economx. What

:31:40. > :31:45.assurances can the government give to those companies and the workers

:31:46. > :31:52.that the Welsh economy will not be harmed by Brexit? It is the same

:31:53. > :32:00.assurance that I give to all my factory operations in the UK. The

:32:01. > :32:03.aim of this because the Asi`n - to all manufacturing operations. The

:32:04. > :32:09.aim of this negotiation is to get the best deal that we can. Getting

:32:10. > :32:13.access to the European markdts and also exploiting the best

:32:14. > :32:18.arrangements with the non-Etropean markets. On a manufacturing alone,

:32:19. > :32:26.the quantity of exports that we make to the European Union is exceeded by

:32:27. > :32:30.the exports we make to thosd countries with whom we have no free

:32:31. > :32:34.trade agreement at all. So once we get a free trade agreement, or many

:32:35. > :32:44.of them, as my right honour`ble friend will do, we won't sed

:32:45. > :32:52.downside, we will see opportunities. Oh, yes, a most exotic delicacy in

:32:53. > :32:56.the House, Mr Michael Gove. Thank you, Mr Speaker. Can I congratulate

:32:57. > :33:00.my friend on his long overdte return to ministerial office. In the seven

:33:01. > :33:08.short weeks since he has bedn in office alongside our new Foreign

:33:09. > :33:10.Secretary and our new Secretary of State for International trade, we

:33:11. > :33:17.have seen a record increase in service industries' growth, in

:33:18. > :33:24.manufacturing industry grows, a 3.3% increase in motor car sales, and

:33:25. > :33:28.also the Speaker of the US Congress, the promise of Australia and the

:33:29. > :33:32.Prime Minister of New Zealand pressing for free trade agrdements

:33:33. > :33:35.with this country while the deputy Chancellor of Germany has

:33:36. > :33:40.acknowledged that the EU- US trade deal is dead in the water. Does that

:33:41. > :33:44.not confirm that the 17 million people who voted to leave the

:33:45. > :33:48.European Union in this country know a darn sight more about economics

:33:49. > :34:02.and the members of the IMF, the OECD, the IFS and all these other

:34:03. > :34:09.experts who have egg on thehr face? My right honourable friend hs not

:34:10. > :34:13.known for understating his case But I would point out that it w`s 1 .5

:34:14. > :34:18.million people that made th`t judgment. And he is right. Luch of

:34:19. > :34:21.the doom and gloom, the fear mongering that went on before the

:34:22. > :34:33.referendum, has been proven wrong. That being said, I would not be

:34:34. > :34:37.quite so unalloyed optimisthc as he is because we are in a world in

:34:38. > :34:42.which there are a lot of economic pressures going on. That is why the

:34:43. > :34:47.meetings in China are going on now. So I think that he makes a point

:34:48. > :34:51.brilliantly, as always. And I agree with the main thrust of it but let's

:34:52. > :34:59.not get too optimistic before we close the deal. The Secretary of

:35:00. > :35:06.State said he wants to have the supremacy of this Parliament. If we

:35:07. > :35:12.are a sovereign, supreme Parliament, why is this Parliament not going to

:35:13. > :35:21.have a decision as to when we trigger article 50? We did, it was

:35:22. > :35:29.called a referendum act and it was passed by 6-1 in this Parli`ment. Mr

:35:30. > :35:34.Dominic Grieve. Thank you. Lay I congratulate my right honourable

:35:35. > :35:38.friend in his abysmal failure to avoid high office over ten xears. It

:35:39. > :35:44.is a great pleasure to see him in his place. May I also reasstre him

:35:45. > :35:50.that as someone who supportdd his Remain campaign, that I see it is my

:35:51. > :35:54.absolute duty to support thd government in giving effect to the

:35:55. > :35:59.public desire to leave the Duropean Union including supporting the

:36:00. > :36:06.limitation of article 50. Mx right honourable friend pointed ott that

:36:07. > :36:10.the matter is legally compldx. It also concerns the Acquis

:36:11. > :36:14.Communautaire, the conferring of private legal rights on indhviduals

:36:15. > :36:19.in this country which have the force of statute. And I have to s`y to my

:36:20. > :36:25.right honourable friend that the idea that those should simply be

:36:26. > :36:32.revoked by our exit, without parliamentary approval, trotbles me

:36:33. > :36:36.very much. And it appears to me to be an abdication of the

:36:37. > :36:43.responsibility of this Housd. I accept that in many cases, they have

:36:44. > :36:47.been created by Henry VIII's bills, the unsatisfactory nature of the EU.

:36:48. > :36:54.But if we cannot scrutinise them before Article 50 is invoked, we

:36:55. > :36:57.will -- we will be allowing the government to dispose of prhvate

:36:58. > :37:02.property rights, including intellectual property, by ddcree.

:37:03. > :37:07.And that troubles me very mtch. I would ask into uses ingenuity to

:37:08. > :37:11.find ways of resolving this dilemma. It's a pleasure to hear frol my

:37:12. > :37:18.right honourable friend long-time friend. But he is over interpreting

:37:19. > :37:25.what I have said. Article 50 is the beginning of this process, ht is not

:37:26. > :37:30.the end. There will be many opportunities for this Housd to

:37:31. > :37:35.scrutinise what we are about to do after article 50 takes Placd. But it

:37:36. > :37:38.is somewhat futile before wd actually start the negotiathons

:37:39. > :37:42.because some of those negothations have a direct impact on the right he

:37:43. > :37:47.is talking about. He can take it from me, I didn't spend all those

:37:48. > :37:53.years on the backbenches defending there is right, to give thel up now.

:37:54. > :37:59.Hilary Benn. Does the Secretary of State agree that it would bd a good

:38:00. > :38:03.idea to find some way of mahntaining a form of cooperation on foreign

:38:04. > :38:07.policy after we leave the Etropean Union because even after exht, we

:38:08. > :38:10.will still be very much part of Europe and there are a great number

:38:11. > :38:16.of challenges around the world on which we will have to continue to

:38:17. > :38:18.work with our European neighbours? The right honourable gentlelan is

:38:19. > :38:25.absolutely right. And the tradition in this country in maintainhng

:38:26. > :38:29.strong effective alliances, generally for good in the world at

:38:30. > :38:36.large is one that I fully expect to continue. Indeed, one aspect of the

:38:37. > :38:40.picture that of the -- of the picture of the future that H see is

:38:41. > :38:46.that Britain will continue to be a good global citizen as it always has

:38:47. > :38:54.been and cooperation on fordign policy is part of that. Cheryl

:38:55. > :38:58.Gillan. May I add my congratulations to my right honourable friend. It is

:38:59. > :39:04.good to see him in his natural habitat at the dispatch box.

:39:05. > :39:06.Businesses in the UK are not just concerned about access to the single

:39:07. > :39:15.market. They are concerned `bout other matters and a unitary patient

:39:16. > :39:22.and the proposed new unitarx patient caught, unified patient caught, has

:39:23. > :39:28.been eagerly anticipated. You currently have two files separate

:39:29. > :39:34.patience in separate countrhes. The UK -- you currently are reqtired to

:39:35. > :39:40.file a separate page ands in separate countries. The UK was due

:39:41. > :39:45.to ratify this agreement. Whll he confirm that the UK will ratify this

:39:46. > :39:48.agreement and we will continue to pay a full part in a British

:39:49. > :39:56.businesses benefit from being able to be part of a unified pathent

:39:57. > :40:00.authority. I will say this to my right honourable friend. For as long

:40:01. > :40:05.as we are a member of the Etropean Union, which will be at least two

:40:06. > :40:07.micro years, we will meet all our obligations and we will takd our

:40:08. > :40:15.responsibilities extremely seriously. Can I ask the Secretary

:40:16. > :40:18.of State to face the House. Sometimes his answers are not fully

:40:19. > :40:28.heard. They are hard by the person he is looking at. All I can do is

:40:29. > :40:38.plead inexperience, Mr Speaker. If not use! Yes! -- if not years. Now

:40:39. > :40:45.congratulate the Secretary of State on his return to the front bench and

:40:46. > :40:50.thank you for his answer to all those Labour constituencies who

:40:51. > :40:55.voted to leave and in making control of our borders the cornerstone of

:40:56. > :41:00.negotiations. Can I take hil back to the question that the member for

:41:01. > :41:04.Woking asks. Given the huge trade surplus Europe has with us, how does

:41:05. > :41:07.he think that power position will play out when we are talking about

:41:08. > :41:12.membership of or access to the single market?

:41:13. > :41:19.Well, it is early days to forecast negotiations but he is right there

:41:20. > :41:24.is a large trade surplus. One that was cited over and over agahn during

:41:25. > :41:30.the cause of the referendum campaign that was the Serb lost in c`rs from

:41:31. > :41:33.Germany alone for example. With the European Union facing econolic

:41:34. > :41:37.difficulties I don't think they will want to create problems for

:41:38. > :41:41.themselves in creating bilateral arrangements that hurt themselves.

:41:42. > :41:49.So, the way I think it will play out is over the course of the pdriod

:41:50. > :41:54.concerned people will start to focus on what their own national hnterest

:41:55. > :41:57.is. My experience of the European Union is that the commission makes a

:41:58. > :42:01.great deal of public statemdnts that at the end of the day it is the

:42:02. > :42:07.national interest of the individual countries that actually dechde the

:42:08. > :42:12.outcome. Can he confirm that since the UK will want to be able to

:42:13. > :42:16.negotiate new trade deals whth the rest of the world and has created a

:42:17. > :42:21.Department for that very purpose that it won't be able to relain a

:42:22. > :42:25.member of the customs union? I'm pleased to be asked a questhon by my

:42:26. > :42:30.right honourable friend. I spent the weekend reading his draft for open

:42:31. > :42:33.Europe, was it? I didn't agree with everything in it but as alw`ys with

:42:34. > :42:41.him what he had to say was insightful and wise. I recolmend

:42:42. > :42:48.people read pages ten, 11 and 1 . To come to put on the customs tnion.

:42:49. > :42:50.The membership of the custols union puts restrictions on varying

:42:51. > :43:01.possible degrees on what yot can do outside. So, we have to look at it

:43:02. > :43:05.carefully. There are a rangd of different types of customs tnion but

:43:06. > :43:14.that is exactly the sort of decision that we will resolve before we

:43:15. > :43:17.trigger Article 50. Last wedk the secretary of the visited Northern

:43:18. > :43:20.Ireland where he met political and business leaders and this wdek he

:43:21. > :43:25.will visit Dublin and in vidw of that, while it is true that the

:43:26. > :43:30.desire for a continued open border in Ireland is shared by manx, does

:43:31. > :43:34.the Secretary of State recognise that maintaining an open border in

:43:35. > :43:40.Ireland will require agreemdnt between Dublin, London, Belfast and

:43:41. > :43:45.Brussels and what steps has he taken to ensure that such an agredment

:43:46. > :43:53.will be possible? Well, it will primarily require a agreement

:43:54. > :43:59.between London, Belfast and Dublin. Brussels will have a say but in some

:44:00. > :44:03.respects, it is down to us, though. All I can say is that when H was in

:44:04. > :44:07.Northern Ireland last week dveryone was absolutely clear, all shdes no

:44:08. > :44:12.political divide or division of any sort on the need for an open border

:44:13. > :44:17.and to avoid a return to thd days of the hard border. There are other

:44:18. > :44:22.open borders that we will bd studying. One of them is Norway -

:44:23. > :44:26.Sweden. It is not identical. There was an open border before wd were

:44:27. > :44:29.members of the European Union. We also have the Common travel area

:44:30. > :44:32.before we were members of the European Union. There are w`ys to

:44:33. > :44:37.deal with this. Some may be technological, some may be political

:44:38. > :44:40.but we can and I think the Hrish government and all the political

:44:41. > :44:47.parties in Belfast are commhtted to making sure it happens. Can I

:44:48. > :44:52.welcome my right honourable friend to his place on the front bdnch and

:44:53. > :44:57.also say that I, too, accept the verdict of the British people, some

:44:58. > :45:01.52% who voted for us to leave the European Union. Yesterday, the

:45:02. > :45:05.Japanese government produce a 1 page document, very unusual, being

:45:06. > :45:11.very bold about their assessment of the grave dangers as they sde it of

:45:12. > :45:16.Brexit. There are many who would argue that if we retain our

:45:17. > :45:20.membership of the single market we can allay their fears, especially in

:45:21. > :45:25.relation to the financial sdrvices sector and the automotive sdctor.

:45:26. > :45:30.With great respect, I think we need some clarity now about wherd we see

:45:31. > :45:34.our membership of the singld market. Is he saying that this government is

:45:35. > :45:39.prepared to abandon that melbership of the single market? What H am

:45:40. > :45:48.saying is this government is looking at every option. The simple truth

:45:49. > :45:52.is, if a requirement of the membership is giving up control of

:45:53. > :45:56.our borders I think that makes it very improbable. What I will also

:45:57. > :46:00.say is this. What we are looking for in the words of the Prime Mhnister

:46:01. > :46:04.is a unique solution. One which matches the fact that we ard one of

:46:05. > :46:11.the largest trading countrids in the world. As a result, also we are a

:46:12. > :46:14.large market for large parts of very important industries in the European

:46:15. > :46:17.Union. I find it difficult to believe that over the coursd of the

:46:18. > :46:22.next two years or so we will not be able to find an outcome that

:46:23. > :46:32.satisfies not only our industries but those industry sponsored by

:46:33. > :46:36.Japan. It was a significant reason why my constituency voted to leave,

:46:37. > :46:40.because of free movement of labour and immigration. Can I ask him

:46:41. > :46:43.whether at the end of this process under no circumstances will free

:46:44. > :46:48.movement of labour be allowdd and he also said in his statement that they

:46:49. > :46:56.will bring the current rate of immigration to an end. What does

:46:57. > :47:01.that mean? I was frankly virtually verbatim quoting the Prime Linister,

:47:02. > :47:10.who said in terms that free movement as it is now cannot go on. Lr

:47:11. > :47:14.Speaker, thank you. My constituency voted more decisively than the

:47:15. > :47:18.country for Brexit and so mx constituents will welcome the Prime

:47:19. > :47:24.Minister and the secretary of the's clear view that we are going to

:47:25. > :47:28.Leave and do it decisively. Businesses in my constituency will

:47:29. > :47:32.also be wanting to get the right result for their exports so I think

:47:33. > :47:36.they will welcome the thoughtful and careful approach set up by the

:47:37. > :47:41.secretary of the and I urge him to continue that careful appro`ch to

:47:42. > :47:44.make sure we get this right, not rush to make decisions as the front

:47:45. > :47:47.bench opposite want us to when we are in danger of not getting the

:47:48. > :47:55.right deal for my constituents and for the country as a whole. I thank

:47:56. > :48:04.him for his question. I prolise I will take no lessons from the Labour

:48:05. > :48:09.Party in terms of organisathon! Can I press the secretary of st`te on

:48:10. > :48:15.the issue raised by the Right Honourable member for Brock stove.

:48:16. > :48:19.Japanese companies employing 14 ,000 people in the UK and the Japanese

:48:20. > :48:25.government said these companies need to maintain tariff free trade,

:48:26. > :48:30.consistency of regulation bdtween the UK and EU, passport rights for

:48:31. > :48:35.my natural services and continued access to EU workers. -- for

:48:36. > :48:39.financial services. To minilise uncertainty for these companies and

:48:40. > :48:43.their point to Leave employdes can he say whether he is going to

:48:44. > :48:54.prioritise those criteria and if not, which will he pursue? ,- to

:48:55. > :48:59.these vital employees I think we have made it clear. Those are

:49:00. > :49:05.issues, passports, access to markets, she names it. They are all

:49:06. > :49:09.issues that are being looked at and evaluated in terms of where the

:49:10. > :49:17.risks are. Take, for exampld, passport ring. I have consulted with

:49:18. > :49:21.the number of people in the city about passports. It is not really a

:49:22. > :49:26.single business and you get different views from each one. Some

:49:27. > :49:30.have different solutions. Wd have two assess all of that before we

:49:31. > :49:40.decide exactly how we organhse the strategy. It is straightforward but

:49:41. > :49:50.it is complex to calculate `nd complex to work out and we will do

:49:51. > :49:54.that. Can I congratulate my right honourable friend on securing his

:49:55. > :49:58.position. I also appreciate what he had to say about taking timd to get

:49:59. > :50:01.this right and building a n`tional consensus, because it is right

:50:02. > :50:05.regardless of how we voted on this we must make a success of this. Can

:50:06. > :50:09.I ask him whether he is confident now that there is cleared

:50:10. > :50:12.alleviation between the intdrests of his department, the Foreign and

:50:13. > :50:15.Commonwealth Office and international trade to make sure

:50:16. > :50:27.there is no conflict of intdrest between them so that you crddit

:50:28. > :50:30.can be given to the success of negotiations as they go on. In terms

:50:31. > :50:33.of parliamentary scrutiny, does he envisaged himself coming before a

:50:34. > :50:36.select committee based on hhs own department or some other

:50:37. > :50:41.arrangement? On that last point I would come it would be dangdrous for

:50:42. > :50:44.any secretary of state whild I was still on the backbenches to try and

:50:45. > :50:47.tell them how to organise their select committees. I would not have

:50:48. > :50:54.accepted it then and I won't do it now. In terms of relationshhps with

:50:55. > :50:59.the Foreign Office and the Department for International trade,

:51:00. > :51:03.we have very clear purposes. Very clear purposes. Mine is support for

:51:04. > :51:08.the Prime Minister, who is the leader of this exercise. Thd

:51:09. > :51:14.Department for International trade has the task of exploiting the

:51:15. > :51:20.enormous opportunity that this actually creates and the Foreign

:51:21. > :51:25.Office as he will know from his own experience has plenty on its plate,

:51:26. > :51:30.too, but will also be sympathetic and supportive in establishhng the

:51:31. > :51:33.relationships and building the alliances that will deliver a

:51:34. > :51:42.positive outcome at the end of these two years. Can I congratulate the

:51:43. > :51:46.Secretary of State on his appointment. In March the Sdcretary

:51:47. > :51:50.of State for Scotland stated our access to the single market of 00

:51:51. > :51:56.million people reduces costs for Scottish businesses by removing

:51:57. > :52:02.barriers to the export markdt. Can I ask him what evaluation that he has

:52:03. > :52:08.made on the impact of exiting the EU to the Scottish economy? It is a

:52:09. > :52:13.pleasure to hear the Honour`ble Lady and my old ally on the subjdct. We

:52:14. > :52:19.haven't yet done our calcul`tion but we will. The simple truth is, she

:52:20. > :52:33.crystallises it well. The sort of task we had to do. That is... The

:52:34. > :52:41.honourable lady is trying to give advice, I suggest she focusds on her

:52:42. > :52:48.own party. That is the sort of thing we have two assess and we whll do

:52:49. > :52:53.carefully. I intend to deliver on our undertaking that we will make

:52:54. > :52:59.sure that this outcome servds all parts of the United Kingdom. I was

:53:00. > :53:03.very grateful that he appeared to accept the principle that when we

:53:04. > :53:08.repeal the European communities act we should try and put EU law into UK

:53:09. > :53:13.law. Given that EU law currdntly applied in the UK does he accept any

:53:14. > :53:17.complexity apparent today would fly whether or not we repeal th`t

:53:18. > :53:22.European communities act since that body applied and will he be careful

:53:23. > :53:31.that paid advisers are not bringing forward complexity in order to

:53:32. > :53:34.extend their fees? I know there has been a revolution in employlent law

:53:35. > :53:43.but I don't think any of my civil servants are paid by the dax. I take

:53:44. > :53:50.his point. We will make surd that we consult widely on that. We will not

:53:51. > :53:54.rely on a single source. Thhs is part of the issue. So many of the

:53:55. > :53:57.legal and technical issues we deal with, we get different sets of

:53:58. > :54:01.advice from different components of the same industry. The same is true

:54:02. > :54:12.here and that is what we ard going to do. We will resolve it properly.

:54:13. > :54:16.I campaigned to Remain but H accept the outcome of the referendtm and I

:54:17. > :54:22.accept the views of the majority of my constituents. He has alw`ys

:54:23. > :54:25.defended from the backbenchds and the front bench parliamentary

:54:26. > :54:30.sovereignty. That is why I `m struggling to understand whx he is

:54:31. > :54:36.seeking to deny members of this house is an opportunity to feed in

:54:37. > :54:39.the views of their constitudnts on the government's negotiating

:54:40. > :54:43.strategy prior to triggering Article 50. This would not be to stop the

:54:44. > :54:48.triggering of Article 50, which I will vote for people, but it will be

:54:49. > :54:52.to shake the negotiating strategy. She is misinterpreting what has been

:54:53. > :54:56.set. We are saying is there is no point in having a vote in the House

:54:57. > :55:01.on Article 50 because all it can do is stop the instruction the British

:55:02. > :55:07.people have already given. That is not to say we are not going to have

:55:08. > :55:11.debates or select committees. That we're not going to have and indeed I

:55:12. > :55:17.am accessible to everybody hn this house from all sides. I do not see

:55:18. > :55:20.that as being a barrier to her bringing forward concerned that her

:55:21. > :55:28.constituents. I encourage hdr to do so as soon as possible. Can I join

:55:29. > :55:30.the chorus welcoming him to his post and welcomed the statement by the

:55:31. > :55:34.Prime Minister about Britain becoming a global leader whdn it

:55:35. > :55:40.comes to free trade. Can I heard him to follow the example of Japan and

:55:41. > :55:44.every other non-European melber of the G20 in engaging in free trade

:55:45. > :55:51.deals and negotiations, which is never to give up national control

:55:52. > :56:00.over immigration or pay a fde. My old friend is exactly right.

:56:01. > :56:05.The most successful countrids in the world in establishing free-trade

:56:06. > :56:09.deals might surprise members of this House, places like Chile or South

:56:10. > :56:13.Korea. And they never, ever give up anything other than the accdss to

:56:14. > :56:25.their own market in exchangd for freed trade deals. They don't give

:56:26. > :56:28.up the money. Can I agree whth the right honourable gentleman, that the

:56:29. > :56:32.British people made a decishon which is one we must respect and H'm

:56:33. > :56:35.certainly not arguing for another referendum. We need to make the best

:56:36. > :56:38.of those negotiations, but xou will no doubt know that there is

:56:39. > :56:43.uncertainty, certainly in the north-east of England about the

:56:44. > :56:47.future of EU structural funds. Can he guarantee me today that those

:56:48. > :56:52.funds once we've come out of the EU will be replaced by the Govdrnment?

:56:53. > :56:57.The first thing is I can't speak for a future Government, that would be

:56:58. > :57:02.beyond the next election. Btt I promised another member on that side

:57:03. > :57:08.of the House that will put hn the library from the Chancellor

:57:09. > :57:12.underwriting many of the structural funds, research grants and the

:57:13. > :57:15.Common agricultural policy funding that is already in place. And if he

:57:16. > :57:30.looks at that carefully, is that he does that than rely on my r`ther

:57:31. > :57:33.inaccurate estimates. Thank you Mr Speaker, I welcome at my right

:57:34. > :57:37.honourable friend to his post. Though the title was never the stuff

:57:38. > :57:42.of my dreams. Nevertheless, it is a new dawn and a new day and we have a

:57:43. > :57:46.job to do. I'd like to asked you, what has he done so far abott the

:57:47. > :57:49.university sector which is struggling with research and

:57:50. > :57:52.development issues and conshdering the free movement of people issues

:57:53. > :58:02.and thinking also buy the shngle market? Firstly, the Chancellor made

:58:03. > :58:06.some arrangements which helped in the current circumstances. The

:58:07. > :58:11.student loan companies made arrangements and I saw univdrsities

:58:12. > :58:16.myself the other day to find out at the concerns they have. I think --

:58:17. > :58:19.Ido Vimy can be accused of not paying proper attention to that

:58:20. > :58:23.sector, we are very candidatures -- conjures it is sensitive in these

:58:24. > :58:26.terms. As for the title my department, I don't know if he was

:58:27. > :58:36.the Wyke that ended up callhng the Department ex, but thank yot very

:58:37. > :58:39.much. 15% of academics are currently EU citizens. We want more. What is

:58:40. > :58:51.being done to give longer-tdrm security? The movement of academics,

:58:52. > :58:54.researchers in particular, hn and out of British universities, and

:58:55. > :59:00.today's entry to the Europe`n Union by a very long margin. Brit`in is a

:59:01. > :59:03.science superpower. We are ` science superpower standing on our own to

:59:04. > :59:12.feet and I will continue after we leave the EU as well as now.

:59:13. > :59:17.Congratulations to my right honourable friend on his

:59:18. > :59:20.appointment. Can I remind hhm that the Remain campaign was

:59:21. > :59:23.characterised by a campaign to spread fear and uncertainty about

:59:24. > :59:29.the future of this country `nd they are still at it!, yes, they still at

:59:30. > :59:32.it. And they're trying to m`ke this process is complicated and

:59:33. > :59:38.protracted as possible to try and frustrate it. Can warn him, that in

:59:39. > :59:41.fact it would be a mistake to try and agree everything about our new

:59:42. > :59:46.relationship with the Europdan Union by the time we leave, because

:59:47. > :59:48.leaving it is but a first step toward establishing a new

:59:49. > :59:51.relationship with our Europdan partners and towards our

:59:52. > :59:54.establishments with a new relationship with the rest of the

:59:55. > :59:58.world. And what the business community and the rest of the

:59:59. > :00:03.country want and the Europe`n Union as well, is speed and certahnty as

:00:04. > :00:09.quickly as possible. I hope he wasn't accusing me of being a member

:00:10. > :00:13.of the Remain group. But ovdr the summer as I was poring over the vast

:00:14. > :00:19.tomes that come with this job, was the tendency to blame everything on

:00:20. > :00:25.Brexit. Everything ranging from bank lay-offs which were nothing to do

:00:26. > :00:28.with it, through to the state of the Italian bond markets. So he's quite

:00:29. > :00:34.right in there. The truth is, we have to get this right. We will do

:00:35. > :00:38.it as expeditiously as posshble We will not delay a single day more

:00:39. > :00:44.than necessary to do the job we have too. But it is a complicated and

:00:45. > :00:52.extensive relationship which we have two untangle and we will do so and

:00:53. > :00:56.in good time. The two months ago I asked the Home Office minister for

:00:57. > :01:00.urgent clarification on the EU nationals of residence in Britain

:01:01. > :01:04.including the 36,000 of thel in Westminster. They are peopld going

:01:05. > :01:06.about their jobs and setting up businesses and they need

:01:07. > :01:10.confirmation of their status. I was told that this was going to be a

:01:11. > :01:13.priority. What did they need confirmation of their status. I was

:01:14. > :01:16.told that this was going to be a priority. What did he mean by that?

:01:17. > :01:20.I will answer that question, but first, let me say that one of my

:01:21. > :01:24.concerns about that argument was that quite a lot of European Union

:01:25. > :01:27.citizens who are in Britain were being unnecessarily frightened.

:01:28. > :01:31.They're in mind that the le`ve to remain is pretty much autom`tic if

:01:32. > :01:36.you got a clean criminal record after five years. And citizdnship

:01:37. > :01:40.after six years. And this process is not going to happen for two years,

:01:41. > :01:45.so if you've been here for free you're in a pretty safe place.

:01:46. > :01:52.However, the Prime Minister and I have both said we want is to provide

:01:53. > :01:55.a generous guarantee to European Union citizens in this country who

:01:56. > :02:00.are already here and I am confident that can be delivered so long as we

:02:01. > :02:09.get proper, civilised treatlent for British citizens abroad who are

:02:10. > :02:11.after all, our responsibility, too. Can I congratulate my right

:02:12. > :02:17.honourable friend on his appointment. There could be nobody

:02:18. > :02:20.better for the job. In order to help the benches opposite who ard badly

:02:21. > :02:25.out of touch with working class voters they once claimed to

:02:26. > :02:28.represent, would he agree that people voted in the referendum to

:02:29. > :02:33.Leap because they wanted to control immigration, they wanted to stop

:02:34. > :02:38.handing over more than ?10 billion a year to the European Union `nd they

:02:39. > :02:41.want the laws to be decided for this country in this House and not

:02:42. > :02:47.Brussels? And will he therefore make a commitment that in his

:02:48. > :02:51.negotiation, the red line is for him will be full control over

:02:52. > :02:56.immigration, no contribution to the EU Budget and that all laws will be

:02:57. > :03:03.decided in this House and non-in the European Union? Somebody on the

:03:04. > :03:14.front bench mutter that you should be all right with that. I shall not

:03:15. > :03:21.say who. I'd emerged from sdcond guessing our negotiating position

:03:22. > :03:29.for the Labour Party and I will dimmer in this case. I will say

:03:30. > :03:33.this, the decision of the British people, I think, was first `nd

:03:34. > :03:36.foremost about control of otr own destiny. Over and above everything

:03:37. > :03:49.else, and that is what we are seeking to return. The Secrdtary of

:03:50. > :03:57.State is immensely... And does not need to imitate a turnstile. Can

:03:58. > :04:03.also welcome the secretary of States to his police and said to hhm that

:04:04. > :04:08.many of us this afternoon w`nt a rather more detail than a fdw

:04:09. > :04:11.reheated sound bites. We know the old slogans about Brexit me`ns

:04:12. > :04:17.Brexit and what we got this afternoon was an essay that waffle

:04:18. > :04:19.means a waffle. Can I commenced in the approach of the Japanesd

:04:20. > :04:25.Government, which is to spend the last few weeks and not just setting

:04:26. > :04:29.up a commission, but as reported its results. I hope that diligence and

:04:30. > :04:35.speed will inspire his work in his department in the months to come. I

:04:36. > :04:42.want to press him on his answer to my right honourable friend. He made

:04:43. > :04:48.a big noise about is our mission to restore Parliamentary. Will he give

:04:49. > :04:55.House a vote on the final p`ckage for Brexit whenever and howdver it

:04:56. > :05:00.is finally negotiated? Firstly, let me say on this issue of det`il, he

:05:01. > :05:04.should know well that is wh`t we are doing is not simply looking at the

:05:05. > :05:09.interest of a limited number of companies and banks, which hs

:05:10. > :05:13.obviously the issue for the Japanese Government, we are looking `t the

:05:14. > :05:18.interests of the whole economy. So we will take just a touch longer and

:05:19. > :05:24.given his prior experience, he should know that and know it well.

:05:25. > :05:29.Now, in terms of the position with respect to Parliamentary, I suspect

:05:30. > :05:33.a great deal of things will be brought before the House during the

:05:34. > :05:36.course of the negotiation and not just at the end and there whll be

:05:37. > :05:46.plenty of opportunity to both speak and vote on it. They are very

:05:47. > :05:52.welcome of appointment of mx right honourable friend and indeed of the

:05:53. > :05:57.Foreign Secretary and international trade Secretary certainly shows the

:05:58. > :06:01.Prime Minister mean is what she says and that Brexit will really happen.

:06:02. > :06:06.But some people on the losing side hope to sabotage the result of the

:06:07. > :06:12.referendum by delaying the process indefinitely. So is my right

:06:13. > :06:18.honourable friend absolutelx confident that come what max, the UK

:06:19. > :06:26.will be outside the European Union well before the date of the next

:06:27. > :06:33.general election? I've said plainly, this will be... We won't trhgger

:06:34. > :06:38.Article 50 before the end of this year, but we will trigger it as

:06:39. > :06:44.expeditiously as possible. The process takes two years. Extending

:06:45. > :06:48.it takes unanimity amongst dvery other member of the European Union.

:06:49. > :06:59.He can make his own judgment on both the probability of that and the

:07:00. > :07:01.arithmetic that delivers. The people of Stoke on Trent voted

:07:02. > :07:07.overwhelmingly to leave the European Union. I will therefore work

:07:08. > :07:13.tirelessly and do everything I can to make sure we give the best

:07:14. > :07:16.efforts and get the best de`l out of that exits. But to help me `nd other

:07:17. > :07:22.members on both sides of thhs House to do that, can we please h`ve

:07:23. > :07:25.firstly in the House of Comlons library, details of what is going

:07:26. > :07:33.on, what is being looked at, timetables, rather than a vdry

:07:34. > :07:36.generalised explanation tod`y? And secondly, can I put an earlx bid in

:07:37. > :07:42.that he metered members of Parliament across the House in North

:07:43. > :07:49.Staffordshire to hear first,hand the issues of great concern to those who

:07:50. > :07:52.voted for exit as well as others in our city and just outside? Two

:07:53. > :08:02.things I would like to say to the honourable gentleman. I takd very

:08:03. > :08:05.seriously... When I told by the British industrial working class

:08:06. > :08:10.voting for Brexit, it was hhs seat I had in mind and I take that very

:08:11. > :08:15.seriously. I take those votds, those people and their lives are very

:08:16. > :08:20.seriously indeed, so I will see his group with the specific aim of

:08:21. > :08:25.identifying their concerns, worries, futures, prospects and opportunities

:08:26. > :08:31.that go with it. To that end, I will also do what I can to make this

:08:32. > :08:36.process as open as possible. It is in negotiation. You don't always

:08:37. > :08:40.play cards with everything turned up, he will understand that.

:08:41. > :08:46.Nevertheless, I will do what I can to make it as open as possible. He

:08:47. > :08:51.said what I said was general, but I've been talking about the process.

:08:52. > :08:54.The department is 180 peopld and has quadrupled since August. Thhs is a

:08:55. > :08:58.fast developing process and I mean it to be open, that's why I've asked

:08:59. > :09:02.for this statement on the fhrst day back so the process can be open for

:09:03. > :09:13.everybody in the House and that is what I will do. Perhaps we could

:09:14. > :09:18.start with him. Chi welcome the Secretary of State to his position,

:09:19. > :09:22.not least because he headed up. . One of the drawbacks of him being

:09:23. > :09:29.made Secretary of State, he can no longer whether green cardig`n. Could

:09:30. > :09:32.he say, he's been as clear `s he can, and this is one of his great

:09:33. > :09:40.advantages, he is straight talking, but cute -- could he give hhs best

:09:41. > :09:44.exhibit -- estimate now of the date he thinks we will leave? We will not

:09:45. > :09:54.hold him to it, but please give us a date. A very good try. I'm sure that

:09:55. > :10:03.in his youth, my honourable friend was a great seducer, but I will not

:10:04. > :10:10.be seduced. I don't think wd want too much information on that front.

:10:11. > :10:15.The right honourable gentlelan has all been great if end and throughout

:10:16. > :10:20.this afternoon, he has emph`sised that it is complex and that

:10:21. > :10:24.trade-offs remain. That's why so incomprehensible to many of us that

:10:25. > :10:29.he does not want the House to have a vote before the path is chosen for

:10:30. > :10:34.how to trigger Article 50. @nd I wonder if he is aware of thd

:10:35. > :10:40.statement made by the former Foreign Secretary that it would be sensible

:10:41. > :10:46.to endorse the start of the negotiations, a defeat for terms of

:10:47. > :10:53.exit after lengthy negotiathons could leave the UK in limbo? I

:10:54. > :10:58.always listen carefully to ly fellow Yorkshireman, but let me sax this to

:10:59. > :11:02.the honourable lady. The re`son for the question of Article 50 not been

:11:03. > :11:06.put to a vote in the Commons is this, I am a great supporter

:11:07. > :11:08.Parliamentary democracy bec`use it's our manifestation of democr`cy under

:11:09. > :11:19.those circumstances. We have 17.5 million direct votes

:11:20. > :11:24.that tells us what to do and I cannot imagine what would h`ppen to

:11:25. > :11:28.this house in the event it overturned 17.5 million. I want this

:11:29. > :11:31.house to make decisions that are effective and bike into the process

:11:32. > :11:44.and that is what will happen. May I stress to him the importance

:11:45. > :11:49.of achieving fairness when ht comes to our immigration policy. Does he

:11:50. > :11:53.agree that whatever criteri` guides the policy, we must have an

:11:54. > :11:56.immigration policy that no longer discriminates against the rdst of

:11:57. > :12:02.the world outside the EU as the present policy dials. I think my

:12:03. > :12:08.honourable friend makes a good point, and he has campaigned on this

:12:09. > :12:13.for a long time. All I can say, bear in mind I am not Home Secretary my

:12:14. > :12:18.job is to bring the power b`ck so that the Home Secretary can exercise

:12:19. > :12:25.it. I am sure she will listdn to what he said and pay attenthon to

:12:26. > :12:29.it. Today the Japanese government provided the British people with

:12:30. > :12:36.detail on what Brexit means. I think most hoped we would hear more this

:12:37. > :12:41.afternoon but what we have heard has been sadly lacking and can be best

:12:42. > :12:46.described as the ladybird gtides to exiting the European Union. Like

:12:47. > :12:51.many honourable members I h`ve spoken with major employers in my

:12:52. > :12:55.constituency, particularly the financial sector in Edinburgh and

:12:56. > :13:01.the universities which are huge employers. They are keen to see a

:13:02. > :13:05.detailed explanation of what Brexit will mean for them, their

:13:06. > :13:09.institutions and their employees. When is the minister going to give

:13:10. > :13:16.this house that sort of a ddtailed explanation? The first point to make

:13:17. > :13:23.is we have been in the EU over 0 years and the links are complicated.

:13:24. > :13:27.The effects on society are complex and some quite expensive to

:13:28. > :13:34.replicate. She will get the information she is asking for but as

:13:35. > :13:38.it comes out, as we generatd it and it will be accurate and useful. A

:13:39. > :13:46.few months will not be a problem for her constituents. May I also join in

:13:47. > :13:50.welcoming the three secretaries of state to the front bench, lhke

:13:51. > :14:01.magnificent dreadnoughts at anchor we wait for them to set sail in

:14:02. > :14:03.forcing the Pax Britannica. Can I bring attention to creative

:14:04. > :14:09.industries that grow three times faster than the economy as ` whole

:14:10. > :14:13.and rely to an extent on EU regulations like the poetic`lly

:14:14. > :14:18.named audiovisual media services director. Can I nudge their

:14:19. > :14:24.interests near to the front of the queue as the Secretary of State

:14:25. > :14:30.takes is out of the EU? I h`ve said that he almost does not need to

:14:31. > :14:35.nudge. I am conscious of thd issues, particularly for the film industry,

:14:36. > :14:39.a mobile industry in capital and personnel terms and bomb we are

:14:40. > :14:45.looking at very soon. It is one of the round tables I spoke about. The

:14:46. > :14:53.Secretary of State is well-placed to address problems faced with EU

:14:54. > :14:58.rules. It sounds from his answers as though he thinks it is posshble that

:14:59. > :15:04.at the end of the negotiation Britain will continue to be a member

:15:05. > :15:07.of the single market. Can hd confirm he thinks that's possible and in

:15:08. > :15:15.what circumstances that would be the outcome? What I said and I `pologise

:15:16. > :15:20.if I misled him, is that I `m seeking to get the best possible

:15:21. > :15:26.access which does not necessarily mean being a member of the single

:15:27. > :15:29.market. There are plenty of countries who have access whthout

:15:30. > :15:38.making concessions we have had two as a member of the EU. It is good to

:15:39. > :15:43.see the three Brexit Cabinet ministers sitting together, working

:15:44. > :15:48.for one nation with one refdrendum and one clear decision, despite the

:15:49. > :15:52.fact that some people including Tony Blair, who offered a referendum and

:15:53. > :15:57.took it away, has said therd is a chance we might still be melbers of

:15:58. > :16:02.the EU. Can he make clear wd are going to be leaving the EU hn its

:16:03. > :16:08.entirety, and when does he dnvisage us getting our hands on the Brexit

:16:09. > :16:15.dividend? The membership money, so we can spend it on our priorities?

:16:16. > :16:26.The answer is yes and at sole point, once we have left. May I welcome the

:16:27. > :16:30.Secretary of State to his position and thank him for one of his early

:16:31. > :16:33.visits to Northern Ireland, but will he ensure he always talks to the

:16:34. > :16:39.official opposition and when listening to them, what I h`ve

:16:40. > :16:44.picked up from businesses is uncertainty that we have talked

:16:45. > :16:48.about, but it is key, particularly for Northern Ireland, we do not slip

:16:49. > :16:53.into recession because we are always on the edge of it. Will he keep that

:16:54. > :17:00.for most tears mind? Very mtch so. One group I met in Northern Ireland

:17:01. > :17:06.was the business advisory group who talked about that. We were there

:17:07. > :17:17.sadly on the day of the Catdrpillar announcement. We will have that

:17:18. > :17:25.clearly front and centre. C`n I congratulate him on his restrrection

:17:26. > :17:29.and he spoke about the valud of free trade with the European Union when

:17:30. > :17:35.we leave, that trade consists of trading goods and services `nd

:17:36. > :17:39.barriers to the trade are t`riff barriers, which have been dhscussed,

:17:40. > :17:45.and nontariff barriers that have received less attention. Wh`t

:17:46. > :17:49.reassurance can he give to businesses in the services sector,

:17:50. > :17:53.which is important and growhng, the trade with the EU which is

:17:54. > :18:04.important, that their interdsts in continuing to have nontariff

:18:05. > :18:09.barriers removed will continue? I thank him for that question, he is

:18:10. > :18:17.the author of the resurrecthon line I cited. I am tempted to usd the

:18:18. > :18:21.comment about Western civilhsation, we are talking about the single

:18:22. > :18:28.market and services, it would be a good idea. It is patchy. Ond of the

:18:29. > :18:31.major parts of this exercisd is to establish what the nontariff

:18:32. > :18:37.barriers are and when they can be resolved, so I take his point on

:18:38. > :18:45.board. It is an area where we have a surplus with Europe and we want to

:18:46. > :18:49.keep that surplus. The industrial working class of Western Barton show

:18:50. > :18:55.voted overwhelmingly to rem`in in the EU. And it voted to become a

:18:56. > :19:00.part of a sovereign independent Scotland. With that I would welcome

:19:01. > :19:08.the Secretary of State to the position. One member posed `n

:19:09. > :19:12.interesting question that rdquires further investigation, in

:19:13. > :19:18.relationship to our relationship with Ireland. It is not just

:19:19. > :19:27.economic, but a social and familial relationship shared across this

:19:28. > :19:32.chamber and is reciprocal. When the Secretary of State meets possibly

:19:33. > :19:35.the Foreign Minister Islands in Dublin and the Taoiseach hilself

:19:36. > :19:39.possibly will he return to the house and make a statement on discussions

:19:40. > :19:45.had in relation not only to the Common travel area, but to be

:19:46. > :19:54.Ireland Act of 1949 so that those relationships can be continted when

:19:55. > :19:59.this part of the UK leads the EU? What I would say is this. When the

:20:00. > :20:06.United Kingdom leaves the Etropean Union, the Common travel arda will

:20:07. > :20:13.continue. Can I welcome my right honourable friend to his post? The

:20:14. > :20:18.fishing industry was once the proud and large industry and envidd around

:20:19. > :20:22.the world, not least in Scotland. Many of my constituents who are

:20:23. > :20:28.fishermen see leaving the ET as an opportunity. Can I ask him to

:20:29. > :20:32.reassure them and other fishermen that this will be high on hhs list

:20:33. > :20:40.of priorities, including potentially taking the 200 mile limit b`ck? One

:20:41. > :20:51.of the groups I have met is the fishermen. The answer to thd

:20:52. > :20:55.question about priorities is yes. What form it takes will depdnd on

:20:56. > :21:00.the interest of our fishermdn because they have interests in other

:21:01. > :21:08.waters. I will not say yes to his second suggestion, but in tdrms of

:21:09. > :21:13.priority, absolutely. Whethdr we were on the side of remain or leave,

:21:14. > :21:18.I think we should now be on the side of doing things in the interests of

:21:19. > :21:21.the British public and in that context the Secretary of St`te

:21:22. > :21:27.mentioned the rights of EU citizens and that he inferred we could arrive

:21:28. > :21:31.at a general settlement. People worry about the future, whatever the

:21:32. > :21:37.legal framework. That these negotiations with member st`tes and

:21:38. > :21:42.the rights of UK citizens there and here is top priority becausd these

:21:43. > :21:47.deserve to be settled as soon as possible. I agree it is a hhgh

:21:48. > :21:55.priority. If I can accelerate it, I will. I welcome my right honourable

:21:56. > :22:01.friend to his post, he is the right man to do this important work. You

:22:02. > :22:05.will appreciate economic illiteracy of the EU, writing very big checks

:22:06. > :22:09.to middle income and developing countries to bail out their flailing

:22:10. > :22:19.economies, on the one hand, and on the other, giving unequal access to

:22:20. > :22:22.European Union markets. That is clearly hampering their ability to

:22:23. > :22:32.be equal partners rather th`n supplicants. How can Britain do

:22:33. > :22:38.better? I take my right honourable friend's point very well. I am

:22:39. > :22:42.loathe to offer free advice to people who are negotiating partners

:22:43. > :22:49.when it is a central part of their own policy to put right. Dods the

:22:50. > :22:54.Secretary of State accept wd will never attain the goal of behng a

:22:55. > :22:58.beacon of free trade unless the British financial services hndustry

:22:59. > :23:06.retains full access to the single market? That is one element of free

:23:07. > :23:09.trade. Of course we want to maintain as much access as is possible and

:23:10. > :23:17.that is what negotiations whll aim at. I welcome him to his pl`ce on

:23:18. > :23:20.the front bench and his Secretary of State colleagues either sidd. We

:23:21. > :23:25.have faith in what they will deliver. Would he agree that not

:23:26. > :23:30.liking the outcome of a democratic vote is no justification to seek to

:23:31. > :23:37.overturn the outcome of a ddmocratic vote, however much sympathy we have

:23:38. > :23:41.for honourable members opposite for their forthcoming democratic vote?

:23:42. > :23:44.This is an opportunity, is ht time to put the arguments of the

:23:45. > :23:48.referendum behind us and back Britain's government in getting a

:23:49. > :23:53.good deal? We are changing the direction of our country, this is

:23:54. > :23:59.Britain's negotiation and this house should unite behind them. As always,

:24:00. > :24:08.my honourable friend speaks for England. Greater Lincolnshire and

:24:09. > :24:14.Peterborough FSB briefed th`t confidence of their members is at a

:24:15. > :24:18.four-year low and they want to make Brexit work and are keen to work

:24:19. > :24:23.with government to bring it about and are keen to retain access to the

:24:24. > :24:31.single market and to retain ease of access to European labour. Lost

:24:32. > :24:37.they want certainty. What road map to certainty can he give thdse

:24:38. > :24:46.members? Let me deal with the issue of the immediate uncertaintx a loss

:24:47. > :24:48.of confidence. There was a downward dipping confidence after Brdxit

:24:49. > :24:55.partly because of the terrible things that were said to happen but

:24:56. > :24:59.they have not happened. In terms of access to markets, I am on their

:25:00. > :25:06.side. That is what we will seek to do, but we have to take on board

:25:07. > :25:11.that the level of immigration into the UK from the EU has causdd social

:25:12. > :25:15.issues, maybe economic issuds for low-paid workers, and we have to

:25:16. > :25:22.balance that against corpor`te interest and that is what wd will

:25:23. > :25:31.try to do. As someone who h`s supported Brexit, can I congratulate

:25:32. > :25:35.and offer success to the crdation of the Department the Secretarx of

:25:36. > :25:39.State heads. Can I ask him when he hopes to close down the Dep`rtment

:25:40. > :25:48.and returned the function of the Minister for Europe to the Foreign

:25:49. > :25:49.Office? My desire to return to the backbenches is overwhelming and so

:25:50. > :26:03.it will be as soon as I can. The Secretary of State will be well

:26:04. > :26:07.aware of the tampon tax which makes the subject of the EU oblig`tions

:26:08. > :26:11.and not just hours of EU melbership. Can you sell the House whether any

:26:12. > :26:15.exit agreement with the EU could include requirements on the UK to

:26:16. > :26:19.set a minimum rates of VAT dven after our membership ends and in

:26:20. > :26:22.that scenario, can he give ts an absolute guarantee that we will be

:26:23. > :26:29.allowed to zero rate women's sanitary products? What she just

:26:30. > :26:33.described was one of the many reasons for wanting to leavd the

:26:34. > :26:37.European Union. Being able to set your own tax rate is eight

:26:38. > :26:47.fundamental of an independent country and that's what we want to

:26:48. > :26:52.be once more. I warmly welcome my right honourable friend and the

:26:53. > :26:56.front bench team making a stccess Brexit. Can the Secretary of State

:26:57. > :27:00.said our discussions he's h`d the EU trade commissioner who has taken a

:27:01. > :27:04.much tougher line on Articld 50 We all agree it is in everyone's

:27:05. > :27:07.interest to get a negotiations before we exit, but in a recent

:27:08. > :27:19.interview, she did indicate that isn't the case. -- or did not

:27:20. > :27:24.indicate. European law in this case means not putting a free-tr`de

:27:25. > :27:30.agreement into effect until we leave. In terms of other discussions

:27:31. > :27:35.and negotiations, commissioners have tried to say we can't speak to other

:27:36. > :27:40.members of the European Union, which is sort of silly. We are an ongoing

:27:41. > :27:42.member of the European Union, take our responsibilities seriously and

:27:43. > :27:48.is implausible that in our conversations with them we will not

:27:49. > :27:54.talk about what is coming ndxt. I am surprised by the right honotrable

:27:55. > :27:58.gentleman's assertion about the mandate for Brexit is overwhelming.

:27:59. > :28:01.Can I remind him that 16 and 17-year-olds whose future as

:28:02. > :28:08.European citizens will be most affected by this decision wdre

:28:09. > :28:12.denied a vote and to as, whhle he is speaking with stakeholders, what

:28:13. > :28:21.steps will it take to ensurd these young people are now given ` voice

:28:22. > :28:29.and a say in their future? One of the aspects of democracy is that one

:28:30. > :28:35.side wins and one side does not win. And there was a sort of punt from

:28:36. > :28:40.the Labour front bench, the young people, that is certainly not true.

:28:41. > :28:42.What we'll see in the futurd is a bigger, great and more glorhous

:28:43. > :28:45.country than we have alreadx answered because he doesn't

:28:46. > :28:51.understand that, does not mdan they lost. To come back to her point of

:28:52. > :28:57.course, they may feel at thhs point that their views did not win the

:28:58. > :29:00.day. That is part of the outcome of a democracy and it is our job to

:29:01. > :29:10.make sure they gain from thd outcome of that decision. Thank you, Mr

:29:11. > :29:12.Speaker. In warmly welcoming my right honourable friend to his very

:29:13. > :29:20.well deserved position, can I implore him to have early

:29:21. > :29:23.discussions with our Home Sdcretary and the Secretary of State for

:29:24. > :29:28.Transport and others to enstre that the words European Union ard removed

:29:29. > :29:34.at the earliest possible molent from UK passports and driving licences? I

:29:35. > :29:43.will draw his comments to their attention. I have to say th`t that

:29:44. > :29:49.statement was 15 minutes of meaningless waffle from cludless

:29:50. > :29:54.Tory Government to have absolutely no plan for this accidental Brexit.

:29:55. > :29:59.There's nobody just dictating to the people of Scotland when it comes to

:30:00. > :30:07.Brexit. 62% of the Scottish people voted to Remain and every shngle one

:30:08. > :30:16.of the authorities. How shotld their views now be progressed? And a

:30:17. > :30:21.million Scots voted to Leavd and nobody, despite the partisan use of

:30:22. > :30:29.this argument by the Scottish Nationalists party for their own

:30:30. > :30:32.interests, despite that, thd simple truth is that the Scottish view on

:30:33. > :30:38.whether they should have independence or not has not changed

:30:39. > :30:49.by one jot. And that is I think an answer to the honourable gentleman's

:30:50. > :30:56.waffle. Congratulations on the resurrection after 18 years. It

:30:57. > :30:58.gives the rest of us hope. Ht was on blatant lie linkage that

:30:59. > :31:03.deliberately Leave result, ht will be Labour heartlands in the north

:31:04. > :31:06.and the Midlands. And my right honourable friend nose at those

:31:07. > :31:09.heartlands well. Does he thhnk it would have been helpful if the

:31:10. > :31:13.official Labour Party spokesman if there is such a thing, had lade

:31:14. > :31:17.absolutely clear that the pdople have spoken and this House, all

:31:18. > :31:23.members of the Conservative Party and the Labour Party are gohng to

:31:24. > :31:28.deliver this Democrat result? Sadly, I'm not holding my breath for that

:31:29. > :31:31.outcome. But I will say this party, the Conservatives are the only party

:31:32. > :31:40.willing to deliver on the pdople's decision. The Secretary of State's

:31:41. > :31:43.right honourable friend, thd Foreign Secretary, said Jonah referdndum

:31:44. > :31:47.campaign that those in the big fields should tend to the sheep and

:31:48. > :31:51.those with the hill farms should do the butterflies. It would m`ke much

:31:52. > :31:55.more sense, but it's only possible if we leave the EU. What

:31:56. > :32:00.reassurances can he give to the farming communities of Wales that

:32:01. > :32:03.subsidies will continue to be given to the farming areas so are not

:32:04. > :32:17.turned into simply a big butterfly park? The first thing that happened

:32:18. > :32:21.was that the Chancellor unddrwrote the CAP, which was good for those

:32:22. > :32:26.people, and in those discussions with respect to both the departure

:32:27. > :32:29.from the European Union, thd subsequent agricultural polhcy and

:32:30. > :32:32.indeed subsequent trade polhcy, we are having discussions about exactly

:32:33. > :32:41.those things and have very luch in mind what she said. Speaker, I

:32:42. > :32:45.totally support the Governmdnt are not rushing to triggering Article 50

:32:46. > :32:48.and welcome the comments by the Secretary of State that he knows how

:32:49. > :32:53.important are the single market is, but for our own businesses `nd for

:32:54. > :32:57.inward investors from growth markets like Asia. Does my right honourable

:32:58. > :33:02.friend green just as cruellx in the European Union but have varhous opt

:33:03. > :33:06.outs, so in due course we should be out but have the ability to continue

:33:07. > :33:12.arrangements that work well for all sides? For example, the European

:33:13. > :33:19.health insurance, which silly British families benefit from. The

:33:20. > :33:23.first premise of this is returning power to the control of this

:33:24. > :33:26.Government and this Parliamdnt. How they deploy that power is entirely

:33:27. > :33:31.up to them and I would think any sensible Government would bd

:33:32. > :33:38.involved in mutually beneficial activity. After all, Israel and

:33:39. > :33:43.subscribes to some of the Etropean research operations, and it's

:33:44. > :33:52.nowhere near a member of thd European Union. So I think that in

:33:53. > :33:55.those terms, his point is wdll made. Would the Secretary of Statd repeat

:33:56. > :34:01.for the House they guaranted he gave in Northern Ireland last wedk that

:34:02. > :34:05.his Government will not seek to impose a hard border that would

:34:06. > :34:08.restrict the free movement of people and labour between Northern Ireland

:34:09. > :34:25.and the Irish Republic? And will the extent such a guarantee to Travolta

:34:26. > :34:29.and Spain in that situation? I repeat the statement I made in

:34:30. > :34:36.Northern Ireland last week. The soft border all the open border dxisted

:34:37. > :34:40.before either as were members of the European union with different VAT

:34:41. > :34:44.rate income tax. It seems to me given modern technology we can do

:34:45. > :34:49.the same and design an immigration system which copes with it. I can

:34:50. > :34:56.certainly reiterate what I said to Northern Ireland last week hn front

:34:57. > :34:59.of the House. I warmly welcome at my right honourable friend to his new

:35:00. > :35:05.post and for his statement, the first of what will no doubt be many

:35:06. > :35:13.to this House. On the 22nd of June, the day before the referendtm, the

:35:14. > :35:19.FTSE 100 closed at 6002 and in today it is over 6800 up. Does my right

:35:20. > :35:25.honourable friend agree that this tells us all we need to know about

:35:26. > :35:30.investor confidence in our future, that will we be better off ,- that

:35:31. > :35:34.we will be better off outside the European Union? What it certainly

:35:35. > :35:39.tells us is that the business community is not as afraid of this

:35:40. > :35:44.great new opportunity we face as was claimed before the referendtm. I

:35:45. > :35:52.don't want to disappear into rerunning arguments of the league

:35:53. > :35:58.campaign though. Market movdments in stock markets are volatile `nd

:35:59. > :36:03.small. Often, they reversed themselves. What doesn't reverse is

:36:04. > :36:07.large inward investments and in the year in which our party comlitted to

:36:08. > :36:15.a referendum, we have the l`rgest inward investment in our history. --

:36:16. > :36:18.had the largest. Khai has the Secretary of State that is clearly

:36:19. > :36:23.referencing the Leave camping, because his statement was 14 minutes

:36:24. > :36:30.of waffling and sound bites. For national consensus, that is

:36:31. > :36:35.completely at odds with a f`ct that 62% of the electorate in Scotland

:36:36. > :36:38.voted to Remain. This does not bode well -- well for meaningful input

:36:39. > :36:44.from the Scottish Government. Kenny also confirm the claim made during

:36:45. > :36:46.the campaign by his honourable member for North Somerset that

:36:47. > :36:51.Scotland was suddenly have control of a whole new raft of powers

:36:52. > :36:58.including immigration, or w`s that just PC nonsense? I don't think my

:36:59. > :37:02.right honourable friend was referring to immigration, btt rather

:37:03. > :37:10.to fishing, I suspect and what will certainly be the case is we will be

:37:11. > :37:12.taking back control of UK fhshing. Can I also congratulate my right

:37:13. > :37:19.honourable friend and Parli`mentary neighbour on his appointment, an

:37:20. > :37:25.inspired choice. While he h`s been in the role these few weeks, has he

:37:26. > :37:27.had an opportunity or seen `ny evidence of contingency planning

:37:28. > :37:35.across any department in Whhtehall prior to the referendum that the

:37:36. > :37:38.British public may potentially have voted to leave the European Union?

:37:39. > :37:44.It strikes me that in a two horse race, it might have been and idea to

:37:45. > :37:49.look at this possibility. Furthermore, given that will have to

:37:50. > :37:52.look at the different laws `nd 12,000 plus EU regulations that will

:37:53. > :37:57.affect our lives -- that affect our lives, what progress are thdy making

:37:58. > :38:04.in ensuring we recruit the brightest minds to do this properly? Says my

:38:05. > :38:06.department didn't exist before I arrived, it's really rather harder

:38:07. > :38:11.to find documents that relate anything beforehand. There were

:38:12. > :38:15.certainly planning done on the financial side to deal with any

:38:16. > :38:19.financial turnarounds, becatse the bank and the Treasury undertook

:38:20. > :38:26.certain measures. With respdct to the Department itself, I brtshed

:38:27. > :38:31.across it, but it says something that the Department quadrupled in

:38:32. > :38:36.size in August and he may rdmember what Whitehall is like in Atgust. We

:38:37. > :38:40.are not short of applicants and we do have the brightest and bdst to

:38:41. > :38:44.help us and us not just my department, but also in nathonal

:38:45. > :38:53.trade as well, so I'm confident about that. In his statement, the

:38:54. > :38:56.Secretary of State who are welcome to his post welcomed -- reaffirmed

:38:57. > :39:00.the promise of the Chancellor that all structural and investment

:39:01. > :39:03.projects signed before the @utumn Statement will be underwritten by

:39:04. > :39:08.the Treasury as we leave. Btt we've a quandary of the people of greater

:39:09. > :39:12.Manchester, because we've bden allocated until 2020, 300 ?22

:39:13. > :39:20.million in European structural investment funds, but ?159 lillion

:39:21. > :39:23.of those have not yet been contracted. They're currently held

:39:24. > :39:28.up in Whitehall departments, predominantly in the Departlent for

:39:29. > :39:34.Work and Pensions. Can he ensure that the people of greater

:39:35. > :39:38.Manchester get all ?322 million that's been allocated to it by the

:39:39. > :39:43.European Union and not the lesser amount that's already been `pproved

:39:44. > :39:48.by Government? What I will do is draw the request to the attdntion of

:39:49. > :39:50.the Chancellor. I congratul`te my right honourable friend is

:39:51. > :39:53.well-deserved appointment. 61% of the people of Kettering votdd to

:39:54. > :39:58.Leave and they want to make sure he's the tools to finish thd job and

:39:59. > :40:01.following a question from otr right honourable friend about staff

:40:02. > :40:06.members come he says he's 180 of them at the moment, how manx does he

:40:07. > :40:11.need and given that his dep`rtment no longer exist in two years, what

:40:12. > :40:15.incentive is there for the brightest best civil servants who havd

:40:16. > :40:21.long-term civil service carders in mind to join his department? And

:40:22. > :40:22.what incentives are there to attract people into his department from the

:40:23. > :40:32.private sector? We barely need an incentive, they

:40:33. > :40:36.want to be at the centre of the most important, historic change hn what

:40:37. > :40:41.is happening in the last decade or two or three. I don't think that is

:40:42. > :40:47.a problem. Arrangements are being made precisely because we dhsappear

:40:48. > :40:52.when the processes over to dnsure continuity and to ensure go

:40:53. > :40:55.seamlessly back into the Whhtehall system, although I suspect `t the

:40:56. > :41:02.end there will be more bids for them than that. Membership of thd EU

:41:03. > :41:05.allows young people in Scotland freedom to live, learn and work in

:41:06. > :41:13.Europe and they voted overwhelmingly to remain. What assurances can he

:41:14. > :41:19.give to young people that these benefits and freedoms will be

:41:20. > :41:25.retained after Brexit? It is a good question and I think I would expect

:41:26. > :41:31.us to ensure that we get at least as least as good as those therd now.

:41:32. > :41:36.One thing that is important in the European Union and in Britahn in

:41:37. > :41:39.particular is we are a science superpower and have a fabulous

:41:40. > :41:42.education system with some of the best universities in the world. We

:41:43. > :41:51.have some of the best students in the world and we will reflect that

:41:52. > :41:55.the outcome. I would like to congratulate my friend on hhs

:41:56. > :41:59.position. Speaking as a parliamentarian who has not seen my

:42:00. > :42:05.honourable friend in action it is an absolute pleasure to watch. I would

:42:06. > :42:11.like my honourable friend to look into VAT. It was purchased tax

:42:12. > :42:19.before 1973. Has fluctuated over the years. There are small businesses

:42:20. > :42:26.that need a taper relief for VAT because when they hit the threshold

:42:27. > :42:29.it can kill them off. I know, I was a small businessmen, I succdeded

:42:30. > :42:35.through it but it was a problem Will he look into this for small

:42:36. > :42:39.people of the UK. I will brhng the attention of the Treasury to it and

:42:40. > :42:44.ensure we will think about ht through this process. Can I

:42:45. > :42:49.congratulate my Parliamentary neighbour on his appointment. The

:42:50. > :42:53.Humber S3 is fast becoming the energy estuary with Siemens

:42:54. > :42:57.investing in Hull with the potential to export to the single market and

:42:58. > :43:03.so trade deals with Australha will not cut it in Hull. I wondered if he

:43:04. > :43:08.would agree to meet with a delegation from the Humber to ensure

:43:09. > :43:11.the green energy industry bdnefits from the huge and exciting

:43:12. > :43:20.opportunities the minister has talked about. How could I s`y no to

:43:21. > :43:24.meet a delegation from the Humber. What I will say is Siemens was a

:43:25. > :43:28.company that said they would continue investment in the TK,

:43:29. > :43:34.something of a change from before the referendum. Yes, of course. I

:43:35. > :43:40.was delighted to hear him s`y he had begun the huge task of going sector

:43:41. > :43:45.by sector to assess challenges many parts of the British economx will

:43:46. > :43:50.face. Can I ask him to add ` second column to the spreadsheet for

:43:51. > :43:55.opportunities in those sectors may have and may arrive from Brdxit We

:43:56. > :43:58.know from every industry and business we have worked in there

:43:59. > :44:03.will be areas of promise from leaving particularly in terls of

:44:04. > :44:11.getting away from onerous Etropean regulations that hold back British

:44:12. > :44:14.economic sectors. Will he create a parallel process of assessing

:44:15. > :44:21.regulations so that we can be in a good position when we leave? It is a

:44:22. > :44:24.good point and we are on it already. The opportunity side of the

:44:25. > :44:31.spreadsheet is integral to the process and some have reported back.

:44:32. > :44:36.We are challenging something is coming back because you get a degree

:44:37. > :44:43.of special pleading and so ht takes a little longer than just asking the

:44:44. > :44:48.question but we are doing it. In June, vote to leave issued ` letter

:44:49. > :44:51.co-signed by the Foreign Secretary and it was unequivocal that levels

:44:52. > :44:57.of funding in constituencies like mine, that currently receivd would

:44:58. > :45:00.continue post-Brexit. Will the Secretary of State repeat that

:45:01. > :45:07.guaranteed today all was thd letter worthless? I said I am putthng in

:45:08. > :45:14.the library the letter from the Chancellor on structural funds.

:45:15. > :45:18.Exactly that. Can I welcome my right honourable friend to his pl`ce. One

:45:19. > :45:23.of the greatest opportunitids for cornball presented by leaving is

:45:24. > :45:29.reclaiming the UK's territorial fishing waters. Will he comlit to

:45:30. > :45:33.not use this natural resource as a bargaining chip and embrace the

:45:34. > :45:40.opportunities it could deliver to coastal communities around the UK? I

:45:41. > :45:46.have never had so many attelpts to seduce me into making promises as I

:45:47. > :45:53.have today. I said to his honourable friend already this would bd one of

:45:54. > :45:56.the gains from the EU negothation. There may be internal negothations

:45:57. > :46:05.and if he speaks to his own fishermen he will see what H mean.

:46:06. > :46:10.In Renfrew show we voted 2-0 to remain. I wrote to offer support and

:46:11. > :46:16.visited institutions in the summer recess. They are desperate for

:46:17. > :46:21.information. Shamefully durhng the statement he offered nothing but

:46:22. > :46:26.doubletalk and prevarication and when can businesses across

:46:27. > :46:32.Renfrewshire expect more detail and what the government plans to spend

:46:33. > :46:36.of the 350 million per week? I repeat what I have said. Thd

:46:37. > :46:42.information will be available as we work through the process. If he

:46:43. > :46:45.imagine this is a Lego block process that anybody can do it without

:46:46. > :46:52.thinking about it, I suggest he looks again. In welcoming the

:46:53. > :46:58.Secretary of State to his position could I ask him if he appreciates

:46:59. > :47:00.the appetite of people in Scotland for a further independence

:47:01. > :47:05.referendum and the way they might vote in such a referendum, hn large

:47:06. > :47:11.part depends upon the response he and his government make to their

:47:12. > :47:17.decision to reject by a large from the EU. We were promised in 201

:47:18. > :47:23.that Scotland would be respdcted within this United Kingdom. Can I

:47:24. > :47:26.ask when proposals emerged that offer the prospect of different

:47:27. > :47:30.arrangements between Scotland and the EU, when he listened to them and

:47:31. > :47:37.consider them in good faith, or rejects them? Before I answdr, may I

:47:38. > :47:40.apologise for the late return of his letter that he wrote to me darlier

:47:41. > :47:51.in the summer but we tried to give him some facts. With respect to the

:47:52. > :47:55.discussions with the devolvdd administration, and others, I would

:47:56. > :47:59.say there is a joint ministdrial committee of which the First

:48:00. > :48:04.Minister has been offered a place, or her nominee, which ever she

:48:05. > :48:09.wishes. That will be the process by which we look at all propos`ls. The

:48:10. > :48:14.Prime Minister said we will look at all proposals. The one he stggests,

:48:15. > :48:21.I cannot see how it would work. But we will look at it. I have to say up

:48:22. > :48:27.front, as I said to the First Minister, I cannot see how that can

:48:28. > :48:31.be made to work. I congratulate the right honourable gentleman on his

:48:32. > :48:36.appointment. On immigration control, can he indicate whether it hs the

:48:37. > :48:42.position of the government to continue to differentiate in future

:48:43. > :48:49.between entry restrictions for citizens of the EU and for those

:48:50. > :48:55.from outside the EU? All I can say is this, my task is to get the

:48:56. > :48:59.control of that process back to the government and to Parliament. It is

:49:00. > :49:05.for Parliament to decide how they use it. The simple truth is I expect

:49:06. > :49:12.us to see a more evenhanded policy than we have now, but we must wait

:49:13. > :49:17.until the negotiation is colplete. It is clear on these benches the

:49:18. > :49:22.government's handling of thd withdrawal from the EU has been

:49:23. > :49:26.nothing short of a disgrace and the lack of leadership shown by the new

:49:27. > :49:36.Prime Minister has done nothing to quell the fears of UK citizdns and

:49:37. > :49:40.EU nationals. Does he agree the only person who has shown leadership and

:49:41. > :49:46.forward thinking on Brexit hs the First Minister of Scotland, Nicola

:49:47. > :49:50.Sturgeon? What I thought shd was going to say was Ruth Davison, who

:49:51. > :49:58.won the popularity contest this time around. I have to say something else

:49:59. > :50:02.about the Scottish Nationalhst approach. Our new Prime Minhster,

:50:03. > :50:07.before she did her reshuffld, went to Scotland to see the First

:50:08. > :50:10.Minister. How much more respect you can pay another politician than that

:50:11. > :50:20.I do not know and what grathtude do we get? Walk we have just hdard I

:50:21. > :50:25.will let the house in on a secret. In 2008, when the Secretary of State

:50:26. > :50:30.resigned over civil libertids I sent him an e-mail as a young 22,year-old

:50:31. > :50:35.wishing him the best in that election. I have been an adlirer

:50:36. > :50:38.despite our differences since then. But I am disappointed with the

:50:39. > :50:44.weakness in the statement ghven today. My constituency voted over

:50:45. > :50:50.70% to remain, the highest hn Glasgow. They will expect md to get

:50:51. > :50:56.the best deal in the circumstances we are in and with that in lind can

:50:57. > :51:01.he outline what powers he envisages the Scottish Parliament will gain as

:51:02. > :51:07.a result of Brexit and when he expects those powers to be

:51:08. > :51:11.implemented? It depends on what is agreed in the negotiations. The

:51:12. > :51:19.second thing I will say is this The undertaking given was to do

:51:20. > :51:25.everything possible to protdct all interests of all parts of the UK and

:51:26. > :51:31.Scotland of course at the front rank of those people. That is wh`t will

:51:32. > :51:33.happen. The issue is not about giving powers to politicians, but

:51:34. > :51:40.looking after the interests of the people. That is what will h`ppen. We

:51:41. > :51:46.will look after the interests of everybody in the UK, includhng

:51:47. > :51:54.Scotland. I thank the Secretary of State. The opposition front bench

:51:55. > :51:57.spokespersons and all 85 backbenchers who have the

:51:58. > :52:01.opportunity to question the right honourable gentleman. I am sure

:52:02. > :52:10.there will be other instalmdnts to follow. Order. Statement, the

:52:11. > :52:19.Secretary of State for health. Secretary Jeremy Hunt. Thank you, Mr

:52:20. > :52:23.Speaker. I regret to inform the house last week the British Medical

:52:24. > :52:26.Association announced they were initiating further rounds of

:52:27. > :52:31.industrial action over the junior doctors contract, which involves a

:52:32. > :52:35.serious of week-long all-out strikes between now and Christmas, scheduled

:52:36. > :52:40.to start next Monday, althotgh this afternoon the BMA have delaxed the

:52:41. > :52:46.first strike until 5th of October. The news delaying the first strike

:52:47. > :52:50.is welcome. We must not let it obscure the fact the remainhng

:52:51. > :52:56.planned industrial action is unprecedented in length and

:52:57. > :52:59.severity. And it will be dalaging for patients, some of whom will

:53:00. > :53:08.already have had operations cancelled. Any NHS organisations,

:53:09. > :53:12.including NHS England and NHS Improvement, had expressed concern

:53:13. > :53:17.about the impact on patient safety. This morning the General medical

:53:18. > :53:22.Council published advice to doctors on the strike action. While

:53:23. > :53:28.recognising a doctor's legal right to take action, they urged `ll

:53:29. > :53:32.doctors in training to conshder the implications for patients, saying

:53:33. > :53:36.given the scale and repeated nature of what is proposed, we belheve that

:53:37. > :53:43.despite everyone's best efforts patients will suffer. Others have

:53:44. > :53:46.questioned whether escalating strikes is a proportionate or

:53:47. > :53:53.reasonable response to a contract that the BMA junior doctors leader

:53:54. > :54:00.personally negotiated and stpported in Maine. She said then that the new

:54:01. > :54:06.contract was safer for our patients, safer for our junior doctors and

:54:07. > :54:10.also fair and she said with respect to junior doctors the contr`ct

:54:11. > :54:15.values their time and values them as part of the workforce, will reduce

:54:16. > :54:18.the problem of recruitment `nd retention, emphasises all doctors

:54:19. > :54:23.are equal and has put together a good package of things for

:54:24. > :54:29.equalities. Since these comlents the new contract was rejected in a

:54:30. > :54:34.ballot of BMA members, but ht is perplexing for patients, NHS leaders

:54:35. > :54:39.and the government that the reaction of the BMA leadership who previously

:54:40. > :54:47.supported the contract is now to initiate the most extreme strike

:54:48. > :54:51.action in NHS history, inflhcting this on patients up and down the

:54:52. > :55:00.country. We anticipate 100,000 elective operations will be affected

:55:01. > :55:04.and many appointments postponed Today I want to reassure thd house

:55:05. > :55:07.that the government and NHS is working around the clock to make

:55:08. > :55:13.preparations for the strikes. All hospitals will review rotors to

:55:14. > :55:20.ensure critical services such as A, neonatal services are

:55:21. > :55:25.maintained. The priority of all NHS organisations is to ensure patients

:55:26. > :55:28.have access to health care `nd the risks to patients are minimhsed but

:55:29. > :55:36.the impact of such long strhkes will test this. As with previous strikes,

:55:37. > :55:42.we cannot give an absolute guarantee patients will be safe, but hospitals

:55:43. > :55:44.will bust a gut to look aftdr patients in this situation `nd

:55:45. > :55:51.communicate with people whose care is likely to be affected. Ttrning to

:55:52. > :55:56.the long-term causes of the dispute it is clear for the BMA negotiators

:55:57. > :56:01.it has been largely about p`y but I recognise for the majority of junior

:56:02. > :56:06.doctors there are a broader range of concerns, including training

:56:07. > :56:11.structure, ability to sustahn family life during training, pay g`ps and

:56:12. > :56:19.rotor gaps. We set up a strtctured process to look at these concerns

:56:20. > :56:23.outside the contract and I hnternet to continue. NHS England has

:56:24. > :56:27.undertaken work to allow cotples to train in the same area, to offer

:56:28. > :56:32.placements for those with c`ring responsibilities close to home, to

:56:33. > :56:36.introduce a catch-up progralme for doctors who take maternity leave or

:56:37. > :56:39.time offer other caring responsibilities and to look at the

:56:40. > :56:48.concerns of doctors in their first year of foundation training.

:56:49. > :56:55.We are proceeding with a gender pay review that I mentioned in ly last

:56:56. > :57:01.statement on this issue. We've also responded to specific concerns

:57:02. > :57:04.raised by the BMA. Firstly, the BMA and health education England have

:57:05. > :57:08.agreed to changes to strengthen whistle-blower protections for

:57:09. > :57:15.junior doctors beyond the scope of existing legislation. This hs so

:57:16. > :57:20.they can take legal action `gainst whistle-blowing. Secondly, hn direct

:57:21. > :57:26.response to concerns raised over the role of the independent guardians of

:57:27. > :57:30.safe working hours, NHS employers to set out in considerable det`il the

:57:31. > :57:36.expectations for the new Gu`rdian role. As of the 2nd of Septdmber 186

:57:37. > :57:40.out of 217 guardians have bden appointed with the involvemdnt of

:57:41. > :57:44.BMA representatives with a further 15 interim arrangements in place.

:57:45. > :57:48.It's expected that all will be appointed by the middle of this

:57:49. > :57:53.month. Many junior doctors have expressed concern about rotor gaps

:57:54. > :57:58.and a new contract sinologist and tackles this concern. The gtardians

:57:59. > :58:01.of safe working hours will report to just an foundation trust bo`rds on

:58:02. > :58:05.the issue of rotor gaps within a junior doctors and this will shine a

:58:06. > :58:10.light on the issue and it whll be escalator, potentially to the sea QC

:58:11. > :58:15.and the GMC, where serious hssues are not addressed. I would strongly

:58:16. > :58:19.in -- asked those take industrial action to consider this progress

:58:20. > :58:25.before making a final decishon. And with respect to the broader debate

:58:26. > :58:28.about seven day care, we do recognise that many doctors have

:58:29. > :58:34.concerns about precisely wh`t is meant by a seven-day NHS. As Sir

:58:35. > :58:39.David Dalton stated publiclx last week, we offer to insert details of

:58:40. > :58:44.our plans into the may agredment, but this was rejected by thd BMA. It

:58:45. > :58:48.is very disappointing that they now say the need for more clarity of a

:58:49. > :58:53.seven-day services is one of the reasons for the strike. The given

:58:54. > :58:58.they've said that, I would like to repeat further reassurances on that

:58:59. > :59:02.front today. Firstly, whilst the changes to the junior doctors and

:59:03. > :59:13.their contract cost is mutu`l and is the current table which will not go

:59:14. > :59:16.up or down our seven-day services policy is not cost neutral `nd will

:59:17. > :59:18.be funded out of the additional ?10 billion provided to the NHS by this

:59:19. > :59:21.Parliament. Secondly, whilst the people for the coroner Bob junior

:59:22. > :59:23.doctors will not increase, we do expect the overall bill to go up as

:59:24. > :59:28.we have committed to employde many more doctors to help meet otr

:59:29. > :59:32.commitment seven-day servicds. That means our plans are not predicated

:59:33. > :59:37.on simply stretching the exhsting workforce thinner or die looting

:59:38. > :59:41.weekday cover. Thirdly, we recognise that junior doctors worked very hard

:59:42. > :59:45.already including evenings `nd weekends and whilst we do nded to

:59:46. > :59:51.reduce weekend premium rates which make it difficult to deploy the

:59:52. > :59:54.direct medical cover, this hs great implications for the working

:59:55. > :59:58.patterns of the workforce groups including consultants and dhagnostic

:59:59. > :00:03.staff. Finally, we have no role power in our trust to incre`se

:00:04. > :00:07.elective care we can. Our sdven day services policy is focused on

:00:08. > :00:10.meeting clinical standards relating to urgent and emergency card,

:00:11. > :00:13.meaning of vulnerable patients on hospital wards at weekends will get

:00:14. > :00:19.checked more regularly in w`rd rounds by clinicians and patients

:00:20. > :00:23.will be able to order test results for their patients at weekends.

:00:24. > :00:26.Despite his reassurances, there may remain honest differences of

:00:27. > :00:31.opinions on seven-day care, but the way to resolve this issue

:00:32. > :00:36.cooperation and dialogue, not confrontation and strikes, harm

:00:37. > :00:39.patients. To those who say these changes are demoralising thd NHS

:00:40. > :00:45.workforce, I simply say that nothing is more demoralising or mord

:00:46. > :00:50.polarising than a damaging strike it is not too late to turn dechsively

:00:51. > :00:55.away from the path of confrontation and put patients first and H urge

:00:56. > :00:58.everyone to consider how thdir own individual actions in the coming

:00:59. > :01:03.months will impact on the pdople who desperately need the servicds of our

:01:04. > :01:07.NHS. This Government will not waver in our commitment to make the NHS is

:01:08. > :01:14.the safest, highest quality health care system in the world and I

:01:15. > :01:19.commend this statement to the House. The prospect of a rolling fhve-day

:01:20. > :01:25.strike by junior doctors was one of the utmost gravity. The junhor

:01:26. > :01:31.doctors have suspended next week's action, which is I step I bdlieve

:01:32. > :01:34.the whole House welcomes. Btt there really programme of industrhal

:01:35. > :01:39.action stays in place. If it eventually goes ahead, it whll be

:01:40. > :01:44.the first such strike by junior doctors in the entire history of the

:01:45. > :01:50.NHS. And what the current shtuation shows is that there's been `

:01:51. > :01:55.complete breakdown in trust between junior doctors and the Government.

:01:56. > :01:59.The morale of junior doctors could not be lower and that's not

:02:00. > :02:04.something for the Secretary of State to dismiss. But somehow, he

:02:05. > :02:08.continues to take no responsibility for the current state of affairs, no

:02:09. > :02:14.responsibility for repeatedly arguing the only problem was doctors

:02:15. > :02:19.had not read the contract, no responsibility for the misldading

:02:20. > :02:22.use of statistics by claiming that thousands of patients were dying

:02:23. > :02:30.because of bad weekend care. The president of the... Said despite

:02:31. > :02:35.concerns raised by senior officials, Jeremy Hunt persisted in ushng

:02:36. > :02:40.dubious evidence about the so-called weekend effects to impose a damaging

:02:41. > :02:46.junior doctor contracts unddr the bogus guise of patient safety. And

:02:47. > :02:51.he still insists the contract is about a seven-day NHS when we now

:02:52. > :02:55.know it is -- its own offichals were telling him the NHS had too few

:02:56. > :03:02.staff and too little money to deliver what he was talking about.

:03:03. > :03:07.But the Secretary of State well know was that the public simply don't

:03:08. > :03:10.believe him in his attempts to demonise the junior doctors, try as

:03:11. > :03:18.he mind. He has failed to convince the public that somehow junhor

:03:19. > :03:25.doctors or mere dupes or thd enemy within or dupes of the BMA. Far from

:03:26. > :03:30.being manipulated, doctors voted emphatically against the new

:03:31. > :03:34.contracts. Everyone in this House will remember the 77 bombings on the

:03:35. > :03:41.number 30 bus which exploded in Tavistock Square a few yards from

:03:42. > :03:45.the BMA. Everyone will remelber the pictures of doctors pouring out of

:03:46. > :03:52.our building and heading for the 14 dead people and the 110 victims

:03:53. > :03:56.without flinching, or faltering in fulfilling the location of saving

:03:57. > :03:58.lives. These are the people the Secretary of State seeks to vilify.

:03:59. > :04:02.Today we know the junior doctors are contrary to what he implied have

:04:03. > :04:05.always made patient safety ` top priority have cancelled the action

:04:06. > :04:10.plans for next Monday, but ht where going to remove the threat of

:04:11. > :04:14.industrial action the Secretary of State has to answer questions. There

:04:15. > :04:19.are widespread reports of fhnancial crisis and deficit and how can the

:04:20. > :04:22.NHS move to enhance seven-d`y week working even with the proposed 0

:04:23. > :04:28.billion mentioned in a statdment, whether or not -- whether or not

:04:29. > :04:33.resuscitate him the status puo? I welcome the structure would allow

:04:34. > :04:38.Sally contract about lifework balance, gender pay gap, wrote gaps,

:04:39. > :04:43.strengthening protection for junior doctors and looking at the role of

:04:44. > :04:52.guardians of safe working hours But the Secretary of State said in his

:04:53. > :04:56.statement and talked about confrontation. What could bd more

:04:57. > :05:03.confrontational than seeking to impose a contract? Even at this late

:05:04. > :05:09.stage, I would like to ask him a if he will listen to the junior

:05:10. > :05:13.doctor's leader when she saxs we have a simple thing to ask the

:05:14. > :05:19.Government, stop the imposition and if they agree to do this, the junior

:05:20. > :05:24.doctors can call of industrhal action. The public is looking for

:05:25. > :05:27.the Secretary of State to try and meet the junior doctors, stop

:05:28. > :05:36.vilifying, stop pretending they re the enemy within and meet their

:05:37. > :05:40.reasonable demands. I will respond to comments, but she needs to be

:05:41. > :05:43.very, very clear to the House what the implications of Labour's

:05:44. > :05:48.position on this is. Becausd she just said now that she welcomed the

:05:49. > :05:53.suspension of industrial action next week. That wasn't a position at the

:05:54. > :05:57.weekend. At the weekend, whdn the medical Royal colleges and the

:05:58. > :06:00.General Medical Council even the Observer criticised the proposed

:06:01. > :06:05.strike, what will she say? She was saying she would join them on the

:06:06. > :06:10.picket line. Some think a predecessor refused to do. The fact

:06:11. > :06:15.is strikes cause harm, misery and despair for families up and down the

:06:16. > :06:22.country, but when one of thd most extreme members of the BMA Dxecutive

:06:23. > :06:26.said the strikes were the shngle mother positive things that have

:06:27. > :06:30.occurred in NHS politics of the last few decades, what was Labour's

:06:31. > :06:33.response? Did they condemn ` question or no. The Shadow

:06:34. > :06:41.Chancellor invited him to advise and live on policy. I say this

:06:42. > :06:47.because... Can I just emphasise there is no concept of giving way in

:06:48. > :06:52.respect of a statesman. Thotgh this may resemble the debate to those

:06:53. > :06:56.attending all proceedings from a beyond the confines of the chamber,

:06:57. > :07:08.it is a statement, with a rdsponse. There are no interventions.

:07:09. > :07:15.Thank you. Kaiser said to the Shadow Health Secretary, she needs to

:07:16. > :07:20.recognise that working people, the people out party claim to rdpresent

:07:21. > :07:23.need a seven-day NHS. They `re very vulnerable people Labour cl`im to

:07:24. > :07:28.represent do get admitted to hospital at weekends and in

:07:29. > :07:31.industrial disputes, patients should always matter more than polhtics and

:07:32. > :07:34.the next time she meets a constituent who has suffered because

:07:35. > :07:37.of not having a seven-day sdrvice because an operation has bedn

:07:38. > :07:44.cancelled because of a strike, she and her colleagues should h`ng their

:07:45. > :07:51.heads in shame. She talks about .. She used stronger words. Shd used

:07:52. > :07:55.words like vilifying, demonhsing the junior doctor workforce which is a

:07:56. > :07:59.very, very serious thing to say I would challenge to find a shngle of

:08:00. > :08:03.evidence that that has come from, me or anyone in the Government. If she

:08:04. > :08:08.can't, she needs to withdraw those comments and apologise to the House.

:08:09. > :08:13.The fact is, the single most demoralising thing for the NHS

:08:14. > :08:16.workforce is strikes. Because they entrench and hardened posithons

:08:17. > :08:22.people get very, very angry and it becomes much, much harder to find a

:08:23. > :08:26.consensus. She also talks about the use of statistics. She doesn't have

:08:27. > :08:31.to listen to what I say and I understand she may not want to, but

:08:32. > :08:35.there are eight academic sttdies in the last five years that described

:08:36. > :08:40.increased mortality rates for people admitted to hospitals at wedkends,

:08:41. > :08:44.to which responds, the actu`l phrase she used another context was very is

:08:45. > :08:50.zero empirical evidence for a weekend effect. I will cauthon her,

:08:51. > :08:54.because that approach to hard data is exactly what happened at mid

:08:55. > :08:57.Staffs when hard evidence w`s swept under the carpet year after year,

:08:58. > :09:02.because it was politically inconvenient and this Government

:09:03. > :09:08.will not be dismissed it. Fhnally she said that my civil serv`nts

:09:09. > :09:11.apparently advised me that this policy wouldn't work. Not at all.

:09:12. > :09:16.What happens with every Govdrnment policy, and you would expect this,

:09:17. > :09:21.is that small civil servants kick every aspect of the policy so we

:09:22. > :09:26.understand the risks. She dhdn't mention the same document she

:09:27. > :09:29.referred to actually says wd are on track for delivering the fotr

:09:30. > :09:35.clinical seven-day standards to 70% of the country by next April. That's

:09:36. > :09:39.something I think her consthtuency, even if she won't, will welcome

:09:40. > :09:46.These strikes are going to harm patients, damage the NHS and make it

:09:47. > :09:49.harder, not easier, to resolve the challenges facing junior doctors.

:09:50. > :09:58.Labour today has chosen polhtical opportunity, we will do the right

:09:59. > :10:01.thing for patients. Does my right honourable member agree that it has

:10:02. > :10:05.been an indefensible anomalx for many years that the NHS so reduces

:10:06. > :10:11.its services at the weekend when the patients who it serves our

:10:12. > :10:15.vulnerable to urgent or emergency conditions or needy high st`ndards

:10:16. > :10:19.of care for chronic conditions on a seven-day basis. So will yot

:10:20. > :10:22.continue what he describes, his careful progress, and making it

:10:23. > :10:28.clear that the seven-day service is not going to do just all rottine

:10:29. > :10:33.work, that it is going to bd introduced as resources and staffing

:10:34. > :10:36.allow in line with civilised conditions and furthermore, on the

:10:37. > :10:41.strange politics of the dispute that keeps coming back to haunt him, does

:10:42. > :10:45.he agree with me that whilst the BMA has always been one of our lost

:10:46. > :10:49.militant trade unions and whilst the Labour Party has been very left wing

:10:50. > :10:57.in his leadership before, most notably in the 1980s, it is almost

:10:58. > :11:02.inconceivable that at any thme in the past, such extreme and lilitant

:11:03. > :11:08.action, which threatens pathents, would have been supported bx the BMA

:11:09. > :11:13.all the Labour Party, opposhng a contract which was being pr`ised as

:11:14. > :11:15.a sensible settlement and for the improvement it offered by the union

:11:16. > :11:30.leaders only to or three months ago. As ever he speaks wisely. That last

:11:31. > :11:35.comment is the nub of why this is so totally extraordinary, and

:11:36. > :11:39.completely not acceptable. Ht is true and we have to accept junior

:11:40. > :11:46.doctors rejected the agreemdnt in May in a ballot and all sorts of

:11:47. > :11:49.reasons why that happened. The choice to escalate this acthon to

:11:50. > :11:55.the worst strike in NHS history was a choice made not by junior doctors

:11:56. > :11:59.but by the BMA leaders and they made it about a contract they thdmselves

:12:00. > :12:06.said was safer for doctors `nd patients only in May. How c`n they

:12:07. > :12:11.justify that if it isn't fr`nkly from some desire to pick a big

:12:12. > :12:15.fight? We were making good progress over the summer with a serids of

:12:16. > :12:24.dialogues in different areas to resolve some of the non-contractual

:12:25. > :12:27.issues. This makes that virtually impossible to progress with although

:12:28. > :12:33.we will continue to try. He is right, it is damaging for p`tients

:12:34. > :12:41.and I am having to go through some of the same battles as he dhd as

:12:42. > :12:46.Health Secretary. I know how difficult it will be for junior

:12:47. > :12:52.doctors to take part in the strikes. I am really sad we have comd to this

:12:53. > :12:57.point. Does the Secretary of State recognise the anger and desperation

:12:58. > :13:02.that has led us to this point on junior doctors? Two things stand out

:13:03. > :13:07.in my mailbag from junior doctors and one is the threat of imposition

:13:08. > :13:13.was there right from the word go last summer. To them it alw`ys felt

:13:14. > :13:18.like a threat and not a negotiation. The other is the misuse of numerical

:13:19. > :13:25.statistical data to translate that and claim avoidable deaths `t

:13:26. > :13:28.weekends when there has not been any evidence of avoidable deaths and the

:13:29. > :13:32.Secretary of State has not commissioned a review of cases that

:13:33. > :13:38.might show how many of thosd deaths were avoidable and where did a lack

:13:39. > :13:43.of junior doctors contributd? The danger in the NHS is rotor gaps

:13:44. > :13:49.Doctors asked to do double shifts, or to carry two pagers which means

:13:50. > :13:54.where they should be to doctors covering an area or service there is

:13:55. > :13:59.one, that is a danger right now The Secretary of State talks about

:14:00. > :14:02.making it clear he would employ extra junior doctors, not spreading

:14:03. > :14:09.the same thinner, but where does he plan to get them where we c`nnot

:14:10. > :14:13.fill posts we have at the moment? I welcome the focus on the fotr

:14:14. > :14:18.clinical standards that boil down to greater senior doctor review and

:14:19. > :14:23.access to diagnostics. Does he not think we might have got further if

:14:24. > :14:27.that was where we started l`st summer? He calls for a turn away

:14:28. > :14:32.from strikes and to get round the table and discuss, so when hs the

:14:33. > :14:38.Secretary of State meeting with junior doctors to try to avdrt the

:14:39. > :14:44.strikes? She is a doctor and I would say that as I said to the Shadow

:14:45. > :14:48.Health Secretary that she ndeds to justify these claims she constantly

:14:49. > :14:53.makes in this chamber about a misuse of statistics. I have been clear

:14:54. > :14:58.about when we can statistic`lly say a death is avoidable or when what

:14:59. > :15:04.studies demonstrate clearly is that there are higher numbers of people

:15:05. > :15:12.dying from weekend and ambitions than you would expect. -- wdekend

:15:13. > :15:16.admissions. We will not ignore those numbers backed up in study `fter

:15:17. > :15:22.study. That is the right thhng to do and as a doctor she should recognise

:15:23. > :15:26.that. She also said that thd government should lift plans to

:15:27. > :15:30.impose the contract and get round the table and negotiate. I think

:15:31. > :15:34.today might have been a momdnt when she could have given the government

:15:35. > :15:38.credit for doing that in Max, when we thought there was an opportunity

:15:39. > :15:43.to do a deal because we lifted the imposition of the contract `nd

:15:44. > :15:48.negotiated a deal that turndd out to be a good deal on all sides. The

:15:49. > :15:52.problem is having done that, the same people we negotiated the deal

:15:53. > :15:59.with have decided to call the most extreme strike in NHS history. That

:16:00. > :16:05.is not acceptable. With respect to rotor gaps, that is a probldm and we

:16:06. > :16:08.are trying to address it by making sure we have systems where junior

:16:09. > :16:12.doctors come though the whistle if they think rotor gaps are not safe

:16:13. > :16:17.for patients which is what the guardians are we have set up.

:16:18. > :16:22.Secondly, how can we make stre there are people to fill the gap hs? By

:16:23. > :16:28.training more doctors, which is why in this parliament we are training

:16:29. > :16:32.in 11,420 more doctors than in the previous parliament and why we have

:16:33. > :16:39.9000 more doctors than we h`d in 2010. As a doctor, those ard things

:16:40. > :16:44.she should recognise. I am keen to accommodate everybody who w`nts to

:16:45. > :16:50.take part but is it not unrdasonable with a small number to hope that we

:16:51. > :16:56.conclude these exchanges at the latest by 7:15pm. Brevity is the

:16:57. > :17:04.essence, we need short questions and answers. I welcome the BMA

:17:05. > :17:08.suspension of next week's d`maging action will stop is clear from their

:17:09. > :17:13.statement thousands of doctors had said they wanted to keep thdir

:17:14. > :17:20.patients say. They will know you cannot keep a patient safe with five

:17:21. > :17:23.days rolling walk-outs. Will the Secretary of State join me hn asking

:17:24. > :17:29.the BMA to ballot members to hear their views before they proceed with

:17:30. > :17:37.their proposed further damaging five-day walk-outs? I do thhnk that

:17:38. > :17:44.the BMA should talk to their own members more because as far as I

:17:45. > :17:48.could tell, the consultation over the summer showed only a minority

:17:49. > :17:53.actually wanted this very extreme series of rolling one week

:17:54. > :18:00.suspensions of labour that they in the end supported. I think lost

:18:01. > :18:07.junior doctors are perplexed and worried about the situation and

:18:08. > :18:11.would love to find a solution. There was a bitter industrial dispute but

:18:12. > :18:17.we started a process where trust was rebuilt. We had meetings. I met the

:18:18. > :18:22.junior doctors leader to talk through the areas of her grdatest

:18:23. > :18:25.concern and we made progress in addressing two of the four

:18:26. > :18:30.outstanding areas she talked about but building trust mean sitting

:18:31. > :18:33.around the table and talking and not having confrontational strikes. I

:18:34. > :18:39.think that is what most junhor doctors want as well. Can I return

:18:40. > :18:44.to the critical issue of how we ensure safe cover during thd week if

:18:45. > :18:47.we are expecting doctors to work more hours at weekends. The

:18:48. > :18:53.Secretary of State repeated he will employ more junior doctors but what

:18:54. > :18:56.is the timescale? How many net increase in doctors will thdre be

:18:57. > :19:04.this year and next year and in the rest of the parliament? I don't have

:19:05. > :19:08.figures to hand for this ye`r but I will let the right honourable

:19:09. > :19:11.gentleman know. It is around 11 500 extra doctors trained in thhs

:19:12. > :19:17.Parliament. It is important to recognise that it is not just junior

:19:18. > :19:21.doctors that will be part of the change. We need more consultant

:19:22. > :19:26.cover at the weekend and more people able to do diagnostic tests is, a

:19:27. > :19:34.range of people who can improve standards of care at the wedkend who

:19:35. > :19:38.need to take part in this change. Can I congratulate my right

:19:39. > :19:41.honourable friend on the re`sonable yet resolute approach he has taken

:19:42. > :19:45.throughout the negotiations reflected in the fact that the

:19:46. > :19:48.leaders of so many Royal colleges chose to criticise the decision to

:19:49. > :19:52.go on strike and therefore the suspension of that action is

:19:53. > :19:57.welcome. He makes the point there are standards that will be hmproved

:19:58. > :20:02.as a result of the move to ` seven-day NHS. Can he enlighten the

:20:03. > :20:05.house which types of patient in which circumstances will benefit as

:20:06. > :20:12.a result of his drive to improve patient care? I am happy to do that.

:20:13. > :20:17.I am delighted to take a qudstion from him, because I sometimds think

:20:18. > :20:22.when you have long departed the office, it is when people appreciate

:20:23. > :20:28.big and important changes wdre made and that was the case from his

:20:29. > :20:32.tenure as Secretary of Statd for Education. Clinical standards, one

:20:33. > :20:38.of them is people admitted `t weekends should be seen by ` senior

:20:39. > :20:42.doctor, a consultant or expdrienced junior doctor within 14 hours. They

:20:43. > :20:47.will be seen by a doctor sooner than that but they should be seen by

:20:48. > :20:50.someone experienced to know if there is something to worry about within

:20:51. > :20:54.14 hours which happens at most places during the week, it does not

:20:55. > :20:59.happen that many places at the weekend. The most vulnerabld

:21:00. > :21:05.patients, there is a risk of them going downhill and this is not the

:21:06. > :21:09.clinical term but what doctors say is it is the spotting of people

:21:10. > :21:14.going downhill that is important and they should be checked at ldast

:21:15. > :21:19.twice a day by someone experienced. They are two of the four clhnical

:21:20. > :21:25.standards we want to reassure all constituents are in place. We think

:21:26. > :21:31.that will make a big differdnce The Health Secretary will know over the

:21:32. > :21:34.summer a worrying number of A and maternity departments have been

:21:35. > :21:39.closed or downgraded becausd they simply can't get the junior doctors

:21:40. > :21:46.they need. Chorley, Ealing, Stafford, I could go on. If it is

:21:47. > :21:53.the case we are training more junior doctors, why do we still have this

:21:54. > :21:58.problem? Because we have prdssures in the NHS that mean there hs a need

:21:59. > :22:03.for more doctors for all re`sons and at the moment we do not havd as many

:22:04. > :22:08.as we need and that is why this government is trading more, that is

:22:09. > :22:13.why we are putting in an extra 10 billion into the NHS. The m`nifesto

:22:14. > :22:17.she stood on was not putting that level of funding in and it would

:22:18. > :22:22.have meant we were not able to train that number of extra doctors. I am

:22:23. > :22:30.afraid it takes time and whhle we are getting there we need to ensure

:22:31. > :22:35.services are safe. Can I congratulate him for the balanced

:22:36. > :22:39.and reasonable approach he has taken to the negotiations, despitd

:22:40. > :22:43.provocation from people who should know better. Would he agree that in

:22:44. > :22:49.the history of the NHS therd cannot have been a single location other

:22:50. > :22:52.than this when the GMC has had to intervene, the body responshble for

:22:53. > :22:57.professional standards, to stop a strike? Would he and it we light

:22:58. > :23:03.have underscored the centrality of Bruce Keogh's clinical standards

:23:04. > :23:10.more when introducing the notion of a seven-day NHS? With respect to his

:23:11. > :23:17.last point I would say we h`ve been clear from the outset what we mean

:23:18. > :23:21.by a seven-day NHS in hospital care but there has been a huge alount of

:23:22. > :23:26.misinformation will stop thhs time last year the BMA told a lot of

:23:27. > :23:32.people are plans were to cut their pay by between 30% and 50%. That is

:23:33. > :23:36.why strikes are damaging because positions get entrenched on both

:23:37. > :23:42.sides. Sometimes misinformation goes out that causes anxiety and

:23:43. > :23:47.misunderstanding. I agree about the GMC intervention. It is significant

:23:48. > :23:51.will stop they are independdnt, they are the medical regulator and they

:23:52. > :23:54.are clear doctors have a responsibility not to take `

:23:55. > :24:03.decision that means one of their patients get harmed. As the

:24:04. > :24:07.Secretary of State knows, bdfore taking up office in June I have been

:24:08. > :24:12.an emergency medicine junior doctor on the front line for the l`st 1

:24:13. > :24:18.years. Today doctors have lhstened and stopped their strike action

:24:19. > :24:24.Putting patient safety first. This is not the first time I havd stood

:24:25. > :24:27.before you to say I worry that the imposition of the contract hs not

:24:28. > :24:33.putting patient safety first. You can train all the extra doctors you

:24:34. > :24:39.wish but the current junior doctors are leaving. The risk of having the

:24:40. > :24:43.contract imposed is causing them to leave and move to Australia and

:24:44. > :24:49.further afield. I maintain xou cannot create a safe seven-day NHS

:24:50. > :24:53.on a five-day overstretched team. The rotor gaps approved this is

:24:54. > :25:01.happening. Today doctors have listen. Will he listen and stop the

:25:02. > :25:05.imposition, please? Can I thank her for what she did alongside lany

:25:06. > :25:12.colleagues working in A departments over many years? It is a

:25:13. > :25:17.wrong characterisation when she calls it an imposition in tdrms of

:25:18. > :25:20.what happened because this was an agreed contract, and it was

:25:21. > :25:27.recommended and supported bx the leaders of the BMA. We had lany

:25:28. > :25:31.discussions in this House about whether negotiations were possible,

:25:32. > :25:38.what I should do, there werd a range of views. I did listen as she has

:25:39. > :25:43.asked I sat down and negoti`ted a deal and it was supported bx the

:25:44. > :25:47.leaders of the BMA, which is why it is incomprehensible, those same

:25:48. > :25:57.leaders have now called the most extreme strike in NHS history. Can I

:25:58. > :26:02.put it to him the choice for doctors in training is whether they have the

:26:03. > :26:07.old contract or agreed contract I have not had a single letter from

:26:08. > :26:13.one of my doctors who say they think the old contract is better for them,

:26:14. > :26:16.the health service or patients. Can I make the recommendation they sign

:26:17. > :26:21.up willingly to the new contract, start discussions with the BMA and

:26:22. > :26:26.Royal colleges on what should happen in a few years when the contract

:26:27. > :26:29.comes up for review and work on improving the contractual shtuation

:26:30. > :26:35.that my honourable friend h`s provided a good lead on?

:26:36. > :26:44.I right honourable friend w`s right. The BMA satisfy themselves with

:26:45. > :26:49.respect to the concerns that many junior doctors have about the

:26:50. > :26:53.working conditions, many of which I accept our legitimate, we'd done

:26:54. > :27:05.everything we could do inside a contract -- at our legitimate. There

:27:06. > :27:09.was things about people being sent to a different city from thdir

:27:10. > :27:15.partner and how bad I was for family life. There were other things which

:27:16. > :27:21.need frankly sorting out and since the introduction of working time

:27:22. > :27:25.directive, have got a lot worse and people do want to go back to the

:27:26. > :27:29.excessive hours bit for. Those are things working through. Thotgh you

:27:30. > :27:36.do that is to dialogue, not confrontation, why this -- which is

:27:37. > :27:40.why this is a step by Woods. Editor weakness of his argument th`t it is

:27:41. > :27:48.just conceivable that he is wrong about imposing a settlement on a

:27:49. > :27:52.seven-day week for the NHS? It takes two to cause a strike and that is

:27:53. > :27:58.why he should look at this proposal again. He is very airy fairx about

:27:59. > :28:04.training these doctors for the future. It has not been clinically

:28:05. > :28:08.correct at all. He's heard from people that recently worked there.

:28:09. > :28:15.Why doesn't he reassess the seven-day week, get round the table,

:28:16. > :28:26.stop imposing a settlement `nd, to a negotiated agreement. -- and, to a

:28:27. > :28:34.negotiated agreement. With great respect, if I am wrong, so `re the

:28:35. > :28:38.leaders of BMA. They said it was a good contract, save of the doctors,

:28:39. > :28:42.good for equalities, good for the NHS and a whole range of thhngs And

:28:43. > :28:47.the contract we are proceedhng with, is one of the doctors said was a

:28:48. > :28:51.good deal for junior doctors. And I think on that basis if we are to

:28:52. > :28:58.resolve this, that is the contract we should proceed with. Can express

:28:59. > :29:02.my strong support for the Sdcretary of State, not just the meastred way

:29:03. > :29:09.in which he has handled the statement today, but also the way

:29:10. > :29:12.he's conducted negotiations and evidenced by the 100 plus

:29:13. > :29:16.concessions made to doctors over the last four years. Is an inevhtable

:29:17. > :29:21.logic of suspending strikes by the BMA which I warmly welcome the

:29:22. > :29:26.honour the medical professions that this should be applied in exactly

:29:27. > :29:30.the same way to the other strikes that have been called? Becatse the

:29:31. > :29:34.same logic will apply. Wouldn't it be best, but the reputation of the

:29:35. > :29:38.BMA to call off the rest of the strikes, work with the Government

:29:39. > :29:42.and the other noncontractual areas needing to be dealt with so that we

:29:43. > :29:47.can move forward from this, and this period of confrontation and get the

:29:48. > :29:50.health service that we all believe in and in some of this sillx

:29:51. > :29:57.rhetoric on the other side that suggests we on this side of the

:29:58. > :30:04.leaving the NHS. Thank you. I just want to take this moment to say how

:30:05. > :30:07.much I enjoyed working with my right honourable friend when he w`s

:30:08. > :30:12.working with me last year and then as now, his advice and thoughts are

:30:13. > :30:18.very, very wise. The number of concessions, it is 107 concdssions

:30:19. > :30:23.that the Government has madd. The BMA may like to think what signal it

:30:24. > :30:27.sends if you make 107 concessions, come to an agreement with union

:30:28. > :30:31.leadership and the reaction then is to call the most extreme strike in

:30:32. > :30:34.history. What encouragement will I give to other Government ministers

:30:35. > :30:40.to be moderate and reasonable in negotiations with unions? It is a

:30:41. > :30:43.preposterous position to take, frankly, and I think there were

:30:44. > :30:47.many, many of the choices they could have made in terms of dealing with

:30:48. > :30:54.the way off the ballot, but he's absolutely right in what he says. Mr

:30:55. > :30:58.Speaker, it is lack the workforce planning and weak financial

:30:59. > :31:02.management that later staff shortages which had been a lajor

:31:03. > :31:06.contributor to this dispute. The Department of Health accounts and

:31:07. > :31:09.NHS England accounts which came 21st of July underlined that weakness and

:31:10. > :31:13.financial planning with the control and auditor general saying clearly

:31:14. > :31:18.that he had real concerns about future sustainability of NHS

:31:19. > :31:21.funding. Yet we've had the Secretary of State say again today th`t the

:31:22. > :31:25.tending in pounds available is to solve the issue around the seven-day

:31:26. > :31:29.NHS and we've other promise for many other things by the head of image as

:31:30. > :31:34.England. Does he really havd a plan for financial sustainabilitx in the

:31:35. > :31:45.NHS and so, what is it? We do and we are implementing it. I know it's

:31:46. > :31:49.something she's looked at in detail. In broad terms, what happendd for

:31:50. > :31:53.the tragedy at mid Staffs, the NHS is honest that some of the poorer

:31:54. > :31:58.care that was happening in other places. NHS trusts decided they need

:31:59. > :32:01.more stuff on the hospital wards. But because of the bad workforce

:32:02. > :32:05.planning she'd talked about the goes by many decades in the NHS, the

:32:06. > :32:09.result was an explosion in the use of agency staff going up to three

:32:10. > :32:13.and a half billion in the l`st financial year, which has ptt huge

:32:14. > :32:17.pressure on finances and we must take away from this not just that

:32:18. > :32:21.the junior doctors and the strike, but from the point of view of

:32:22. > :32:25.financial sustainability and see that we need to better training up

:32:26. > :32:36.the numbers of doctors and nurses we need. Thank you, Mr Speaker. In

:32:37. > :32:40.other words, to qualified as a medical doctor so can I ask a

:32:41. > :32:45.question about democratic m`ndates? I appreciate that unlike a

:32:46. > :32:49.referendum, a general does not give an entirely specific mandatd on

:32:50. > :32:53.every proposal put forward, but will be Secretary of State take the

:32:54. > :32:59.opportunity to remind the House and the country how central the proposal

:33:00. > :33:05.for a seven day a week NHS was to the Conservative manifesto proposals

:33:06. > :33:09.as far as it did, was concerned He's absolutely right. It w`s our

:33:10. > :33:16.only substantive promise in terms of a commitment to the NHS at the last

:33:17. > :33:21.election. And it's something we are funding. We have absolute obligation

:33:22. > :33:26.to the British people to deliver and I think that is the reason why in

:33:27. > :33:31.that short period after the last election that I felt I'd bedn very

:33:32. > :33:35.clear with BMA that we were going to deliver on this manifesto promised

:33:36. > :33:40.and I think if they'd reflected on that, they may have behaved

:33:41. > :33:44.differently to the way they did In light of the ongoing disputd and

:33:45. > :33:48.concerns about the safety of patients, as the Secretary of State

:33:49. > :33:52.given any consideration to the idea of compulsory independent

:33:53. > :33:57.arbitration, biding on both sides to settle disputes where public and is

:33:58. > :34:04.patient safety is in disputd, with the minister look at that? H don't

:34:05. > :34:09.think that's the way forward. I had the best way to solve these disputes

:34:10. > :34:16.is an agreed solution and that is what we had. I think that's why it's

:34:17. > :34:20.so disappointing that just by having an agreed solution that the BMA have

:34:21. > :34:29.chosen not to try and work to implement that solution that was

:34:30. > :34:33.agreed. Last Thursday I was at the Queen's hospital having a procedure,

:34:34. > :34:37.Henderson my black eye. I'm an utterly junior doctors and

:34:38. > :34:41.consultants, but also patients and can I tell my right honourable

:34:42. > :34:46.friend how concerned they are having this series of strikes and they

:34:47. > :34:51.don't understand it as one junior doctor said to me. He may or may not

:34:52. > :34:57.have been the minority, but he was the previous BMA representative for

:34:58. > :35:01.junior doctors and he told le this was a good deal for junior doctors

:35:02. > :35:08.and I wrote that note down `t the time. But one point that was made to

:35:09. > :35:13.me was that this constant ddfence of BMA action by the party opposite and

:35:14. > :35:17.in particular, the spokesman opposite, is regarded as behng

:35:18. > :35:24.encouragement for this strike, whether she means to do this or not.

:35:25. > :35:28.Can I urge the flu you Mr Speaker to say, look, it isn't good enough Is

:35:29. > :35:36.not good enough for patients or for the NHS. He's absolutely right and I

:35:37. > :35:40.think all of us in this deb`te have won a simple thing we have to think

:35:41. > :35:45.which is what is the right `nswer for the people we represent? They

:35:46. > :35:48.understand their financial constraints and that the NHS cannot

:35:49. > :35:53.do everything, but they want us to strive to make it safer and better

:35:54. > :35:55.the whole time and I must s`y, is actually a surprise and

:35:56. > :36:00.disappointment that we don't hear more of a language from the party

:36:01. > :36:03.opposite. My constituents or patients don't want this strike and

:36:04. > :36:07.my constituents who are doctors don't I believe what this industrial

:36:08. > :36:11.action. It is the case that only four percent of doctors do support

:36:12. > :36:17.this escalation, should the BMA really check their mandate `gain?

:36:18. > :36:20.They absolutely should. I think they've been out of step with both

:36:21. > :36:28.the British public and their own members this week, but his own

:36:29. > :36:31.hospital in Hereford is in special measures and has huge numbers of

:36:32. > :36:36.problems which they are working hard to sort out and we are helphng them.

:36:37. > :36:40.Isn't that what we should bd focusing on the NHS rather than

:36:41. > :36:43.doing contingency planning for these damaging strikes? Does the Secretary

:36:44. > :36:49.of State agreed me that the actions of the BMA in backing the contract

:36:50. > :36:53.in a male economy in August and call for these extreme strikes sdriously

:36:54. > :36:57.damaged his credibility? And on the issue of pay which we know from the

:36:58. > :37:02.leaked messages is the only red line, can he come form -- confirm no

:37:03. > :37:06.doctor working legal hours will be paid less? I can absolutely confirm

:37:07. > :37:12.that, because we put in place pay protection to make that happen. I

:37:13. > :37:16.think he is absolutely right, that this is a very, very damaging thing

:37:17. > :37:22.for his constituents in Cheltenham and again, there is so much pressure

:37:23. > :37:26.in the NHS that the junior doctors thinking of striking have to ask

:37:27. > :37:29.themselves whether it is re`lly going to help their organis`tion

:37:30. > :37:33.respond to those pressures hf they have this enormous distracthon, this

:37:34. > :37:42.incredible demoralisation you get with these kind of strikes. Does my

:37:43. > :37:47.right honourable friend show my disappointment that the BMA leader

:37:48. > :37:51.who co-authored the new contract and said it was beneficial for our

:37:52. > :37:54.patients and junior doctors is now trying to whip up support for a

:37:55. > :38:01.series of strikes that everx credible medical leader has said it

:38:02. > :38:04.would be disproportionate and harmful to patients? I am extremely

:38:05. > :38:17.disappointed and I hope she reconsiders.

:38:18. > :38:25.Mr Speaker, is very serious that these strikes are occurring and

:38:26. > :38:28.being called off, especiallx against this contract. What I do qudstion is

:38:29. > :38:34.the fight that one of my constituents who is a doctor and who

:38:35. > :38:40.is actually the chair man of doctors of Unite and the deputy chahrman of

:38:41. > :38:45.the BMA actually stated in the Sunday Times that this could be used

:38:46. > :38:47.to make -- for the Tories to save you make in a country great again.

:38:48. > :38:54.Anything is appalling that patients being used as pawns in a political

:38:55. > :39:01.game. Would my honourable friend agree with me? Completely. H'm

:39:02. > :39:03.afraid this is where I am vdry disappointed that the party

:39:04. > :39:09.opposite, the thrill that they may beat have so many supporters of the

:39:10. > :39:13.Labour Party leader in the lore extreme ranks of the BMA, it helps

:39:14. > :39:18.no one to try and use the NHS as a political pawn as they tried so

:39:19. > :39:25.destructively to do before the last election. The General Hospital is

:39:26. > :39:29.under pressure on a number of friends and if that action doesn't

:39:30. > :39:33.take place, the threat diverts key personnel from their tasks to

:39:34. > :39:37.contingency planning, filling rotors and making sure patients st`y self.

:39:38. > :39:41.Microseconds possible. Wouldn't he agree that even the threat of

:39:42. > :39:49.industrial action does huge harm to hospitals and the NHS? I'm lore than

:39:50. > :39:57.happy to agree and the staff work extremely hard. One shudders to

:39:58. > :40:04.think what the impact would be if you remove a third of the doctor

:40:05. > :40:08.workforce in a hospital likd that. I'm just reading an article from the

:40:09. > :40:13.Guardian earlier this year which says Saturday working give the major

:40:14. > :40:15.sticking point in the dispute with the junior doctors. Does thd

:40:16. > :40:19.Secretary of State agree th`t any doctor who goes on strike over

:40:20. > :40:21.premium rates pay on a Saturday which most people in this country

:40:22. > :40:25.don't get when they work at the weekend, should hang their heads

:40:26. > :40:30.shame? Will he give a commitment that he won't make any further

:40:31. > :40:33.concessions, he's already ghven far too many concessions, and isn't it

:40:34. > :40:37.time to look at whether we stop doctors going on strike in the NHS

:40:38. > :40:43.altogether, as is the case with other emergency services?

:40:44. > :40:51.It might be the first time he has vouchsafed to the house he hs a

:40:52. > :40:56.Guardian reader! I was nervous mentioning the fact the govdrnment

:40:57. > :41:05.has made 107 concessions. I knew that for him it would be 107 to

:41:06. > :41:11.many. His broader point is spot on. The working terms and conditions for

:41:12. > :41:16.Saturday's for junior doctors in this contract are better th`n the

:41:17. > :41:21.nurses, police officers, fire officers and many other parts of the

:41:22. > :41:28.country and economy. That is why I think it is a fair deal that

:41:29. > :41:34.everybody should welcome. I know the Secretary of State would agree that

:41:35. > :41:37.what sums up this dispute that under the existing contract we cotld be

:41:38. > :41:42.treated by a doctor working their 91st hour in a week. Would he agree

:41:43. > :41:46.that is bizarre to see this level of strike action called when the BMA

:41:47. > :41:54.council was divided on whether to support it? That is right. He

:41:55. > :41:59.alludes to the fact that in the new contract we are reducing thd maximum

:42:00. > :42:05.hours any doctor can be askdd to work in any one week from 90 down to

:42:06. > :42:10.72 hours and there are other safeguards in there. He is right,

:42:11. > :42:17.this should not be happening and I urge the BMA to reconsider. Can I

:42:18. > :42:23.offer my support? I have never heard him vilify the doctors as hd was

:42:24. > :42:26.accused of doing, language not appropriate in this debate. Is he

:42:27. > :42:33.aware that they have been told not to speak to the junior doctors to

:42:34. > :42:37.resolve it in the hospital foundation trusts themselves? Is he

:42:38. > :42:43.aware of that and if that is the instruction, does he agree ht will

:42:44. > :42:50.not help sort it out? I am surprised to hear that. If he wants to pass me

:42:51. > :42:56.details, I will look into it. On the ground, the management of hospitals

:42:57. > :42:59.are working closely with junior doctors and BMA representathves to

:43:00. > :43:07.do everything to keep patients safe if the strikes go ahead. Order. I am

:43:08. > :43:16.most grateful to the Secret`ry of State and two colleagues. Wd come

:43:17. > :43:22.now to the programme motion, the minister to move formally. The

:43:23. > :43:31.question is the Finance Bill programme number two motion as on

:43:32. > :43:41.the order paper. As many who say aye? I think the ayes have ht. The

:43:42. > :43:47.Finance Bill to be considerdd. Order, we begin with clause five

:43:48. > :43:53.with which it will be convenient to consider the other new clauses and

:43:54. > :43:58.Ben did on the selection paper. To move, I call Mr Roger Mullin. There

:43:59. > :44:07.has been a change of personnel. Kirsty Blackmon. Apologies that we

:44:08. > :44:11.did not get the correct namd to you. I rise to speak to new clause five

:44:12. > :44:18.in the name of myself and honourable friends but I want to mention

:44:19. > :44:26.Amendment 162, which has bedn put in by the Labour Party, to notd I look

:44:27. > :44:30.forward to hearing them spe`k about amendment 162 and if they intend to

:44:31. > :44:34.put it to the vote we will join them in the lobbies. New clause five is

:44:35. > :44:42.the corporation tax treatment of the toiling gas industry. -- of the oil

:44:43. > :44:48.and gas industry, something I have spoken on a number of times. We are

:44:49. > :44:56.asking for a comprehensive review of corporation tax rates for company is

:44:57. > :45:06.producing oil and gas in thd UK or on the continental shelf. The

:45:07. > :45:12.Finance Bill we are discusshng implements measures put in place and

:45:13. > :45:17.discussed in February and M`rch before the EU vote. There h`s been

:45:18. > :45:24.no substantive change by thd government to the Bill as a result

:45:25. > :45:29.of the Brexit vote. We need to look at making changes because wd find

:45:30. > :45:33.ourselves in a different situation. It is unfortunate the changds have

:45:34. > :45:36.not been made and there has not been more announcement from the

:45:37. > :45:48.government on how they will manage the financial situation. In terms of

:45:49. > :45:55.where we are now, in terms of the oil and gas industry and thd impact

:45:56. > :46:01.on Aberdeen, where I represdnt, and the UK tax take to the Treasury it

:46:02. > :46:08.is important we are seriously considering making changes. We have

:46:09. > :46:14.been asking repeatedly for changes to the tax rates, for a str`tegic

:46:15. > :46:21.review, and we appreciate the government made changes earlier this

:46:22. > :46:29.year, but we do not think they go far enough. I have a quote from a

:46:30. > :46:33.renowned petroleum Economist and his long-term research partner who have

:46:34. > :46:38.worked on sophisticated moddlling tools. If the minister has not read

:46:39. > :46:44.this, it would be worth reading along with its reports. The work

:46:45. > :46:49.they have done suggests 30% corporation tax is too high and far

:46:50. > :46:53.above the normal North Sea rate and they say from the analysis of

:46:54. > :47:02.economic sovereignty is at `n exploration it is clear that at 50-

:47:03. > :47:08.$60 prices, there are many larginal project investment situations, which

:47:09. > :47:16.is key. It is nice to have lore of a back-up from renowned experts on

:47:17. > :47:22.this. It bears repeating thd position the industry is in now

:47:23. > :47:29.Estimates vary but we have lost around 125,000 jobs. We started with

:47:30. > :47:36.420 5000. It is a massive ntmber of jobs, a huge reduction in the tax

:47:37. > :47:41.take to the Treasury and also a massive hit for the local area,

:47:42. > :47:49.across Scotland and particularly Aberdeen. Because of the reduction

:47:50. > :47:56.in the oil price, we have sden companies changing behaviour. They

:47:57. > :48:01.have made people redundant, changed shift patterns and terms and

:48:02. > :48:07.conditions and they have reduced production costs, which is ` good

:48:08. > :48:10.thing. I thank my honourabld friend for giving way. Brexit casts

:48:11. > :48:16.uncertainty over the industry which under this government has h`d

:48:17. > :48:20.legislative goalposts almost continuously moved, hindering

:48:21. > :48:29.investment. Does my honourable friend agree that the measures

:48:30. > :48:33.announced prior to the EU vote, and that more must be done to mhtigate

:48:34. > :48:41.investor uncertainty in the oil and gas sector? I agree. Brexit

:48:42. > :48:48.compounds the issues we see in the industry, particularly in the North

:48:49. > :48:53.Sea in terms of investment. In terms of project sanctioned, this year, we

:48:54. > :48:58.expect less than ?1 billion of new capital project to be agreed. In the

:48:59. > :49:04.past five years in every ye`r we have seen an average of ?8 billion

:49:05. > :49:07.spent, a massive drop-off. @ lot is to do with the global oil price but

:49:08. > :49:14.the government has not done enough to increase investor confiddnce

:49:15. > :49:18.Because of the companies having negative cash flow they are not

:49:19. > :49:24.sanctioning new things which means the supply chain, we are losing jobs

:49:25. > :49:32.and contracts and expertise and losing people in the industry around

:49:33. > :49:37.Aberdeen and Scotland and the UK. Exploration activity is at `n

:49:38. > :49:44.all-time low. A report earlher this year said that if the current

:49:45. > :49:47.trajectory of low investment and not sanctioning projects contintes we

:49:48. > :49:52.will see a fall in production in 2020, which is really important to

:49:53. > :49:59.note will stop we are not rdady for the fall in production will stop

:50:00. > :50:04.maximising the recovery str`tegy, the oil and gas authority's main aim

:50:05. > :50:10.is to ensure we get as much out of the Northsea as we can and because

:50:11. > :50:16.of this lack of sanctioning we have seen a major issue with that. No

:50:17. > :50:20.matter what the minister dods and I have asked ministers about this

:50:21. > :50:26.issue, we are not seeing investor confidence and we are seeing a

:50:27. > :50:32.drop-off in investment. I wdlcome the oil and gas authority's changes.

:50:33. > :50:39.One thing they have done is work on making it easier to transfer assets

:50:40. > :50:46.which is key, because we do not want decommissioning to happen qtickly.

:50:47. > :50:50.We do not want it to happen now I understand if we can get enough

:50:51. > :50:54.spend there will be a financial benefit to UK companies frol

:50:55. > :50:59.decommissioning as long as we can ensure the supply change for

:51:00. > :51:03.decommissioning is based in the UK. We are going to see some assets

:51:04. > :51:08.reaching the end of their lhfe and some of those assets that h`ve been

:51:09. > :51:14.in the North Sea for 30 years are at the end of their useful lifd and

:51:15. > :51:18.need to be decommissioned and I welcome the move to ensure `s much

:51:19. > :51:22.of that spent to happen in the UK and I welcome the push they have to

:51:23. > :51:29.insure assets can be transfdrred so as much oil as possible can be

:51:30. > :51:35.recovered. They have focused on recovery but I do not think the

:51:36. > :51:38.government has done enough on enhanced oil recovery. More needs to

:51:39. > :51:50.be done in changing the tax regime around that to ensure companies can

:51:51. > :51:55.undertake enhanced oil recovery I hear her standing up for her

:51:56. > :52:00.constituency. What amuses md is if the independence photo gone through,

:52:01. > :52:07.in 2016, Spring, Scotland would have had an income of ?100 billion of

:52:08. > :52:11.expenditure of ?120 billion, a deficit of 20%. Now she is

:52:12. > :52:19.advocating increasing the black hole. How would she bridge that gap?

:52:20. > :52:23.The current structural deficit, the thing about it is the fact we are

:52:24. > :52:30.under a Westminster governmdnt, we do not have full control of our

:52:31. > :52:34.economy, a damning indictment on how the Westminster government hs

:52:35. > :52:38.running the economy is Scotland It is important we get independence and

:52:39. > :52:42.we can make decisions, parthcularly in the oil and gas industry, where

:52:43. > :52:48.the government has not moved quickly enough in changes made. It hs

:52:49. > :52:50.important we do that so we can make decisions and grow the economy

:52:51. > :53:01.because the Westminster govdrnment is failing to do so. In terls of the

:53:02. > :53:04.future for energy and the Northsea, there is a report called endrgy

:53:05. > :53:12.perspectives. It is important to look at the future and think of the

:53:13. > :53:17.North Sea in that context. Tp to 2040, Statoil predict energx demand

:53:18. > :53:22.will grow between 5% and 35$. A wide range because they look at different

:53:23. > :53:30.scenarios but in all we see an increase in total energy deland and

:53:31. > :53:35.we see that in 2040, 78 million barrels a day and 160 million

:53:36. > :53:41.barrels a day, the energy to mount. Currently it is over 90. We are

:53:42. > :53:47.thinking about renewable oils and regeneration that up to 2040, even

:53:48. > :53:51.in the scenario where we have a huge number of renewables, we ard seeing

:53:52. > :53:55.a massive demand for oil and gas in the world and a need for oil and gas

:53:56. > :54:02.to come out of the ground to support the economies of the world. It is

:54:03. > :54:11.important we ensure the UK continues to be involved in that and continues

:54:12. > :54:19.to get the financial benefit. On that point, is she aware th`t over

:54:20. > :54:25.half of the oil supply comp`nies, support companies, in the UK, are

:54:26. > :54:30.located in England and that this amendment affects all oil companies

:54:31. > :54:37.in the UK, not just in Scotland I appreciate that point. I was not

:54:38. > :54:42.aware of the numbers but I knew from talking to colleagues across the

:54:43. > :54:48.house, who have supported companies in their constituencies, th`t there

:54:49. > :54:53.was a widespread number. It is important that we are talking about

:54:54. > :55:00.UK spend, we are currently part of the UK. These tax changes whll help

:55:01. > :55:06.all of those companies in the industry throughout the UK, whether

:55:07. > :55:14.they are in Aberdeen or in Wales, the South of England, wherever. In

:55:15. > :55:18.terms of UK supply chain spdnd it brings me on, the oil and g`s

:55:19. > :55:25.authority have talked posithvely about this. This is one of the most

:55:26. > :55:31.vital things. I have talked about energy demand up to 2040 but we will

:55:32. > :55:36.see at some point a reduction in the amount of oil and gas produced by

:55:37. > :55:42.the UK. However, it is key that we are world leaders in terms of the

:55:43. > :55:49.oil and gas expertise we have. We are very good at what we do and

:55:50. > :55:53.respected across the world. Subsea technology, we are 20 years ahead of

:55:54. > :55:59.America. America have not done much in terms of the Gulf of Mexhco

:56:00. > :56:03.extraction will stop we will be there, teaching America how to use

:56:04. > :56:26.subsea technology and we will export that technology to them.

:56:27. > :56:37.In the current downturn. Shd's saying the Scottish National Party

:56:38. > :56:42.wish to explore the expertise so we can have more and more fosshl fuels

:56:43. > :56:46.going up in the environment because the golf of Mexico are prodtcing

:56:47. > :56:50.more with Scottish expertisd? Because if she is, that is running

:56:51. > :56:57.counter to the world and thd Paris talks. If the honourable melber had

:56:58. > :57:03.listened to what I said earlier they reckon that even if we have a

:57:04. > :57:08.huge push toward renewable technologies, even if it is a huge

:57:09. > :57:13.push in terms of reducing c`rbon, we will still see a need betwedn 1 0

:57:14. > :57:18.million barrels of oil a dax and that is with taking on board the

:57:19. > :57:22.very best of those technologies and increase in the very best of them,

:57:23. > :57:28.we will still continue to nded for example road surfaces, which are

:57:29. > :57:32.made from heavy oil. We will still continue to need these things so

:57:33. > :57:36.long way into the future until we come incredible alternatives, is not

:57:37. > :57:39.just about energy and electricity oration, is about all the dhfferent

:57:40. > :57:46.things we use oil for including plastic. In terms of exporthng, is

:57:47. > :57:52.important we make sure we h`ve a bright future in it. I am told, you

:57:53. > :58:01.can't go to used and without hearing and Aberdeen accent, becausd we ve

:58:02. > :58:05.got the links -- to Houston. We have the links and send our experts over

:58:06. > :58:08.there who are making money the company is here. They're sthll

:58:09. > :58:12.employed by companies here `nd devising the technology being spent

:58:13. > :58:16.and used in America and othdr places across the world, not just @merica.

:58:17. > :58:20.We find ourselves operating in the North Sea in the super mature field.

:58:21. > :58:26.This is one of the first fidld in the world coming to that st`tus

:58:27. > :58:29.It's one of the first. We h`ve got a proud history of exporting `nd

:58:30. > :58:33.getting incredibly good at what we do and teaching the rest of the

:58:34. > :58:38.world how to do it. We've also got a proud history of being respdcted

:58:39. > :58:43.around the world. Our oil and gas industry throughout the world is

:58:44. > :58:47.respected. If you say to solebody in an oil company in another country,

:58:48. > :58:52.this technology is used in the UK and in the North Sea, that

:58:53. > :58:58.automatically is a gold standard and is recognised around the world. In

:58:59. > :59:04.order for us to continue to generate tax revenues from this and to

:59:05. > :59:08.sustain jobs from these sittations, we need to make sure our colpanies

:59:09. > :59:15.have enough cash to innovatd. What the Government has done, although

:59:16. > :59:18.vaguely supportive, is not supportive enough. We're sthll

:59:19. > :59:24.seeing companies struggling to get assistance from banks and the way

:59:25. > :59:28.ministers have spoken to banks, is still not enough, the confidence is

:59:29. > :59:32.not there to the degree that we needed to be. What we would really

:59:33. > :59:38.like, we are the first country operating in this super mattre

:59:39. > :59:45.situation, we need now a review of the taxes across the oil and gas

:59:46. > :59:49.industry. It was devised ye`rs ago in a totally different situ`tion,

:59:50. > :59:53.it's had bits will opt on and taken off, but it's never been looked at

:59:54. > :59:57.overall and that's what we need to do now and I urge the Minister to

:59:58. > :00:10.have a look at the entire t`x regime for this week another better future.

:00:11. > :00:19.The question is that clause five be read a second time. Thank you, but

:00:20. > :00:23.honourable lady will be ple`sed to know she can come to my constituency

:00:24. > :00:27.from time to time to hear an Aberdonian accent. I have a lot of

:00:28. > :00:31.sympathy for the situation she finds herself in today, inevitablx,

:00:32. > :00:37.there's been a lot of tinkering with tax raised in oil and gas. Hn my 15

:00:38. > :00:42.years in the House, it seems barely a year goes by without any finance

:00:43. > :00:48.bill being part and parcel of this. What I would say is clearly we are

:00:49. > :00:54.yet to know whether the gas price and oil price is going to bd

:00:55. > :00:58.stabilised at 50- $60 a barrel or if it'll go in a different dirdction

:00:59. > :01:07.and I'm sure the Treasury whll have this whole issue under constant

:01:08. > :01:11.review. I must confess I've some... I thank the honourable gentleman for

:01:12. > :01:16.giving way. Many believe thd industry in question has bedn

:01:17. > :01:22.adversely affected by Brexit. When the people of the UK could get Ning

:01:23. > :01:24.site into this, the Chancellor and said, a series of data publhcations

:01:25. > :01:29.during the late summer and `utumn will form a proper response at the

:01:30. > :01:33.Autumn Statement. Many other members of this House asked similar

:01:34. > :01:38.questions to which he gave ` similar answer, that is to say, all will be

:01:39. > :01:41.revealed in the Autumn Statdment. Does the honourable gentlem`n agree

:01:42. > :01:47.that the Chancellor, having now had a few months to think about it,

:01:48. > :01:52.should at least give us a d`te for the coming Autumn Statement? I

:01:53. > :01:59.suspect we all know the statement is coming up at some point in late

:02:00. > :02:07.November or early December hf Brexit is anything to go by. What H would

:02:08. > :02:10.say is this, as somebody who is firmly in favour of remaining in the

:02:11. > :02:16.European, we have to make Brexit work and it will take time. -- the

:02:17. > :02:19.European Union. I understand the frustration of those who'd like to

:02:20. > :02:23.see a template on these matters but the Government I think our right to

:02:24. > :02:31.play cards close to our chest. It's a diplomatic process that whll take

:02:32. > :02:35.considerable time. One of the great strength we've had in diplolatic

:02:36. > :02:39.affairs in the UK going back many centuries is the sense of bding able

:02:40. > :02:42.to make something work for the interests of this country. We have

:02:43. > :02:51.to recognise what is going on in the world, whether oil and Pras`d - oil

:02:52. > :02:54.and gas prices or in other `reas, it's an incredibly volatile time,

:02:55. > :02:59.politically and economicallx. And the notion we can have any direct

:03:00. > :03:06.template in place now or at any point during the course of this year

:03:07. > :03:14.is misleading. He has the most gracious. The right honourable

:03:15. > :03:18.member has expressed concerns that the Government and this was echoed

:03:19. > :03:23.when President Obama confirled post-referendum that the EU is a

:03:24. > :03:26.much better priority for US trade relations than the UK outside of the

:03:27. > :03:31.EU. Given American investment in oil and gas in the UK, does the

:03:32. > :03:35.honourable gentleman agree that this Government has had more than enough

:03:36. > :03:41.time to get British people ` definitive definition of Brdxit and

:03:42. > :03:45.should now be forming the ptblic of urgent action it's taking now outer

:03:46. > :03:50.support imported industries such as the oil and gas sector? A htge

:03:51. > :03:54.amount of actions are taking place now. It is far too early to have any

:03:55. > :04:00.definitive approach as to what Brexit will entail. We have to

:04:01. > :04:05.ensure that we get as much `s a benefit of being in a singld market

:04:06. > :04:09.and I say that in the context of the City of London, as much as hs

:04:10. > :04:13.compatible with the public's Clearview about free movement of

:04:14. > :04:19.people. I hope in the months ahead we will work on that but it is too

:04:20. > :04:24.early and it will be a discredit to all industries, oil and gas and

:04:25. > :04:29.others that are so dependent upon exports and in being global

:04:30. > :04:32.industries, on the expertisd they have it across the globe to be

:04:33. > :04:48.definitive about what Brexit has to play. In relation to

:04:49. > :04:56.clause ten, there has been H think a danger that governments of `ll

:04:57. > :05:02.stripes over the last decadd or so have been perhaps too much hn thrall

:05:03. > :05:04.to certain industries, whether financial services or the global

:05:05. > :05:11.Internet technology industrhes. I think it's pointing out the benefit,

:05:12. > :05:17.the significant benefit of the patent box plan put in placd by the

:05:18. > :05:22.former Chancellor some years ago, is that it has begun to enable the

:05:23. > :05:26.intellectual property value to be quantified and used on coll`teral in

:05:27. > :05:34.many of the fast growth companies in the technologies sphere. It strikes

:05:35. > :05:37.me the Treasury now needs ndw sources of revenue to swell our

:05:38. > :05:45.collective coffers at a timd when the deficit remains dangerotsly high

:05:46. > :05:49.and in what we regard as normal peacetime conditions, it's `n

:05:50. > :05:54.unprecedentedly high rate of deficits. It would also be wise not

:05:55. > :05:57.to ignore the level of publhc and on a wilful tax avoidance by m`ny of

:05:58. > :06:02.the digital distributors who are potentially some of the

:06:03. > :06:06.beneficiaries of this plan `nd its influence upon the Western dconomies

:06:07. > :06:09.has at times been somewhat pernicious. The sobering trtth is

:06:10. > :06:14.the global technology and communication service providers and

:06:15. > :06:17.their stratospheric growth over the last 20 years has been aided by

:06:18. > :06:25.their ability to avoid taxation whether it is Google, Gruber,

:06:26. > :06:30.Facebook or Apple, to name but four, they have been able to squirrel away

:06:31. > :06:37.profits to the most tax adv`ntageous manner. I hope the Treasury will

:06:38. > :06:43.look at this not just in thd next six months, but the years to come,

:06:44. > :06:47.to ensure we have a more eqtitable situation and will be except by the

:06:48. > :06:52.public at large. I accept also in this regard in relation to both the

:06:53. > :06:57.creative industries and global technology Boyers, that it'd be wise

:06:58. > :07:01.to reflect that perhaps elelents of this advantageous tax treatlent not

:07:02. > :07:06.just by the UK Government btt by others in the Western world, has

:07:07. > :07:10.been the price that we have had to pay and taxpayers have paid for the

:07:11. > :07:15.Government being allowed to secure the essential cooperation in the

:07:16. > :07:19.sphere of Internet surveill`nce which Western governments bdlieve

:07:20. > :07:24.rightly in my view so vital to national security. However, I do

:07:25. > :07:31.believe it's time to recognhse that Corporation Tax as we know ht, is

:07:32. > :07:35.now probably passed its sell by date as an appropriate means of capturing

:07:36. > :07:39.value in a modern, globalisdd economy. A levy on turnover rather

:07:40. > :07:44.than profits mined in time be the best way forward and I apprdciate

:07:45. > :07:48.this is not necessarily the place to be making policy on the floor of the

:07:49. > :07:53.House, but to have the Treasury will will give serious thought to these

:07:54. > :07:57.industries going forward. I always worry that here he comes from the

:07:58. > :08:09.wrong quarter, though some of my colleagues are agreeing. Google made

:08:10. > :08:14.headlines earlier this year that despite employing some 2400 people

:08:15. > :08:18.in the UK and harvesting thd national estimate profits in excess

:08:19. > :08:21.of ?1 billion, that we will know exactly what the profit levdl was,

:08:22. > :08:26.it was able to pay Corporathon Tax it was able to pay Corporathon Tax

:08:27. > :08:39.at a level of 3%. Even before its recent trials, Apple declardd last

:08:40. > :08:42.year for in pre-tax profits of some ?47.5 billion -- 40 $.5 billion on

:08:43. > :08:46.which it paid some 9.9% of tax compared with group widening, of

:08:47. > :08:50.some 17.7 billion. It suggests taxes on profits on the way forward,

:08:51. > :08:53.particularly in these global industries where, as I say, there's

:08:54. > :09:00.the risk money can be scrolled aside. That said, I think it's

:09:01. > :09:05.important to say that the p`tent box, whilst purportedly in some ways

:09:06. > :09:10.giving preferential treatment to tax in this area, one we should look

:09:11. > :09:15.closely at, nonetheless has brought some significant benefits. One of

:09:16. > :09:20.the biggest problems facing many Internet businesses as they grow is

:09:21. > :09:23.to be able to quantify the value of their intellectual property rights

:09:24. > :09:26.and in many ways, the failure to do that means they don't get that

:09:27. > :09:32.opportunity to be able to collateralised their book v`lue to

:09:33. > :09:39.our for the future. We need to find a way and I think patent box has

:09:40. > :09:45.paid a successes in this regard Apologies for jumping the gtn, I'm

:09:46. > :09:48.slightly more interested to see the justification from the Opposition

:09:49. > :09:54.benches for their new clausd ten and as I say, I don't feel it would be

:09:55. > :09:59.the right way forward and that in the raw important debates to have in

:10:00. > :10:02.relation to the working is not just of legislation but ensuring we have

:10:03. > :10:25.a level playing field... Something H think

:10:26. > :10:34.particularly in these difficult economic times we can ill afford in

:10:35. > :10:40.this country. I worried the Right Honourable gentleman was saxing

:10:41. > :10:46.there was a hear hear from this side of the House also. You'd be

:10:47. > :10:51.surprised how loud we can bd and you'll see that in the coming months

:10:52. > :10:54.and years. It's absolutely time to have the debate about the bdst way

:10:55. > :11:08.to tax our businesses. Equally what the government claims

:11:09. > :11:12.it is doing and doing insufficiently through corporation tax, whhch is to

:11:13. > :11:19.support this does in this country better through taxation that works

:11:20. > :11:25.and taxation that recognises and gives incentives to business. I make

:11:26. > :11:34.it clear that the amendment I am speaking to, amendment 177, is very

:11:35. > :11:38.much a probing amendment. To sweep away corporation tax altogether It

:11:39. > :11:48.is very much to trigger that debate, a debate we should have as `

:11:49. > :11:52.country. The reality is that the government will continue to argue

:11:53. > :11:58.that a cut in corporation t`x will somehow boost growth but thd

:11:59. > :12:06.evidence for a cut below 20$ is simply not there. The government of

:12:07. > :12:11.failing to ask the question whether corporation tax actually works. As

:12:12. > :12:16.the right honourable gentlelan has mentioned, it is only a matter of

:12:17. > :12:22.time before no doubt we hear of the next scandal of the company managing

:12:23. > :12:27.to avoid paying corporation tax Last week it was Apple's de`l with

:12:28. > :12:33.Island and before that Google, before that Facebook, beford that

:12:34. > :12:38.Amazon. Even the Labour Party got in hot water for having managed to

:12:39. > :12:40.offset profits to reduce thdir corporation tax bill. Surelx those

:12:41. > :12:52.on the government side would recognise there is an issue. We have

:12:53. > :12:58.arguments about the moralitx of these corporations and we sometimes

:12:59. > :13:04.have outrage in this place, but that is not good enough and will not deal

:13:05. > :13:11.with the problem. We have to accept that while the government is making

:13:12. > :13:13.unnecessary and damaging cuts to HMRC, it makes it harder to

:13:14. > :13:22.challenge these companies, testing the limits of the law. Therd is an

:13:23. > :13:29.underlying, unwillingness to address corporation tax and its fitness for

:13:30. > :13:36.purpose. Regarding the realhty of multinational corporations hn the

:13:37. > :13:42.21st century. As Martin Sorrell the chief executive of WPP said in 013,

:13:43. > :13:49.during the Starbucks corpor`tion tax scandal, he said for many

:13:50. > :13:54.multinational companies, whdther to pay corporation tax is a qudstion of

:13:55. > :13:59.judgment, something to be ddcided according to PR perception `nd

:14:00. > :14:05.perhaps their rowing corpor`te social responsibility poliches, but

:14:06. > :14:08.not something decided by Her Majesty's Revenue and Custols, which

:14:09. > :14:14.it surely should be. As the right honourable gentleman made clear

:14:15. > :14:19.they should not be seen as ` left or right issue, it is an issue of

:14:20. > :14:25.practicality. In the Telegr`ph last week Allister Heath publishdd a

:14:26. > :14:31.piece entitled the Apple fi`sco shows why corporation tax is an

:14:32. > :14:36.outdated anachronism will stop Lord Lawson famously called for

:14:37. > :14:40.corporation tax to be a tax on revenue rather than profit. There

:14:41. > :14:46.are flaws with that but at least he was seeking to challenge thd status

:14:47. > :14:53.quo, which surely is outdatdd. On the other side of the spectrum, the

:14:54. > :14:57.Guardian, Oxfam and the excdllent tax Justice network have all

:14:58. > :15:02.previously highlighted the dase by which multinationals can avoid

:15:03. > :15:10.corporation tax altogether. There are ways we can better support

:15:11. > :15:15.business that we could have a tax system that works. This misses are

:15:16. > :15:19.crying for changes in the sxstem. Many businesses say the first thing

:15:20. > :15:26.they would like reformed as business rates, the second is VAT. There are

:15:27. > :15:30.industries who provide a huge amount to the British economy and pay a

:15:31. > :15:35.significant amount of tax who are not listen to because they `re not

:15:36. > :15:41.large corporations. I gave the example of the tourism industry and

:15:42. > :15:46.hospitality where a change to VAT would have a greater impact than

:15:47. > :15:54.tinkering with corporation tax in an attempt to grab the headlinds are

:15:55. > :15:58.supposedly supporting busindss. It is right to say a nurse has been

:15:59. > :16:08.said, there is no obvious solution, but surely it is time to look to

:16:09. > :16:13.have a solution to a sensibly and fairly taxation for businesses in

:16:14. > :16:17.the 21st century. My honour`ble friend the member for Westmorland

:16:18. > :16:24.has already appointed Sir Vhnce Cable, a former distinguishdd this

:16:25. > :16:27.secretary, to lead a review of corporation tax and business rates

:16:28. > :16:35.for my party, will contribute to this. Instead of simply tryhng to

:16:36. > :16:41.say the government are standing up for business, simply having yet more

:16:42. > :16:47.cuts to corporation tax will not truly deliver that and will not deal

:16:48. > :16:51.with the reality that we ard not collecting tax in an efficidnt way

:16:52. > :17:02.from companies who are now run in a very different way. Thank you. I

:17:03. > :17:09.speak to amendment 162 and new clauses ten and 11 in my nale and

:17:10. > :17:14.that of my honourable friends and new clause five, I support, which

:17:15. > :17:19.has been explained for the honourable member for Aberdden North

:17:20. > :17:29.and confirm 177 which has jtst been illustrated. Amendment 162 would

:17:30. > :17:36.remove clause 44 from the Bhll and halt the government cut to the rate

:17:37. > :17:39.of corporation tax to 17% bx 20 0. The government claimed that cutting

:17:40. > :17:45.corporation tax would make Britain a more 50 inward investors, would make

:17:46. > :17:51.Britain more competitive and would support growth and investment.

:17:52. > :17:56.Today, I would be grateful hf the minister could elaborate on the

:17:57. > :18:02.evidential basis of these claims. We know the theory, if you cut tax on

:18:03. > :18:07.profit there is more cash for companies to invest in expansion,

:18:08. > :18:10.RMT, labour and also we theoretically become more attractive

:18:11. > :18:15.to foreign businesses. The problem is it seems that somewhere hn the

:18:16. > :18:22.development of this theory, the Chancellor forgot to check the

:18:23. > :18:25.reality, as the figures do not support the age-old conserv`tive

:18:26. > :18:30.mantra. Figures provided by the House of Commons library show in

:18:31. > :18:39.1998 business investment as a percentage of GDP was 10.8%. In

:18:40. > :18:47.2000, it was 10.6%. The corporation tax rate in those years was 31% and

:18:48. > :18:56.30% respectively. In 2015 btsiness investment as a percentage of GDP

:18:57. > :19:03.was 9.7%. In 2015, business investment as a percentage of GDP

:19:04. > :19:10.was 9.7% and the rate of corporation tax was considerably lower than 2000

:19:11. > :19:16.at 20%. Why therefore were businesses in the state of

:19:17. > :19:22.investment frenzy in 2015 if indeed slashing corporation tax was the

:19:23. > :19:24.golden ticket to investment? I appreciate there are many f`ctors

:19:25. > :19:31.that affect the level of business investment. A comparison with the

:19:32. > :19:35.figures would suggest that ` lower rate of corporation tax does not

:19:36. > :19:42.correlate with a higher levdl of business investment. Let's look at

:19:43. > :19:49.different variable, foreign direct investment or FTI. The level of FDI

:19:50. > :19:55.in the UK has been steadily falling since 2005 with a few anomalies the

:19:56. > :20:01.way. This has coincided with a steady reduction in the ratd of

:20:02. > :20:07.corporation tax. In 2005, the level of FDI flows to the UK was 86.8

:20:08. > :20:18.billion and corporation tax was at 30%. In 2014, FDI was 27.8 billion

:20:19. > :20:22.and corporation tax at 21%. There could be many factors at pl`y but

:20:23. > :20:27.the figures again demonstrate there is no strong correlation between low

:20:28. > :20:34.rates of corporation tax and higher rates of investment and FDI. I

:20:35. > :20:39.appreciate low corporation tax rates may attract some companies to locate

:20:40. > :20:42.here because they will want to pay less tax, but attracting thdm to

:20:43. > :20:48.truly invest in the developlent of industry here as well as encouraging

:20:49. > :20:56.UK companies to flourish is another matter and this requires much more

:20:57. > :21:02.than just a tax break. By the government's own analysis this cut

:21:03. > :21:06.is expected to cost almost 1,000,000,020 20-21 in addition to

:21:07. > :21:16.the 2.5 billion cost in the same year of cutting corporation tax to

:21:17. > :21:21.19% from 2017. The IFS calctlated the government cuts to corporation

:21:22. > :21:27.tax of cost 10.8 billion a xear so the question arises, could the money

:21:28. > :21:30.be better spent to incentivhse much-needed investment and the

:21:31. > :21:37.minister will not be surprised to hear the opposition think so. Many

:21:38. > :21:41.businesses have cash. The House of Commons library provided figures

:21:42. > :21:44.showing the total amount of currency or cash reserves held by

:21:45. > :21:51.non-financial companies in the private sector is at a 20 ydar high

:21:52. > :21:56.at 581 billion. The problem is not that businesses need more c`sh, it

:21:57. > :22:00.is other factors in the economy that need improvement. Skills,

:22:01. > :22:07.infrastructure, innovation, productivity. 10.8 billion `s

:22:08. > :22:11.estimated by the IFS is a l`rge sum of money which I suggest wotld be

:22:12. > :22:15.better invested in filling gaps in our economy that are failing

:22:16. > :22:22.business, not engaging in a race to the bottom to become the world's

:22:23. > :22:26.next big immoral tax haven but providing building blocks for

:22:27. > :22:29.business to succeed and with this comes more revenue in taxes as

:22:30. > :22:36.businesses flourish and well-paid jobs are created. Labour has

:22:37. > :22:40.committed to such investment through a national investment bank `nd the

:22:41. > :22:45.bank of the North to address those areas left behind after dec`des of

:22:46. > :22:52.regional decline. Our national and regional development banks would

:22:53. > :22:58.unlock 500 billion of investment and lending to SMBs. Including 250

:22:59. > :23:03.billion of capital investment in infrastructure we need and to help

:23:04. > :23:08.prevent economic slowdown. The regional focus of development banks

:23:09. > :23:12.will enable the government to ensure investment and lending is spread

:23:13. > :23:17.around the country, not just siphoned into the South and benefits

:23:18. > :23:21.from local knowledge and expertise, insuring metal area in Brit`in is

:23:22. > :23:27.left behind. The bank of thd North would also unlock the potential of

:23:28. > :23:32.the North with a push to deliver the infrastructure and investment that

:23:33. > :23:37.it has been deprived of for too long. We have committed to dnsuring

:23:38. > :23:44.the workforce has the skills and business needs through rest`ting the

:23:45. > :23:48.EMA and maintenance grants for younger students, funded by a

:23:49. > :23:52.corporation tax rate of 21% will stop this is the intervention

:23:53. > :23:56.businesses are looking for. Policies with an impact on a company's

:23:57. > :24:03.ability to develop business, not simply cuts to the headline rate of

:24:04. > :24:11.corporation tax. To concludd my remarks on amendment 162, the cut to

:24:12. > :24:17.corporation tax is brought `bout by clause 45 is not the best use of

:24:18. > :24:21.public money in order to support businesses in the UK and I trge

:24:22. > :24:28.honourable members from all sides to join us in the lobby to votd in

:24:29. > :24:32.favour of our amendment. Turning to amendment new clause ten relating to

:24:33. > :24:37.the Patent Box, the honourable member for the Cities of London and

:24:38. > :24:43.Westminster made fantastic comments earlier. The amendment would require

:24:44. > :24:46.the Chancellor to publish an independent review of the efficacy

:24:47. > :24:52.and value for money of the legislation. The report would have

:24:53. > :24:57.to assess the size and nature of the companies taking advantage of the

:24:58. > :25:03.Patent Box legislation. Secondly, the impact of the legislation on

:25:04. > :25:09.research and innovation in the UK, including supporting evidence and

:25:10. > :25:11.third, the cost effectiveness of the Patent Box legislation in

:25:12. > :25:15.incentivising research and development compared to othdr

:25:16. > :25:21.policies. My honourable fridnds and I are supportive of governmdnt

:25:22. > :25:25.action to incentivise research and development but we are not convinced

:25:26. > :25:30.the Patent Box legislation has achieved this and we are not alone.

:25:31. > :25:39.Many have criticised the Patent Box even before its introduction in

:25:40. > :25:42.2012. The IFS stated it was poorly targeted at research becausd it

:25:43. > :25:47.targets income that results from patent technology not the rdsearch

:25:48. > :25:51.itself, to the extent that ` Patent Box reduces the tax rate for

:25:52. > :25:54.activity that would have occurred in the absence of government

:25:55. > :26:03.intervention and the policy includes a dead weight cost. Furtherlore a

:26:04. > :26:06.respected economist who belheves in government intervention to support

:26:07. > :26:10.research and development made the statement that it is a scam with no

:26:11. > :26:15.effect on innovation, the P`tent Box.

:26:16. > :26:21.Now, let me be very clear. The Shadow Chancellor has ripped

:26:22. > :26:27.heatedly called for more intervention in this area btt we are

:26:28. > :26:33.not convinced the patents boxes the most effective way of doing so. It

:26:34. > :26:36.costs the exchequer approxilately 1 billion per year and there has been

:26:37. > :26:42.no evidence from the governlent that I am away that demonstrates its

:26:43. > :26:48.effectiveness. If the Minister can provide any today I would bd most

:26:49. > :26:51.grateful. Interestingly, a new study from Kings College London and the

:26:52. > :26:58.Medical Research Council shows that for everyone pound spent on public

:26:59. > :27:03.medical research five it reset increases by 99p. An increase in

:27:04. > :27:09.public medical funding by 500 million, half the cost of the Peyton

:27:10. > :27:14.walks, would boost Private ledical research- other ?499 million. This

:27:15. > :27:19.compares quite staggeringly to the so-called dead weight loss of the

:27:20. > :27:25.Peyton box. Interestingly sdarch, I am sure the Minister will agree I

:27:26. > :27:29.hope the Minister will agred that an independent assessment of the

:27:30. > :27:38.efficacy of the Peter and bop is will clarify for both those in the

:27:39. > :27:50.opposition the best week to achieve our shared goal. Moving on to number

:27:51. > :27:54.11. We do not oppose the government proposals within this bill hn

:27:55. > :27:59.relation to the power to make regulations about the taxathon of

:28:00. > :28:04.securitisation companies. However, we do think it timely for the

:28:05. > :28:07.government to conduct a revhew in relation to regulation presdnt in

:28:08. > :28:13.the industry saw any loopholes and the stock of practices can be

:28:14. > :28:17.eradicated. I am sure the honourable members know it was the nondxistence

:28:18. > :28:23.of the regulation of security structures which magnified `

:28:24. > :28:28.medium-sized crisis in the TS real estate market into a fully fledged

:28:29. > :28:34.riding banking crisis by 2008. There is a real worry on sides of this

:28:35. > :28:40.House that it has been business back to usual for our banking centre but

:28:41. > :28:46.the lessons learned from thd 20 8 crash, if any were learned `t all,

:28:47. > :28:51.have long been forgotten. In the default swaps market there has been

:28:52. > :28:55.large-scale repackaging and rebranding of toxic securitx

:28:56. > :29:00.projects which arguably caused the crisis in the first place. @ crisis

:29:01. > :29:05.that wasn't truly paid for by the banking sector and financial

:29:06. > :29:09.operators who caused it. It was shored up on the backs of the people

:29:10. > :29:15.of this country and, worst of all, the poor and the vulnerable.

:29:16. > :29:22.Furthermore, it was used as an excuse by this government to slash

:29:23. > :29:30.and burn our public services. Securitisation works by protecting

:29:31. > :29:33.assets whether sub-prime mortgages or special purpose vehicles and

:29:34. > :29:37.usually the profits or cash flows received from those cash flows back

:29:38. > :29:43.through the special-purpose vehicle to investors who have required on is

:29:44. > :29:47.in that special-purpose vehhcle The residual amounts are small compared

:29:48. > :29:53.to the sums that are paid through to the investors. However, as with all

:29:54. > :29:57.of these artificial financi`l structures, it is possible to

:29:58. > :30:04.manipulate those amounts for tax purposes and, indeed, credit default

:30:05. > :30:07.swaps, the most famous of the securitisation family, are

:30:08. > :30:12.deliberately flexible so as to manipulate the tax outcome. If we do

:30:13. > :30:15.not regulate this sector carefully now in quite simply it will become

:30:16. > :30:20.the drain through which the world will launder its dirty transactions.

:30:21. > :30:28.Especially with our exit from the EU we must ensure our fragile

:30:29. > :30:32.regulations are all depleted. This amendment deals with the review of

:30:33. > :30:37.taxation on security companx sufficiently. We would like the

:30:38. > :30:41.Minister to go much further and provide for a full assessment of all

:30:42. > :30:47.aspects of the regulation of securitisation companies thdreby

:30:48. > :30:53.showing unequivocally that the government has a commitment towards

:30:54. > :30:56.ensuring the tax arrangements of securitisation structures are

:30:57. > :31:01.regulated. I will not be dividing the House on new clause 11 today but

:31:02. > :31:05.I hope the Minister will make a commitment to these points today. To

:31:06. > :31:16.conclude on my remarks Labotr cannot support the cuts to corporation tax

:31:17. > :31:22.we have debated today and I will therefore be dividing the House on

:31:23. > :31:31.amendment 162 and I would lhke to move amendment 160 two. I whll seek

:31:32. > :31:41.to be brief. In new clause ten I am in evidence in favour of evhdence

:31:42. > :31:44.-based policy testing. The patent box legislation and tax bre`k has

:31:45. > :31:49.been helpful which may be true but we do not now. We know the National

:31:50. > :31:55.Audit Office looked at 200 tax reliefs and find the Treasury was

:31:56. > :32:02.only monitoring efficacious and is fewer than 300 of them. I do not

:32:03. > :32:07.think the patent box was part of that. I will give way. Something of

:32:08. > :32:14.a misunderstanding on exactly what the patent box was designed to do.

:32:15. > :32:19.It was not designed to promote research and development as some

:32:20. > :32:22.other incentives have come through year-on-year on budgets are designed

:32:23. > :32:27.to do. It is very much seen as trying to incentivise those

:32:28. > :32:33.companies at the second stage. In other words, companies that already

:32:34. > :32:36.had something very difficult to quantify, intellectual propdrty To

:32:37. > :32:40.be able to do so rather than directly at the research and

:32:41. > :32:44.development site. It is slightly unfair to suggest it is no dvidence

:32:45. > :32:49.that this has worked becausd it is being looked at in a differdnt light

:32:50. > :32:55.patent to that intended by those who put the box into play. I agree it is

:32:56. > :32:59.to help companies in their darly stages but with the fluctuation of

:33:00. > :33:01.tying those company should be passing through the pipelind and we

:33:02. > :33:05.should see the fruit of these endeavours helped by taxpaydr

:33:06. > :33:09.support. You could not look on you to see if it is effective or not

:33:10. > :33:18.that it has been around for a fuel use so we can. Or that on to 17 I

:33:19. > :33:26.was amazed to hear him say he would be per to examine the questhon of

:33:27. > :33:30.tax rather than corporation tax I have long advocated we should be

:33:31. > :33:37.looking at that because precisely of tax avoidance. If it be the case

:33:38. > :33:41.that Apple has been avoiding tax in the United Kingdom it would not have

:33:42. > :33:49.been able that to do nearly so successful than if we had a turn of

:33:50. > :33:54.attacks rather than corporation tax. I am amused. He says tonight the

:33:55. > :34:02.leader party has set up the review of corporation tax yet he h`s a

:34:03. > :34:08.amendment which would abolish corporation tax completely for the

:34:09. > :34:12.financial year 2017. Not brhnging a turnover tax instead just abolish it

:34:13. > :34:18.completely. It seems a strange amendment to put forward. As I think

:34:19. > :34:24.I made clear, it was a probhng amendment entirely to make that

:34:25. > :34:27.point. We share the view th`t it is flawed to be reducing corporation

:34:28. > :34:32.tax but this amendment was to say we need to do it any better wax. We

:34:33. > :34:37.will not be voting on it but it is time we had that debate and put

:34:38. > :34:42.something better in place. H have two say it is a strange way to do a

:34:43. > :34:48.probing amendment. I am not saying it is wrong, that is not for me to

:34:49. > :34:52.say. To put forward new clatses or amendments which the two produced

:34:53. > :34:56.the evidence which presumably the evidence his party will be looking

:34:57. > :35:04.at in the review, if the Hotse could be producing it it will help all of

:35:05. > :35:09.us in policy-making. I now turn to new clause five. It is interesting

:35:10. > :35:16.that I think the SNP tonight reveals its hand as not being much concerned

:35:17. > :35:20.about greenhouse gas emissions from oil production, let alone from

:35:21. > :35:26.burning oil. We saw this thd same thing last year in the debate on air

:35:27. > :35:29.passenger duty. The SNP werd all in favour of having loads more people

:35:30. > :35:37.flying despite what it does to the environment. In terms of thd ten of

:35:38. > :35:42.the honourable member from Aberdeen's remarks, she wants

:35:43. > :35:49.taxation of oil and gas cut. She's arguing indirectly for another one

:35:50. > :35:53.from Scotland from English taxpayers when the SNP has the power to put up

:35:54. > :35:58.tax in Scotland and fails to do so. They want English taxpayers to

:35:59. > :36:03.continue giving them a biggdr bundle. 50% of the supply chain

:36:04. > :36:08.companies who would have bedn affected by this are actually based

:36:09. > :36:12.side of the border. This is for company side of the border `nd

:36:13. > :36:17.across the UK. The Scottish Government has been good at reaching

:36:18. > :36:20.its climate change targets. The only problem is the Conservative

:36:21. > :36:26.government are getting in otr way. I get here higher honourable friend

:36:27. > :36:29.say that and I also heard the member saying she did not realise that was

:36:30. > :36:35.the case when she was moving for the amendment. I do support new clause

:36:36. > :36:39.five tonight and hope it gods through. It looks attractivd to me

:36:40. > :36:46.because I hope there will bd a situation where oil and gas taxation

:36:47. > :36:54.are increased appropriately. We do not have the evidence, so ldts out

:36:55. > :36:56.the review. I will start, if I may, by responding to amendments in new

:36:57. > :37:01.clauses raised by the opposhtion before briefly turning to the

:37:02. > :37:08.amendments that the governmdnt has table to clauses 63 and 65. I am

:37:09. > :37:13.just removing these. Someond slightly taller had the dispatch box

:37:14. > :37:18.before. Turning to amendment 16 tabled by the opposition whhch would

:37:19. > :37:24.require the government to rdmove clause 45 from the Bill and

:37:25. > :37:29.obviously this would cut thd rate of corporation tax, rather, stop the

:37:30. > :37:34.cut going forward. Clause 44 cut the rate of corporation tax to 70% with

:37:35. > :37:44.effect from the 1st of April 20 20. No corporation tax raise will infect

:37:45. > :37:49.investment. It enables comp`nies to take on new staff, increase wages or

:37:50. > :37:56.change prices. This is bornd out on receipts data. Corporation tax

:37:57. > :37:59.receipts have risen more th`n 2 % since 2010 despite loading

:38:00. > :38:04.corporation tax rates. The Treasury and HMRC have also modelled the

:38:05. > :38:10.economic impact of the corporation tax cuts delivered since 2000 and

:38:11. > :38:18.those announced at budget 2016. This model suggests the cut is good

:38:19. > :38:25.increase long-running GDB bx 1% I am just going to finish on this

:38:26. > :38:28.point. We were asked has thhs business investment grown? We were

:38:29. > :38:35.challenged by the Honourabld lady. Business investment has increased

:38:36. > :38:41.30% since 2010. She also mentioned if EIA. Foreign direct investment.

:38:42. > :38:44.Only last week the Department for International trade reported a

:38:45. > :38:51.record number of inward invdstment projects in 2015/16. Again H do not

:38:52. > :38:59.think we can agree with her criticism. The minister mentions the

:39:00. > :39:03.fact that the Treasury has lodelled the impact of tax cuts. Is this the

:39:04. > :39:11.same Treasury model that prddicted the collapse of the UK economy in

:39:12. > :39:16.the hours after Brexit? Givdn the SNP track record on predicthng the

:39:17. > :39:20.oil price I would think cardfully about digging in. I am going to

:39:21. > :39:27.continue and move on to the points made by the honourable lady. Turning

:39:28. > :39:32.to amendment 177, Madam Deptty is because, I know the comments by the

:39:33. > :39:36.member from Wolverhampton South West who is quite correct in his analysis

:39:37. > :39:40.of what that commitment with do I accept the point made by thd

:39:41. > :39:45.honourable member for Leeds North West that it is a holding alendment.

:39:46. > :39:52.It would indeed have the effect of cancelling the charge for

:39:53. > :39:56.corporation tax in the 2017/18 financial year depriving thd

:39:57. > :40:00.government of ?45 billion of corporation tax receipts in that

:40:01. > :40:05.year alone. I take the point he wants to see support for sm`ll

:40:06. > :40:10.businesses but the business rates package will come into effect next

:40:11. > :40:15.spring. For fairly obvious reasons that sort of loss to the Exchequer

:40:16. > :40:21.is not something we can support Turning to new clause five which was

:40:22. > :40:23.tabled by the honourable melber for Cowdenbeath but introduced by the

:40:24. > :40:30.honourable lady the member for Aberdeen North. New clause five

:40:31. > :40:34.causes a publishing of the review of corporation tax rates and investment

:40:35. > :40:38.allowances applicable to oil and gas producing companies in the TK. The

:40:39. > :40:44.UK Government remains 100% behind the oil and gas sector and the

:40:45. > :40:49.thousands of workers and falilies it supports. I do not think a further

:40:50. > :40:52.review into oil and gas taxds would serve any herbicide this tile as the

:40:53. > :41:00.government has recently carried out such an exercise. In 2014 the

:41:01. > :41:06.government published a plan to republish the tax regime. The is

:41:07. > :41:11.support for the objective to maximise the oil and gas recovery

:41:12. > :41:19.while ensuring a fair return on those resources for the nathon.

:41:20. > :41:24.One of the things this government talked about in terms of support for

:41:25. > :41:28.the oil and gas industry was offering guarantees to comp`nies

:41:29. > :41:33.experiencing financial stress. Can she tell the House how that process

:41:34. > :41:37.is going on and if any comp`nies have received loan guaranteds? I

:41:38. > :41:42.know that there is an issue that has been explored in some detail before

:41:43. > :41:47.in committee, so I am not going to respond to it now. But I want to

:41:48. > :41:51.make this important point, that the changes introduced by this Finance

:41:52. > :41:56.Bill to choose the right conditions to maximise economic recovery of the

:41:57. > :42:01.UK oil and gas resources by lowering the sector's specific tax r`tes

:42:02. > :42:04.updating the current allowances system and expanding the activity

:42:05. > :42:08.that can generate financial relief. An important point to make, that has

:42:09. > :42:15.been made by many people who work in the sector and by investors in the

:42:16. > :42:19.sector is that it has often been stated that stability and cdrtainty

:42:20. > :42:23.in the tax regime are major factors in making investment decisions and

:42:24. > :42:29.therefore, for that reason we don't think another review is right. I

:42:30. > :42:33.could create further uncert`inty at a time when it would not be right

:42:34. > :42:36.for the industry and it could delay investment, so for that reason, I

:42:37. > :42:44.would urge members to reject new clause five. I am going to love on

:42:45. > :42:49.to new clause 11 now. I will briefly address new clause 11 table by the

:42:50. > :42:54.honourable lady for Salford and Eccles. This proposes an independent

:42:55. > :42:56.review into the efficacy of the tax of securitisation companies. The

:42:57. > :43:02.government doesn't consider it necessary because of the following

:43:03. > :43:08.reasons. Regulations introdtced under a Labour government in 20 6

:43:09. > :43:13.Speyside to the tax of securitisation companies and they

:43:14. > :43:17.include several that avoid tax. The HMRC review of these regulations to

:43:18. > :43:22.reflect recent changes to accounting standards and market developments. A

:43:23. > :43:27.consultative working group lade up of independent professional adviser

:43:28. > :43:30.specialising in securitisathon, HM Treasury officials and HMRC

:43:31. > :43:36.technical specialists has mdt four times since September 2015 `nd

:43:37. > :43:39.looked at a range of issues. Revised regulations developed with the group

:43:40. > :43:44.are expected to be published in draft for public consultation later

:43:45. > :43:47.this year or early next year and is this review is already underway we

:43:48. > :43:56.don't feel that a further assessment is required. Turning to govdrnment

:43:57. > :44:01.amendments 152, 153, the government has tabled clause 60 three. Clause

:44:02. > :44:03.60p makes changes to ensure that the patient box operates in lind with

:44:04. > :44:09.the newly agreed international framework resulting from thd OECD

:44:10. > :44:12.-based erosion profit shift action plan and is currently draftdd with

:44:13. > :44:16.the changes made could result in different definitions of thd term,

:44:17. > :44:21.qualifying as a dual profit applying to the same part of the patdnts box

:44:22. > :44:25.legislation and the changes made by the amendments will address this

:44:26. > :44:29.problem by providing a coherent and consistent definition for that

:44:30. > :44:34.phrase. Turning to the opposition new clause ten, a brief comlent New

:44:35. > :44:40.clause ten would require thd Chancellor to publish from six

:44:41. > :44:42.months from the passing of this Act an independent report and assessment

:44:43. > :44:48.of the value for money and dfficacy of the box. The government doesn't

:44:49. > :44:53.support this new clause. We have only now had full data for the first

:44:54. > :44:55.year of the patents box and as such the report would not take into

:44:56. > :45:00.account revisions to the regime made. The proposed one-off

:45:01. > :45:04.publication would fall short of the plans the government alreadx has in

:45:05. > :45:11.place to publish annual, official statistics on the patents box. She

:45:12. > :45:16.mentioned, the honourable l`dy mentioned in her amendment that she

:45:17. > :45:22.wishes to see more evidence of the impact of the patents box. Ht is

:45:23. > :45:27.worth noting, for example, that GS K attributed a ?275 million investment

:45:28. > :45:34.to the UK competitive tax rdgime and specifically mentioned the patent

:45:35. > :45:42.box as a reason to invest. There are number of government amendmdnts

:45:43. > :45:50.tabled. 154-160, 65 and schddule ten around hybrid mismatches. They

:45:51. > :45:52.involve legislating to counteract avoidance involving hybrid

:45:53. > :45:55.mismatches. The amendments the government have tabled make changes

:45:56. > :46:00.to the legislation to ensurd that it works as intended and is not create

:46:01. > :46:05.unintended impacts in inter`ction with other areas of the UK tax

:46:06. > :46:09.system and these amendments are necessary to secure the fordcast

:46:10. > :46:13.viewed from this measure. Jtst before I close, a typically

:46:14. > :46:20.thoughtful intervention frol My Honourable Friend the member for the

:46:21. > :46:25.Cities of London and Westminster. He mentioned turnover versus profits

:46:26. > :46:30.tax, and it is worth noting I think that a turnover tax can produce

:46:31. > :46:35.unfair outcomes such as pen`lising businesses to make a loss and those

:46:36. > :46:43.in competitive markets but ht is an issue to which he might well return.

:46:44. > :46:45.To conclude, the government is committed to making our tax system

:46:46. > :46:51.fundamentally fair, ensuring that people and businesses pay what PO

:46:52. > :46:54.and contribute to the success of our nation. I will have to reject the

:46:55. > :47:05.amendments and new clauses tabled by the opposition. The question is that

:47:06. > :47:12.new clause five B read a second time. As many as are that opinion

:47:13. > :48:10.say aye, on the contrary know. Division, clear the lobbies.

:48:11. > :01:16.As many as are of that opinhon say aye, contrary no.

:01:17. > :01:44.Order, order. The ayes to the right 249, the noes to the left 204. The

:01:45. > :01:59.ayes to the right 249. The noes to the left 204. The nose habit. The

:02:00. > :02:06.nose habit. -- the noes havd it I call on the movement of the

:02:07. > :02:13.amendment formally. The amendment is that the amendment be made, as many

:02:14. > :04:05.of the opinion say. Division cleared the lobby.

:04:06. > :04:19.The question is that amendmdnt 62 he made. As many as are of that

:04:20. > :04:23.opinion say aye, of the contrary, it now. For the nose Mark Spencer and

:04:24. > :15:35.Graeme Stewart. The Ayes to the right, 252. The Noes

:15:36. > :15:42.to the left, 309. The eyes of the right, 252. The Noes to the left,

:15:43. > :15:53.309. -- the Ayes to the right. The noes have it, the noes have it. With

:15:54. > :15:58.the leave of the House I sh`ll call the Minister to move the government

:15:59. > :16:15.amendments in this group together formally. They are amendments 1 2,

:16:16. > :16:28.153, 129, 154, 31, 155, 33-49, 56, 61-113, 157, 155, 2000 100s of me

:16:29. > :16:35.seven, 158, one 59-1 160, and 1 9 - 131. The Minister to move. The

:16:36. > :16:41.question is that those government amendments being made. As m`ny as

:16:42. > :16:51.are of that opinion say aye, contrary no the Ayes have it, The

:16:52. > :16:56.Ayes have it. We now come to new clause seven with which it will be

:16:57. > :17:01.convenient to consider the other new clauses and amendments listdd on the

:17:02. > :17:06.selection paper, Mr Roger Mtllin to move new clause seven. Thank you,

:17:07. > :17:11.Madam Deputy Speaker. To those with little knowledge of Scottish Limited

:17:12. > :17:15.partnerships, it may seem strange that I rise to move new clatse seven

:17:16. > :17:18.in this House in my name and those of my colleagues, but despite what

:17:19. > :17:22.the name may suggest Scottish limited partnerships have lhttle

:17:23. > :17:29.connection to Scotland and plunder the Scottish Parliament. Thdy were

:17:30. > :17:33.introduced in 1907 by the Chancellor of the day, Herbert Asquith. Despite

:17:34. > :17:40.rumours to the contrary, I was not present at the debate at thd time.

:17:41. > :17:45.It is certainly true that the regulation, the operation and the

:17:46. > :17:49.dissolution of Scottish limhted partnerships remain the exclusive

:17:50. > :17:52.preserve of Westminster, hence, raising this new clause in this

:17:53. > :17:58.House. Scottish limited partnerships are their own distinct legal

:17:59. > :18:03.personality and as a result they can for example hold assets, borrow

:18:04. > :18:08.money and enter into contracts. However, Asquith could never have

:18:09. > :18:10.conceived that they would bdcome a financial vehicle abused by

:18:11. > :18:20.international criminals and tax dodgers. Great credit must go to the

:18:21. > :18:24.journalists of the Herald ndwspaper, particularly David Leask for

:18:25. > :18:29.doggedly uncovering the truth about SLPs. Isn't it great that for once

:18:30. > :18:32.we can praise journalism of the highest calibre delving into

:18:33. > :18:39.important matters rather th`n just dealing in tittle tattle? Some users

:18:40. > :18:43.of SLPs no doubt operate appropriately and responsibly but it

:18:44. > :18:49.is claimed that up to 95% of them are mere tax evasion vehiclds and

:18:50. > :18:54.included for criminal assets. SLPs, whilst they may be registerdd in

:18:55. > :18:56.Scotland are often owned by partners based in the Caribbean and other

:18:57. > :19:02.jurisdictions, which ensure ownership secrecy and low or no tax

:19:03. > :19:08.regimes. People operating ottside the UK are exploiting opaqud

:19:09. > :19:15.ownership structures to hidd their true ownership. Brokers in countries

:19:16. > :19:24.like Ukraine and Belarus ard specifically marketing SLPs as

:19:25. > :19:31.Scottish 0% tax bonds. And ` number of SLPs has been growing ap`ce. Data

:19:32. > :19:37.from companies House revealdd again by the Herald newspaper shows 2 ,000

:19:38. > :19:42.were in place by the autumn of 015 and that new registrations have been

:19:43. > :19:48.increasing by 40%, year-on-xear since 2008. To give an example of

:19:49. > :19:54.what can happen, in 2014, allegations emerged that SLPs had

:19:55. > :20:03.been used to funnel $1 billhon out of banks in the former Sovidt

:20:04. > :20:07.republic of Moldova. The usd of SLPs in a bank account in an EU country

:20:08. > :20:14.allows dodgy groups from, for example, the ex-Soviet Union, the

:20:15. > :20:20.ability to move their ill gotten gains to tax havens under the cloak

:20:21. > :20:26.of respectability. I am aware that the Scottish Government's Fhnance

:20:27. > :20:29.Secretary, Derek Mackay, has reckoned to the UK Government on

:20:30. > :20:35.SLPs. He has sensibly pointdd out, and I quote, "It is critical that

:20:36. > :20:38.due diligence checks are able to be made when SLPs I initially

:20:39. > :20:50.registered and when there are changes in partners, where the SLP

:20:51. > :20:54.does not comply with the relevant legislation." He went on to point

:20:55. > :20:56.out that the threat of serious organised crime does not respect

:20:57. > :21:01.borders, and with significant increase in cyber crime it hs

:21:02. > :21:08.essential that we take everx step open to us to reduce this threat as

:21:09. > :21:13.much as possible. To that end, are amendment seeks an urgent rdview of

:21:14. > :21:18.SLPs and also seeks a review that will, very importantly, include

:21:19. > :21:23.taking evidence from the Scottish Government and HMRC, and from

:21:24. > :21:27.interested charities. We have crafted this amendment in the hope

:21:28. > :21:31.that it can attract cross-p`rty support. I can see no reason why

:21:32. > :21:38.anyone would wish to oppose a review of this nature. I cannot sed anyone

:21:39. > :21:44.other than of course those who are interested in encouraging

:21:45. > :21:49.criminality or tax evasion. And so, I would urge the Minister to accept

:21:50. > :21:52.our new clause. I should also like to pass comment on the amendment in

:21:53. > :22:00.the name of the right honourable lady for Don Valley. I hope you will

:22:01. > :22:10.forgive me if I missed him saying it, but sub two of the new clause is

:22:11. > :22:13.it to do with the nature of SLPs that that amendment does not include

:22:14. > :22:22.the government of Wales and the government of Northern Irel`nd? They

:22:23. > :22:26.will be registered in Scotl`nd and what they will have is ownership in

:22:27. > :22:31.tax havens throughout the world which operate differently, given the

:22:32. > :22:34.rate was set up in 1907, whhch is, as far as I am aware, it has never

:22:35. > :22:38.been reviewed since then in any significant detail. I thank the

:22:39. > :22:46.honourable member for his intervention. He's making a powerful

:22:47. > :22:50.case that some of these SLPs are used for criminal money-laundering

:22:51. > :22:54.purposes. These are serious crimes which should be reported. H`s he

:22:55. > :23:00.reported them? Isn't this an enforcement issue? I think, would it

:23:01. > :23:03.be better if we could get the government to do the detaildd

:23:04. > :23:09.scrutiny to enable them to dnact the kind of action that is necessary as

:23:10. > :23:14.macro I think their voice in this would be far more powerful than my

:23:15. > :23:20.own. As I turn to the honourable lady for Don Valley and say that we

:23:21. > :23:23.shall be supporting her amendment, I'm sure she will have much more to

:23:24. > :23:30.say about it, but hers is a very modest amendment encouraging

:23:31. > :23:33.much-needed country by country reporting by corporations, `nd I

:23:34. > :23:38.look forward to hearing her remarks, that she can be sure that she has

:23:39. > :23:43.the full support of these bdnches for her actions, and similarly, we

:23:44. > :23:49.hope that the opposition will be moving their new clause 13, which we

:23:50. > :23:55.will also intend to support. This whole section dealing with tax

:23:56. > :23:59.evasion is very important, `nd it is very important that the UK `s a

:24:00. > :24:07.whole lives up to its responsibilities in making sure that

:24:08. > :24:15.we do not come covered by the name of encouraging tax dodgers, at this

:24:16. > :24:22.time in our country. If I could just mention the remarkable and brave

:24:23. > :24:28.journalist Roberto Saviani who has been exposing the model is criminal

:24:29. > :24:34.world of the Italian Mafia. In a recent article in the Telegraph

:24:35. > :24:38.newspaper, he warned that the UK was effectively allying what he called

:24:39. > :24:45.criminal capitalism to thrive. Surely look we must try to dnsure

:24:46. > :24:49.that that is not the case. The new clause seven, review of tax

:24:50. > :24:54.treatment of Scottish limitdd partnerships. The question hs that

:24:55. > :25:03.the new clause be read a second time. Caroline Flint. Thank you very

:25:04. > :25:08.much, Madam Deputy Speaker. In moving my new amendment, 144, I am

:25:09. > :25:13.grateful for the chance to put the case for large multinationals to

:25:14. > :25:17.incorporate public country by country reporting in the UK so that

:25:18. > :25:22.we can all gain greater inshght into the trading activities that

:25:23. > :25:25.determine the amount of corporation tax paid. It was as a new mdmber of

:25:26. > :25:31.the Public Accounts Committde that in February I heard first-h`nd that

:25:32. > :25:36.Google and HMRC try to expl`in how ?130 million represented a good deal

:25:37. > :25:40.after a decade worth of unp`id taxes and reasons to justify nonp`yment.

:25:41. > :25:46.As a cross-party committee of this House, we felt that the way global

:25:47. > :25:50.multinationals play the system denies a fair take for HMRC, which

:25:51. > :25:58.impact on public services and is very unfair to those British

:25:59. > :26:01.taxpayers and businesses to whom such complicated organisation of

:26:02. > :26:03.their tax affairs is not an option. I will give way to the honotrable

:26:04. > :26:19.gentleman. I am grateful to her for giving way

:26:20. > :26:23.but isn't the money from our constituents that fund the profits

:26:24. > :26:31.which generate the taxation which ought to be paid to the revdnue I

:26:32. > :26:37.think, I congratulate him on his promotion, he is absolutely right.

:26:38. > :26:42.It is almost a double whammx. In good faith customers of these

:26:43. > :26:46.companies pay for their services and expect as ordinary taxpayers as well

:26:47. > :26:50.as consumers that these big companies play fair by them amply

:26:51. > :26:55.said why the company in which they operate. The Public Accounts

:26:56. > :26:58.Committee is not on our own in worrying about the way in which

:26:59. > :27:08.these companies organise thdmselves. Around the world the public and the

:27:09. > :27:11.companies are questioning the multinationals trading activities in

:27:12. > :27:20.individual countries. The problem is not one can find to check companies

:27:21. > :27:27.like Google but their massive global presence to date has exposed the

:27:28. > :27:30.fault lines of the old-fashhoned tax structure which has not kept up with

:27:31. > :27:37.today's online business world. Many of today's big names were not always

:27:38. > :27:40.so big or profitable. And the Labour government the investigation into

:27:41. > :27:44.Google began and the Coalithon Government continued the work to get

:27:45. > :27:55.on top of these business models nationally and internationally. Tax

:27:56. > :28:00.models are not easy. No sooner has a tax loophole being closed and

:28:01. > :28:04.another one opens up. I am grateful to my right honourable friend for

:28:05. > :28:06.giving way. And the way she has dealt with this particular hssue

:28:07. > :28:10.over a long period of time. That she shared my concern that when the

:28:11. > :28:13.government has tried to takd the initiative through the diverted

:28:14. > :28:17.profits tax it has not delivered the revenues that would be expected

:28:18. > :28:23.Google itself does not pay ` great deal through the diverted profits

:28:24. > :28:29.tax so clearly a measure like this would help make countries do the

:28:30. > :28:34.right thing. I very much hope so. I think transparency is important in

:28:35. > :28:40.making sure rules we apply have some right. It does seem sometimds that

:28:41. > :28:43.we are trying to catch jellx. This whole debate has brought into

:28:44. > :28:49.question the legal as well `s the model difference between tax evasion

:28:50. > :28:54.and tax avoidance. Often cotntries rightly defend themselves on the

:28:55. > :28:58.terms of working within the rules but often civil servants ard caught

:28:59. > :29:03.out by clever manipulation of the rules which is not illegal but

:29:04. > :29:08.cannot he said to be in the spirit of what was expected. I havd no

:29:09. > :29:15.illusions about the perfect tax system. Keeping one step ahdad is a

:29:16. > :29:21.never-ending task for pathologies. I welcome tax reporting to HMRC which

:29:22. > :29:24.is now up and running. I agree with the ministers announcement that

:29:25. > :29:28.those who advise individuals and companies on their tax affahrs will

:29:29. > :29:38.be subject to greater accountability for their actions when wrongdoing is

:29:39. > :29:40.and are covered. With the stpport of Public Accounts Committee colleagues

:29:41. > :29:46.and cross-party support across the House I introduced my ten mhnute

:29:47. > :29:51.rule Bill to legislate for country by country reporting in March. The

:29:52. > :29:55.backing I received spurred le on to try to amend the Finance Bill in

:29:56. > :30:00.June which gained the support of eight Parliamentary parties. By all

:30:01. > :30:07.party, Labour, and I thank the front bench past and present for their

:30:08. > :30:15.support. There are SNP, Libdral Democrats, light comedy, thd UUP,

:30:16. > :30:21.the SDLP, the Green party and the number of Conservative MPs, too

:30:22. > :30:27.Oxfam, Christian Aid, the one campaign joined our efforts in

:30:28. > :30:33.adding an important and necdssary reason for the argument. I

:30:34. > :30:37.congratulate my honourable friend for her sterling work in re`ding

:30:38. > :30:40.this up the agenda. Would she not agree if the government werd to

:30:41. > :30:45.adopt this agenda it would be setting the tone for other parts of

:30:46. > :30:48.the world. We have had the lot of interest in Europe and elsewhere for

:30:49. > :30:55.the work that has been done in Parliament. I agree with my friend

:30:56. > :30:58.and I commend her work as chair of this committee and the work she has

:30:59. > :31:03.done with other Public Accotnts Committee is another countrhes. Here

:31:04. > :31:06.is an appetite for this and we can lead the way from our House of

:31:07. > :31:11.Commons committee but we hope to date we can give some added muscle

:31:12. > :31:17.to the government to lead the way in this important area too. I thought

:31:18. > :31:23.about those charities, thosd organisations working in thd

:31:24. > :31:28.development sphere. I am sedking tax Justice here but also in those

:31:29. > :31:31.developing countries who lose out, too. If developing countries got

:31:32. > :31:36.their fair share of taxes would vastly outstrip what is currently

:31:37. > :31:41.available through aid. The lack of transparency is one of the lajor

:31:42. > :31:50.stumbling blocks to the self sufficiently. Tax experts Rhchard

:31:51. > :31:54.Murphy and Julian mu QC havd helped me make the case and also gdt the

:31:55. > :31:57.wording right to amend legislation. I think it demonstrates the

:31:58. > :32:04.widespread view that boulder measures to hold multinationals to

:32:05. > :32:10.account is necessary. I givd way. I am very grateful. Is the bigger

:32:11. > :32:15.issue queries should the profit he fairly stark, where was the value

:32:16. > :32:19.added, who did the work takd place? We'll is the intellectual property

:32:20. > :32:23.residing? Getting transparency is one thing but you can still get

:32:24. > :32:27.transparency for an answer we do not like. I think there is a debate here

:32:28. > :32:35.about where best to recruit the money for those who are eight wider

:32:36. > :32:39.debate for another day. It hs partly about addressing that. At the heart

:32:40. > :32:45.of all this whatever system we set up in which to identify what is the

:32:46. > :32:49.first contribution for business transparency has to be the heart of

:32:50. > :32:54.it. I hope that my amendment today will be supported and will be one

:32:55. > :33:01.small step forward. I will give way. Which she agreed, and she knows I

:33:02. > :33:06.support this amendment and support the wonderful work she does, but

:33:07. > :33:09.does she remember all the difficulties we had with thd banking

:33:10. > :33:15.sector when the people that were supposed to be the ordinancds in

:33:16. > :33:19.these great countries who specialise in obscurity. Hiding ownership and

:33:20. > :33:22.moving ownership. Surely thhs must go in tandem with taking on those

:33:23. > :33:27.big people that didn't actu`lly audit the banks properly but the

:33:28. > :33:36.same people who allow these big companies to evade tax. My

:33:37. > :33:40.honourable friend is right. We, as the parliament to represent the

:33:41. > :33:44.people's country, have a duty not to allow markets to be unfettered but

:33:45. > :33:48.to provide a framework in which they can operate and work and be

:33:49. > :33:52.successful and do the right thing. I would say they are companies who are

:33:53. > :33:55.doing the right thing and more and more companies are volunteering to

:33:56. > :34:00.do the right thing I publishing the sort of information I am asking to

:34:01. > :34:08.be more public today. I will give away one more time. I am gr`teful.

:34:09. > :34:10.Could she confirm my understanding that that which he is seeking in

:34:11. > :34:13.this amendment would not catse burden on business because the

:34:14. > :34:17.information is already being gathered and reported that hs not

:34:18. > :34:20.them being published and her amendment seeks just to get that

:34:21. > :34:26.which is already gathered and reported published? That is correct.

:34:27. > :34:31.I was hopeful for my junior amendment because since the 201

:34:32. > :34:35.general election the governlent has on a number of occasions indicated

:34:36. > :34:40.its support for country by country reporting. Am grateful to those

:34:41. > :34:46.whose approach was always constructive as we saw the best way

:34:47. > :34:49.to proceed. Four days after EU referendum the Minister and others

:34:50. > :34:55.were concerned that introducing my memo at that time might the UK

:34:56. > :34:59.multinationals at the disadvantage for reputational reasons. I have no

:35:00. > :35:02.doubt that the number of businesses for whom my amendment would apply

:35:03. > :35:05.have already suffered from reputational damage and mord

:35:06. > :35:12.transparency could actually enhanced their standing. The UK was the first

:35:13. > :35:18.to introduce public registers of ownership and others followdd.

:35:19. > :35:22.Backing country by country reporting is an opportunity for the government

:35:23. > :35:28.to show leadership again. It is a pro-business measure. This kind of

:35:29. > :35:31.reporting already exists within the extractive sector, financial

:35:32. > :35:34.services and some companies ahead of the card have started to publish

:35:35. > :35:40.this information such as thd energy company SSE or the cosmetics

:35:41. > :35:45.retailer lush which operates in many different countries. It would prefer

:35:46. > :35:48.to move ahead with others r`ther than alone. As the government makes

:35:49. > :35:55.plans to leave the European Union which may not be clean feelhng I do

:35:56. > :35:59.appreciate caution of ministers I am grateful to the honourable member

:36:00. > :36:06.for that seed for the dialogue we have had over the last two lonths.

:36:07. > :36:12.Argue for the support during the recess for all those who have signed

:36:13. > :36:15.amendment one 45. I hope thd government will regard this

:36:16. > :36:20.amendment as a friendly proposal. If passed to date the Commons will

:36:21. > :36:24.enshrine in law support for the principle of country by country

:36:25. > :36:29.reporting with the principld to be introduced when most appropriate.

:36:30. > :36:34.That sends a very powerful lessage confirming the UK's leading role in

:36:35. > :36:37.addressing tax evasion and `voidance and riding the government whth the

:36:38. > :36:41.tools to move quickly when the time is right without the need for

:36:42. > :36:47.primary legislation. Last wdek the European Commission serve ehght 30

:36:48. > :36:52.billion euros tax bill on tdch giant Apple. Although the rate of

:36:53. > :36:59.corporation tax in Ireland hs low, at 12.5% Apple paid in effect 1

:37:00. > :37:09.corporation tax in 2003 and a tiny not not not .5% in 2015. Evdn low

:37:10. > :37:19.corporation tax rates are no guarantee a country will collect its

:37:20. > :37:24.fair share. Apple are entitled to defend the position but the case

:37:25. > :37:28.highlights for me the need for more transparency in multination`l

:37:29. > :37:33.business affairs. Finally, ly final point. Having listened to the

:37:34. > :37:36.government's concerns and shared with mir garments for today was Mike

:37:37. > :37:42.amendment I hope the House can come together and make Yuki country by

:37:43. > :37:53.country reporting not a matter of if but when. Thank you. I rise not to

:37:54. > :37:57.detain the House for an undtlating lengthy time because I know everyone

:37:58. > :38:01.wants to get to bed before lidnight but I just want to set out by

:38:02. > :38:06.country by country porting hs very important. Why it is the whole

:38:07. > :38:11.culture which has grown up on too many cases of tax avoidance by large

:38:12. > :38:17.big business multinationals is something which we cannot condone.

:38:18. > :38:20.We cannot tolerate. People say what is wrong with an organisation like

:38:21. > :38:27.Apple organising its tax affairs to its best possible advantage. Is it

:38:28. > :38:32.not the principle of taxation? Is it not the principle of taxation that

:38:33. > :38:37.knows no equity in taxation? The Latrobe taxation rules should apply.

:38:38. > :38:44.I concern is the conduct of Apple is unacceptable for three key reasons.

:38:45. > :38:50.In a big business it organises its tax fears so it basically p`ys no

:38:51. > :38:54.tax whatsoever then it is inevitably warping the free market bec`use it

:38:55. > :38:57.is getting an unfair tax advantage on a competitive advantage `nd it

:38:58. > :39:04.gives them a competitive advantage over other enterprises that are

:39:05. > :39:09.paying tax on their profits. That, to me, is a really serious hssue.

:39:10. > :39:13.The other issue with Apple hn Ireland is to have the spechal deal

:39:14. > :39:19.for one business that does not apply to everyone else is counter to the

:39:20. > :39:24.fundamental principle of thd rule of law which is everyone should be

:39:25. > :39:29.treated the same. DVD cleandr cleaning the offices of Apple or be

:39:30. > :39:33.the Apple themselves. What hs offensive is a situation whdre the

:39:34. > :39:36.cleaner in the offices being more in tax than the massive profit`ble

:39:37. > :39:41.enterprise whose office thex are cleaning. Let me take the c`se of

:39:42. > :39:45.Apple. My honourable friend the Right Honourable member for walking

:39:46. > :39:50.made the powerful point. He said what is wrong if they have created

:39:51. > :39:57.all this intellectual property? What is wrong with it not been c`ught in

:39:58. > :39:59.a UK tax set? I answer is, hf this intellectual property was

:40:00. > :40:06.emphatically to dent the Lucan Valley, are the paying tax hn

:40:07. > :40:10.silicon valley? No, they ard not. What they have done is set tp the

:40:11. > :40:16.structure we are early in the evolution as a business, ten or 20

:40:17. > :40:19.years ago, he sold the outshde American intellectual property

:40:20. > :40:24.rights for whatever small alount it was to a leader company that would

:40:25. > :40:30.then have a conduit through Ireland that with denim vest across the rest

:40:31. > :40:34.of Europe. What you then do is you check the box for US tax purposes

:40:35. > :40:40.and everything below are yot do so from the IRS point of view ht looks

:40:41. > :40:43.like your Bermuda company is the trading company and because it is a

:40:44. > :40:47.trading company and the onlx enterprise the is for US tax

:40:48. > :40:52.purposes it is therefore not caught by the foreign companies regulations

:40:53. > :40:58.meaning that no tax can be deemed to be repatriated to the United States.

:40:59. > :41:04.As a result the situation is that the Bermuda enterprise becoles a

:41:05. > :41:09.cash box or reinvestment across the area across the European thdatre and

:41:10. > :41:20.hence even lies your unfair advantage. I give way.

:41:21. > :41:27.I expressed no view on Appld's tax affairs one way or the other. I

:41:28. > :41:31.asked how we as legislators globally produce a system that is fahr and

:41:32. > :41:35.sensible so that people know what companies should be playing. I have

:41:36. > :41:40.not studied in detail Apple's tax affairs, so I would not presume to

:41:41. > :41:47.lecture for or against what they do. I stand corrected by my Right

:41:48. > :41:52.Honourable Friend. It is not simply a problem with Apple, it is a

:41:53. > :41:55.question with genuine US outbound tax planning and that is whx country

:41:56. > :42:00.by country reporting really does matter. I give way. I agree with the

:42:01. > :42:04.points he is making. It is ly understanding that if my Right

:42:05. > :42:07.Honourable Friend's amendment had applied in Ireland in the c`se of

:42:08. > :42:14.Apple, then B would have known of the very large profits being made by

:42:15. > :42:18.the scum that seems to exist on paper and that it was paying a tiny

:42:19. > :42:23.amount of tax. Wouldn't that have been a valuable step forward in

:42:24. > :42:27.understanding what was going on The key issue is that we did know,

:42:28. > :42:32.because as I recall, Apple had to report it in some investigation for

:42:33. > :42:37.the Senate, because the US Senate was wondering why no tax had been

:42:38. > :42:41.paid, or very little tax had been paid by Apple in the United States,

:42:42. > :42:46.and if my recollection servds me correctly, a fellow member of this

:42:47. > :42:51.House may well correctly. The issue is one of transparency. These things

:42:52. > :42:55.come to light because the US Senate makes an investigation or some other

:42:56. > :42:59.enterprise organisation likd the Public Accounts Committee m`kes an

:43:00. > :43:02.investigation and starts asking the questions or indeed in the last

:43:03. > :43:07.Parliament, I myself went through the accounts of Google, Amazon and

:43:08. > :43:12.Starbucks and looked at what they were playing as a proportion of

:43:13. > :43:15.profits, and that is why I think country by country reporting is

:43:16. > :43:20.something which ought to be looked at, ought to be considered `nd on an

:43:21. > :43:25.international basis. It is hmportant that countries as a whole Act

:43:26. > :43:28.together to make sure that the international tax system is suitably

:43:29. > :43:34.robust in the Internet age. The reason this matters is thesd big

:43:35. > :43:38.businesses, when they don't pay tax, could affect small businessds,

:43:39. > :43:43.because it is the small bushness rooted in our soil that employs our

:43:44. > :43:46.neighbours that pays their Jews who suffer when the competitive

:43:47. > :43:51.advantage and the level plaxing field, the rule of law, whatever, is

:43:52. > :43:55.being walked in this way, and that is my prime concern, becausd small

:43:56. > :44:00.businesses in my section C `re the lifeblood of my local econoly and I

:44:01. > :44:04.want them to have a fair cr`ck. I want the terms of allegiancd of this

:44:05. > :44:10.great nation that I represent, England Wales and Scotland, do have

:44:11. > :44:12.a fair crack and to be able to come, particularly in Brexit Brit`in it is

:44:13. > :44:15.important for the country to be galvanised to be part of thd

:44:16. > :44:21.leadership of this nation and that is why we work -- we want a Britain

:44:22. > :44:25.that works with a 90%, the towns and nations of the region rather than

:44:26. > :44:28.big businesses and the elitd 10 . That is really important and that is

:44:29. > :44:37.why we need a tax system th`t works for everyone. I have been ddeply

:44:38. > :44:41.concerned looking at the accounts of car rental agencies like Avhs, that

:44:42. > :44:47.have imposed a Brexit tax, or was accused of imposing a Brexit tax on

:44:48. > :44:51.people renting cars. And I looked at their account and saw that @vis had

:44:52. > :44:54.paid no tax themselves, so they taxed their British customers but

:44:55. > :45:00.don't seem to pay any British corporation tax on their profits.

:45:01. > :45:05.The honourable gentleman has made an incredibly powerful speech `bout the

:45:06. > :45:08.reasons for tracks -- taxed transparency but when you mdntion is

:45:09. > :45:13.company like Avis, we should be having transparency for one simple

:45:14. > :45:17.reason only, so that consumdrs can vote with their feet, and if they

:45:18. > :45:22.believe that the products they are purchasing from companies that are

:45:23. > :45:25.not paying tax in this country or others in other countries, they can

:45:26. > :45:29.go and buy products from others that are paying tax. It is a powdrful

:45:30. > :45:33.point, and that is why transparency matters. If people know that they

:45:34. > :45:37.are being taken for a ride they don't need to use that organisation

:45:38. > :45:41.which uses a Luxembourg strtcture, a common intermediate structure for

:45:42. > :45:47.European tax planning to organise things so that no tax needs to be

:45:48. > :45:53.paid. And it is not just Avhs. I had a look at the account of Hertz,

:45:54. > :45:57.another large US car rental company that doesn't seem to have p`id any

:45:58. > :46:01.tax in the last few years. Ht is hard to tell how they are doing it,

:46:02. > :46:07.because I have looked in grdat detail at the accounts, and the

:46:08. > :46:09.accounts don't have to report related party transactions but they

:46:10. > :46:19.might will be renting their car fleets through Luxembourg, or the

:46:20. > :46:26.Netherlands BV, to get monex out of the UK tax net so that it is not

:46:27. > :46:31.subject to any tax, and that is why country by country reporting is

:46:32. > :46:37.important, not just as a tax context but in an accounting context so that

:46:38. > :46:40.we can see where the money has gone. Avis are paying more in the

:46:41. > :46:45.intercompany borrowings than they are paying to borrow from the bank,

:46:46. > :46:50.so that, too, gave me a levdl of concern and there seemed to be some

:46:51. > :46:53.framework royalties in therd, some royalties to do with the IT computer

:46:54. > :46:58.systems that they have internally, but it is hard to tell, bec`use they

:46:59. > :47:02.don't have that level of gr`nularity from the accounts. The case I am

:47:03. > :47:06.making is that we ought to have a greater level of knowledge, we ought

:47:07. > :47:12.to have a greater level of understanding of how money has been

:47:13. > :47:17.paid and the taxes that are due and the nature of the planning which is

:47:18. > :47:21.being undertaken, in order to make our laws more robust and so that we

:47:22. > :47:29.can make sure that everyone in this nation pays a fair share of tax

:47:30. > :47:32.even the cleaner, even the biggest, largest enterprise trading hn this

:47:33. > :47:35.country. It matters to the rule of law, to the fair and open m`rket and

:47:36. > :47:44.the level and competitive playing field that all businesses and

:47:45. > :47:48.enterprises are treated the same. Mike Wood. Thank you, Madam 50

:47:49. > :47:53.Speaker. As a conservative H believe that taxes need to be kept `s low as

:47:54. > :47:57.possible whether direct or hndirect, consistent with the need to raise

:47:58. > :48:04.finances for vital public sdrvices and for national security. Not only

:48:05. > :48:08.does unnecessarily high tax`tion stunt growth and development, it

:48:09. > :48:13.also means the government t`king from those who have earned that

:48:14. > :48:19.money, whether through labotr, through innovation or capit`l.

:48:20. > :48:23.However, the flip side of kdeping tax levels low is that everxbody

:48:24. > :48:28.must pay their fair share. Aggressive tax avoidance, bdnding

:48:29. > :48:33.the rules of the tax system to gain an advantage that Parliament never

:48:34. > :48:37.intended, means that a heavher burden falls on others who `re able

:48:38. > :48:43.to keep less of the money that they have earned. This government is

:48:44. > :48:47.rightly committed to supporting businesses through low taxes and

:48:48. > :48:54.that is why corporation tax has been cut again, to 17%, but thosd taxes

:48:55. > :48:59.have to be paid. And so this Finance Bill addresses the many ways that

:49:00. > :49:05.companies use to avoid paying their fair level of tax, and that includes

:49:06. > :49:12.the amendments that we are debating, tabled by the government to reform

:49:13. > :49:17.hybrid mismatches. These amdndments will reduce aggressive tax planning,

:49:18. > :49:23.typically involving a multinational group, the introduction of the rules

:49:24. > :49:28.will essentially remove the tax advantage arising from the tse of

:49:29. > :49:33.hybrid entities and instrumdnts and all to encourage more busindsses to

:49:34. > :49:37.adopt less complicated, mord transparent cross-border investment

:49:38. > :49:42.structures. I look forward to similar rules being introduced by

:49:43. > :49:49.other jurisdictions and in line with OECD recommendations, this

:49:50. > :49:52.legislation continues, cont`ins provisions for counteraction within

:49:53. > :50:01.the UK, where the other country does not counteract the mismatch within

:50:02. > :50:06.its own hybrid mismatch rulds. This Bill introduces the new pen`lty of

:50:07. > :50:13.60% of tax due, that was announced in the budget, to be charged in all

:50:14. > :50:22.cases successfully tackled by the general anti-avoidance regulations.

:50:23. > :50:25.Amendments 136, 137, tabled by the government, helped to make sure that

:50:26. > :50:31.the changes announced in thd budget work as intended, cracking down

:50:32. > :50:39.further on unscrupulous, aggressive tax avoidance. I agree with the

:50:40. > :50:48.comments raised by My Honourable Friend for Dover Deal on country

:50:49. > :50:56.by country reporting and of course, those raised so regularly bx the

:50:57. > :51:06.honourable lady for Sheffield.. Sorry, Don Valley! There is

:51:07. > :51:14.widespread and growing agredment across all parts of this Hotse that

:51:15. > :51:21.there is a need to move tow`rds country by country reporting, so

:51:22. > :51:26.that that information is published, it is out there, it is available

:51:27. > :51:29.both to national tax authorhties but also, as has been mentioned of

:51:30. > :51:33.course, the wider public, so the question comes back to weather the

:51:34. > :51:40.best way of achieving that hs for individual countries to Act

:51:41. > :51:45.unilaterally or for the UK to move in partnership with our

:51:46. > :51:46.international allies and through a range of international

:51:47. > :51:57.organisations, both within `nd beyond Europe. Of course. I thank

:51:58. > :52:00.him. Of course, we on these benches want international action and

:52:01. > :52:06.cooperation and, in fact, wd want our international friends to copy

:52:07. > :52:09.what I hope will be successful in remembrance tonight. We also need to

:52:10. > :52:15.bear in mind that half of the taxation in the world are British

:52:16. > :52:18.Overseas Territories. We have a particular responsibility in this

:52:19. > :52:21.regard worldwide. It is not just some kind of moral responsibility,

:52:22. > :52:25.to use the old phrase of thd white man's burden or any of that

:52:26. > :52:28.nonsense, it is to do with the fact that they are British Oversdas

:52:29. > :52:33.Territories who are responshble for half of the shenanigans. I think the

:52:34. > :52:41.honourable gentleman makes ` very valid point. However, I think I am

:52:42. > :52:47.sure that he would recognisd the progress that has been made in

:52:48. > :52:53.recent years to insist on those overseas territories, reallx, moving

:52:54. > :53:01.into the 21st century in terms of their tax arrangements, to `ctually

:53:02. > :53:08.comply with what we would expect for international standards. Because in

:53:09. > :53:12.a globalised world, we must be clear that concerted international effort

:53:13. > :53:19.is needed to stop the continued cross-border tax avoidance, evasion

:53:20. > :53:25.or plain all fashioned, aggressive but as Google is planning. ,-

:53:26. > :53:32.old-fashioned. The UK Government has done more than any -- but

:53:33. > :53:35.unscrupulous planning. The TK Government has done more th`n most

:53:36. > :53:42.international allies and colpetitors to eradicate these practices and

:53:43. > :53:46.continues to do so. But, of course, more must be done, and I welcome the

:53:47. > :53:52.assurances that we have heard from the government that this dods remain

:53:53. > :53:57.a priority. I am pleased th`t the government is now issuing country by

:53:58. > :54:04.country reporting and that ht will be discussed at the forthcoling G8

:54:05. > :54:11.20 finance ministers' meeting. This measure will help to increase that

:54:12. > :54:16.transparency across multinationals, supporting not only our own tax

:54:17. > :54:22.authorities but perhaps even more importantly, those tax authorities

:54:23. > :54:27.in developing countries, whhch are being almost literally robbdd of

:54:28. > :54:33.vital sources of income. Madam Deputy Speaker, in conclusion, this

:54:34. > :54:37.Finance Bill and the amendmdnts tabled to it includes both

:54:38. > :54:42.pioneering and bold measures. It will ensure that taxes are paid and

:54:43. > :54:48.that everybody pays their f`ir share, and I look forward to

:54:49. > :54:55.supporting it this evening. Madam Deputy Speaker, I would remhnd the

:54:56. > :54:58.House that in the register of interests I have declared that I am

:54:59. > :55:03.a registered investment advhsor but I am not speaking on their behalf in

:55:04. > :55:07.this debate. It seems to me that there is common ground amongst all

:55:08. > :55:10.parties in this House that we need to collect a decent amount of tax

:55:11. > :55:14.revenue and that we want to make sure that those who are rich,

:55:15. > :55:18.particularly companies, that seemed to generate a lot of turnovdr and

:55:19. > :55:22.possibly profit should pay their fair share. And we do recognise I

:55:23. > :55:28.think, that we have to oper`te in a global market, I'm talking `bout

:55:29. > :55:33.large corporations who, gentinely, make different levels of profit and

:55:34. > :55:36.generate different amounts of turnover in different jurisdictions

:55:37. > :55:42.and have genuinely complicated arrangements of how they swhtch

:55:43. > :55:48.components, technology, ide`s, work, between different centres. Dven in a

:55:49. > :55:51.service business, you're dohng it through electronic communic`tion,

:55:52. > :55:55.digital activity, and there may be different people in different

:55:56. > :55:58.centres around the world, all contributing to servicing that

:55:59. > :56:01.client or dealing with that particular product, so therd are

:56:02. > :56:05.genuine issues for the honest companies in trying to define and

:56:06. > :56:08.measure precisely where work is done, were added value is created,

:56:09. > :56:18.what is a fair attribution. I think we, as lettuce two litres,

:56:19. > :56:26.have to understand that complexity and come up with the judgment over

:56:27. > :56:30.what is a fair way to instrtct these companies to report in our different

:56:31. > :56:34.jurisdictions so that sensible amounts of tax are captured. We also

:56:35. > :56:41.need to remember that we as legislators help create the problem

:56:42. > :56:47.that offends quite a lot of MPs We do speak with forked tongue when it

:56:48. > :56:52.comes to tax matters. Quite often in this House when discussing tax is

:56:53. > :56:57.wanting to offer tax breaks. The House will say we would likd

:56:58. > :57:00.companies to do more ad and the order we would like companids to

:57:01. > :57:06.invest more in plant and eqtipment or we would like individuals to save

:57:07. > :57:10.for retirement or we would like individuals to save generally ought

:57:11. > :57:15.to be entrepreneurial, create a business and sell at any few users

:57:16. > :57:18.at a good profit. We collectively decide that we should encourage more

:57:19. > :57:24.of that conduct by letting people off income tax or capital g`ins tax

:57:25. > :57:28.or corporation tax or some combination of general taxes as an

:57:29. > :57:35.incentive to them to behave in the way we would like. We must therefore

:57:36. > :57:38.take some responsibility for tax avoidance. Obviously not for

:57:39. > :57:44.lawbreaking but for those who use the tax breaks we provide. We are

:57:45. > :57:48.now trying to define somethhng which is not strict lawbreaking which we

:57:49. > :57:53.will condemn and is an enforcement matter and something which hsn't

:57:54. > :57:57.friendly tax incentive which we probably all still agree about. I

:57:58. > :58:03.expect every MP in this House thinks something should be encouraged I tax

:58:04. > :58:06.incentive. You are trying to define something in the middle which has

:58:07. > :58:11.been called aggressive avoidance heard they are elements of doubt.

:58:12. > :58:16.That is where legislators nded to do a better job because we need to be

:58:17. > :58:20.able to say two companies this is illegal conduct and you will be

:58:21. > :58:25.prosecuted and everything else is legal conduct and meets your

:58:26. > :58:29.obligations. If we find we `re not collecting enough tax may bd the

:58:30. > :58:33.problem lies with us and maxbe we have two review the whole r`nge of

:58:34. > :58:37.incentives and tax breaks wd are offering because that may bd the

:58:38. > :58:40.origin of the problem that we may not seem to be collecting as much

:58:41. > :58:47.tax as may be collectively we would like to meet the requirements of our

:58:48. > :58:52.public services and other ndeds So, Mr Speaker, I will keep my remarks

:58:53. > :58:57.suitably brief that I think the needy certain amount of humhlity as

:58:58. > :59:01.legislators. It is very easx to get on a high horse about indivhduals or

:59:02. > :59:10.rich companies. Some do takd the law. They need to be prosectted

:59:11. > :59:12.Many others are honestly trxing to report their tax affairs,

:59:13. > :59:18.complicated as the art, in lultiple good restrictions. When we see that

:59:19. > :59:25.we this evening are debating a 44 page edition to our tax codds and

:59:26. > :59:28.that is just one medium-sizdd country and the multination`l

:59:29. > :59:33.company may have two report to 0, 40 or 50 different countries all of

:59:34. > :59:38.whom are generating different tax codes on a monumental scale, I think

:59:39. > :59:43.we should just pause and ask ourselves are we getting in the way

:59:44. > :59:49.of levying set tax by the vdry complexity of the rules we `re

:59:50. > :59:54.establishing? Thank you, Mr Speaker. I will speak to a number of

:59:55. > :59:58.amendments in my name and that of my honourable friends. New clatse 2

:59:59. > :00:02.which would require the govdrnment to report within one year on the

:00:03. > :00:07.impact of the criminal offences relating to offshore income, asset

:00:08. > :00:13.and activities created by clause one 65. Amendments 167 and 168 which

:00:14. > :00:19.will make it compulsory rather than just possible for each MRC to

:00:20. > :00:24.publish the names of those that hide behind entities such as companies

:00:25. > :00:31.and trusts when committing offshore tax evasion. Amendments 171 two 173

:00:32. > :00:36.which expand the definition of reasonable referred to in clause 165

:00:37. > :00:41.to include an honest belief that all the information was true and

:00:42. > :00:45.accurate. We are concerned on this side of the House that the category

:00:46. > :00:51.of reasonableness is, on its own, far too objective that subjdct is.

:00:52. > :00:57.The clause which would strengthen the penalty of enablers of offshore

:00:58. > :01:03.tax evaders to have fees received by the enabler of the service `nd the

:01:04. > :01:08.principle of just enrichment as it were. The aim of this is to

:01:09. > :01:15.neutralise somewhat the comlercial aspect of the tax avoidance

:01:16. > :01:18.industry. Amendments 165 and 16 which increased the minimum

:01:19. > :01:23.penalties for inaccuracies, failure to notify a charge to tax or build

:01:24. > :01:31.your to deliver a return to offshore matters and tax return by 14% rather

:01:32. > :01:38.than the government's suggested 10%. In the consultation for

:01:39. > :01:42.strengthening penalties for offshore evaders the considered incrdasing

:01:43. > :01:46.the penalty by 15% rather than ten. This is probing to find out why the

:01:47. > :01:53.government opted for the sm`ller increase than it originally

:01:54. > :01:59.considered. Up next we have measure 170 which would increase from 1 % to

:02:00. > :02:04.15%. The government consult`tion on this penalty site different rates of

:02:05. > :02:10.such an asset base penalty `cross the world including Italy where the

:02:11. > :02:15.penalty is up to 15%. The opposition which I will expand on in a moment

:02:16. > :02:18.think we must be world leaddrs in stamping out tax avoidance `nd so I

:02:19. > :02:23.think our penalty should at the very least be on par with Presiddnt

:02:24. > :02:28.across the world. These pen`lties are at least a start but I would

:02:29. > :02:32.also add in light of the latest confrontation in relation to

:02:33. > :02:37.tackling offshore tax evasion which would create a separate offdnce is

:02:38. > :02:42.not covered by the scope of this bill, the appears to be a clear move

:02:43. > :02:46.by stakeholders to suggest dven higher penalties are requirdd. I

:02:47. > :02:51.would urge the government to consider the suggestions thdre very,

:02:52. > :02:57.very carefully. I would also like to confirm this side's support of

:02:58. > :03:00.cross-party amendment 145 on public country by country reporting which

:03:01. > :03:05.was tabled by the Right Honourable member for Don Valley. I wotld like

:03:06. > :03:10.to place on record my thanks to her for the hard work she has ptt into

:03:11. > :03:14.presenting this very import`nt issue and it is testament to that hard

:03:15. > :03:20.work that many members across the House including members of PAC and

:03:21. > :03:24.more than 60 MPs and eight political parties as the Right Honour`ble

:03:25. > :03:27.member illustrated, pass organisations outside of thhs place

:03:28. > :03:32.have supported this amendment and it really is testament to the hard work

:03:33. > :03:36.she has put into pressing this issue. I will not go over growing

:03:37. > :03:42.the Right Honourable member has covered already. She has put her

:03:43. > :03:47.case articulately. This will ensure the UK has the scope to strdngthen

:03:48. > :03:50.its influence on international tax transparency negotiations and it

:03:51. > :03:58.will build a greater consensus. Finally, new clause 13 would require

:03:59. > :04:01.a comprehensive report into the UK tax gap which is defined as the

:04:02. > :04:06.difference in any financial year between the amount of tax e`ch MRC

:04:07. > :04:10.should be entitled to collect and the tax actually collected with such

:04:11. > :04:16.difference deriving from tax avoidance and evasion. The content

:04:17. > :04:21.of the report as set out in the amendment text must be carrhed out

:04:22. > :04:25.in consultation with stakeholders. It intends to examine a number of

:04:26. > :04:30.areas relating to tax avoid`nce in the hope that the government might

:04:31. > :04:33.review its policy and tailored the same in relation to adequatdly

:04:34. > :04:42.dealing with such issues. Chiefly for the members present for the

:04:43. > :04:47.moment... I will give way. H thank the Shadow Minister for givhng way.

:04:48. > :04:51.In terms of new clause 13 would it not also expose the idiocy of

:04:52. > :04:56.closing HMRC offices which the government are banning to close 90%

:04:57. > :05:02.of them and would it also allows members to look at the numbdr of

:05:03. > :05:09.staff in HMRC looking at tax avoidance and the number of staff in

:05:10. > :05:14.DWP, 3675 who are dealing whth .2 billion of Social Security fraud?

:05:15. > :05:22.The member makes a very good point. It is the report to highlight

:05:23. > :05:25.deficiencies found in HMRC hn terms of the ability to tackle tax

:05:26. > :05:29.avoidance and other members who will be the amendment will see the

:05:30. > :05:35.particular point relating to HMRC goes into a lot of details. The flag

:05:36. > :05:39.will touch on some of the point the report will require. It will require

:05:40. > :05:45.figures relating to UK tax that s what the last five financial years.

:05:46. > :05:51.The tales of the model used by HMRC for estimating the UK tax g`p. An

:05:52. > :05:58.assessment of the HMRC efficacy in dealing with the UK tax gap. Details

:05:59. > :06:03.of tax revenue benefits of dngaging only company registers in the UK for

:06:04. > :06:09.tax purposes in public proctrement. It will also require an assdssment

:06:10. > :06:12.of the efficacy of the general anti-abuse rule in discouraging tax

:06:13. > :06:15.avoidance. It will require consideration of the benefits to tax

:06:16. > :06:23.revenue from introducing a set of minimum standards in relation to tax

:06:24. > :06:26.transparency for all ready ground dependencies and overseas

:06:27. > :06:31.territories. Finally it will require an assessment of the impact on tax

:06:32. > :06:35.revenues of establishing a public register of all trusts located

:06:36. > :06:40.within the UK, British Crown dependencies and overseas

:06:41. > :06:44.territories. The amendments we have tabled today are necessary no more

:06:45. > :06:48.than ever. I appreciate we `re limited in terms of time today and

:06:49. > :06:53.as that will only be pushing new clause 13 to evil and will support

:06:54. > :06:57.the right Honourable member for Don Valley should she wish to ptsh her

:06:58. > :07:02.amendment to a vote. We support new clause seven which has been

:07:03. > :07:05.particularly outlined why the member for Cowdenbeath. In terms of the

:07:06. > :07:09.other amendments I have refdrred to I hope the minister will listen

:07:10. > :07:14.carefully to the comments I have made throughout my speech today The

:07:15. > :07:20.government will have ample opportunity outside the scope of

:07:21. > :07:24.today's bill. If the will is there to implement many of the repuests I

:07:25. > :07:29.have made. I will explain the rationale behind our various

:07:30. > :07:36.amendments today. The law on tax avoidance as been influenced by the

:07:37. > :07:40.words of Lord Tomlin in the case of Duke of Westminster versus the

:07:41. > :07:44.Inland Revenue Commissioners in 1935. Lord Tomlin decided it was the

:07:45. > :07:51.right of every Englishman to organise his fears to minimhse his

:07:52. > :07:55.liability to tax. An idea that fuels the tax avoidance industry dven

:07:56. > :08:00.today. In this age of so-called is with pressure on the NHS, the Armed

:08:01. > :08:06.Forces, our teachers, our young people, the list goes on, it is not

:08:07. > :08:10.acceptable to seek to avoid your taxes. I think Honourable mdmbers of

:08:11. > :08:16.all sides of this House havd come to agree that tax avoidance is

:08:17. > :08:20.something that should be fotght The trouble is, however, that this

:08:21. > :08:24.government has failed to tackle the problem head-on and simply tinkering

:08:25. > :08:29.about with piecemeal bits hdre and there is no different in thhs

:08:30. > :08:33.finance bill. What we need to see from this government is a rdal

:08:34. > :08:37.commitment to an overarching strategy that provides genuhne legal

:08:38. > :08:42.teeth to tackle the million`ire Dodgers and advisers who surround

:08:43. > :08:47.them. If I may take members on a little historical magical mxstery

:08:48. > :08:51.tour it was judges, not Parliament, in the 1980s who developed `

:08:52. > :08:57.principle which did actuallx put the dead in the tax avoidance industry.

:08:58. > :09:01.The so-called Ramsay doctrine. The principle provided that arthficial

:09:02. > :09:05.tax avoidance schemes should be analysed as a whole instead of

:09:06. > :09:09.analysing each piece separately This meant clever tax schemds could

:09:10. > :09:13.be dismantled by taking all the artificial elements out and what was

:09:14. > :09:19.left would be taxed as if the artificial elements never existed.

:09:20. > :09:23.The effect was huge in terms of attacking tax avoidance schdmes And

:09:24. > :09:28.fortunately, however, over the years, case law has moved on

:09:29. > :09:33.somewhat. We have now returned to a world in which tax law is now

:09:34. > :09:36.considered to be a matter entirely of statutory interpretation. They

:09:37. > :09:41.are no general principles at work which can be used when lookhng at

:09:42. > :09:45.combating tax avoidance and practice. Our tax statutes `re

:09:46. > :09:53.extraordinarily long and very detailed. This is meat and drink to

:09:54. > :09:57.tax specialists. Anyone in this House my age and above might

:09:58. > :10:03.remember the Peanuts cartoons and the is an episode I remember in

:10:04. > :10:07.which Linus says now I know the rules I know how to get arotnd them.

:10:08. > :10:12.Linus could have been a tax lawyer. The love claim by the rules and we

:10:13. > :10:16.should not underestimate thd expertise and determination of the

:10:17. > :10:20.tax avoidance community. Ond tax law specialist told me recently about

:10:21. > :10:26.something really harrowing `bout a firm of accountants in the 0990s. He

:10:27. > :10:32.was eased seven piece of legislation to tax any trust which shifted

:10:33. > :10:37.offshore. The exception to that rule arose if one of the trustees died

:10:38. > :10:41.and the trust shifted offshore as a consequence. These accountants

:10:42. > :10:46.canvassed the council ward to see if the relevance of people dying of

:10:47. > :10:51.cancer would be prepared to have their family member signed tp to act

:10:52. > :10:56.as a trustee of their client's trusts. The solitary assurances that

:10:57. > :11:01.the patient would die soon `nd promised to pay a small fee. This is

:11:02. > :11:08.an extreme case but it is an example of the debts to which peopld will

:11:09. > :11:10.think to avoid paying taxes. It is how loopholes in particular can be

:11:11. > :11:25.found in the depths of legislation. We need a general avoidance

:11:26. > :11:29.principle that is broadly drawn so that it will empower the cotrts to

:11:30. > :11:34.interpret all tax Law purposefully. This is something that many of us on

:11:35. > :11:38.this side of the House and hndeed the TUC have been calling for, but

:11:39. > :11:43.the government attempts so far have been piecemeal, at best. To

:11:44. > :11:49.continue, in terms of a gendral anti-avoidance principle, fhrstly,

:11:50. > :11:52.we have a narrow rule in thd Finance Act of 2013 which focused only on

:11:53. > :11:57.abuse of arrangements. Thesd arrangements have to be considered

:11:58. > :12:06.to be unreasonable by a pandl of industry tax experts before HMRC

:12:07. > :12:11.could Act. This is an all this example of a panel of experts being

:12:12. > :12:16.advised on how to actually catch poachers, essentially. Alternatively

:12:17. > :12:22.we might think of them being turkeys being asked to advise about the menu

:12:23. > :12:25.for Christmas lunch. Secondly, in this government's timid tax

:12:26. > :12:28.avoidance legislation, we h`ve a slight broadening out of th`t rule

:12:29. > :12:35.to impose penalties on tax avoidance. Fourthly, we havd

:12:36. > :12:39.provision to catch those who enable tax evaders, and now there's a

:12:40. > :12:43.consultation on whether those who enable tax avoiders should be

:12:44. > :12:49.treated similarly. It is all far too slow and far too little. As the

:12:50. > :12:53.Minister knows, by the numbdr of amendments we have made tod`y and on

:12:54. > :12:57.previous occasions in this House, the legislation doesn't havd the

:12:58. > :13:02.strength or clarity it deserves We can continue to tinker with

:13:03. > :13:06.successive Finance bills, trying to stick plasters over deficient tax

:13:07. > :13:08.legislation or we can develop a comprehensive tax avoidance strategy

:13:09. > :13:13.with heavyweight legislation to match. The Labour Party has tabled

:13:14. > :13:18.new clause 13 to encourage the government to carry out a

:13:19. > :13:23.wide-ranging report into thd UK tax gap, as I mentioned earlier. It is

:13:24. > :13:26.hoped this report will help the government to assess carefully the

:13:27. > :13:30.current pressure points and areas of weakness in its current tax

:13:31. > :13:34.avoidance policy. Now we ard limited by the scope of today's Fin`nce Bill

:13:35. > :13:37.in calling for a report specifically, but Labour is

:13:38. > :13:43.committed to a full public hnquiry on this matter and I would welcome

:13:44. > :13:47.the minister's support for that This whole sorry mess, from the

:13:48. > :13:53.exposure of offshore tax havens with the Panama Papers, with the largest

:13:54. > :13:57.corporations in the world bding next to nothing in tax, investment banks

:13:58. > :14:00.using financial interest to avoid tax and clever tax advisers

:14:01. > :14:07.designing off-the-peg avoid`nce schemes, this needs to be exposed to

:14:08. > :14:11.the disinfecting properties of daylight, and it means disinfecting,

:14:12. > :14:15.because, quite rightly, it stinks. We need transparency in the tax

:14:16. > :14:22.system and Apple inquiry to design a system that will challenge the tax

:14:23. > :14:25.avoidance industry and we nded to change the tax laws so that they are

:14:26. > :14:31.based on broad principles which make it difficult to avoid them. Then we

:14:32. > :14:36.must find HMRC so that they can take the fight to the tax dodgers by

:14:37. > :14:40.arming them with better tax statute and by starving them with more

:14:41. > :14:46.highly qualified staff. We lust provide them with real support in

:14:47. > :14:52.combating tax avoidance. Thd Panama Papers is a symptom of another

:14:53. > :14:55.well-known disease. Many of the most appalling tax havens are Brhtish

:14:56. > :15:00.Overseas Territories or protectorates. We must recognise we

:15:01. > :15:04.have allowed this to happen. Labour's new clause 13 asks the

:15:05. > :15:08.government to explore the rdgion of a set of minimum standards hn

:15:09. > :15:12.relation to tax transparenches for all British Crown dependenches and

:15:13. > :15:15.overseas territories. Furthdr to this it is imperative for the

:15:16. > :15:18.Foreign and Commonwealth Office to work seriously with Crown

:15:19. > :15:22.dependencies and the British Overseas Territories to est`blish

:15:23. > :15:25.genuine information sharing, to be transparent about the ownership of

:15:26. > :15:29.trusts and companies in thehr territory, and to stop enabling the

:15:30. > :15:35.tax avoidance industry to flourish on their shores. By allowing the

:15:36. > :15:39.wealthy tax dodgers of the world to put the money in these placds, we

:15:40. > :15:44.ensure that billions of pounds, dollars Andy Rose are lost to the

:15:45. > :15:48.public finances of the world, and as a result, hospitals are not built,

:15:49. > :15:55.schools are not refurbished, jobs are lost. Misery and depriv`tion in

:15:56. > :16:01.our communities, here in thd UK is caused by tax avoidance. So it is

:16:02. > :16:04.time to stop taking pieceme`l action in fighting tax avoidance. Ht is

:16:05. > :16:08.time the government dealt whth the problem head on. If the govdrnment

:16:09. > :16:12.actually wanted to do anythhng about the tax avoidance industry ht would

:16:13. > :16:15.lift its head up from fiddlhng about with the detail of successive

:16:16. > :16:19.finance bills and agreement -- agree with the amendments we have tabled

:16:20. > :16:23.today. The Labour Party is calling for the new Britain which whll be

:16:24. > :16:30.making its way out of the ET to take a central role in the OECD

:16:31. > :16:35.initiative to fight tax avohdance and other tax dodgers, to stpport

:16:36. > :16:39.the EU's recent initiative to confront billions of dollars being

:16:40. > :16:44.avoided by the world's largdst corporations. Mr Speaker, wd must

:16:45. > :16:49.stop this game that the tax dodgers and their well-paid advisors play

:16:50. > :16:52.with HMRC. We have got to stop this war and dysfunctional dance between

:16:53. > :16:58.them in which sweetheart de`ls are done with companies like Vodafone,

:16:59. > :17:03.Google and Goldman Sachs. Wd must invest in HMRC. We must simplify

:17:04. > :17:08.other tax codes, and we must build our laws on the simple principle

:17:09. > :17:14.that being part of our socidty means paying your fair share towards the

:17:15. > :17:17.upkeep of that society. Now, if members of this House are in

:17:18. > :17:20.agreement with those very b`sic principles I would urge thel to

:17:21. > :17:25.support the amendments were put forward today, as a small step

:17:26. > :17:28.towards this goal. Ultimately, I hope that the Minister has listened

:17:29. > :17:33.carefully, because we certahnly deserve much more than the few tax

:17:34. > :17:36.avoidance divisions -- provhsions contained within today's bill, and I

:17:37. > :17:48.would like to formally move new clause 13. Thank you very mtch, Mr

:17:49. > :17:52.Speaker. It has been a very wide-ranging and at times p`ssionate

:17:53. > :17:56.debate. I would like to address the amendments the government are making

:17:57. > :18:01.before turning to those amendments and new clauses tabled by the

:18:02. > :18:08.opposition. Mr Speaker, govdrnment amendments 136, 137, clause 255

:18:09. > :18:14.this is to make an administrative change to strengthen the general

:18:15. > :18:20.anti-abuse rules procedural efficiency and amendments 136, 37,

:18:21. > :18:25.to make small technical changes that cause which incorporate the new

:18:26. > :18:30.terms introduced by clause 036, and these new terms produce a ndw way of

:18:31. > :18:35.countering the procedure to enable the same advisory panel opinion to

:18:36. > :18:40.apply to multiple users of larketed tax avoidance schemes. We bdlieve

:18:41. > :18:45.these changes will streamline the procedure without automating the

:18:46. > :18:52.fundamental test that taxpaxers are subject to under the GAR. Wd will

:18:53. > :19:01.enable tax to be protected for the cases we intend to address. Let me

:19:02. > :19:05.turn now to amendment 145, loved by the right honourable lady, the

:19:06. > :19:12.member for Don Valley. This would give the Treasury the power to

:19:13. > :19:15.publish a country by countrx report showing their profits, taxes paid

:19:16. > :19:19.and other financial information in the countries in which they operate.

:19:20. > :19:24.As was acknowledged by the right honourable lady and others hn this

:19:25. > :19:28.date, the UK has led intern`tional efforts. I think that the honourable

:19:29. > :19:31.lady speaking from the French - front bench has been a little bit

:19:32. > :19:36.miserable about the leadership that the UK has shown. I didn't recognise

:19:37. > :19:42.the description she applied. Others were more generous and have noted

:19:43. > :19:44.the fact that the UK has led those international efforts, rightly, to

:19:45. > :19:49.tackle tax avoidance by multinational enterprises, for all

:19:50. > :19:56.of the reasons so brilliantly articulated like My Honourable

:19:57. > :19:59.Friend, the member for Dover Deal. The government has been a fhrm

:20:00. > :20:03.supporter of greater tax transparency and greater public

:20:04. > :20:06.disclosure of the tax affairs of large businesses and, for these

:20:07. > :20:11.reasons, the government fully supports the intentions of the

:20:12. > :20:15.amendment as supporting its inclusion in the bill. The

:20:16. > :20:21.government has consistently pushed for a multilateral system for

:20:22. > :20:26.country by country reporting. The Chancellor made the case for looking

:20:27. > :20:30.at this at the G20 in July. Amendment 145 is very much hn

:20:31. > :20:34.keeping with this aim, and provides a government with the power to

:20:35. > :20:40.implement when appropriate. It is nonetheless important that the power

:20:41. > :20:44.is used to deliver co-present and effective model as acknowledged by

:20:45. > :20:47.the right honourable lady of country by country reporting agreed on a

:20:48. > :20:52.multilateral basis, and I al sure that we will return to this issue on

:20:53. > :20:57.the basis on which we can go forward, but it means a moddl that

:20:58. > :20:59.requires all groups, both UK headquartered and non-UK

:21:00. > :21:04.headquartered, the report information for the full range of

:21:05. > :21:07.countries in which they operate It is vital for ensuring that the

:21:08. > :21:11.policy intention of greater transparency is delivered. Ht is

:21:12. > :21:15.important for ensuring that UK headquartered groups are not put at

:21:16. > :21:18.a competitive disadvantage `nd again I pay tribute to the right

:21:19. > :21:24.honourable lady in recognishng that concern as was expressed earlier in

:21:25. > :21:27.the year, and that disclosure requirements cannot be avoided

:21:28. > :21:31.through group restructuring, another issue that we want to make sure that

:21:32. > :21:34.we on top. The government rdmains focused on getting internathonal

:21:35. > :21:39.agreement for such a model `s part of its continued efforts to ensure

:21:40. > :21:42.that taxes are paid, and pahd in jurisdictions where economic

:21:43. > :21:45.activities take place. She `nd the House have my assurance that the

:21:46. > :21:49.government will continue to take every opportunity to champion this

:21:50. > :21:52.agenda at international levdl. And it is increasingly clear th`t we

:21:53. > :22:00.move forward with a welcome degree of agreement across this Hotse. Let

:22:01. > :22:07.me turn to Labour amendments 163-168. Of course. Can I thank the

:22:08. > :22:11.honourable lady for the govdrnment decision to support my amendment? I

:22:12. > :22:16.do hope that we can work together to look at ways in which we can make

:22:17. > :22:21.the journey to introducing ht in this country, with others, ` real

:22:22. > :22:24.possibility in future. Indedd. And we have seen in other areas where we

:22:25. > :22:28.have shown leadership how mtch can happen in a short space of time so

:22:29. > :22:33.I think we're optimistic th`t we can make progress. And as I say, with a

:22:34. > :22:41.welcome degree of consensus across the House. Turning to amendlents

:22:42. > :22:45.163- Non Stanford 68, 173, new clause 12, concerning penalties for

:22:46. > :22:53.offshore tax avoidance and dvasion. And clause 161, scheduled 20,

:22:54. > :22:57.creates new civil penalties for those who deliberately assist

:22:58. > :23:02.taxpayers to evade UK inherhtance tax, capital gains tax or income tax

:23:03. > :23:10.by offshore means. It would introduce financial penaltids at

:23:11. > :23:15.100% of the tax evaded. Amendments 163, 164 would include withhn the

:23:16. > :23:19.provisions the option of ch`rging a penalty of up to 100% of anx fee

:23:20. > :23:25.paid by the taxpayer to the enabler for the enabling service received.

:23:26. > :23:28.Mr Speaker, the fees charged by organisations can take a vast array

:23:29. > :23:35.of different structures and formats. Without a clear constitution of what

:23:36. > :23:38.the fee is all relates to the services provided, it would be

:23:39. > :23:42.disproportionately burdensole for HMRC to apply and you such `

:23:43. > :23:46.penalty, and a penalty based on tax lost is a much clearer and lore

:23:47. > :23:49.easily defined concept, we believe, which better means the objective of

:23:50. > :23:56.sending a strong and clear deterrent. Amendments 165 and 1 6

:23:57. > :24:01.will increase the minimum pdnalties charged for deliberate offshore tax

:24:02. > :24:05.has increased the sanctions that can has increased the sanctions that can

:24:06. > :24:17.incentive to taxpayers to However, we must balance thhs

:24:18. > :24:22.voluntarily comply and coopdrate with HMRC, and so, we do believe

:24:23. > :24:27.therefore that the arrangemdnts we have set out provide a good balance.

:24:28. > :24:32.As with all penalties we kedp the rates under review. Amendments 67

:24:33. > :24:36.and 168 would make it compulsory for HMRC to publish details of tax

:24:37. > :24:42.defaulters who meet the reldvant criteria. Public naming incdntivises

:24:43. > :24:46.evaders to come forward and cooperate but it allows namhng of

:24:47. > :24:50.those who refuse to cooperate with HMRC, and in the vast majorhty of

:24:51. > :24:53.cases we would expect HMRC to name those who meet the criteria.

:24:54. > :25:00.However, mandatory publicathon would be inappropriate in some particular

:25:01. > :25:03.exceptional circumstances or perhaps where there were wider consdquences

:25:04. > :25:09.such as economic market imp`cts from the information becoming public

:25:10. > :25:12.Clause 164, scheduled 22, introduces new asset base penalties for the

:25:13. > :25:19.most serious cases of delibdrate onshore tax evasion, where the tax

:25:20. > :25:23.loss exceeds 25,000 added ldvy a penalty of 10% of the value of the

:25:24. > :25:34.asset connected to the evashon, in to any other pack stew and hnterest

:25:35. > :25:38.penalties G. -- do. This level of penalty was carefully considered

:25:39. > :25:42.when it was set. Accounting for international comparisons as the

:25:43. > :25:45.honourable lady did with thdir two, and for the fact that it is a new

:25:46. > :25:50.approach to penalties for the UK in relation to tax matters. Thd

:25:51. > :25:53.government has also consultdd and engaged with stakeholders, balancing

:25:54. > :25:57.the arguments they set out. We feel that the legislation as it currently

:25:58. > :26:01.stands at allows a substanthal penalty for deliberate tax dvasion

:26:02. > :26:06.and will provide a signific`nt deterrent. However, it is not clear

:26:07. > :26:07.that the 5% increase in the maximum would significantly increasd the

:26:08. > :26:30.impact of the penalty. Increasing our ability to prosecute.

:26:31. > :26:35.A successful conviction unddr this new offence cooed result in a fine

:26:36. > :26:45.or a prison sentence of up to six months. The new criminal offence is

:26:46. > :26:54.expected to come into effect from the 2017 /18 tax period. We feel it

:26:55. > :27:00.makes the amendment redundant. Amendments 171 two 170 will

:27:01. > :27:04.introduce a further defence to this criminal offence where the person

:27:05. > :27:09.believed the information thd supply to HMRC was true and accurate but

:27:10. > :27:14.these do not work in practice. The part of the cause to which they

:27:15. > :27:19.relate is the offence of fahlure to notify HMRC of charge ability and

:27:20. > :27:24.failure to make a return. In both of these cases no information would

:27:25. > :27:29.have been supplied to HMRC `nd so no offence could be applied.

:27:30. > :27:34.Inaccuracies and documents the amendment we feel is unnecessary.

:27:35. > :27:40.The offence already had the defence of having taken reasonable care to

:27:41. > :27:44.get your affairs right which would imply the taxpayer believed they

:27:45. > :27:49.were true and accurate. Let me return to new clause seven loved by

:27:50. > :27:54.the member for Cowdenbeath. That would legislate for the revhew of

:27:55. > :27:58.the impact of the tax regimd on Scottish limited partnerships. On

:27:59. > :28:02.the levels of tax avoidance and evasion. A Scottish limited

:28:03. > :28:06.partnership is treated for tax purposes as the tax transparent

:28:07. > :28:11.vehicle in the same way as ` limited partnership that is established in

:28:12. > :28:15.England and or Wales is. Lilited powers as established in Scotland

:28:16. > :28:18.that he set out in moving the clause has a separate legal person`lity

:28:19. > :28:24.which means the partnership itself can own assets and enter into

:28:25. > :28:28.contracts. The government is committed to effectively tackling

:28:29. > :28:31.tax avoidance, invasion and effective tax planning incltding

:28:32. > :28:36.partnerships have evolved and have secured over an additional ?130

:28:37. > :28:42.billion in an compliance yidld since 2010. Last month the governlent

:28:43. > :28:46.launched a consultation looking at partnership taxation includhng

:28:47. > :28:51.proposals to clarify the tax treatment for various types of

:28:52. > :28:55.partnership. We will welcomd the SNP's engagement in that exdrcise

:28:56. > :28:59.and I would like to offer somebody assurance with regard to thd recent

:29:00. > :29:04.allegations in the media regarding the use of SLP is by crimin`l

:29:05. > :29:08.organisations. The government takes extremely seriously the points that

:29:09. > :29:12.have been raised and is working collaboratively across departments

:29:13. > :29:16.and law enforcement agencies to the bus late tackle crime and fraud

:29:17. > :29:23.Lieber new clause that team calls upon the government to report into

:29:24. > :29:27.the UK tax gap. Apologies if she said this, I was not clear. With the

:29:28. > :29:30.minister please let us know whether or not she is going to support an

:29:31. > :29:34.inclusion in new clause sevdn on the basis she has just made it clear why

:29:35. > :29:38.it is very Portland and a good idea for us to do this? If she is not

:29:39. > :29:42.willing to support Iguchi jtstified by the government is willing to

:29:43. > :29:49.leave this loophole and discussed without review? As I just l`id out a

:29:50. > :29:55.consultation is underway whhch gives us an opportunity to look at exactly

:29:56. > :30:00.these issues. I am bite the SNP to engage with that. Turning to the

:30:01. > :30:06.lengthy speech and the case that was made for Labour's Mac new clause 13,

:30:07. > :30:14.the report into the UK tax gap, the tax gap is a traditional st`tistic

:30:15. > :30:17.published date October which is produced in association with the

:30:18. > :30:23.code of practice which ensures integrity. The methodology hs

:30:24. > :30:28.replied by third parties to be robust it is intense lovely reviewed

:30:29. > :30:31.to be given a clean bill of health by The International Monetary Fund

:30:32. > :30:38.and scrutinised by the audit office. The there is no need for a report

:30:39. > :30:41.into the tax gap. HMRC publhshed and methodological annex alongshde the

:30:42. > :30:48.tax gap publication which provides details of the data and methodology

:30:49. > :30:53.used to produce estimates of the tax gap. In the course of moving new

:30:54. > :30:56.clause 13 the Honourable lady speaking for the opposition painted

:30:57. > :31:01.a picture which I think on this side of the House and I suspect hn other

:31:02. > :31:06.parts of the House would be regarded as, at the very least, ungenerous.

:31:07. > :31:10.In many ways and accurate, tnfair and unrecognisable in terms of the

:31:11. > :31:16.way it downplayed the effort that have been taken by this govdrnment

:31:17. > :31:21.in these areas. To call it tinkering at the edges is simply nonsdnse

:31:22. > :31:28.Since 2010 the government h`s provided HMRC with ?1.8 billion to

:31:29. > :31:34.tackle evasion, avoidance and noncompliance. Over that PDB HMRC

:31:35. > :31:38.have secured an additional 030 billion in additional tax rdvenues.

:31:39. > :31:43.We have shown considerable `mbition and, indeed, as other members on the

:31:44. > :31:47.opposition side have indeed been generous enough to acknowledge,

:31:48. > :31:51.international leadership. I do not accept the criticism that wdre

:31:52. > :31:57.voiced from the front bench and it is worth noting that at somd budget

:31:58. > :32:01.2015 the government invested a further ?850 million to fund

:32:02. > :32:06.additional work to tackle t`x evasion and noncompliance. Now

:32:07. > :32:08.government and certainly in particular the last Labour

:32:09. > :32:13.government have come close to being as ambitious as we have been since

:32:14. > :32:18.2010 on this important agenda and, indeed, the extent to which actually

:32:19. > :32:24.there was considerable agredment across the House in the earlier part

:32:25. > :32:27.of the debate and the fact that the government has accepted the Right

:32:28. > :32:33.Honourable lady for Don Valley's amendment. It gives some wedk to the

:32:34. > :32:37.fact we are beginning to strike a UK consensus about the need to tackle

:32:38. > :32:43.this. We have a chance to continue to move forward. It is an appetite,

:32:44. > :32:47.I know, to return to these hssues. The dizzy deal desire for the

:32:48. > :32:50.government to continue to rdad internationally on avoidancd and

:32:51. > :32:55.evasion and the House can bd reassured that is exactly what we

:32:56. > :33:01.intend to do. Does the honotrable gentleman the member for Kirkcaldy

:33:02. > :33:05.and Cowdenbeath wish to respond The few words just do say I am

:33:06. > :33:09.incredibly disappointed that the government has chosen to dr`g its

:33:10. > :33:12.feet on the issue of Scottish limited partnerships and on the

:33:13. > :33:19.basis of their own arguments we will be moving new clause seven. That is

:33:20. > :33:29.commendably petty. I think the houses almost audibly grateful. --

:33:30. > :33:34.pithy. The question is that new clause seven B read a second time.

:33:35. > :33:42.As many as are of the opinion, say "aye". To the contrary, "no".

:33:43. > :36:01.Division, cleared the lobby. Order. The question is that new

:36:02. > :36:11.clause seven be read a second time. As many as are of the opinion, say

:36:12. > :36:17."aye". To the contrary, "no". . Killers 's body knows Mr Gr`ham

:36:18. > :47:11.Stewart and Mr Mark Spencer. -- cameras for the noes.

:47:12. > :47:35.Order, order. The Ayes to the right, 248, the Noes to the left, 304.

:47:36. > :47:48.The Ayes to the right, 248, the Noes to the left, 304. Nose macro, nose

:47:49. > :47:54.macro, unlocked. We now comd to new clause 13 in the name of thd

:47:55. > :48:00.honourable lady who will move formally, I believe, the qudstion is

:48:01. > :48:08.that new clause 13 B read a second time. As many as are of that opinion

:48:09. > :50:44.say aye, contrary no division, clear the lobby.

:50:45. > :50:51.Order. The question is that new clause 13 B read a second thme. As

:50:52. > :50:57.many as are of that opinion say aye, contrary no. Tellers for thd Ayes,

:50:58. > :51:04.Sue Heymann and Jeff Smith. Tellers for the Noes, very disorderly

:51:05. > :51:10.conduct, tellers for the Nods, Mr Graham Stuart and Mr Mark Spencer.